technology investment, as defined in section 
11302 of title 40; or 
‘‘(B) the dollar value of the project is esti-
mated by the Secretary to exceed $500,000,000 
(as adjusted for inflation pursuant to section 
1908 of title 41) for the total life cycle costs of 
the project. 
‘‘(6) The term ‘business owner’ means, with re-
spect to an information technology project, the pro-
gram manager, project manager, or other supervisory 
official of the Department responsible for the project. 
‘‘§ 8172. Management of major information technology 
projects 
‘‘(a) COST, SCHEDULE, AND PERFORMANCE INFORMA-
TION.—(1) The Secretary may not obligate or expend funds 
for any major information technology project that begins 
after the date of the enactment of the Department of Vet-
erans Affairs Information Technology Reform Act of 2021 
unless the Secretary, acting through the Chief Information 
Officer of the Department, submits to the appropriate con-
gressional committees a report containing information on 
the cost, schedule, and performance of such project, as gen-
erated by the business owner of the project. 
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‘‘(2) Each report submitted under paragraph (1) for 
a project shall include, with respect to such project, the fol-
lowing: 
‘‘(A) An estimate of acquisition costs, implemen-
tation costs, and life cycle costs. 
‘‘(B) An intended implementation schedule indi-
cating significant milestones, initial operating capa-
bility, and full operating capability or completion. 
‘‘(C) Key business, functional, and performance 
objectives. 
‘‘(b) BASELINE.—(1) The Secretary shall use the infor-
mation on the cost, schedule, and performance of a major 
information technology project included in the report under 
subsection (a) as the baseline against which changes or 
variances are measured during the life cycle of such project. 
‘‘(2) The Secretary shall— 
‘‘(A) annually update the baseline of a major in-
formation technology project pursuant to subsection 
(c); and 
‘‘(B) include such updated baseline in the docu-
ments providing detailed information on the budget 
for the Department that the Secretary submits to 
Congress in conjunction with the President’s budget 
submission pursuant to section 1105 of title 31. 
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‘‘(c) CHANGES AND VARIANCES.—(1) Not later than 60 
days after the date on which the Secretary identifies a 
change or variance described in paragraph (2) in the cost, 
schedule, or performance of a major information technology 
project, the Secretary, acting through the Chief Information 
Officer, shall submit to the appropriate congressional com-
mittees a notification of such change or variance, including 
a description and explanation for such change or variance. 
‘‘(2) A change or variance in the cost, schedule, or per-
formance of a major information technology project de-
scribed in this paragraph is— 
‘‘(A) with respect to the acquisition, implementa-
tion, or life cycle cost of the project, or development 
increment therein, a change or variance that is 10 
percent or greater compared to the baseline; 
‘‘(B) with respect to the schedule for a develop-
ment increment or for achieving a significant mile-
stone, initial operating capability, or full operating 
capability, or for the final completion of the project, 
a change or variance that is 180 days or greater com-
pared to the baseline; or 
‘‘(C) with respect to the performance, an in-
stance where a key business, functional, or perform-
ance objective is not attained, or is not anticipated to 
be attained, in whole or in part. 
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‘‘(d) MANAGEMENT.—The Secretary shall ensure that 
each major information technology project is managed by 
an interdisciplinary team consisting of the following: 
‘‘(1) A project manager who is— 
‘‘(A) certified in project management at 
level three by the Department, the Federal Acqui-
sition Institute pursuant to section 1201 of title 
41, or the Department of Defense pursuant to 
section 1701a of title 10, or who holds an equiva-
lent certification by a private sector project 
management certification organization, as deter-
mined appropriate by the Secretary; and 
‘‘(B) an employee of the Office of Informa-
tion and Technology of the Department or an 
employee of an element of the Department at 
which the project originates. 
‘‘(2) A functional lead who is an employee of the 
element of the Department at which the project origi-
nates. 
‘‘(3) A technical lead who is an employee of the 
Office of Information and Technology of the Depart-
ment. 
‘‘(4) A contracting officer. 
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‘‘(5) Sufficient other project management, func-
tional, technical, and procurement personnel as the 
Secretary determines appropriate. 
