Social Security Privacy Act of 1994

Summary: Social Security Privacy Act of 1994 - States that it is the policy of the Congress to restrict the use of social security numbers to purposes most directly related to social security and other social services. 
Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to revise current guidelines on State and local government utilization of social security numbers, with changes generally requiring an individual's written consent before such number, or any derivative thereof, may be used for purposes of identifying the individual.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Social Security Privacy Act of 
1994''.

SEC. 2. FINDINGS AND DECLARATION OF POLICY.

    (a) Findings.--The Congress finds the following:
            (1) The social security account number is a very effective 
        and powerful method of identifying individuals in modern 
        society and its use must therefor be restricted if reasonable 
        levels of privacy are to be maintained.
            (2) Numerous citizens concerned for their privacy have 
        petitioned the Congress that use of their social security 
        account numbers at all levels of government be restricted.
    (b) Declaration of Policy.--It is therefore the policy of the 
Congress to restrict the use of the social security account number to 
purposes most directly related to social security and other social 
services.

SEC. 3. RESTRICTIONS ON USE OF SOCIAL SECURITY ACCOUNT NUMBERS.

    (a) In General.--So much of section 205(c)(2)(C) of the Social 
Security Act (42 U.S.C. 405(c)(2)(C)) as precedes clause (iii) is 
amended to read as follows:
    ``(C)(i) Except to the extent otherwise provided in this subsection 
or to the extent otherwise provided in any other provision of Federal 
law specifically referring to this subparagraph, it shall be unlawful 
for the Federal Government, any State (or political subdivision 
thereof), or any agency thereof--
            ``(I) to deny to any individual any right, benefit, or 
        privilege provided by law because of such individual's refusal 
        to disclose his or her social security account number assigned 
        by the Secretary, or
            ``(II) to utilize, without the individual's written 
        consent, any number consisting in whole or in part of the 
        individual's social security account number assigned by the 
        Secretary, or any derivitive thereof, for purposes of 
        identifying the individual.
Any Federal, State, or local government agency which requests an 
individual to disclose his or her social security account number shall 
inform such individual whether that disclosure is mandatory or 
voluntary, by what statutory or other authority such number is 
solicited, and what uses will be made of it.
    ``(ii) Any State (or political subdivision thereof) may, in the 
administration of any general public assistance law within its 
jurisdiction, utilize the social security account numbers issued by the 
Secretary for the purpose of establishing the identification of 
individuals affected by such law, and may require any individual who is 
or appears to be so affected to furnish to such State (or political 
subdivision thereof) or any agency thereof having administrative 
responsibility for such law, the social security account number (or 
numbers, if he or she has more than one such number) issued to him or 
her by the Secretary.''.
    (b) Additional Amendments.--Section 205(c)(2)(C) of such Act is 
further amended--
            (1) by striking the clause (iii) added by section 
        2201(b)(3) of Public Law 101-624 (relating to administration of 
        section 506 of the Federal Crop Insurance Act); and
            (2) in clause (v), by striking ``general public assistance, 
        driver's license, or motor vehicle registration law'' and 
        inserting ``general public assistance law'', and by striking 
        ``the laws referred to in clause (i)'' and inserting ``such 
        law''.
    (c) Clerical and Conforming Amendments.--
            (1) Section 205(c)(2)(C) of such Act is further amended--
                    (A) in the first sentence of clause (iv), by 
                striking ``subclause (I) of'';
                    (B) by striking the second sentence of clause (iv); 
                and
                    (C) by striking the clause (vii) added by section 
                1735(b) of Public Law 101-264, and, in subclause (IV) 
                of the remaining clause (vii), by inserting ``, or a 
                request therefor,'' after ``number''.
            (2)(A) Section 205(c)(2)(D) of the Social Security Act (42 
        U.S.C. 405(c)(2)(D)) (relating to requirement of blood donors 
        to furnish social security account numbers) is repealed.
            (B) Section 1141(c) of such Act (42 U.S.C. 1320b-11(c)) 
        (relating to Blood Donor Locator Service) is amended by 
        inserting ``(if disclosed by the blood donor to the authorized 
        person making the request)'' after ``social security account 
        number''.
            (3) Section 7 of the Privacy Act of 1974 (Public Law 93-
        579; 88 Stat. 1909) is repealed.
    (d) Effective Date and Transitional Rules.--
            (1) Effective date.--The amendments made by this section 
        shall take effect January 1, 1995.
            (2) State tax laws.--The amendments made by this section 
        shall not apply with respect to the use, on or after January 1, 
        1995, by an agency of a State (or a political subdivision 
        thereof) of an individual's social security account number 
        disclosed to such State (or political subdivision) before such 
        date, if--
                    (A) the disclosure of such number was required 
                under a tax law of such State (or such political 
                subdivision) prior to such date,
                    (B) the disclosure was for the purpose of 
                maintaining a system of records which was in existence 
                and operating before such date, and
                    (C) the use of such number on or after such date is 
                restricted solely to the administration of such tax 
                law.
            (3) Driver's license and motor vehicle registration.--The 
        amendments made by this section shall not apply with respect to 
        driver's licenses issued, or motor vehicle registrations 
        executed, before January 1, 1995, until the respective renewal 
        dates thereof on or after such date.