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ADMINISTRATION: Investigating The Investigators

May 22, 2006






  Wiretapping Spat Covers Two Fronts
  Net Neutrality's Unusual Alliances
  New Jersey Video Bill Set For Final Vote
  Commerce To Create Exports Board
  States Lack Standard Tech, Science Tests
  Web Tool Could Aid Contract Payments
 E-briefs




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Security
Wiretapping Battle Continues In Congress, Courts
by Sarah Lai Stirland

     The fight over the legality of the warrantless surveillance activities by the Bush administration is continuing to boil in both Congress and the courts this week.
     The Senate Judiciary Committee on Thursday is scheduled to debate and approve a compromise version of legislation that is designed to establish an oversight process to the surveillance programs in question at the National Security Agency.
     The latest draft has drawn fire from the American Civil Liberties Union. The group sent a letter to members of the Senate last week, urging them to oppose the measure.
     "The bill is one of the worst bills I've seen on a lot of issues," said Lisa Graves, the ACLU's senior counsel for legislative strategy. "It basically gives away the store."
     Graves noted that Judiciary Chairman Arlen Specter, R-Pa. and Jon Kyl, R-Ariz., struck the compromise. The bill would clarify that the president's decision to authorize warrantless wiretaps is not a crime and would remove many of the oversight procedures currently required by the Foreign Intelligence Surveillance Act. It also would require that legal challenges to the wiretapping program be heard by the Foreign Intelligence Surveillance Court of Review.
     Similar House legislation has yet to be introduced, but another bill, H.R. 5371, would clarify that all foreign intelligence surveillance of Americans is subject to the oversight procedures in the 1978 Foreign Intelligence Surveillance Act. The legislation also would authorize more money to help the foreign surveillance court approve warrants expeditiously.
     John Conyers of Michigan and Jane Harman of California, the top Democrats on the House Judiciary and Intelligence committees, authored the measure.
     In federal courts around the nation, meanwhile, the administration is busy fighting legal challenges to its wiretapping authority.
     The Justice Department is scheduled to file responses to two lawsuits brought by civil-liberties groups in Michigan and New York on Friday. The two courts gave Justice more time to file after department attorneys requested it.
     In a filing with a federal district court in New York last week, the attorneys said they were overwhelmed by the workload posed by several NSA-related lawsuits being filed around the country. The attorneys also said department heads must approve the proposed legal argument in the case. They plan to argue that the wiretapping involves military and state secrets and that the case should be dismissed.
     That is the same argument Justice made to a federal court in San Francisco, where the Electronic Frontier Foundation has launched a class-action lawsuit against AT&T for allegedly giving the government consumer telephone records. Justice intervened and asked the court to dismiss the case because the facts involve a state secret that, if revealed, could jeopardize national security. Justice and EFF are scheduled to submit their arguments on that point sometime Monday.
     Wired News published some of those documents Monday. It is unclear what impact their publication will have on the court proceedings.

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Lobbying
Unusual Alliances Emerge In Net Neutrality Debate
by Heather Greenfield

     As singer-songwriter Alanis Morrisette might say, "Isn't it Ironic." Recording artists including Nine Inch Nails' Trent Reznor have joined forces with the Christian Coalition, Gun Owners of America and Google to lobby for network neutrality legislation.
     Such legislation would block high-speed Internet providers from creating different lines for high-bandwidth traffic and charging higher rates for faster service. Last week, House Judiciary Committee Chairman James Sensenbrenner, R-Wis., and ranking Democrat John Conyers of Michigan introduced the latest net neutrality bill, H.R. 5417.
     In the past, if Reznor and Christian groups were mentioned in the same sentence in Washington, the topic likely was labeling to warn parents about raunchy lyrics -- and they were on opposite sides of the issue. While all is not entirely forgiven, the battle to ensure net neutrality has created an atmosphere where the lion can lie with the lamb.
     "We believe this issue is so important because of free speech," Christian Coalition spokeswoman Michele Combs said. She said her group is concerned that if a cable company has a board that favors abortion rights, it could charge an anti-abortion group more to deliver its messages over that firm's broadband network.
     Combs said embracing unusual partners is worth it to fight for "a family issue." "Sen. Chuck Schumer, D-N.Y., has a zero on our congressional report card, but we partnered with him on this," Combs said. "Whatever it takes to pass issues related to the family."
     The Christian Coalition hopes later this year to be able to say of net neutrality legislation, "And this, too, shall pass."
     On that point, musician Moby agrees. "Internet freedom is under attack," Moby said at a rally in Washington last week. "We have a system that works for everyone. Why do we want to change that system?"
     According to broadband providers, the reason is that growing Internet use will require increased investment in infrastructure. Someone has to pay for that investment. They warn that if Congress blocks the network providers from charging companies like eBay and Yahoo for their fair share, the networks will be forced to charge customers.
     But they do agree with their foes on one point: Politics definitely makes for strange bedfellows. Dominant cable and phone companies are fighting each other on the video-franchising aspect of the telecommunications debate, but they agree on net neutrality. "Talk about strange bedfellows; we're in bed with the cable industry on this," BellSouth spokesman Bill McCloskey said.
     TechNet, a bipartisan group of 150 high-tech CEOs, is expected to enter the debate Monday with an announcement favoring net neutrality. The decision comes after an internal vote by members.
     TechNet CEO and President Lezlee Westine said she welcomes the odd match-up of groups lobbying for net neutrality. "I think it's terrific when organizations and individuals can work across party lines," Westine said. "I hope it brings the ability and opportunity to work together on other issues."

