The bill substantially tightens privacy protections and enforcement for location and sensitive health data—giving consumers stronger privacy and the FTC more tools and funding—while imposing meaningful compliance, litigation, and fiscal costs that could reduce some legitimate data uses and burden businesses and taxpayers.
Consumers—including immigrants, low-income people, pregnant women, and people with disabilities—gain stronger privacy protections because bans on selling location and sensitive health data make it harder for firms to monetize or expose their movement and health information.
Individuals and states get stronger enforcement and remedies: the FTC, state attorneys general, and private plaintiffs can obtain injunctions, deletion orders, damages, and civil penalties, raising the cost of unlawful data practices.
The FTC receives dedicated funding ($1.0 billion through FY2035), giving the agency resources to carry out rulemaking, compliance guidance, and enforcement of the new law.
Data brokers, analytics firms, and other companies that buy or sell location and health-adjacent data could lose revenue and face substantial compliance costs and fines, which may be passed on to consumers or threaten small businesses and nonprofits.
Restrictions on selling and using location and health-adjacent data, plus narrow exemptions, could limit legitimate secondary uses—market research, targeted advertising, and some public‑health analytics—reducing innovation and useful services for businesses and researchers.
Expanded FTC investigatory and enforcement powers, a long (6‑year) statute of limitations, centralized D.C. Circuit venue, and only-limited preemption create compliance complexity, litigation risk, and potential multistate inconsistency that raise legal costs for organizations.
Based on analysis of 5 sections of legislative text.
Prohibits data brokers and others from transferring, selling, or sharing individual health and location data (and FTC‑designated related categories), creates enforcement tools, and funds the FTC.
Official title: To prohibit data brokers from selling and transferring certain sensitive data.
Introduced June 25, 2026 by Mary Gay Scanlon · Last progress June 25, 2026
Prohibits data brokers and other persons from selling, sharing, or otherwise providing individual location data, health data, or other FTC‑designated data that reveal health or location information, with limited exceptions for HIPAA‑covered disclosures, authorized releases, and newsworthy reporting. It requires the Federal Trade Commission to define covered data categories and issue regulations within 180 days, creates civil enforcement by the FTC, state attorneys general, nonprofits, and private plaintiffs, and funds the FTC with $1 billion for enforcement and implementation through FY2035. The law creates definitions (including health data, location data, data broker, and AI system), authorizes broad investigatory and litigation powers for the FTC, sets significant civil penalties tied to parent‑company revenues, establishes venue and statute of limitations rules, and largely preempts only state or local laws that would require disclosures prohibited by the Act.