IT Modernization Funding Falls in FY20 WH Budget, Report Says

While Federal government IT spending may hold steady in the White House’s budget proposal for fiscal year 2020, funding for modernization initiatives is expected to fall, according to a report from Bloomberg Government.

President Trump’s budget proposal for FY2020 includes $14.5 billion for development, modernization, and enhancement (DME), a drop from $15.6 billion allocated for DME in the final budget for FY2019.

While agencies will see a slight drop in modernization funding, operations and maintenance budgets are slated to increase from $52.2 billion, to $54.7 billion, making up 79 percent of the planned IT budget for FY20.

The White House budget proposal is just that – a proposal – but it informs appropriations legislation that will be coming in Congress. Discussing the potential of a Federal employee pay freeze in FY2020, also included in the White House budget proposal, Rep. Gerry Connolly, D-Va., told MeriTalk earlier this year that the White House proposal was “dead on arrival.” However, it does reflect the official requests from Federal agencies, and serves as a starting point for funding discussions.

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