158
fidentiality and disclosure policies established by this title. 
The Director may promulgate rules or provide other guid-
ance to ensure consistent interpretation of this title by the 
affected agencies.
(b) AGENCY RULES.—Subject to subsection (c), agen-
cies may promulgate rules to implement this title. Rules 
governing disclosures of information that are authorized by 
this title shall be promulgated by the agency that originally 
collected the information.
(c) REVIEW AND APPROVAL OF RULES.—The Director 
shall review any rules proposed by an agency pursuant to 
this title for consistency with the provisions of this title and 
chapter 35 of title 44, United States Code, and such rules 
shall be subject to the approval of the Director.
(d) REPORTS.—
(1) The head of each agency shall provide to the 
Director of the Office of Management and Budget 
such reports and other information as the Director re-
quests. 
(2) Each Designated Statistical Agency referred 
to in section 522 shall report annually to the Director 
of the Office of Management and Budget, the Com-
mittee on Government Reform of the House of Rep-
resentatives, and the Committee on Governmental Af-
fairs of the Senate on the actions it has taken to im-
159
plement sections 523 and 524. The report shall in-
clude copies of each written agreement entered into 
pursuant to section 524(a) for the applicable year. 
(3) The Director of the Office of Management 
and Budget shall include a summary of reports sub-
mitted to the Director under paragraph (2) and ac-
tions taken by the Director to advance the purposes 
of this title in the annual report to the Congress on
statistical 
programs 
prepared 
under 
section 
3504(e)(2) of title 44, United States Code.
SEC. 504. EFFECT ON OTHER LAWS. 
(a) SECTION 3510 OF TITLE 44, UNITED STATES 
CODE.—This title, including amendments made by this 
title, does not diminish the authority under section 3510 
of title 44, United States Code, of the Director of the Office 
of Management and Budget to direct, and of an agency to 
make, disclosures that are not inconsistent with any appli-
cable law. 
(b) SECTIONS 8, 16, 301, AND 401 OF TITLE 13 AND 
SECTION 2108 OF TITLE 44, UNITED STATES CODE.—This 
title, including amendments made by this title, does not di-
minish the authority of the Bureau of the Census to provide 
information in accordance with sections 8, 16, 301, and 401 
of title 13 and section 2108 of title 44, United States Code.
160
(c) SECTION 9 OF TITLE 13, UNITED STATES CODE.—
This title, including amendments made by this title, shall 
not be construed as authorizing the disclosure for nonstatis-
tical purposes of demographic data or information collected 
by the Census Bureau pursuant to section 9 of title 13, 
United States Code. 
(d) SECTION 12 OF THE FEDERAL ENERGY ADMINIS-
TRATION ACT OF 1974.—In accordance with the provisions 
of this title, data acquired for exclusively statistical pur-
poses under a pledge of confidentiality are exempt from 
mandatory disclosure in identifiable form for nonstatistical 
purposes under section 12 of the Federal Energy Adminis-
tration Act of 1974 (15 U.S.C. 771). 
(e) PREEMPTION OF STATE LAW.—Nothing in this 
title shall preempt applicable State law regarding the con-
fidentiality of data collected by the States. 
(f) STATUTES REGARDING FALSE STATEMENTS.—Not-
withstanding section 512, information collected by an agen-
cy for exclusively statistical purposes under a pledge of con-
fidentiality may be provided by the collecting agency to a 
law enforcement agency for the prosecution of submissions 
to the collecting agency of false statistical information 
under statutes that authorize criminal penalties (such as 
section 221 of title 13, United States Code) or civil penalties 
for the provision of false statistical information, unless such
161
disclosure or use would otherwise be prohibited under Fed-
eral law. 
(g) CONSTRUCTION.—Nothing in this title shall be con-
strued as restricting or diminishing any confidentiality 
protections or penalties for unauthorized disclosure that 
otherwise apply to data or information collected for statis-
tical purposes or nonstatistical purposes, including, but not 
limited to, section 6103 of the Internal Revenue Code of 
1986 (26 U.S.C. 6103). 
Subtitle A—Confidential 
Information Protection 
SEC. 511. FINDINGS AND PURPOSES. 
(a) FINDINGS.—Congress finds the following: 
(1) Individuals, businesses, and other organiza-
tions have varying degrees of legal protection when 
providing information to the Federal Government for 
strictly statistical purposes. 
