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I SC D C C: AA Onsiderations FOR THE ATA Enter Ommunity

This document discusses considerations for federal agencies adopting Infrastructure as a Service (IaaS) cloud solutions. It provides background on the federal "Cloud First" strategy and the Data Center Optimization Initiative (DCOI). Key points covered include potential business drivers for cloud adoption such as cost savings and faster software delivery. It also discusses organizational readiness factors like the need for a change in operating mindset from owning to renting computing resources. Technical considerations involve application modernization opportunities and ensuring stable testing and production environments in the cloud.

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0% found this document useful (0 votes)
73 views16 pages

I SC D C C: AA Onsiderations FOR THE ATA Enter Ommunity

This document discusses considerations for federal agencies adopting Infrastructure as a Service (IaaS) cloud solutions. It provides background on the federal "Cloud First" strategy and the Data Center Optimization Initiative (DCOI). Key points covered include potential business drivers for cloud adoption such as cost savings and faster software delivery. It also discusses organizational readiness factors like the need for a change in operating mindset from owning to renting computing resources. Technical considerations involve application modernization opportunities and ensuring stable testing and production environments in the cloud.

Uploaded by

Billo
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 16

IAAS CONSIDERATIONS FOR THE DATA

CENTER COMMUNITY
DCOI PMO Cloud Series

VERSION 1.11
MARCH 15, 2017

Data Center Optimization Initiative, Managing Partner


General Services Administration
Office of Government-wide Policy

 
IaaS Considerations for the Data Center
Community
Purpose
This whitepaper from the Data Center Optimization Initiative (DCOI) PMO,1 shares some of those lessons
learned to provide a holistic view of cloud adoption and enable the federal data center community to be
“cloud smart.”

Background
The OMB DCOI Memo M-16-19 directs federal agencies to consider the cloud first when evaluating data
center closures and optimizations.2 Under the “Cloud First” strategy,3 numerous federal agencies have
moved operations to the cloud and shared their success stories and lessons learned via workshops,
seminars, and conferences.
The DCOI PMO is dedicated to ensuring that our client agencies are provided relevant information and
are directed to proper resources in regards to organizational cloud transformations. Please contact us at
dcoi@gsa.gov​ to improve this publication or learn more about federal cloud implementation resources
and solutions.
Any reference of an Infrastructure as a Service (IaaS) provider is not to be considered an endorsement of
that provider, but is meant to provide further illustration of a presented concept.

Business Drivers
The DCOI Memo indicates that agencies should evaluate cloud technologies first in closing and
consolidating data centers. This section covers a few areas which should be included in the business
justification for a cloud transformation.

Cost
Many IT leaders say that the number one business driver for migrating to the cloud is a better Return on
Investment (ROI), but it can be difficult to validate ROI if the current environment is not already priced
out at service levels. In addition, organizations may not receive a positive ROI in the initial years of a

1
The DCOI PMO is the managing partner of the Federal Government’s data center line of business and data center shared services.
2
M-16-19. Data Center Optimization Initiative. 8/1/2016. ​https://policy.cio.gov/dcoi/ 
3
As articulated in the Federal Cloud Computing Strategy. 2/8/2011.
https://obamawhitehouse.archives.gov//sites/default/files/omb/assets/egov_docs/federal-cloud-computing-strategy.pdf

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 1
cloud migration, because of the migration costs and any realized cost savings may be a result of the
process of pruning inefficiencies during migration, rather than the cloud technology itself.
In the absence of clear service level pricing, the decision to migrate to a cloud environment should
include a business need requiring IT flexibility. Since many federal entities will not delve into
non-FedRAMP’d cloud services, major flexibility is often not realized out-of-the-box, because the Federal
Government does not always leverage all available opportunities (such as where underused resources
are sold to the highest bidder).

