Friday, October 19, 2012

County Executive concerned about financial condition of Promethean

Leggett recommends delaying additional purchases until concerns about vendor are addressed


A memo obtained by the Parents' Coalition reveals that County Executive Leggett is urging the County Council to consider the financial condition of Promethean World before funding additional purchases of their products. Promethean World is the predominate supplier of interactive whiteboards to MCPS.

Leggett wrote that he supports expanding technological resources to all MCPS classrooms, but questioned whether Promethean World can survive in light of their rapidly declining financial condition.

"While Promethean World reported adequate fund balances to cover their shorter term losses, they alerted their investors to the long-range nature of their financial problems," wrote Leggett.

Leggett also stated in the memo that he is concerned about the proprietary nature of Promethean products.

"The Promethean Board technology is proprietary and alternative means of providing the whiteboard service to classrooms if the company were to go out of business would require investment in alternative hardware and software," wrote Leggett. "I am concerned that MCPS' investment of taxpayer dollars into these whiteboards may not be viable or sustainable in the long term due to the company's significant and, by the company's own assessment, long-term, financial difficulties."

The memo gave no deadline for making the determination of whether or not to proceed with purchase of Promethean products or to switch to products from a more stable company.

 Memo from County Executive Leggett expressing concerns about Promethean's financial condition

4 comments:

  1. Did you get a copy of the "attachment" referenced in the Executive's memo (i.e., the Board of Education request)?

    ReplyDelete
  2. Yes. The entire document can be found here:

    http://montgomerycountymd.granicus.com/MetaViewer.php?meta_id=42500&view=&showpdf=1

    ReplyDelete
  3. From the BOE minutes:
    WHEREAS, When the County Council approved the Technology Modernization
    Program in the Fiscal Year 2013–2018 Capital Improvements Program and the Fiscal
    Year 2013 Capital Budget, the federal Education Rate funds were assumed to be an
    additional source of funding for the Technology Modernization Program in Fiscal Years
    2013 and 2014 and that the Board would request a supplemental appropriation to
    expend these funds; and
    WHEREAS, Federal Education Rate funds in the amount of $2,042,000 are available as
    Fiscal Year 2013 appropriation to provide the additional funding necessary to roll out
    Promethean interactive technology across all elementary schools and to implement
    wireless networks across all schools; now therefore be it
    Resolved, That the Board of Education approves the purchase of Promethean
    interactive classroom technology systems (pursuant to the state of Maryland contract
    050B7800023) at a total cost of $8,949,719; and be it further
    Resolved, That the Board of Education finances this purchase of Promethean
    interactive classroom technology for a five-year period ($1,789,944 per year for Fiscal
    Years 2013–2017) with Dell Financial Services L.L.C.; and be it further
    Resolved, That the Board of Education approves the purchase of Cisco wireless
    networking equipment, software, and services (pursuant to a Montgomery County
    Public Schools Request for Proposal, #7067.4) at a total cost of $5,591,758; and be it
    further Resolved, That the Board of Education finances the purchase of Cisco wireless
    networking equipment, software, and services for a five-year period ($1,118,352 per
    year for Fiscal Years 2013–2017) with Banc of America; and be it further
    Resolved, That the Board of Education requests a Fiscal Year 2013 supplemental
    appropriation in the amount of $2,042,000 to expand federal Education Rate funds
    received in Fiscal Year 2013 to support implementation of these essential technology
    infrastructure priority improvements; and be it further
    Resolved, That the purchase of the equipment is dependent on County Council
    approval of the supplemental appropriation; and be it further
    Resolved, That a copy of this resolution be transmitted to the county executive and the
    County Council.

    ReplyDelete
  4. I strongly urge this district to not purchase the Promethean boards. Making a large investment--with taxpayer money--in a failing company is a very bad idea.

    ReplyDelete

If your comment does not appear in 24 hours, please send your comment directly to our e-mail address:
parentscoalitionmc AT outlook.com