[Congressional Record Volume 166, Number 169 (Tuesday, September 29, 2020)]
[House]
[Pages H4988-H4990]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     CONSUMER SAFETY TECHNOLOGY ACT

  Mr. PALLONE. Madam Speaker, I move to suspend the rules and pass the 
bill (H.R. 8128) to direct the Consumer Product Safety Commission to 
establish a pilot program to explore the use of artificial intelligence 
in support of the consumer product safety mission of the Commission, as 
amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 8128

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Consumer 
     Safety Technology Act''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

      TITLE I--ARTIFICIAL INTELLIGENCE AND CONSUMER PRODUCT SAFETY

Sec. 101. Short title.
Sec. 102. Pilot program for use of artificial intelligence by Consumer 
              Product Safety Commission.

               TITLE II--BLOCKCHAIN TECHNOLOGY INNOVATION

Sec. 201. Short title.
Sec. 202. Study on blockchain technology and its use in consumer 
              protection.

                   TITLE III--DIGITAL TOKEN TAXONOMY

Sec. 301. Short title.
Sec. 302. Findings.
Sec. 303. Reports on unfair or deceptive acts or practices in 
              transactions relating to digital tokens.

     SEC. 2. DEFINITIONS.

       In this Act--
       (1) the term ``consumer product'' has the meaning given 
     such term in section 3(a) of the Consumer Product Safety Act 
     (15 U.S.C. 2052(a)); and
       (2) the term ``Secretary'' means the Secretary of Commerce.

      TITLE I--ARTIFICIAL INTELLIGENCE AND CONSUMER PRODUCT SAFETY

     SEC. 101. SHORT TITLE.

       This title may be cited as the ``AI for Consumer Product 
     Safety Act''.

     SEC. 102. PILOT PROGRAM FOR USE OF ARTIFICIAL INTELLIGENCE BY 
                   CONSUMER PRODUCT SAFETY COMMISSION.

       (a) Establishment.--Not later than 1 year after the date of 
     enactment of this Act, the Consumer Product Safety Commission 
     shall establish a pilot program to explore the use of 
     artificial intelligence by the Commission in support of the 
     consumer product safety mission of the Commission.
       (b) Requirements.--In conducting the pilot program 
     established under subsection (a), the Commission shall do the 
     following:
       (1) Use artificial intelligence for at least 1 of the 
     following purposes:
       (A) Tracking trends with respect to injuries involving 
     consumer products.
       (B) Identifying consumer product hazards.
       (C) Monitoring the retail marketplace (including internet 
     websites) for the sale of recalled consumer products 
     (including both new and used products).
       (D) Identifying consumer products required by section 17(a) 
     of the Consumer Product Safety Act (15 U.S.C. 2066(a)) to be 
     refused admission into the customs territory of the United 
     States.
       (2) Consult with the following:
       (A) Technologists, data scientists, and experts in 
     artificial intelligence and machine learning.
       (B) Cybersecurity experts.
       (C) Members of the retail industry.
       (D) Consumer product manufacturers.
       (E) Consumer product safety organizations.
       (F) Any other person the Commission considers appropriate.
       (c) Report to Congress.--Not later than 180 days after the 
     conclusion of the pilot program established under subsection 
     (a), the Consumer Product Safety Commission shall submit to 
     the Committee on Energy and Commerce of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate, and make publicly available on 
     the website of the Commission, a report on the findings and 
     data derived from such program, including whether and the 
     extent to which the use of artificial intelligence improved 
     the ability of the Commission to advance the consumer product 
     safety mission of the Commission.

               TITLE II--BLOCKCHAIN TECHNOLOGY INNOVATION

     SEC. 201. SHORT TITLE.

       This title may be cited as the ``Blockchain Innovation 
     Act''.

     SEC. 202. STUDY ON BLOCKCHAIN TECHNOLOGY AND ITS USE IN 
                   CONSUMER PROTECTION.

