E-procurement system hits $1B

Virginia's e-procurement system has passed $1 billion in sales and 155,000 orders in the two years since the eVA system launched, according to Gov. Mark Warner's office. The system is a partnership between the state and American Management Systems Inc., Fairfax, Va.

State agencies use the system to purchase products and services ranging from fuel and vehicles to maintenance services and office supplies. The state plans to add construction and other services, such as telecommunications, later this year, the governor's office said.

The 4 million products currently posted on the system by 13,000 vendors are available to 400 government agencies. The system stimulates competition by enabling purchasing agents who shop online to compare prices and offers. It also reduces the administrative costs associated with doing business, according to the governor's office.

Ultimately, eVA is expected to reduce processing costs associated with state procurement from about 5.5 percent, which is typical for government, to 2 percent.