The movement of data online created big gaps in existing health privacy law, and shoring up protections for Americans’ data is a bipartisan goal in Congress. But agreeing on a federal privacy standard has proved thorny, and an apparent breakthrough in negotiations last week might not get sufficient support to advance, POLITICO’s Alfred Ng reports. A new draft bill, floated as a political compromise among key congressional players after years of partisan gridlock, is under fire for the lawmakers’ concessions. The legislation’s authors, House Energy and Commerce Chair Cathy McMorris Rodgers (R-Wash.) and Senate Commerce Chair Maria Cantwell (D-Wash.), haven’t even convinced their committee counterparts to sign on, Alfred found. GOP objections: Republicans (and the tech industry in general) broadly oppose part of the deal that would give individual citizens the right to sue for privacy violations, the so-called private right of action. Senate Commerce Committee ranking member Ted Cruz (R-Texas), for one, said Monday he would oppose any bill with that provision included, arguing it would spur frivolous suits. Democrats’ grievances: Lawmakers on the left have long opposed a provision to preempt existing state privacy regulations, a move that would replace privacy laws in California, Colorado, Maryland and 13 other states with a federal standard. In 2022, then-Speaker of the House Nancy Pelosi joined other California Democrats to oppose a previous federal privacy bill because of its language preempting state laws. The lawmakers argued states need the ability to write their own laws to address “rapid changes in technology.” Energy and Commerce ranking member Frank Pallone (D-N.J.), who has worked with Rodgers on prior privacy legislation, called the draft “very strong,” but also said he wanted to see it offer stronger protections for children. The tech industry’s beefs: Proposed limits on artificial intelligence are among the firms’ problems with the draft bill. The bill limits how companies can use AI in algorithmic decisions related to health care and allows people to request that a human make them. What’s next? Rodgers plans a hearing before her Energy and Commerce Committee on Wednesday.
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