Education awards Perot Systems $206m contract

The Education Department has awarded Perot Systems of Fairfax, Va., a contract worth up to $206 million over 10 years to provide data center hosting for Federal Student Aid applications and network services, according to an announcement posted on

The virtual data center aims to encompass all aspects of planning, implementing, operating and maintaining the processing of new and existing applications within Federal Student Aid's application hosting environment.

The current virtual data center does not include any applications services, such as application development or maintenance or desktop services, which Education procures under other contracts, the department said in its original solicitation.

The indefinite-delivery, indefinite-quantity contract runs over 10 years, according to the original solicitation. Education wants to integrate Federal Student Aid systems, improve program integrity, reduce administration costs and improve customer services.

Federal Student Aid processes 14 million financial aid applications, delivers $70 billion to 11 million recipients and manages a portfolio of $400 billion in outstanding loans, Education said.

Education recently awarded Perot Systems a $17.4 million contract for systems development, operations and maintenance for an integrated partner management system for the Office of Federal Student Aid. Partners include schools, banks and other lenders, collection agencies, and federal and state agencies.

About the Author

Mary Mosquera is a reporter for Federal Computer Week.

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