In part two of GovTechWorks’ analysis of the Trump Administration’s federal IT modernization plan, we examine the likely guiding impact of the Office of Management and Budget, the manner in which agencies’ infrastructures might change, and the fate of expensive legacy systems.
The White House IT modernization plan released in December seeks a rapid overhaul of IT infrastructure across federal civilian agencies, with an emphasis on redefining the government’s approach to managing its networks and securing its data. Here, in this second part of our two-part analysis, is what you need to know from I to Z (for A-H, click here):
I is for Infrastructure
Modernization boils down to three things: Infrastructure, applications and security. Imagine if every government agency managed its own telephone network or international logistics office, rather than outsourcing such services. IT services are essentially the same. Agencies still need expertise to connect to those services – they still have telecom experts and mail room staff – but they don’t have to manage the entire process.
Special exceptions will always exist for certain military, intelligence (or other specialized) requirements. Increasingly, IT services are becoming commodity services purchased on the open market. Rather than having to own, manage and maintain all that infrastructure, agencies will increasingly buy infrastructure as a service (IaaS) in the cloud — netting faster, perpetually maintained and updated equipment at a lower cost. To bring maximum value – and savings – out of those services, they’ll have to invest in integration and support services to ensure their systems are not only cost effective, but also secure.
J is for JAB, the Joint Authorization Board
The JAB combines expertise at General Services Administration (GSA), Department of Homeland Security (DHS) and the Department of Defense (DOD). It issues preliminary authority to operate (ATO) for widely used cloud services. The JAB will have a definitive role in prioritizing and approving commercial cloud offerings for the highest-risk federal systems.
K is for Keys
The ultimate solution for scanning encrypted data for potential malicious activity is to unencrypt that data for a thorough examination. This involves first having access to encryption keys for federal data and then, securing those keys to ensure they don’t get in the wrong hands. In short, these keys are key to the federal strategy of securing both government data and government networks.
L is for Legacy
The government still spends 70 percent of its IT budget managing legacy systems. That’s down from as much as 85 percent a few years ago, but still too much. In a world where volumes of data continue to expand exponentially and the cost of computer processing power continues to plunge, how long can we afford overspending on last year’s (or last decade’s) aging (and less secure) technology.
M is for Monopsony
A monopoly occurs when one source controls the supply of a given product, service or commodity. A monopsony occurs when a single customer controls the consumption of products, services or commodities. In a classical monopsony, the sole customer dictates terms to all sellers.
Despite its size, the federal government cannot dictate terms to information technology vendors. It can consolidate its purchasing power to increase leverage, and that’s exactly what the government will do in coming years. The process begins with networking services as agencies transition from the old Networx contract to the new Enterprise Information Services vehicle.
Look for it to continue as agencies consolidate purchasing power for commodity software services, such as email, continuous monitoring and collaboration software.
The government may not ultimately wield the full market power of a monopsony, but it can leverage greater negotiating power by centralizing decision making and consolidating purchase and licensing agreements. Look for that to increase significantly in the years ahead.
N is for Networks
Networks used to be the crown jewels of the government’s information enterprise, providing the glue that held systems together and enabling the government to operate. But if the past few years proved anything, it’s that you can’t keep the bad guys out. They’re already in, looking around, waiting for an opportunity.
Networks are essential infrastructure, but will increasingly be virtualized in the future, exist in software and protect encrypted data travelling on commercial fiber and stored much of the time, in commercial data centers (generically referred to as the cloud). You may not keep the bad guys out, but you can control what they get access to.
O is for OMB
The Office of Management and Budget has oversight over much of the modernization plan. The agency is mentioned 127 times in the White House plan, including 47 times in its 50 recommendations. OMB will either be the responsible party or the receiving party, for work done by others on 34 of those 50 recommendations.
P is for Prioritization
Given the vast number of technical, manpower and security challenges that weigh down modernization efforts, prioritizing programs that can deliver the greatest payoff, are essential. In addition, agencies are expected to prioritize and focus their modernization efforts on high-value assets that pose the greatest vulnerabilities and risks. From those lists, by June 30, the DHS must identify six to receive centralized interventions that include staffing and technical support.
The aim is to prioritize where new investment, talent infusions and security policies will make the greatest difference. To maximize that effort, DHS may choose projects that can expand to include other systems and agencies.
OMB must also review and prioritize any impediments to modernization and cloud adoption.
Q is for Quick Start
Technology is not often the most complicated part of many modernization efforts. Finding a viable acquisition strategy that won’t put yesterday’s technology in the government’s hands tomorrow, is often harder. That’s why the report directs OMB to assemble an Acquisition Tiger Team to develop a “quick start” acquisition package to help agencies more quickly license technology and migrate to the cloud.
