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Federal R eserve Bank OF DALLAS WILLIAM H. WALLACE DALLAS. TEXA S 7 5 2 2 2 F IR S T V IC E P R E S ID E N T March 19, 1985 Circular 85-32 TO: The Chief Executive Officer of all depository institutions in the Eleventh Federal Reserve District SUBJECT Reminder to order new modem for dial-up access to the Federal Reserve Bank of Dallas' RESPONSE network DETAILS Several changes are going to take place this year for the dial-up portion of the RESPONSE network. At this time, the only action that financial institutions connected with the network must take is to order a new AT&T Information Systems modem. To order the new modem for your equipment, please contact AT&T representative Melissa Yoshioka at (817) 870-4497. Information on the new modem and ordering information are described under PHASE ONE in the attached Circular 85-16, dated January 28, 1985. If your institution has not contacted the AT&T office in Fort Worth, please do so at your earliest convenience. ATTACHMENTS Attached is our Circular 85-16, dated January 28, 1985. MORE INFORMATION For more information on any of the new phases for the RESPONSE network, please contact the individuals listed at the end of each section in the attached circular. Sincerely yours, For additional copies of any c ircu lar please co n ta c t the Public A ffairs D ep artm en t at (214) 6 5 1 -6 2 8 9 . Banks and others are encouraged to use the follow ing incom ing W A T S num bers in c ontacting this Bank (800) 4 4 2 -7 1 4 0 (intrastate) and (800) 5 2 7 -9 2 0 0 (interstate). This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org) Federal R eserve Bank OF DALLAS WILLIAM H. WALLACE DALLAS, T EXA S 7 5 2 2 2 f ir s t v ic e p r e s id e n t January 28, 1985 Circular 85-16 TO: The Chief Executive Officer of all depository institutions in the Eleventh Federal Reserve District SUBJECT Modifications to the dial-up portion of the RESPONSE network DETAILS The Federal Reserve Bank of Dallas plans several modifications to the dial-up portion of the RESPONSE network to be initiated in 1985. These modifications are part of a nationwide Federal Reserve automation program and will be implemented in the four phases listed below. Benefits of the program to financial institutions include increased throughput by higher data communication transmission rates through better error recovery in data communications (increased reliability), increased functions through new applications software, and an increased level of data security through a new access control system and the implementation of data encryption. Phase one of the program involves exchanging modems currently used on the system for ones offered through the AT&T Information System. Phase two consists of implementing a new access control system and during phase three, a higher level of security for the RESPONSE network will be implemented by adding an encryption adapter to all personal computers. Finally, phase four involves the introduction of new applications software for the network. A technical summary of all phases of the program is attached. The Federal Reserve Bank of Dallas will implement these modifications with the least possible amount of cost and operational impact to financial institutions. ATTACHMENTS Attached is the technical summary of modifications to dial-up portion of the RESPONSE network. Sincerely yours, For addition al copies of any c ircu lar please co n ta c t the Public A ffairs D ep artm en t at (214) 6 5 1 -6 2 8 9 . Banks and others are encouraged to use the follow ing incom ing W A TS num bers in contacting this Bank (800) 4 4 2 -7 1 4 0 (intrastate) and (800) 5 2 7 -9 2 0 0 (interstate). MODIFICATIONS TO THE DIAL-UP PORTION OF THE RESPONSE NETWORK PHASE ONE Definition: Financial institutions must replace 212A modems (or compatible) with an AT&T Information Systems (ATTIS) 2224-BOO or the 2224-BDO (which includes an Autocall feature) modem. The existing 212A modem is limited to 1,200 bits per second and j[s not compatible with the modifications planned in phases three and four. The new ATTIS 2224-BOO or 2224-BDO modems operate in an asynchronous mode at 300, 1,200 and 2,400 bits per second, and in a synchronous mode at 1,200 and 2,400 bits per second. Either of these new modems are compatible with the current and future RESPONSE networks as well. The Federal Reserve Bank has future plans to support the 2224-BDO (Autocall feature) modem. This modem also could be