Need a It Contract in Vermont? AroundWire Can Help

IT contracts in Vermont, especially those involving state agencies, are governed by both general state procurement statutes (notably Title 29 V.S.A. § 902 and related administrative bulletins) and specific IT procurement guidelines issued by the Vermont Agency of Digital Services. Key features typically include strict data security and privacy requirements in compliance with state and federal laws (such as HIPAA or CJIS, if applicable), mandatory background checks for contractor personnel, and adherence to the Vermont Information Security Standards. Contractors are often required to obtain relevant business registrations and, for certain services, professional certifications (e.g., IT security, cloud services). Insurance obligations commonly include general liability, professional liability (errors and omissions), and cyber liability coverage, with the state named as an additional insured. Payment terms are usually net 30 days, contingent on satisfactory performance and acceptance of deliverables, with retainage or milestone-based payments for larger projects. Contracts often include provisions for performance bonds or surety, particularly for high-value or mission-critical systems. Vermont favors alternative dispute resolution (ADR), such as mediation, before litigation, and contracts typically specify venue within the state. Risk factors include rigorous data breach notification obligations, indemnification clauses favoring the state, and limitations on subcontracting without prior approval. State contracts may also include non-discrimination clauses and require compliance with Vermont’s public records and open meeting laws, impacting confidentiality and deliverable ownership.