Over the last five years, the Technology Modernization Fund (TMF) has enabled the evolution of federal agencies and their ability to deliver on the mission. These funds have helped to transform the public sector and given agencies the ability to provide better customer experiences to their constituents. For example, the USDA was able to dramatically improve its services by optimizing their ability to connect with farmers in the field as part of the MIDAS project.
During the last five years, agencies have had access to approximately $100 million worth of funding each, but that all changed in 2021. As part of the Biden Administration’s American Rescue Plan Act, the fund was seeded with $1 billion to enable agencies to go all-in on digital transformation projects in FY22. With the end of 2022 fiscal year approaching, agencies have just under three months to access that funding or it will be reallocated. This means that $756 million remains for agencies to use toward their digital transformation efforts, if they can get their proposals approved in time.
In a recent Daily Scoop podcast, Simon Szykman, Maximus’s Senior Vice President for Client Growth, explained why it’s imperative that agencies apply for those funds.
“You want to use the TMF to pursue some of the things that you might be less likely to get funded through the traditional processes,” Szykman explained. “We don’t know how much money will go into the TMF next year. Raylene Yung said recently at a hearing that they’ve got about $756 million and they’re going to get it all out by the end of the fiscal year. So, they’ve got 7 months basically to do that. But we don’t know what will happen next year.”
Digital transformation is essential for agencies to provide the best customer experience. To help agencies get their proposals in before the deadline and increase the likelihood of getting funded, Szykman shared best practices that IT leaders and financial managers can take when putting together TMF proposals. To learn about these best practices, listen to this podcast.
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