Cipsea

116 STAT. 2962

Confidential
Information
Protection and
Statistical
Efficiency Act of
2002.

VerDate 11-MAY-2000

PUBLIC LAW 107–347—DEC. 17 2002

TITLE V—CONFIDENTIAL INFORMATION
PROTECTION AND STATISTICAL EFFICIENCY

44 USC 3501
note.

SEC. 501. SHORT TITLE.

44 USC 3501
note.

SEC. 502. DEFINITIONS.

21:45 Jan 02, 2003

This title may be cited as the ‘‘Confidential Information Protection and Statistical Efficiency Act of 2002’’.
As used in this title:
(1) The term ‘‘agency’’ means any entity that falls within
the definition of the term ‘‘executive agency’’ as defined in
section 102 of title 31, United States Code, or ‘‘agency’’, as
defined in section 3502 of title 44, United States Code.
(2) The term ‘‘agent’’ means an individual—
(A)(i) who is an employee of a private organization
or a researcher affiliated with an institution of higher
learning (including a person granted special sworn status
by the Bureau of the Census under section 23(c) of title
13, United States Code), and with whom a contract or
other agreement is executed, on a temporary basis, by
an executive agency to perform exclusively statistical activities under the control and supervision of an officer or
employee of that agency;
(ii) who is working under the authority of a government
entity with which a contract or other agreement is executed
by an executive agency to perform exclusively statistical
activities under the control of an officer or employee of
that agency;
(iii) who is a self-employed researcher, a consultant,
a contractor, or an employee of a contractor, and with
whom a contract or other agreement is executed by an
executive agency to perform a statistical activity under
the control of an officer or employee of that agency; or
(iv) who is a contractor or an employee of a contractor,
and who is engaged by the agency to design or maintain
the systems for handling or storage of data received under
this title; and
(B) who agrees in writing to comply with all provisions
of law that affect information acquired by that agency.
(3) The term ‘‘business data’’ means operating and financial
data and information about businesses, tax-exempt organizations, and government entities.
(4) The term ‘‘identifiable form’’ means any representation
of information that permits the identity of the respondent to
whom the information applies to be reasonably inferred by
either direct or indirect means.
(5) The term ‘‘nonstatistical purpose’’—
(A) means the use of data in identifiable form for
any purpose that is not a statistical purpose, including

Jkt 019139

PO 00347

Frm 00064

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347

PUBLIC LAW 107–347—DEC. 17 2002

116 STAT. 2963

any administrative, regulatory, law enforcement, adjudicatory, or other purpose that affects the rights, privileges,
or benefits of a particular identifiable respondent; and
(B) includes the disclosure under section 552 of title
5, United States Code (popularly known as the Freedom
of Information Act) of data that are acquired for exclusively
statistical purposes under a pledge of confidentiality.
(6) The term ‘‘respondent’’ means a person who, or organization that, is requested or required to supply information to
an agency, is the subject of information requested or required
to be supplied to an agency, or provides that information to
an agency.
(7) The term ‘‘statistical activities’’—
(A) means the collection, compilation, processing, or
analysis of data for the purpose of describing or making
estimates concerning the whole, or relevant groups or
components within, the economy, society, or the natural
environment; and
(B) includes the development of methods or resources
that support those activities, such as measurement
methods, models, statistical classifications, or sampling
frames.
(8) The term ‘‘statistical agency or unit’’ means an agency
or organizational unit of the executive branch whose activities
are predominantly the collection, compilation, processing, or
analysis of information for statistical purposes.
(9) The term ‘‘statistical purpose’’—
(A) means the description, estimation, or analysis of
the characteristics of groups, without identifying the
individuals or organizations that comprise such groups;
and
(B) includes the development, implementation, or
maintenance of methods, technical or administrative procedures, or information resources that support the purposes
described in subparagraph (A).
SEC. 503. COORDINATION AND OVERSIGHT OF POLICIES.

