Trunc. Log On Chkpt Help

First time poster...
Alright this is what I got...I am running MSSQL server 2000.
I have already restored a copy of the production db to our test sql server.

What I need to do is run some update scripts (from 3rd party vendor, going to newer version of their product). The database is about 60Gb and I filled up the transaction log (causing later updates to fail) while running one of their scripts that executed 194 routines of:

alter table Table_Name add New_Column int
GO
EXEC sp_bindefault mg_zero_dflt, [Table_Name.New_Column]
GO
update Table_Name set New_Column=1
GO

Will "sp_dboption 'dbname' 'trunc. log on chkpt' 'TRUE' " automatically truncate the transaction log when approaching the transaction log file limit while running these update scripts. Then when the updates are complete go ahead and "sp_dboption 'dbname' 'trunc. log on chkpt' 'FALSE' "

I'm not worried about logging the transactions during this process, I just don't want to have the transaction log fill up while running these scripts causing it to error out.

Or is there a way to make those changes using bcp?