Omnibus spending measure backs IT spending increases

Increases are centered in the areas of health care and homeland security.

The omnibus fiscal 2008 spending measure under consideration on Capitol Hill would increase spending on health care and homeland security -- particularly border control initiatives -- but would provide less funding for several information technology efforts than President Bush had requested.

Despite the increases, Dave Obey, D-Wis., chairman of the House Appropriations Committee, in a prepared statement, called the massive $516 billion spending bill "totally inadequate to meet the long-term investment needs of the country, but … a whole lot better than the country would have without a Democratic Congress."

Earlier this month, President Bush threatened to veto the bill, which covers the funding for most civilian agencies, saying it increased federal spending too much. The bill, which the House and Senate were considering starting Monday, is a last-ditch effort to come to a compromise with the Bush administration over the fiscal 2008 spending bills before the Dec. 21 expiration of the continuing resolution under which most civilian agencies are operating.

"Time is of the essence," said Ray Bjorklund, chief knowledge officer at McLean, Va.-based market research firm Federal Sources.

Seeking to rein in most domestic spending, the bill reallocates budget dollars to health care and medical research, education, homeland security, law enforcement and energy, either by reinstituting grant programs or ramping up agency budgets.

Information technology funding is a mixed bag in the measure. The Veterans Affairs Department would receive $2 billion in IT spending, a $752 million increase from its 2007 budget. But the business systems modernization program at the Internal Revenue Service, funded largely through the Prime Systems Integration and Services Contract, would receive only $267 million, $15 million below Bush's request.

The House increased the IT budgets for many homeland security and border control efforts, although funds typically were included in existing programs, making it harder to determine if IT projects in each program received increases.

The funding for homeland security is "similar to what we're seeing in [Defense] appropriations" such as for network-centric warfare, said John Slye, manager of federal industry analysis at INPUT, a Reston, Va., research firm. "There's a lot of embedded technology in mission-focused programs, rather than what we consider traditional IT systems. It's definitely in there; it just may take a little digging."

The Transportation Security Administration received large infusions of cash. In addition to the $250 million in mandatory funds provided for checkpoint detection systems under the 9/11 Act, TSA would receive $694 million for explosive detection systems, cargo screening, aviation vulnerability assessments, the transportation worker identification card pilot program and other IT initiatives.

DHS' U.S. Visitor and Immigrant Status Indicator Technology program, which identifies foreign visitors traveling to the United States, would receive $475 million for fiscal 2008, $113 million above its 2007 budget and $13 million above Bush's request. The bill states, however, that $125 million would be withheld until DHS submits a schedule for developing a program to determine when a foreign traveler leaves the country.

"That's not much money for a program of that magnitude, but it does send a message of the requirements and urgency to get on with that program," Bjorklund said.

One DHS program that did not receive as much funding as President Bush had asked for was the Western Hemisphere Travel Initiative, which requires citizens of the United States, Canada, Mexico and Bermuda to show a passport or other approved document that establishes identity and nationality when entering and leaving the United States. The House allocated $225 million for the program, $27 million below the president's request. Other IT efforts the House funded included $27 million for interagency port security operational centers, which would be part of the funding under the Safe Port Act.

While specifics were not provided, the bill includes $210 million for cybersecurity -- $118 million above the 2007 budget.

Particularly noteworthy for state governments was $50 million in grant money that would help them comply with DHS requirements for a nationwide drivers' license standard. No funds were allocated in 2007 or in the president's request. First responder grant programs also would provide $4.1 billion, a percentage of which would be used for interoperable communications.

Passage of the bill will depend on a number of factors, not the least of which is funding for the military operations in Iraq and Afghanistan. The current bill includes $31 billion for Afghanistan, but prohibits funds from being used for operations in Iraq. Once passed in the House, the bill will be debated in the Senate, which most experts agree will add spending for the Iraq war. If so, the bill will return to the House for approval and if passed, go to Bush for his signature.

The delay in passing a 2008 spending bill has left numerous agencies and IT programs in limbo as they operate on 2007 budget levels. Census Bureau officials have claimed that a lack of a fiscal 2008 spending bill has put them behind in preparing for the 2010 census.

"Both sides are so concerned with how much they put toward the war, but the government has to find some way to get on with its business," Bjorklund said. "You can't play these games for too long."