‘‘§ 8173. Information technology activities of the Fi-
nancial Services Center 
‘‘(a) MANAGEMENT.—Consistent with sections 11302 
and 11319 of title 40— 
‘‘(1) the Chief Information Officer of the Depart-
ment shall— 
‘‘(A) exercise authority over the manage-
ment, governance, and oversight processes relat-
ing to existing or proposed information tech-
nology of the Financial Services Center of the 
Department, or such successor office; and 
‘‘(B) supervise the information technology 
employees and contractors of the Financial Serv-
ices Center; and 
‘‘(2) the Director of the Financial Services Cen-
ter of the Department, or the head of such successor 
office, may not enter into a contract or other agree-
ment for information technology or information tech-
nology services unless the contract or other agreement 
has been reviewed and approved by the Chief Infor-
mation Officer. 
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‘‘(b) OVERSIGHT.—The Chief Information Officer shall 
have oversight and operational authority over all informa-
tion security practices of the Financial Services Center of 
the Department. 
‘‘§ 8174. Submission of annual reviews of information 
technology 
‘‘(a) IN GENERAL.—The Secretary, acting through the 
Chief Information Officer of the Department, shall submit 
to the appropriate congressional committees each annual re-
view of the information technology portfolio of the Depart-
ment conducted pursuant to section 11319(d)(3) of title 40. 
‘‘(b) FIRST SUBMISSION.—The first annual review 
submitted under subsection (a) shall include a copy of each 
previous 
annual 
review 
conducted 
under 
section 
11319(d)(3) of title 40. 
‘‘§ 8175. Information technology matters to be in-
cluded in budget justification materials 
for the Department 
‘‘(a) LIST OF INFORMATION TECHNOLOGY PROJECTS 
IN EFFECT.—The Secretary shall ensure that whenever the 
budget justification materials are submitted to Congress in 
support of the Department budget for a fiscal year (as sub-
mitted with the budget of the President for such fiscal year 
under section 1105(a) of title 31), such budget justification 
materials include a list of every information technology 
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project currently in effect at the Department (including not 
only congressional projects and subprojects as determined 
by the Director of the Office of Management and Budget 
or the Secretary). 
‘‘(b) PRIORITIZED LIST OF UNFUNDED PROJECTS.— 
(1) In addition to the list included in the budget justifica-
tion materials required by subsection (a), the Secretary 
shall ensure that the budget justification materials described 
in such subsection also include summary descriptions and 
a prioritized list, in rank order, of every information tech-
nology project of the Department, proposed or intended to 
be proposed for the following one, two, or three fiscal years, 
that is unfunded as of the time of the inclusion of the list 
under this paragraph. 
‘‘(2) In producing the list required by paragraph (1), 
the Secretary shall— 
‘‘(A) ensure such list represents a ranking of all 
proposed information technology projects that reflects 
the needs of all elements of the Department; 
‘‘(B) produce one unified list for the entire De-
partment demonstrating how the various proposed in-
formation technology projects of each of the elements 
of the Department rank in priority with the informa-
tion technology projects of the other elements of the 
Department; and 
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‘‘(vi) The difficulty of the information technology 
project, the likelihood the information technology 
project will be completed, or the risks associated with 
undertaking the information technology project. 
‘‘(vii) Tangible benefits to veterans created or 
produced by the information technology project. 
‘‘(viii) Such other factors as the Secretary con-
siders appropriate. 
‘‘(B) The Secretary shall ensure that each list produced 
under paragraph (1) includes, for each information tech-
nology project included in the list, a brief description of 
the findings of the Secretary with respect to each assessment 
carried out by the Secretary for each factor for the informa-
tion technology project under subparagraph (A). 
‘‘(c) PROJECTED FUNDING NEEDS.—(1) In addition 
to the matters included under subsections (a) and (b), the 
Secretary shall ensure that the budget justification mate-
rials described in subsection (a) also include a projection 
of the one-year, two-year, and three-year funding needs of 
the Department for information technology, disaggregated 
by portfolio and product line of the Department that re-
quires the funding. 