       (a) In General.--
       (1) Study required.--Not later than one year after the date 
     of enactment of this Act, the Secretary of Commerce, in 
     consultation with the Federal Trade Commission, and in 
     consultation with the any other appropriate Federal agency 
     the Secretary determines appropriate, shall conduct a study 
     on current and potential use of blockchain technology in 
     commerce and the potential benefits of blockchain technology 
     for limiting fraud and other unfair and deceptive acts and 
     practices.
       (2) Requirements for study.--In conducting the study, the 
     Secretary shall examine--
       (A) trends in the commercial use of and investment in 
     blockchain technology;
       (B) best practices in facilitating public-private 
     partnerships in blockchain technology;
       (C) potential benefits and risks of blockchain technology 
     for consumer protection;
       (D) how blockchain technology can be used by industry and 
     consumers to reduce fraud and increase the security of 
     commercial transactions;
       (E) areas in Federal regulation of blockchain technology 
     that greater clarity would encourage domestic innovation: and
       (F) any other relevant observations or recommendations 
     related to blockchain technology and consumer protection.
       (3) Public comment.--In producing the study required in 
     subsection (a)(2), the Secretary shall provide opportunity 
     for public comment and advice relevant to the production of 
     the study.
       (b) Report to Congress.--Not later than 6 months after the 
     completion of the study required pursuant to subsection (a), 
     the Secretary shall submit to the Committee on Energy and 
     Commerce of the House of Representatives and the Committee on 
     Commerce, Science, and Transportation of the Senate, and make 
     publicly available on the website of the Department of 
     Commerce, a report that contains the results of the study 
     conducted under subsection (a).

[[Page H4989]]

  


                   TITLE III--DIGITAL TOKEN TAXONOMY

     SEC. 301. SHORT TITLE.

       This title may be cited as the ``Digital Taxonomy Act''.

     SEC. 302. FINDINGS.

       Congress finds that--
       (1) it is important that the United States remains a leader 
     in innovation;
       (2) digital tokens and blockchain technology are driving 
     innovation and providing consumers with increased choice and 
     convenience;
       (3) the use of digital tokens and blockchain technology is 
     likely to increase in the future;
       (4) the Federal Trade Commission is responsible for 
     protecting consumers from unfair or deceptive acts or 
     practices, including relating to digital tokens;
       (5) the Commission has previously taken action against 
     unscrupulous companies and individuals that committed unfair 
     or deceptive acts or practices involving digital tokens; and
       (6) to bolster the Commission's ability to enforce against 
     unfair or deceptive acts or practices involving digital 
     tokens, the Commission should ensure staff have appropriate 
     training and resources to identify and pursue such cases.

     SEC. 303. REPORTS ON UNFAIR OR DECEPTIVE ACTS OR PRACTICES IN 
                   TRANSACTIONS RELATING TO DIGITAL TOKENS.

       Not later than one year after the date of enactment of this 
     Act and each year thereafter until fiscal year 2024, the 
     Federal Trade Commission shall transmit to the Committee on 
     Energy and Commerce of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation of the 
     Senate, and make publicly available on its website, a report 
     of--
       (1) any actions taken by the Commission relating to unfair 
     or deceptive acts or practices in transactions relating to 
     digital tokens;
       (2) the Commission's other efforts to prevent unfair or 
     deceptive acts or practices relating to digital tokens; and
       (3) any recommendations by the Commission for legislation 
     that would improve the ability of the Commission and other 
     relevant Federal agencies--
       (A) to further protect consumers from unfair or deceptive 
     acts or practices in the digital token marketplace; and
       (B) to promote competition and promote innovation in the 
     global digital token sector.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
Jersey (Mr. Pallone) and the gentlewoman from Washington (Mrs. Rodgers) 
each will control 20 minutes.
  The Chair recognizes the gentleman from New Jersey.


