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Former Estonian President Says U.S. Needs a Secure Digital ID Card to Computerize Government Processes

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Screenshot from the second panel, including moderator Sam DuPont, deputy director of the German Marshall Fund

November 23, 2020 – Americans need to have secure and unique digital identity documents if the county has a hope to compete with other world powers like China, said Toomas Ilves, former president of Estonia.

Ilves was speaking at a German Marshall Fund event on Friday what asked on what subject he thought the Biden administration should focus. However, he said, he believes it to be politically impossible to for the United States to create such an identity.

To create this digital identity, U.S. citizens would need to be required by law to carry an identification document that is backed with end to end encryption, two factor authentications, and a population registry.

Ilvis also suggested that Americans could put all of this information on a chip and attached it to our driver’s licenses. He said he had seen congressmen with ID’s that had a chip decal but was unsure if any of them had computer chips embedded in the ID. Also participating in the session, Rep. William Hurd, R-Texas, was intrigued enough to say he would follow up on it.

But Ilvis also acknowledged that the America’s libertarian stand – in culture and in law – was likely strong enough to keep his suggestion from every happening.

One step toward digitizing all government processes

Creating a digital identity is important, he said, because it is a step toward digitizing all government processes. According to Ilvis, there are only three things that cannot be done online—marriages, divorces, and selling real estate with a proxy from a holding company.  In the latter case, a member of the board must show up.

In general, Hurd agreed. He called for more data, better data, and open data to be put online.

Hurd said that he was recently trying to get data on how many pencils the government had given out and was told he might not be able to get that information for two years. He advocated for the digitization of such data, including any studies that are funded by the government.

In the competition with China, Hurd emphasized that the U.S. should build a workforce for the future, and specifically mentioned creating coding academies to educate the workforce.

Hurd also emphasized coming to terms with the European Union’s General Data Protection Regulation. America needs to get over this transatlantic spat because the country has much more in common with Europe than with China on privacy.

He called for the creation of a national data breach standard in the U.S.

All of this matters, he said, because the algorithms that are driving artificial intelligence need information, he said. “This is a race. There’s no second place in this race.”

Second panel on suggestions for the Biden administration

Several panelists on a second panel had suggestions and expectations for the new administration.

Quentin Palfrey, president of the International Digital Accountability Council and senior fellow for the German Marshall Fund, said that to reach our national goals, we need federal privacy legislation, “regardless of what happens in Georgia on January 5,” referring to the runoff elections for the Senate that will determine which party controls the chamber.

Palfrey suggested the rules be as clear and harmonized as possible and that individuals making business decisions were educated in those rules. He also said there should be nimble accountability so people can be “tapped on the shoulder” before they break the rules.

He agreed with Hurd on the need to reconcile U.S. privacy law with the GDPR.

Ellen Goodman, law professor at Rutgers and senior fellow for the German Marshall Fund, said he hoped there would be a stimulus that will provide incentive for physical and broadband infrastructure needed to close the digital divide.

John Wilbanks, chief commons officer at Sage Bionetworks, said there are more ways to regulate than just the traditional ones and said the government should be bold and encourage competitive ecosystems.

Ilves urged the German Marshall Fund to help Congress set its oversight agenda for its committees because the document lays out where the gaps are.

Privacy

Experts Wrangle Over Whether Online Children Protection Legislation Needs Overhaul

‘We can’t keep overhauling the regulatory structure.’

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WASHINGTON, June 21, 2022 – Observers at an Information Technology and Innovation Foundation event on Wednesday urged Washington not to take legislation protecting children online down the path of congressional overhaul, instead preferring guidance for the existing text to come from its administrator, the Federal Trade Commission.

The Child Online Privacy Protection Act, passed in 1998, includes online data protections for children under 13. In 2013, as designated by Congress, the FTC updated enforcement rules, giving parents more control over the online collection of their children’s personal information.

Since then, new advances in technology and social media has brought COPPA to the attention of many who consider substantive changes are needed, including privacy experts, senators and U.S. President Joe Biden, who addressed it in his State of the Union address earlier this year.

Some lawmakers have long called for an age increase for those protections through legislative reforms, which came before lawmakers this month introduced a proposal for the first federal privacy law, which would include data privacy protections for children under 17.

“We can’t keep overhauling the regulatory structure,” said Julia Tama, partner at law firm Venable LLP. “It takes a big investment for companies to come up to speed.”

Instead, she said, she wants “improvements on what we have rather than replacing it with a completely different framework.”

