2000 Ron Paul 38:1
Mr. Chairman, thank you for holding
this hearing on my legislation, HR 220, the Freedom and Privacy
Restoration Act. I greatly appreciate your commitment to the issue of
personal privacy. Protecting privacy is of increasing importance to the
American people. Since I have introduced this bill, my office has
received countless calls of support from Americans all across the
country who are opposed to the use of uniform identifiers. I have also
worked with a bipartisan coalition of members on various efforts to
protect Americans from the surveillance state, such as the banking
regulators’ know your customer scheme, and the attempt by the Post
Office to violate the privacy of all Americans who use Commercial Mail
Receiving Agencies (CMRAs).
2000 Ron Paul 38:2
The Freedom and
Privacy Restoration Act represents a comprehensive attempt to protect
the privacy of individual citizens from government surveillance via the
use of standard identifiers. Among the provisions of the legislation is
one repealing those sections of the 1996 Immigration Act that
established federal standards for state drivers licenses and those
sections of the Health Insurance Portability and Accountability Act of
1996 that require the Department of Health and Human Services to
establish a uniform standard health identifier. As I am sure my
colleagues know, the language authorizing a national ID card was
repealed in last year’s Transportation Appropriations bill and language
prohibiting the expenditure of funds to develop a personal medical
identifier has been included in the past two Labor-HHS-Education
Appropriations bills. These victories where made possible by the
thousands of Americans who let their elected representatives know that
they were opposed to federally-mandated identifiers.
2000 Ron Paul 38:3
Perhaps the most
significant portion of HR 220 prohibits the use of the Social Security
number for purposes not related to Social Security. For all intents and
purposes, the Social Security number is already a national
identification number. Today, in the majority of states, no American
can get a job, open a bank account, get a drivers license, receive a
birth certificate for ones child without presenting their Social
Security number. So widespread has the use of the Social Security
number become that a member of my staff had to produce a Social
Security number in order to get a fishing license!
2000 Ron Paul 38:4
As a test of citizen
resistance, the Census bureau asked 21,000 households to report their
Social Security number on their census form. One of the reasons the
Census bureau is interested in the Social Security number is as a key
to unlock information held by other government agencies.
2000 Ron Paul 38:5
Since the creation
of the Social Security number in 1935, there have been almost 40
congressionally-authorized uses of the Social Security number as an
identification number for non-Social Security programs. Many of these
uses, such as the requirement that employers report the Social Security
number of new employees to the "new hires data base," have been enacted
in the past few years.
2000 Ron Paul 38:6
Such Congressional
actions do not reflect the intent of the Congress that created the
Social Security system as that Congress in no way intended to create a
national identifier. In fact, Congress never directly authorized the
creation of the Social Security number — they simply authorized the
creation of an "appropriate record keeping and identification scheme."
The Social Security number was actually the creation of the Internal
Revenue Service!
2000 Ron Paul 38:7
The Social Security
number did not become a popular identifier until the 1960s. In response
to concerns about the use of the Social Security number, Congress
passed the Privacy Act of 1974, because, as stated within the act
itself, "The Congress finds the opportunities for an individual to
secure employment, insurance and credit and his right to due process
and other legal protections are endangered by the misuse of certain
information systems."
2000 Ron Paul 38:8
The Privacy Act of
1974 states that "It shall be unlawful for any Federal, State or local
government agency to deny any individual any right, benefit or
privilege provided by law because of such individuals refusal to
disclose his Social Security number." This is a good and necessary step
toward protecting individual liberty. Unfortunately, the language of
the Privacy Act allows Congress to require the use of the Social
Security number at will. In fact, just two years after the passage of
the Privacy Act, Congress explicitly allowed state governments to use
the Social Security number as an identifier for tax collection, motor
vehicle registration and drivers’ license identification. When one
considers the trend toward the use of the Social Security number as an
identifier, the need for HR 220 becomes clear.
2000 Ron Paul 38:9
The Freedom and
Privacy Restoration Act also contains a blanket prohibition on the use
of identifiers to "investigate, monitor, oversee, or otherwise
regulate" American citizens. Mr. Chairman, prohibiting the Federal
Government from using standard identifiers will ensure that American
liberty is protected from the "surveillance state." Allowing the
federal government to use standard identifiers to oversee private
transactions present tremendous potential for abuse of civil liberties
by unscrupulous government officials.
