H.R. 2250 — what changed

“VI Information technology projects and activities

“8171. Definitions

“In this subchapter:

“(1) The term appropriate congressional committees means—

changed “(A) the Committees Committee on Veterans’ Veterans' Affairs and the Subcommittee on Military Construction, Veterans Affairs and Related Agencies of the House Committee on Appropriations of Representatives and the Senate; and

changed “(B) the Subcommittees Committee on Veterans’ Affairs and the Subcommittee on Military Construction, Veterans Affairs and Related Agencies of the House Committee on Appropriations of Representatives and the Senate.House of Representatives.

“(2) The term information technology has the meaning given that term in section 11101 of title 40.

changed “(3) The term life cycle costs information technology project means all direct and indirect costs a project or program of the Department (including a project or program of any element of the Department) for, or including, the acquisition or implementation of information technology. In cases where the Secretary transmits to acquire, implement, operate, the Director of the Office of Management and maintain an Budget information regarding information technology system.investments, which may consist of individual or multiple projects, such term refers to an individual project or program or a grouping of multiple projects or programs resulting in the acquisition or implementation of discrete information technology.

changed “(4) The term major information technology project life cycle costs means a project or program of the Department of Veterans Affairs (including a project or program all direct and indirect costs to acquire, implement, operate, and maintain information technology, including with respect to costs of any element of the Department) for, or including, the acquisition or implementation of an information technology system if—Department.

changed “(A) the “(5) The term major information technology project or program is designated—means an information technology project if—

changed “(i) “(A) the project is designated by the Secretary of Veterans Affairs or Secretary, the Chief Information Officer of the Department Department, or the Director of the Office of Management and Budget as a major information technology project; investment, as defined in section 11302 of title 40; or

changed “(ii) by “(B) the Director dollar value of the Office of Management and Budget as a major information technology investment, as defined in project is estimated by the Secretary to exceed $500,000,000 (as adjusted for inflation pursuant to section 11302 1908 of title 40;41) for the total life cycle costs of the project.

changed “(B) the dollar value of “(6) The term “business owner” means, with respect to an information technology project, the program manager, project manager, or program is estimated by other supervisory official of the Secretary to exceed—Department responsible for the project.

removed “(i) $50,000,000 (as adjusted for inflation pursuant to section 1908 of title 41) for all project or program costs in a single fiscal year;

removed “(ii) $200,000,000 (as adjusted for inflation pursuant to section 1908 of title 41) for all project acquisition or implementation costs for the duration of the project or program; or

removed “(iii) $500,000,000 (as adjusted for inflation pursuant to section 1908 of title 41) for the total life cycle costs of the project or program; or

removed “(C) any increment of the project or program separately meets the requirements of subparagraphs (A) or (B).

“8172. Management of major information technology projects

added “(a) Cost, schedule, and performance information

added “(1) The Secretary may not obligate or expend funds for any major information technology project that begins after the date of the enactment of the Department of Veterans Affairs Information Technology Reform Act of 2021 unless the Secretary, acting through the Chief Information Officer of the Department, submits to the appropriate congressional committees a report containing information on the cost, schedule, and performance of such project, as generated by the business owner of the project.

added “(2) Each report submitted under paragraph (1) for a project shall include, with respect to such project, the following:

added “(A) An estimate of acquisition costs, implementation costs, and life cycle costs.

changed “(a) Cost, schedule, “(B) An intended implementation schedule indicating significant milestones, initial operating capability, and performance information—The Secretary of Veterans Affairs may not obligate full operating capability or expend funds for any major information technology project that begins after the date of the enactment of this section unless the Secretary, acting through the Chief Information Officer, submits to the appropriate congressional committees a report containing information on the cost, schedule, and performance of such project. Each such report shall include, with respect to such project, the following:completion.

changed “(1) An estimate of acquisition, implementation, “(C) Key business, functional, and life cycle costs.performance objectives.

removed “(2) An intended implementation schedule indicating significant milestones, initial operating capability, and full operating capability or completion.

removed “(3) Key business, functional, or performance objectives.

“(b) Baseline

“(1) The Secretary shall use the information on the cost, schedule, and performance of a major information technology project included in the report under subsection (a) as the baseline against which changes or variances are measured during the life cycle of such project.

“(2) The Secretary shall—

“(A) annually update the baseline of a major information technology project pursuant to subsection (c); and

“(B) include such updated baseline in the documents providing detailed information on the budget for the Department that the Secretary submits to Congress in conjunction with the President's budget submission pursuant to section 1105 of title 31.

“(c) Changes and variances

“(1) Not later than 60 days after the date on which the Secretary identifies a change or variance described in paragraph (2) in the cost, schedule, or performance of a major information technology project, the Secretary, acting through the Chief Information Officer, shall submit to the appropriate congressional committees a notification of such change or variance, including a description and explanation for such change or variance.

“(2) A change or variance in the cost, schedule, or performance of a major information technology project described in this paragraph is—

added “(A) with respect to the acquisition, implementation, or life cycle cost of the project, or development increment therein, a change or variance that is 10 percent or greater compared to the baseline;

added “(B) with respect to the schedule for a development increment or for achieving a significant milestone, initial operating capability, or full operating capability, or for the final completion of the project, a change or variance that is 180 days or greater compared to the baseline; or

removed “(A) with respect to the acquisition, implementation, or life cycle cost of the project, or an increment therein, a change or variance that is 10 percent or greater compared to the baseline;

removed “(B) with respect to the schedule for achieving a significant milestone, initial operating capability, or final completion of the project, a change or variance that is 180 days or greater compared to the baseline; or

“(C) with respect to the performance, an instance where a key business, functional, or performance objective is not attained, or is not anticipated to be attained, in whole or in part.

added “(d) Management—The Secretary shall ensure that each major information technology project is managed by an interdisciplinary team consisting of the following:

removed “(d) Management—The Secretary shall ensure that each major information technology project is managed by an interdisciplinary team including the following:

“(1) A project manager who is—

added “(A) certified in project management at level three by the Department, the Federal Acquisition Institute pursuant to section 1201 of title 41, or the Department of Defense pursuant to section 1701a of title 10, or who holds an equivalent certification by a private sector project management certification organization, as determined appropriate by the Secretary; and

removed “(A) certified in project management at level three by the Department or the Department of Defense pursuant to section 1701a of title 10, or who holds an equivalent certification by a private sector project management certification organization, as determined appropriate by the Secretary; and

“(B) an employee of the Office of Information and Technology of the Department or an employee of an element of the Department at which the project originates.