The aim: combine market research, acquisition plans, readily identified sources and templates for both requests for quotes (RFQs) and Independent Government Cost Estimate (IGCE) calculations — which would be based on completed acquisitions. The tiger team will also help identify qualified small and disadvantaged businesses to help agencies meet set-aside requirements.
R is for Recommendations
There are 50 recommendations in the White House IT modernization report with deadlines ranging from February to August, making the year ahead a busy one for OMB, DHS and GSA, the three agencies responsible for most of the work. A complete list of the recommendations is available here.
T is for the TIC
The federal government developed the Trusted Internet Connection as a means of controlling the number of on and off ramps between government networks and the largely unregulated internet. But in a world now dominated by cloud-based software applications, remote cloud data centers, mobile computing platforms and web-based interfaces that may access multiple different systems to deliver information in context, the TIC needs to be rethought.
“The piece that we struggled with is the Trusted Internet Connections (TIC) initiative – that is a model that has to mature and get solved,” former Federal CIO Tony Scott told Federal News Radio. “It’s an old construct that is applied to modern-day cloud that doesn’t work. It causes performance, cost and latency issues. So the call to double down and sort that out is important. There has been a lot of good work that has happened, but the definitive solution has not been figured out yet.”
The TIC policy is the heart and soul of the government’s perimeter-based security model. Already, some agencies chose to bypass the TIC for certain cloud-based services, such as for Office 365, trusting Microsoft’s security and recognizing that if all that data had to go through an agency’s TIC, performance would suffer.
To modernize TIC capabilities, policies, reference architectures and associated cloud security authorization baselines, OMB must update TIC policies so agencies have a clear path forward to build out data-level protections and more quickly migrate to commercial cloud solutions. A 90-day sprint is to begin in mid-February, during which projects approved by OMB will pilot proposed changes in TIC requirements.
OMB must determine whether all data traveling to and from agency information systems hosted by commercial cloud providers warrants scanning by DHS, or whether only some information needs to be scanned. Other considerations under review: Expanding the number of TIC access points in each agency and a model for determining how best to implement intrusion detection and prevention capabilities into cloud services.
U is for Updating the Federal Cloud Computing Strategy
The government’s “Cloud First” policy is now seven years old. Updates are in order. By April 15, OMB must provide additional guidance on both appropriate use cases and operational security for cloud environments. All relevant policies on cloud migration, infrastructure consolidation and shared services will be reviewed.
In addition, OMB has until June to develop standardized contract language for cloud acquisition, including clauses that define consistent requirements for security, privacy and access to data. Establishing uniform contract language will make it easier to compare and broker cloud offerings and ensure government requirements are met.
V is for Verification
Verification or authentication of users’ identities is at the heart of protecting government information. Are you who you say you are? Key to securing information systems is ensuring that access is granted to only users who can be identified and verified as deserving access.
OMB has until March 1 to issue for public comment new identity policy guidance and to recommend identity service areas suitable for shared services. GSA must provide a business case for consolidating existing identity services to improve usability and drive secure access and enable cloud-based collaboration service that will enhance the ability to easily share and collaborate across agencies, which can be cumbersome today.
W, X, Y, Z is for Wrapping it All Up
The Federal Government is shifting to a consolidated IT model that will change the nature of IT departments and the services they buy. Centralized offerings for commodity IT – whether email, office tools and other common software-as-a-service offerings or virtual desktops and web hosting – will be the norm. As much as possible, the objective is to get agencies on the same page, using the same security services, the same collaboration services, the same data services and make those common (or in some cases shared) across multiple agencies.
Doing so promises to reduce needed manpower and licensing costs by eliminating duplication of effort and increased market leverage to drive down prices. But getting there will not be easy. Integration and security pose unique challenges in a government context, requiring skill, experience and specific expertise. On the government side, policy updates will only solve some of the challenges. Acquisition regulations must also be updated to support wider adoption of commercial cloud products.
Some agencies will need more help than others. Cultural barriers will continue to be major hurdles. Inevitably, staff will have to develop new skills as old ones disappear. Yet even in the midst of all that upheaval, some things don’t change. “In the end, IT modernization is really all about supporting the mission,” says Stan Tyliszczak, chief engineer at systems integrator General Dynamics Information Technology. “It’s about helping government employees complete their work, protecting the privacy of our citizens and ensuring both have timely access to the information and services they need. IT has always made those things better and easier, and modernization is only necessary to continue that process. That much never changes.”