Rubio introduces new, FTC-focused data privacy legislation

Sen. Marco Rubio (R-Fla.) is the latest legislator to move forward with a bill to establish a national consumer data privacy law.

His proposed American Data Dissemination (ADD) Act uses the Privacy Act of 1974 as its framework and “provides overdue transparency and accountability from the tech industry while ensuring that small businesses and startups are still able to innovate and compete in the digital marketplace,” he said in a statement.

“There has been a growing consensus that Congress must take action to address consumer data privacy,” he added. Rubio said. “I believe, however, that any efforts to address consumer privacy must also balance the need to protect the innovative capabilities of the digital economy that have enabled new entrants and small businesses to succeed in the marketplace … It is critical that we do not create a regulatory environment that entrenches big tech corporations. Congress must act, but it is even more important that Congress act responsibly to create a transparent, digital environment that maximizes consumer welfare over corporate welfare.”

No more than 180 days after the ADD Act’s enactment, the Federal Trade Commission (FTC) would be required to submit detailed recommendations for privacy requirements that Congress can impose on covered providers. These requirements would be substantially similar to the requirements applicable to agencies under the Privacy Act of 1974, legislation formulated in response to the Watergate scandal and the government’s increasing use of computers to store personal data.

Not earlier than one year after the date on which the FTC has submitted detailed recommendations, it will publish and submit to the appropriate committees of Congress proposed regulations to impose privacy requirements on covered providers.

If Congress fails to enact a law based on those within two years of enactment of the new law, the FTC would promulgate a final rule “to impose privacy requirements based on the narrow, congressionally mandated course of action created through this bill.”