Web security threatened by major flaw
The New York Times reported that security engineers have been repeatedly warning that "it is only a matter of time before financial organizations and others are attacked by computer criminals seeking to exploit" a serious security flaw.
The report said a patch designed to repair the flaw in the basic Internet address system known as the Domain Name System (DNS) has itself turned out to be riddled with "gaping holes."
"It's absolutely true," said University of Kentucky IT Associate Vice President Doyle Friskney. "So, what do you do? That's the real question.
"This one is a little more frightening in the fact that this vulnerability deals with what is called DNS servers, and for all practical purposes, the DNS servers of the world all talk to each other and are the core of how things communicate in the world of networking and computing," Friskney said. "It's because it's at the heart of the infrastructure that it's more frightening."
Invented in 1983, DNS was not meant for services like electronic banking that require strict verification of identity.
"They are relying on infrastructure that was not intended to do what people assume it does," Clifford Neuman, director of the Center for Computer Systems Security at the University of Southern California said in the New York Times report. "What makes this so frustrating is that no one has been listening to what we have been saying for the past 17 years."
Some experts are proposing an encryption-based solution known as DNSSEC, according to the Times report, believing it would give Web users high confidence that the Internet address they are being sent to is correct. So far several governments, including Sweden and Puerto Rico, have adopted DNSSEC, and the United States government is likely to deploy the system for its .gov domain this year.
-By Tom Martin
State provides bailout in student loan crisis
In 2007, the non-profit Kentucky Higher Education Student Loan Corp (KHESLC) found itself so strapped for cash the agency had to deny need-based financial aid to 36,759 qualified applicants. The shortfall occurred even as state officials continued talking about meeting a goal of doubling Kentucky's college-educated population by 2020.
On August 15, a short-term bailout was announced when Gov. Steve Beshear said the state will buy a $50 million bond from the KHESLC, also known as The Student Loan People.
State finance officials said there were few options to purchasing the bond since a loan to the agency would be illegal.
The agency will pay a variable interest rate, currently at 3.32 percent, which works out to approximately $1.9 million in interest in addition to the $50 million principal.
At press time, the organization was planning to almost immediately resume issuing loans to about 16,000 students.
-TM
State approves tax lure for electric car maker
The Kentucky Economic Development Finance Authority (KEDFA) approved up to $48 million in state tax incentives to manufacture electric cars in the Wilkey North Industrial Park in Franklin. Integrity Automotive, a division of Integrity Manufacturing, proposed manufacturing the electric cars for California-based ZAP. Integrity officials said the plant would employ up to 4,000 earning an average hourly wage of $20. KEDFA's approval of the tax incentives followed Gov. Beshear's signing of an executive order allowing low-speed electric cars on highways with posted speed limits of no higher than 45 mph. For a video report, see Electric Cars, Kentucky Roads online at bizlex.com.
Parking scofflaws to get the boot
Downtown merchants have long complained about people hogging on-street parking spaces all day long, feeding the meters or ignoring parking tickets as they piled up while discouraging others from shopping and dining downtown.
The Lexington & Fayette County Parking Authority Board, LexPark, has responded by approving a new Amnesty and Booting Program as part of a strategy to improve management of on-street parking in the downtown area.
"Most people respect the need to reserve the on-street spaces, and if they unintentionally receive a parking ticket, they pay it," said LexPark executive director Gary Means. But "for those violators who continue to ignore the parking regulations, and do not pay the citation, the board feels it is necessary to encourage compliance," he added.
Under the Amnesty Policy now in effect, a portion of past due citations will be forgiven. For example, most parking fines are $15, but escalate to $30 if not paid within 10 days. The amount due for these fines will be reduced from $30 to $20 if paid before September 15, 2008. After that date, violators will have to pay the full amount. The citations may be paid by mail or in person at the parking office at 114 N. Upper Street or by telephone at 859-231-PARK (7275).
Booting involves affixing a locked device to a wheel of a persistent offender's vehicle, preventing it from being driven. The "boot" is removed once fines are paid in full.
Of the 1,134 parking citations issued in July, 37 percent had been paid as of August 12, according to the parking authority. The agency reports a 31- percent increase in parking meter revenue from early 2008.
-TM
Airport shares opportunity with small business
Blue Grass Airport provided an unusual opportunity for minority-owned businesses to share in construction projects at the airport, hosting a Small Business Participation Seminar on August 12.
The seminar was directed toward small, disadvantaged, minority and woman-owned businesses.
Mike Scanlon, president and CEO of the restaurant management company Thomas & King, had asked if the airport could do anything to help minority business owners bid on its projects. A committee, which included John Slone, BGA's director of planning and development, and P.G. Peeples, president of the Urban League, was formed.
The airport began dividing major projects into smaller parts. "This 'chunking' made it such that small businesses could participate," Peeples explained. "It was the extra step you take to do the right thing."
"It's the right thing to do from the community standpoint and from a business perspective," added Slone.
The airport has $62 million worth of construction to complete by 2010, according to Slone. Major projects include relocating runway 9-27, constructing general aviation hangars, relocating Terminal Road and adding parking, building a new front entry, renovating the lobby and ticket area and baggage claim section, and creating a new information booth.
The terminal's curbside area will be upgraded. The capital improvement bonds also include funds for sanitary sewer improvements and air carrier ramp rehabilitation.
Slone's presentation included details of construction projects, an overview of the airport's physical layout and leadership, and information on the bidding and selection process for contractors. He discussed requirements the airport must meet for Disadvantaged Business Enterprise programs through the FAA and the Kentucky and U.S. D.O.T.
Peeples, a member of the airport's board of directors, told seminar participants, "We take minority participation seriously. We don't just bring you here and then fill out a form. In order to take advantage of opportunity, you need information. When we create the opportunity for small businesses to grow, our community grows."
Other presenters included Tyrone Tyra of Commerce Lexington, Tierra Turner of TKT & Associates, Brian Marcum of LFUCG, and Melvin Bynes of the KYTC office of Civil Rights & Small Business Development. Raymond Smith and Julie Hess of Community Trust Bank also spoke.
Hess explained the bank's Contract Lending Program, which is unique to area banks. It allows loans up to 50 percent of the signed contract for which the business owner successfully bid.
"Because we're a smaller bank, all of our lending is done locally," Hess said. "We like to give small business owners the chance to get in the running."
- By Margaret Buranen
School board chair resigns
Fayette County Board of Education chairman Larry Conner has resigned after accepting a new job in Georgia.
Conner will become the chief executive human resource officer with the Clayton County Board of Education in Jonesboro, Ga. His final school board meeting will be August 25, and his resignation will be effective August 26.
Under Kentucky statute, the state commissioner of education will have 90 days to appoint someone to the open seat. The appointed school board member will serve for one year and the position will be up for election in the fall of 2009.
Rupp has best attendance in a decade
Overall attendance for events at Rupp Arena in downtown Lexington during fiscal '08 was at its highest level in 10 years, according to Bill Owen, Lexington Center CEO and president.
During the past 12 months, 830,963 people passed through the turnstiles at Rupp Arena, according to LCC officials. The number comes close to 1998, when attendance for sports events and concerts in the arena totaled 860,232. According to Carl Hall, Director of Arena Management, "The arena has been active for 160 days of the year, producing 103 different events and presenting 115 performances. Out of 365 calendar days, this translates to some type of event-related activity every other day of the week."
-TM