[Congressional Record Volume 145, Number 158 (Wednesday, November 10, 1999)]
[Senate]
[Pages S14559-S14560]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. FRIST (for himself, Mr. McCain, and Mr. Bingaman):
  S. 1912. A bill to facilitate the growth of electronic commerce and 
enable the electronic commerce market to continue its current growth 
rate and realize its full potential, to signal strong support of the 
electronic commerce market by promoting its use within Federal 
government agencies and small and medium-sized businesses, and for 
other purposes; to the Committee on Commerce, Science, and 
Transportation.


            the electronic commerce technology promotion act

 Mr. FRIST. Mr. President, I rise today to introduce the 
Electronic Commerce Technology Promotion Act. I am very pleased to be 
joined by Senators McCain and Bingaman.
  Electronic commerce has fundamentally changed the way we do business, 
promising increased efficiency and improved quality at lower cost. It 
has been widely embraced by industry, both in the United States and 
abroad. This is evident in the growth of the electronic commerce 
market, which though almost non-existent just a few years ago, is 
expected to top a staggering $1 trillion by 2003, according to market 
research reports.
  The basis for the growth of electronic commerce is the potential that 
electronic transactions can be completed seamlessly and simultaneously, 
regardless of geographical boundaries. Inherent in this is the ability 
of different systems to communicate and exchange data, commonly 
referred to as ``system interoperability''. The continued growth of 
global electronic commerce depends on a fundamental set of technical 
standards that enable essential technologies to interoperate, and on a 
policy and legal framework that supports the development that the 
market demands in a timely manner.
  The United States is leading this global revolution. Our industries 
are at the forefront in every sector, continually evolving their 
businesses and developing new technologies to adapt to changing market 
needs. Continued growth of the overall electronic commerce market is 
vital to our economy as well as the global market.
  For the electronic commerce market to sustain its current phenomenal 
growth rate, companies must be allowed to be agile and flexible in 
responding to market needs, their activities unfettered by cumbersome 
and static regulations. The federal government must allow the private 
sector to continue to take the lead in developing this dynamic global 
market, and refrain from undue regulatory measures wherever possible.
  At the same time, the federal government must unambiguously signal 
its strong desire to promote and facilitate the growth of the 
electronic commerce market by adopting and deploying relevant 
electronic commerce technologies within the federal agencies, as well 
as widely promoting their use by small and medium-sized enterprises.
  Usage of these technologies in the federal agencies enables us to 
share in the benefits of the electronic commerce revolution and 
participate more effectively as an active contributor in the private 
sector efforts to develop the frameworks and specifications necessary 
for systems and components to interoperate. This has the added 
advantage of allowing the government to intercede in a timely manner, 
either in failure conditions or to remove barriers erected by foreign 
governments. Furthermore, we would be strengthening our global 
leadership position, while at the same time establishing a model for 
other governments and enabling the growth of the global electronic 
commerce market.
  Small and medium-sized businesses have traditionally been the fastest 
growing segment of our economy, contributing more than 50 percent of 
the private sector output in the United States. Electronic commerce has 
the potential to enable these enterprises to enter the market with 
lower entry costs, yet extend their reach to a much larger market. The 
federal government has an inherent interest in helping them to maintain 
their global competitiveness.
  It is in response to these needs that I introduce today the 
Electronic Commerce Technology Promotion Act. The legislation 
establishes a Center of Excellence for Electronic Commerce at the 
National Institute of Standards and Technologies (NIST) that will act 
as a centralized resource of information for federal agencies and small 
and medium-sized businesses in electronic commerce technologies and 
issues. My

[[Page S14560]]

intention is not to create yet another program at NIST which will 
require substantial appropriations, but to create an office that 
focuses solely on electronic commerce by building upon existing 
expertise and resources. We have proposed that the Center be organized 
as a matrix organization that will coordinate existing as well as 
future activities at the Institute on electronic commerce.
  The Center will also coordinate its activities with the Department of 
Commerce's Manufacturing Extension Program (MEP) and the Small Business 
Administration to provide assistance to small and medium-sized 
enterprises on issues related to the deployment and use of electronic 
commerce technologies, including developing training modules and 
software toolkits. In working jointly, the Center can build upon the 
existing MEP infrastructure to reach out to these businesses. It is 
important to note that my intention is not to enlarge or modify the 
charter of the MEP program.
  Mr. President, I believe that the growth of the electronic commerce 
market is vital to our economic growth. It is our responsibility to 
facilitate this growth as well as do our best to enable the market to 
sustain its current phenomenal growth rate. Therefore, I urge my 
colleagues to support timely passage of this legislation so that we can 
give our unambiguous support for the development of electronic commerce 
as a market-driven phenomenon, and signal our strong desire to promote 
and facilitate the growth of the electronic commerce market.
  Mr. BINGAMAN. Mr. President, I am very pleased to join Senators Frist 
and McCain today in introducing the ``Electronic Commerce Technology 
Promotion Act.'' This bill, which sets up a center of Excellence in 
Electronic Commerce at the National Institutes of Standards and 
Technology, or NIST, is a solid step towards adapting an important 
federal agency to the digital economy we see blooming around us.
  NIST was established in 1901 as the National Bureau of Standards 
during a time of tremendous industrial development, when technology 
became a key driver of our economic growth. Making those technologies 
literally fit together reliably through standards became crucial, and 
Congress realized that one key to sustaining our industrial growth and 
the quality of our products would be a federal laboratory devoted to 
developing standards. The Bureau of Standards is a classic example of 
how the federal government can support technical progress that 
undergirds economic growth and enables the competitive marketplace to 
work.
  Around ten years ago, Congress modified the Bureau's charter in 
response to the problems of the 1980's, increasing its focus on 
competitiveness, adding efforts like the highly regarded Manufacturing 
Extension Program (MEP), and changing the name to NIST. Turning to the 
challenges of today's growing digital economy, this bill makes NIST a 
focal point in the federal government for promoting electronic commerce 
throughout our economy by establishing a Center of Excellence in 
Electronic Commerce there. While the challenges of making things fit 
together in a digital economy are different--and now go under the un-
melodic term ``interoperability''--they are just as crucial as they 
were in the industrial economy of 1901. And, NIST remains an excellent 
place to lead the work.
  I'm particularly pleased that this bill includes the fundamental idea 
behind my bill S. 1494, the Electronic Commerce Extension Establishment 
Act of 1999. That is, NIST ought to lead an electronic commerce 
extension program or service to provide small businesses with low cost, 
impartial technical advice on how to enter and succeed in e-commerce. 
This service will help ensure that small businesses in every part of 
the nation fully participate in the unfolding e-commerce revolution 
through a well-proven policy tool--a service analogous to the 
Department of Agriculture's Cooperative Extension Service and NIST's 
own MEP. I believe such a service would help both small businesses and 
our entire economy as the productivity enhancements from e-commerce are 
spread more rapidly, and I recently asked Secretary Daley for a report 
on how such a service should work. So, I thank Senator Frist for 
including my basic policy idea in his bill and look forward to working 
with him to flesh it out, particularly in light of the report we should 
get from the Commerce Department.
  Mr. President, I urge my colleagues to join Senators Frist, McCain, 
and myself in supporting this bill, as one step the Congress can take 
to make sure an important federal agency, NIST, continues its strong 
tradition of helping our economy--our growing digital economy--to be 
the most competitive in the world.
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