119-hr2985

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2985 Introduced in House

    (IH) ]

<DOC>

119th CONGRESS
 1st Session
 H. R. 2985

 To amend 

section 1078 of the National Defense Authorization Act for 
 Fiscal Year 2018 to increase the effectiveness of the Technology 
 Modernization Fund, and for other purposes.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 April 24, 2025

Ms. Mace (for herself and Mr. Connolly) introduced the following bill; 
 which was referred to the Committee on Oversight and Government Reform

_______________________________________________________________________

 A BILL

 To amend 

section 1078 of the National Defense Authorization Act for 
 Fiscal Year 2018 to increase the effectiveness of the Technology 
 Modernization Fund, and for other purposes.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Modernizing Government Technology 
Reform Act''.

SEC. 2. REALIGNING USE OF FUNDS WITH ORIGINAL CONGRESSIONAL INTENT.

 

Section 1078 of the National Defense Authorization Act for Fiscal 
Year 2018 (Public Law 115-91; 40 U.S.C. 11301 note) is amended--

    (1) in subsection

    (b) --
        (A) by amending paragraph

    (3) to read as follows:
 ``

    (3) Use of funds.--
 ``
        (A) In general.--The Administrator shall, in 
 accordance with recommendations from the Board, use 
 amounts in the Fund for the following:
 ``
            (i) To transfer such amounts, to remain 
 available until expended, to the head of an 
 agency for the acquisition, procurement, and 
 operation of information technology, or the 
 development of information technology when more 
 efficient and cost effective, to--
 ``
            (I) modernize, retire, or replace 
 legacy information technology systems 
 used by the agency;
 ``
            (II) enhance cybersecurity and 
 privacy at the agency;
 ``
            (III) improve long-term 
 efficiency and effectiveness of agency 
 information technology; or
 ``
            (IV) improve the ability of the 
 agency to perform the mission of the 
 agency and deliver services to the 
 public.
 ``
            (ii) To provide services or work 
 performed in support of--
 ``
            (I) the activities described in 
 clause
            (i) ; and
 ``
            (II) the Board and the Director 
 in carrying out the responsibilities 
 described in subsection
            (c) (2) .
 ``
            (iii) To fund only programs, projects, or 
 activities, or to fund increases for any 
 programs, projects, or activities that have not 
 been denied or restricted by Congress.
 ``
            (iv) To transfer such amounts only for 
 programs, projects, or activities that will be 
 reimbursed to the Fund to the extent necessary 
 to ensure total amounts in the Fund are no less 
 than the amounts needed to keep the Fund 
 operational until the Fund sunsets pursuant to 
 subsection

    (g)

    (1) .
 ``
        (B) Termination or suspension of funds.--The 
 Administrator shall, in accordance with recommendations 
 from the Board, suspend or terminate funding for any 
 project with respect to which the head of an agency 
 provided fraudulent or misleading statements about such 
 project (including fraudulent statements about 
 technical design, the business case, or program 
 management with respect to the project) in the 
 application or proposal for amounts from the Fund for 
 such project.'';
        (B) in paragraph

    (5) --
            (i) in subparagraph
        (A) --
            (I) in clause
            (i) --

    (aa) by striking ``or
        (B) ''; and

    (bb) by striking ``

    (3)
            (C) '' 
 and inserting ``

    (3)
        (A)
            (ii) ''; 
 and
            (II) in clause
            (ii) , by striking 
 ``, consistent with any applicable 
 reprogramming law or guidelines of the 
 Committees on Appropriations of the 
 Senate and the House of 
 Representatives''; and
            (ii) in subparagraph
        (B)
            (i) --
            (I) by striking ``paragraph

    (3)
            (C) '' and inserting ``paragraph

    (3)
        (A)
            (ii) ''; and
            (II) by striking ``the solvency of 
 the Fund, including operating 
 expenses'' and inserting the following: 
 ``total amounts in the Fund are no less 
 than the amounts needed to keep the 
 Fund operational until the Fund sunsets 
 pursuant to subsection

    (g)

    (1) '';
            (C) in paragraph

    (6) --
            (i) in subparagraph
        (A) --
            (I) in the matter before clause
            (i) , by striking ``subparagraphs
        (A) and
        (B) of paragraph

    (3) '' and 
 inserting the following: ``paragraph

    (3)
        (A)
            (i) and before any services or 
 work are provided under paragraph

    (3)
        (A)
            (ii) 
            (I) '';
            (II) in clause
            (i) --

    (aa) by striking ``unless 
 approved by the Director''; and

    (bb) by striking ``; and'' 
 and inserting a semicolon;
            (III) by redesignating clause
            (ii) as clause
            (iv) ; and
            (IV) by inserting after clause
            (i) the following new clauses:
 ``
            (ii) which shall include terms of 
 repayment that require the head of the agency 
 to reimburse the Fund for funds transferred 
 under paragraph

    (3)
        (A)
            (i) at a level that 
 ensures total amounts in the Fund are no less 
 than the amounts needed to keep the Fund 
 operational until the Fund sunsets pursuant to 
 subsection

