Sen. Moran Hopes Commerce Privacy Group Starts Negotiation Within Week
The hope is that the Senate Commerce Committee’s working group can begin negotiating privacy bill specifics (see 1903050074) in the next several days or week, Senate Consumer Protection Subcommittee Chairman Jerry Moran, R-Kan., told reporters after a Tuesday hearing. The differences aren’t “insurmountable,” and the goal will be to draft a bill that’s strong enough for Sen. Richard Blumenthal, D-Conn., and Democrats to support federal pre-emption of state laws like the California Consumer Privacy Act, Moran said.
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Blumenthal told reporters he considers the CCPA a floor and not a ceiling to gauge where witnesses stand on certain items. CCPA proponents say it can be improved, he said, noting legislation isn’t always perfect when first introduced: “We’re not just going to copy and paste [the CCPA] into federal law. We’re paid to do something.”
“We continue to talk, and I’m encouraged that there’s good, bipartisan support for a strong bill,” Senate Commerce Committee Chairman Roger Wicker, R-Miss., told reporters before the hearing. The subcommittee heard from several small business advocates and Consumer Reports Tuesday. Moran told reporters his takeaway was that the CCPA has unintended consequences, particularly for small companies.
Privacy laws can be written badly to favor large companies, conceded Consumer Reports Privacy and Technology Policy Director Justin Brookman. But Brookman disagreed with industry testimony that the CCPA has an overly broad definition of personal data that creates burdens for companies seeking to delete information.
Lawmaker questioning offered insight into what items they might bring to the negotiating table. Moran asked if lawmakers should consider company size when granting first-offense civil penalty authority. It’s customary for laws to include graduated penalties, Blumenthal said.
First-offense “warnings” would be useful for small-business owners, said KC Tech Council President Ryan Weber. All five witnesses -- including Engine Advocacy and Research Foundation Executive Director Evan Engstrom, Silver Star Communications Chief Financial Officer Jefferson England and National Association of Realtors Technology Policy Committee Vice Chair Nina Dosanjh -- agreed the FTC should have rulemaking authority. All witnesses supported federal pre-emption, though Brookman said it depends on the strength of the federal standard.
England discussed the burden of having to track various privacy laws, claiming he didn’t know until this week what the CCPA or the EU’s general data protection regulation were. His company operates in two states, and if there were suddenly two different standards, that would mean added costs for staffing and expertise, he said.
Sen. John Thune, R-S.D., asked if Apple CEO Tim Cook’s proposal to have data brokers register with the FTC is good. The key is to define what a data broker is, Engstrom said, voicing concern that in an attempt to deter bad actors, a new law might sweep up good actors because of poor advertising-tech functions.