WASHINGTON BILL TO COMBAT ID TEHFT ON FAST TRACKUSATODAY.com - Bill to combat ID theft on fast trackBill to combat ID theft on fast track
By Kathy Kiely, USA TODAY
WASHINGTON — A Senate committee is planning action next week on a bill to combat identity theft. It would give the Federal Trade Commission authority to regulate businesses, schools and other entities that handle sensitive personal information.

At a press conference Tuesday, Senate Commerce Committee Chairman Ted Stevens said he put the bill on a fast track after hearing from constituents, colleagues and relatives who have been victims. "The fear out there is real and is something we must deal with as quickly as possible," the Alaska Republican said.

The legislation has bipartisan support. "If we don't protect our identities, we won't have any privacy left," said Sen. Bill Nelson, D-Fla.

If the bill is enacted, the FTC would have a year to develop security standards for handling personal data. Use of Social Security numbers as identifiers would be prohibited except when there is no alternative. Companies handling personal data would be required to notify consumers if security is breached, and consumers would be able to place temporary freezes on their credit with a single phone call or letter.

A similar bill is being readied for House action by Rep. Joe Barton, R-Texas. "Every day seems to bring some horror story about how identity thieves have raided or conned their way into an electronic storehouse," Barton said.

Giving the FTC more regulatory power is among several approaches being considered to combat identity theft, a crime that's drawing attention after breaches at data-handling companies put personal information of more than 50 million people in jeopardy.

Last month, Sen. Arlen Specter, a Republican who chairs the Judiciary Committee, and the panel's ranking Democrat, Patrick Leahy of Vermont, introduced a bill to increase penalties on unauthorized use of personal data.

One reason for the congressional interest may be that identity theft is hitting close to home. Nelson said he has been a victim. "There's a Web site out there with my name and Social Security number on it," he said. And Stevens said his daughter recently had information taken from her college records.

Companies advocate self-regulation and tighter security. They worry that regulation would lead to high costs for shoring up computer defenses and would give investigators access to sensitive data.