Published Monday, August 24, 1998

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Local governments are confronting Y2K problems

Kevin Duchschere and Mark Brunswick / Star Tribune

You often hear the complaint that government pours time and money into solving problems and nothing ever happens.

When it comes to the year 2000 computer bug, however, that's precisely the goal.

Across the Twin Cities metro area, cities and counties are testing computer equipment, modifying software programs and replacing outmoded systems to ensure that water will run, traffic will flow and bad guys will be nabbed come Jan. 1, 2000.

At roughly 500 days and counting to the millennium, St. Paul political and business leaders last week announced a media campaign to quell fears and to assure the public that steps are being taken to minimize service interruptions.

"We know something's going to happen. We know exactly when. So let's be prepared," Mayor Norm Coleman said.

What's going to happen is simple. It's the resulting snafu that may be complicated.

Computer programmers decided years ago to use only the last two digits of a year, such as "98" for 1998. That was fine as long as the calendar remained in the 20th century. But the concern is that, come 2000, computers may read "00" to mean 1900.

Left uncorrected, experts say, the millennium bug -- often referred to as Y2K, for year 2000 -- could spark massive disruptions. While the problem confronts both the private and public sectors, the bigger disaster could occur with government operations that include such basic safety services as 911 and traffic control as well as fundamental needs in social services and health.

Legal liabilities

Recent reports nationwide are showing some of the problems that can befall local governments that fail to become, in technospeak, "Y2K compliant":

• In Sacramento, Calif., the computer controlling jail cell doors did not operate during a recent trial because the computer, reading the date Jan. 1, 2000, interpreted that something catastrophic had happened and unlocked all the doors.

• Officials in Frederick County, Md., recently discovered that their computer system would have miscalculated release dates of inmates, some of whom would have been let out on the streets by mistake.

Besides the obvious issue of supplying service, local governments face liability issues if systems fail. Bar associations are said to already be conducting seminars on how to sue governments for failing to provide "due diligence" in dealing with potential computer problems. Washington state has enacted legislation limiting a government's liability from year 2000 problems, and other states are considering similar actions.

Local governments must also coordinate compliance with other governments and with private vendors to ensure they receive supplies, such as chlorine for water treatment. The Hennepin County attorney's office, for instance, is reviewing warranties and contracts to ensure year 2000 compliance with private companies.

Part of the problem is that private vendors, especially nonprofit groups, may not have the money to resolve the problem, said Darwin Lookingbill, director of the civil division for the Ramsey County attorney's office. The county organized a task force earlier this summer to address questions such as these, he said.

Unknown costs

The cost to a government of becoming Y2K compliant will range from a few thousand dollars to several million, depending on its size and the scope of its services. Some jurisdictions have hired consultants to help, although many are spreading the task among existing workers. The League of Minnesota Cities is encouraging city officials to earmark 5 to 10 percent of their operating budgets for unanticipated expenses relating to the millennium bug.

"We don't know specific amounts. There really are not good rules of thumb that we can find," said league associate executive director Sharon Klumpp.

For some cities and counties, the millennium bug is providing the excuse they need to upgrade equipment. Some have waited until recently to purchase new systems, which are programmed to avoid the Y2K problem.

"To some extent there's a cost benefit, because we're looking at things we should have gotten rid of or modified. It's like housecleaning -- you should have done it anyway," said Raoul Schander, Washington County's director of information services.

The most difficult and time-consuming task may be checking pieces of equipment for embedded computer chips, such as might be found in traffic signals, water distribution systems and telephone networks.

Local officials expect some problems regardless of planning. But Hennepin County Board Chairman Randy Johnson predicted calamity for local governments that are ill-prepared for the conversion.

"This issue will be the sole reason some companies go under in the private sector and it will be the issue that means some elected officials will be voted out of office," said Johnson, also president of the National Association of Counties. "There are many out there still waiting for the 14-year-old kid in New Zealand to come up with the $9.95 10-minute answer to this problem. Well, it ain't going to happen."

A coalition including the National Association of Counties, the National League of Cities and the International City/County Management Association has developed a program to help local governments anticipate problems associated with the conversion, offering a Y2K tool kit and providing speakers at local and national conferences.

The Minnesota League of Cities will issue a Y2K resource manual next month, along with inventory guidelines for workers to use when checking their equipment for compliance. The league also is planning an online forum to enable city officials to exchange questions and tips on the problem, Klumpp said.

Some officials agreed that it's good to plan ahead, but insisted that paranoia is unwarranted.

"I don't see the major catastrophe that some of my technological colleagues are forecasting," Schander said. "I see it as a problem but something we'll deal with. The county will continue its services, plow its roads. We'll still have trials and a court system. Unfortunately, we'll also still send out our tax statements."

Local plans

In his budget message this month, Coleman announced that he was earmarking $2.7 million to modify and replace computing systems to keep city services unimpeded. A sizable chunk of the funding will go toward fixing the payroll system, a project that has already begun, said Peter Hames, St. Paul's technology and management services director.

Last week Coleman stood in the Lowertown headquarters of gofast.net, a St. Paul Internet service provider, and declared the millennium problem a matter of public safety and economic security. He announced a public-private task force on Y2K and ordered city departments to test their systems and issue progress reports once a month.

Coleman also kicked off a public awareness effort that includes an online forum, Y2K handouts at the city's libraries and recreation centers, and informational Web sites. The campaign even has its own logo mascot, a cuddly-looking caterpillar called Millie the Millennium Bug. The more people know about the bug, the less they will have to fear, he said.

Hennepin County, the state's most populous, expects to spend more than $6.3 million to become compliant. The county now uses over 300 mainframe, PC, and LAN (Local Area Network) software products and supports 120 automated systems containing almost 17,000 programs.

Hennepin County systems have been taken to other locations for tests, and in those tests officials have successfully recovered their operating systems and databases and demonstrated compatibility with year 2000 conditions.

A recent report on the county's progress toward compliance registered high marks but acknowledged that two departments might not be able to complete the work by the county's deadline for Y2K compliance: Community Corrections' handling of restitution payments and the District Court system's handling of unlawful detainers, which deal with evictions.

The city of Minneapolis has contracted with the Boston-based Keane Inc., an applications development, outsourcing and integration services firm, to coordinate its conversion.

Like many local governments, Minneapolis, which expects to spend from $2 million to $4 million on its conversion, is finding a number of uncoordinated systems and is using the conversion as an opportunity to integrate functions and reduce redundancy.

The city is in the process of completing an inventory of its systems, and it will place the highest priority on converting those in public safety, such as 911 and police computers. Then it will concentrate on constituent, or quality of life, systems; areas of commerce with vendors and suppliers; and finally organizational effectiveness, said Don Saelens, the city's recently chief information officer.

Minneapolis also is planning for unanticipated developments. For instance, officials are considering a contingency plan for residential water monitoring. Individual computers now electronically record a monthly reading for billing, but the city may be forced to use the old house-to-house meter reader method until kinks can be worked out.

"We need to establish how long you can be without a certain computerized service: not at all, four hours, eight hours, three weeks, four months?" Saelens said.

Not all local governments are concerned about year 2000 conversion, though. St. Bonifacious, a town of about 1,600 in western Hennepin County, hasn't needed to give much thought to the issue. Most computer functions for the city involve utilities such as sewer and water payments.

"There hasn't been much talk of a problem for us," said assistant clerk Phyllis Bacon. "We are installing Windows 95, so that's taking up some of our time."

Staff writer Kevin Duchschere can be reached atduchska@gw.startribune.com. Staff writer Mark Brunswick can be reached at 673-4434 or atbrunsma@gw.startribune.com.