I 

108TH CONGRESS 

2D SESSION H. R. 4414

To require designation of a senior official within the Office of Management 

and Budget as the Chief Privacy Officer, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 20, 2004

Mr. MEEK of Florida (for himself, Mr. TURNER of Texas, Mr. THOMPSON of 

Mississippi, Ms. LORETTA SANCHEZ of California, Mr. MARKEY, Mr. 

DICKS, Mr. FRANK of Massachusetts, Mr. ANDREWS, Ms. NORTON, Ms. 

LOFGREN, Ms. MCCARTHY of Missouri, Ms. JACKSON-LEE of Texas, Mrs. 

CHRISTENSEN, Mr. LANGEVIN, Mr. SANDLIN, Mr. MATSUI, Mr. SKELTON, Mr. HASTINGS of Florida, Mr. GREEN of Texas, Mrs. CAPPS, Mr. 

NADLER, Ms. ROYBAL-ALLARD, Ms. EDDIE BERNICE JOHNSON of Texas, 

Mrs. MALONEY, Mr. WYNN, and Ms. KILPATRICK) introduced the following bill; which was referred to the Committee on Government Reform 

A BILL

To require designation of a senior official within the Office 

of Management and Budget as the Chief Privacy Officer, 

and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Strengthening Home5 land Innovation to Emphasize Liberty, Democracy, and 

6 Privacy Act’’ or the ‘‘SHIELD Privacy Act’’. 
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1 SEC. 2. FINDINGS. 

2 The Congress finds the following: 

3 (1) The protection of our Nation’s civil liberties 

4 and privacy is fundamental to the American way of 

5 life. 

6 (2) Strengthening our homeland security en7 sures that our way of life and the rights protected 

8 by the Constitution remain intact. 

9 (3) In developing homeland security initiatives, 

10 our Government must take care to protect funda11 mental constitutional rights and strive to minimize 

12 unnecessary impositions on the freedoms and privi13 leges enjoyed in the United States. 

14 (4) As governments develop and employ new 

15 technologies and gather information from the private 

16 sector for homeland security efforts, they must en17 sure that our society’s constitutional guarantees re18 lating to privacy, due process, and civil liberties are 

19 protected. 

20 SEC. 3. CHIEF PRIVACY OFFICER. 

21 (a) DESIGNATION.—The President shall designate a 

22 senior official within the Office of Management and Budg23 et as the Chief Privacy Officer, who shall have primary 

24 responsibility for privacy policy throughout the Federal 

25 Government. 
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1 (b) SPECIFIC RESPONSIBILITIES.—The responsibil2 ities of the Chief Privacy Officer shall include the fol3 lowing: 

4 (1) Assuring that the technologies procured and 

5 use of technologies by the Federal Government sus6 tain, and do not erode, privacy protections relating 

7 to the use, collection, and disclosure of personally 

8 identifiable information. 

9 (2) Assuring that personally identifiable infor10 mation contained in systems of records (as that term 

11 is defined in section 552a of title 5, United States 

12 Code, popularly known as the ‘‘Privacy Act of 

13 1974’’) is handled in full compliance with fair infor14 mation practices required under that section. 

15 (3) Evaluating legislative and regulatory pro16 posals involving collection, use, and disclosure of 

17 personally identifiable information by the Federal 

18 Government. 

19 (4) Exercising responsibility currently vested in 

20 the Director of the Office of Management and Budg21 et with respect to privacy impact assessment rules, 

22 regulations, and oversight under section 208 of the 

23 E–Gov Act of 2002 (44 U.S.C. 3501 note). 

24 (5) Preparing an annual report to the Congress 

25 containing an agency-by-agency analysis of Federal 
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1 activities that affect privacy, including complaints of 

2 privacy violations, implementation of section 552a of 

3 title 5, United States Code, internal controls, and 

4 other matters. 

5 (c) AGENCY INFORMATION.—The head of each Fed6 eral agency shall provide to the Chief Privacy Officer such 

7 information as the Chief Privacy Officer considers nec8 essary for the completion of the annual reports under sub9 section (b)(5). 

10 (d) REPORT BY SECRETARY OF HOMELAND SECU11 RITY.—Section 222(5) of the Homeland Security Act of 

12 2002 (6 U.S.C. 142(5)) is amended by striking ‘‘Con13 gress’’ and inserting ‘‘the chief Privacy Officer of the Of14 fice of Management and Budget’’. 

