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Clips September 24, 2003



Clips September 24, 2003

ARTICLES

California Bans Spam, Sets Fines
Virus hits US State Department
Security Report Puts Blame On Microsoft
Kazaa Suit Turns Tables on Record Labels, Movie Studios
Sept. 11 Panel Weighs Ideas for Domestic Intelligence
MSN to Limit Chat Service in Most Markets
Court blocks national do-not-call list
'Powerful' enterprise architectures take shape

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Los Angeles Times
California Bans Spam, Sets Fines
By Carl Ingram
September 24, 2003

SACRAMENTO  Gov. Gray Davis signed into law Tuesday a groundbreaking bill aimed at banning often offensive "spam" advertisements from the online mailboxes of millions of California computer users.

The measure, by state Sen. Kevin Murray (D-Culver City), would make it illegal for spam marketers and their advertisers to e-mail Californians, unless the recipient had specifically requested it or had had a prior business relationship with the advertiser, such as a bookseller.

Violators would be subject to a fine of $1,000 for each unsolicited message and up to $1 million for blitz campaigns in which hundreds of thousands or even millions of unsolicited sales pitches are sent out daily.

As Davis signed the bill, SB 186, he announced that he had also signed or soon would approve other measures in a package aimed at protecting the privacy of Californians and guarding them from identity theft.

Many states, including California, have enacted laws aimed at cracking down on unsolicited e-mail, whose topics can include products such as sexual enhancers, "anti-aging" creams, weight-loss pills and heavily discounted home loans. But Murray said his bill, effective Jan. 1, would be the first to hold an advertiser liable along with the spam merchant.

"We think it is going to be the toughest bill in the nation," the senator said Tuesday. "The beauty of this is you go after the advertisers. They are fineable and attachable."

Murray noted that spam has increased astronomically in the last couple of years and said it costs frustrated businesses and consumers billions of dollars in wasted time as well as the costs of trying to prevent it.

The new law will allow state Atty. Gen. Bill Lockyer, Internet service providers and individual citizens to sue spam marketers and their advertisers in civil court. Backers of the bill said that feature alone would discourage spam.

As the bill traveled through the Legislature, lawmakers agreed that it would be relatively easy for California to win judgments against spam merchants and their advertisers in state courts. But some considered actually recovering damages from those outside the state and overseas problematic.

Currently, the state routinely sues out-of-state and foreign companies that do business in California for a variety of offenses, such as fraud and false advertising.

Lockyer spokesman Tom Dresslar said, for example, that a judgment could be made in favor of the state against a spam merchant in Beijing, but that it "may be more difficult, depending on distance and the circumstances, to collect. But that doesn't mean we don't go after the guy in Beijing."

Dresslar said Lockyer, who is currently prosecuting a spam merchant under another law, intends to aggressively enforce the anti-spamming law.

Murray disagreed that fines would be difficult to collect against spam merchants located beyond the California state line. He said that since virtually all online transactions involve the use of four internationally recognized credit card companies based in the U.S., it would be relatively easy to locate the offender's bank accounts and attach them for the amount of the fine owed.

Or, Murray said, the plaintiffs could sue a credit card company and attempt to attach the spam merchant's or advertiser's revenue that traveled through the company's channels.

"As long as we know where your money is, we can attach it," he said.

David Kramer, a partner in the Wilson Sonsini law firm in Palo Alto, has been dealing with efforts to control e-mail spam for seven years.

He said the only other state to pass a law banning spam is Delaware.

"It's not working there," said Kramer, "because banning spam is only half the battle. You actually have to create an effective enforcement mechanism to make sure the prohibition is enforced."

In Delaware, the principal enforcer is the attorney general, who is busy with more serious crimes.

The new law in California "not only gives victims the ability to seek redress for themselves," Kramer said, "but it also creates a means of serving the public interest, because those suits create deterrent and the threat of those suits creates deterrent."

