31 March 1998
Source: http://www.access.gpo.gov/su_docs/aces/aaces002.html

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[Congressional Record: March 30, 1998 (House)]
[Page H1701-H1702]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]
[DOCID:cr30mr98-47]


            THE SECURITY AND FREEDOM THROUGH ENCRYPTION ACT

  Mr. GOODLATTE. Mr. Speaker, strong encryption products are the locks
and keys of the digital age. To ensure that the computer files of
American citizens are protected, I have introduced H.R. 695, the SAFE
Act, Security and Freedom through Encryption, which has 250 bipartisan
cosponsors. The SAFE Act is supported by organizations from across the
political spectrum. It is not often that legislation brings together
such a diverse array of Members and interest groups.
  On one side of this debate are the United States Chamber of Commerce,
the National Association of Manufacturers, the Law Enforcement Alliance
of America, the American Civil Liberties Union, the National Rifle
Association, Americans for Tax Reform, Eagle Forum, the Center for
Democracy and Technology, and a whole host of business organizations
concerned about the security of their computer communications.
  Who is on the other side? The administration, which continues to
pursue a policy that threatens the privacy of American citizens. If the
Government can access your encrypted computer files, medical records,
tax returns and personal financial information, then hackers can, too.
  I am pleased to be the sponsor of this legislation with the
gentlewoman from California (Ms. Lofgren), the lead Democrat
cosponsors. There are about 150 Republican cosponsors of this
legislation, and over 100 Democrat cosponsors as well.
  This is truly a bipartisan effort. This legislation is designed to do
three things: First, protect the privacy of law-abiding American
citizens. People know today that their e-mail, their credit card
numbers, their medical records, their tax returns, if they are
submitted electronically, their industrial trade secrets, their
copyrighted material, are all subject to invasion by hackers, by
criminals and others who will make their communications available to
who knows who for what reason.
  Privacy is important in the Information Age, and we need to protect
it.
  Secondly, this is an important anticrime measure. This legislation
will help to make sure that people who do use the Internet for
electronic commerce will have that credit card number protected from a
hacker stealing it.
  The New York Stock Exchange, which has to encrypt its financial
communications, which go all over the world, to make sure somebody does
not break into that system and cause a financial crisis by changing the
numbers in the computer system, or the same thing for a nuclear power
plant, somebody breaking into its computer system and causing a
meltdown. This is something that protects the infrastructure of our
country and it protects individuals using the Internet, making sure
their medical records are secure.
  Industrial espionage is one of the largest problems we have in the
criminal area in this country. The FBI has estimated more than $24
billion and/or more a year in industrial espionage takes place, and
what is the prime place of that? Breaking into somebody's computer to
steal information. Encryption, the scrambling of information to make
sure it cannot be decoded by somebody intercepting it, is the Number
one way to make sure this is safe.
  Finally, this is an issue about jobs, jobs of American citizens. We
dominate the software industry in the world. Today, nearly 75 percent
of all the software sold in the world is created in the United States.
But our foreign competition is on to the fact that this administration
is using our export control laws to limit access to strong encryption
by our software companies, by our citizens, and by those overseas who
would like to buy the quality software products American companies make
and cannot do so because of the fact that we have these export laws
that limit access to this valuable software.
  So they are using that to gain a competitive advantage, and we will
lose the advantage we have in the world as we move more and more into
encrypted software, as we move into the next century.
  So these three things, protecting the privacy of American citizens,
fighting crime, and making sure that we protect and create new jobs in
a growing

[[Page H1702]]

dynamic Information Age industry, are reasons why this legislation has
been offered.
  What does it do? It eases our export control laws and says that if
foreign competition is offering a particular type of software, or if it
is available off-the-shelf, our American industry should be allowed to
compete and offer the same software overseas.
  It prohibits the Federal Government from setting up what is called a
mandatory key recovery system. What is that? That is where the
government requires you to put the key to your computer, your encrypted
computer software, the contents of your computer, in a location where
government can get ahold of it without your knowledge.
  Mr. Speaker, this is something that I would urge my colleagues to
strongly support. This legislation has bipartisan support. Support the
SAFE Act, H.R. 695.

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[Congressional Record: March 30, 1998 (House)]
[Page H1702]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]
[DOCID:cr30mr98-48]



 
                     SUPPORT THE SAFE ACT, H.R. 695

  The SPEAKER pro tempore. Under the Speaker's announced policy of 
January 21, 1997, the gentlewoman from California (Ms. Lofgren) is 
recognized during morning hour debates for 5 minutes.
  Ms. LOFGREN. Mr. Speaker, I am also here to discuss my proud 
cosponsorship of the SAFE Act. As the preceding speaker, my colleague 
from Virginia has noted, it is time, finally, for the United States to 
take the forward-thinking policy to avoid and abandon the flawed 
policies of key recovery, and to allow Americans to have complete 
protection from hackers and others who would steal and invade their 
privacy, and, in some cases, their well-being.
  Mr. Speaker, the current administration is searching for answers to 
the current encryption dilemma. As with their preceding 
administrations, they are listening, as they should, to the concerns of 
law enforcement and their needs to keep us safe from predators and 
terrorists. That is absolutely appropriate, but it is not appropriate 
to fail to take action when the policy that we have today is so 
seriously flawed.
  Mr. Speaker, I am hopeful that as we continue this dialogue, the 
American people will become more vigorous in standing up for their 
rights to privacy in the digital age and on the Internet. There are 
many things that Republicans and Democrats disagree about. Today, we 
will have most likely very vigorous, perhaps even acrimonious 
disagreements, about the way campaign finance reform has been brought 
to this floor, the limitations on debate, and really the very 
unfortunate attention that has been given to campaign finance reform, 
legitimate campaign finance reform, by the majority.
  Putting that to one side, we should, nevertheless, work together 
where we do agree, and there is broad support among both Democrats and 
Republicans for a sound encryption policy that makes sure that all of 
us have access to the strongest encryption available in the world at 
large.
  I commend my colleague, the gentleman from Virginia, Mr. Goodlatte, 
for his leadership in this effort, and look forward to resounding 
support from the entire House, and later the Senate.

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