Government Reform
Defense Secretary Issues Plan For Military Transformation
     Defense Secretary Donald Rumsfeld sent Congress a plan for military transformation that calls for a streamlined procurement system to expedite the delivery of battlefield technologies. The legislation would repeal certain requirements for major acquisition programs and would modify the Clinger-Cohen Act's applicability to equipment that is integral to weapons systems and the department's technology management. The bill would revise certain budget policies, giving Pentagon officials the right to transfer funds to correct specific acquisition issues. It also would overhaul the Defense Department's personnel policies and calls for better coordination among the Pentagon and other agencies that have a role in national security.

Export
Rep. Hunter Seeks Domestic, Multilateral Export-Control Pacts
     The chairman of the House Armed Services Committee said he plans to meet with House leaders and White House officials to discuss a plan to control exports of items with potential civilian and military uses. Rep. Duncan Hunter, R-Calif., also said a new, stronger international framework for controlling such exports needs to be constructed to prevent terrorists from getting controlled products. In an interview, he said key players will meet to try to develop "a rational plan for the next 20 to 30 years." Hunter said the Export Administration Act should be changed to give the Defense Department more control over which export licenses get approved. He said, for instance, that Defense Secretary Donald Rumsfeld "should have a veto over things that he thinks may come back to hurt us on the battlefield."

Defense
Navy Tech Expert Cites Progress In Information Sharing
     "Knowledge management" tools that enable troops to process, analyze and share many forms of real-time data are crucial to the U.S. military's ability to fight terrorism with its coalition partners, a top Navy technology expert said. "Coalition operations add many layers of complexity to our operations, but they are a fact," Monica Shepard, director of command, control, communications, computer and combat systems for the U.S. Atlantic Fleet, said at a conference. Last week, more than 50 foreign ships participated in various counter-terrorism operations around the world, according to Shepard. She noted that each U.S. ally must be vigilant in protecting its systems from cyber attacks while sharing mission-critical information with other nations.

E-Commerce
Consumers Cautioned About Scam Iraqi Cards On EBay
     Defense officials are warning consumers to be wary of anyone selling decks of cards depicting the 55 most-wanted Iraqi leaders. The number of auctions on the eBay auction site soared, with some sellers claiming to have more than 2,000 decks. But despite claims that a friendly government contractor discreetly released several thousand decks, officials made only 200 decks for distribution to select U.S. forces in Iraq to aid in the hunt for senior Iraqis, a knowledgeable official said. To satisfy growing public curiosity and demand for the cards, the full set has been available to download and print from the Web sites of both the Defense Department and U.S. Central Command, but those versions of the cards are free.

Privacy
Official Vows Privacy Review Of Passenger-Screening System
     The newly designated chief privacy officer for the Homeland Security Department vowed to examine the privacy implications of the Computer Assisted Passenger Pre-Screening (CAPPS II) program for airline passengers. "The [Homeland Security] secretary has already made clear that he plans on having the privacy officer look at new programs like CAPPS II," Nuala O'Connor Kelly said in an interview on the day she was tapped for the post. Currently the Commerce Department's privacy officer, Kelly previously worked at the online advertising firm DoubleClick. Privacy and technology groups expressed satisfaction with her appointment to the post. "She knows the privacy world and the privacy community," said Ari Schwartz, associate director of the Center for Democracy and Technology. "There are not many people currently in [the Bush] administration that have that knowledge" and the ability to work well with them.

Crime
'Cyber Stalking,' Anti-Piracy Debates Intersect In Court Case
     The head of an Internet safety group devoted to stopping "cyber stalking" and online harassment excoriated a federal district judge's decision in an anti-piracy case that permits the recording industry to obtain the name and address of an Internet subscriber. "This is the first time we have taken a position that is political or legal because this is a serious, serious issue," said Parry Aftab, the executive director of WiredSafety who gained prominence as the founder of CyberAngels. "I cannot teach people how to protect themselves online when some bad guys can go into a court clerk's office and fill out a form and get your identity anyway," Aftab said in a conference call to highlight a WiredSafety study and the organization's concern with the legal approach taken by the Recording Industry Association of America.

Budget
Bush Signs Emergency Spending Bill Into Law
     President Bush signed into law an emergency spending bill worth nearly $80 billion to fund the war against Iraq, homeland security efforts and other projects. Bush signed the bill shortly before heading to St. Louis, where he spoke on national security, Iraq and the U.S. economy. A senior Pentagon official explained that the Pentagon will use the $62.6 billion to cover costs for stabilizing and rebuilding Iraq. The package also includes funds to help protect domestic critical infrastructure, such as telecommunications networks, and to assist emergency "first responders."

Business
Small Silicon Valley Firm Bets On Government Market
     Nine months ago, Bill Schroeder, a top executive with the Silicon Valley cyber-security firm Vormetric, was startled by a venture capitalist's suggestion that the 35-person firm develop a strategy for selling its technology to the federal government. But he learned that venture capitalists in Silicon Valley now are intently focusing on the federal market. Mark Heesen, president of the National Venture Capital Association, confirmed that trend. "Basically, venture capitalists are looking for customers, and in the past they ignored the government because it's a pain in the neck to deal with," Heesen said. "Now when times are tough, they are seeing the government ... as a customer that pays its bills. And when you look into the areas of cyber security, the government can be a huge customer."