Application Modernization
A cloud migration provides an opportunity for IT portfolio consolidation and application rationalization
as part of a cloud readiness assessment. Application owners can evaluate the usefulness (how often is
each system used, and is it even aligned with the business anymore?) and repetitiveness of functionality
(are several systems performing the same function across the enterprise?) in the application layer. This
evaluation can help to determine what should be ported to IaaS, as well as what should be consolidated,
and will inherently optimize operations as underused systems are retired. Post-migration, organizations
which do not have efficient monitoring tools in their traditional data centers may gain better insight into
system usage, composition and structure through Cloud Service Provider (CSP) tools.
As part of the application rationalization process, application owners should identify possible Software
as a Service (SaaS) or Platform as a Service (PaaS) solutions to further limit what’s carried forward. In
general, IaaS should only host inherently governmental systems.
As part of portfolio consolidation, IT leaders should ensure that migrated applications do not duplicate
enterprise functionality. The duplicative nature is a corollary to the commoditized solutions, but looks at
the ​breadth​ of solutions. If twenty ticketing systems are being migrated instead of one, a stronger
business case arises to consolidate on ​one​ SaaS ticketing solution and forego the IaaS migration of
twenty separate but similar systems.
Finally, application owners want to evaluate new modernization opportunities which are not available
with a traditional data center, such as serverless architectures, where organizations are charged ​by the
number and duration of a method call​ (e.g. microservices charged per every 100 ms). Serverless
architectures allow methods to be chained together based upon different triggers to create more
complex applications. In addition, such systems can be honed to ensure that methods are
compartmentalized enough to deliver maximum usability.

Faster Software Delivery


Reduced Application Backlogs
Bottlenecks can exist in any ecosystem or business process. In traditional IT environments, servers are a
bottleneck because they limit resources based on costs, security controls, or the level of operations
staffing. The advent of virtualization significantly reduced that barrier since several servers could be

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 2
allocated per machine, creation of baseline images became easier, and the staff-server ratio decreased.
However, even virtualization cannot meet all the demands of a development organization, especially
those organizations which have embraced Agile to more quickly deliver business applications. Software
Defined Networking (SDN) provided the basis for cloud computing, which has freed development staff to
obtain server support for their backlog of development projects, proof-of-concepts, pilots, and testing
environments. While faster development times are a plus, organizations need to also account for any
resultant increased costs. Organizations may benefit by stressing value to senior leadership, in addition
to cost (e.g., spend 10% more, but get 50% more in delivery).

Stable Testing and Production Environments


In a traditional environment, top tier servers are layered at the production level, the next best servers at
the test layer, and the oldest servers used for development. These incongruent environments can
increase deployment risk, which may be mitigated in a cloud environment. In a cloud environment, the
resources can be inverted while maintaining a high service level.
Typically, the production layer is adequately apportioned so that the mission support systems can
handle degradation from load spikes, outages, and denial-of-service attacks, but if the production layer
is over-allocated, mission-critical failures may result. The development layer should have enough
resources to keep expensive development staff working at peak capacity. Hiccups in development
environments can equate to significant aggregate hours of lost developer productivity.
What remains is typically allocated to test environments, which come in many flavors. Organizations
typically have test environments for scenarios such as:
● Code being propagated to production;
● A user acceptance test (UAT) environment;
● Temporary, non-functional testing for performance, load balancing, and availability; and
● A “hot fix” environment for testing important corrections needed in the production
environment.
If an organization has multiple releases being worked on by different development teams, then the
number of required environments, and associated costs, can increase significantly.
The limitation of server and environmental support infrastructure can lead an IT organization to adopt a
time sharing approach to test environment(s). This approach requires the configuration management
team to setup and teardown environments based on the most pressing need. This setup and teardown
can be costly and prone to error, because databases, server software, and applications need to be
“rolled” to the correct versions for each test. Note that while creating more test environments is easier
in the cloud, it can also be more expensive if the Government agency does not have good governance
over their test environments.

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 3
Organizational Readiness
A cloud transformation includes more than just an acquisition vehicle. Significant organizational
introspection needs to be done to ensure that the organization is well positioned for change. Below are
some considerations in making an “organizational cloud transformation.”

Operating Mindset Change


Own Versus Rent
Aside from the publicized OpEx versus CapEx opportunities, the buy versus rent paradigm also illustrates
how organizations can become culturally attached to physical (or virtualized) server assets. In a
traditional environment managed by technology professionals, servers often acquired personalities of
their own, and names based upon characters and places from pop culture. As IT environments grew and
became more geographically diverse, names grew more canonical to effectively inventory assets, but IT
specialists still knew the servers’ individual quirks and “personalities”.
In a cloud based environment, servers are ephemeral and may not develop personalities as operators
have become accustomed to. Just as Fonzie knew where to strike the jukebox to get it to run, so too do
IT specialists know about the individual quirks their servers may exhibit.