15 SEC. 4. PRIVACY POLICY OF DEPARTMENTS AND INDE16 PENDENT AGENCIES. 

17 (a) OFFICIALS RESPONSIBLE FOR PRIVACY POL18 ICY.—The head of each department and each independent 

19 agency in the executive branch shall appoint a senior offi20 cial of the department or independent agency, respectively, 

21 to assure primary responsibility for privacy policy, includ22 ing the following: 

23 (1) Assuring that technologies procured and use 

24 of technologies sustain, and do not erode, privacy 
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1 protections relating to the use, collection, and disclo2 sure of personally identifiable information. 

3 (2) Assuring that personally identifiable infor4 mation contained in systems of records (as that term 

5 is defined in section 552a of title 5, United States 

6 Code, popularly known as the ‘‘Privacy Act of 

7 1974’’) is handled in full compliance with fair infor8 mation practices required under that section. 

9 (3) Evaluating legislative and regulatory pro10 posals involving collection, use, and disclosure of 

11 personally identifiable information by the Federal 

12 Government. 

13 (4) Conducting privacy impact assessments 

14 under subsection (b). 

15 (5) Ensuring that the department or agency 

16 protects personally identifiable information and in17 formation systems from unauthorized access, use, 

18 disclosure, disruption, modification, or destruction in 

19 order to provide—

20 (A) integrity, by—

21 (i) guarding against improper infor22 mation modification or destruction; and 

23 (ii) ensuring information nonrepudi24 ation and authenticity; 
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1 (B) confidentiality, by preserving author2 ized restrictions on access and disclosure, in3 cluding means for protecting personal privacy 

4 and proprietary information; 

5 (C) availability, by ensuring timely and re6 liable access to and use of that information; and 

7 (D) authentication, by utilizing digital cre8 dentials to assure the identity of users and vali9 date their access. 

10 (6) Submitting an annual report to the Director 

11 of the Office of Management and Budget on activi12 ties of their agencies that affect privacy, including 

13 complaints of privacy violations, implementation of 

14 section 552a of title 5, United States Code, internal 

15 controls, and other matters. 

16 (b) PRIVACY IMPACT ASSESSMENTS.—

17 (1) REQUIREMENT.—The official appointed 

18 under subsection (a) for a department or inde19 pendent agency shall—

20 (A) assess the impact on privacy of each 

21 proposed action of the Department or agency 

22 that will require collecting, using, or accessing 

23 personally identifiable information from 10 or 

24 more persons; and 
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1 (B) make the results of such assessments 

2 publicly available through the World Wide Web 

3 site of the Department. 

4 (2) MATTERS CONSIDERED.—Each assessment 

5 under this subsection regarding a proposed action 

6 shall consider the following: 

7 (A) The type of any personally identifiable 

8 information to be collected, used, or accessed by 

9 the Department. 

10 (B) Why such information will be collected, 

11 used, or accessed. 

12 (C) The intended use of such information. 

13 (D) The persons with whom such informa14 tion will be shared. 

15 (E) What notice or consent will be pro16 vided to individuals regarding such information 

17 to be collected or accessed, and how that infor18 mation will be shared. 

19 (F) How such information will be secured. 

20 (G) Whether a system of records will be 

21 created for purposes of section 552a of title 5, 

22 United States Code. 

23 (H) The method by which, extent to which, 

24 and rate at which such collected information 

25 will be destroyed or returned. 
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1 SEC. 5. COMMISSION ON PRIVACY, FREEDOM, AND HOME2 LAND SECURITY. 

3 (a) ESTABLISHMENT.—There is established a com4 mission to be known as the ‘‘Commission on Privacy, 

5 Freedom, and Homeland Security’’. 

6 (b) DUTIES OF COMMISSION.—

7 (1) IN GENERAL.—The Commission shall con8 duct a comprehensive legal and factual study relat9 ing to United States efforts to further homeland se10 curity in a manner that protects privacy, civil lib11 erties, and individual freedoms. 

12 (2) MATTERS TO BE STUDIED.—The matters 

13 studied by the Commission under paragraph (1) 

14 shall at a minimum include the following: 

15 (A) A review of whether Federal agencies 

16 are properly assessing the privacy implications 

17 of new homeland security technologies before 

18 implementing and deploying such technologies. 

19 (B) The impact of existing Federal and 

20 State privacy statutes and regulations, legisla21 tion pending before the Congress, and privacy 

22 protection efforts undertaken by the Federal 

23 Government, State governments, foreign gov24 ernments, and international governing bodies on 

25 homeland security. 
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1 (C) The impact of Federal legislation en2 acted since September 11, 2001, or pending be3 fore the Congress, on civil liberties. 

