August 24, 2014

House clears cybersecurity, SAFE Act measures

July 30, 2014 – The House on Monday cleared H.R. 3696, legislation to strengthen financial institutions' ability to identify and respond to cyber incidents and threats.

Introduced by Rep. Mike McCaul, R-Texas, H.R. 3696, titled "National Cybersecurity and Critical Infrastructure Protection Act," would strengthen current mechanisms, such as the Financial Services Sector Coordinating Council and the Financial Services Information Sharing and Analysis Center, to help the financial sector identify threats, respond to cyber incidents and coordinate with government bodies. It also addresses security clearances for those involved in cybersecurity information sharing.

NAFCU supported the measure in a letter sent jointly with other trades this February.

Yesterday, the House also passed H.R. 4626, the "SAFE Act Confidentiality and Privilege Enhancement Act," introduced by Rep. Shelley Moore Capito, R-W.Va. The measure would amend the Wall Street Reform and Consumer Protection Act to specify that privilege is maintained when certain nondepository parties share information with federal and state financial regulators.

Both measures were cleared under a suspension of House rules.

NAFCU is continuing to urge lawmakers to address data security by merchants in connection with broader legislation on cybersecurity. Credit unions are subject to a national data security standard under the Gramm-Leach-Bliley Act. NAFCU was the first financial trade association to press for national standards for merchants' data security following the Target breach.