House E&C committee asks Federal Trade Commission how it will protect data privacy

House Energy and Commerce Committee leaders are asking the Federal Trade Commission (FTC) how it plans to protect consumer privacy and increase data security enforcement activity. 

Specifically, they asked how the FTC would deploy resources if it received an additional funding for consumer protection and privacy.  

“We are writing today to better understand the resources that FTC needs to fulfill its important consumer protection mission and meet the challenges posed by rapid changes in technology,” Reps. Frank Pallone (D-NJ) and Jan Schakowsky (D-IL) wrote to the FTC.

Pallone is the chair of the House Energy and Commerce Committee while Schakowsky is the chair of the Consumer Protection and Commerce Subcommittee.

The subcommittee recently held a hearing on privacy called “Protecting Consumer Privacy in the Era of Big Data.”  Subcommittee members believe legislation is necessary to protect Americans’ privacy. They also think that the FTC must have additional resources and authority to meet growing challenges in this area. Just in the past year there have been several high-profile breaches from Facebook, Google, Amazon, Equifax, and Marriott to name a few.

“A series of recent high-profile privacy incidents have caused significant concern to consumers and this Committee,” Pallone and Schakowsky wrote.  “For every high-profile case, there are many more that do not get attention in the press and therefore may not be prioritized by the FTC.  Nevertheless, consumers may face significant harm from these less well-known privacy and data security incidents.”

Pallone and Schakowsky are seeking responses from the FTC to a series of questions by April 3. The representatives are requesting to know what resources the FTC require to dramatically boost its enforcement activity with respect to privacy and data security and how the FTC would deploy new resources if it were to receive an additional $50 million, $75 million or $100 million for consumer protection and privacy. Additionally, if Congress were to direct the FTC to hire technologists to aid in case development, enforcement, rulemaking and/or policy recommendations, they want to know what resources the FTC need to fulfill its consumer protection mission, and how would the agency deploy those new resources.