This paper explores the evolution of rotating helium stars with masses greater than 10 solar masses, whose iron cores collapse into black holes of 2-3 solar masses without producing a successful outgoing shock. The study focuses on a 14 solar mass helium core of a 35 solar mass main sequence star. The outcome depends on angular momentum: for low angular momentum (j₁₆ < 3), material falls into the black hole without outflows; for high angular momentum (j₁₆ > 20), centrifugal force halts infall, leading to low accretion rates and possible weak equatorial explosions. For intermediate angular momentum (3 < j₁₆ < 20), a compact disk forms, efficiently radiating neutrino energy, making these stars good candidates for gamma-ray bursts (GRBs). The study uses a two-dimensional hydrodynamics code (PROMETHEUS) with realistic inner boundary conditions and disk physics. For α = 0.1, significant energetic outflows develop in cones with polar angles of 30-45 degrees, powered by disk dissipation, reaching energies up to several ×10⁵¹ erg and containing ⁵⁶Ni. These outflows resemble supernova-like explosions. Accretion through the disk continues for at least 20 seconds, with variable rates due to hydrodynamical instabilities. Neutrino energy deposition is sensitive to accretion rate, leading to variable energy deposition in polar regions. Some of this variability may persist in the burst time structure. The average accretion rate for the standard α = 0.1 and j₁₆ = 10 model is 0.07 M☉ s⁻¹, with total neutrino energy deposited along the rotational axes of (1-14) ×10⁵¹ erg. Simulated deposition of this energy results in strong relativistic outflows, jets beamed to about 1.5% of the sky, capable of penetrating the star in 5-10 seconds. After the jet breaks through the surface, highly relativistic flow can commence. The mass ejection and jets are sensitive to accretion rate, angular momentum, and disk viscosity, leading to a wide range of outcomes from bright GRBs like GRB 971214 to faint GRB-supernovae like SN 1998bw. X-ray precursors are also possible as the jet breaks out of the star. While only a small fraction of supernovae make GRBs, all GRBs longer than a few seconds will make supernovae similar to SN 1998bw. However, hard, energetic GRBs shorter than a few seconds will be difficult to make in this model. The study also discusses the role of metallicity, angular momentum, and disk viscosity in GRB characteristics and the potential for GRBsThis paper explores the evolution of rotating helium stars with masses greater than 10 solar masses, whose iron cores collapse into black holes of 2-3 solar masses without producing a successful outgoing shock. The study focuses on a 14 solar mass helium core of a 35 solar mass main sequence star. The outcome depends on angular momentum: for low angular momentum (j₁₆ < 3), material falls into the black hole without outflows; for high angular momentum (j₁₆ > 20), centrifugal force halts infall, leading to low accretion rates and possible weak equatorial explosions. For intermediate angular momentum (3 < j₁₆ < 20), a compact disk forms, efficiently radiating neutrino energy, making these stars good candidates for gamma-ray bursts (GRBs). The study uses a two-dimensional hydrodynamics code (PROMETHEUS) with realistic inner boundary conditions and disk physics. For α = 0.1, significant energetic outflows develop in cones with polar angles of 30-45 degrees, powered by disk dissipation, reaching energies up to several ×10⁵¹ erg and containing ⁵⁶Ni. These outflows resemble supernova-like explosions. Accretion through the disk continues for at least 20 seconds, with variable rates due to hydrodynamical instabilities. Neutrino energy deposition is sensitive to accretion rate, leading to variable energy deposition in polar regions. Some of this variability may persist in the burst time structure. The average accretion rate for the standard α = 0.1 and j₁₆ = 10 model is 0.07 M☉ s⁻¹, with total neutrino energy deposited along the rotational axes of (1-14) ×10⁵¹ erg. Simulated deposition of this energy results in strong relativistic outflows, jets beamed to about 1.5% of the sky, capable of penetrating the star in 5-10 seconds. After the jet breaks through the surface, highly relativistic flow can commence. The mass ejection and jets are sensitive to accretion rate, angular momentum, and disk viscosity, leading to a wide range of outcomes from bright GRBs like GRB 971214 to faint GRB-supernovae like SN 1998bw. X-ray precursors are also possible as the jet breaks out of the star. While only a small fraction of supernovae make GRBs, all GRBs longer than a few seconds will make supernovae similar to SN 1998bw. However, hard, energetic GRBs shorter than a few seconds will be difficult to make in this model. The study also discusses the role of metallicity, angular momentum, and disk viscosity in GRB characteristics and the potential for GRBs