Senate Commerce Committee Approves Digital Signatures Bill

(July 30, 1998)  The Senate Commerce Committee approved an amended version of S 2107, the Elimination of Government Paperwork Act, on Wednesday, July 29, by a unanimous voice vote.

The substitute amendment approved by the Senate Commerce Committee requires federal agencies in most circumstances to put forms, questionnaires and surveys in electronic form, and make them available on the Internet.   It would also provide for electronic payments to federal agencies in some situations.   The bill also requires federal agencies to develop procedures for accepting digital signatures, and provides that such records shall have legal effect.

The committee also approved by voice vote a second degree amendment which exempts the IRS.

The bill was introduced on May 21 by Sen. Spencer Abraham (R-MI).  At the markup session, Sen. Ron Wyden (D-OR), who is a co-sponsor of the bill, stated that "this bill is based on the real simple proposition: that is, it better to be online, than to stand in line."

However, another intention of the bill is that by requiring the government to accept electronic forms and digital signatures, the use of digital signatures in private e-commerce will increase, thus enabling e-commerce to grow.

Transcript of Proceeding to Adopt S 2107

Sen. McCain:  I understand that there is an amendment.  The Government Paperwork Elimination Act would require federal agencies to make versions of their forms online and allow individuals and businesses to use digital signatures to file these forms electronically.  The intent of the bill is to provide a framework for reliable and secure transactions with the federal government.  Before the main hearing was held on the bill on July 15, 1998, Senator will provide a further introduction of the bill, along with a discussion of the substitute amendment.  Senator Abraham.

Sen. Abraham:  This bill that I offer with Senator Wyden, and also Senator Lott and Senator Burns, as cosponsors.  What we would like to do is to actually introduce a substitute.  We have made some changes to the legislation that we initially offered, as well as to offer a second degree amendment which we have been working on with both sides, I think has been cleared on both sides, to make additional improvements in the legislation.  We have been working with both sides here, but also with the administration.  This addresses at least some of the concerns that were raised at the hearing by the administration with respect to some technical applications.   So if it is in order I would like to move the second degree amendment to the substitute at this point.

Sen. McCain: All those in favor.  Is there further discussion on the amendment or on the bill.

Sen. Wyden:  Mr. chairman, just very briefly, on the bill, I know time is short.  This bill is based on the real simple proposition; that is it better to be online, than to stand in line.  If you look at the regulatory process, especially in our part of the world, we just don't think that you need a whole acre of trees for every regulation.  This bill allows us to have an alternative.   Senator Abraham and I have been working for ten months.

Sen. McCain: Is there further debate or discussion?  If not, the motion pending is the substitute by Sen. Abraham.  Second degree.  Those in favor say aye.  Those opposed no.  [The were no nays.]  The amendment is adopted.  Now, the bill itself.  Those in favor say aye.  Those opposed.  [The were no nays.] The ayes have it. The bill will be reported.