[BreachExchange] Cyber-attack threat is costly for Modesto schools. The total estimate may surprise you.

[Destry Winant]

https://www.modbee.com/news/local/education/article230013399.html

The costs of combating a recent cyber attack and securing computer
services against further attacks will easily exceed $1 million for
Sylvan Union School District.

According to a budget study in April, the Modesto school district
amassed $475,700 in costs in eradicating two cyber-attack viruses that
took down essential services in the district with 10 elementary
schools and three middle schools. Staff and teachers lost connection
to cloud-based data, networks and educational platforms that use the
school district’s Internet connection.

The malware attack of unknown origin was first detected in late
February. The $475,700 in expenses for stopping the viruses and
restoring systems included software purchases, equipment and
contractor services, some of which prevented further damage to the
school district’s networks.

Datapath of Modesto was hired for consulting services through an
emergency school board action March 12. Tuesday, the board will
consider approving a contract with Datapath for continued network
management services through June 30.

The contract extension, not to exceed $48,000, will give the school
district time to seek competitive bids for consulting services and
technology upgrades in the 2019-20 budget year, which begins July 1.

Sylvan Superintendent Debra Hendricks and other district staff were
attending a conference Friday and were not available to discuss the
continued expenses for network security services.

The security breach prompted the school board last month to recommend
almost $530,000 in technology upgrades in next year’s budget. In
justifying the expenditures, a budget study said, “It is critical that
the district contract with an outside vendor to monitor our system and
support our current technology staff for cyber security measures.”

The study said Sylvan staff had spoken with school districts in the
area and “this is the direction they have taken due to school
districts being extremely vulnerable to cyber attacks.”

Yvonne Perez, assistant superintendent of business services, discussed
the continued contract with Datapath in a report for Tuesday’s
meeting. The $18,000 in monthly fees owed to the firm was to be
trimmed by $1,000 starting last week once a new backup system was
operational.

The monthly fees will drop an additional $2,000 when a virtualization
server, software and hardware are completely installed.

According to the budget study last month, the $530,000 for additional
technology upgrades next year are an estimate. The actual costs won’t
be known until bids are accepted and reviewed.

The estimated costs include $15,000 a month, or a total of $180,000,
for ongoing monitoring and back-end support; almost $100,000 for
subscriptions; and $230,000 for what’s known as virtualization
equipment and services. The monthly cost for monitoring and back-end
support is expected to decrease once the network systems are upgraded.

The Sylvan Union School District board meets at 7 p.m. Tuesday, at 605
Sylvan Ave. in Modesto.