PRIVACY LEGISLATION -- (Senate - October 25, 2000)

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   Mr. GORTON. Mr. President, we live in a period of unprecedented prosperity and opportunity.

   We can go more places than ever before. We are living longer and healthier lives than ever before. We are employed in jobs today that were unthinkable just a few years ago.

   Our lives have changed dramatically because of computers, the Internet and technology.

   But with all the good that comes with technology, there are elements that cause us concern. One such concern that has captured our attention is the issue of privacy.

   As more of us use the Internet to shop and conduct business, more of our personal information is being spread throughout the web. That information, in many instances, is used properly and in a way that is good for consumers. But as in any field, there are those who abuse the public trust by using this personal information in unethical ways.

   Because of concerns about consumer privacy, the Senate has considered how we might do better at protecting consumers while not unwittingly turning off the Internet engine that is such a key part of the economic prosperity we currently enjoy.

   The Senate Commerce Committee recently held its third hearing this year on the privacy of information gathered from consumers who use the Internet. Since the Federal Trade Commission recommended legislation in this area earlier this session, I, and I believe a substantial number of my colleagues, have come to agree that we must act on this issue in the not-too-distant-future.

   I have come to believe that Federal legislation is needed to protect consumers. I don't think that the current voluntary privacy policies are sufficient. Consumers who use the Internet should be given more information about what data is being gathered about them, and they should be given greater control over how this data is used.

   I have also come to believe that Federal legislation is needed to protect and improve Internet commerce which, of course, benefits consumers and businesses alike. Not only will the assurance of adequate, enforceable privacy standards increase consumers' comfort with on-line transactions, but the possibility of States acting to protect consumers in the absence of a Federal law threatens to create a patchwork of conflicting privacy mandates that could be hard to apply to a medium that does not recognize State borders.

   Though I know that I support Federal legislation regarding the on-line collection and use of consumer information, I confess to not knowing at this time exactly what should be legislated. At the last hearing in the Senate Commerce Committee we considered three different bills, and additional, and more varied, bills have been introduced in the House of Representatives. I don't know which of these approaches or combination of approaches will best protect consumers without making on-

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line transactions overly burdensome. On-line merchants, providers of both goods and

   services, have touted the benefits to consumers of using the Internet to gather information that facilitates targeted marketing. This could very well be the case but I want to know that consumers are informed of and agree with these marketing practices.

   Determining more specifically what consumers want from privacy legislation is something that I hope we can do in the next session of Congress.

   While much, through certainly not all, of the discussion in Congress about privacy is focused on the issue of the on-line collection and use of consumer information, I think it is also important that Congress remain cognizant of the fact that ``privacy'' as it relates to the Internet is a far broader and more complex issue. For all of its salutary effects, the ease with which the Internet allows for the compilation and sharing of private information gathered in the physical world, information about financial transactions, medical histories, reading habits, eating habits, sleeping habits, information about almost every aspect of one's life raises legitimate concerns that Congress should and will continue to address.

   The privacy of medical information, which can be intensely personal, is one such issue about which Congress must remain vigilant. Improved technology along with changes in health care delivery, billing systems, information gathering and genetic testing all increase the number of people who have access to health records. Americans should know that personally identifiable health information is private and they should have control over who has access to it. At the same time our challenge is to find a way to balance legitimate needs for health care information--for example, medical research--and individual privacy rights.

   Future Congresses will adopt additional health care reforms. We clearly need to improve our Nation's health care system. Although most Americans are satisfied with their health care, most Americans are also concerned about those in our country who have inadequate health care and no hope of improving their situation. I support reforms that improve access to quality health care for those who have none, that keep intact our wonderful system of hospitals and clinics in all areas of our country and that provide people with meaningful choices.

   When future Congresses address this area, one issue I will watch most carefully is the amount of health care information that is provided to the Government, and how this information is used. We must be careful not to adopt measures that give Government regulators the ability to peek into people's private medical records. A few years ago, my home State of Washington embarked on several health care reforms. Most of these reforms were in the wrong direction. Our legislature adopted reforms that put the government in charge of health care decisions for people and gave a government commission the ability to cancel private health insurance coverage in our state.

   I found both of those moves bothersome, but our legislature didn't stop at just controlling health care decisions for our citizens. No, our legislature took one additional chilling step. It decided that if the government was providing health care, as well as dictating which private health plans could remain in business, the government should have access to personal, private medical records.

   That is going way too far, and fortunately, the good people of Washington made sure that radical change was not placed into the law.

   Over the next year, I am convinced that Congress will adopt meaningful health care reforms that help people, but as we do that, I must constantly advise my colleagues to follow the ``do no harm'' rules of medicine and not fall prey to those who believe that government-run health care, along with all that it brings, is the right solution to this challenge.

   No matter the type of information in question--consumer or medical--Americans have the right to a reasonable expectation of privacy. Thoughtful legislative action is needed at the federal level to address the legitimate concerns many Americans currently have in this regard.

   The PRESIDING OFFICER. The Senator from Ohio is recognized.

   Mr. VOINOVICH. Mr. President, I ask unanimous consent to speak for 10 minutes as in morning business.

   The PRESIDING OFFICER. Without objection, it is so ordered.

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