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Unemployment Issues Blamed On Aging State Computer

7News Chronicles A Long List of Problems

POSTED: 9:44 pm MST February 9, 2010
UPDATED: 5:48 am MST February 10, 2010

Despite a long list of problems, the state of Colorado is unable to replace its 25-year-old computer system, which is being blamed for several errors at the Department of Labor and Employment.

From long wait times on the phone to printing problems involving tax forms, the state says its computer can’t always effectively handle the high volume of unemployment claims.

Yet those in the employment office feel a new computer system would solve many of the troubles.

“I think it's mostly having the staff time available to dedicate to an entirely new venture of developing a new IT system and obviously money,” said John Antal, director of Unemployment Insurance Technology and Training.

Estimates place an upgrade at $40 million.

The move to replace the system dates back to when Gov. Bill Owens was in office, but that attempt died.

The Ritter administration set taxes aside for replacement, but those funds were diverted and instead used for unemployment assistance.

As far as future problems, “I can't guarantee this won't happen again in some fashion,” said Antal.

7News has also discovered this isn’t the first time the Department of Labor has had computer issues. In the late '90s, the state ditched a program called Genesis. It was supposed to track employment benefits, but was dropped because of accuracy problems.
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