Year 2000 Conversion News

Securities Industry and Regulators Assure Investors About Y2K. (12/27/99) The heads of several securities industry groups and the head of the SEC met on December 27 to assure investors that the integrity of the markets will be preserved on the first trading day in the Year 2000.

Commerce Department Reports that Y2K Will Not Harm Economy. (11/17/99) The Department of Commerce released a report on Wednesday, November 17, that predicts that Year 2000 technology problem will have almost no net effect on the U.S. economy.

SEC and Securities Industry Say Y2K Will Be Business As Usual. (9/7/99) SEC Chairman Arthur Levitt and leaders of the U.S. securities industry stated on Tuesday, September 7, that the securities industry has tested and retested its computers and systems, and that trading would be conducted as usual on the first trading day of the Year 2000. The event was held to bolster investor confidence. See, Levitt Statment.

Senate Takes Up Y2K Act Again. (6/12/99) The Senate resumed consideration of the "McCain-Dodd" version of the Y2K Act on June 9 and 10. Earlier attempts to pass the Y2K Act were halted by Democratic filibusters. The Senate may pass the bill as early as Tuesday, June 15.

House Passes Y2K Litigation Bill. (5/13/99) The U.S. House of Representatives passed HR 775, the Year 2000 Readiness and Responsibility Act, by a vote of 236 to 190 on Wednesday, May 12.

House Judiciary Committee Approves Y2K Litigation Reform Bill. (5/4/99) The House Judiciary Committee approved HR 775, the Y2K Readiness and Responsibility Act, by a vote of 15 to 14 on Tuesday afternoon, May 4. Except for Rep. Lindsey Graham (R-SC), the vote followed party lines. The Committee also rejected a weaker version of the bill offered by Rep. Zoe Lofgren (D-CA).

Y2K Act Not Dead Yet. (5/2/99) Senate staff working on S 96, the Y2K Act, differ over whether the bill is dead. The Senate last week failed to adopt a motion that would have cut off debate on the bill, and permit the Senate to proceed to vote on the bill.

Senate Consideration of Y2K Act Delayed by Democrats. (4/30/99) The Senate failed to adopt a motion that would have allowed S 96, the Y2K Act, to come to a vote. The vote was 52-47. 60 votes were required for passage. All Democrats voted no.

Clinton Administration Opposes Y2K Litigation Reform Bill. (4/29/99) The Executive Office of the President wrote an unsigned statement dated April 27, 1999 suggesting that President Clinton might veto S 96, the Y2K Act. The Senate is debating the bill to reform liability and procedural rules for litigation arising out of Year 2000 technology problems. See, copy of statement.

McCain and Wyden to Offer Amended Version of Y2K Act. (4/26/99) Sen. John McCain and Sen. Ron Wyden announced on April 19 that they will offer a substitute amendment to S 96 when the Senate takes up consideration of the bill. S 96, the "Y2K Act," reforms litigation procedure and remedies in lawsuits arising out of Year 2000 technology problems. See, copy of McCain-Wyden bill.

Small Business Y2K Loan Bill Passes Senate and Moves in House. (3/15/99) The Small Business Year 2000 Readiness Act, a bill to provide SBA guaranteed loans to small businesses to correct and recover from Y2K problems, passed the Senate on March 2. It was the subject of a hearing by the House Small Business Committee on March 12. It will likely pass the full House soon.

Senate Committee Passes the McCain Y2K Litigation Bill. (3/4/99) The Senate Commerce Committee approved S 96, the Y2K Act, on Wednesday morning, March 3. The bill would limit litigation over Year 2000 technology problems. All eleven committee Republicans voted for the bill. All nine Democrats opposed it.

McCain Y2K Litigation Bill Is a Work in Progress. (2/15/99) Sen. John McCain's Y2K Act, which would reform the rules governing lawsuits over Year 2000 problems, had its first hearing on February 9. It faces opposition from within the Senate, and from plaintiffs' trial lawyers. Business leaders, and the Republican and Democratic leaders of the Senate's Y2K Committee, testified in favor of Y2K litigation reform.

Sen. Hollings Opposes Year 2000 Litigation Reform Bill. (2/15/99) The supporters of S 96, the Y2K Act, argue that the rules for Year 2000 problem lawsuits must be reformed, so that companies will focus on fixing problems, rather than preparing for litigation. To achieve this goal, a bill must be passed quickly. Sen. Ernest Hollings' opposition may stand in the way. See, opening statement of Sen. Hollings.

Senate Committee Approves Small Business Y2K Loan Bill. (2/5/99) The Senate Small Business Committee approved with amendments the "Small Business Year 2000 Readiness Act" this morning. The bill provides for SBA guaranteed loans to small businesses to correct, and recover from, Y2K problems. See, copy of S 314.

