Clinger-Cohen Act
Encyclopedia
The Clinger–Cohen Act formerly the Information Technology Management Reform Act of 1996 (ITMRA), is a 1996 United States federal law, designed to improve the way the federal government
acquires, uses and disposes information technology
(IT).
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 Clinger–Cohen Act of 1996 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 Clinger–Cohen 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 OMB's mandate for consistency between both federal and agency ITA's, 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."
(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 Clinger–Cohen Act provides that the government information technology
shop be operated exactly 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 Clinger–Cohen 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 Clinger–Cohen 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.
, R-Pa., and Senator William Cohen
, R-Maine.
To provide agencies with guidance on implementing the Clinger–Cohen Act, the Office of Management and Budget (OMB) in April 2000 distributed a so called "OMB Circular A-130
" about the management of Federal Information Resources. This circular incorporated some other memoranda:
as well as new material.
for Fiscal Year 1996, which is organized in five divisions:
Division A — Department of Defense Authorizations. Division B — Military Construction Authorizations. Division C — Department of Energy National Security Authorizations and Other Authorizations. Division D — Federal Acquisition Reform. Division E — Information Technology Management
This public law was intent 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.
Information technology
Information resources
Information resources management
Information system
Information technology architecture
Use of Information Technology in Federal programs
Use of budget process
Information Technology Standards
Use of Best Practices in Acquisition
Assessment of other models for managing Information Technology
Other tasks are about the comparisment of agency uses of IT, training, Informing Congress, and procurement policies.
Design of Process
Content of Process
Performance and Result-based Management
Acquisition of Information Technology
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:
In the Department of Defense
, the Assistant Secretary of Defense for Networks & Information Integration
(or ASD(NII)) has been designated as the DoD Chief Information Officer
and provides management and oversight of all DoD information technology, including national security systems.
Federal government of the United States
The federal government of the United States is the national government of the constitutional republic of fifty states that is the United States of America. The federal government comprises three distinct branches of government: a legislative, an executive and a judiciary. These branches and...
acquires, uses and disposes information technology
Information technology
Information technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
(IT).
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:
- focusing information resource planning to support their strategic missions;
- implementing a capital planning and investment control process that links to budget formulation and execution; and
- rethinking and restructuring the way they do their work before investing in information systems.
The Clinger–Cohen Act of 1996 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 Clinger–Cohen 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 OMB's mandate for consistency between both federal and agency ITA's, in 1999 the US Federal CIO Council initiated the Federal Enterprise Architecture
Federal Enterprise Architecture
A federal enterprise architecture is the enterprise architecture of a federal government. It provides a common methodology for information technology acquisition, use, and disposal in the Federal government....
, 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 OfficerChief information officer
Chief information officer , or information technology director, is a job title commonly given to the most senior executive in an enterprise responsible for the information technology and computer systems that support enterprise goals...
(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:
- help control system development risks;
- better manage technology spending; and
- succeed in achieving real, measurable improvements in agency performance.
The Clinger–Cohen Act provides that the government information technology
Information technology
Information technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
shop be operated exactly 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
Chief information officer
Chief information officer , or information technology director, is a job title commonly given to the most senior executive in an enterprise responsible for the information technology and computer systems that support enterprise goals...
's leadership in implementing this statute.
The Clinger–Cohen Act emphasizes an integrated framework
Conceptual framework
A conceptual framework is used in research to outline possible courses of action or to present a preferred approach to an idea or thought. For example, the philosopher Isaiah Berlin used the "hedgehogs" versus "foxes" approach; a "hedgehog" might approach the world in terms of a single organizing...
of technology
Technology
Technology is the making, usage, and knowledge of tools, machines, techniques, crafts, systems or methods of organization in order to solve a problem or perform a specific function. It can also refer to the collection of such tools, machinery, and procedures. The word technology comes ;...
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 Clinger–Cohen 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
Paperwork Reduction Act
The Paperwork Reduction Act of 1980, Pub. L. No. 96-511, 94 Stat. 2812 , codified in part at Subchapter I of Chapter 35 of Title 44 of the United States Code, through , is a United States federal law enacted in 1980 that gave authority over the collection of certain information to the Office of...
(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 is later renamed "Clinger-Cohen Act" for its co-sponsors, Rep. William ClingerWilliam F. Clinger, Jr.
William Floyd "Bill" Clinger, Jr. is a former Republican member of the U.S. House of Representatives from Pennsylvania.Clinger was born in Warren, Pennsylvania. He attended the public schools there and graduated from The Hill School, Pottstown, Pennsylvania in 1947. He received a B.A. from The...
, R-Pa., and Senator William Cohen
William Cohen
William Sebastian Cohen is an author and American politician from the U.S. state of Maine. A Republican, Cohen served as Secretary of Defense under Democratic President Bill Clinton.-Early life and education:...
