SB 36-YEAR 2000 COMPLIANCE REQUIREMENT MR. HODGINS presented SB 36 for Senator Ward, the sponsor. SB 36 will require any new State of Alaska government computer hardware or software purchases to be Y2K compatible. Each product or item to be delivered or developed under a state contract must be able to interact or accurately process data from, into, during, and between the 20th and 21st centuries when used in accordance with the documentation provided by the contractor. SENATOR ELTON referred to language on line 11, and asked if SB 36 may have the unintended consequence of affecting existing contracts for professional services by requiring those contractors who use computer systems to comply and certify that all of their systems are Y2K compatible. MR. HODGINS replied the intent of the language is that only new purchases and services will be affected. Number 398 SENATOR WARD explained that the language in SB 36 is from the National Conference of State Legislatures but the bill does not include language to hold the state harmless. SENATOR MACKIE thought Senator Elton was referring to the contractors themselves having to be certified since line 11 refers to "each product or service." He stated the intent should be the equipment or the software or hardware programs, not the individuals selling the programs. SENATOR WARD announced he would hold SB 36 in committee to check with the legal drafter about the intent of the language on line 11 on page 1.