Firm leading major payroll transition for Manatee schools files for bankruptcy

Ciber Inc., the information technology company running the School District of Manatee County’s massive payroll and business system software integration, filed for Chapter 11 bankruptcy in Delaware earlier this month.

The district selected Ciber last spring to implement a massive transition onto PeopleSoft, a software platform that ties together all of the school system’s business processes.

At a School District of Manatee County board meeting Tuesday night, Ciber executives told board members to not be alarmed.

“You shouldn’t see any effects,” said Nate Holley, the vice president of delivery for Ciber. “The only thing that will happen is a change in the name on the contract.”

Holley said Capgemini, a publicly traded consulting and technology firm, had put in a bid for Ciber, and the company could be sold by May 15.

Deputy Superintendent for Operations Ron Ciranna said the bankruptcy would not impact the culmination of the project.

“They are being taken over by a huge company that will add a lot of clout,” Ciranna said. “And they always want to keep their current clients.”

Board member John Colon, who works as a financial adviser, said the district should be concerned about Ciber’s bankruptcy. He said he was startled to hear the news, and he wanted district officials to take a closer look into the possible implications.

“The devil is always in the details with bankruptcy. It is not a sure thing,” he said. “I think they were oversimplifying it.”

The school district’s current payroll system has been described by district officials as antiquated. In April, district officials asked internal auditors to scrutinize their payroll system. And when school board members settled the impasse between the union and district, the payroll system was one reason why the district could not provide retroactive pay, district negotiator Bill Vogel said at the time.

Ciranna said the district hopes to be fully transitioned over to PeopleSoft by February of next year, and that a new contractor overseeing the project would not alter that projection. Manatee Technical College is transitioning onto the system as well, and Ciranna said MTC’s transition should be complete by April 2018.

This story was originally published April 25, 2017 at 8:44 PM with the headline "Firm leading major payroll transition for Manatee schools files for bankruptcy."