James A. Leach: “I rise in support of H.R. 3116, the Examination Parity and Year 2000 Readiness for Financial Institutions Act. This bill…”

“I rise in support of H.R. 3116, the Examination Parity and Year 2000 Readiness for Financial Institutions Act. This bill is a product of hearings which the Committee on Banking and Financial Services held in November and February to examine the potential impact of the year 2000 computer problem on the Nation's financial institutions. It was reported from committee on February 5 on a voice vote with broad bipartisan support, and I want to express my appreciation to the minority for their cooperation, particularly the gentleman from New York (Mr. LaFalce), and assistance in facilitating timely action on this bill. For those of our colleagues who may not yet be aware of this issue, the year 2000 problem, or Y2K problem, as it is sometimes called, arises from the fact that most computers represent the year with only two digits. Hence, 1998 is simply recorded as '98.' Unfortunately, that means when the clock rolls over to January 1, 2000, many computers may incorrectly assume that 00 means 1900 rather than 2000. As a result, computers may reject data entries, calculate erroneous results, or simply shut down. As inconsequential as this issue may appear, it is clear from testimony presented at the committee's hearing that the year 2000 problem poses a serious challenge to the banking sector and to the economy as a whole.”