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Television
New Jersey Lawmakers Expected To Clear Video Bill
by Michael Martinez

     A video-franchising proposal in New Jersey that has long been the subject of fierce debate in the Garden State is set to clear a major legislative hurdle Monday.
     The state Assembly is scheduled to vote on the measure, S.192, which would let video providers obtain statewide franchises. The Senate passed the bill on a 27-7 vote Thursday.
     The House is widely expected to pass the bill with minimal objection and send it to the governor. The Senate amended its version of the legislation last week to match a competing House proposal and better the chances for clearing a bill.
     Comment from the office of Gov. Jon Corzine was not available by deadline.
     A spokesman for Verizon Communications, which argues that the state's existing rules impede the firms' ability to offer video services over its fiber-optic network, said he hopes Corzine will realize the economic benefits of the proposal. Verizon has applied for individual franchises in more than 90 towns.
     "We're confident the governor will look upon this bill favorably," Verizon spokesman Richard Young said. "It does great things for consumers."
     The Assembly vote could end months of intense lobbying. A similar proposal appeared to be on the fast track to passage last fall before it died during a post-election session in January. Action on the revision was delayed for a month in April to accommodate the legislature's budget break.
     In a statement released after Thursday's Senate action, Verizon New Jersey President Dennis Bone said the state's current telecommunications rules are "out of date with technology, out of touch with consumer demands, and serve only to delay choice and competition."
     But New Jersey's dominant cable providers insist that the legislation is flawed by tilting the market toward Verizon. In a statement, Comcast spokesman Patrick MacElroy said the legislation is unnecessary, but he added that he is encouraged by the addition of provisions to make the bill fairer to existing video firms.
     "Comcast continues to support the existing system of local cable franchising that provides a strong role for municipal governments and acts as no barrier to competition," he said. "As such, we see no reason for this legislation, but the bill clearly reflects a serious effort to respond to many of the positions we have advanced, including clear provisions that will ensure a level playing field, treat like services alike, and not leave neighborhoods behind."

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Exports
Commerce To Create Export Policy Advisory Board
by Danielle Belopotosky

     After a yearlong review of proposed changes to rules governing the transfer of technology to other countries, the Commerce Department on Monday announced it will create an advisory board to evaluate current policies.
     In a Federal Register notice, the department's Bureau of Industry and Security said it will create a federal advisory committee. The panel will include academic and industry experts to study for 12 months the nation's "deemed export" licensing policy. It also will review current policies related to tech transfers and deemed export licenses, which cover dual-use technologies that have both commercial and military applications.
     The advisory committee will "undertake a comprehensive review of the national security, technology and competitiveness dimensions of the deemed export issue," according to the notice. The committee then will recommend potential changes to current policy.
     Commerce Secretary Carlos Gutierrez will appoint as many as 12 committee members, whose expertise will encompass national security, scientific research and development, and technologies subject to export administration regulations. Electronics, high-performance computers and telecommunications technologies are subject to the regulations.
     The bureau last year issued a request for comments on an "advanced" proposed rule to revise its deemed export policy. The proposal also considered the definition of a "use" of a technology to be expanded to include the "operation" of it.
     In its request for comment, the department was responding to a 2004 report by its office of inspector general. The office recommended a review of a 1994 rule requiring foreign nationals to obtain deemed-export licenses in addition to visas in order to conduct company, government or university-based research.
     Inspector General Johnnie Frazier found that "deemed export controls may not stop the transfer of sensitive technologies," or industrial or military espionage. To close a perceived enforcement gap, Frazier proposed that the determination be based on country of origin rather than citizenship.
     But technology companies and research universities criticized that recommendation. Industry also expressed concerns over the financial burden of verifying birthplaces, which is estimated to cost companies about $25,000 per license. Others said the changes would discourage foreign nationals from applying to U.S. universities or for U.S. jobs.
     "Given the extended public discussion" of those recommendations, the bureau said it has not made changes to its current policy on the issues.
     William Reinsch, president of the National Foreign Trade Council, said "it's a good thing" the department established the committee.
     "It is clearly a delay" to make a final rulemaking, said Reinsch, a former undersecretary for export administration. "This thing has been kicking around for 13 months." Furthermore, it reflects the department's recognition of the concerns outlined by academic and business communities, he said.
     Jared Cohon, president of Carnegie Mellon University, also called the decision a good move. "It is important that we consider carefully any restrictions on fundamental research conducted in our universities by foreign nationals as their contributions continue to promote our national economic welfare," he said in a statement. He co-chairs the export controls task force of the Association of American Universities.

