On May 7, 2026, the FEMA Review Council released its final report recommending a substantial shift in how disaster preparedness, response and recovery are managed nationwide.

As we approach Sled Fiscal Year End (SFYE), SLED agencies are balancing budgets in a constrained environment, addressing rising constituent expectations, tackling growing cybersecurity challenges and supporting accelerated AI adoption.

For industry, this confluence of factors creates both complexity and opportunity. In today’s environment, success in SLED comes down to connecting IT investments to clear and measurable ROI in operational efficiency, modernization, resilience and cost savings.

In mid-March, AFCEA NOVA hosted the Naval IT Day in Chantilly, Virginia with the core message on how Navy and Marine Corps digital priorities are enabling the naval force. The message was clear, IT is not just a necessary function, it is a mission-critical warfighting capability.

During this year’s Smart Cities Connect Conference and Expo in Raleigh, NC, one topic garnered considerable attention: AI. Within many city governments, AI is past experimentation and has moved into production. In 2026, city IT leaders are prioritizing  safe, secure, and data-driven AI deployments that deliver measurable outcomes in mobility, public safety, infrastructure management, and climate resilience.

However, as cities move toward operational AI, challenges exist around data readiness, governance, and integration across departments.

This week, the National Association of State Chief Information Officers (NASCIO) released it annual State CIO Top Ten Policy and Technology Priorities list for 2026, signaling where state technology leaders are focusing their efforts, and limited resources, in the new year. This year’s list is reflective of the current policy, priority, and funding shifts that have affected SLED agencies most, coupled with the apparent drive towards innovation and modernization.

The Samosa Act, a bipartisan piece of legislation which passed the House in December 2024, has been reintroduced in the senate after advancing through the Senate Homeland Security and Governmental Affairs Committee in May 2023 but failing to reach the Senate floor for a final vote.

The 2025 fiscal year-end is right around the corner for 46 states, which means that it’s time to take advantage of those end-of-year opportunities before they are gone. SLED decision-makers are already looking ahead to next year’s budget process and are working to identify the most pressing technology policy and priority areas that will shape future downstream requirements.