To require the reduction of the reliance and expenditures of the Federal Government on legacy information technology systems, and for other purposes.
Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.
Summary
What This Bill Does
The Legacy IT Reduction Act of 2023 requires every federal agency to compile a comprehensive inventory of its legacy IT systems within one year, then develop a 5-year modernization plan specifying which systems to update, retire, or dispose of. OMB must issue implementation guidance within 180 days, and GAO must review the program within 3 years. The act explicitly exempts national security systems and prohibits transfer of legacy systems to China.
Who Benefits and How
IT modernization vendors and cloud service providers stand to benefit from increased federal procurement of modern systems as agencies execute modernization plans. Federal agencies themselves benefit from a structured framework to address technical debt. Congressional oversight committees gain visibility into agency IT spending and modernization progress.
Who Bears the Burden and How
Federal agency CIOs and IT departments bear the primary administrative burden of compiling detailed inventories and developing modernization plans. OMB must develop guidance and templates. No new funding is authorized, meaning agencies must fund modernization from existing budgets. The act sunsets after 6 years.
Key Provisions
- Agencies must compile legacy IT inventories within 1 year, refresh every 5 years
- Inventories must include system names, costs, vendor info, and next update dates
- Agencies must develop 5-year modernization plans within 2 years
- OMB must issue implementation guidance within 180 days
- GAO must review implementation within 3 years
- National security systems are exempt
- Transfer of legacy systems to China/CCP explicitly prohibited
- No new funds authorized; act sunsets after 6 years
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.
At a Glance
What This Bill Does
Requires federal agencies to inventory their legacy IT systems and develop 5-year modernization plans, with OMB guidance and GAO oversight, to reduce government reliance and expenditures on outdated technology systems.
Key Policy Areas
Technology, Government Operations
Primary Purpose
Requires federal agencies to inventory their legacy IT systems and develop 5-year modernization plans, with OMB guidance and GAO oversight, to reduce government reliance and expenditures on outdated technology systems.
Policy Domains
Legacy IT Reduction Act of 2023
Identified Gains
Contextual inference, no direct clause citation- IT modernization vendors and cloud providers
- Federal agencies (structured modernization framework)
- Congressional oversight committees (transparency)
Contextual inference, no direct clause citation
Identified Costs
Contextual inference, no direct clause citation- Federal agency CIOs and IT departments
- Office of Management and Budget
- Government Accountability Office
Contextual inference, no direct clause citation
Sponsors
Legislative Progress
ReportedReported by Mr. Peters, with an amendment
Ms. Hassan (for herself and Mr. Cornyn) introduced the following …
Ms. Hassan (for herself, Mr. Cornyn, and Mr. Wyden) introduced …
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Congress, Congressional oversight committees, Federal agencies
Positive-direction: Congress, Congressional oversight committees, Intelligence Community, National security agencies
Negative-direction: Federal agencies, Federal agency CIOs, Government Accountability Office, Office of Electronic Government, Office of Management and Budget
Cloud service providers, IT modernization vendors, Legacy IT vendors
Positive-direction: Cloud service providers, IT modernization vendors
Negative-direction: Legacy IT vendors
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_director"
- → Director of the Office of Management and Budget
- "the_administrator"
- → Administrator of General Services
- "comptroller_general"
- → Comptroller General of the United States
- "chief_information_officer"
- → Agency Chief Information Officers
Key Definitions
Terms defined in this bill
Has the meaning given in section 1076 of the National Defense Authorization Act for Fiscal Year 2018 (40 U.S.C. 11301 note)
Has the meaning given in section 1076 of the NDAA for FY 2018
The fund established under section 1078(b)(1) of the NDAA for FY 2018
Has the meaning given in section 11103 of title 40, United States Code
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology