| Senate Commerce Committee
Marks Up Technology Bills |
5/17. The Senate
Commerce Committee met to complete the mark up meeting
that it began on May 16. It voted 15-8 to report S 2201,
which is Sen. Ernest
Hollings' (D-SC) bill to regulate online information
practices. The Committee also amended and reported four other
technology related bills.
The Committee amended, approved and reported four other
technology related bills, without debate or discussion, by
unanimous consent motion.
First, the Committee approved S 2037,
a bill providing for the establishment of a national emergency
technology guard. This is Sen.
Ron Wyden's (D-OR) "Net Guard" bill. See also, bill
as amended on May 17.
Second, the Committee approved S 2182,
the Cyber Security Research and Development Act, a bill to
authorize funding for computer and network security education
and research. The bill was amended to provide for technology
standards setting by the federal government.
Third, the Committee approved S 630,
the Can Spam Act. See also, amendment
in the nature of a substitute and Boxer
amendment, both of which were approved on May 17.
Fourth, the Committee approved S 414,
a bill to amend the National Telecommunications and
Information Administration Organization Act to authorize
technology related funding for minority serving schools. |
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| SCC Reports Bill to
Regulate Online Information Practices |
5/17. On May 16 the Senate Commerce
Committee voted on amendments, and on approval of, S 2201.
However, it could not vote to report the bill because Sen. Trent Lott (R-MS)
invoked the 2 hour rule. The Committee completed its work on
this bill by voting to report it by a vote of 15-8 on May 17.
On May 16, the Committee approved an amendment
in the nature of a substitute [PDF] offered by Sen.
Hollings. It also approved an amendment
to this amendment offered by Sen. Bill Nelson
(D-FL) requiring all ISPs, online service providers, and
commercial website operators to designate a privacy compliance
officer. The Committee also approved an amendment offered by Sen. Sam Brownback
(R-KS) exempting certain very small businesses. However, the
Committee rejected another amendment offered by Sen. Brownback
that would have defined the network security procedures
required by the bill. See, Brownback
amendments.
The Committee also rejected an amendment offered by Sen. John McCain (R-AZ)
that provided that online and offline activity would be
treated equally. The Committee also rejected three
amendments offered by Sen.
George Allen (R-VA) that would have eliminated the private
right of action contained in the bill, expanded the
pre-emption language of the bill, and provided that the bill
would not add requirements for persons and entities already
covered by existing privacy laws, such as by the Gramm Leach
Bliley Act's financial privacy provisions.
The final vote on reporting the bill was 15-8. The Senators
voting in favor were all of the Democrats (Hollings, Inouye,
Rockefeller, Kerry, Breaux, Dorgan, Wyden, Cleland, Boxer,
Edwards, Carnahan, and Nelson) and three Republicans (Stevens,
Burns, and Gordon Smith). The remainder of the Republicans
voted against (McCain, Lott, Hutchison, Snowe, Brownback,
Fitzgerald, Ensign, and Allen). Of the Republicans who opposed
the bill, only Sen. Allen attended the May 17 meeting. The
rest cast their votes by proxy.
See also, TLJ Daily E-Mail Alert No. 433, Friday, May 17. |
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| SCC Approves Tech Grant
Program for Minority Serving Institutions |
5/17. The Senate
Commerce Committee reported S
414, the NTIA Digital Network Technology Program Act. The
Committee approved an amendment in the nature of a substitute
offered by Sen. Max
Cleland (D-GA), without debate and without discussion. The
bill would establish a grant program for educational
institutions to be administered by the Department of
Commerce's National
Telecommunications and Information Administration (NTIA).
The entities that could receive grants under this bill include
historically black colleges and universities, Hispanic serving
institutions, tribally controlled colleges and universities,
Alaska Native serving institutions, Native Hawaiian serving
institutions, and other institutions that have "enrolled
a substantial number of minority, low income students".
The bill would provide $250 million in grants to enable
minority serving institutions to upgrade their technology
infrastructure, provide educational services for technology
degrees, to provide educator training and to implement
technology projects in conjunction with government agencies.
Sen. George Allen
(R-VA), a cosponsor of the bill, stated in a release
that "The best jobs in the future will go to those who
are the best prepared. However, I'm concerned that when it
comes to high technology jobs, which pay higher wages, we run
the risk of economically limiting a large segment of our
society. It is important for all Americans that we close this
opportunity gap". |
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| Rep. Stearns Introduces
Auction 35 Down Payment Refund Bill |
5/15. Rep. Cliff
Stearns (R-FL) introduced HR 4738,
a bill to enable the winning bidders in the Federal Communications Commission's
(FCC) re-auction of Nextwave spectrum to obtain a return of
their deposits.
The bill provides that "On or before the 15th day after
the date of enactment of this Act, the Federal Communications
Commission shall return to the winning bidders of auction 35
the full amount of all deposits and downpayments made by such
winning bidders for licenses that the Commission has not by
that date delivered to such winning bidders."
Rep. Stearns explained this bill in a release.
"The successful bidders on Auction No. 35 have not
received the spectrum they bid on and they have not received
their total deposits back. While this issue is mired in
litigation, these wireless companies are denied the use of
these deposits for new investments or to improve customer
service. They are entitled to the licenses or to their
deposits."
The other initial cosponsors are Rep. Rick Boucher
(D-VA), Rep. Lee Terry
(R-NE), Rep. Chip
Pickering (R-MS), Rep.
Adolphus Towns (D-NY), and Rep. Bobby Rush (D-IL).
The bill was referred to the House Commerce Committee.
All of the sponsors are members of this Committee. |
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| More New Bills |
5/14. Sen. Jean
Carnahan (D-MO) and Sen.
Kay Hutchison (R-TX) introduced S
2511. This is a bill to prevent trafficking in child
pormography and obscenity. It is a response to the Supreme
Court's opinion
[PDF] in Ashcroft v. FSC, in which the Court held that the ban
on child pormography in the form of computer generated images
violates the First Amendment. This is the Senate companion
bill to HR 4623,
which has already been approved by the House Judiciary
Committee's Subcommittee on Crime.
5/14. Rep. Steve Israel
(D-NY), Rep. Greg
Walden (R-OR), and Rep. Pete Sessions
(R-TX) introduced HR 4720,
the Amateur Radio Emergency Communications Consistency Act of
2002. This brief bill would provide that "For purposes of
the Federal Communications Commission's regulation relating to
station antenna structures in the amateur radio services (47
CFR 97.15), any private land use rules applicable to such
structures shall be treated as a State or local regulation and
shall be subject to the same requirements and limitations as a
State or local regulation." It was referred to the House Commerce Committee. |
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| U.S. Antitrust Officials
Address Convergence of Competition Policy |
5/17. William Kolasky, a Deputy Assistant Attorney General
in the Antitrust Division
of the Department of Justice, gave a speech
titled "North Atlantic Competition Policy: Converging
Toward What?" He reviewed differences between the EU and
the U.S. in antitrust policy, including regarding efficiencies
in merger reviews, fidelity rebates, predatory pricing, and
the essential facilities doctrine. He spoke to the BIICL
Second Annual International and Comparative Law Conference in
London, United Kingdom, on May 17.
On May 15, Charles
James, an Assistant Attorney General at the Department of Justice in
charge of the Antitrust Division, gave a speech
in Brussels, Belgium, titled "Antitrust in the Early 21st
Century: Core Values and Convergence". He stated that
"the assertion of overlapping antitrust jurisdiction by
multiple sovereigns has the potential to harm the very
competitive values that antitrust is meant to protect."