“(2) A functional lead who is an employee of the element of the Department at which the project originates.

“(3) A technical lead who is an employee of the Office of Information and Technology of the Department.

“(4) A contracting officer.

“(5) Sufficient other project management, functional, technical, and procurement personnel as the Secretary determines appropriate.

“8173. Information technology activities of the Financial Services Center

“(a) Management—Consistent with sections 11302 and 11319 of title 40—

“(1) the Chief Information Officer of the Department shall—

added “(A) exercise authority over the management, governance, and oversight processes relating to existing or proposed information technology of the Financial Services Center of the Department, or such successor office; and

removed “(A) exercise authority over the management, governance, and oversight processes relating to information technology of the Financial Services Center of the Department, or such successor office; and

“(B) supervise the information technology employees and contractors of the Financial Services Center; and

“(2) the Director of the Financial Services Center of the Department, or the head of such successor office, may not enter into a contract or other agreement for information technology or information technology services unless the contract or other agreement has been reviewed and approved by the Chief Information Officer.

“(b) Oversight—The Chief Information Officer shall have oversight and operational authority over all information security practices of the Financial Services Center of the Department.

“8174. Submission of annual reviews of information technology

added “(a) In general—The Secretary, acting through the Chief Information Officer of the Department, shall submit to the appropriate congressional committees each annual review of the information technology portfolio of the Department conducted pursuant to section 11319(d)(3) of title 40.

added “(b) First submission—The first annual review submitted under subsection (a) shall include a copy of each previous annual review conducted under section 11319(d)(3) of title 40.

changed “The Secretary, acting through the Chief “8175. Information Officer, shall submit to the appropriate congressional committees each annual review of the information technology portfolio of the Department conducted pursuant matters to section 11319(d)(3) of title 40. The first such annual review so submitted shall include a copy of each previous annual review conducted under such section.”be included in budget justification materials for the Department

added “(a) List of information technology projects in effect—The Secretary shall ensure that whenever the budget justification materials are submitted to Congress in support of the Department budget for a fiscal year (as submitted with the budget of the President for such fiscal year under section 1105(a) of title 31), such budget justification materials include a list of every information technology project currently in effect at the Department (including not only congressional projects and subprojects as determined by the Director of the Office of Management and Budget or the Secretary).

added “(b) Prioritized list of unfunded projects

added “(1) In addition to the list included in the budget justification materials required by subsection (a), the Secretary shall ensure that the budget justification materials described in such subsection also include summary descriptions and a prioritized list, in rank order, of every information technology project of the Department, proposed or intended to be proposed for the following one, two, or three fiscal years, that is unfunded as of the time of the inclusion of the list under this paragraph.

added “(2) In producing the list required by paragraph (1), the Secretary shall—

added “(A) ensure such list represents a ranking of all proposed information technology projects that reflects the needs of all elements of the Department;

added “(B) produce one unified list for the entire Department demonstrating how the various proposed information technology projects of each of the elements of the Department rank in priority with the information technology projects of the other elements of the Department; and

added “(C) ensure that the list—

added “(i) does not disaggregate and rank information technology projects based on element of the Department; and

added “(ii) does identify the element of the Department requesting the information technology project.

added “(3)

added “(A) In producing each list under paragraph (1), the Secretary shall prioritize and rank each information technology project based on an assessment of each of the following factors:

added “(i) Degree of collaboration between business owners and the Chief Information Officer with respect to joint functional-technical planning, requirements, and management.

added “(ii) Operational or efficiency benefits to employees of the Department created or produced by the information technology project.

added “(iii) The life cycle cost of the information technology project.

added “(iv) The cost savings or cost avoidance yielded by the information technology project.

added “(v) Time to completion of the information technology project.

added “(vi) The difficulty of the information technology project, the likelihood the information technology project will be completed, or the risks associated with undertaking the information technology project.

added “(vii) Tangible benefits to veterans created or produced by the information technology project.

added “(viii) Such other factors as the Secretary considers appropriate.

added “(B) The Secretary shall ensure that each list produced under paragraph (1) includes, for each information technology project included in the list, a brief description of the findings of the Secretary with respect to each assessment carried out by the Secretary for each factor for the information technology project under subparagraph (A).

added “(c) Projected funding needs

added “(1) In addition to the matters included under subsections (a) and (b), the Secretary shall ensure that the budget justification materials described in subsection (a) also include a projection of the one-year, two-year, and three-year funding needs of the Department for information technology, disaggregated by portfolio and product line of the Department that requires the funding.

added “(2) In addition to the projections under paragraph (1), the Secretary shall include a description of the following, with respect to each of the periods set forth in such paragraph, disaggregated by major business line of the Department:

added “(A) The information technology infrastructure and equipment requirements.

added “(B) The funding required for development.

added “(C) The funding required for operations and maintenance.

added “(D) The funding required by cybersecurity.

added “(E) Such other categories of the information technology needs of the Department as the Secretary considers relevant and important.”