Information Technology Management Reform Act of 1996
The Information Technology Management Reform Act of 1996 is a United States federal law, designed to improve the way the federal government acquires, uses and disposes information technology (IT). It was passed as Division E of the National Defense Authorization Act for Fiscal Year 1996 (; ). Together with the Federal Acquisition Reform Act of 1996, it is known as the Clinger–Cohen Act. The Clinger–Cohen Act supplements the information resources management policies by establishing a comprehensive approach for executive agencies to improve the acquisition and management of their information resources, by: The Act  directed the development and maintenance of Information Technology Architectures (ITAs) by federal agencies to maximize the benefits of information technology (IT) within the Government. In subsequent guidance on implementing the Act, the Office of Management and Budget stipulated that agency ITA's "...should be consistent with Federal, agency, and bureau information architectures.." In keeping with this mandate, in 1999 the US Federal CIO Council initiated the Federal Enterprise Architecture, essentially a federal-wide ITA that would "... develop, maintain, and facilitate the implementation of the top-level enterprise architecture for the Federal Enterprise." Overview. In February 1996, Congress enacted the Clinger –Cohen Act to reform and improve the way Federal agencies acquire and manage IT resources. Central to implementing these reforms is the need to establish effective IT leadership within each agency. The law requires each agency head to establish clear accountability for IT management activities by appointing an agency chief information officer (CIO) with the visibility and management responsibilities necessary to carry out the specific provisions of the Act. The CIO plays a critical leadership role in driving reforms to: The Act provides that the government information technology shop be operated as an efficient and profitable business would be operated . Acquisition, planning and management of technology must be treated as a "capital investment." While the law is complex, all consumers of hardware and software in the Department should be aware of the chief information officer's leadership in implementing this statute. The Act emphasizes an integrated framework of technology aimed at efficiently performing the business of the Department. Just as few businesses can turn a profit by allowing their employees to purchase anything they want to do any project they want, the Department also cannot operate efficiently with hardware and software systems purchased on an "impulse purchase" basis and  installed without an overall plan. All facets of capital planning are taken into consideration just as they would be in private industry. The Act assigns the Director of the Office of Management and Budget (OMB) responsibility for improving the acquisition, use, and disposal of information technology by the federal government. The Director should aim to improve the productivity, efficiency, and effectiveness of federal programs, including through dissemination of public information and the reduction of information collection burdens on the public. The Act supplements the information resources management (IRM) policies contained in the Paperwork Reduction Act (PRA) by establishing a comprehensive  approach to improving the acquisition and management of agency information systems through work process redesign, and by linking planning and investment strategies to the budget process. History. The "Information Technology Management Reform Act" of 1996 was later renamed "Clinger-Cohen Act" for its co-sponsors, Rep. William Clinger, R-PA., and Senator William Cohen, R-ME. To provide agencies with guidance on implementing the Clinger–Cohen Act, the Office of Management and Budget (OMB) in April 2000 distributed an "OMB Circular A-130" about the management of Federal Information Resources. This circular incorporated some other memoranda: as well as new material  including; Clinger-Cohen Act topics. National Defense Authorization Act for Fiscal Year 1996. This "Information Technology Management Reform Act" was part of the National Defense Authorization Act for Fiscal Year 1996, which is organized in five divisions: This public law was intended to authorize appropriations for fiscal year 1996 for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe personnel strengths for such fiscal year for the Armed Forces, to reform acquisition laws and information technology management of the Federal Government, and for other purposes. Definitions. In the  Act, some terms have been explicitly defined: Director of the Office of Management and Budget. Clinger–Cohen Act assigns the Director of the Office of Management and Budget (OMB) some ten tasks. The following list represents a selection: Other tasks are about the comparison of agency uses of IT, training, Informing Congress, and procurement policies. Performance-based and results-based management. Director of the Office of Management and Budget (OMB) shall encourage the use of performance-based and results-based management in fulfilling the responsibilities assigned. OMB's Director is tasked with the following responsibilities: Executive Agencies. The head of  each US Federal executive agency shall comply with several specific matters. A selection. Applications. The CCA generated a number of significant changes in the roles and responsibilities of various federal agencies in managing acquisition of IT. It elevated overall responsibility to the Director of the Office of Management and Budget (White House). OMB set forth guidelines that must be followed by agencies. At the agency level, IT management must be integrated into procurement, and procurement of commercial-off-the-shelf technology was encouraged. CCA required each agency to name a Chief Information Officer (CIO) with the responsibility of "developing, maintaining , and facilitating the implementation of a sound and integrated information technology architecture". The CIO is tasked with advising the agency director and senior staff on all IT issues. Since these rules went into effect, the agency CIOs also have worked together to form the US Federal CIO Council. Initially an informal group, the council's existence became codified into law by Congress in the E-Government Act of 2002. Official duties for the council include developing recommendations for government information technology management policies, procedures, and standards; identifying opportunities to share information resources; and assessing and addressing the needs of the  Federal Government's IT workforce. In general, National Security Systems (NSS), as defined in 40 USC 11103, are exempt from the Act. However, there are specific exceptions to this exemption regarding: Raines' Rules. Following the Clinger–Cohen Act, White House budget director Franklin Raines issued a supplementary policy memorandum, M-97-02, in 1996 that became known as "Raines' Rules". The memorandum specified the following eight investment criteria for new IT projects: