NOMAD zOS V8 Software license MTC

The Illinois Department of Innovation and Technology (DoIT) is issuing a notice of intent to award a sole-source contract to Select Business Solutions for z/OS NOMAD v8 software license and maintenance, with written comments or hearing requests due November 13, 2026 by 4:00 p.m. and a public hearing set for November 18, 2026 at 2:00 p.m. CST. DoIT is procuring on behalf of the Department of Public Health (DPH) and the Department of Transportation (DOT). The justification rests on equipment compatibility and the fact that NOMAD is copyrighted and patented software available only from its copyright holder, Select Business Solutions. The State Purchasing Officer approved the sole-source justification on October 21, 2026.

The scope covers a new, one-time NOMAD v8 license for the z/OS environment on the IBM z16 mainframe, plus annual maintenance on NOMAD, NOMAD Assistance, NOMAD QLIST, NOMAD Collection, and NOMAD NAPA. The license replaces the IBM z13 system running in a z/VM environment, which reaches end of IBM support on September 30, 2026. NOMAD runs critical payroll, timekeeping, and federally mandated health facility applications for state agencies. DoIT states that converting those applications to another platform would cost millions of dollars and require multiple years.

The initial contract value is $2,085,000, funded through state appropriations, for a term of November 15, 2026 through November 14, 2027. Select Business Solutions has held NOMAD maintenance contracts since 2005, with ten prior awards ranging from $236,250 to $2,447,848. The most recent annual maintenance term was $273,488. DoIT attributes the cost increase to the mainframe capacity upgrade from 98 MIPS on the z13 to nearly 4,000 MIPS on the z16 and to the move from z/VM to the more expensive z/OS environment. DoIT reports that decommissioning NOMAD requires enterprise HCM and ERM solutions, which are estimated at two to three additional years away.

At the hearing, the Chief Procurement Officer will consider testimony for or against the sole-source award before deciding whether to approve it. Formal rules of evidence do not apply, and written comments carry equal weight to oral testimony. Dianne Richman at the Chief Procurement Office for General Services (Dianne.Richman@illinois.gov, 217-622-1857) is the notice contact.