(a) IN GENERAL.—The Director of the Office of Management
and Budget shall coordinate and oversee the confidentiality and
disclosure policies established by this title. The Director may
promulgate rules or provide other guidance to ensure consistent
interpretation of this title by the affected agencies.
(b) AGENCY RULES.—Subject to subsection (c), agencies may
promulgate rules to implement this title. Rules governing disclosures of information that are authorized by this title shall be
promulgated by the agency that originally collected the information.
(c) REVIEW AND APPROVAL OF RULES.—The Director shall review
any rules proposed by an agency pursuant to this title for consistency with the provisions of this title and chapter 35 of title 44,
United States Code, and such rules shall be subject to the approval
of the Director.
(d) REPORTS.—
(1) The head of each agency shall provide to the Director
of the Office of Management and Budget such reports and
other information as the Director requests.
(2) Each Designated Statistical Agency referred to in section 522 shall report annually to the Director of the Office

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00065

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

44 USC 3501
note.

APPS24

PsN: PUBL347

116 STAT. 2964

PUBLIC LAW 107–347—DEC. 17 2002
of Management and Budget, the Committee on Government
Reform of the House of Representatives, and the Committee
on Governmental Affairs of the Senate on the actions it has
taken to implement sections 523 and 524. The report shall
include copies of each written agreement entered into pursuant
to section 524(a) for the applicable year.
(3) The Director of the Office of Management and Budget
shall include a summary of reports submitted to the Director
under paragraph (2) and actions taken by the Director to
advance the purposes of this title in the annual report to
the Congress on statistical programs prepared under section
3504(e)(2) of title 44, United States Code.

44 USC 3501
note.

VerDate 11-MAY-2000

21:45 Jan 02, 2003

SEC. 504. EFFECT ON OTHER LAWS.

(a) TITLE 44, UNITED STATES CODE.—This title, including
amendments made by this title, does not diminish the authority
under section 3510 of title 44, United States Code, of the Director
of the Office of Management and Budget to direct, and of an
agency to make, disclosures that are not inconsistent with any
applicable law.
(b) TITLE 13 AND TITLE 44, UNITED STATES CODE.—This title,
including amendments made by this title, does not diminish the
authority of the Bureau of the Census to provide information in
accordance with sections 8, 16, 301, and 401 of title 13, United
States Code, and section 2108 of title 44, United States Code.
(c) TITLE 13, UNITED STATES CODE.—This title, including
amendments made by this title, shall not be construed as authorizing the disclosure for nonstatistical purposes of demographic data
or information collected by the Census Bureau pursuant to section
9 of title 13, United States Code.
(d) VARIOUS ENERGY STATUTES.—Data or information acquired
by the Energy Information Administration under a pledge of confidentiality and designated by the Energy Information Administration to be used for exclusively statistical purposes shall not be
disclosed in identifiable form for nonstatistical purposes under—
(1) section 12, 20, or 59 of the Federal Energy Administration Act of 1974 (15 U.S.C. 771, 779, 790h);
(2) section 11 of the Energy Supply and Environmental
Coordination Act of 1974 (15 U.S.C. 796); or
(3) section 205 or 407 of the Department of the Energy
Organization Act of 1977 (42 U.S.C. 7135, 7177).
(e) SECTION 201 OF CONGRESSIONAL BUDGET ACT OF 1974.—
This title, including amendments made by this title, shall not
be construed to limit any authorities of the Congressional Budget
Office to work (consistent with laws governing the confidentiality
of information the disclosure of which would be a violation of
law) with databases of Designated Statistical Agencies (as defined
in section 522), either separately or, for data that may be shared
pursuant to section 524 of this title or other authority, jointly
in order to improve the general utility of these databases for the
statistical purpose of analyzing pension and health care financing
issues.
(f) PREEMPTION OF STATE LAW.—Nothing in this title shall
preempt applicable State law regarding the confidentiality of data
collected by the States.

Jkt 019139

PO 00347

Frm 00066

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347

PUBLIC LAW 107–347—DEC. 17 2002

116 STAT. 2965

(g) STATUTES REGARDING FALSE STATEMENTS.—Notwithstanding section 512, information collected by an agency for exclusively statistical purposes under a pledge of confidentiality may
be provided by the collecting agency to a law enforcement agency
for the prosecution of submissions to the collecting agency of false
statistical information under statutes that authorize criminal penalties (such as section 221 of title 13, United States Code) or
civil penalties for the provision of false statistical information,
unless such disclosure or use would otherwise be prohibited under
Federal law.
(h) CONSTRUCTION.—Nothing in this title shall be construed
as restricting or diminishing any confidentiality protections or penalties for unauthorized disclosure that otherwise apply to data
or information collected for statistical purposes or nonstatistical
purposes, including, but not limited to, section 6103 of the Internal
Revenue Code of 1986 (26 U.S.C. 6103).
(i) AUTHORITY OF CONGRESS.—Nothing in this title shall be
construed to affect the authority of the Congress, including its
committees, members, or agents, to obtain data or information
for a statistical purpose, including for oversight of an agency’s
statistical activities.

