VA asks for another year to accelerate rollout of its $2.5B financial management system

“The Department of Veterans Affairs chief financial officer asked Congress for another year to determine if his agency can accelerate the twice-delayed, 10-year deployment of a new financial management system.”

“Speaking at a joint hearing of the House Veterans Affairs Oversight & Investigations and Technology Modernization subcommittees Thursday, Jon Rychalski said 10 years is ‘a long time’ to update a 30-year-old system.”

“But the success of the Financial Management Business Transformation modernization effort depends on the successful concurrent deployment of the VA’s modernized electronic health record and an upgraded medical logistics system…”

“The new accounting system must be ‘tightly linked’ with the agency’s logistics system — the Defense Medical Logistics Standard Support (DMLSS), a shared service that the VA has decided to adopt for its own logistics needs — to ensure seamless payments, he added.”

“VA spent hundreds of millions of dollars trying to replace its financial management system twice before in 1998 and 2006…”

“Adding to the current challenge is the fact DMLSS is simultaneously being upgraded to a new system called LogiCole. If FMBT is deployed quickly, the financial system would need to be connected to the logistics system twice, both before and after the upgrade, with two training initiatives — meaning more disruption for end users, technical cost and risk, Rychalski said…” Read the full article here.

Source: 2020 will be ‘very telling’ for accelerating rollout of VA’s $2.5B financial management system – By Dave Nyczepir, December 6, 2019. FedScoop.

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