February 3, 1999

Mr. President:

Your JUDICIARY COMMITTEE, to whom has been referred

has had it under consideration and reports same with recommendation that it DO PASS, amended as follows:

1. On page 1, line 20, after "public", insert "sector".

2. On page 3, strike lines 8 through 14 and insert in lieu thereof:

"D. "digital signature" means a type of electronic signature created by transforming an electronic record using a message digest function and encrypting the resulting transformation with an asymmetric cryptosystem using the signer's private key so that any person having the initial untransformed electronic record, the encrypted transformation and the signer's corresponding public key can accurately determine whether the transformation was created using the private key that corresponds to the signer's public key and whether the initial electronic record has been altered since the transformation was made;".

3. On page 6, line 8, strike the second occurrence of "and", and on line 9, strike the period after "state" and insert in lieu thereof "; and".

4. On page 6, line 15, strike the closing quotation mark.

5. On page 6, between lines 15 and 16, insert the following new subsection:

"R. "signed" or "signature" means any symbol executed or adopted or any security procedure employed or adopted using electronic means or otherwise, by or on behalf of a person with the intent to authenticate a record."".

Respectfully submitted,

__________________________________

Michael S. Sanchez, Chairman

Adopted_______________________ Not Adopted_______________________

(Chief Clerk) (Chief Clerk)

Date ________________________

The roll call vote was 6 For 0 Against

Yes: 6

No: None

Excused: Davis, Stockard

Absent: None

S0146JU1 .126735.1