Subtitle A—Confidential Information
Protection
SEC. 511. FINDINGS AND PURPOSES.

(a) FINDINGS.—The Congress finds the following:
(1) Individuals, businesses, and other organizations have
varying degrees of legal protection when providing information
to the agencies for strictly statistical purposes.
(2) Pledges of confidentiality by agencies provide assurances to the public that information about individuals or
organizations or provided by individuals or organizations for
exclusively statistical purposes will be held in confidence and
will not be used against such individuals or organizations in
any agency action.
(3) Protecting the confidentiality interests of individuals
or organizations who provide information under a pledge of
confidentiality for Federal statistical programs serves both the
interests of the public and the needs of society.
(4) Declining trust of the public in the protection of information provided under a pledge of confidentiality to the agencies
adversely affects both the accuracy and completeness of statistical analyses.
(5) Ensuring that information provided under a pledge
of confidentiality for statistical purposes receives protection
is essential in continuing public cooperation in statistical programs.
(b) PURPOSES.—The purposes of this subtitle are the following:
(1) To ensure that information supplied by individuals or
organizations to an agency for statistical purposes under a
pledge of confidentiality is used exclusively for statistical purposes.
(2) To ensure that individuals or organizations who supply
information under a pledge of confidentiality to agencies for
statistical purposes will neither have that information disclosed

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00067

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

44 USC 3501
note.

APPS24

PsN: PUBL347

116 STAT. 2966

PUBLIC LAW 107–347—DEC. 17 2002
in identifiable form to anyone not authorized by this title nor
have that information used for any purpose other than a statistical purpose.
(3) To safeguard the confidentiality of individually identifiable information acquired under a pledge of confidentiality
for statistical purposes by controlling access to, and uses made
of, such information.

44 USC 3501
note.

SEC. 512. LIMITATIONS ON USE AND DISCLOSURE OF DATA AND
INFORMATION.

(a) USE OF STATISTICAL DATA OR INFORMATION.—Data or
information acquired by an agency under a pledge of confidentiality
and for exclusively statistical purposes shall be used by officers,
employees, or agents of the agency exclusively for statistical purposes.
(b) DISCLOSURE OF STATISTICAL DATA OR INFORMATION.—
(1) Data or information acquired by an agency under a
pledge of confidentiality for exclusively statistical purposes shall
not be disclosed by an agency in identifiable form, for any
use other than an exclusively statistical purpose, except with
the informed consent of the respondent.
(2) A disclosure pursuant to paragraph (1) is authorized
only when the head of the agency approves such disclosure
and the disclosure is not prohibited by any other law.
(3) This section does not restrict or diminish any confidentiality protections in law that otherwise apply to data or
information acquired by an agency under a pledge of confidentiality for exclusively statistical purposes.
(c) RULE FOR USE OF DATA OR INFORMATION FOR NONSTATISTICAL PURPOSES.—A statistical agency or unit shall clearly distinguish any data or information it collects for nonstatistical purposes
(as authorized by law) and provide notice to the public, before
the data or information is collected, that the data or information
could be used for nonstatistical purposes.
(d) DESIGNATION OF AGENTS.—A statistical agency or unit may
designate agents, by contract or by entering into a special agreement
containing the provisions required under section 502(2) for treatment as an agent under that section, who may perform exclusively
statistical activities, subject to the limitations and penalties
described in this title.
44 USC 3501
note.

VerDate 11-MAY-2000

21:45 Jan 02, 2003

SEC. 513. FINES AND PENALTIES.

Whoever, being an officer, employee, or agent of an agency
acquiring information for exclusively statistical purposes, having
taken and subscribed the oath of office, or having sworn to observe
the limitations imposed by section 512, comes into possession of
such information by reason of his or her being an officer, employee,
or agent and, knowing that the disclosure of the specific information
is prohibited under the provisions of this title, willfully discloses
the information in any manner to a person or agency not entitled
to receive it, shall be guilty of a class E felony and imprisoned
for not more than 5 years, or fined not more than $250,000, or
both.

Jkt 019139

PO 00347

Frm 00068

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347

PUBLIC LAW 107–347—DEC. 17 2002

116 STAT. 2967

Subtitle B—Statistical Efficiency
SEC. 521. FINDINGS AND PURPOSES.

