H.R. 1232, Federal Information Technology Acquisition Reform Act

Cost Estimate
July 25, 2014

As ordered reported by the Senate Committee on Homeland Security and Governmental Affairs on June 25, 2014

H.R. 1232 would amend the laws governing the procurement and management of information technology (IT) systems throughout the federal government. Specifically, the legislation would expand the existing Federal Data Center Consolidation Initiative to require agencies to inventory their data centers (facilities used to house computer systems and associated components) and to submit plans for optimizing their use. In addition, the bill would increase the authority of federal Chief Information Officers (CIOs), and require reports and analysis by government agencies concerning their IT investments.

CBO estimates that implementing H.R. 1232 would cost $30 million over the 2015-2019 period, assuming appropriation of the necessary amounts. Although improving the procurement and management of IT systems, including optimizing the use of federal data centers, ultimately could reduce spending, CBO does not expect that there would be any significant savings from implementing this legislation for the next few years.

Enacting the bill could affect direct spending by agencies not funded through annual appropriations; therefore, pay-as-you-go procedures apply. CBO estimates, however, that any net change in spending by those agencies would not be significant. Enacting the bill would not affect revenues.

H.R. 1232 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would impose no costs on state, local, or tribal governments.