used in an autocall mode with programs that financial institutions may use to access other networks. The 2224-BDO is compatible with Federal Reserve Bank manual dial procedure. It should be noted that the purchase price for the 2224-BDO Autocall modem is lower that the 2224-BOO modem. However, the lease fees are lower for the 2224-BOO. Schedule: Institutions should order the 2224-BOO or 2224-BDO modem from AT&T Information Systems in February 1985. The modem can be installed as soon as ATTIS can provide it. The 212A will no longer be required after the new modem is operational. Cost: The 2224-BOO -- without Autocall -- can be purchased from ATTIS for approximately $1,045 or can be leased as follows: 24 months 48 months Installation charge $50 per month $35 per month $100 (one time charge) The 2224-BDO -- with Autocall -- can be purchased from ATTIS for approximately $822 or can be leased as follows: 24 months 48 months Installation charge $60 per month $45 per month $100 (one time charge) AT&T also will provide maintenance services. - 3 - To order: The Fort Worth AT&T office will serve as the central contact point and will send contract documents $nd monitor the ordering process. Contact the AT&T representative, Ms. Melissa Yoshioka at (817) 870-4497 to request information. Technical Specifications: 2224-BOO Modem, full duplex, stand-alone modem 2224-BDO Modem, full duplex, stand-alone modem, Autocall feature More information The Federal Reserve Bank contacts for phase one are Richard Lopez (214) 698-4299 and Kent Goldin (214) 698-4306. PHASE TWO Definition: Phase two consists of implementing the ACF2 Access Control System that will replace the current CASE Access Control System. Schedule: Training of financial institution personnel will begin during the second quarter of 1985. It is anticipated that training for existing RESPONSE network users will be accomplished through printed materials and keying the transactions in a test environment. It will not be necessary to attend training sessions at the Federal Reserve Bank of Dallas. Cost: There is no cost involved in phase two. More information The contacts for phase two are Joan Perry or Kristy Moorman at (214) 698-4280. PHASE THREE Definition: The Federal Reserve System plans to increase the level of security in all of its networks during phase three. The next level of security improvements for the RESPONSE dial-up network will be to implement a data encryption capability. This capability will prevent the authorized monitoring of information sent and received through your communications link. It will be necessary to add an encryption adapter to all personal computers. To accomplish this, all personal computers accessing the RESPONSE network must be equipped with an encryption adapter and a Synchronous Data Link Control (SDLC) capability. The Federal Reserve Bank will make available a combination SDLC and Encryption Adapter to - 4 - those financial institutions that provide their own equipment. Those institutions that purchased an IBM SDLC Adapter (part number 1502090) in accordance with previous Federal Reserve Bank instructions can trade the purchased adapter in on the combination SDLC/Encryption Adapter for full list price. Schedule: Encryption adapters will be installed in Federal Reserve Bank leased personal computers beginning in the first quarter of 1985. In that same time period, the Fed also will begin to make available the combination SDLC/Encryption Adapters to financial institutions that provide their own equipment to access the RESPONSE network. Implementation of the data encryption capability cannot occur until a substantial number of Encryption Adapters have been installed. Cost: Costs will be as minimal as possible. Additional information on this area will be provided at a later date. Prerequisite: Institutions will need to complete implementation of the AT&T Information Systems modem as outlined in phase one. More information The contacts for phase three are Richard Lopez (214) 698-4299 and Kent Goldin (214) 698-4306. PHASE FOUR Definition: Phase four consists of implementation of new applications software. Schedule: Implementation will be phased-in around the middle of 1985. Prerequisite: Financial institutions providing their personal computer to access the RESPONSE network must have installed the SDLC/Encryption Adapter outlined in phase three. More information The contacts for phase four are Richard Lopez (214) 698-4299 and Kent Goldin (214) 698-4306.