H.R.2155 - Saving Privacy Act (119th Congress)
Summary
H.R.2155, the Saving Privacy Act, aims to amend several existing laws, including the Right to Financial Privacy Act of 1978 and the Bank Secrecy Act, to enhance financial privacy and increase congressional oversight of agency rulemaking. The bill also addresses concerns about central bank digital currencies and online payment reporting. It seeks to limit government access to financial records, reform the Consolidated Audit Trail, and repeal certain modifications related to third-party network transaction reporting.
Key provisions include warrant requirements for accessing financial records, reforms to the Bank Secrecy Act, and prohibitions on a central bank digital currency issued directly to individuals. The bill also introduces measures for congressional review of agency rulemaking, increased penalties for violating financial privacy, and restrictions on the use of convertible virtual currency.
Ultimately, the bill intends to shift power back to the individual and Congress, away from government agencies and the executive branch.
Expected Effects
If enacted, H.R.2155 would significantly limit the government's ability to access citizens' financial records without a warrant. It would also increase congressional oversight of federal regulations.
Furthermore, the bill would prevent the establishment of a central bank digital currency accessible directly to individuals. This would likely lead to changes in how financial institutions handle customer data and how regulatory agencies operate.
It could also impact the development and use of digital currencies in the United States.
Potential Benefits
- Enhanced financial privacy for individuals by requiring warrants for government access to financial records.
- Increased congressional oversight of agency rulemaking, leading to more accountable regulations.
- Prevention of a central bank digital currency directly accessible to individuals, addressing privacy concerns.
- Reduced reporting requirements for online payment transactions, easing burdens on small businesses and individuals.
- Greater protection for the use of convertible virtual currencies, fostering innovation in the digital economy.
Most Benefited Areas:
Potential Disadvantages
- Reduced ability of law enforcement and regulatory agencies to track illicit financial activities, potentially hindering efforts to combat money laundering and terrorism financing.
- Increased complexity and delays in regulatory processes due to enhanced congressional review, potentially slowing down responses to emerging issues.
- Potential for reduced data collection and analysis capabilities for financial regulators, impacting market surveillance and stability.
- Possible challenges in adapting to technological advancements in the financial sector due to restrictions on digital currencies.
- Increased costs for financial institutions to comply with stricter privacy requirements.
Most Disadvantaged Areas:
Constitutional Alignment
The bill aligns with the Fourth Amendment's protection against unreasonable searches and seizures by requiring warrants for government access to financial records. It also reinforces the principle of separation of powers by increasing congressional oversight of agency rulemaking, as outlined in Article I, Section 1 of the Constitution, which vests legislative powers in Congress.
Furthermore, the bill's provisions on digital currency could be seen as supporting economic liberty, though the Constitution does not explicitly address digital currency. The Tenth Amendment reserves powers not delegated to the federal government to the states or the people, which could be invoked in debates about federal control over currency.
Overall, the bill's emphasis on individual privacy and congressional authority generally aligns with constitutional principles.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).