(a) FINDINGS.—The Congress finds the following:
(1) Federal statistics are an important source of information
for public and private decision-makers such as policymakers,
consumers, businesses, investors, and workers.
(2) Federal statistical agencies should continuously seek
to improve their efficiency. Statutory constraints limit the
ability of these agencies to share data and thus to achieve
higher efficiency for Federal statistical programs.
(3) The quality of Federal statistics depends on the willingness of businesses to respond to statistical surveys. Reducing
reporting burdens will increase response rates, and therefore
lead to more accurate characterizations of the economy.
(4) Enhanced sharing of business data among the Bureau
of the Census, the Bureau of Economic Analysis, and the
Bureau of Labor Statistics for exclusively statistical purposes
will improve their ability to track more accurately the large
and rapidly changing nature of United States business. In
particular, the statistical agencies will be able to better ensure
that businesses are consistently classified in appropriate industries, resolve data anomalies, produce statistical samples that
are consistently adjusted for the entry and exit of new
businesses in a timely manner, and correct faulty reporting
errors quickly and efficiently.
(5) The Congress enacted the International Investment and
Trade in Services Act of 1990 that allowed the Bureau of
the Census, the Bureau of Economic Analysis, and the Bureau
of Labor Statistics to share data on foreign-owned companies.
The Act not only expanded detailed industry coverage from
135 industries to over 800 industries with no increase in the
data collected from respondents but also demonstrated how
data sharing can result in the creation of valuable data products.
(6) With subtitle A of this title, the sharing of business
data among the Bureau of the Census, the Bureau of Economic
Analysis, and the Bureau of Labor Statistics continues to ensure
the highest level of confidentiality for respondents to statistical
surveys.
(b) PURPOSES.—The purposes of this subtitle are the following:
(1) To authorize the sharing of business data among the
Bureau of the Census, the Bureau of Economic Analysis, and
the Bureau of Labor Statistics for exclusively statistical purposes.
(2) To reduce the paperwork burdens imposed on businesses
that provide requested information to the Federal Government.
(3) To improve the comparability and accuracy of Federal
economic statistics by allowing the Bureau of the Census, the
Bureau of Economic Analysis, and the Bureau of Labor Statistics to update sample frames, develop consistent classifications
of establishments and companies into industries, improve coverage, and reconcile significant differences in data produced
by the three agencies.
(4) To increase understanding of the United States
economy, especially for key industry and regional statistics,

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00069

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

44 USC 3501
note.

APPS24

PsN: PUBL347

116 STAT. 2968

PUBLIC LAW 107–347—DEC. 17 2002
to develop more accurate measures of the impact of technology
on productivity growth, and to enhance the reliability of the
Nation’s most important economic indicators, such as the
National Income and Product Accounts.

44 USC 3501
note.

SEC. 522. DESIGNATION OF STATISTICAL AGENCIES.

44 USC 3501
note.

SEC. 523. RESPONSIBILITIES OF DESIGNATED STATISTICAL AGENCIES.

44 USC 3501
note.

SEC. 524. SHARING OF BUSINESS DATA AMONG DESIGNATED STATISTICAL AGENCIES.

For purposes of this subtitle, the term ‘‘Designated Statistical
Agency’’ means each of the following:
(1) The Bureau of the Census of the Department of Commerce.
(2) The Bureau of Economic Analysis of the Department
of Commerce.
(3) The Bureau of Labor Statistics of the Department of
Labor.
The head of each of the Designated Statistical Agencies shall—
(1) identify opportunities to eliminate duplication and
otherwise reduce reporting burden and cost imposed on the
public in providing information for statistical purposes;
(2) enter into joint statistical projects to improve the quality
and reduce the cost of statistical programs; and
(3) protect the confidentiality of individually identifiable
information acquired for statistical purposes by adhering to
safeguard principles, including—
(A) emphasizing to their officers, employees, and agents
the importance of protecting the confidentiality of information in cases where the identity of individual respondents
can reasonably be inferred by either direct or indirect
means;
(B) training their officers, employees, and agents in
their legal obligations to protect the confidentiality of
individually identifiable information and in the procedures
that must be followed to provide access to such information;
(C) implementing appropriate measures to assure the
physical and electronic security of confidential data;
(D) establishing a system of records that identifies
individuals accessing confidential data and the project for
which the data were required; and
(E) being prepared to document their compliance with
safeguard principles to other agencies authorized by law
to monitor such compliance.