Sen. McCain Introduces Y2K Liability Bill. (1/21/99) Sen. John McCain introduced a bill in the U.S. Senate on January 19 that would change the rules governing lawsuits over Year 2000 problems. McCain said that the bill's purpose "is to ensure that we look to solving the technology glitch known as Y2K rather than clog our courts with years of costly litigation," McCain said.  The bill would make it harder to win Y2K suits, and limit the size of some recoveries.  See, copy of S 96, the "Y2K Act".

State of the Union Address Slim on High Tech Policy. (1/20/99) President Bill Clinton read his annual "State of the Union" speech to the Congress on Tuesday night, January 19.  It contained little discussion of high tech policies.  However, it did touch on the Year 2000 conversion problem, privacy in electronically stored medical records, and terrorist threats to computer infrastructure. See, copy of speech.

Senators Back Y2K Litigation Reform. (1/16/99) Sen. Bob Bennett used a Senate Appropriations Committee hearing on Friday, January 15, to plead for Year 2000 litigation reform. "If the trial lawyers loved the tobacco settlement, they are going to go bananas over this," he said. Meanwhile, Sen. John McCain and Sen. Slade Gorton also announced on Friday that they will introduce legislation to curb unnecessary litigation resulting from Year 2000 computer disruptions.

Y2K Chief Testifies Before Senate Appropriations Committee. (1/16/99) John Koskinen, Chairman of the Council on Year 2000 Conversion, testified before the Senate Appropriations Committee Friday morning, January 15, 1999. He testified that he did not expect the federal government to need more than the $3.35 Billion which the Congress appropriated in October 1998 for emergency expenses related to Year 2000 conversion.

SEC Brings Year 2000 Enforcement Actions. (10/21/98)  The Securities and Exchange Commission (SEC) charged thirty-seven brokerage firms yesterday with failing to report their Year 2000 preparedness, as required under recently amended SEC regulations.

Clinton Signs Year 2000 Liability Bill. (10/20/98) Bill Clinton signed S 2392, the "Year 2000 Information Readiness and Disclosure Act," on Monday, October 19. The bill will limit liability for sharing information about Year 2000 technology problems.

House Passes Y2K Liability Bill. (10/2/98) The U.S. House of Representatives passed the Year 2000 Information and Readiness Act of 1998 on Thursday, October 1. The Senate passed it on September 28. The President promised to sign it. The bill limits the liability of those who share Y2K conversion problem information.

Year 2000 Liability Bills. (9/22/98) Legislation to limit the liability of businesses and organizations that share Year 2000 conversion information is working its way through the Congress. A bill supported by the administration passed the Senate Judiciary Committee last Thursday.  See, S 2392 RS, "Year 2000 Information and Readiness Disclosure Act".

DOJ Approves NAM Plan to Share Y2K Information. (8/17/98) The Antitrust Division of the U.S. Department of Justice on Friday announced that it has approved a plan by the National Association of Manufacturers to share Year 2000 compliance information via a website. See, copy of DOJ Statement.

SEC Seeks More Y2K Disclosure. (8/4/98) SEC Chairman Arthur Levitt sent a letter to over 9,000 executives at publicly traded companies urging them to disclose more information about their Year 2000 conversion preparedness. Many companies have been reluctant to do so. Congress has pressured to SEC require further disclosure.

Bennett Committee Holds Hearing on Telecom Y2K.   (8/3/98) The Senate Special Committee on Year 2000 Technology Problem, chaired by Sen. Bob Bennett, held a hearing in Washington DC on Friday, July 31, on compliance in the telecommunications industry.

Y2K Liability Reform Bill Filed in Congress.   (7/21/98) Rep. David Dreier and Rep. Chris Cox  filed a bill in the House that would limit liability for Y2K failures. The bill protects some "designers, developers and manufacturers" and other persons, such as users of noncompliant software or equipment.  The purpose of the bill is "to have companies focussed on fixing Y2K problems rather than being frozen by the fear of lawsuits," said Dreier. The bill's strong protections are in sharp contrast to the weak bill proposed by President Clinton last Tuesday.

Clinton Proposes Weak Y2K Litigation Bill.   (7/15/98) President Bill Clinton proposed in a speech at the National Academy of Science on Tuesday that businesses which share information about their Year 2000 conversion readiness be protected by a "Good Samaritan" law. However, Clinton's proposed bill, as described in the carefully worded speech, would actually offer very little protection to businesses. Al Gore also spoke at the event. See, Clinton Speech and Al Gore Speech.

House Holds Hearing on Y2K in Telecommunications. (6/17/98)  The House Ways and Means Committee, Subcommittee on Oversight, held a hearing on Tuesday on Year 2000 problems in telecommunications systems. In what has become an almost weekly ritual on Capital Hill, an oversight committee called in several government officials and industry leaders to report on the status of Y2K conversion efforts.

Senate Addresses Year 2000 Problems. (4/29/98) The Senate Commerce Committee held a hearing on Tuesday on the Year 2000 problem. FCC Chairman William Kennard provided testimony on Y2K problems in telecommunications. Also, the Senate formed a new committee to deal with Y2K problems, which will be headed by Sen. Robert Bennett (R-UT).