He said he hopes that the California law will not be abused as he believes the right to take private action has been in Utah, where the law allows a spam recipient to sue for $10 for every e-mail. There, two law firms have filed 1,500 individual lawsuits seeking $6,500 settlements with e-mail senders, said Kramer.

The California bill was backed by a variety of consumer advocates, who had made protection of residents' privacy a leading issue of the recently concluded legislative session.

Murray said the new law will require recipients to give their consent before receiving a sales pitch via e-mail, unless the individual and the entity had previously done business. In that case, the recipient could demand that no more unsolicited messages be sent.

In a statement, Davis said the California law will signal to the nation that the "time has come for unscrupulous spammers to stop feeding our e-mail boxes a daily diet of unwanted e-mail."

Several bills have been proposed this year in Congress that would restrict the use of commercial e-mail. Sen. Charles E. Schumer (D-N.Y.) has called for a federal anti-spam registry, similar to the do-not-call registries for telemarketers. That would enable consumers to prevent unsolicited commercial e-mail. And Sen. Ron Wyden (D-Ore.) has co-sponsored a bill that would impose stiff civil penalties on spammers who failed to include valid links allowing recipients to unsubscribe to unwanted e-mails.

Davis, however, warned against other federal legislation that threatens to overturn new privacy measures in California and nullify several existing identity-theft laws.

One potential target is the heavily contested California law that requires banks and other financial institutions to first obtain a consumer's consent before his or her private financial history can be sold or traded to third parties for marketing purposes. The law also clamps restrictions on which companies in a business family can and cannot receive such information without the customer's advance approval.

Legislation is moving in both houses of Congress that would throw out the law, written by state Sen. Jackie Speier (D-Hillsborough), on grounds that state laws cannot be stricter than federal laws.

Instead of wiping out California laws, Davis said in a letter to congressional leaders, "Congress should consider them as a model for the rest of the nation."

He said that, if nothing else, the federal legislation should exempt California.

In the Legislature, the Murray proposal drew surprisingly little opposition.

But the California Assn. of Realtors expressed fear that the bill would limit its ability to send electronic notices of trade shows and seminars to its 130,000 members.

Stan Wieg, an association lobbyist, said it would be hard for local chapters, often run by volunteers, to keep up on who does and doesn't want such information.

"You can see how you can be tripped up by that sort of record-keeping obligation," he said.

The direct-marketing industry, which opposed other privacy bills, did not fight the Murray proposal. But industry observers warned that the new law would not touch the most notorious spam merchants, which are based outside the United States.

"It fails to address the core issue about spam. It totally fails to be able to reach the offshore criminals who are sending Viagra ads," said Ray Schultz, editorial director of Direct, a magazine that covers the direct-marketing industry. He said the industry would prefer to see a uniform federal law that supersedes state statutes.

Another bill signed Tuesday by Davis was SB 27, which will require firms that have divulged a customer's personal financial information to others to inform the customer, upon request, which third parties received the information and what it contained.
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Australian IT
Virus hits US State Department
Ted Bridis
SEPTEMBER 24, 2003 
 
THE US State Department's electronic system for checking every visa applicant for terrorist or criminal history failed worldwide for several hours because of a virus.

The virus crippled the department's Consular Lookout and Support System (CLASS), which contains more than 12.8 million records from the FBI, the State Department and US immigration, drug-enforcement and intelligence agencies. Among the names are those of at least 78,000 suspected terrorists.
In an internal message sent late Tuesday to embassies and consular offices worldwide, officials cautioned that "CLASS is down due to a virus found in the system." There was no backup system immediately available, and officials said they could not predict how long the outage might last.

Within hours, the system was back up and running. A spokeswoman for the US embassy in Seoul, Maureen Cormack, said it was a "short outage" and "not a major problem." She said interviews for visa applicants continued but any decisions could not be made until the system was back up.

In Washington, State Department spokeswoman Joanne Moore said the agency experienced some computer problems but could not confirm the visa-checking system was affected.

