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Congress Hears Status of Year 2000 Solutions

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The New York Times

 

March 3, 1999, Wednesday, Late Edition - Final

 

SECTION: Section A; Page 13; Column 2; National Desk

 

HEADLINE: Congress Hears Status of Year 2000 Solutions

 

BYLINE: By ERIC SCHMITT

 

DATELINE: WASHINGTON, March 2

 

BODY:

American industry and the government are generally winning the race

to fix year 2000 computer glitches by year's end, but the problem is

likely to cause widespread civil unrest and economic disruption abroad,

a Senate panel reported today.

 

With 304 days to go, most Federal agencies, utilities and big companies

are solving computer flaws that could spew faulty data or worse, the

panel said. But its 160-page report warned that the nation's health care

industry "lags significantly" in redressing the problem, as do millions

of small businesses, and scores of state and local governments.

 

More chilling are the findings abroad. Global communications, financial

systems, air transportation, and oil supplies could be interrupted for

days or weeks. Important allies like Japan, Mexico and Germany are nine

months to two years behind schedule.

 

In a closed briefing at the Capitol, senators heard that computer

failures in Russia could blind early-warning radar and lead to false

alarms of nuclear attacks. Soviet-built nuclear reactors in Russia and

Eastern Europe could shut down. And there is a chance that terrorists

will try to exploit the chaos.

 

"In this country we will have a bump in the road but it will not be

crippling," said Senator Robert F. Bennett, a Utah Republican who heads

the Special Committee on the Year 2000 Computer Problem. At midday, he

briefed his colleagues on national security risks.

 

"Internationally, we think the chances of difficulty are much higher,"

Mr. Bennett said.

 

The Senate, in its quest to resume a regular legislative agenda, took

the unusual step of devoting its entire day to aspects of the year 2000

problem.

 

The Senate voted 99 to 0 this morning, to authorize the Government to

guarantee loans to small businesses to fix computer problems.

 

This afternoon, the Senate voted 92 to 6 to extend the panel's work

through February 2000, and approved its $800,000 budget.

 

Moreover, the House and Senate are considering bipartisan bills that

would limit litigation, lawyers' fees and damage awards related to the

problem. Lloyd's of London has projected that global legal costs could

reach $1 trillion.

 

An unlikely coalition of insurers, high-technology companies, and large

and small businesses support the legislation, which is opposed by

consumer groups, trial lawyers and the Clinton Administration.

 

Republican leaders in Congress have put the bills on the fast track,

making consideration by both houses likely in the coming weeks.

 

As 2000 approaches, experts around the world are concerned about

computer crashes that might occur if software, written to recognize the

year by the last two digits, mistakes 2000 for 1900.

 

The Senate panel and the Administration use the same analogy to describe

the problem's domestic impact: a bad snowstorm that disrupts daily life

for a few days at most.

 

Senator Gordon H. Smith, an Oregon Republican, said: Prepare but do not

panic. Set aside some extra canned goods and bottled water, but do not

stockpile.

 

Senator Christopher J. Dodd, the Connecticut Democrat who is the

committee's vice chairman, said, "We have tried to discount what I call

the Y2K survivalist mentality."

 

Indeed, the Gartner Group, a research and consulting firm, has estimated

that only 10 percent of any computer failures in the United States are

expected to last more than three days. And the panel gave relatively

high marks to the nation's utilities, telecommunications, financial and

transportation areas.

 

But the report, the most comprehensive assessment of the year 2000

problem, singled out the nation's 6,000 hospitals, 50,000 nursing homes

and 800,000 doctor offices for criticism. About 80 percent of doctors'

offices and 50 percent of small- to medium-sized businesses have failed

to take

action, the report said.

 

The problem is more serious abroad, the senators said, because foreign

governments either do not have the resources, the political will or the

interest to deal with the problem, which could hamper everything from

credit-card transactions to utilities.

 

Many nations are looking to the United States for help. Today, John A.

Koskinen, President Clinton's year 2000 czar, was in the Philippines to

discuss ways to avert breakdowns with 30 Asian-Pacific countries.

 

The Pentagon sent a delegation to Moscow last month to meet with Russian

technical experts and lay the groundwork for a plan to have Russian

specialists sit with their American counterparts this New Year's Eve in

a joint missile-warning center in Colorado.

