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By Austin Fisher, Source New Mexico

Two competing data privacy bills pending at the New Mexico Legislature appear aimed at protecting residentsโ€™ information online.

Both bills, if passed and signed into law, would protect New Mexicansโ€™ personal data from disclosure without their consent, including information such as religious faith, consumer spending, health care and citizenship status. Both bills would also designate the New Mexico Department of Justice to write the rules to implement the law and take legal action to enforce it.ย 

But only one would protect tech companies from being sued directly by consumers for breaking the law.

With less than two weeks left in the session, two camps have emerged around the proposals: local community groups advocate for one bill, while the stateโ€™s attorney general and lobbyists for big technology companies back the other. National Big Tech watchdogs also warn that the bill backed by New Mexico Attorney General Raรบl Torrez has some red flags.

Community groups back Senate bill

Sen. Katy Duhigg (D-Albuquerque) introducedย Senate Bill 420ย on Feb. 17. The Senate Tax, Business and Transportation Committee on Feb. 27ย passedย the bill in a 5-4 party-line vote, with Republicans in opposition. It heads next to the Senate Judiciary Committee.

Numerous community groups turned out at the billโ€™s first hearing in support, includingย Planned Parenthood of the Rocky Mountains, theย New Mexico Immigrant Law Center,ย Somos un Pueblo Unido,ย Bold Futures New Mexico,ย Conservation Voters New Mexico, theย Center for Civic Policyย and theย National Organization for Women.

Representatives of these groups told the committee they back this bill because, for example, it would protect patients seeking abortion services from harassment or criminal prosecution where itโ€™s illegal, and would protect immigrants from being targeted for deportation or criminalization.

Opponents included theย New Mexicoย andย Albuquerque Hispanoย chambers of commerce;ย TechNet, a trade association whose members include Apple, Google, Samsung and HP; and another trade group called theย Consumer Data Industry Association.

โ€œMy understanding is there is a bill out there that all the tech guys want, and that I think that might have sign-on from the attorney general,โ€ Duhigg told the committee. โ€œI donโ€™t think that is a bill that is going to protect New Mexicans. That is primarily for the benefit of the tech companies, not New Mexicans.โ€

In an emailed statement to Source NM on Wednesday, Duhigg confirmed she was referring toย House Bill 410, a second data privacy bill being carried by Rep. Linda Serrato (D-Santa Fe).

House bill comes from โ€˜the consumer protector-in-chiefโ€™

On March 3, New Mexico Attorney General Raรบl Torrez posted aย videoย to Instagram in which he talked about HB410, and another bill that would change his agencyโ€™s enforcement power.

In the video, Torrez said HB410 would give consumers the right to delete information they send to tech companies; request sharing information; and prohibit the federal government from unlawfully sharing their personal data. He described the two bills as โ€œessential to protect consumers and everyday citizens.โ€

In an interview with Source NM on Wednesday, sponsor Serrato said HB410 is Torrezโ€™s โ€œbrainchild,โ€ and they started working together on it early in the session.

Serrato, who has been in the House of Representatives since 2020, carried theย reproductive and gender affirming health care billย in 2023 ensuring New Mexicans canโ€™t be prosecuted for the health care decisions they make. That year, she also co-sponsored anย expansionย of the stateโ€™s Human Rights Act thatย closed loopholesย in state law that allowed for discrimination against transgender people.

โ€œIโ€™ve been pretty clear on my stances on protecting citizens and noncitizens, you know, folks in New Mexico,โ€ she told Source NM.

In an emailed statement to Source NM on Thursday, Department of Justice Chief of Staff Lauren Rodriguez said Torrez supports Serratoโ€™s bill rather than Duhiggโ€™s because it puts New Mexicans in control of their personal data.

โ€œThe bill not only gives consumers a right to opt out of any data collection practices in the marketplace, but it is also the only bill in the United States to specifically protect citizens against the unlawful disclosure of sensitive data held by the federal government,โ€ she said.