"We did have some computer problems," she said. "They're working on it."

Every visa applicant is checked against the names in the CLASS database. The State Department's automated systems are designed to not even print a visa until such a check is completed.

It was unclear which computer virus might have affected the system. But a separate message sent to embassies and consular offices late Tuesday warned that the "Welchia" virus had been detected in one facility. Welchia is an aggressive infection unleashed last month that exploits a software flaw in recent versions of Microsoft's Windows software.

Collectively, Welchia and a related virus, "Blaster," have infected hundreds of thousands of computers worldwide, including computers at the Federal Reserve in Atlanta, Maryland's motor vehicle agency and the Minnesota Transportation Department.

The State Department has invested heavily in the CLASS system since the September 11 terrorist attacks, more than doubling the number of names that applicants are checked against.

One provision of the Patriot Act, passed just weeks after the attacks, added FBI records, including the bureau's violent gang and terrorist database.

The list also includes the names of at least 20,000 people accused of serious Customs violations and the names of 78,000 suspected terrorists.
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Washington Post
Security Report Puts Blame On Microsoft
By Jonathan Krim
Wednesday, September 24, 2003; Page E01

Viruses, worms and other cyber-attacks that are crippling computers with increasing frequency cannot be stopped as long as the software of one company -- Microsoft Corp. -- dominates computing, according to a paper prepared by corporate technology officers and researchers.

"The security situation is deteriorating," says the report, which is to be released today. With Microsoft operating systems used on more than 90 percent of the world's personal computers, the authors write, most computers are vulnerable to attack and networks are easily compromised.

The report, whose authors include prominent critics of Microsoft, comes at a sensitive time for the company. It is under intense criticism for security flaws in its software despite repeated pledges from Chairman Bill Gates and chief executive Steven A. Ballmer to make security the company's top priority.

"No other company in the world is more committed to providing its customers with more secure software than is Microsoft," said Sean Sundwall, a company spokesman. He said he could not comment further until the paper is released.

Since the recent spread of the Sobig, Blaster and Slammer worms, federal and state officials have questioned cybersecurity more critically. Many technology officers for companies and governments are reconsidering whether they should diversify the types of products on their networks.

The paper argues that governments, through their power to decide what software to buy for their systems, should force Microsoft to reveal more of its software code to allow development of better security tools, and to make its software work better with competing products.

Policymakers must "confront the security effects of monopoly and acknowledge that competition policy is entangled with security policy from this point forward," the paper says.

The technology industry generally opposes government regulation and favors allowing the marketplace and technological innovation to create solutions to problems. Under the free-market theory, if a company's products are flawed, consumers will buy others that are superior.

But Microsoft has virtually no competition for PC operating systems, and people who break into computer systems or write worms and viruses are more technologically adept than many software manufacturers.

"I don't hold to the theory that technology always beats policy," said Daniel E. Geer Jr., one of the paper's authors and chief technology officer for AtStake Inc., a business-security firm in Massachusetts.

The report is being released by the Computer and Communications Industry Association, a trade group that is involved in antitrust action against Microsoft in the United States and Europe. Other authors include Charles P. Pleeger of Exodus Communications Inc.; John S. Quarterman, founder of Matrix NetSystems Inc.; Rebecca Bace, chief executive of network security firm Infidel Inc., and Peter Gutmann, a computer science researcher at the University of Auckland in New Zealand.

Geer said the paper grew out of his ideas and discussions among security executives and academics about the increase in security threats and was not instigated by the association.

"Nature does not put up with monocultures" because they are too easy to attack, Geer said. "If everything looks just alike . . . it will promptly be punished."

Another author of the paper, Bruce Schneier, chief technology officer of Counterpane Internet Security Inc., is a longtime Microsoft antagonist who has argued that the company should be held financially liable for its security flaws.

Computer users generally agree to terms that absolve software makers of liability, which Microsoft's critics argue gives the company no incentive to be more vigilant about security.