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COM: Hare Krsna dasi (Brunswick, Maine - USA) wrote:

 

> [Text 2133997 from COM]

>

> The New York Times

>

> March 3, 1999, Wednesday, Late Edition - Final

>

> SECTION: Section A; Page 13; Column 2; National Desk

>

> HEADLINE: Congress Hears Status of Year 2000 Solutions

>

> BYLINE: By ERIC SCHMITT

>

> DATELINE: WASHINGTON, March 2

>

> BODY:

> American industry and the government are generally winning the race

> to fix year 2000 computer glitches by year's end, but the problem is

> likely to cause widespread civil unrest and economic disruption abroad,

> a Senate panel reported today.

>

> With 304 days to go, most Federal agencies, utilities and big companies

> are solving computer flaws that could spew faulty data or worse, the

> panel said. But its 160-page report warned that the nation's health care

> industry "lags significantly" in redressing the problem, as do millions

> of small businesses, and scores of state and local governments.

>

> More chilling are the findings abroad. Global communications, financial

> systems, air transportation, and oil supplies could be interrupted for

> days or weeks. Important allies like Japan, Mexico and Germany are nine

> months to two years behind schedule.

>

> In a closed briefing at the Capitol, senators heard that computer

> failures in Russia could blind early-warning radar and lead to false

> alarms of nuclear attacks. Soviet-built nuclear reactors in Russia and

> Eastern Europe could shut down. And there is a chance that terrorists

> will try to exploit the chaos.

>

> "In this country we will have a bump in the road but it will not be

> crippling," said Senator Robert F. Bennett, a Utah Republican who heads

> the Special Committee on the Year 2000 Computer Problem. At midday, he

> briefed his colleagues on national security risks.

>

> "Internationally, we think the chances of difficulty are much higher,"

> Mr. Bennett said.

>

> The Senate, in its quest to resume a regular legislative agenda, took

> the unusual step of devoting its entire day to aspects of the year 2000

> problem.

>

> The Senate voted 99 to 0 this morning, to authorize the Government to

> guarantee loans to small businesses to fix computer problems.

>

> This afternoon, the Senate voted 92 to 6 to extend the panel's work

> through February 2000, and approved its $800,000 budget.

>

> Moreover, the House and Senate are considering bipartisan bills that

> would limit litigation, lawyers' fees and damage awards related to the

> problem. Lloyd's of London has projected that global legal costs could

> reach $1 trillion.

>

> An unlikely coalition of insurers, high-technology companies, and large

> and small businesses support the legislation, which is opposed by

> consumer groups, trial lawyers and the Clinton Administration.

>

> Republican leaders in Congress have put the bills on the fast track,

> making consideration by both houses likely in the coming weeks.

>

> As 2000 approaches, experts around the world are concerned about

> computer crashes that might occur if software, written to recognize the

> year by the last two digits, mistakes 2000 for 1900.

>

> The Senate panel and the Administration use the same analogy to describe

> the problem's domestic impact: a bad snowstorm that disrupts daily life

> for a few days at most.

>

> Senator Gordon H. Smith, an Oregon Republican, said: Prepare but do not

> panic. Set aside some extra canned goods and bottled water, but do not

> stockpile.

>

> Senator Christopher J. Dodd, the Connecticut Democrat who is the

> committee's vice chairman, said, "We have tried to discount what I call

> the Y2K survivalist mentality."

>

> Indeed, the Gartner Group, a research and consulting firm, has estimated

> that only 10 percent of any computer failures in the United States are

> expected to last more than three days. And the panel gave relatively

> high marks to the nation's utilities, telecommunications, financial and

> transportation areas.

>

> But the report, the most comprehensive assessment of the year 2000

> problem, singled out the nation's 6,000 hospitals, 50,000 nursing homes

> and 800,000 doctor offices for criticism. About 80 percent of doctors'

> offices and 50 percent of small- to medium-sized businesses have failed

> to take

> action, the report said.

>

> The problem is more serious abroad, the senators said, because foreign

> governments either do not have the resources, the political will or the

> interest to deal with the problem, which could hamper everything from

> credit-card transactions to utilities.

>

> Many nations are looking to the United States for help. Today, John A.

> Koskinen, President Clinton's year 2000 czar, was in the Philippines to

> discuss ways to avert breakdowns with 30 Asian-Pacific countries.

>

> The Pentagon sent a delegation to Moscow last month to meet with Russian

> technical experts and lay the groundwork for a plan to have Russian

> specialists sit with their American counterparts this New Year's Eve in

> a joint missile-warning center in Colorado.

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