, R-Maine.
To provide agencies with guidance on implementing the Clinger–Cohen Act, the Office of Management and Budget (OMB) in April 2000 distributed a so called "OMB Circular A-130
OMB Circular A-130
OMB Circular A-130, titled Management of Federal Information Resources, is one of many Government circulars produced by the United States Federal Government to establish policy for executive branch departments and agencies....
" about the management of Federal Information Resources. This circular incorporated some other memoranda:
- M–96–20, "Implementation of the Information Technology Management Reform Act of 1996"
- M–97–02, "Funding Information Systems Investments"
- M–97–16, "Information Technology Architecture",
as well as new material.
National Defense Authorization Act for Fiscal Year 1996
This "Information Technology Management Reform Act" was part of the National Defense Authorization ActNational Defense Authorization Act
The National Defense Authorization Act is the name of a United States federal law that has been enacted for each of the past 48 fiscal years to specify the budget and expenditures of the United States Department of Defense.-See also:...
for Fiscal Year 1996, which is organized in five divisions:
Division A — Department of Defense Authorizations. Division B — Military Construction Authorizations. Division C — Department of Energy National Security Authorizations and Other Authorizations. Division D — Federal Acquisition Reform. Division E — Information Technology Management
This public law was intent 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 Clinger–Cohen Act itself some terms have been explicitly defined:Information technology
- The term Information TechnologyInformation technologyInformation technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
, with respect to an executive agency means any equipment or interconnected system or subsystem of equipment, that is used in the automatic acquisition, storage, manipulation, management, movement, control, display, switching, interchange, transmission, or reception of data or information by the executive agency. For purposes of the preceding sentence, equipment is used by an executive agency if the equipment is used by the executive agency directly or is used by a contractor under a contract with the executive agency which (i) requires the use of such equipment, or (ii) requires the use, to a significant extent, of such equipment in the performance of a service or the furnishing of a product.
- Information technology includes computers, ancillary equipment, software, firmware and similar procedures, services (including support services), and related resources. It does include any equipment that is acquired by a Federal contractor incidental to a Federal contract.
Information resources
- The term Information Resources means information and related resources, such as personnel, equipment, funds, and information technology.
Information resources management
- The term Information Resources Management means the process of managing information resources to accomplish agency missions and to improve agency performance, including through the reduction of information collection burdens on the public.
Information system
- The term information systemInformation systemAn information system - or application landscape - is any combination of information technology and people's activities that support operations, management, and decision making. In a very broad sense, the term information system is frequently used to refer to the interaction between people,...
means a discrete set of information resources organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information.
Information technology architecture
- The term Information Technology ArchitectureInformation Technology ArchitectureInformation Technology Architecture is the process of development of methodical information technology specifications, models and guidelines, using a variety of Information Technology notations, for example UML, within a coherent Information Technology architecture framework, following formal and...
, with respect to an executive agency, means an integrated framework for evolving or maintaining existing information technology and acquiring new information technology to achieve the agency’s strategic goals and information resources management goals.
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:Use of Information Technology in Federal programs
- The OMB Director is responsibile for improving the acquisition, use, and disposal of information technology by the Federal GovernmentFederal governmentThe federal government is the common government of a federation. The structure of federal governments varies from institution to institution. Based on a broad definition of a basic federal political system, there are two or more levels of government that exist within an established territory and...
. The Directory 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.
Use of budget process
- The OMB Director shall develop, as part of the budget process, a process for analyzing, tracking, and evaluating the risks and results of all major capital investments made by an executive agency for information systems. The process shall cover the life of each system and shall include explicit criteria for analyzing the projected and actual costs, benefits, and risks associated with the investments.
Information Technology Standards
- The OMB Director shall oversee the development and implementation of standards and guidelines pertaining to Federal computer systems by the Secretary of Commerce through the National Institute of Standards and TechnologyNational Institute of Standards and TechnologyThe National Institute of Standards and Technology , known between 1901 and 1988 as the National Bureau of Standards , is a measurement standards laboratory, otherwise known as a National Metrological Institute , which is a non-regulatory agency of the United States Department of Commerce...
.
Use of Best Practices in Acquisition
- The OMB Director shall encourage the heads of the executive agencies to develop and use the best practices in the acquisition of information technology.
Assessment of other models for managing Information Technology
- The OMB Director shall assess, on a continuing basis, the experiences of executive agencies, State and local governments, international organizations, and the private sector in managing information technology.
Other tasks are about the comparisment 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:- to evaluate the information resources management practices of the executive agencies with respect to the performance and results of the investments made by the executive agencies in information technology.
