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$1 billion for Technology Modernization Fund

Bottom Line Up Front: The US Government’s tech infrastructure upgrade initiative got a billion bucks in the recent COVID relief bill.

Logo of the Technology Modernization Fund overlaid with lots of "dollar" symbols.
Maybe the dollar signs aren’t part of the official logo.

Who Is The Technology Modernization Fund?

As you can see in their web page, the Technology Modernization Fund (TMF) is a US Government initiative created to upgrade the IT and computer infrastructure for the Feds. Government technology is famously behind the times, obsolete, super slow and super expensive. The was created to bring everything up to date.

Unfortunately, it has suffered from lack of funding, despite the fact that our current COVID situation has made everybody aware of how important a strong internet backbone is.

Enter the 2021 COVID relief bill

Officially known as the American Rescue Plan of 2021, passed just two days ago, the new bill has acres of cash to help America out with COVID. You can read the bill for yourself here.

Among the provisions is money for the US Digital Service and the Technology Modernization Fund. They’re pretty short so I’ll just copy-paste them here:

SEC. 4010. APPROPRIATION FOR THE UNITED STATES DIGITAL SERVICE. In addition to amounts otherwise available, there is appropriated for fiscal year 2021, out of any money in the Treasury not otherwise appropriated, $200,000,000, to remain available until September 30, 2024, for the United States Digital Service.

SEC. 4011. APPROPRIATION FOR THE TECHNOLOGY MODERNIZATION FUND. In addition to amounts otherwise appropriated, there is appropriated to the General Services Administration for fiscal year 2021, out of any money in the Treasury not otherwise appropriated, $1,000,000,000, to remain available until September 30, 2025, to carry out the purposes of the Technology Modernization Fund.

Two hundred million for the USDS, and a billion for the TMF. That’s a pile of cash! Especially when you compare to what the TMF says they’ve been working on so far, $175 million.

How does this affect me?

As a taxpayer, your Government services through the internet are about to get better.

As a Government contractor, expect that the computer landscape is about to change like crazy. Expect cloud to arrive much sooner, 5G to arrive much sooner, and the bar for Government work to go way up.