James then reviewed the evolution of antitrust enforcement in
the U.S. and the EU. He concluded that "we in the
antitrust community need to work very hard to achieve a
substantial degree of worldwide convergence on antitrust
substance and process, based on the core value of protecting
competition and promoting economic efficiency." |
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| Cyber Security Bill Would
Require that Government Set Technology Standards |
5/17. The Senate
Commerce Committee amended and approved S 2182, the
Cyber Security Research and Development Act. This bill, which
was introduced by Sen. Ron
Wyden (D-OR) on April 17, began as the Senate companion
bill to HR 3394,
which passed the House on February 7 by a vote of 400-12. The
House bill, and the Senate bill as introduced, authorize
funding for various new research and education programs
pertaining to cyber security. However, the amendment in the
nature of a substitute approved by the Senate Commerce
Committee on May 17 also requires that the National Institute for Standards
and Technology (NIST) mandate technology standards for
cyber security.
Research and Education Funding. The funding authorized
by the bill would go to a variety of research and education
projects. The bill contains new or additional funding for five
National Science Foundation
(NSF) programs. It would authorize appropriations of $233
Million over 5 years to the NSF to make "network security
research grants". It would authorize $144 Million over 5
years to the NSF to award to universities "to establish
multi disciplinary Centers for Computer and Network Security
Research." These programs would fund research regarding
"authentication and cryptography; ... computer forensics
and intrusion detection; ... reliability of computer and
network applications, middleware, operating systems, and
communications infrastructure; and ...privacy and
confidentiality."
The bill would also authorize funding to be administered by
the NSF for training undergraduate university students ($95
Million), community college students ($6 Million), and
doctoral students ($90 Million) in cyber security fields.
The bill also authorizes funding for programs at the National Institute of Standards
and Technology (NIST). One item authorizes $275 Million
for NIST to assist universities that partner with for profit
entities in long term, high risk, cyber security research.
Another item authorizes $32 Million for in house research at
NIST.
Government Technology Standard Setting. Section 8 of
the House bill, and S 2182 as introduced by Sen. Wyden on
April 17, create a research program in cyber security at the
NIST. The version of the bill approved on May 17 greatly
expands this Section 8. In addition to research, it mandates
that the NIST set technology standards for cyber security.
The new language is at Section 8(c). Section 8(c)(1) requires
that "the Director of the National Institute of Standards
and Technology shall submit ... a report that -- (A)
identifies specific Federal agency benchmark security
standards that should be developed by the Institute ... and
that should serve as the basis for security standards that
will eventually be adopted by the departments and agencies of
the Federal Government".
The new version of the bill also adds to the definitions
section a definition of the phrase "Federal agency
benchmark security standards". It means "a baseline
minimum security configuration for specific computer hardware
or software components, an operational procedure or practice,
or organizational structure that increases the security of the
information technology assets of a department or agency of the
Federal Government." See, Section 3(3).
Then, the bill provides, at Section 8(c)(2), that "Not
later than 1 year after" the report required by 8(c)(1)
is submitted, the NIST "shall ... prepare a report ...
that contains recommendations for specific, reasonable Federal
agency benchmark security standards to be adopted by civilian
departments and agencies of the Federal Government".
However, the "recommendations" are actually
mandates. The bill further provides, at Section 8(c)(3), that
within another 90 days, "each civilian department and
agency of the Federal Government shall implement the
appropriate benchmark security standards recommended by such
report."
The bill requires that the standard setting report be sent to
private entities. However, this version of the bill does not
require that private sector entities comply with these
government standards.
Tech Sector Reaction. Technology groups criticized the
standards setting language. Robert Holleyman, P/CEO of the Business
Software Alliance (BSA) stated in a release
that "Such requirements are both inappropriate and
unworkable, as cyber security threats are always changing and
technologies must rapidly evolve to meet them ... Any
technology specific requirements would quickly render federal
security systems outmoded and lead to the creation of a
ceiling, rather than a floor, for federal cyber security. This
ceiling could then easily migrate to the private sector. The
adoption of performance guidelines and best practices, not
technological standards, is the key to improved federal cyber
security".
