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I hereby transmit Senate File 405, an act limiting the liability of certain persons for certain actions arising out of the failure of information technology as the result of a year 2000 problem. I am unable to approve Senate File 405 and hereby transmit it to you in accordance with Article III, Section 16, of the Constitution of the State of Iowa. Many concerns have been raised about the potential for Year 2000 computer problems (Y2K). I am confident that the financial institutions, public utilities and others identified in Senate File 405 have taken reasonable and prudent steps to address and to alleviate these potential problems. The taking of reasonable and prudent steps to prevent computer problems insulates financial institutions, public utilities and other from exposure to liability. Only those who have failed to take the reasonable and prudent steps to avoid problems require the immunity protection afforded under Senate File 405. Damages resulting from the failure to take such steps should not be borne by customers, consumers or the general public, nor should the costs of identifying and holding those parties liable be borne by innocent customers, consumers or members of the general public. I believe those responsible for taking reasonable and prudent steps should be held accountable when such steps are not taken and people suffer as a result. Current protections in existing law provide adequate protections against frivolous and non- meritorious suits. For the above reasons, I hereby respectfully disapprove Senate File 405. Sincerely, Thomas J. Vilsack Governor GOVERNOR'S ITEM VETO MESSAGE A copy of the following communication was received and placed on file: April 26, 1999 The Honorable Ron Corbett Speaker of the House State Capitol Building L O C A L Dear Mr. Speaker: I hereby transmit House File 745, an act appropriating funds to the Department of Economic Development, certain Board of Regents institutions, the Department of Workforce Development, and the Public Employment Relations Board, making related statutory changes, and providing an effective date.
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