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#1004 - Sam Corcos - Inside DOGE, The IRS & How to Scam the US Government

Modern Wisdom

2025/10/09
Modern Wisdom

Modern Wisdom

2025/10/09

Shownote

Sam Corcos is an entrepreneur, CEO of Levels, and a special advisor to the Department of Government Efficiency (DOGE). What’s really happening inside the U.S. government? For the first time, a DOGE insider exposes the chaos, corruption, and dysfunction pl...

Highlights

Sam Corcos, a seasoned tech entrepreneur and CEO of Levels, shares his firsthand experience diving into the inner workings of the U.S. federal government as a special advisor to the Department of Government Efficiency (DOGE). Stepping away from the private sector, he offers a rare look at the systemic challenges plaguing agencies like the IRS, from broken procurement systems to outdated technology and deep cultural inertia.
02:48
Recommended administrative leave for 50 IRS IT leaders due to lack of technical skills
09:21
The DOGE executive order allows immediate review of federal contracts.
14:35
The IRS receives 60 million faxes annually because officials believe it's secure
34:34
A vendor increased a government contract from $2 million to $100 million during renegotiation.
38:20
Rejecting a $35 million contract showed the need for leaders who care about taxpayer money
53:20
To get a license that suits one's purpose, create a fake auction among value-added resellers.
1:00:43
The 8A program allows contracts to skip procurement processes, leading to widespread abuse and billions in potential graft.
1:05:00
The IRS has had poor technical leadership for about 40 years
1:14:14
Only 100–200 of 12,000–13,000 IRS employees are highly effective
1:25:56
DOGE consists of mission-oriented people focused on stopping the growth of national debt.
1:35:43
True savings are known only at year-end by comparing planned vs. actual spending.
1:38:06
The top priority is to ensure all systems use the same information
1:43:03
Software systems require continuous maintenance like living organisms, not one-time fixes.
1:52:08
Recruiting cybersecurity leaders is hard due to low pay and high risk.
1:58:25
Around 25,000 IRS employees took the Deferred Resignation Program (DRP).
2:06:59
The young DOGE engineers are extremely smart but seen as 'infants' by older politicians
2:16:01
Solving tax-related problems offers significant leverage and attracts top data talent despite lower pay.
2:16:32
The final 20% of tax system implementation is disproportionately complex due to edge cases.
2:28:50
The IRS has the worst ATO process in the government, often taking years to authorize basic tools.
2:39:27
Non-technical leaders managing IT vendors lead to poor outcomes
2:48:35
Capable people often leave government for the private sector after mid-career due to financial and operational constraints.

Chapters

Becoming Chief Information Officer of the Treasury Department
00:00
The Politics of Working in Politics
06:22
What It’s Really Like Working for the US Government
11:19
How Do You Change the System?
25:05
What Has Sam Sacrificed for the Government?
37:46
The Procurement Process is Broken
43:51
How Much Money Does the Government Really Spend?
53:47
Why is Finding Engineers Proving Difficult?
1:01:28
Are Young People Favoured for Government Jobs?
1:10:56
US Media is Fuelling Federal Mistrust
1:15:54
DOGE is More Than a Meme
1:25:55
How Does DOGE Save Money?
1:30:04
Why Spending Cuts are So Important
1:38:05
Modernisation Isn’t the Answer
1:43:02
Is Data Security at Risk?
1:48:55
The Reduction in Force Process is Brutal
1:55:09
What Sam Would Go Back and Change About DOGE
2:00:58
What Does the IRS Actually Do?
2:10:06
How are Tax Policies Really Enforced?
2:16:32
People are at the Core of DOGE
2:25:52
How Long Will It Take to Fix IT Systems?
2:35:26
What Have Been the Biggest Changes in Sam’s Work?
2:42:14
How Will Systematic Changes Stick?
2:52:32

Transcript

Chris Williamson: Before we get started, I'm going on tour this winter around the US and Canada, and you can join me. It's an hour and a half long show. There's a half hour Q&A at the end. There's meet and greet. There's music. Warmed up before I get start...