Operational funds could play bigger role in network modernization.

• Author: Insinna, Valerie
• Position: INFORMATION TECHNOLOGY

* The Defense Department is making progress in modernizing its network infrastructure, but most information technology funding still goes toward maintaining current systems.

One reason may be that IT managers are unaware of when they can use operating funding to acquire new technologies, said Anthony Robbins, vice president of federal business at Brocade, which sells networking hardware and software. Operating expenses fund goods or services that are completely consumed within a year, an example of which could be a yearlong software subscription.

"The acquisition models are changing as it relates to IT, and that includes the network, the data center, hardware, software and the like," he said. "The government has in its capability a way to use discretionary or operating expense funds differently than they have in the past, instead of just relying on capital expense funds."

Brocade conducted a survey of 204 government employees in the areas of IT and finance. It asked personnel such as financial managers, specialists and analysts how IT workers could spend operating funds. IT managers were then asked similar questions.

The company found that there was a knowledge gap between the two communities. IT managers sometimes falsely believed that they could not spend operating funds on modernization, even though financial personnel affirmed such expenditures would be allowed, he said.

"It's almost as if there were these stovepipes in the...