Schneier said the problem with Microsoft is that it is so intent on being dominant that it designs its systems primarily to keep out competitors, not intruders.

"Their goal is to facilitate lock-in" of Microsoft products, he said.
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Los Angeles Times
Kazaa Suit Turns Tables on Record Labels, Movie Studios
The firm that distributes the file-sharing software accuses the companies of infringing its copyrights.
By Jon Healey

September 24, 2003

Accused by the major record labels and movie studios of enabling rampant global copyright infringement, the company behind the world's most popular file-sharing network has sued the labels and studios.

For copyright infringement.

Last year, the labels and studios filed a federal suit alleging that Sharman Networks Ltd., which distributes the Kazaa file-sharing software people use to copy billions of songs and movies they haven't paid for, contributes to and benefits from online piracy.

On Monday, Sharman tried to turn the tables.

Its federal countersuit claims that the entertainment companies, in their zeal to ferret out pirates, hooked up to the Kazaa network with unauthorized versions of the free Kazaa software  violating Kazaa's copyright. The countersuit also revives Sharman's allegation that the entertainment companies violated antitrust laws by stopping Sharman and its partner, Altnet Inc. of Woodland Hills, from distributing authorized copies of music and movies through Kazaa.

U.S. District Judge Stephen V. Wilson rejected the antitrust claims July 2 but last week allowed Sharman to try again.

More detailed than previous filings, the countersuit alleges that executives at Vivendi Universal's Universal Music Group and AOL Time Warner Inc.'s Warner Music Group refused to permit their copyrighted songs to be distributed via Altnet.

Universal and Warner declined to comment.

Based in the South Pacific tax haven of Vanuatu, Sharman has moved aggressively to enforce its copyrights. For example, it has sent letters twice in the last six weeks to Google Technology Inc. of Mountain View, Calif., demanding that the Internet search service stop providing links to Kazaa Lite and to other downloadable software that allegedly infringes Sharman's copyrights.

Kazaa Lite is a replica of Sharman's software, minus elements that display ads  Sharman's chief revenue source.

Monday's counterclaim accuses the entertainment companies of using Kazaa Lite to get onto the network. It also said that the companies' efforts to combat piracy on Kazaa, including offering bogus versions of copyrighted works and sending instant messages to users, violated the terms for using the network.

A spokesman for the Recording Industry Assn. of America said Sharman's "newfound admiration for the importance of copyright law is ironic to say the least.

"Too bad this self-serving respect stops at its headquarters' door in Vanuatu, and doesn't extend to preventing the rampant piracy on its networks or lifting a finger to educate its users about the consequences of illegal file sharing."
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New York Times
September 24, 2003
Sept. 11 Panel Weighs Ideas for Domestic Intelligence
By PHILIP SHENON

WASHINGTON, Sept. 23  The independent commission investigating the Sept. 11 terrorist attacks said today that it was weighing proposals for an overhaul of American intelligence and law enforcement agencies, including the creation of a special domestic intelligence agency that would most likely take over some F.B.I. responsibilities.

The bipartisan commission, which was created by Congress over the opposition of the Bush administration, said in a report issued today that it was also considering a proposal to create a new post, director of national intelligence, to oversee domestic intelligence. It suggested that the new domestic intelligence agency could be an "American version of Britain's MI-5."

Such recommendations from the 10-member panel, known formally as the National Commission on Terrorist Attacks Upon the United States, would most likely meet with fierce resistance from the Bush administration, which has made clear that it would oppose any further restructuring of intelligence and law enforcement agencies.

Asked at a news conference if the panel would recommend a fundamental reorganization of counterterrorism agencies, the chairman, Thomas H. Kean, former governor of New Jersey, said that while no final decision had been made, the proposals for an overhaul of intelligence agencies and the F.B.I. were being seriously debated.

"We will, without question, be making recommendations in that area, and we've tried to state very boldly the questions that are out there in this town and elsewhere in the country," said Mr. Kean, a Republican. "We are, by statute and by mandate, asked to look at those questions."

