Statements on Introduced Bills and Joint Resolutions

STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS -- (Senate - May 23, 2006)

By Mr. KERRY:

S. 2970. A bill to require the Secretary of Veterans Affairs to provide free credit monitoring and credit reports for veterans and others affected by the theft of veterans' personal data, to ensure that such persons are appropriately notified of such thefts, and for other purposes; to the Committee on Veterans' Affairs.

Mr. KERRY. Mr. President, yesterday we learned that personal information, including names, dates of birth, and social security numbers of as many as 26.5 million Americans--overwhelmingly veterans--may have been compromised. I know we are all shocked and concerned that so many of America's veterans could be in jeopardy of identity theft.

The case is unique in many ways. This is not the result of computer hacking or private companies failing to protect data. This data was stolen from the home of a Department of Veterans Affairs employee.

We have been told that the FBI, local police, and the VA Inspector General are all investigating. That aspect of this case should be left to them. There are other issues associated with security practices that must be explored by the VA and the appropriate oversight and investigatory bodies of Congress.

But we in Congress have another responsibility. We must act now to help veterans secure their own identity and protect their credit. As we read in this morning's papers, experts tell us that this is the largest breach of Social Security numbers in history. A criminal can use this information to do grievous harm and perpetrate fraud on a massive scale.

Mr. President, this isn't a private company that is responsible for this breach. It's the Department of Veterans Affairs of the United States Government and we have a moral obligation to make sure that we protect the identity and credit of every American veteran.

That is why today I am introducing the Veterans Identity Protection Act of 2006--to ensure the government assumes its rightful responsibility to protect the identity security of so many Americans.

This legislation will require the Department of Veterans Affairs to provide 1 year of credit monitoring to each affected individual. After that year, this legislation requires the VA to provide one free credit report to each person in addition to the free credit report already provided by the Fair Credit Reporting Act. As a result, after the full year of credit monitoring, those affected by this theft will have access to four free credit reports over the course of 2 additional years.

The legislation provides $1.25 billion in budget authority in the first year to pay for these programs. The total cost over 3 years is estimated at $2.5 billion. That is a lot of money and I would urge the VA to negotiate reduced costs with the service providers. To be sure, this is no insignificant sum and the VA has many needs, but I hope my colleagues will join me in recognizing that this is not an optional course of action. It is something we have to do to protect American veterans. It is also an expense that the VA cannot realistically fund out of its strapped budget. We will need an emergency appropriation to fund this security initiative--but let us begin to do right by our veterans.

Mr. President, I believe that caring for America's veterans is a continuing cost of war. I also believe that the United States government has a moral obligation to protect the identity security of those who are in jeopardy because of mistakes or the lax security practices of government employees.

America's veterans put their lives on the line for all of us throughout history. Those who served in peace and in war, from Iwo Jima and Normandy to Baghdad and Kabul, shouldn't be forced to bear the additional cost and worry of protecting their security identity because the government put them at risk. We must act.

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