Create a public granting organization to fund open source software and its developers, perhaps modeled on the National Endowment for the Arts or the National Endowment for the Humanities.
Open source software is a public good from which a great many people can benefit beyond the original government investment.
It can start small.
Its bureaucracy needs a feedback mechanism so that good decisions of what to fund are rewarded, bad punished.
There will of course be a giant stink raised when government funded open source software competes with or replaces corporate software.
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