SS JPMC Microsoft Professional Services

The State of Illinois Department of Innovation and Technology (DoIT) seeks to establish a Joint Purchase Master Contract (JPMC) for Microsoft Professional Services through a sole source procurement method. This contract will serve DoIT and all Illinois governmental units and qualified not-for-profit organizations. The services encompass comprehensive Microsoft professional consulting, technical support, and implementation assistance across multiple Microsoft technology platforms, including Azure, Microsoft 365, Dynamics 365, and Power Platform. Specific deliverables include specialized consulting in roles such as Associate Consultants, Consultants, Senior Consultants, Principal Consultants, Project Managers, Solution Architects, Data Scientists, Security Architects, and GitHub Services specialists, with services available in both onshore and offshore delivery models. All services will be provided on an hourly basis with individual Scopes of Work required for each project. The contract term is three years, beginning August 19, 2026, and ending August 18, 2029, with no renewal options. All projects utilizing these services must undergo DoIT's IT Governance review process to ensure alignment with statewide IT strategies and appropriate complexity-based contract vehicle selection. The due date for this procurement is April 22, 2026, with a public hearing scheduled for March 20, 2026, at 2:00 PM via WebEx conference call; interested parties may submit written comments to Dianne Richman (Dianne.Richman@illinois.gov, 217-622-1857) by the specified deadline.

The State has justified the sole source procurement determination on the basis that Microsoft Professional Services are exclusively available directly from Microsoft and cannot be comparably obtained through third-party resellers or channel partners. DoIT's analysis determined that alternative procurement through third-party vendors would result in a 30 percent markup over Microsoft's direct rates, potentially increasing costs by $5 million to $9 million for existing initiatives without adding value. The State previously explored subcontracting arrangements with resellers such as Dell but found these arrangements unacceptable due to markup costs and unacceptable liability risks under the State's existing Master Services Agreement with Microsoft. Microsoft's direct rates are characterized as pre-established government-standard rates that are competitively set and consistent across jurisdictions. The estimated initial contract value is $6,000,000 over the three-year term, funded through state appropriated funds, building on the State's historical investment in Microsoft technologies, including previous Microsoft Unified Support contracts valued at $10,323,750, $5,148,141, and $6,000,000.