Reed Smith Client Alerts

The House Oversight and Government Reform Committee recently passed, with unanimous support, the revised “Modernizing Government Technology Act.” The bill is designed to modernize federal IT infrastructure and to reduce wasteful government spending on the maintenance of existing “legacy” IT systems. A House vote on the legislation is anticipated this month. The bill has bipartisan and bicameral support, and is joined by the Trump administration’s recent IT modernization efforts, such as the creation of the White House Office of American Innovation and the American Technology Council. Technology companies doing business with the government, in any industry, should expect the MGT Act to accelerate agency efforts to modernize their IT systems. Agencies will be afforded the opportunity to tailor the modernization efforts to their specific needs. Contractors can expect an increase in RFIs and RFPs related to this modernization effort upon passage of the MGT Act.
On April 28, 2017, Rep. Will Hurd (R-Texas), Chairman of the House Information Technology Subcommittee, reintroduced H.R. 2227, the “Modernizing Government Technology Act” or “MGT Act.” The legislation previously was introduced in 2016 when it passed the House of Representatives but stalled in the Senate because of cost concerns. The revised legislation comes with a significantly lower estimated cost because of restructured funding, and has gained bipartisan and bicameral support. Indeed, the bill swiftly cleared the House Oversight and Government Reform Committee without objection on May 2, 2017. It will head to the floor of the House of Representatives for a vote in the coming weeks.