                             General Leave

  Mr. PALLONE. Madam Speaker, I ask unanimous consent that all Members 
may have 5 legislative days in which to revise and extend their remarks 
and include extraneous material on H.R. 8128.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New Jersey?
  There was no objection.
  Mr. PALLONE. Madam Speaker, I yield myself such time as I may 
consume.
  Madam Speaker, I rise in support of H.R. 8128, and I want to begin by 
thanking Representatives McNerney and Burgess for their leadership on 
H.R. 8128, the Consumer Safety Technology Act. This bill advanced out 
of the Energy and Commerce Committee earlier this month, on September 
9, by voice vote.
  The legislation will help modernize our consumer protection agencies 
and encourage the use of advanced technologies, like artificial 
intelligence and blockchain, in support of product safety and consumer 
protection. These technologies can help the Consumer Product Safety 
Commission and the Federal Trade Commission improve their operations 
and more effectively carry out their mission.
  Technological advances and globalization have greatly expanded the 
range of consumer products on the market, and as consumers shop online, 
more and more of these products are being shipped directly to homes. AI 
could help the CPSC oversee the increasingly complex range of products 
under its jurisdiction by helping identify new injury trends and 
emerging hazards.
  AI can also help the CPSC monitor online marketplaces for the illegal 
sale of recalled products. The persistence of recalled products on 
online third-party marketplaces is a particularly pernicious problem 
that puts Americans needlessly at risk.
  For example, months after the dangerous Fisher-Price Rock `n Play and 
other infant inclined sleepers were recalled, a Consumer Reports 
investigation found that these products were still being sold on sites 
like Facebook Marketplace and Craigslist, even though they had been 
linked to dozens of infant fatalities. I am hopeful that AI can be 
harnessed here to help eradicate the sale of recalled products in these 
online marketplaces.
  Madam Speaker, the CPSC could also use AI to assess the risk of the 
growing number of imported consumer products entering our country and 
being sent directly to consumers.
  I want to thank Representatives Soto, Guthrie, and Matsui for 
introducing the Blockchain Innovation Act, which was incorporated into 
H.R. 8128 during the full committee's consideration of the bill. So, 
too, was the Digital Taxonomy Act, which was introduced by 
Representatives Davidson and Soto.
  Together, these bills will help identify ways blockchain technology 
can be used to further support consumer protection. It will also make 
sure that scammers and fraudsters don't get ahead of consumers and law 
enforcement in the realm of blockchain and digital tokens.
  Finally, I want to thank Ranking Member Walden and subcommittee 
Ranking Member Rodgers for working with us to move this bill through 
the Energy and Commerce Committee on a bipartisan basis.
  Madam Speaker, I call on my colleagues to support the measure, and I 
reserve the balance of my time.
  Mrs. RODGERS of Washington. Madam Speaker, I yield myself such time 
as I may consume.
  Madam Speaker, I rise today in support of H.R. 8128, the Consumer 
Safety Technology Act. It combines the AI for Consumer Product Safety 
Act, led by Dr. Burgess and Mr. McNerney, and the Blockchain Innovation 
Act, led by Mr. Guthrie, Mr. Soto, and Ms. Matsui.
  Both of these bills help consumer protection agencies utilize 
emerging technologies, such as AI and blockchain, to better fulfill 
their missions. Bringing the Federal Government into the 21st century 
by modernizing its technology has been a long-term goal of mine. I 
appreciate the leadership of these bills' sponsors in doing just that 
for the Consumer Product Safety Commission and the Federal Trade 
Commission.
  Madam Speaker, I yield 2 minutes to the gentleman from Kentucky (Mr. 
Guthrie), who has been a leader on blockchain policies.
  Mr. GUTHRIE. Madam Speaker, I rise today in support of H.R. 8128, the 
AI for Consumer Product Safety Act, a bipartisan bill introduced by my 
colleagues on the Energy and Commerce Committee, Representatives 
McNerney and Burgess.
  Emerging technologies can be a useful tool to help prevent fraud and 
to protect consumers. This bipartisan package of bills will help us 
learn more about AI technology to better protect Americans.
  I want to thank Representatives McNerney and Burgess for including my 
legislation, the Blockchain Innovation Act, which I introduced with 
Representative Soto and Representative Matsui.
  This legislation will help us harness blockchain technology for the 
betterment of our consumers and our economy.
  I urge my colleagues to support the AI for Consumer Product Safety 
Act.
  Mrs. RODGERS of Washington. Madam Speaker, I yield back the balance 
of my time.
  Mr. PALLONE. Madam Speaker, I yield such time as he may consume to 
the gentleman from California (Mr. McNerney).
  Mr. McNERNEY. Madam Speaker, I rise today in support of my 
legislation, H.R. 8128, the Consumer Safety Technology Act.
  H.R. 8128 will encourage the use of emerging technologies, 
specifically artificial intelligence and blockchain, to help keep 
consumers safe, and it will aid our consumer protection agencies with 
carrying out their mission.
  H.R. 8128 incorporates the AI for Consumer Product Safety Act, 
legislation that I authored with Representative Burgess. The provisions 
direct the Consumer Product Safety Commission, CPSC, to establish a 
pilot program for the agency to use AI in furtherance of the agency's 
work to protect consumers from unsafe products.
  For example, CPSC could use AI to more quickly and efficiently 
identify consumer product hazards, such as exploding laptops that have 
faulty batteries, defective USB chargers, furniture that tips over, and 
unsafe infant