Server Management
As IT environments evolved, many vendors invested in complex user interfaces to help system
administrators manage users and server permissions. In an environment where the IT software delivery
pipeline speed was set by physical bottlenecks, system administrators were capable of handling the load
with the assistance of drag-and-drop functionality instead of the usage of a Command Line Interface
(CLI).
In a cloud environment where servers and environments can be rapidly deployed, CLI-based scripting
becomes essential to rapidly deliver services needed with minimal error in replication. In turn, scripting
tools are essential to deliver cloud services.
In a traditional IT infrastructure, operations staff may be responsible for functions such as server
backups and DR coop, functions which may no longer be relevant in a cloud environment. Even if there
are no such services evidenced in the layout and design of the cloud environment, organizations are
under the CSP SLA (e.g., Amazon4 and Microsoft5) and still need to account for redundancy and uptime.

Maintaining a Skilled Workforce


System administrators and other IT staff involved in the maintenance of physical hardware may worry
about lack of skills or job loss with a move to the cloud. However, IaaS still requires server and
networking knowledge. Staff can acquire these premium in-demand skills (see the staffing cost section),

4
​See:​ ​https://aws.amazon.com/ec2/sla/
5
​See:​ ​https://azure.microsoft.com/en-us/support/legal/sla/

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 4
and will be released from the physical location requirements of the job. Funding for proper training may
be a challenge, so organizations need to be ready to invest surge training funds to launch a cloud effort
with existing staff.

Governance
As previously identified, application rationalization offers opportunities for modernization, but the IT
leader needs insight into the entire IT stack. Operations, development, and security staff require tight
integration and coordination to maximize efficiencies.

Application Efficiencies
Code
As hardware and memory became cheaper to ​own​, code efficiency could be relaxed since there has not
been as large a financial impact on the organization. In a cloud environment where services are ​rented​,
code efficiency regains importance as an ​ongoing​ (vs. one-time) savings. For instance, if an application
can use serverless architectures instead of running an application on a server, the organization can
employ cost models built upon microseconds, not hours, of use.

Storage
Cloud technologies provide organizations with multiple storage options with different price and usage
structures (e.g., transfer charges, long-term storage). An organization needs to understand existing and
future data access needs to effectively design where the data resides. As an example, the IaaS CSP
solution may not be a cost effective storage mechanism for resources such as a large PDF on a website,
due to high transfer charges. Usage of alternative, traditional web storage companies may be more cost
effective than using the storage solution provided by the IaaS CSP.

Security Posture
Data Security
IT organizations may have concerns about data loss and cloud usage. However, current IT security best
practices use techniques such as encrypted databases, random salts, public key infrastructure, and
two-factor authentication to ensure that IT assets are properly secured at the data layer.
The argument of losing data control in moving to the cloud becomes relevant if the compensating
controls are ​the​ security controls. As an example, if the data at rest is ​not​ encrypted, then the
compensating security control is that the server resides behind physical barriers and the console is only
accessible by a few properly vetted individuals. Once the ​physical​ compensating control is removed by
migrating data to the cloud, that data would be exposed.

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 5
Identity Providers
One of the first tasks to tackle is how an agency will utilize the existing identity store in a cloud
environment to effectively manage user access to cloud resources. Chances are any cloud migration will
take some time, and include an already-established user directory. Multiple solutions exist which can
replicate on-premise directories as well as federate with existing directories.

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 6
Migration Considerations
If an organization has developed the business drivers and is organizationally well positioned, they should
also consider what gaps need to be considered between their existing IT business environment and the
cloud destination.

Pricing Structures
While the CapEx versus OpEx advantages have been touted, it can be easy to overlook the specifics of
different types of charges. Research into each CSP’s cost models should be done to ensure an
understanding of how the different services are charged for. For instance, some CSPs charge in minute
increments, whereas others charge in hourly increments. Some CSP customers can get multi-year
enterprise agreement discounts, and usage credits under developer programs. In some CSPs, customers
can save costs by leveraging paying for server credits up-front, bidding on excess capacity, or utilizing a
serverless architectures. Knowing the cost drivers is also key. For instance, if the model is built upon
items such as compute power, storage space, data output, and key management and teams forget
about data output, they may face a large bill after they stream a video or have many downloads of a
large PDF.

