MGT Act

Modernizing Government Technology Act of 2016 or the MGT Act This bill establishes in each covered agency (specified agencies for which there are Chief Financial Officers) an information technology system modernization and working capital fund for necessary expenses for the agency to: improve, retire, or replace existing information technology systems to improve efficiency and effectiveness; transition to cloud computing or to information technology systems shared by multiple agencies; assist and support efforts to provide adequate, risk-based, and cost-effective information technology capabilities that address evolving threats to information security; and reimburse amounts transferred from the Information Technology Modernization Fund (ITMF) (established under this bill). Each agency shall prioritize amounts within such fund to be used initially for cost savings activities approved by the agency's Chief Information Officer. The bill establishes the ITMF for technology related activities, to improve information technology, and to enhance cybersecurity across the federal government. The ITMF shall be administered by the General Services Administration (GSA) in accordance with guidance established by, and with the concurrence of, the Office of Management and Budget (OMB). The GSA shall: transfer amounts from the ITMF to an agency to improve, retire, or replace existing information technology systems to enhance cybersecurity and improve efficiency and effectiveness; use amounts in the ITMF for the development, operation, and procurement of information technology products, services, and acquisition vehicles for use by agencies to improve efficiency and cybersecurity; and use amounts in the ITMF to provide services or work performed in support of such activities. An agency shall: (1) reimburse the ITMF for any such transfer, and (2) pay a price to be fixed by the GSA forany such product or service the agency uses. The bill establishes an Information Technology Modernization Board, which shall: (1) evaluate proposals submitted by agencies for modernization of information technology used by the government; (2) make recommendations to the GSA to assist agencies in the further development and refinement of select proposals; and (3) monitor progress and performance in executing approved projects and, if necessary, recommend the suspension or termination of funding. The GSA shall support Board activities and provide technical support to, and oversight of, agencies that receive transfers from the ITMF.