(2) Pledges of confidentiality by the Federal Gov-
ernment provide assurances to the public that infor-
mation about individuals or organizations or pro-
vided by individuals or organizations for exclusively 
statistical purposes will be held in confidence and 
will not be used against such individuals or organiza-
tions in any Federal Government action.
162
(3) Protecting the confidentiality interests of in-
dividuals or organizations who provide information 
for Federal statistical programs serves both the inter-
ests of the public and the needs of society. 
(4) Declining trust of the public in the protection 
of information provided to the Federal Government 
adversely affects both the accuracy and completeness 
of statistical analyses. 
(5) Ensuring that information provided for sta-
tistical purposes receives protection is essential in 
continuing public cooperation in statistical programs. 
(b) PURPOSES.—The purposes of this subtitle are the 
following: 
(1) To ensure that information supplied by indi-
viduals or organizations to an agency for statistical 
purposes under a pledge of confidentiality is used ex-
clusively for statistical purposes. 
(2) To ensure that individuals or organizations 
who supply information to the Federal Government 
for statistical purposes will neither have that infor-
mation disclosed in identifiable form to anyone not 
authorized by this title nor have that information 
used for any purpose other than a statistical purpose. 
(3) To safeguard the confidentiality of individ-
ually identifiable information acquired under a
163
pledge of confidentiality for statistical purposes by 
controlling access to, and uses made of, such informa-
tion. 
SEC. 512. LIMITATIONS ON USE AND DISCLOSURE OF DATA 
AND INFORMATION. 
(a) USE OF STATISTICAL DATA OR INFORMATION.—
Data or information acquired by an agency under a pledge 
of confidentiality and for exclusively statistical purposes 
shall be used by officers, employees, or agents of the agency 
exclusively for statistical purposes. 
(b) DISCLOSURE OF STATISTICAL DATA OR INFORMA-
TION.—
(1) Data or information acquired by an agency 
under a pledge of confidentiality for exclusively sta-
tistical purposes shall not be disclosed by an agency 
in identifiable form, for any use other than an exclu-
sively statistical purpose, except with the informed 
consent of the respondent. 
(2) A disclosure pursuant to paragraph (1) is 
authorized only when the head of the agency approves 
such disclosure and the disclosure is not prohibited by 
any other law. 
(3) This section does not restrict or diminish 
any confidentiality protections in law that otherwise 
apply to data or information acquired by an agency
164
under a pledge of confidentiality for exclusively sta-
tistical purposes.
(c) RULE FOR USE OF DATA OR INFORMATION FOR 
NONSTATISTICAL PURPOSES.—A statistical agency or unit 
shall clearly distinguish any data or information it collects 
for nonstatistical purposes (as authorized by law) by a rule 
that provides that the respondent supplying the data or in-
formation is fully informed, before the data or information
is collected, that the data or information could be used for 
nonstatistical purposes. 
(d) DESIGNATION OF AGENTS.—A statistical agency or 
unit may designate agents, by contract or by entering into 
a special agreement containing the provisions required by 
section 502, who may perform exclusively statistical activi-
ties, subject to the limitations and penalties described in 
this title. 
SEC. 513. FINES AND PENALTIES. 
Whoever, being an officer, employee, or agent of an 
agency acquiring information for exclusively statistical 
purposes, having taken and subscribed the oath of office, 
or having sworn to observe the limitations imposed by sec-
tion 512, comes into possession of such information by rea-
son of his or her being an officer, employee, or agent and, 
knowing that the disclosure of the specific information is 
prohibited under the provisions of this title, willfully dis-
165
closes the information in any manner to a person or agency 
not entitled to receive it, shall be guilty of a class E felony 
and imprisoned for not more than 5 years, or fined not 
more than $250,000, or both. 
Subtitle B—Statistical Efficiency 
SEC. 521. FINDINGS AND PURPOSES. 
(a) FINDINGS.—Congress finds the following: 
(1) Federal statistics are an important source of 
information for public and private decision-makers 
such as policymakers, consumers, businesses, inves-
tors, and workers. 
(2) Federal statistical agencies should continu-
ously seek to improve their efficiency. Statutory con-
straints limit the ability of these agencies to share 
data and thus to achieve higher efficiency for Federal 
statistical programs. 
(3) The quality of Federal statistics depends on 
the willingness of businesses to respond to statistical 
surveys. Reducing reporting burdens will increase re-
sponse rates, and therefore lead to more accurate 
characterizations of the economy. 