4 (D) The likely effectiveness of existing 

5 technologies for analyzing public and private 

6 sources of data and information to identify ter7 rorists and prevent terrorist acts. 

8 (c) FIELD HEARINGS.—

9 (1) IN GENERAL.—The Commission shall con10 duct at least 2 field hearings in each of the 5 geo11 graphical regions of the United States. 

12 (2) DETERMINATION OF REGIONS.—For pur13 poses of this subsection, the Commission may deter14 mine the boundaries of the 5 geographical regions of 

15 the United States. 

16 (d) REPORT.—

17 (1) IN GENERAL.—No later than 24 months 

18 after the date on which the Commission first meets, 

19 the Commission shall submit to the President and 

20 the Congress a comprehensive report of the Commis21 sion’s findings, recommendations, and conclusions. 

22 Such report shall include a summary of the report 

23 submitted to the Commission by the National Re24 search Council under subsection (g)(9), and a sum-
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1 mary of any other material relied on by the Commis2 sion in the preparation of its report. 

3 (2) RECOMMENDATIONS.—The report under 

4 paragraph (1) shall include recommendations re5 garding the following: 

6 (A) Steps Federal agencies should take 

7 when considering new homeland security tech8 nologies to ensure that privacy implications are 

9 adequately considered before such technologies 

10 are implemented. 

11 (B) Whether additional legislation is nec12 essary to reform or augment current laws and 

13 regulations relating to privacy and homeland se14 curity, including specific reform proposals and 

15 an analysis of the financial costs of any pro16 posed changes. 

17 (C) Safeguards and protection that should 

18 be in place when the Federal Government uses 

19 an individual’s personally identifiable informa20 tion obtained from a commercial database or a 

21 list for counterterrorism and homeland security 

22 purposes. 

23 (3) ADDITIONAL REPORT.—The Commission 

24 shall submit to the Congress and the President, with 

25 the report under paragraph (1), any additional re-
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1 port of dissenting opinions or minority views by any 

2 member of the Commission. 

3 (4) INTERIM REPORT.—The Commission may 

4 submit to the Congress and the President interim 

5 reports approved by a majority of the members of 

6 the Commission. 

7 (e) STRUCTURE OF COMMISSION.—

8 (1) MEMBER AND APPOINTMENT.—The Com9 mission shall be composed of 10 members appointed 

10 as follows: 

11 (A) 1 member appointed by the President, 

12 who shall be the chairperson of the Commis13 sion. 

14 (B) 1 member appointed jointly by the mi15 nority leader of the House of Representatives 

16 and the minority leader of the Senate, who shall 

17 be the vice chairperson of the Commission. 

18 (C) 2 members appointed by the majority 

19 leader of the House of Representatives. 

20 (D) 2 members appointed by the minority 

21 leader of the House of Representatives. 

22 (E) 2 members appointed by the majority 

23 leader of the Senate. 

24 (F) 2 members appointed by the minority 

25 leader of the Senate. 
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1 (2) QUALIFICATIONS OF MEMBERS.—The ap2 pointing authorities under subsection (1) shall seek 

3 to ensure that the membership of the Commission 

4 has a diversity of views and experiences on the mat5 ters to be studied by the Commission, including 

6 views and knowledge of law, civil rights and liberties, 

7 privacy matters, homeland security, information 

8 technology, security, database integration, and law 

9 enforcement. 

10 (3) DATE OF APPOINTMENT.—The appointment 

11 of the members of the Commission shall be made not 

12 later than 30 days after the date of the enactment 

13 of this Act. 

14 (4) TERMS.—Each member of the Commission 

15 shall be appointed for the life of the Commission. 

16 (5) VACANCIES.—Any vacancy in the Commis17 sion shall be filled in the same manner in which the 

18 original appointment was made. 

19 (6) COMPENSATION; TRAVEL EXPENSES.—

20 Members of the Commission shall serve without pay, 

21 but shall receive travel expenses, including per diem 

22 in lieu of subsistence, in accordance with sections 

23 5702 and 5703 of title 5, United States Code. 

24 (7) QUORUM.—A majority of the members of 

25 the Commission shall constitute a quorum for pur-
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1 poses of conducting business, except that 2 members 

2 of the Commission shall constitute a quorum for 

3 purposes of conducting a hearing. 

4 (8) MEETINGS.—

5 (A) IN GENERAL.—The Commission shall 

6 meet at the call of the Chairperson or a major7 ity of its members. 