The panel's vice chairman, Lee H. Hamilton, a former Democratic House member from Indiana, said that he expected some of the panel's recommendations next year to be "controversial," involving "cutting edge issues," and that panel members would publicly pursue them long after the commission filed its final report.

"We will not go away the day after we release our report," Mr. Hamilton said. "We want recommendations that can be implemented, work in the real world and make a difference."

A call for the creation of a domestic intelligence agency or a domestic intelligence czar would probably have enthusiastic support from lawmakers and counterterrorism specialists who have said that the Sept. 11 attacks demonstrated the need for a wholesale restructuring of the Central Intelligence Agency, the Federal Bureau of Investigation and other counterterrorism agencies.

The commission's interim report today offered no revelations about the events of Sept. 11, 2001, or the government's actions before or after the attacks.

Instead, the report outlined the commission's plans for its investigation, including public hearings later this year that will focus specifically on the performance of the C.I.A., the F.B.I. and other counterterrorism agencies, and whether they need to be restructured.

"We will explore questions of organization and leadership," the report said. "Should we restructure the intelligence community and create a director of national intelligence? Should we change the way we prepare and issue warnings of terrorist attacks?"

The report said that later public hearings "will examine reforms by the F.B.I. and whether we need a new agency to gather intelligence in the United States  what some have called an American version of Britain's MI-5. We will look at whether our nation is striking the right balance of security and liberty."

Elsewhere in its report today, the commission said agencies of the executive branch had "significantly improved their performance in responding to our document request" since July, when the panel went public with criticism that the Pentagon, the Justice Department and other agencies had been slow to turn over classified documents related to the Sept. 11 attacks.

"The commission has obtained access to many of the key White House and National Security Council documents we have sought from this administration and its predecessor," the report said today. "The access we already have is on a unique breadth and scale."

The panel said it was still pressing the White House for a variety of highly classified documents. "Although we have received certain assurances, we are still negotiating with the White House," the report said. "We will inform the public promptly if the commission does not receive the access it needs."

At the news conference, Mr. Kean praised the administration's stepped-up cooperation with the panel and said that "at this point, we have been refused nothing." He said the panel had received 400,000 pages of government documents, most of them since July, and "it's amazing to see these documents come in, box after box after boxload."

But he said he was still disturbed by the insistence of some executive branch agencies  he did not say which  that their employees be interviewed by the commission only in the presence of the agency's lawyers or other "minders."

"Still got minders, still don't like them," Mr. Kean said, adding, however, that he had been pleased to hear from the commission staff that "as they've done these interviews, the interviewees are encouragingly frank, that they by and large have not seemed to be intimidated in any way in their answers."

Asked if President Bush and former President Bill Clinton would be asked to testify before the panel, Mr. Kean said that the decision would probably be made early next year.

"We have been talking with a number of people on levels that aren't quite as exalted," he said. "We are not going to make that decision at this time, but we plan to talk to everybody who has information to offer."
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Associated Press
MSN to Limit Chat Service in Most Markets
Wed Sep 24, 6:32 AM ET
By HELEN JUNG, AP Business Writer

SEATTLE - Microsoft Corp. is shutting down Internet chat services in most of its markets around the world and limiting the service in the United States to help reduce criminal solicitations of children through online discussions.


The changes also should help Microsoft shed some nonpaying users that have dragged on profits, said an analyst who follows the software giant.


The changes, which will take effect Oct. 14, were disclosed Tuesday.


In most of its 34 markets in Europe, Latin America and Asia, Microsoft MSN has chosen to simply shut down the service. However, MSN will continue to offer chat services to users in the United States, Canada, Japan and Brazil.


Eliminating and curtailing the service will help curb inappropriate uses, MSN spokeswoman Lisa Gurry said, including pornographic spam as well as pedophiles or other sexual predators.