‘‘(2) In addition to the projections under paragraph 
(1), the Secretary shall include a description of the fol-
lowing, with respect to each of the periods set forth in such 
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paragraph, disaggregated by major business line of the De-
partment: 
‘‘(A) The information technology infrastructure 
and equipment requirements. 
‘‘(B) The funding required for development. 
‘‘(C) The funding required for operations and 
maintenance. 
‘‘(D) The funding required by cybersecurity. 
‘‘(E) Such other categories of the information 
technology needs of the Department as the Secretary 
considers relevant and important.’’. 
(b) CLERICAL AMENDMENT.—The table of sections at 
the beginning of such chapter is amended by adding at the 
end the following: 
‘‘SUBCHAPTER VI—INFORMATION TECHNOLOGY PROJECTS AND ACTIVITIES 
‘‘8171. Definitions. 
‘‘8172. Management of major information technology projects. 
‘‘8173. Information technology activities of the Financial Services Center. 
‘‘8174. Submission of annual reviews of information technology. 
‘‘8175. Information technology matters to be included in budget justification mate-
rials for the Department.’’. 
(c) APPLICATION; REPORT.— 
(1) CURRENT AND NEW PROJECTS.—Except as 
specifically provided in subsection (a) of section 8172 
of title 38, United States Code, as added by subsection 
(a) of this section, such section 8172 shall apply with 
respect to major information technology projects that 
begin before, on, or after the date of the enactment of 
this Act. 
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(2) REPORT ON CURRENT PROJECTS.— 
(A) IN GENERAL.—Not later than 90 days 
after the date of the enactment of this Act, the 
Secretary of Veterans Affairs shall submit to the 
appropriate congressional committees a report 
on each major information technology project 
that the Secretary is carrying out as of the date 
of the report. 
(B) 
CONTENTS.—The 
report 
submitted 
under subparagraph (A) shall contain, with re-
spect to each project described in such subpara-
graph, information on the cost, schedule, and 
performance of the project as described in sub-
section (a) of section 8172 of such title, as so 
added. 
(3) DEFINITIONS.—In this subsection, the terms 
‘‘appropriate congressional committees’’ and ‘‘major 
information technology project’’ have the meanings 
given those terms in section 8171 of title 38, United 
States Code, as added by subsection (a) of this section. 
(d) 
EFFECTIVE
DATE
OF
REQUIREMENT
FOR 
PROJECTS IN BUDGET JUSTIFICATION MATERIALS.—Sub-
section (c) of section 8175 of such title, as added by sub-
section (a) of this section, shall take effect on the first Mon-
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day in the second January beginning after the date of the 
enactment of this Act. 
SEC. 3. REPORT ON INFORMATION TECHNOLOGY DASH-
BOARD INFORMATION. 
(a) REPORT.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of Veterans Af-
fairs, acting through the Chief Information Officer of the 
Department of Veterans Affairs, shall submit to the appro-
priate congressional committees a report containing— 
(1) an explanation of the ratings, rankings, and 
risk categorizations used by the Chief Information Of-
ficer pursuant to subparagraph (C) of section 
11302(c)(3) of title 40, United States Code, with re-
spect to the information technology dashboard of the 
Office of Management and Budget developed under 
such section; and 
(2) copies of supporting or explanatory informa-
tion provided by the Chief Information Officer to the 
Office of Management and Budget with respect to sub-
missions by the Chief Information Officer to the infor-
mation technology dashboard for the fiscal year in 
which the report is submitted (other than information 
not otherwise made public pursuant to such section). 
(b) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In section, the term ‘‘appropriate congressional 
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committees’’ has the meaning given such term in section 
8171 of title 38, United States Code, as added by section 
2. 
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Union Calendar No. 374 
117TH CONGRESS 
2D SESSION 
H. R. 2250 
[Report No. 117–492] 
A BILL 
To amend title 38, United States Code, to improve 
the management of information technology 
projects and investments of the Department of 
Veterans Affairs, and for other purposes. 
SEPTEMBER 26, 2022 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
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