(4) Enhanced sharing of business data among 
the Bureau of the Census, the Bureau of Economic 
Analysis, and the Bureau of Labor Statistics for ex-
clusively statistical purposes will improve their abil-
166
ity to track more accurately the large and rapidly 
changing nature of United States business. In par-
ticular, the statistical agencies will be able to better 
ensure that businesses are consistently classified in 
appropriate 
industries, 
resolve 
data 
anomalies, 
produce statistical samples that are consistently ad-
justed for the entry and exit of new businesses in a 
timely manner, and correct faulty reporting errors 
quickly and efficiently. 
(5) Congress enacted the International Invest-
ment and Trade in Services Act of 1990 that allowed 
the Bureau of the Census, the Bureau of Economic 
Analysis, and the Bureau of Labor Statistics to share 
data on foreign-owned companies. The Act not only 
expanded detailed industry coverage from 135 indus-
tries to over 800 industries with no increase in the 
data collected from respondents but also demonstrated 
how data sharing can result in the creation of valu-
able data products. 
(6) With subtitle A of this title, the sharing of 
business data among the Bureau of the Census, the 
Bureau of Economic Analysis, and the Bureau of 
Labor Statistics continues to ensure the highest level 
of confidentiality for respondents to statistical sur-
veys.
167
(b) PURPOSES.—The purposes of this subtitle are the 
following: 
(1) To authorize the sharing of business data 
among the Bureau of the Census, the Bureau of Eco-
nomic Analysis, and the Bureau of Labor Statistics 
for exclusively statistical purposes. 
(2) To reduce the paperwork burdens imposed on 
businesses that provide requested information to the 
Federal Government. 
(3) To improve the comparability and accuracy 
of Federal economic statistics by allowing the Bureau 
of the Census, the Bureau of Economic Analysis, and 
the Bureau of Labor Statistics to update sample 
frames, develop consistent classifications of establish-
ments and companies into industries, improve cov-
erage, and reconcile significant differences in data 
produced by the three agencies. 
(4) To increase understanding of the United 
States economy, especially for key industry and re-
gional statistics, to develop more accurate measures of 
the impact of technology on productivity growth, and 
to enhance the reliability of the Nation’s most impor-
tant economic indicators, such as the National In-
come and Product Accounts.
168
SEC. 522. DESIGNATION OF STATISTICAL AGENCIES. 
For purposes of this subtitle, the term ‘‘Designated 
Statistical Agency’’ means each of the following:
(1) The Bureau of the Census of the Department 
of Commerce. 
(2) The Bureau of Economic Analysis of the De-
partment of Commerce. 
(3) The Bureau of Labor Statistics of the De-
partment of Labor. 
SEC. 523. RESPONSIBILITIES OF DESIGNATED STATISTICAL 
AGENCIES. 
The head of each of the Designated Statistical Agencies 
shall—
(1) identify opportunities to eliminate duplica-
tion and otherwise reduce reporting burden and cost 
imposed on the public in providing information for 
statistical purposes; 
(2) enter into joint statistical projects to improve 
the quality and reduce the cost of statistical pro-
grams; and 
(3) protect the confidentiality of individually 
identifiable information acquired for statistical pur-
poses by adhering to safeguard principles, includ-
ing—
(A) emphasizing to their officers, employees, 
and agents the importance of protecting the con-
169
fidentiality of information in cases where the 
identity of individual respondents can reason-
ably be inferred by either direct or indirect 
means; 
(B) training their officers, employees, and 
agents in their legal obligations to protect the 
confidentiality of individually identifiable infor-
mation and in the procedures that must be fol-
lowed to provide access to such information; 
(C) implementing appropriate measures to 
assure the physical and electronic security of 
confidential data; 
(D) establishing a system of records that 
identifies individuals accessing confidential data 
and the project for which the data were required; 
and 
(E) being prepared to document their com-
pliance with safeguard principles to other agen-
cies authorized by law to monitor such compli-
ance. 
SEC. 524. SHARING OF BUSINESS DATA AMONG DES-
IGNATED STATISTICAL AGENCIES. 
(a) IN GENERAL.—A Designated Statistical Agency 
may provide business data in an identifiable form to an-
other Designated Statistical Agency under the terms of a
170
written agreement among the agencies sharing the business 
data that specifies—
(1) the business data to be shared; 
(2) the statistical purposes for which the business 
data are to be used; 
(3) the officers, employees, and agents authorized 
to examine the business data to be shared; and 
(4) appropriate security procedures to safeguard 
the confidentiality of the business data. 