2000 Ron Paul 38:10
I am sure I need not
remind the members of this Committee of the sad history of government
officials of both parties using personal information contained in IRS
or FBI files against their political enemies. Imagine the potential for
abuse if an unscrupulous government official is able to access one’s
complete medical, credit, and employment history by simply typing the
citizens’ "uniform identifier" into a database.
2000 Ron Paul 38:11
This history of
abuse of personal information by government officials demonstrates that
the only effective means of guaranteeing American’s privacy is to limit
the ability of the government to collect and store information
regarding a citizen’s personal matters. The only way to prevent the
government from knowing this information is preventing them from using
standard identifiers.
2000 Ron Paul 38:12
In addition to
forbidding the federal government from creating national identifiers,
this legislation forbids the federal government from blackmailing
states into adopting uniform standard identifiers by withholding
federal funds. One of the most onerous practices of Congress is the use
of federal funds illegitimately taken from the American people to bribe
states into obeying federal dictates.
2000 Ron Paul 38:13
Certain members of
Congress are focusing on the use of the Social Security number and
other identifiers by private businesses. However, this ignores the fact
that the private sector was only following the lead of the federal
government in using the Social Security number as an ID. In many cases,
the use of the Social Security number by private business is directly
mandated by the government, for example, banks use Social Security
numbers as an identifier for their customers because the federal
government required them to use the Social Security number for tax
reporting purposes. Once the federal government stops using the Social
Security number as an identifier, the majority of private businesses,
whose livelihood depends on pleasing consumers, will respond to their
customers demands and stop using the Social Security number and other
standard identifiers in dealing with them.
2000 Ron Paul 38:14
I hope that we in
Congress would not once again allow a problem Congress created to
become an excuse for disregarding the constitutional limitations of
federal police powers or imposing new mandates on businesses in the
name of "protecting privacy." Federal mandates on private businesses
may harm consumers by preventing business from offering improved
services such as the ability to bring new products that consumers would
be interested in immediately to the consumers’ attention. These
mandates will also further interfere with matters that should be
resolved by private contracts.
2000 Ron Paul 38:15
Furthermore, as we
have seen with the administration’s so-called "medical privacy
protection" proposal, federal "privacy protection laws" can actually
undermine privacy by granting certain state-favored interests access to
one’s personal information.
2000 Ron Paul 38:16
Some may claim that
the federal government needs expanded surveillance powers to protect
against fraud or some other criminal activities. However, monitoring
the transactions of every American in order to catch those few who are
involved in some sort of illegal activity turns one of the great
bulwarks of our liberty, the presumption of innocence, on its head. The
federal government has no right to treat all Americans as criminals by
spying on their relationship with their doctors, employers, or bankers.
In fact, criminal law enforcement is reserved to the state and local
governments by the Constitutions tenth amendment.
2000 Ron Paul 38:17
Others may claim
that the federal government needs the power to monitor Americans in
order to allow the government to operate more efficiently. However, in
a constitutional republic the people are never asked to sacrifice their
liberties to make the job of government officials a little bit easier.
We are here to protect the freedom of the American people, not to make
privacy invasion more efficient
2000 Ron Paul 38:18
The main reason
Congress should take action to stop the use of standard identifiers is
because the federal government lacks constitutional authority to force
citizens to adopt a universal identifier for health care, employment,
or any other reason. Any federal action that oversteps constitutional
limitations violates liberty because it ratifies the principle that the
federal government, not the Constitution, is the ultimate judge of its
own jurisdiction over the people. The only effective protection of the
rights of citizens is for Congress to follow Thomas Jeffersons advice
and bind (the federal government) down with the chains of the
Constitution.
2000 Ron Paul 38:19
I once again extend
my sincere appreciation to Chairman Horn and the other members of the
Subcommittee for holding this hearing and express my hope that this
hearing begins the process of protecting the rights of all citizens to
conduct their lives free from government intrusion.
Note:
2000 Ron Paul 38:2
federally-mandated probably should be unhyphenated, federally mandated.
This chapter appeared in Ron Pauls Congressional website at http://www.house.gov/paul/congrec/congrec2000/ss051800.htm