(a) IN GENERAL.—A Designated Statistical Agency may provide
business data in an identifiable form to another Designated Statistical Agency under the terms of a written agreement among the
agencies sharing the business data that specifies—
(1) the business data to be shared;
(2) the statistical purposes for which the business data
are to be used;
(3) the officers, employees, and agents authorized to
examine the business data to be shared; and
(4) appropriate security procedures to safeguard the confidentiality of the business data.
(b) RESPONSIBILITIES OF AGENCIES UNDER OTHER LAWS.—The
provision of business data by an agency to a Designated Statistical

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00070

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347

PUBLIC LAW 107–347—DEC. 17 2002

116 STAT. 2969

Agency under this subtitle shall in no way alter the responsibility
of the agency providing the data under other statutes (including
section 552 of title 5, United States Code (popularly known as
the Freedom of Information Act), and section 552b of title 5, United
States Code (popularly known as the Privacy Act of 1974)) with
respect to the provision or withholding of such information by
the agency providing the data.
(c) RESPONSIBILITIES OF OFFICERS, EMPLOYEES, AND AGENTS.—
Examination of business data in identifiable form shall be limited
to the officers, employees, and agents authorized to examine the
individual reports in accordance with written agreements pursuant
to this section. Officers, employees, and agents of a Designated
Statistical Agency who receive data pursuant to this subtitle shall
be subject to all provisions of law, including penalties, that relate—
(1) to the unlawful provision of the business data that
would apply to the officers, employees, and agents of the agency
that originally obtained the information; and
(2) to the unlawful disclosure of the business data that
would apply to officers, employees, and agents of the agency
that originally obtained the information.
(d) NOTICE.—Whenever a written agreement concerns data that
respondents were required by law to report and the respondents
were not informed that the data could be shared among the Designated Statistical Agencies, for exclusively statistical purposes,
the terms of such agreement shall be described in a public notice
issued by the agency that intends to provide the data. Such notice
shall allow a minimum of 60 days for public comment.
SEC. 525. LIMITATIONS ON USE OF BUSINESS DATA PROVIDED BY DESIGNATED STATISTICAL AGENCIES.

Public
information.

44 USC 3501
note.

(a) USE, GENERALLY.—Business data provided by a Designated
Statistical Agency pursuant to this subtitle shall be used exclusively
for statistical purposes.
(b) PUBLICATION.—Publication of business data acquired by a
Designated Statistical Agency shall occur in a manner whereby
the data furnished by any particular respondent are not in identifiable form.
SEC. 526. CONFORMING AMENDMENTS.

(a) DEPARTMENT OF COMMERCE.—Section 1 of the Act of
January 27, 1938 (15 U.S.C. 176a) is amended by striking ‘‘The’’
and inserting ‘‘Except as provided in the Confidential Information
Protection and Statistical Efficiency Act of 2002, the’’.
(b) TITLE 13.—Chapter 10 of title 13, United States Code,
is amended—
(1) by adding after section 401 the following:

44 USC 3501
note.

‘‘§ 402. Providing business data to Designated Statistical
Agencies
‘‘The Bureau of the Census may provide business data to the
Bureau of Economic Analysis and the Bureau of Labor Statistics
(‘Designated Statistical Agencies’) if such information is required
for an authorized statistical purpose and the provision is the subject
of a written agreement with that Designated Statistical Agency,
or their successors, as defined in the Confidential Information
Protection and Statistical Efficiency Act of 2002.’’; and

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00071

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347

116 STAT. 2970

PUBLIC LAW 107–347—DEC. 17 2002
(2) in the table of sections for the chapter by adding after
the item relating to section 401 the following:

‘‘402. Providing business data to Designated Statistical Agencies.’’.

Approved December 17, 2002.

LEGISLATIVE HISTORY—H.R. 2458 (S. 803):
HOUSE REPORTS: No. 107–787, Pt. 1 (Comm. on Government Reform).
SENATE REPORTS: No. 107–174 accompanying S. 803 (Comm. on Governmental
Affairs).
CONGRESSIONAL RECORD, Vol. 148 (2002):
Nov. 14, considered and passed House.
Nov. 15, considered and passed Senate.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 38 (2002):
Dec. 17, Presidential statement.

Æ

VerDate 11-MAY-2000

21:45 Jan 02, 2003

Jkt 019139

PO 00347

Frm 00072

Fmt 6580

Sfmt 6580

E:\PUBLAW\PUBL347.107

APPS24

PsN: PUBL347