GSA #9474

March 27, 1998
Contact: Bill Bearden or Eleni Martin
202) 501-1231

WASHINGTON, DC�The U.S. General Services Administration (GSA) and the U.S. Department of Education have announced the successful migration of Education's National Student Loan Data System to Computer Sciences Corporation under GSA's Virtual Data Center Services contract.

"This is the first step in meeting the challenge of the Virtual Data Center contract, and it readily demonstrates the advantages available to the Federal Government," said Ronald Decker, Director of GSA's Federal Computer Acquisition Center (FEDCAC). "The Department of Education has taken the lead, and should be commended, as its migration success sets the tone for other government agencies to follow."

Decker stressed that it is essential government agencies take the initiative now to make their data center operations more productive and cost effective. "The Virtual Data Center contract allows users to accomplish these objectives and to achieve results without jeopardizing the integrity of their mission," Decker said.

"The move to outsource data center services is a pivotal one for us in our drive for new efficiencies and productivity levels," said Jerry Russomano, Director of Program Systems Service for the Department of Education. "The entire transition really seemed transparent, and early reports indicate that our nightly batch processing cycle is running up to one-third faster than in the past. When we started last October, we were heading into the busiest time of the year in terms of the number of applications for financial aid, so this transition was crucial."

The National Student Loan Data System provides critical support to the Department and some 6,000 school and guaranty agencies that rely on the student loan data. Forecast savings under the new outsourced data center operation could exceed $12 million during the first year.

GSA's Decker added, "We are pleased with the success of this contract and are committed to the migration concept, and I invite any agency to contact me about this valuable opportunity." For further information, contact Ronald Decker at (703) 756-4238 or ronald.decker@gsa.gov, or visit FEDCAC's web site at http://www.gsa.gov/iti.