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August 23, 2004



Karen S. Evans
Office of E-Government and Information Technology

SUBJECT: Expanded Electronic Government (E-Gov) President’s Management Agenda (PMA) Scorecard Cost, Schedule and Performance Standard for Success

This memorandum provides additional information on the President’s Management Agenda (PMA) Expanded Electronic Government (E-Gov) initiative and the standard for success concerning cost, schedule, and performance goals. As you know, to achieve a “green” level of performance for this initiative, your agency’s actual performance cannot vary from its cost, schedule and performance goals by more than 10 percent. To achieve a “yellow” level of performance, your agency’s cost, schedule and performance overruns and shortfalls for all major information technology (IT) projects must average less than 30 percent.1 The following provides additional evidence that OMB looks for in evaluating whether your agency meets these performance levels.

OMB looks forward to hearing from your agency before the end of the applicable Scorecard evaluation period with any additional evidence you may wish to provide. Questions about this e-Gov Scorecard element should be directed to Lauren Uher at

Additional Background Evidence

In evaluating whether an agency meets the “green” standard for cost/schedule/performance adherence, OMB looks for affirmative answers to the following questions:

As a reminder, for operational investments, agencies are expected to use operational analyses to determine how close the investment is to meeting its operational cost, schedule and performance goals.

cc: Office of Management and Budget Resource Management Offices

1 This standard is based on the policy in OMB Circular A-11, Part 7, requiring agencies use earned value management (EVM) to plan and manage major IT development efforts to achieve, on average, 90 percent of approved cost, schedule, and performance goals. (OMB Circular A-11, Part 7, found at: /omb/circulars/a11/04toc.html)


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