Government Technology/David Kidd
Osmond’s office is assembling detailed transition playbooks based on what he calls the “Big Plays for 2025,” a collection of priorities focused on modernizing systems, eliminating inefficiencies and leaning into emerging technologies like AI. State law prohibits governors from serving consecutive terms; Youngkin has endorsed Lt. Gov. Winsome Earle-Sears ahead of the Nov. 4 gubernatorial contest.
“There are so many things happening here that make government exciting again,” Osmond said. “There’s this myth that innovation's not happening at state government and we beg to differ.”
Every initiative underway this year, Osmond said, is focused around infrastructure and modernization, while being cost-effective. The Virginia IT Agency (VITA) recently completed an overhaul of the state’s network environment — a “massive” undertaking that involved upgrading more than 1,000 sites across Virginia, he said.
With a modernized network in place, officials are now accelerating the move to the cloud. So far, eight agencies have fully migrated and at least 10 more are in progress. But Osmond says the real key to unlocking the cloud’s full potential isn’t just technology — it’s humans.
“The big challenge is really people,” Osmond said, noting the need for upskilling so agencies can fully leverage cloud-native capabilities. “If you’re approaching the cloud with a legacy mindset, you’re going to miss the opportunities.”
For the state’s broader modernization push, Osmond’s team has created a six-year application modernization road map, evaluating 2,442 applications for cybersecurity, technology stack and “fitness for use,” and organizing them by criticality.
Osmond is also spearheading what the state calls the “Save Money Initiative” — a targeted effort to trim IT waste and redirect resources to long-term priorities. That includes identifying unused “zombie servers,” consolidating outdated pandemic-era systems.
“We sometimes forget about things we’re doing in the back office that are really low value,” he said. “We want to reduce those costs.”
Elsewhere in the enterprise, the state Department of Taxation is underway on a major initiative to replace its 20-year-old Integrated Tax and Revenue Management System with a modern, commercial off-the-shelf (COTS) solution in the cloud. It began this summer and is expected to be done by summer 2030.
And the Virginia Department of Motor Vehicles is refreshing its citizen services system which manages areas including driver licensing and history, and vehicle registration and titling, with a modern platform in the cloud. Work got underway earlier this year and is slated to end prior to 2027.
Virginia’s push to update its digital front doors — state websites — has also gained traction. The Virginia Permit Transparency platform launched in 2024 to simplify permitting and the state is investing in accessibility through technology, including using AI to translate state websites into 11 different languages.
That same focus on personalization extends to cybersecurity, where the state is tailoring strategies to each agency’s needs.
“We’re trying to become much more differentiated,” Osmond said. “Rather than treating every agency the same, we’re looking at what each agency needs based on their risk profile.”
Their work began with the creation of the Finance Cybersecurity Risk Modernization Program, which focuses on advancing security protections for the departments of Taxation, Accounts, and Treasury.
The state is also moving toward responsible AI use, and officials are approaching the technology by three avenues: 1) embedded tools in commercial software; 2) mission-specific AI like cybersecurity automation; and 3) custom-developed solutions such as chatbots and translation tools.
Embedded tools refers to COTS products like Microsoft applications or smartphone software that already include AI capabilities. The focus, Osmond said, is on using them safely and effectively.
Mission-specific AI is what Osmond described as tools that use AI to fulfill specific objectives. In state cybersecurity, many tools already have AI baked in for enhanced threat detection or automation; other state agencies may use this type of AI for tasks like transaction processing, robotic process automation or image recognition.
In custom-developed AI, which has a focus on generative AI agents, the state is building its own AI tools using platforms like Amazon Web Services (AWS) and Microsoft. These agents, Osmond said, help navigate large volumes of information and provide more accurate guidance.
Recruiting and retaining the talent needed to power these innovations is also high on the state’s agenda. Osmond’s team is focused on reinvesting talent, describing VITA as a “talent engine” feeding the larger ecosystem of state government. VITA, he emphasized, works as a hub for developing skilled professionals who can take on leadership roles across other state agencies by heavily investing in both soft skills and technical training, with a focus on leadership development, AWS cloud computing and cybersecurity.
Centering on internal development isn’t just about today’s needs, it’s about laying the groundwork for tomorrow, and as this administration’s time comes to a close, Osmond said he hopes the incoming government continues to see IT as a catalyst for change, not just a support function.
“The private sector knows technology isn’t part of the business — it is the business,” he said. “We need to continue embracing that mindset across all levels of government.”
Editor's note: This article has been updated with additional information on modernization work underway at the state departments of Taxation and Motor Vehicles.
