Ortitay Calls on Governor to Reveal Settlement Details Surrounding Unemployment System Upgrade Lawsuit
BRIDGEVILLE – Rep. Jason Ortitay (R-Washington/Allegheny) today called on Gov. Tom Wolf to disclose information about a settlement agreement he entered into with IBM recently. The Wolf administration filed suit in 2017 against the company for failure to deliver on a contract to upgrade the system used for the Commonwealth’s unemployment claims.
“The governor claims to be open and transparent but has proven otherwise on countless occasions,” Ortitay said. “His words and actions do not match up. The one-line discontinuance filed in the case earlier this week provides no answers to the taxpayers who paid the company millions of dollars for a product that was never delivered. When questioned, his administration said that IBM ‘acknowledged no liability or wrongdoing.’ The people of the Commonwealth have a right to know if any costs from this boondoggle have been recouped. When they pay their taxes, residents expect state government to exercise fiduciary responsibility and hold contractors responsible. While the contract was inked under the Rendell administration, as Gov. Wolf is the current officeholder, it is expected that he would hold the company accountable. If IBM had delivered, the difficulty many unemployment compensation recipients experienced during the pandemic would have been lessened. This contract not only cost taxpayers their money but also resulted in emotional hardship. The governor must release the settlement details immediately.”
The 46th Legislative District includes Collier and South Fayette townships and Bridgeville, Heidelberg, McDonald and Oakdale boroughs in Allegheny County. It also encompasses Canton, Cecil, Mt. Pleasant, Robinson and Smith townships and Burgettstown, McDonald and Midway boroughs in Washington County.