Virtualization
Many traditional IT organizations have invested in on-premise virtualization and should be aware of the
import (and export) features different IaaS providers offer and what formats they support. In addition,
they may need to ensure staff is up-to-speed on the scripting mechanisms available, since that may be
the only mechanism available. If an operating system unsupported by the CSP needs to be migrated, the
server may need to be reconstituted from scratch.
Although a direct lift of the virtualized resources to a cloud environment may not achieve cost savings
available via re-architecting applications, virtualization, and/or containerization of an on-premise
environment can serve as a first step to migrate to a cloud environment.

The Cloud is NOT Infinite


Cloud resources are ​not​ infinite. For example, a CSP may offer the purchase of set aside server
configurations which will be available when needed, whereas their regular on demand resources ​can​ run
out for a particular configuration. Also, the CSP may have hard and soft limits set on resources which can
or cannot be increased. Finally, different CSP environments may require CSP staff to increase soft limits,
so knowledge of the lead time required is important. If any CSP limits are not effectively managed, then
new servers may not be available to spin up when needed. The management of limits is akin to
managing software licenses, and they should be part of a single employee’s duty.

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 7
Not All Services are FedRAMP’d
Although CSPs offer numerous services, not all have FedRAMP approval. For example, AWS6 and Azure7
only have had a fraction of their total service offerings FedRAMP approved. Also, not all those
FedRAMP-approved services are available as federal offerings (e.g., AWS GovCloud, Azure Government),
or in all geographic regions. In addition, some services may be available in a federal offering but not be
FedRAMP approved.
Although an agency is not limited to using just FedRAMP’d services, the organization needs to be aware
of which services they’ll need so that the commensurate security processes are performed for an agency
authorizing official to grant an ATO for the environment to be used. Many agencies limit usage to
FedRAMP approved services only.

Third Party Product Support


Support for Existing Solutions
Not all vendors have cloud equivalents for their existing products. Many IT shops have invested heavily
in physical solutions for which vendors do not have an equivalent solution in the cloud, and they may
need to “repurchase” the same solution in the virtual environment. If there is ​not​ an equivalent product,
IT staff will need to find a product to meet the business need and be trained in how to use the new tool.
Please note that this can also include operating systems and databases.

Functionality Gaps
The cloud partner ecosystem is still evolving, and there are numerous areas for opportunity unfulfilled
by cloud service providers. CSPs provide abundant features, but no product may exist to meet a cloud
management need.

Software Licensing
Licenses need to be properly allocated - some vendors will license per CPU/year, and if the environment
uses a Bring Your Own License (BYOL) concept along with auto-scaling features, more instances can
easily be spun up during a busy period than licenses exist. Any migration activity should ensure that
licensing is included in the pre-migration planning. The licensing model should be optimized for business
needs. BYOL may be effective for steady-state servers, and licenses bundled in on-demand servers for
burst periods.

6
​See:​ ​https://aws.amazon.com/compliance/services-in-scope/
7
​See:​ ​https://www.microsoft.com/en-us/TrustCenter/Compliance/FedRAMP

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 8
Product Acquisition
The acquisition models used by the CSPs for third party can introduce complexities for federal usage. For
example, if the CSP could have a marketplace akin to an app store where third parties can provide
solutions which charge based upon ​metered​ usage and are charged to the CSP account. Hence, if
someone has the correct rights, they can install a new solution and bypass the federal acquisition
process. In addition, some regions a CSP supports may have no vendor market whatsoever, making
usage a barrier for those solutions that are acquired through the federal acquisition process.

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 9
Organizational Impacts
An “organizational cloud formation” will entail numerous changes in an organization’s staffing and
operating procedures. This section provides an organization with considerations to assist in being “cloud
smart.”

Staffing
Many organizations have made a migration with the assistance of a cloud expert, but were then left to
fend for themselves after the initial migration was complete. As they make such a journey, any changes
can result in insecure configurations, outages, and lack of full functionality because the existing
personnel were not prepared.

