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Vermont, Hewlett-Packard Agree to Dissolve Deal

The state of Vermont has reached an agreement with computer giant Hewlett-Packard to end the state's contract with the company for modernization of the Department of Motor Vehicles' computer system.

The settlement calls for HP to refund the state $8.37 million and the state to return to HP physical and virtual rights to all software and documents created by HP.

The state will retain certain components developed by HP, such as the point-of-sale system now in use, various equipment purchases and upgrades to DMV's printing capabilities. The refund reflects nearly the entire amount paid to the vendor.

Officials say DMV computer system that has served the state for over 35 years still works and will continue to be used as the agency evaluates its options.

Copyright 2012 Associated Press. All Rights Reserved.