"We recognize that it's a common industry wide problem," she said. "We've taken a look at our service and how can we make efforts to step up our efforts to provide a safe environment."


Microsoft officials refused to say how many people use its chat service.


The Redmond, Wash.-based company has about 8.6 million subscribers for its Internet service. Gurry said the number of MSN chat users has been declining as people switch to instant messaging (news - web sites) services from companies such as AOL, Yahoo! and MSN.


In recent years, authorities have pursued cases in which suspects allegedly sought out children and others through online chat rooms, including an incident in July in which a 12-year-old British girl ran off to meet a former U.S. Marine she had met in a chat room.


In the United States, MSN will require users of its chat service to subscribe to at least one other paid MSN service. That way, the company will have credit card numbers to make it easier to track down users who violate MSN's terms of use. The sessions will not be moderated, Microsoft said.


In Canada and Japan, the company will offer some moderated chat rooms. Users can also subscribe to an unmoderated service. MSN will offer some moderated chat discussions in New Zealand and Brazil.


The move also may help MSN trim the number of free users and help boost its overall revenue, said Rob Helm, an analyst with Directions on Microsoft, an independent research firm.


"I think this change will have welcome side effects, like keeping spammers out of the chat rooms," he said. "But fundamentally I believe this is a move to make MSN more profitable. It will allow the company to get rid of some infrastructure that was supporting chat, and to make more money on what it leaves in place."
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Government Computer News
09/24/03
Court blocks national do-not-call list
By Patricia Daukantas

A U.S. district court in Oklahoma City has ruled that the Federal Trade Commission does not have the authority to run a national anti-telemarketing list, but the donotcall.gov Web site associated with the list remained up and running as of this afternoon.

Federal Judge Lee R. West ruled yesterday that the FTC had no statutory authority to promulgate a national registry of phone numbers that cannot receive unsolicited marketing calls.

In a statement, however, FTC Chairman Timothy J. Muris said that the commission had ?clear legislative direction? to create the registry.

The Direct Marketing Association Inc. of New York and four telemarketing companies had filed suit against the FTC over the National Do Not Call Registry, which opened its virtual doors in late June. The registry is a joint effort of FTC and the Federal Communications Commission, which was not named in the suit.

Last week, FTC announced that more than 50 million households had registered their phone numbers with the service. The list was supposed to take effect on Oct. 1.

In his statement, Muris said that FTC issued the rules that created the do-not-call registry under the Telemarketing and Consumer Fraud and Abuse Protection Act. Earlier this year Congress passed and President Bush signed the Do Not Call Implementation Act to allow the commission to fund the registry through fees on telemarketers and sellers.

The Omnibus Appropriations Act of 2003 also contains language authorizing FTC to ?implement and enforce the do-not-call provisions of the Telemarketing Sales Rule,? Muris said.

?This decision is clearly incorrect,? Muris said. ?We will seek every recourse to give American consumers a choice to stop unwanted telemarketing calls.?

In a statement, the DMA expressed gratitude about the decision but said it still ?acknowledges the wishes of millions of U.S. consumers who have expressed their preferences not to receive telephone marketing solicitations.?
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Government Computer News
'Powerful' enterprise architectures take shape
By Jason Miller and Thomas R. Temin

The development of enterprise architectures is ?the most powerful thing that?s happened in federal IT in the last 20 years,? according to Veterans Affairs Department acting CIO Ed Meagher. So powerful, in fact, that at VA it has spawned a monster and a crew of deviants, so to speak.

Meagher, speaking this morning at a breakfast hosted by the Bethesda, Md., chapter of the Armed Forced Communications and Electronics Association, quipped that VA secretary Anthony Principi has so fully bought into the EA concept, ?that we?ve created a monster. [Principi] is constantly beating us up with it.?

Meagher said a group known within VA as the Deviantsfor Department of Veterans Affairs Enterprise Architecture Innovation Teampasses judgment on each and every IT project anywhere in the agency, down to aggregated buys of PCs. The group is comprised of CIOs, finance people and deputy undersecretaries from VA?s three principal agencies.