8 (B) INITIAL MEETING.—Not later than 45 

9 days after the date of the enactment of this 

10 Act, the Commission shall hold its initial meet11 ing. 

12 (f) DIRECTOR; STAFF; EXPERTS AND CONSULT13 ANTS.—

14 (1) DIRECTOR.—

15 (A) APPOINTMENT.—Not later than 60 

16 days after the date of the enactment of this 

17 Act, the Commission shall appoint a Director, 

18 without regard to the provisions of title 5, 

19 United States Code, governing appointments to 

20 the competitive service. 

21 (B) PAY.—The Director shall be paid at 

22 the rate payable for level III of the Executive 

23 Schedule established under section 5314 of such 

24 title. 

25 (2) STAFF.—
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1 (A) APPOINTMENT.—The Director may 

2 appoint such staff as the Director determines 

3 appropriate, without regard to the provisions of 

4 title 5, United States Code, governing appoint5 ments in the competitive service. 

6 (B) PAY.—The staff of the Commission 

7 shall be paid in accordance with the provisions 

8 of chapter 51 and subchapter III of chapter 53 

9 of title 5, United States Code, relating to classi10 fication and General Schedule pay rates, but at 

11 rates not in excess of the maximum rate for 

12 grade GS–15 of the General Schedule under 

13 section 5332 of that title. 

14 (3) EXPERTS AND CONSULTANTS.—The Direc15 tor may procure temporary and intermittent services 

16 under section 3109(b) of title 5, United States Code. 

17 (4) DETAILEES.—

18 (A) IN GENERAL.—Upon request of the 

19 Director, the head of any Federal department 

20 or agency may detail, on a reimbursable basis, 

21 any of the personnel of that department or 

22 agency to the Commission to assist it in car23 rying out this Act. 

24 (B) NOTICE.—Before making a request 

25 under this paragraph, the Director shall give 
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1 notice of the request to each member of the 

2 Commission. 

3 (g) POWERS OF COMMISSION.—

4 (1) HEARINGS AND SESSIONS.—The Commis5 sion may, for the purpose of carrying out this Act, 

6 hold hearings, sit and act at times and places, take 

7 testimony, and receive evidence to carry out its du8 ties under subsection (b). The Commission may ad9 minister oaths or affirmations to witnesses appear10 ing before it. 

11 (2) POWERS OF MEMBERS AND AGENTS.—Any 

12 member or agent of the Commission may, if author13 ized by the Commission, take any action which the 

14 Commission is authorized to take by this section. 

15 (3) OBTAINING OFFICIAL INFORMATION.—

16 (A) REQUIREMENT TO FURNISH.—Except 

17 as provided in subparagraph (B), if the Com18 mission submits a request to a Federal depart19 ment or agency for information necessary to en20 able the Commission to carry out this Act, the 

21 head of that department or agency shall furnish 

22 that information to the Commission. 

23 (B) EXCEPTION FOR NATIONAL SECU24 RITY.—If the head of a Federal department or 

25 agency determines that it is necessary to with-
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1 hold requested information from disclosure to 

2 protect the national security interests of the 

3 United States, the department or agency head 

4 shall not furnish that information to the Com5 mission. 

6 (4) MAILS.—The Commission may use the 

7 United States mails in the same manner and under 

8 the same conditions as other departments and agen9 cies of the United States. 

10 (5) ADMINISTRATIVE SUPPORT SERVICES.—

11 Upon the request of the Director, the Administrator 

12 of General Services shall provide to the Commission, 

13 on a reimbursable basis, the administrative support 

14 services necessary for the Commission to carry out 

15 this section. 

16 (6) GIFTS AND DONATIONS.—The Commission 

17 may accept, use, and dispose of gifts or donations of 

18 services or property to carry out this Act, but only 

19 to the extent or in the amounts provided in advance 

20 in appropriation Acts. 

21 (7) CONTRACTS.—The Commission may con22 tract with and compensate persons and government 

23 agencies for supplies and services, without regard to 

24 section 3709 of the Revised Statutes (41 U.S.C. 5). 

