Computer Security for the Federal Acquisition Computer Network

Presidential memorandum, Streamlining Procurement Through Electronic Commerce, October 26, 1993, promotes the simplification and streamlining of the procurement process for small purchases by enabling the electronic exchange of procurement information between the private sector and the Government. Further, the memorandum advocates providing greater access to Federal procurement opportunities, ensuring simplified access for potential suppliers, and using nationally accepted data formats. Congress fully endorsed the electronic commerce initiative when it passed the Federal Acquisition Streamlining Act of 1994 (the Act). The Act requires implementation of the development of the Federal Acquisition Computer Network (FACNET) and electronic generation and transmission of procurement transactions between the Government and its contractors. The Act required that the FACNET system be implemented Government-wide by January 2000. The use of electronic transactions rather than paper-based transactions introduces new security risks. An electronic system must: o be able to reliably carry transactions from their source to their destination, o provide for recovery from major and minor disasters without jeopardizing the ability of the Government to purchase needed items in a timely manner, o provide sufficient audit trails to prove that transactions were delivered as intended, and o provide sufficient protection from disclosure of information that the Government or its contractors consider sensitive. Additionally, because transactions sent electronically cannot be signed in the traditional sense, alternative methods of transaction authorization must be in place. FACNET processes 13,000 to 20,000 transactions per day. During June 1996, DoD made 2,629 contract awards using FACNET.