[Congressional Record Volume 143, Number 26 (Tuesday, March 4, 1997)]
[Senate]
[Page S1930]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                    PROPOSED ENCRYPTION LEGISLATION

 Mr. KERREY. Mr. President, I rise to express my concern over 
bills introduced last Thursday, February 27, 1997 by the Senators from 
Vermont and Montana. These bills, the Encrypted Communications Privacy 
Act of 1997 and the Promotion of Commerce On-Line in the Digital Era 
Act of 1997, deal with the complex and controversial issue of 
encryption and the export of encryption products. I too am concerned 
over our Nation's policy regarding encryption, but I believe rash 
action on this issue at this time by Congress would be inappropriate.
  I agree with both Senator Burns and Leahy that digital 
communications, the internet, and the global information infrastructure 
are already revolutionizing the way we live and work. I also believe 
there is a need to ensure the security of private, commercial, and 
Government messages and information sent over global communication 
links and stored in computer databases. The information revolution is 
underway and technology is progressing at exponential rates.
  Nevertheless, Mr. President, our Nation still has needs that must be 
addressed. The same digital information, communication links, and 
computer memory that allows for great advances in personal convenience 
and entertainment, in commercial productivity and competitiveness, and 
in Government services and efficiencies can also be abused by 
individuals with other designs and intentions. Our society has 
entrusted its elected leaders and public servants to protect its 
citizens from such activities. Therefore, I think it is imperative that 
we study thoroughly how this proposed legislation will affect our 
Government's ability to fulfill its responsibilities. The National 
security and the ability to effectively enforce our extraterritorial 
laws is at stake.
  The executive branch is the part of our Government responsible for 
implementing and enforcing the laws of this Nation. For the past 
several years the administration has been involved in a dialog with 
industry leaders in an attempt to promote the use of encryption and 
expand exports while also protecting the legitimate needs of our 
Government to gain access with properly executed search warrants to 
communications. This is not done for nefarious intentions, as some have 
claimed. The negotiations took place because our Government is charged 
with fulfilling its responsibility to protect the lives and livelihood 
of all its citizens.
  But our concern for access to encrypted data extends beyond our 
shores. Our Nation faces threats from nations, groups, and individuals 
overseas. The United States' ability to counter and thwart these 
threats will likely be hampered if encryption products are allowed to 
be exported worldwide with unlimited strength or without key recovery 
provisions.
   Mr. President, the administration has also been negotiating with 
other OECD nations regarding encryption policy. We are not the only 
nation which realizes the benefits and possible abuses of encryption 
products. Other nations are also considering how to ensure that their 
government needs and responsibilities are addressed in their encryption 
export and import policies. I do not believe our relations with other 
nations will be furthered if the administration's negotiations are 
undercut by unnecessary and potentially damaging congressional action. 
Further, the interests of our Nation's technology industry will not be 
advanced if other nations shut their borders to American encryption 
products.
  Today, many established software and hardware firms are successfully 
marketing encryption products with key recovery features here and 
abroad. The President has put forward a plan which in good faith 
attempts to balance our Nation's interests in commerce, security, and 
law enforcement. While other firms say the administration policy is 
untenable, these American companies are producing and selling advanced 
encryption products worldwide which meet both the needs of private 
commerce and industry, and the requirements of our Government. This 
suggests to me that the administration's policy not only can work, it 
is working. I believe Congress should let the administration's 
negotiations and policies on encryption go forward, to succeed or fail 
on their own merits. Mr. President, caution and careful study are in 
order.

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