OMB Seeking 10% Agencywide IT Budget Cut for 2014

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The Office of Management and Budget is asking agencies to provide plans for cutting their information technology budget, representing 10 percent of an agency’s fiscal year 2014 overall spending, Federal News Radio reports.

Agencies should also give OMB plans for reinvesting between 5 and 10 percent of those funds in priority IT investments, according to Jason Miller’s story.

IT infrastructure, commodity systems and business systems should provide a majority share of the cuts with reductions in under-performing projects and low-priority investments also contributing, OMB said in a memo obtained by Miller.

Miller reports the federal government could see its IT budget go down $7.7 billion to $66.4 billion in 2014, representing the lowest IT budget since 2006.

Then, agencies received $63.5 billion in IT funding, Miller reports citing OMB documents.

With a five percent reinvestment, governmentwide IT spending would total $69 billion, according to the report.

For fiscal 2013, the White House requested a one percent reduction in IT spending.

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