Unobligated COVID 19 and American Rescue Plan funding will be used to reduce the deficit and cut federal spending as part of the debt ceiling reduction plan that passed Congress late last week.  Carbon-emission and green building funding was spared any cuts, showing what the administration prioritizes.  Federal contractors had expressed concern that IT, service, and other projects slated to be paid for with such money would be lost and, to some extent, it seems as if those concerns were justified.  According to a recent FedScoop article, “Language included in the Fiscal Responsibility Act of 2023 would cut unobligated funds made available to the Federal Citizen Services Fund at the General Services Administration through the Coronavirus Aid, Relief, and Economic Security Act of 2020. It would also claw back unobligated funds appropriated for the Office of the Chief Information officer at the Department of Justice through the same emergency legislation.”  While IT leaders may decry losing money for key projects, federal agencies have traditionally experienced claw-backs of unobligated money when Congress decides to cut spending or re-program funds for new priorities.  Slow action on obligating money, some of which has been available for nearly three years, is not the fault of Congress, either.  It’s difficult to claim that “critical” projects are being placed at risk by the cuts if money has been available across multiple fiscal years.  Also, just because money is being trimmed today, doesn’t mean it is gone forever.  Provisions in the debt bill allow for the possibility of restoring some of the trimmed funds in future Congressional action if a case can be made for such action. Contractors, federal agencies, and their allies in Congress are all sure to try to make such cases for a wide array of projects.  There’s almost always a chance for another bite at the federal funding apple.