Existing Staff
From a technical perspective (FedRAMP aside), traditional operations staff and traditional development
staff do not have the skills to maintain a cloud environment. Operations staff may have a hard time
thinking of services instead of servers and storage. Although development staff may be familiar with
build tools and services, they tend to lack the networking knowledge to make the environment work. In
addition, the way tasks are currently done will change. For example, organizations may shift away from
server specific scheduled tasks or cron jobs to use CSP microservices.

New Skills
Effective cloud management requires adding new roles to existing job duties or creating new positions.
For example, in a traditional IT environment, cost containment is usually an up-front exercise (i.e.,
ensuring the server is acquired for the best price). However, in a cloud environment, it is an ​ongoing
duty. An individual should be assigned to ensure that server sizes are not over-allocated or idly running.
The management can be controlled manually, by scripting, or by using an automated tool. Each scenario
requires an individual to manage the process. Another example is managing hard and soft resource
limits imposed by the CSP, communicating thresholds to staff, and increasing soft limits before
exhausting them.
Some CSPs may force IT staff used to a heavy graphical user interface environment to learn a CLI and a
scripted language to effectively manage resources. Finally, keeping up with new service rollouts from
the CSP and how it impacts the environment is a role in and of itself (for an example of the number of
changes CSPs can have, ​see​ AWS8 and Azure9 updates).

Contracted Cloud Professionals


Contracted cloud professionals may not have public sector experience or be knowledgeable of federal

8
​https://aws.amazon.com/new/
9
​https://azure.microsoft.com/en-us/updates/

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 10
restrictions. Therefore, they may be adept at developing a solution, but they may develop that solution
using a ​commercial​ toolbox of CSP services. For example, only some CSP services may be FedRAMP
approved, so any solutions architected not using that subset will require additional agency resources
(funding) for the C&A. In addition, an agency may be paying for an expert who has a full breadth of cloud
service skills but only using a fraction of that knowledge.

Costs
Cloud IT specialists incur a hefty premium versus their traditional equivalents. Until cloud becomes the
norm, IT cloud specialists can cost approximately 20-30% more than traditional IT specialists. In
determining whether to train up, augment, or replace existing staff, an organization should balance not
only the existing system and institutional knowledge, but also perform market research to compare
federal schedule rates for cloud equivalent contract filled positions and utilize career sites to compare
salaries for FTE filled positions.
Cost Controls
Operational cost control is a discipline necessitated by a cloud environment. Capacity planning should be
done to ensure servers are a right fit for their use, and unused servers need to be shut off. More mature
organizations will develop scripts or acquire tools to automatically shut off unused services (either
orphaned or not used after hours) so that additional cost is not incurred. Several third party tools also
exist to monitor and control costs in a cloud-based environment. As previously mentioned,
understanding the CSP’s cost model is paramount and should be revisited on a routine basis to
determine whether better pricing paradigms are available or feasible. For example, if you are using
resources 24x7 for an extended period of time (and will be used in the foreseeable future), then you
should explore if the CSP has discounts to pay for those services up front.

Lexicon
The lexicon used for a cloud environment can differ significantly from a traditional IT environment. For
example, a firewall in some CSPs is referred to as a “security group”, yet a “security group” in a
traditional IT environment using Active Directory refers to the common rights assigned to users in that
group.
The lingua franca has significantly changed from a traditional IT environment, and ensuring that staff
have an understanding of the same concepts will take time. In addition, terminology between CSPs can
differ.10

Contracting
Cloud services are ​metered​ services and ​should not​ be contracted using Firm Fixed Price (FFP) models.
Traditional contracting practices deem FFP as the most advantageous to the Federal Government, and IT
leaders need to ensure that contracts are appropriately structured. Cloud services should be contracted

10
Microsoft. “AWS to Azure services comparison.” 3/17/2017. ​https://azure.microsoft.com/en-us/campaigns/azure-vs-aws/mapping/

 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 11
out independently of cloud system integration services. Coupling the two can lead to multiple cloud
accounts being created and the loss of economies of scale across multiple IT projects.
A federal agency should engage contractors at the ideation phase by maximizing market research and
use a SOO if cloud deployments are new to the organization. To avoid numerous contract modifications
or a work stoppage, an agency should have an application inventory and a full cloud readiness review
completed prior to engagement, or have it included in the scope of the work. A federal agency can also
take advantage of new categorizations for cloud service, such as the new cloud SINs on GSA Schedule
70.

