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San Diego

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San Diego’s data processing agency Thursday chose Nippon Electric Corp. America to provide a multimillion-dollar city government telephone system and agreed to begin final negotiations with the company.

The decision by the board of directors of the San Diego Data Processing Corp. ends a bitter battle for a 10-year contract valued at as much as $12 million.

NEC will be the lead vendor, providing the city with 6,300 telephones and other telecommunications equipment, though parts of the system may be purchased from other companies, said William D’Alessio, chairman of the agency’s board of directors.

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Pacific Bell will receive about $19 million for providing connecting telephone lines.

The board had previously selected Tel Plus Communications from among seven bidders for the lucrative pact, but was forced to reopen the selection process when San Diego City Council members intervened, contending that the process was flawed. The council Tuesday approved the selection of NEC.

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