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Education
States Lack Standardized Tests In Technology, Science
by Winter Casey

     Only four states currently require a standardized test for technology, and only 34 states are testing students for science in grades one through 12, according to a leading expert in education.
     Currently, Arizona, New York, North Carolina and Utah mandate a technology test, said Christopher Swanson, director of the Editorial Projects in Education Research Center. Forty-eight states have "some academic standards related to technology" or a statement regarding "what students should know or be able to do" in that field, he said.
     Under the 2002 federal education law known as the No Child Left Behind Act, all states must begin issuing tests for science in the 2007-2008 school year.
     Technology is a challenging subject "because it is often considered as crossing all disciplines," Swanson said. There is a huge gap between science and technology, and core subjects such as mathematics and English, in which all states currently administer tests.
     Timothy Magner, director of the educational technology office at the U.S. Education Department, said "technology permeates a lot of different curriculum areas," and there is an "emphasis in ensuring students are tech literate by the eighth grade." He said part of the issue is prioritization, as well as responsibility for assessing the skills.
     In 2000, Massachusetts became the first state to explicitly include engineering content in its K-12 curriculum, according to the National Academy of Engineering. "Unfortunately, questions about technology are not likely to be included on standardized tests until technology education is either made a standard school subject or technology content is integrated into other subject areas," the academy stated on its Web site.
     Other countries -- such as the Czech Republic, France, Italy, Japan, the Netherlands, Taiwan and the United Kingdom -- require technology education courses in lower school levels, but the engineering group said most U.S. "school districts pay little or no attention to it."
     Ronnie Lowenstein, president of the Education Technology Think Tank, or ET3, said technology is being defined differently throughout educational systems and not being addressed in a comprehensive manner.
     "High-stakes testing based on traditional, isolated domains of reading, math and science are incompatible with the current and future interdisciplinary reality," Lowenstein said.
     She is concerned that the new standardized science tests will be "inadequate" and "too late, too little, and without the depth and examination" of the role of "both instructional technology and technology education."
     "Inventive and innovative thinking and problem-solving is overlooked in schools and curriculum even though it is one of four priorities identified in 21st-century learning," Lowenstein said.
     Various bills have been introduced on Capitol Hill with a focus on strengthening U.S. competitiveness through education in the science, technology, engineering and math fields. One measure filed last week, H.R. 5358, highlights the call to improve teacher training in order to strengthen elementary and secondary math and science education.

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E-Government
Web Tool Could Aid Payment Of Defense Contracts
by Daniel Pulliam, GovExec.com

     The failure of the Defense Department to consistently pay its small-business contractors on time is affecting the day-to-day operations of some of the companies, according to a new report from the Government Accountability Office.
     In reviewing fiscal 2004 data from nine of the Pentagon's 20 vendor-payment facilities, GAO found that 14.5 percent of small-business invoices were paid late, while only 10 percent of all invoices were tardy.
     Defense officials told GAO that the disparity is likely due to the department's cash-management practices, which tend to favor paying larger vendors first.
     The Pentagon has reported significant improvements in reducing late payments through the commitment of additional resources, but underlying weakness in the system have yet to be resolved, the report said.
     GAO recommended that to address the underlying weaknesses, Defense should bolster implementation of Wide Area Work Flow, its Internet-based tool for facilitating the exchange of payment data and documents. For instance, the system could benefit from the ability to flag small-business contractors and process payment documentation electronically, the report said.
     Most of the Pentagon's payment process is currently paper-based, resulting in redundant data entry, missing documents and, ultimately, payment delays, GAO said.
     But the work-flow initiative currently lacks performance metrics, and Defense officials have not established a clear strategy to ensure that the system will be used effectively, the report stated.
     Of 17 small businesses interviewed by GAO, 14 said late payments required them to obtain a line of credit or use personal resources to finance daily operations. Eleven of those 14 said the interest on the credit was greater than the rate used by the Pentagon to calculate interest for late payments.
     Three of the contractors said the cash flow problem was so severe that they were worried about their ability to stay in business.
     Under a 1988 law, the department must pay interest to contractors for untimely payments, but 10 contractors told GAO that they never received interest on late payments. In one case, after GAO asked Defense officials to research a contractor's claim for late-payment interest, the department found that it owed the contractor about $1,000 in interest.
     In response to the report, Paul Brinkley, co-director of Defense's business transformation agency, concurred with the recommendations. He said the transition of the work-flow initiative to his agency, established last fall to move business modernization programs under one roof, provides an opportunity to address the strategic direction of the system.

