Committees on Energy and Commerce and Financial Services Introduce Pair of Privacy Bills to Establish Comprehensive Data Protections for All Americans
WASHINGTON, D.C. – Today, Congressman Brett Guthrie (KY-02), Chairman of the House Committee on Energy and Commerce, and Congressman John Joyce, M.D. (PA-13), Leader of the Energy and Commerce Data Privacy Working Group and Chairman of the Energy and Commerce Subcommittee on Oversight and Investigations, joined Congressman French Hill (AR-02), Chairman of the House Committee on Financial Services, Congressman Bill Huizenga (MI-02), Vice Chairman of the House Committee on Financial Services, and Congressman Bryan Steil (WI-01), Chairman of the Financial Services Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence, to introduce their respective legislation, the SECURE Data Act and the GUARD Financial Data Act.
Attributable to Congressman Brett Guthrie (KY-02), Chairman of the House Committee on Energy and Congress, and Congressman John Joyce, M.D. (PA-13), Leader of the Energy and Commerce Data Privacy Working Group and Chairman of the Energy and Commerce Subcommittee on Oversight and Investigations:
“The Energy and Commerce Data Privacy Working Group was created to reset the discussion on comprehensive data privacy, taking wide ranging input from stakeholders and crafting a consensus bill that protects the privacy and security of Americans’ personal data. The SECURE Data Act is the result. This bill establishes clear, enforceable protections so that Americans remain in charge of their own data and companies are held accountable for its safe keeping. We look forward to working with our colleagues to build support for this bill and advance data privacy protections fit for our 21st century economy.”
Attributable to Congressman French Hill (AR-02), Chairman of the House Committee on Financial Services, Congressman Bill Huizenga (MI-04), Vice Chairman of the House Committee on Financial Services, and Congressman Bryan Steil (WI-01), Chairman of the Financial Services Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence:
“For decades, Americans have entrusted financial institutions to maintain the privacy and security of their financial information. Twenty-six years ago, when the Gramm-Leach-Bliley Act (GLBA) became law, it was written in a technology-neutral fashion that has adapted well to the changes in technology and types of consumer data that have developed since 1999. But, in that time, the volume and complexity of data have increased such that providing consumers greater control over their financial data has become imperative.
“That is why we have introduced the GUARD Financial Data Act to modernize the GLBA. Our bill minimizes data collection and disclosures; allows customers and former customers to request access to their financial data held by a financial institution; allows former customers of a financial institution to request deletion of their data; and requires a financial institution to receive a consumer’s affirmative opt-in consent before sensitive personal information can be disclosed.
“The Financial Services Committee is proud to introduce these commonsense protections in coordination with the Energy and Commerce Committee as part of a unified House Republican effort to ensure Americans’ data privacy rights. This effort represents a significant step to strengthen consumer protections and ensure Americans have control over their financial data. We look forward to continuing to work together as these measures progress through the legislative process.”
BACKGROUND:
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Congressman John Joyce, M.D. led the Energy and Commerce Data Privacy Working Group.
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The working group received over 250 written responses and held meetings with over 170 different organizations to gather feedback and create the strongest bill possible.
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In addition to Congressman John Joyce, M.D., each member of the working group will be sponsors of the bill, including Representatives Morgan Griffith (VA-09),Troy Balderson (OH-12), Jay Obernolte (CA-23), Russell Fry (SC-07), Nick Langworthy (NY-23), Tom Kean (NJ-07), Craig Goldman (TX-12), and Julie Fedorchak (ND-AL).
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The SECURE Data Act:
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Establishes a national privacy and data security standard to protect the personal data of all Americans and their families.
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Builds on the proven framework adopted by the overwhelming majority of states that have enacted comprehensive privacy and data security laws.
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Establishes new rights for consumers and obligations for companies—enforced by the Federal Trade Commission and state attorneys-general.
Consumer Privacy Rights
- Consumers will have the right to:
- Know their data is being collected and used.
- Access a copy of their personal data, including in a portable format.
- Delete their personal data.
- Opt-out of targeted advertising, sales of personal data, and certain automated decisions.
- Sensitive data can only be processed with a consumer’s consent.
- A parent’s consent is required to process a child and teens’ personal data.
Commonsense Obligations on Businesses
- Companies must:
- Limit their collection of personal data to what is “adequate, relevant, and reasonably necessary” for the purposes disclosed to consumers.
- Disclose what personal data they share with others, including any personal data processed in or sold to China, Russia, or other foreign adversaries.
- Implement data security practices to protect the personal data they process.
- Data brokers must:
- Comply with the data minimization, disclosure, and data security requirements.
- Register with the FTC and provide information about their privacy and data security practices and about the personal data they sell.
- The FTC will establish a searchable public-facing registry of data brokers, where consumers can learn how to exercise their privacy rights.
Advances American Leadership in the Global Digital Economy
- The Secretary of Commerce is empowered to:
- Continue its longstanding promotion of cross-border data flows and the protection of personal data in international commerce.
- Address the negative impacts of foreign data localization and data transfer restrictions.
- Protect Americans’ data from the risks posed by foreign adversaries.
CLICK HERE to read the Energy and Commerce and Financial Services Committees joint one-pager.
CLICK HERE to view the Committee on Energy and Commerce’s SECURE Data Act.
CLICK HERE to view the Committee on Financial Services’ GUARD Financial Data Act.