25 (8) SUBPOENA POWER.—
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1 (A) IN GENERAL.—If a Federal depart2 ment or agency or any other person fails to 

3 supply information requested by the Commis4 sion, the Commission may require by subpoena 

5 the production of the information. The Commis6 sion shall transmit to the Attorney General a 

7 written notice at least 10 days in advance of 

8 the issuance of any such subpoena. A subpoena 

9 under this paragraph may require the produc10 tion of materials from any place within the 

11 United States. 

12 (B) INTERROGATORIES.—The Commission 

13 may, with respect only to information necessary 

14 to understand any materials obtained through a 

15 subpoena under paragraph (A), issue a sub16 poena requiring the person producing such ma17 terials to answer, either through a sworn depo18 sition or through written answers provided 

19 under oath (at the election of the person upon 

20 whom the subpoena is served), interrogatories 

21 from the Commission regarding such informa22 tion. A complete recording or transcription shall 

23 be made of any deposition made under this 

24 paragraph. 
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1 (C) CERTIFICATION.—Each person who 

2 submits materials or information to the Com3 mission pursuant to a subpoena issued under 

4 subparagraph (A) or (B) shall certify to the 

5 Commission the authenticity and completeness 

6 of all materials or information submitted. 

7 (D) TREATMENT OF SUBPOENAS.—Any 

8 subpoena issued by the Commission under sub9 paragraph (A) or (B) shall comply with require10 ments for subpoenas issued by a United States 

11 district court under the Federal Rules of Civil 

12 Procedure. 

13 (E) FAILURE TO OBEY A SUBPOENA.—If a 

14 person refuses to obey a subpoena issued by the 

15 Commission under subparagraph (A) or (B), 

16 the Commission may apply to a United States 

17 district court for an order requiring that person 

18 to comply with such subpoena. The application 

19 may be made within the judicial district in 

20 which that person is found, resides, or transacts 

21 business. Any failure to obey the order of the 

22 court may be punished by the court as civil con23 tempt. 

24 (9) ARRANGEMENTS WITH NATIONAL RE25 SEARCH COUNCIL.—
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1 (A) IN GENERAL.—In carrying out its du2 ties under subsection (b), the Commission shall 

3 arrange with the National Research Council of 

4 the National Academy of Sciences for assist5 ance in conducting the studies required by the 

6 Commission under subsection (b)(2), including 

7 performance of the analysis required under sub8 section (b)(2)(C). 

9 (B) REPORT.—The arrangements entered 

10 into under (A) shall require that the National 

11 Research Council submit a report to the Com12 mission detailing the results of its efforts no 

13 later than 15 months after the date on which 

14 the Commission first meets. 

15 (C) USE OF FUNDS.—Of amounts appro16 priated to carry out this section, up to 

17 $750,000 shall be available to the Commission 

18 to carry out this paragraph. 

19 (h) BUDGET ACT COMPLIANCE.—Any new contract 

20 authority authorized by this section shall be effective only 

21 to the extent or in the amounts provided in advance in 

22 appropriation Acts. 

23 (i) PRIVACY PROTECTIONS.—

24 (1) DESTRUCTION OR RETURN OF INFORMA25 TION REQUIRED.—Upon the conclusion of the mat-
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1 ter or need for which individually identifiable infor2 mation was disclosed to the Commission, the Com3 mission shall either destroy the individually identifi4 able information or return it to the person or entity 

5 from which it was obtained, unless the individual 

6 that is the subject of the individually identifiable in7 formation has authorized its disclosure. 

8 (2) DISCLOSURE OF INFORMATION PROHIB9 ITED.—Any individual employed by an individual, 

10 entity, or organization under contract to the Com11 mission shall be considered an employee of the Com12 mission for the purposes of section 1905 of title 18, 

13 United States Code. 

14 (3) PROPRIETARY BUSINESS INFORMATION AND

15 FINANCIAL INFORMATION.—The Commission shall 

16 protect from improper use, and may not disclose to 

17 any person, proprietary business information and 

18 proprietary financial information that may be viewed 

19 or obtained by the Commission in the course of car20 rying out its duties under this section. 

21 (4) INDIVIDUALLY IDENTIFIABLE INFORMATION

22 DEFINED.—For the purposes of this section, the 

23 term ‘‘individually identifiable information’’ means 

24 any information, whether oral or recorded in any 

25 form or medium, that identifies an individual, or 
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1 with respect to which there is a reasonable basis to 

2 believe that the information can be used to identify 

3 an individual. 

4 (j) TERMINATION OF COMMISSION.—The Commis5 sion shall terminate 30 days after submitting a report 

6 under subsection (d)(1). 

7 (k) AUTHORIZATION OF APPROPRIATIONS.—

8 (1) IN GENERAL.—There is authorized to be 

9 appropriated to the Commission $4,750,000 to carry 

10 out this Act. 

11 (2) AVAILABILITY.—Any sums appropriated 

12 pursuant to the authorization in subsection (a) shall 

13 remain available until expended.

Æ