Part of HB410 โ€œspecifically empowers New Mexicans to take legal action if their information is unlawfully transferred to third parties by the likes of Elon Musk and his DOGE employees,โ€ she said.

Big tech likes Serratoโ€™s bill too.

Big Tech visits New Mexico

Andrew Kingman, legal counsel for the State Privacy and Security Coalition, gave public comment via Zoom on Feb. 26 in support of HB410 before the House Commerce and Economic Development Committee.

The State Privacy and Security Coalitionโ€™s partners include Amazon, Google, Meta, Target and General Motors. โ€œWe work on these types of bills nationally,โ€ Kingman told the committee.

An emailed request for comment from Kingman sent to the Coalition was not returned as of publication.

Kingmanโ€™s lobbying work has resulted in many states passing data-privacy laws that are relatively friendly to business,ย accordingย to POLITICO. The news organization found the State Privacy and Security Coalition has lobbied in at least 32 states looking to pass data privacy regulations.

Kingman told the committee โ€œour only major issueโ€ with theย versionย of HB410 being debated at the time was a provision titled Section 13, which would have required companies to create at least two ways for consumers to ask for copies of or to delete their data. He said that part was redundant with other parts of the bill.

He said he โ€œwould love to work with the sponsor on moving this bill forward, but without Section 13.โ€

Then on March 3, House Commerce held another hearing on HB410, during which Serrato introduced a substitute version. โ€œThe biggest change was that the Section 13 that gave folks a lot of concerns after many discussions, we entirely removed Section 13,โ€ she told the committee.

After hearing testimony in support of HB410 from Kingman and some of the same groups who opposed SB420, the committee voted unanimously to pass HB410. It awaits a hearing in the House Judiciary Committee.

Theย versionย passed by House Commerce still allows consumers to request copies or deletion of their data, but no longer contains the provision requiring companies to create at least two user-friendly ways to do that. It allows companies to create โ€œa secure and reliable meansโ€ of submitting a data request, and requires them to explain it to consumers in their privacy notice.

Serrato told Source NM that she met with Kingman in-person at the Roundhouse after the House Commerce committee passed her bill. She said while Kingman told her he agreed with the decision to remove Section 13, conversations with various businesses, not just him, led to the change.

โ€œHe was one of the conversations, I wouldnโ€™t say he was the crux,โ€ Serrato said.

Rodriguez, the AGโ€™s chief of staff, did not respond to Source NMโ€™s questions about Kingmanโ€™s lobbying efforts in New Mexico, including whether anyone from NMDOJ met with him while he was visiting, or whether the State Privacy and Security Coalition had any role in drafting HB410.

Should consumers be allowed to sue?

A key difference between the two bills is that Duhiggโ€™s would allow a consumer to hold companies liable for violating the law and recover damages in court through whatโ€™s called a โ€œprivate right of action,โ€ while Serratoโ€™s would not.

POLITICO found that all of the state laws Kingman has influenced keep citizens from directly suing companies for data privacy violations.

Serrato told Source NM her bill places enforcement entirely with the attorney general, without giving people the option to hire a lawyer and take the companies to civil court themselves. She said Torrez told her that he feels that consumer protection enforcement is part of his job and his office could handle the workload.

โ€œWe treat him โ€” whether itโ€™s unfair practices laws or what have you โ€” as the consumer protector-in-chief, thatโ€™s how we look at him,โ€ Serrato told Source NM. โ€œHe is the person, literally, who is equipped the best to take on a major company and actually win.โ€

But consumer privacy advocates caution against passing state laws that donโ€™t allow people to directly sue corporations that run afoul of the law.

