The House passed legislation on Tuesday that aims to reauthorize the Technology Modernization Fund (TMF) until 2031, helping to reinvigorate the Federal government’s investments in technology modernization.
The Modernizing Government Technology Reform Act (MGT Reform Act), introduced late last year by Reps. Nancy Mace, R-S.C., Ro Khanna, D-Calif., and Gerry Connolly, D-Va., passed the House floor on May 21 by voice vote.
Rep. Mace is chair of the House Oversight Subcommittee on Cybersecurity, Information Technology, and Government Innovation, and Rep. Connolly – who is ranking member of the subcommittee – cosponsored the original MGT Act.
“The Modernizing Government Technology Reform Act (MGT Reform Act) improves transparency and accountability in Federal IT system management by restoring the original congressional intent of the Technology Modernization Fund, originally authorized by Congress as a revolving fund to finance the overhaul or replacement of archaic legacy IT systems that function poorly and are vulnerable to cyberattack,” said Rep. Mace.
TMF, which is administered by the General Services Administration (GSA), was created in 2017 under the Modernizing Government Technology Act to provide money to Federal civilian agencies to undertake tech modernization projects. The fund in recent months has been spending down some of the $1 billion cash infusion it received from Congress in 2021.
The bill places a strong emphasis on the urgent need to retire legacy technology. It requires the Office of the Federal Chief Information Officer to annually submit to Congress a list of the 10 legacy IT systems that present the most serious risks to the Federal government.
“The Federal [government] spends [$100 billion a year] on IT and cybersecurity, but 80 percent goes to outdated systems. These systems waste money, leave us vulnerable, and create hiring challenges,” Rep. Mace said in a post on X after announcing the passage of the legislation.
The MGT Reform Act would also:
- Require all Federal agencies to provide a list of their high-risk legacy IT systems;
- Authorize TMF funding for IT projects that improve the ability of the agency to perform its mission and deliver services to the public;
- Set additional requirements for agencies that receive funds to reimburse the TMF; and
- Revise the criteria by which agency proposals for TMF funding are evaluated to include the extent to which they address the greatest security, privacy, and operational risks.
“The MGT Reform Act will ensure the future fiscal solvency of the TMF by requiring adequate reimbursement of project costs, and it will create an inventory of federal legacy IT to keep the fund focused on its essential mission,” added Rep. Mace.