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Correction
Thursday's PM Edition incorrectly attributed a quote. Walter McCormick, president and CEO of the U.S. Telecom Association, advocated shifting oversight of video franchising to the FCC. That argument was attributed to Kyle McSlarrow, president and CEO of the National Cable and Telecommunications Association, who instead supports local video franchising.
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Today's Feature: Issue of the Week
House appropriators gave strong support for most Homeland Security Department technology efforts in the department's fiscal 2007 budget but expressed growing frustration with some programs and offices they said are underperforming or failed to provide required reports. Every Monday, read the Issue of the Week by the Technology Daily staff



E-briefs



Television:   The cable television industry is revving up its opposition to new legislation planned for this week that would provide regulatory incentives for operators to offer programming on a per-channel basis. That a la carte approach -- advocated by Sen. John McCain, R-Ariz. -- would let consumers order only the channels they want instead of subscribing to programming bundles. The bill would place video providers under less regulatory national franchises if they adopt the model. The announcement, which has been delayed repeatedly in part to give McCain more time to seek co-sponsors, is expected no later than Thursday. On Monday, the National Cable and Telecommunications Association sent reporters a list of dozens of cable networks, civil rights and conservative groups, locally elected officials, religious television channels, and women's organizations that purportedly oppose a la carte. Those listed include Discovery Communications, Walt Disney Company, the Motion Picture Association of America, NBC and Viacom.

Intellectual Property:   A federal district judge on Monday approved the settlement of a class-action lawsuit against Sony BMG over its faulty compact discs. A security researcher revealed last year that the anti-piracy software system installed on the CDs introduced a vulnerability to consumers' computer-operating systems. The Electronic Frontier Foundation subsequently sued to recover damages for affected consumers. Under the terms of the settlement first reached in December, consumers are entitled to a version of the music that they bought without the anti-piracy software, a digital download or a cash settlement. Sony BMG also agreed to stop manufacturing the CDs with the anti-piracy software that caused the problem. "This settlement gets music fans what they thought they were buying in the first place: music that will play on all their electronic devices without installing sneaky software," EFF Legal Director Cindy Cohn said.

Spectrum:   The FCC on Friday announced its plan to move the start date for the first auction of spectrum licenses for advanced wireless services from June 29 to Aug. 9. The agency also has moved the deadline for filing short-form applications to June 19 and lifted its anti-collusion rules, which are designed to prevent spectrum bidders from acting together to manipulate prices. The auction will include 1,122 licenses in the 1710- to 1755-megahertz band of spectrum and the MHz and 2110-to 2155-MHz band.

Privacy:   A computer containing personal data on as many as 26.5 million military veterans and some of their spouses has been stolen from the home of a Veterans Affairs Department employee, according to a posting on the front page of the department's Web site. The electronic data includes birthdates, names and Social Security numbers, but does not include data from electronic health records or financial information. An investigation has been launched, and the data analyst, who was not authorized to remove the computer from the department, has been placed on administrative leave. The VA said it will notify those veterans affected by the situation and will offer information about what steps to take to protect against the possible misuse of information. The VA said it is "deeply saddened by any concern or anxiety this incident may cause our veterans and their families."

E-Government:   The First Response Coalition on Monday called upon local and national authorities to ensure that emergency responders have the means to communicate during weather-related events. "With today's [National Oceanic and Atmospheric Administration] forecast of an active and dangerous 2006 hurricane season, it is imperative for federal, state and local governments to ensure [that] first responders have the necessary resources to communicate with each other during the coming storm-related emergencies," said Steve Jones, executive director of the coalition. In a report last month titled "The Imminent Storm 2006," the coalition highlighted what it said are "startling interoperability problems" for communications systems in eight hurricane-zone states along the Gulf Coast and the Atlantic seaboard.

International:   The Australian government on Monday committed $5.5 million over three years to support Internet projects in developing countries. The funds will support the work of the Development Gateway Foundation, including support for aid management tools, e-government programs, and Web-based services to assist local development needs. Of that donation, $500,000 will be directed toward the foundation's online procurement platform in the Asia-Pacific region. Government bidding requests, contract awards and procurement notices can be posted to the online tool, called dgMarket. Australia was an original donor of the foundation. "We are grateful for Australia's leadership in the area of information and communications technology for development, and for their confidence in our programs," Development Gateway CEO Mark Fleeton said in a statement.




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