February 3, 2026
The Technology Modernization Fund continues to stand out as one of the federal government’s most enduring and bipartisan tools for improving IT, and former Federal CIOs Suzette Kent and Tony Scott make clear why during their conversation on Fed Gov Today with Francis Rose. As Congress prepares to revive the TMF with new funding under the latest budget agreement, both leaders reflect on its origins, evolution, and ongoing value for agencies across government.
Kent and Scott, who both helped shape the TMF during their tenures as Federal CIO, emphasize that the fund consistently delivers results, even as administrations change. Kent notes that the TMF has moved through multiple CIOs and political transitions while continuing to support meaningful technology investments. She points to more than $1 billion invested across 70 projects at 34 agencies, describing the TMF as a rare example of continuity in federal IT modernization.
Scott agrees, saying the core elements of the fund remain intact and effective. He explains that the TMF was designed to support longer-term investments that agencies often struggle to fund through traditional budget processes. Many agencies, he says, are focused on simply keeping systems running, leaving little room to modernize. The TMF creates space for those necessary but challenging projects, especially when senior agency leadership is actively involved.
Both leaders describe how the TMF improves over time. Scott explains that early expectations around full repayment evolve as reality sets in. While some projects can repay the fund, others cannot do so quickly—or at all—yet remain critical to agency missions. Adjusting expectations allows the TMF to support a broader range of essential modernization efforts without losing accountability.
Kent adds that another major improvement is the emphasis on reusable outcomes. Agencies are now expected to capture how they implement projects, particularly when testing emerging technologies, so those lessons can benefit other agencies. This approach creates value beyond individual initiatives and supports a more unified, government-wide modernization effort.
The conversation also reframes how return on investment is defined. Kent explains that ROI is no longer limited to hardware and software savings. Instead, agencies increasingly account for mission outcomes such as reduced fraud, improved efficiency, and avoided negative consequences. She cites examples like speeding up food inspections, where the benefit lies in reducing waste and delivering results faster—not simply cutting IT costs.
Despite its success, Kent acknowledges that not everyone automatically supports the TMF. Spending taxpayer dollars always raises questions, particularly when funds might otherwise go elsewhere. She stresses that scrutiny is appropriate and believes the right measure is whether projects deliver real results. Scott adds that the main pushback he encounters is the idea that enough money already exists in government budgets. His response remains consistent: identify where funds are being wasted, and he will advocate for redirecting them.
Ultimately, both leaders highlight the TMF’s rare bipartisan support and long-term focus. They see it as a necessary response to a persistent modernization challenge—one that continues to help agencies move beyond survival mode and toward meaningful, lasting improvement.