Op-Ed Urges Federal Tax Incentives to Boost Local Cybersecurity Investment
Summary
The op-ed argues that federal tax incentives and clearer Section 174A guidance could help cash-strapped state and local governments invest in cybersecurity for critical infrastructure, citing threats to water systems and other public services.
Key points
- The article says state and local governments face threats from state-backed actors while often lacking resources for cybersecurity.
- CISA issued a joint advisory warning of an active threat against Siemens S7 programmable logic controllers.
- It cites a 2024 breach of a small Texas town’s water system by Russian-affiliated actors, which caused a water tank to overflow.
- Braham, Minnesota, identified $22.98 million in water infrastructure needs against an annual city budget of $2.2 million; the article says its infrastructure funding did not cover cybersecurity.
- The op-ed says many local agencies have limited cybersecurity activity and cites a 2024 Center for Internet Security survey finding about one-third of surveyed agencies did minimal to no cybersecurity work.
- It advocates tax incentives for cybersecurity software and hardware, plus clearer guidance on whether implementation costs qualify under Section 174A.
- The article says Braham was among municipalities targeted last month by actors allegedly acting on Iran’s behalf; it does not present this as independently confirmed.
Article Details
- Topic
- Using federal tax incentives and clearer Section 174A guidance to accelerate cybersecurity investment by U.S. state and local governments and protect water and other critical infrastructure.