[[Page H4990]]

sleep products. Being able to identify these hazards more quickly will 
enable the CPSC to also recall the products more quickly and, in turn, 
save lives.
  We have heard firsthand from the CPSC Commissioners when they 
testified before the House Energy and Commerce Committee that AI can 
benefit the agency's work in serving the American public.
  I am pleased that just 2 weeks ago, the House passed my bill, H.R. 
2575, the AI in Government Act, which will help the Federal Government 
increase AI adoption in a smart and responsible way. H.R. 8128 marks 
another critical step in advancing this effort.
  H.R. 8128 also incorporates the Blockchain Innovation Act introduced 
by Representatives Soto, Guthrie, and Matsui. These provisions will 
help ensure that we can use the benefits of blockchain technology to 
stop scams and fraud.
  Additionally, H.R. 8128 incorporates the Digital Taxonomy Act from 
Representatives Soto and Davidson. These provisions will help ensure 
that scammers and fraudsters don't get ahead of consumers and law 
enforcement in the realm of blockchain and digital tokens.
  I want to thank Representatives Burgess, Soto, Guthrie, Matsui, and 
Davidson for their work on H.R. 8128 and Chairman Pallone and Ranking 
Member Walden for moving this legislation through the committee.
  I urge my colleagues to support it.
  Mr. PALLONE. Madam Speaker, I yield such time as she may consume to 
the gentlewoman from Illinois (Ms. Schakowsky), the chairwoman of the 
subcommittee.
  Ms. SCHAKOWSKY. Madam Speaker, I also would like to thank the authors 
of this legislation, Representatives McNerney, Burgess, Soto, Matsui, 
and Davidson.
  This legislation would direct the Consumer Product Safety Commission 
to establish a pilot program that uses artificial intelligence 
technology to protect consumers from unsafe products.

                              {time}  1345

  CPSC would have to use AI technology to track trends related to 
injuries from consumer products, monitor the sale of recalled products, 
or identify products prohibited from being imported into the United 
States. In carrying out the pilot program, the agency would have to 
consult with AI experts, manufacturers, and consumer product safety 
organizations.
  CPSC would have to report to Congress on the extent to which AI 
technologies improved the agency's work after the pilot program has 
ended. This is exactly the right approach and a good complement to all 
the consumer protection bills that we are moving today.
  The measure would also direct the Commerce Department to conduct, in 
consultation with the Federal Trade Commission, FTC, and other relevant 
agencies a study on the commercialization and use of blockchain 
technology that was added to this bill. It would direct the FTC to 
report on deceptive practices related to digital tokens and provide 
recommendations to Congress on improving Federal protection of 
consumers from blockchain-related fraud.
  Again, I want to thank Chairman Pallone and the sponsors of this 
legislation.
  Mr. PALLONE. Madam Speaker, let me just thank my colleagues and urge 
support of this legislation, and I yield back the balance of my time.
  Mr. WALDEN. Madam Speaker, I rise today in support of H.R. 8128, the 
Consumer Safety Technology Act. I want to thank Mr. McNerney, Mr. 
Burgess, Mr. Soto, and Mr. Guthrie for their leadership on this effort.
  This bipartisan bill directs the Consumer Product Safety Commission 
to conduct a pilot program to determine how artificial intelligence may 
be used to advance the agency's mission. Given the agency's broad 
jurisdiction over so many different consumer products, being able to 
efficiently and accurately analyze data is critical.
  This bill also includes an important study on how blockchain 
technology may be used to address fraud and other unfair and deceptive 
acts and practices. This is complimentary to the American COMPETE Act 
that also prioritizes this emerging technology.
  Blockchain technology would help bolster our supply chains, improve 
privacy--especially relating to contact tracing during the COVID-19 
pandemic, and combat the spread of misinformation and fraud. I am glad 
to see this provision included in the legislation.
  Relatedly, H.R. 8128 also focuses on digital tokens and targets ways 
in which we can protect consumers from fraud in the digital token 
marketplace.
  I urge my colleagues to support this bill.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from New Jersey (Mr. Pallone) that the House suspend the 
rules and pass the bill, H.R. 8128, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  The title of the bill was amended so as to read: ``A bill to direct 
the Consumer Product Safety Commission to establish a pilot program to 
explore the use of artificial intelligence in support of the mission of 
the Commission and direct the Secretary of Commerce and the Federal 
Trade Commission to study and report on the use of blockchain 
technology and digital tokens, respectively.''.
  A motion to reconsider was laid on the table.

                          ____________________