- to issue the head of each executive agency to:
- establish effective and efficient capital planning processes for selecting, managing, and evaluating the results of all of its major investments in information systems;
- determine, before making an investment in a new information system:
- whether the function to be supported by the system should be performed by the private sector and, if so, whether any component of the executive agency performing that function should be converted from a governmental organization to a private sector organization;
- whether the function should be performed by the executive agency and, if so, whether the function should be performed by a private sector source under contract or by executive agency personnel;
- analyze the missions of the executive agency and, based on the analysis, revise the executive agency’s mission-related processes and administrative processes, as appropriate, before making significant investments in information technology to be used in support of those missions;
- ensure that the information security policies, procedures, and practices are adequate.
- guidance for undertaking efficiently and effectively interagency and Government-wide investments in information technology
- periodic reviews of selected information resources management activities of the executive agencies
- to enforce accountability of the head of an executive agency for information resources management
Executive Agencies
The head of each US Federal executive agency shall comply with several specific matters. A selection.Design of Process
- Each executive agency shall design and implement in the executive agency a process for maximizing the value and assessing and managing the risks of the information technology acquisitions of the executive agency.
Content of Process
- The process of an executive agency shall
- provide for the selection of information technology investments to be made by the executive agency, the management of such investments, and the evaluation of the results of such investments;
- be integrated with the processes for making budget, financial, and program management decisions within the executive agency;
- include minimum criteria to be applied in considering whether to undertake a particular investment in information systems, including criteria related to the quantitatively expressed projected net, risk-adjusted return on investment and specific quantitative and qualitative criteria for comparing and prioritizing alternative information systems investment projects;
- provide for identifying information systems investments that would result in shared benefits or costs for other Federal agencies or State or local governments;
- provide for identifying for a proposed investment quantifiable measurements for determining the net benefits and risks of the investment; and
- provide the means for senior management personnel of the executive agency to obtain timely information regarding the progress of an investment in an information system, including a system of milestones for measuring progress, on an independently verifiable basis, in terms of cost, capability of the system to meet specified requirements, timeliness, and quality.
Performance and Result-based Management
- The head of an executive agency shall (1) establish goals for improving the efficiency and effectiveness of agency operations. (2) prepare an annual report, (3) ensure that performance measurements (4) comparable with processes and organizations in the public or private sectors (5) analyze the missions, and (6) ensure that the information security policies, procedures, and practices of the executive agency are adequate.
Acquisition of Information Technology
- The authority of the head of an executive agency to conduct an acquisition of information technology includes several general and specific authorities.
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
E-Government Act of 2002
The E-Government Act of 2002 , is a United States statute enacted on December 17, 2002, with an effective date for most provisions of April 17, 2003...
. 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:
- Capital Planning and Investment ControlCapital Planning and Investment ControlCapital Planning and Investment Control is a structured, integrated approach to managing information technology investments. It is the primary process for making investment decisions, assessing investment process effectiveness, and refining investment related policies and procedures...
(CPIC); - Performance- And Results-Based Management;
- Agency Chief Information OfficerChief information officerChief information officer , or information technology director, is a job title commonly given to the most senior executive in an enterprise responsible for the information technology and computer systems that support enterprise goals...
(CIO) responsibilities; and - Accountability.
In the Department of Defense
United States Department of Defense
The United States Department of Defense is the U.S...
, the Assistant Secretary of Defense for Networks & Information Integration
Assistant Secretary of Defense for Networks & Information Integration
The Assistant Secretary of Defense for Networks & Information Integration provides management and oversight of all DoD information technology, including national security systems...
(or ASD(NII)) has been designated as the DoD Chief Information Officer
Chief information officer
Chief information officer , or information technology director, is a job title commonly given to the most senior executive in an enterprise responsible for the information technology and computer systems that support enterprise goals...
and provides management and oversight of all DoD information technology, including national security systems.
See also
- Department of Defense Architecture FrameworkDepartment of Defense Architecture FrameworkThe Department of Defense Architecture Framework is an architecture framework for the United States Department of Defense, that provides structure for a specific stakeholder concern through viewpoints organized by various views....
- Financial Management StandardFinancial Management StandardThe Financial Management Standard 1997 is a state law of the Queensland Government empowered by the Financial Administration and Audit Act 1977 ...
- Federal Enterprise ArchitectureFederal Enterprise ArchitectureA federal enterprise architecture is the enterprise architecture of a federal government. It provides a common methodology for information technology acquisition, use, and disposal in the Federal government....
- Federal Information Security Management Act of 2002Federal Information Security Management Act of 2002The Federal Information Security Management Act of 2002 is a United States federal law enacted in 2002 as Title III of the E-Government Act of 2002 . The act recognized the importance of information security to the economic and national security interests of the United States...