Flexibility
Cloud services enable IT organizations to quickly spin up proof-of-concepts, prototypes, and new
environments. With that speed, organizations need to manage customer expectations, particularly
around the entire product development lifecycle.
Streamlined patch maintenance and testing rapidly improves the security posture of IT systems. Entire
environments can be temporarily reconstituted and tested with the latest patches. If the patches are
successful, the test environment can quickly replace the production environment.

Security Risks
Security Boundaries
Using both virtualized assets and services requires a different mindset to deploy and operate cloud
resources. For instance, some CSPs use tagging to delineate services and virtualized entities are
controlled by logical boundaries. Even in this paradigm, the virtualized entities are usually launched into
logical boundaries, but further access is controlled by tags. Management tools to more effectively
handle services need to be built or acquired. Inherent in the delineation between assets and services is
the security risk of IT staff incorrectly tagging or placing resources.

Segregation of Duties
Cloud IT roles do not map 1-to-1 with traditional IT roles. As a consequence, many IT professionals
receive elevated privileges, which directly contrasts to following a “least privilege” paradigm. In
addition, key roles can exist which are considered “high blast radius” if a user is granted them. While IT
organizations are migrating to the cloud, they may grant privileges to get the job done in lieu of learning
what the least privileged settings are. The risk to the cloud environment is akin to the risk application
servers have faced in the past when they were granted the equivalent of root-level privileges on
traditional two tier systems.
In addition, many organizations are doing more with less, so if individual users need to perform multiple
tasks crossing logical Segregation of Duties (SoD) boundaries because of limited staff, they should be
issued multiple roles and not using a single role with all the access needed. The organization should
ensure that proper governance policies are established for accommodating users who have roles which
 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 12
present a conflict of interest.

DevOps Doesn’t Include Security


The usage of the term “DevOps” presents the idea that application development staff can do it all, and
does not account for the need for security, or the need for an understanding of basic computer
networking. DevOps is really a new role and should not be confused with the idea that existing
developers can perform all operations.

Basic Encryption and Key Management


Some people may have fears that the cloud is not as secure as a traditional data center. Cloud vendors
offer security tools, however, the security risk is that staff do not properly implement those security
controls, either through a lack of knowledge, or by using other, outdated tools. As previously
mentioned, the highest security risks involve unsecured keys or unencrypted data. To minimize access
risks, organizations should safeguard any master accounts used to provision the environments (i.e.,
never use them except to set up the initial administrators and very securely lock away the access),
choose to encrypt virtual drives, and use a key management service external to the CSP environment.

Image Management
Cloud providers may offer image management services. A good practice is to know the scope of saved
images and ensure that they’re not incorrectly shared. For instance, in some CSPs, machine images can
be stored in a private or public repository. If a machine image is shared publically, then anyone with an
account for that CSP can run that image. Organizations need to keep abreast of their CSP image
management features to ensure permission scoping is appropriate for their business needs.

Audit Trails
The elasticity of IaaS poses challenges in regards to auditing services which can be very ephemeral.
Organizations should ensure that they have an architecture in place which will be able to capture
services which are started and destroyed within a small time window.

Policy Considerations in the Cloud


Foreign Nationals
One agency may ascribe to stricter rules in regards to CSP staff support. For example, some CSP regions
follows ITAR and guarantees only “U.S. persons” will be involved in the maintenance of support.
GovCloud costs more for services, and helpdesk turn-around takes about 48 instead of 24 hours since it
needs to be routed to a group of U.S. persons.

Network Topography
Federal agencies may need to consider IP address allocation to adequately monitor threats via
 
DCOI PMO Cloud Series: IaaS Considerations for the Data Center Community Page 13
automated tools. If an agency extends their presence to the cloud, they may need to allocate internal IP
address ranges for cloud usage. However, doing so will require up-front allocations to accommodate
different functionality (e.g. development, testing, production), which will limit network elasticity which
could be later needed.