Holleyman also wrote a letter to Sen. Wyden on May 16 in which
he stated that the bill "vastly expands the scope of the
NIST's current responsibilities and effectively puts the
Federal Government in the position of determining what are or
are not appropriate computer security standards." He also
wrote that "we learned just today" about the new
language in the bill.
Similarly, Harris Miller, President of the Information Technology Association
of America (ITAA), stated in a release
that "the standards requirement in the amendment that was
passed by the Commerce Committee earlier today could harm
innovation that drives vast improvements in security
technology, and we cannot support the language as
written". Otherwise, both the BSA and ITAA support the
funding provisions of the bill. |
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| GAO Reports on State GLB
Actions |
5/17. The General Accounting
Office (GAO) released a report [PDF]
titled "Financial Privacy: Status of State Actions on
Gramm Leach Bliley Act's Privacy Provisions".
Subtitle A of Title V of the Gramm Leach Bliley Act (GLB Act)
prohibits financial institutions, including insurance
companies, from disclosing consumers' nonpublic personal
information to any entity that is not an affiliate of or
related by common ownership or control to the institution,
unless the consumers are given an opportunity to opt out of
such disclosure. The GLB Act also requires that financial
institutions provide consumers with privacy notices that
explain their policies and practices for disclosing and
protecting the privacy of nonpublic personal information.
This report pertains to actions take by states under the GLB
Act with respect to state regulated insurance companies. The National Association of Insurance
Commissioners (NAIC) issued its Model Regulation on
September 26, 2000. The GAO report concludes that "All 50
states and the District of Columbia have generally followed
one of two approaches to ensuring insurance industry
compliance with the disclosure requirements of Subtitle A.
The report continues that "Most of the states have
adopted regulations or legislation based on the 2000 Model
Regulation, which generally is comparable with the regulations
issued by the federal depository institution regulators and
FTC. However, a number of states have decided to retain their
versions of the 1982 Model Act -- which several states view as
providing greater privacy protections than Subtitle A -- with
some modifications to ensure compliance with all of Subtitle
A's requirements. In addition, some states have modified or
retained certain provisions of their laws and regulations to
provide insurance consumers with greater protections than
required by Subtitle A. Such actions are consistent with
Subtitle A, as Congress specifically allowed states to enact
statutes or issue regulations, orders, and interpretations
that provide greater financial privacy protections than is
contained in Subtitle A."
The report also concludes that "State insurance
authorities are behind most of the federal regulators in
establishing standards for safeguarding the nonpublic personal
information of consumers as required by Subtitle A. NAIC's
adoption of a model for states to use in developing the
required standards is an important first step. Although NAIC
has approved the model standards, there is no guarantee that
all states will consistently implement the NAIC Model
Safeguarding Regulation. Each state must independently take
action to implement the NAIC Model Safeguarding Regulation.
During this period, the security and the confidentiality of
insurance customer information and records may not be subject
to a consistent level of legal protections envisioned by
Subtitle A."
The report was prepared at the request of Rep. John Dingell
(D-MI), the ranking Democrat on the House Commerce Committee. |
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| People and Appointments |
| 5/16. The House adopted H Res 423, which appointed Rep. Randy Forbes
(R-VA) a member of the House Judiciary
Committee. See, Cong. Rec., May 16, 2002, at page H2599.
Rep. Forbes was elected in a special election in 2001. |
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| More News |
| 5/17. The U.S.
Court of Appeals (FedCir) issued its opinion
[MS Word] in Husky
Injection Molding Systems v. R&D Tool & Engineering,
a patent infringement case. Husky is the assignee of U.S.
Patent No. Re. 33,237, titled "Apparatus for
Producing Hollow Plastic Articles". Husky filed a
complaint in U.S. District Court (WDMO) against R&D
alleging contributory infringement of its patent. The District
Court granted R&D's motion for summary judgment of
non-infringement. Husky appealed. The Court of Appeals
affirmed. |
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| Monday, May 20 |
The House will meet at 12:30 PM for morning hour and at 2:00
PM for legislative business. No votes are expected before 6:30
PM. The House will consider a number of measures under
suspension of the rules.