The department?s architecture effort, for instance, showed that three benefits deceased veterans are entitled totransport to funeral homes, mortuary services and burialeach require survivors to make a separate application to one of the three bureaus, a situation Meagher said VA will fix.

The AFCEA breakfast featured reports on how VA and two other agencies are advancing their EA plans.

Environmental Protection Agency CIO Kim Nelson said that all new IT contracts will include a clause requiring contractors to abide by the systems blueprint when designing or implementing new applications.

?We were looking for a way to build our architecture into our business processes and enforce it,? Nelson said. ?Now that we have our target architecture, we have to educate vendors on where to find it and how to use it.?

She said EPA is developing a CD-ROM that will include the architecture, minus confidential information such as security data, to hand out to vendors.

?Vendors need to understand what exists and whether they can reuse it for future applications,? Nelson said. ?This is a smart thing to do because it makes sure you align your investments with your architecture.?

While EPA is managing its investments through its EA, the Energy Department is using its blueprint as a communications tool.

Karen Evans, Energy CIO and soon-to-be administrator for e-government and IT for the Office of Management and Budget, said her agency?s enterprise architecture efforts have given greater visibility to the many ongoing IT investments in the department. That in turn helps DOE?s investment steering committee decide which projects are redundant, which can be consolidated, and which might be vital to a particular mission, Evans said.

She said that, through this process, Energy consolidated 22 help desks down to two because the duplicative systems became obvious after doing an analysis.

Energy officials also used the EA to discover the agency has 264 systems that provide at least some similar enterprise resource planning function. Evans said the steering committee thereupon froze new acquisitions for these systems until each can be analyzed more fully.

Evans added officials will use the enterprise architecture to update its e-government strategy, with which it plans to evaluate the possibilities of consolidating 50 networks, 17 Web sites and three grant systems.
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Government Executive
September 23, 2003
Government and tech industry release security recommendations
By Shane Harris
sharris@xxxxxxxxxxx

Five federal agencies, a nonprofit Internet security group and one of the nation?s largest software manufacturers have issued recommendations for making one of the most popular software programs in the government more secure. The move, announced at a press conference in Washington Tuesday, marks a watershed between the government and the technology industry, officials said.


Oracle Corp., the giant database software maker that counts the federal government as its largest single customer, has agreed to deliver a new version of its product to the Energy Department that has more than 250 specific security enhancements. Those modifications have been packaged in a ?benchmark document? that is being published on the Internet, so that other federal agencies can take advantage of it.


It?s unclear how many agencies will avail themselves of the security recommendations, since implementing them could take considerable time and effort. Karen Evans, Energy?s chief information officer and a driving force behind the deal with Oracle, noted that the lengthy process of making security changes to commercial software was one of the reasons her department sought concessions from the company before the product was delivered.


The Energy Department deal conforms to an Office of Management and Budget mandate to use the federal government?s significant purchasing power to gain concessions and special arrangements from technology contractors. The government is the single largest purchaser of information technology goods and services in the United States.


The Center for Internet Security, which helped craft Oracle?s modifications, is also developing an automated tool that will scan a system and score it on how well it complies with the benchmarks. The tool is in the final stages of development, and the center will release it publicly when it is finished.


Energy and Oracle reached their agreement in the summer, but neither side had publicly announced the deal or the release of the benchmark document before.


Evans will have broader authority over procurement and security strategy when she takes over the position of e-government and technology chief at OMB next month. She replaces Mark Forman, the president?s first e-government administrator, who is taking a job in the private sector.


Oracle is delivering the more secure software as part of a two-phase licensing agreement with Energy. The first phase will cover the department?s headquarters in Washington and is valued at $5 million, Evans said. The second phase, which Evans expects to be implemented in the next fiscal year, will provide the Oracle software to government and contract Energy locations across the country, she said.
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