The IRS has successfully taken the first steps to transition modernization activities from the contractor it hired to manage its business systems modernization program and is succeeding in its new role as systems integrator, but it does not yet have an objective method of determining if transitioned activities are being accomplished effectively and taxpayer funds are being used efficiently, the inspector general for tax administration has said.
It said the agency, which took over modernization activities from Computer Science Corporation due to budget restrictions and performance concerns, needs to develop performance measures in its new role as systems integrator which has necessitated new procedures, personnel, and offices.
So far the IRS has effectively assumed two, or 14 percent, of 14 modernization activities, according to TIGTA report 2007-20-003.
It said that, for example, the agency filled eight of the 10 vacancies in the modernization program engineering office and eliminated all contractor support, as well as simplified its system development process, previously maintained by CSC.
For the remaining 12 activities, the IRS has taken good first steps and established an initial capability, but until the IRS has time to take additional actions and consistently use new processes and strengthen new capabilities, it is difficult to judge the eventual success of the IRS’s actions, the IG said.
The agency’s CIO, Richard Spires, agreed with the IG’s recommendation that he ensure performance measures are developed for each IRS modernization activity that can be measured, and said his office would develop a plan to identify potential performance metrics for each measurable transitioned modernization activity.