TIC Compliance
Trusted Internet Connections (TIC)11 regulations are currently still in effect for IaaS usage, but DHS is
working on solutions in conjunction with CSPs akin to the Managed Trusted Internet Protocol Service
(MTIPS) program.12 Agencies have implemented solutions to ensure TIC compliance such as using direct
connection capabilities for CSP traffic. However, such services can be costly and represent a barrier to
cloud adoption.

IPv6 Compliance
The Federal Government is required to adhere to IPv6 compliance.13 Agencies should be aware of the
IaaS cloud services which are available to meet IPv6. While some vendors may have some services which
are IPv6 compliant, those services may not be FedRAMP approved.

Software Licensing
The Category Management Policy 16-1 memo includes software licensing in a cloud environment.14 The
memo indicates “OMB will encourage or direct use of best-in-class existing software licensing
agreements”, but the ultimate responsibility lies with the Agency Software Manager. The agency
software license management policy should be adhered to when using a BYOL or bundled license model
on an IaaS virtual machine.

DNSSEC
Per OMB Memorandum M-08-23: “Securing the Federal Government’s Domain Name System
Infrastructure”,15 agencies need to ensure they implement DNS security “to all Federal information
systems.” The requirement would also extend to any IaaS service using DNS.

HTTPS-only
As stated in OMB Memorandum M-15-13,16 “all publicly accessible Federal websites and web services
only provide service through a secure connection.” While DNSSEC ensures endpoint security, HTTPS-only

11
Department of Homeland Security. “Trusted Internet Connections.” 3/16/2017. ​https://www.dhs.gov/trusted-internet-connections
12
General Services Administration. “Managed Trusted Internet Protocol Service (MTIPS)”. 3/13/2017. ​http://www.gsa.gov/mtips
13
National Institute of Standards and Technology. “Special Publication 800-119: Guidelines for the Secure Deployment of IPv6.” 12/2010.
​http://nvlpubs.nist.gov/nistpubs/Legacy/SP/nistspecialpublication800-119.pdf
14
M-16-12. Category Management Policy 16-1: Improving the Acquisition and Management of Common Information Technology: Software
Licensing. 6/2/2016. h​ttps://obamawhitehouse.archives.gov/sites/default/files/omb/memoranda/2016/m-16-12_1.pdf
15
M-08-23. Securing the Federal Government’s Domain Name System Infrastructure. 8/22/2008.
https://obamawhitehouse.archives.gov/sites/default/files/omb/memoranda/fy2008/m08-23.pdf
16
M-15-13. “Policy to Require Secure Connections across Federal Websites and Web Services.” 6/8/2015.
https://obamawhitehouse.archives.gov/sites/default/files/omb/memoranda/2015/m-15-13.pdf

 
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ensures data is not intercepted or manipulated in transit.

Chargebacks
Implementing a chargeback mechanism can recoup base IaaS charges along with federal value added
services such as agency implementation of FISMA controls. The reselling of IaaS services via chargeback
mechanisms can result in consuming components losing an hourly measured rate option and being
forced to pay for services using a longer duration (e.g. a month). Such a cost model significantly erodes
the benefits of a “pay as you go” scheme.

Funding
In a traditional CapEx model, servers can be acquired using year end funding. That alternative is not
available using IaaS services, and continuity of operations needs to be ensured across fiscal years. The
issue can be further complicated by federal shutdowns. Even if servers can be shut off so that the
metered fees are not incurred, costs associated with the storage of those images are still incurred. In an
IaaS model, an effective plan needs to be in place to ensure funding lapses do not affect work.

Section 508 Compliance


Contracts with CSPs need to account for Section 508 compliance (e.g. so that all staff can use web
interfaces or toolkits to interact with CSPs).17 While contract clauses may cover 508 compliance at the
time of procurement, the contract requirements need to take into account the nature of service
offerings in the cloud to denote that any new services made available are also 508 compliant.

For additional information regarding this paper or topic, please contact the DCOI Managing Partner
program management office at ​dcoi@gsa.gov​.

17
Section 508 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794 (d)). ​See:​ ​https://section508.gov/content/learn/laws-and-policies

 
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