    (g)

    (1) ;
 ``
            (iii) which shall include terms of 
 repayment that require the head of the agency 
 to fully reimburse the Fund for any services or 
 work provided under paragraph

    (3)
        (A)
            (ii) in 
 direct support of the project; and''; and
            (ii) in subparagraph
        (B) --
            (I) by striking clause
            (i) and 
 inserting the following:
 ``
            (i) for any funds transferred to an 
 agency under paragraph

    (3)
        (A)
            (i) , in the 
 absence of compelling circumstances documented 
 by the Administrator at the time of transfer, 
 that such funds shall be transferred only--
 ``
            (I) on an incremental basis, tied 
 to metric-based development milestones 
 achieved by the agency through the use 
 of rapid, iterative, development 
 processes; and
 ``
            (II) after the head of the agency 
 has provided the Director any 
 information the Director is required to 
 report pursuant to paragraph

    (7)
        (A)
            (i) ; 
 and''; and
            (II) in clause
            (ii) --

    (aa) by striking 
 ``subparagraphs
        (A) and
        (B) of 
 paragraph

    (3) '' and inserting 
 ``paragraph

    (3)
        (A)
            (i) ''; and

    (bb) by striking 
 ``paragraph

    (6) '' and inserting 
 ``this paragraph'';
            (D) in paragraph

    (7) --
            (i) in subparagraph
        (A)
            (i) --
            (I) by inserting ``the written 
 agreement entered into under paragraph

    (6) ,'' after ``description of the 
 project,''; and
            (II) by inserting ``(including 
 documented market research into 
 commercial products and services)'' 
 after ``used'';
            (ii) in subparagraph
        (B) --
            (I) in clause
            (i) --

    (aa) by striking 
 ``establishing''; and

    (bb) by striking ``the cost 
 savings associated with the 
 projects funded both annually 
 and over the life of the 
 acquired products and services 
 by the Fund;'' and inserting 
 the following: ``the amount 
 repaid to the Fund in 
 accordance with the terms 
 established in the written 
 agreements described in 
 paragraph

    (6) ;'';
            (II) in clause
            (ii) --

    (aa) by striking 
 ``reliability of the cost 
 savings'' and inserting ``total 
 cost savings''; and

    (bb) by striking the 
 semicolon and inserting ``; 
 and''; and
            (III) in clause
            (iii) , by striking 
 ``; and'' and inserting a period; and
            (IV) by striking clause
            (iv) ;

    (2) in subsection
            (c) (2) --
        (A) in subparagraph
        (A) --
            (i) in clause
            (ii) , by striking ``the 
 greatest Governmentwide impact; and'' and 
 inserting the following: ``the greatest impact 
 on modernizing, retiring, or replacing Federal 
 legacy information technology systems; and'';
            (ii) by redesignating clauses
            (i) through
            (iii) as clauses
            (ii) through
            (iv) , 
 respectively; and
            (iii) by inserting before clause
            (ii) , as 
 so redesignated, the following new clause:
 ``
            (i) the ability for the head of the 
 agency to ensure repayment of funds transferred 
 from the Fund to the head of the agency, in 
 accordance with subsection

    (b) ;'';
        (B) in subparagraph
            (D) , by striking ``to improve 
 or replace multiple information technology systems'' 
 and inserting the following: ``to modernize, retire, or 
 replace legacy information technology systems under 
 subsection

    (b)

    (3)
        (A)
            (i) ''; and
            (C) in subparagraph
        (F) , by inserting after 
 ``subsection

    (b)

    (6) '' the following: ``or the 
 identification of fraudulent or misleading statements 
 about the project (including fraudulent statements 
 about technical design, the business case, or program 
 management with respect to the project) in the 
 application or proposal for amounts from the Fund for 
 the project''; and
            (D) in subparagraph
        (G) , by inserting after 
 ``operating costs of the Fund'' the following: ``to 
 ensure total amounts in the Fund are no less than the 
 amounts needed to keep the Fund operational until the 
 Fund sunsets pursuant to subsection

    (g)

    (1) '';

    (3) in subsection
            (d) (2) --
        (A) in subparagraph
        (A) , by striking ``subsection

    (b)

    (3)
        (A) and for products, services, and acquisition 
 vehicles funded under subsection

    (b)

    (3)
        (B) '' and 
 inserting ``subsection

    (b)

    (3) '';
        (B) in subparagraph
        (B) , by striking the period at 
 the end and inserting a semicolon; and
            (C) in subparagraph
            (C) , by inserting after ``and 
 reduce waste'' the following: ``and ensure total 
 amounts in the Fund are no less than the amounts needed 
 to keep the Fund operational until the Fund sunsets 
 pursuant to subsection

    (g)

    (1) '';

    (4) by redesignating subsections

    (e) and

    (f) as subsections

    (f) and

    (g) , respectively;

    (5) by inserting after subsection
            (d) the following new 
 subsection:
 ``

