New York’s vaccine passport, the Excelsior Pass, could end up costing taxpayers as much as $17 million, according to The New York Times.
That’s far higher than the $2.5 million the state said the system cost initially.
The Excelsior Pass allows New Yorkers to show proof of their vaccination status using a printout or smartphone app at businesses or events that require it. The system can also be used to show proof of a negative Covid-19 test.
The state introduced the system earlier this year. New Yorkers aren’t required to use the pass. If a business or event wants proof of vaccination, you can also just show your vaccine card.
About 2 million people have downloaded the pass so far, according to the Times. It has been used at sporting events and other gatherings across the state.
The state contracted with IBM to develop and run the system. The deal began in January and ends in March 2024.
Gov. Andrew Cuomo approved the contract with IBM using his special pandemic-related powers before the Legislature pulled them back earlier this year, according to the Times.
In addition to $2.5 million in development costs, the contract estimates New York will pay IBM over $12 million in licensing fees and another $2.2 million for a second phase of development, the Times said.
The contract doesn’t disclose what the second phase will involve.
But the state is considering broader uses of the system and the contract estimates millions more people will download it. Discussions are underway on using the system to store driver’s license information, other health data and more, according to the Times.
Other states and foreign governments are also exploring ways to integrate the pass into their own verification systems.
Freeman Klopott, a spokesman for the state budget office, told the Times that the state only disclosed the $2.5 million initial cost because that was what was already spent.
“Like many state contracts, this contract includes options that the state may or may not undertake, including additional budget capacity that may not be needed,” Klopott said, according to the Times.
He also said the state is negotiating the scope and cost of a second phase of the system with IBM.
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