(b) RESPONSIBILITIES OF AGENCIES UNDER OTHER 
LAWS.—The provision of business data by an agency to a 
Designated Statistical Agency under this subtitle shall in 
no way alter the responsibility of the agency providing the 
data under other statutes (including section 552 of title 5, 
United States Code (popularly known as the ‘‘Freedom of 
Information Act’’), and section 552b of title 5, United 
States Code (popularly known as the ‘‘Privacy Act of 
1974’’)) with respect to the provision or withholding of such 
information by the agency providing the data. 
(c) RESPONSIBILITIES OF OFFICERS, EMPLOYEES, AND 
AGENTS.—Examination of business data in identifiable 
form shall be limited to the officers, employees, and agents 
authorized to examine the individual reports in accordance 
with written agreements pursuant to this section. Officers, 
employees, and agents of a Designated Statistical Agency
171
who receive data pursuant to this subtitle shall be subject 
to all provisions of law, including penalties, that relate—
(1) to the unlawful provision of the business data 
that would apply to the officers, employees, and 
agents of the agency that originally obtained the in-
formation; and 
(2) to the unlawful disclosure of the business 
data that would apply to officers, employees, and 
agents of the agency that originally obtained the in-
formation. 
(d) NOTICE.—Whenever a written agreement concerns 
data that respondents were required by law to report and 
the respondents were not informed that the data could be 
shared among the Designated Statistical Agencies, for exclu-
sively statistical purposes, the terms of such agreement shall 
be described in a public notice issued by the agency that 
intends to provide the data. Such notice shall allow a min-
imum of 60 days for public comment. 
SEC. 525. LIMITATIONS ON USE OF BUSINESS DATA PRO-
VIDED BY DESIGNATED STATISTICAL AGEN-
CIES. 
(a) IN GENERAL.—Business data provided by a Des-
ignated Statistical Agency pursuant to this subtitle shall 
be used exclusively for statistical purposes.
172
(b) PUBLICATION OF DATA.—Publication of business 
data acquired by a Designated Statistical Agency shall 
occur in a manner whereby the data furnished by any par-
ticular respondent are not in identifiable form. 
SEC. 526. CONFORMING AMENDMENTS. 
(a) DEPARTMENT OF COMMERCE.—Section 1 of the 
Act of January 27, 1938 (15 U.S.C. 176a) is amended by 
striking ‘‘The’’ and inserting ‘‘Except as provided in the 
Confidential Information Protection and Statistical Effi-
ciency Act of 2002, the’’. 
(b) TITLE 13.—Chapter 10 of title 13, United States 
Code, is amended—
(1) by adding after section 401 the following: 
‘‘§ 402. Providing business data to Designated Statis-
tical Agencies 
‘‘The Bureau of the Census may provide business data 
to the Bureau of Economic Analysis and the Bureau of 
Labor Statistics (‘Designated Statistical Agencies’) if such 
information is required for an authorized statistical pur-
pose and the provision is the subject of a written agreement 
with that Designated Statistical Agency, or their successors, 
as defined in the Confidential Information Protection and 
Statistical Efficiency Act of 2002.’’; and
173
(2) in the table of sections for the chapter by 
adding after the item relating to section 401 the fol-
lowing:
‘‘402. Providing business data to Designated Statistical Agencies.’’.
Union Calendar No. 489
107TH CONGRESS
2D Session 
H. R. 2458
[Report No. 107–787, Part I] 
A BILL 
To enhance the management and promotion of elec-
tronic Government services and processes by es-
tablishing a Federal Chief Information Officer 
within the Office of Management and Budget, 
and by establishing a broad framework of meas-
ures that require using Internet-based informa-
tion technology to enhance citizen access to Gov-
ernment information and services, and for other 
purposes. 
NOVEMBER 14, 2002
Reported with an amendment and referred to the Com-
mittee on the Judiciary for a period ending not later 
than November 14, 2002 for consideration of such pro-
visions of the bill and amendment as fall within the ju-
risdiction of that committee pursuant to clause 1(k), 
rule X 
Committee on the Judiciary discharged; committed to the 
Committee of the Whole House on the State of the 
Union and ordered to be printedvernment information 
and services, and for other purposes. 
NOVEMBER 14, 2002
Reported with an amendment and referred to the Com-
mittee on the Judiciary for a period ending not later 
than Novermber 14, 2002 for consideration.