Saturday, November 17, 2007

WHAT WILL THE DEMOCRATS DO?

Not long after the Nov. 7 elections, speculation began about the possible impact of the new Democratic Congress. The next morning, commentators, pundits, and bloggers were all debating the takeover on various issues. While most of that speculation has focused on the war in Iraq, the probable structure of the 110th Congress offers some insight on how issues of interest to the information technology community will be addressed.

But first, let's take a closer look at what did and did not happen as a result of the election. The Democrats will have a numerical majority in both chambers. As of this writing in mid-November, the Democrats will control the Senate with a 51-49 majority. In the House of Representatives, the majority will be 25-30 seats. Neither of these majorities gives the Democrats enough votes to overcome presidential vetoes or filibusters, and both of these majorities are less than the Republican majorities in the 109th Congress.

Control of Committees

The primary importance of having a majority in each chamber is the ability to control the House and Senate committees. The party in control gets a numerical majority of membership within the committees and selects the chair of each committee, which is important for two reasons: First, most of the grunt work of getting legislation enacted happens in the committees, and the party with the majority can control the workflow. Second, the committee chair has substantial control over the flow of bills through the committee and can stall or even kill a bill that the party does not support.

A number of issues that interest the information community were discussed and largely left unresolved in the 109th Congress and may get a new review next year. Those issues include Net Neutrality, data breaches and identity theft, information privacy, a review of the USA PATRIOT Act, digital copyright, and patent reform.

Network Neutrality

Network Neutrality is being identified as one of the leading issues for the 110th Congress to examine. Net Neutrality focuses on proposals by the telecommunications industry to create a multitiered pricing structure for transmitting Internet content. Content providers would be offered the option of paying a premium for priority transmission through upgraded data pipelines. Supporters argue that it is an economical way of allocating a finite service. Critics express concern that providers who are unable or unwilling to pay for priority transmission would be lost.

Net Neutrality proposals previously stalled in both the House and the Senate. Notably, the vote from the Republican-led Senate committee was a tie. The probable new chairs of the House Energy Committee and the Internet and Technology Subcommittee are on record as being sympathetic to Net Neutrality, while also concerned about strong regulation. The telecommunications industry is also attempting to expand into video and television access and argues that Net Neutrality could hamper those efforts. Expanded access can increase competition and lower consumer costs, which is something that Democrats could readily support.

Data Breach and Privacy Legislation

Data breach legislation may also get some attention in the new Congress. In the House, Democratic Rep. Barney Frank of Massachusetts, who will be the probable chair of the Financial Services Committee, has been described as "unlikely to be sympathetic" to data and financial services companies. In the Senate, Democratic Sen. Hillary Rodham Clinton of New York is expected to push several proposals providing stronger safeguards over the use of personal data and increased consumer protections in cases of data breaches and identity theft. These proposals are likely to get a more vigorous review in a Democratic Senate.

The 110th Congress is likely to scrutinize other privacy issues including increased oversight of health information privacy laws and a possible restructuring of HIPAA (Health Insurance Portability and Accountability Act). A bill that would have criminalized the practice of pretexting (deliberately using a false pretext to obtain personal information) passed the House in the 109th Congress, but then later died in the Senate. Recent concerns about the use of pretexting by Hewlett-Packard and the Department of Homeland Security may move this back on the Senate's agenda.

The USA PATRIOT Act may get some review from Democratic leadership. However, concerns about appearing to be "soft on terrorism" in advance of the 2008 presidential election campaign will likely hover over any review. The issues of concern to librarians, such as access to business records and national security letters, will probably lag behind more politically prominent issues such as investigation of electronic eavesdropping.

Copyright and Patent Reform

There is less certainty about how the new congress will deal with the state of copyright and patent reform. Patent reform legislation was the subject of extensive hearings in the House and proposed legislation in both the House and the Senate. Copyright modernization and legislation to expand access to "orphan" copyright works were in process before the House Judiciary Committee as late as September.

Intellectual property issues, however, are often seen as bipartisan (or at least, less partisan) and are not as high of a priority for the Democratic Congress. Some of the support for patent reform arose from business interests concerned about "patent trolling." These interests may get a less sympathetic ear in a Democratic Congress.

Conversely, media interests in copyright reform may get more sympathy. Democratic Rep. Rick Boucher of Virginia, who has been a champion of digital consumer rights, may become the chairman of the House Subcommittee on Intellectual Property Rights, which could further cloud Congress' approach to copyright law.

It is a bit too early to know who will chair every committee and subcommittee, what exactly the priorities of the new Congress will be, or how both parties will proceed with such a narrow Democratic majority. Still, the shift in power will lead to a different dynamic for the information industry in approaching and advocating for legislative change. The 110th congressional session begins on Jan. 3, and it should soon become apparent what the priorities of the Democratic leadership and Congress actually are.

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By George H. Pike

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