Legacy IT Reduction Act of 2026

The Legacy IT Reduction Act of 2026 requires federal agencies to create and maintain an inventory of their outdated information technology systems, including details about costs, vendors, and planned updates. Under this bill, agency heads must develop five-year modernization plans every two years that outline how they will update, retire, or replace these legacy systems, with submissions to congressional oversight committees. The Office of Management and Budget will issue guidance on what qualifies as a legacy system and provide templates for inventory and planning, while the Comptroller General will review implementation three years after enactment. The law does not authorize new funding and will expire six years after enactment, with specific exemptions for national security systems and protections against transferring systems to foreign entities.