In May, the FTC issued a policy statement that will guide its enforcement of COPPA. It focused on four provisions: limiting the amount of data collected for children’s access to educational tools; restricting types of data collected and requiring reasons for why they are being collected; prohibiting ed tech companies from holding on to data for speculative purposes; and prohibiting the use of the data for targeted advertising purposes.

Graham Dufault, senior director for public policy at the App Association, said the FTC should be responsible for potential provisions made to COPPA. “The FTC’s enforcement of COPPA is a really important thing for us.”

But panelist James Cooper, associate professor of law and director of the program on economics and privacy at George Mason University, said COPPA isn’t in need of any major revisions. He said if the legislation requires change, he doesn’t want to see it done through FTC policy statements and instead should come from the crafters in Congress.

“If the FTC feels [the need to] expand COPPA beyond its current boundaries, it should go back to Congress,” Cooper said.

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Expand Online Protections for 17-Year-Olds in Draft Federal Privacy Law, Committee Urged

The draft privacy law includes a provision to enhance privacy protections online for children under 17.

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Photo of the hearing held by the subcommittee on consumer protection and commerce

WASHINGTON, June 16, 2022 – Panelists before the subcommittee on consumer protection and commerce recommended Tuesday that a newly-crafted draft for federal privacy legislation introduced earlier this month include online protections for 17-year-olds.

The draft of the American Data Privacy and Protection Act, which would be the first federal privacy law, includes a provision to enhance privacy protections online for children under 17, including restrictions on Big Tech platforms’ data collection and targeted advertisements to those age groups.

But testimony from Jolina Cuaresma, senior counsel on privacy and technology policy at Common Sense Media, suggested that the language include 17-year-olds as well.

If the bill becomes law, she said this would provide a substantial upgrade to the Child Online Protection Privacy Act, which provides online protections for children under 13. “We need to cover all minors under the draft’s protections,” Cuaresma said, adding, “one in four children between the ages of 9 and 17 have had a sexual encounter with an adult online.”

With ongoing discussion about potential changes to COPPA and ensuring children’s privacy online due to increasing use of online educational tools and social media, Rep. Kathy Castor, D-Fl, stated during the hearing, “there is room for improvement in the draft for children’s protections.”

Big Tech regulation

Witnesses also said the draft should make clearer limits for Big Tech companies. Caitriona Fitzgerald, deputy director of the Electronic Privacy Information Center, said, “technology companies have too much power” and have been unregulated for too long. She urged the bill to define responsibilities more clearly for big tech companies, individuals, states, and federal entities.

Chairman Frank Pallone Jr. of the energy and commerce committee stated that if the bill passes, “our kids will be protected from abusive advertising and data transfers, and businesses will be required to protect consumer data or face real consequences.

“Comprehensive national privacy legislation is necessary to limit the excesses of Big Tech and ensure Americans can safely navigate the digital world,” said Pallone.

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Draft of Bipartisan ‘Years-in-the-Making’ Privacy Bill Released

The bill is bipartisan, and a joint effort between the House Energy and Commerce Committee and the Senate Commerce Committee.

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Photo of Rep. Frank Pallone, D-N.J., from his website.

WASHINGTON, June 3, 2022 – Leaders of the House Committee on Energy and Commerce and the Senate Commerce Committee announced on Friday a discussion draft of a “comprehensive” data privacy bill that they say has been in the making for years.

The bipartisan bill overall addresses a national data privacy framework, a set of consumers’ data privacy rights and appropriate enforcement mechanisms.

The release was announced by the House committee’s Chairman Frank Pallone, D-N.J., its ranking member Rep. Cathy McMorris-Rodgers, R-Wash., and the Senate committee’s ranking member Sen. Roger Wicker, R-Miss.

In the coming weeks, we will be working with our colleagues on both sides of the aisle to build support and finalize this standard to give Americans more control over their personal data,” they said.

“We welcome and encourage all of our colleagues to join us in this effort to enable meaningful privacy protections for Americans and provide businesses with operational certainty. This landmark agreement represents the sum of years of good faith efforts by us, other members, and numerous stakeholders as we work together to provide American consumers with comprehensive data privacy protections.”

They called the release of the draft a “critical milestone.”

The proposed bill would grant Americans protections against discriminatory use of their data, require covered entities to minimize on the front end the data they collect, enforce loyalty duties and prevent customers from needing to pay for privacy, prohibit targeted advertising for covered entities, enhance data protections for children and minors and establish “regulatory parity” across the internet.

Child privacy has been a particular topic of interest on Capitol Hill, with several high profile hearings taking place with social media companies to investigate their practices of catering to teenage users.

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