The Senate will meet at 1:00 PM.
The Supreme Court will return from recess.
9:00 AM. USPTO Director James Rogan
will speak at the INTA convention. Press contact: Brigid Quinn
at 703 305-8341 or brigid.quinn
@uspto.gov. Location: Washington Convention Center, 900
9th Street NW.
9:00 AM - 5:00 PM. Day one of a two day public workshop hosted
by the FTC to explore issues
relating to the security of consumers' computers and
the personal information stored in them or in company
databases. See, FTC notice.
Location: 600 Pennsylvania Ave., NW.
Day two of a three day conference titled "Personal
Privacy in the Digital Age: The Challenge for State and Local
Governments". See, agenda.
The price to attend is $345. For more information, contact 202
347-3190 Ext. 3005 or spandy
@napawash.org. Location: Hilton Crystal City, Arlington,
VA.
Day three of a five day annual conference of the International Trademark
Association (INTA). USPTO
Director James
Rogan is scheduled to speak at 9:00 AM. See, agenda.
Press contact: Brigid Quinn at 703 305-8341 or brigid.quinn @uspto.gov.
Location: Washington Convention Center, 900 9th Street NW. |
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| Tuesday, May 21 |
The House will meet at 9:00 AM for morning hour and at 10:00
AM for legislative business. The House will consider a number
of measures, including HR
3994, the Afghanistan Freedom Support Act.
President Bush will leave the country for visits to Germany,
France and Russia. He will return on May 27.
9:00 AM - 2:00 PM. Day two of a two day public workshop hosted
by the FTC to explore issues
relating to the security of consumers' computers and the
personal information stored in them or in company databases.
See, FTC
notice. Location: 600 Pennsylvania Ave., NW.
9:00 AM. The Annenberg
Center will host a meeting titled "Drawing Voters to
Political Information Online". For more information, call
Lorie Slass at 202 879-6701. Location: Holeman Lounge, National Press Club, 529 14th
St. NW, 13th Floor.
12:00 NOON - 1:00 PM. Howard Beales, Director of the FTC's
Bureau of Consumer Protection, will give the closing keynote
address at the conference titled "Personal Privacy in the
Digital Age: The Challenge for State and Local
Governments". Location: Hilton Crystal City, Arlington,
VA.
12:15 PM. The FCBA's
Young Lawyers Committee will host a brown bag lunch. Steve
Berry (VP for Government Affairs at the CTIA) will address Wireless
Issues on the Hill. Location: Hogan & Hartson,
Conference Room 9E-407, 555 13th Street, NW (east tower).
2:00 - 4:00 PM. The Department of State's U.S. International
Telecommunication Advisory Committee will meet to debrief the
just completed International Telecommunication Union Council
meeting. Persons intending to attend the meeting should send a
fax to the State Department with security related information.
See, notice
in Federal Register. Location: Room 1408, State Dept.
Day three of a three day conference titled "Personal
Privacy in the Digital Age: The Challenge for State and Local
Governments". See, agenda.
For more information, contact 202 347-3190 Ext. 3005 or spandy @napawash.org
Location: Hilton Crystal City, Arlington, VA.
Day four of a five day annual conference of the INTA. See, agenda.
Location: Washington Convention Center, 900 9th Street NW. |
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| Wednesday, May 22 |
The House will meet at 10:00 AM for legislative business.
9:00 AM - 4:30 PM. The Antitrust
Division of the DOJ and the FTC will hold another in
their series of hearings on antitrust and intellectual
property. This event is titled "An International
Comparative Law Perspective on the Relationship Between
Competition and Intellectual Property, Part I". The DOJ
requires that attendees provide their name and date of birth
24 hours in advance to Kathleen Leicht at kathleen.leicht
@usdoj.gov or 202 514-7018. For more information, contact
Gina Talamona in the Office of Public Affairs at 202 514-2007,
or Frances Marshall in the Antitrust Division at 202 305-2520.
