TMF’s New Direction: Velocity, Value, and Viability

Original broadcast 5/18

Presented by Rancher Government Solutions

The federal government’s Technology Modernization Fund (TMF) is evolving—and so is the conversation around its value, structure, and long-term impact. On this week’s Fed Gov Today, former Department of Labor CIO Gundeep Ahluwalia and former Office of Personnel Management CIO Melvin Brown shared lessons learned and forward-looking insights on how the TMF can continue to be a meaningful catalyst for digital transformation.

The latest policy shift—requiring full repayment for future TMF awards—has sparked renewed debate. Ahluwalia, now EVP and Chief Innovation Officer at New Access, downplayed the significance of the repayment change. In his experience, successful TMF projects naturally repay themselves through efficiency gains. He emphasized that the true strength of the fund lies in its ability to force agencies to rethink old processes, adopt commercial technologies, and drive operational consolidation.

Brown, now a consultant with the Contract Administration Network International, welcomed the fund’s continued support but expressed concern that the full repayment requirement could discourage smaller agencies from applying. He pointed out that such agencies often lack the budgetary flexibility to commit to long-term repayments, especially when future appropriations are uncertain. While at OPM, his team used TMF funds to accelerate zero trust adoption and lay the foundation for full digital transformation of retirement services. Those efforts were part of a strategic roadmap—but success hinged on sustained funding, not one-off injections.

Both leaders stressed that velocity must be a core goal of modernization—getting tools and services into production quickly, with measurable impact. Ahluwalia suggested TMF operate more like a “shark tank,” with fast funding cycles and six-week turnaround expectations. Brown added that modernization isn’t just a technology issue—it’s about evolving the business of IT. That includes establishing capital funds, securing transfer authority from Congress, and integrating frameworks like Scaled Agile to unify mission and tech stakeholders.

When it comes to project selection, both men agreed that business value should drive every decision. Ahluwalia pointed to a visa digitization project as an example: transforming a paper-based process into a digital experience shaved weeks off the timeline for American industries reliant on seasonal workers. Brown underscored the importance of scalability, advocating for solutions that can serve millions—not just a few thousand users. And both emphasized that funding should follow function—prioritizing investments that solve real problems, not just modernize for modernization’s sake.

Their bottom line: the TMF must continue to be bold and strategic. That means embracing enterprise-wide outcomes, supporting agencies of all sizes, and funding efforts that deliver visible results to citizens.

Takeaways:

• Focus TMF applications on high-value, high-impact projects that deliver clear citizen benefits.

• Agencies need flexible, predictable funding streams to support modernization and repayment plans.

• Bureaucracy should be redesigned around proven commercial tools—not the other way around.