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 HR 695 - the Security and Freedom Through Encryption Act (SAFE)

Sponsored by Repesentatives Bob Goodlatte (R-VA) and Zoe Lofgren (D- CA), SAFE is designed to promote privacy and security by relaxing current export controls on encryption and preventing the government from requiring mandatory "back door" or key escrow access.  It also includes a provision that would guarantee U.S. citizens the right to use encryption of any stength. The bill enjoys bi-partisan support from over 200 co-sponsors in the House of Representatives.   However, the FBI opposes the bill because they are concerned that foreign and domestic criminals will hide crimes easier with stronger encryption.  House Rules Committee Chairman Gerald Solomon, whose panel controls what amendments may be offered from the House floor, objects to the bill.  Last year hostile amendments passed during committee-bill drafting sessions, and would reverse Goodlatte's intent.

Five separate House committees voted on the SAFE bill in 1997. Three adopted versions that are supported by privacy advocates and the computer and communications industries. Two other committees modified the bill to include sweeping new encryption controls, including provisions to require guaranteed government access to all encrypted communications. An all out fight over domestic encryption controls is expected as the SAFE bill makes its way toward a vote in the House in 1998.

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In the Senate, a bill sponsored by Senators John McCain (R-AZ), Bob Kerrey (D-NE), John Kerry (D-MA) and Ernest Hollings (D-SC),  proposes the U.S. domestic market adopt "key-escrow or key recovery" encryption systems. While the bill would make it easier for companies to export 56-bit encryption products, the bill also creates strong incentives to force the entire domestic market towards third-party access to sensitive encryption keys  Those who wish to export stronger products would have to get approval from an advisory board made up of industry and government officials.  A significant contingent of influential senators on the Commerce panel oppose the McCain-Kerrey bill - including Majority Leader Trent Lott (R-Miss.) and Communications Subcommittee Chairman Conrad Burns (R-Mont.).

Though presented as a compromise between Administration policy and encryption reform bills now pending in Congress, the McCain-Kerrey bill in fact mirrors draft legislation proposed earlier this year by the Clinton Administration.   This bill:

1.)  Allows for Government agency seizure of key information with a subpoena.

2.)  Creates 15 new federal crimes for use of encryption and criminalizes a broad    set of domestic activities for securing electronic data and communications.

3.)  Creates safe harbor regulations to coerce government licensed Key Recovery Use. Those who do not adopt Federally licensed key recovery systems, will not receive the same legal protection from negligence or other civil liabilites as those who do adopt a Federal system.

4.)  Gives the Commerce Department broad authority to license, or revoke the licenses of private sector agents under it's own regulations

5.)  Forces any private agency who accepts Federal funds to use a Federally licensed key recovery system. This would include many private consortium groups.

6.)  Forces any manufacturer who attempts to export any encryption stonger than 56-bits to apply for Federal approval and then legally state it's position. The accepetance process will take at least 6-8 months.

Approved by the Senate Commerce Committee in May of 1997, the McCain-Kerrey bill remains mired in controversy.

Sponsored by Senators John Ashcroft (R-MO), Patrick Leahy (D-VT), and Conrad Burns (R-MT), the Encryption Protects the Rights of Individuals from Violation and Abuse in CYberspace (E-Privacy) Act lays out a pro-privacy approach to computer security that contrasts starkly with the Clinton Administration's approach.  The bill is designed to protect the privacy of all Americans by:

1.) Protects the domestic use of strong encryption without "key recovery" back doors for government eavesdropping. The Act prohibits any federal or state agency from compelling the use of key recovery systems or other plaintext access systems. Agencies may not set standards, or condition approval or benefits, to compel use of these systems. U.S. agencies may not require persons to use particular key recovery products for interaction with the government.

2.) easing export controls to allow U.S. companies to sell their stronger encryption. Controls would  be lifted for encryption products that are  deemed to be "generally available" within the international market. Exporters would be given new procedural rights to obtain expedited determinations on the exportability of their products.

3.)  The Act legislatively confirms current practice in the United States that any person in this country may lawfully use any encryption method, regardless of encryption algorithm, key length, existence of key recovery or other plaintext access capability, or implementation selected.

Click to see Epic's Analysis of Bill

S. 377 The "Promotion of Commerce On-Line in the Digital Era (Pro-CODE) Act."
 

The Pro-CODE bill would also ease export restrictions on U.S.-made strong encryption products to a level deemed "generally available" worldwide by the U.S. Department of
Commerce. It would also bar state or federal governments from requiring Americans to provide back-door keys to their encrypted communications. However it contains a controversial executive order provision signed by President Clinton to ease export restrictions to a level of 56 bits for applicants who agree to give up a copy of their decoding keys.  This bill was introduced in May of 1996 and might have helped put pressure on Bill Clinton to somewhat ease the export restrictions, as he later did that November of 1996.

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