BUSINESS SYSTEMS MODERNIZATION: IRS Needs to Better Balance Management Capacity with Systems Acquisition Workload

Pursuant to the Department of the Treasury's fiscal year 2002 appropriations act,the Internal Revenue Service (IRS),in November 2001, submitted to the congressional appropriations committees its fifth expenditure plan,requesting $391 million from its Business Systems Modernization (BSM)fund.1 As required by the act,we reviewed the plan. Our objectives were to (1)determine whether the plan satisfied the conditions specified in the act,2 (2)determine IRS s progress in implementing modernization management controls and capabilities,and (3)provide any other observations about the plan and IRS s BSM program.
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