Hayley Tsukayama, associate director of legislative activism at the nonprofitย Electronic Frontier Foundation, told Source NM that her organization has supported more narrow legislation that doesnโ€™t allow consumers to sue, but when it comes to big comprehensive consumer data privacy bills, โ€œEFF wonโ€™t support a bill that doesnโ€™t have a strong private right of action.โ€

โ€œIf companies are violating the law, you should be able to sue them,โ€ Tsukayama said. โ€œPeople should be empowered to be their own privacy enforcers. They have a sense of what the costs are to them and their privacy the best. We believe that truly strong consumer privacy bills and honestly, most strong consumer bills, have a private right of action, because at the end of the day, itโ€™s about whatโ€™s happened to the consumer, and they are the best person to judge that.โ€

She added that most states that limit consumer data privacy enforcement to state attorneys general often only have two or three attorneys responsible for an entire state, and โ€œwe just have not seen that much enforcement.โ€

โ€œEven in states that have fairly strong laws, people have only taken a couple of actions on some of those laws in a couple years,โ€ she said. โ€œIt takes a very long time to pull together those actions. It takes a lot of investigation. In terms of where that rubber actually hits the road and people actually get taken to task for what theyโ€™ve done, it can be really hard. It could be very few, and often only the worst companies.โ€

The House Commerce panel on March 3 also heard opposition to HB410 from Catrina Fitzgerald, deputy director of the Washington D.C.-based nonprofitย Electronic Privacy Information Center. She said part of the problem with existing state data privacy laws is that theyโ€™re heavily influenced by big tech, and they donโ€™t do enough to protect people online.

โ€œThey do little to change the status quo of companies being able to collect and use personal data however they like, as long as they tell us what theyโ€™re doing in a privacy policy that no one reads,โ€ she said.

Fitzgerald said Serratoโ€™s bill appears to be largely modeled on Connecticutโ€™s data privacy law, which doesnโ€™t allow consumers to sue.

She pointed the committee to aย reportย published in January by her group and the U.S. Public Interest Research Group that scored state privacy laws. They gave Connecticutโ€™s law a D grade, and described it as โ€œa favored piece of template legislation for lobbyists, particularly in bluer states.โ€

Fitzgerald told the committee her group โ€œwould have much preferredโ€ the identicalย House versionย of Duhiggโ€™s bill, which Fitzgerald called โ€œa much more pro-consumer bill.โ€ Sponsor Rep. Pamelya Herndon, another Albuquerque Democrat, pulled HB307 and is a co-sponsor on Duhiggโ€™s legislation. Herndon has not responded to requests for comment on this story.

HB410 also contains a grace period for companies that violate the law, giving them 30 days to fix it after prosecutors notify them.

Tsukayama, with EFF, said these 30-day cure periods have two problems: One, they donโ€™t really result in repercussions for not complying with the law, and two, if youโ€™re sharing information or not deleting it, the damage is done and the consumer canโ€™t actually fix it.

โ€œCalifornia actually eliminated its right to cure because, if you take all the time to pull together a case, and then you notify them, and theyโ€™re like, โ€˜Oh yeah, we fixed it,โ€™ then you donโ€™t move forward,โ€ she said. โ€œSo what weโ€™ve heard from other attorneys is, itโ€™s a deterrent to enforcers to bring cases.โ€

Duhigg told Source NM in a written statement that the differences between her and Serratoโ€™s bills amount to โ€œa fundamental difference in priorities.โ€ย 

โ€œBig tech companies want business as usual because their primary concern is protecting profits and maintaining data access,โ€ she said. โ€œOur concern is protecting New Mexicans. Weโ€™re focused on the safety and privacy of our communities at a time when digital exploitation has reached unprecedented levels.โ€

โ€œTech lobbyists are worried about quarterly earnings, while weโ€™re worried about our neighbors, our families, and our childrenโ€™s future,โ€ Duhigg continued. โ€œThis isnโ€™t about industry convenienceโ€”itโ€™s about community protection when New Mexicans need it most.โ€

The post Big Tech lobbies New Mexico for AG-backed bill appeared first on New Mexico Political Report.