See, FTC
notice. Location: Great Hall, Department of Justice, Main
Building, 950 Pennsylvania Avenue, NW.
9:00 AM. Microstrategy
will host a press breakfast on the "state of the
industry". For more information, contact Mark Brailov at
703 770-1670. Location: Murrow Room, National Press Club, 529 14th
St. NW, 13th Floor.
9:30 AM. The Senate
Commerce Committee will hold a hearing on local telecom
competition. Press contact: Andy Davis 224-6654. Location:
Room 253, Russell Building.
10:00 AM? The House
Judiciary Committee's Subcommittee on Courts, the
Internet, and Intellectual Property has rescheduled its
hearing titled "The Accuracy and Integrity of the Whois
Database". Howard Beales, Director of the FTC's
Consumer Protection Bureau is scheduled to testify. Webcast.
Press contact: Jeff Lungren or Terry Shawn at 202 225-2492.
Location: Room 2141, Rayburn Building. This hearing has been
scheduled and postponed twice.
1:00 - 5:00 PM. The FCC will host a
discussion of regulatory issues affecting broadband
deployment. The participants with include FCC Commissioners
and representatives of the governments of Canada, Korea and
the United Kingdom. See, FCC
notice [PDF]. For more information, contact Patricia
Cooper at 202 418-0723 or Linda Haller at 202 418-1408.
Location: FCC, 445 12th Street, SW, Commission Meeting Room.
1:30 - 3:30 PM. The FCC's WRC-03
Advisory Committee, Informal Working Group 7: Regulatory
Issues and Future Agendas, will hold a meeting. Location: FCC,
445 12th Street, SW, Room 7-B516 (7th Floor South Conference
Room).
2:30 PM. The Senate
Commerce Committee's Subcommittee on Science, Technology,
and Space will hold a hearing on the National Science Foundation
budget, focusing on federal research and development
activities. Location: Room 253, Russell Building.
Day five of a five day annual conference of the INTA. See, agenda.
Location: Washington Convention Center, 900 9th Street NW.
Day one of a two day conference titled "The Forrester
Telecom Summit: The Impact Of Displacement". See, conference
web site. The price to attend ranges from $1295 to $1495.
For more information, contact events @forrester.com
or 1 888 343-6786. Location: Grand Hyatt Washington. |
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| Thursday, May 23 |
The House will meet at 10:00 AM for legislative business.
9:30 - 11:45 AM. The Antitrust
Division of the DOJ and the FTC will hold another in
their series of hearings on antitrust and intellectual
property. This event is titled "An International
Comparative Law Perspective on the Relationship Between
Competition and Intellectual Property, Part II". For more
information, contact Derick Rill (FTC Office of Public
Affairs) at 202 326-2472 or Susan DeSanti (FTC Policy Planning
Division) at 202 326-2167. See, FTC notice.
Location: Room 432, FTC, 600 Pennsylvania Ave., NW.
12:00 NOON. Congressional
Internet Caucus Advisory Committee will host a panel
discussion of online pormography, the Children's Online
Protection Act, and the National Academy of Science's report
to Congress titled "Youth, Pormography, and the
Internet." Lunch will be served. RSVP to rsvp @netcaucus.org or
call Danielle at 202 638-4370. Location: Room HC-5, Capitol
Building.
2:00 PM. The Senate
Judiciary Committee will hold a hearing on pending
judicial nominations. Press contact: Mimi Devlin at 202
224-9437. Location: Room 226, Dirksen Building.
Day one of a two day conference titled "The Forrester
Telecom Summit: The Impact Of Displacement". See, conference
web site. For more information, contact events @forrester.com
or 1 888 343-6786. Location: Grand Hyatt Washington. |
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| Friday, May 24 |
| The House will meet at 9:00 AM for legislative business. No
votes expected after 2:00 PM. |
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