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<classification authority="sudocs">GA 1.13:T-AIMD-97-129</classification>
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 <subject>Systems conversions</subject>
 <subject>Computer equipment management</subject>
 <subject>Computer software verification and validation</subject>
 <subject>Information resources management</subject>
 <subject>Agency missions</subject>
 <subject>Strategic information systems planning</subject>
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 <title>Year 2000 Computing Crisis: Time is Running Out for Federal Agencies to Prepare for the Millennium</title>
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<abstract>GAO discussed: (1) the federal government&apos;s strategy for addressing the
year 2000 computing problem, and agencies&apos; reported status in resolving
the issue; and (2) federal efforts to date based on work GAO completed
at certain agencies and on GAO&apos;s review of the Office of Management and
Budget&apos;s (OMB) implementation of the federal strategy, including year
2000 reports submitted by 24 federal agencies.&lt;p/&gt;GAO noted that: (1) the federal strategy for resolving the year 2000
computing crisis is detailed in a document OMB submitted on February 6
of this year to three House Committees: Government Reform and Oversight,
Science and Appropriations; (2) the strategy is predicated on three
assumptions: (a) senior agency managers will take whatever action is
necessary to address the problem once they are aware of its potential
consequences; (b) a single solution to the problem does not exist, and
solving it requires modification or replacement of agency information
systems; and (c) given the limited amount of time available, emphasis
will be placed on mission-critical systems; (3) at the department and
agency level, this strategy relies on the recently established chief
information officers, or CIOs, to direct year 2000 actions; (4) to
complement individual agency efforts, OMB is: (a) requesting that
departments and agencies submit quarterly reports on their progress; and
(b) sharing management and technical expertise through its CIO Council
and the Council&apos;s Subcommittee on the Year 2000; (5) OMB has set as the
standard that agency year 2000 activities should adhere to industry best
practices for the five delineated phases of an effective year 2000
program: awareness, assessment, renovation, validation, and
implementation; (6) on June 23, 1997, OMB transmitted its first
quarterly report, dated May 15, 1997, to selected congressional
committees on the progress of federal agencies in correcting the year
2000 problem; (7) in its report, based on May 1997 estimates, OMB noted
that agencies expect to spend about $2.75 billion correcting systems to
be what is called year 2000 compliant; (8) 18 of 24 departments and
agencies reported that they would complete the assessment phase as of
last month, the deadline in OMB&apos;s governmentwide schedule; (9) six
reported that they would not meet the assessment phase deadline:
Defense, Transportation, Treasury, Veterans Affairs, the Agency for
International Development (AID), and the Nuclear Regulatory Commission
(NRC); (10) GAO believes ample evidence exits that OMB and key federal
agencies need to heighten their levels of concern and move with more
urgency; and (11) other critical readiness issues that demand
high-priority attention are data exchange, systems prioritization, and
contingency planning.</abstract>
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<identifier type="preferred citation">GAO/T-AIMD-97-129</identifier>
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<note>Testimony</note>
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 <topic>Computer equipment management</topic>
 <topic>Computer software verification and validation</topic>
 <topic>Information resources management</topic>
 <topic>Agency missions</topic>
 <topic>Strategic information systems planning</topic>
 <topic>Systems evaluation</topic>
 <topic>Systems compatibility</topic>
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