    (e) Responsibilities of the Federal Chief Information Officer; 
Agency Chief Information Officers.--
 ``

    (1) Agency inventory.--An agency Chief Information 
 Officer, in coordination with stakeholders and other agency 
 officials, shall provide to the Federal Chief Information 
 Officer--
 ``
        (A) on or before the first September 30 that 
 occurs after the date of the enactment of the 
 Modernizing Government Technology Reform Act, a list of 
 high-risk legacy information technology systems used, 
 operated, or maintained by the agency, in accordance 
 with the guidance issued under paragraph

    (4) ; and
 ``
        (B) on or before September 30 of each year after 
 the first year in which the list is provided under 
 subparagraph
        (A) , any updates to such list.
 ``

    (2) Legacy federal it inventory.--The Federal Chief 
 Information Officer shall--
 ``
        (A) on or before the first December 30 that 
 occurs after the date of the enactment of the 
 Modernizing Government Technology Reform Act, compile a 
 Legacy Federal IT Inventory on the basis of the each 
 list provided by an agency Chief Information Officers 
 under paragraph

    (1)
        (A) that includes information about 
 each high-risk legacy information technology system 
 used, operated, or maintained by an agency; and
 ``
        (B) on or before December 30 each year after the 
 year in which the Legacy Federal IT Inventory is 
 compiled, update such Inventory on the basis of each 
 update to the list provided by an agency Chief 
 Information Officer under paragraph

    (1)
        (B) .
 ``

    (3) Prioritization list.--
 ``
        (A) Requirement.--The Federal Chief Information 
 Officer shall--
 ``
            (i) not later than 90 days after the date 
 on which the Federal Chief Information Officer 
 receives the list required by paragraph

    (1)
        (A) from each agency Chief Information Officer, 
 compile, on the basis of each such list, a list 
 of 10 legacy information technology systems 
 that present the greatest security, privacy, 
 and operational risks to the Federal 
 Government; and
 ``
            (ii) not later than 90 days after the 
 date on which the Federal Chief Information 
 Officer receives updates under paragraph

    (1)
        (B) from each agency Chief Information Officer, 
 update the list required by subparagraph
        (A) on 
 the basis of each updates to the list provided 
 by agency Chief information Officers under 
 paragraph

    (1)
        (B) .
 ``
        (B) Report to congress.--Not later than 14 days 
 after the date on which the Federal Chief Information 
 Officer compiles the list required by subparagraph
        (A) , 
 or updates such list, the Director shall submit to the 
 Committee on Oversight and Government Reform of the 
 House of Representatives, the Committee on Homeland 
 Security and Governmental Affairs of the Senate, and 
 the Comptroller General of the United States, a report 
 (which may include a classified annex) containing--
 ``
            (i) such list (including any update made 
 to such list under subparagraph
        (A)
            (ii) ); and
 ``
            (ii) each list provided by an agency 
 Chief Information Officer under paragraph

    (1)
        (A) (including any update made to any such 
 list under paragraph

    (1)
        (B) ).
 ``

    (4) Guidance.--
 ``
        (A) In general.--Not later than 180 days after 
 enactment of this Act, the Director shall issue 
 guidance on implementing the requirements of this 
 subsection that shall, at a minimum--
 ``
            (i) prescribe an appropriate format for 
 list to be provided under paragraph

    (1)
        (A) ;
 ``
            (ii) prescribe the information to be 
 included in the Legacy Federal IT Inventory 
 required by paragraph

    (2) ;
 ``
            (iii) provide guidance on how an agency 
 Chief Information Officer should identify high-
 risk legacy information technology systems 
 that, at least, requires agency Chief 
 Information Officers, in coordination with 
 other agency stakeholders, to identify as a 
 high risk legacy information technology system 
 any outdated or obsolete system of information 
 technology that is critical to the agency such 
 that the loss or degradation of the system 
 would create a security, operational, or 
 privacy risk to the agency or would otherwise 
 impact the ability of the agency to perform the 
 mission of the agency, effectively deliver 
 programs, or conduct business; and
 ``
            (iv) provide guidance on how existing 
 reporting structures can be used to submit the 
 Legacy Federal IT inventory required by 
 paragraph

    (2) .
 ``
        (B) Updates.--The Director may update the 
 guidance issued under subparagraph
        (A) as the Director 
 determines necessary.
 ``

    (5) === Definitions. ===
-In this subsection:
 ``
        (A) Agency chief information officer.--The term 
 `agency Chief Information Officer' means a Chief 
 Information Officer designated under 

section 3506

    (a)

    (2) of title 44, United States Code.
 ``
        (B) Federal chief information officer.--The term 
 `Federal Chief Information Officer' means the 
 Administrator of the Office of Electronic 
 Government.''; and

    (6) in subsection

    (g)

    (1) , as so redesignated, by striking 
 ``On and after the date that is 2 years after the date on which 
 the Comptroller General of the United States issues the third 
 report required under subsection

    (b)

    (7)
        (B) ,'' and inserting 
 ``After December 31, 2032,''.
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