AUGUSTA, Maine — A day after the Maine House of Representatives approved it, the Senate defeated Wednesday a high-profile proposal to strengthen data privacy protections for Mainers.
The bill from Rep. Maggie O’Neil, D-Saco, could still have a chance if representatives insist on passing it and senators change their minds during follow-up votes, but Wednesday’s 15-18 vote in the Senate means it is likely doomed as legislators seek to finish their work this week.
O’Neil’s proposal received months of debate and heavy lobbying. It initially sought to give Maine stronger data privacy protections than California and its nation-leading regulations before Democrats on the Judiciary Committee amended it in a compromise that took out the ability of residents to sue companies for violating their rights.
Still, the measure that is similar to a stalled proposal in Congress is viewed as stronger than a competing bill from Assistant Senate Minority Leader Lisa Keim, R-Dixfield, that was closer to laws in Connecticut and other states that are viewed as friendlier to Big Tech firms.
O’Neil’s measure allows the attorney general to take action against violators and has stricter “data minimization” standards that limit what companies can collect, with exemptions for small businesses and several types of firms. It exempts those that control or process the personal data of fewer than 100,000 customers, excluding data used solely for completing payment transactions, or to companies processing data for fewer than 10,000 customers and deriving more than 20 percent of gross revenue from selling personal data.
O’Neil argued Tuesday night that Mainers do not want privacy laws that are crafted by the tech industry and that her measure would “put us back in control of our data.” Her bill was supported by privacy advocates and Attorney General Aaron Frey, while Big Tech and various Maine businesses opposed it.
Portland Regional Chamber of Commerce CEO Quincy Hentzel said last week that “even with an exemption for small businesses, the critical tools small businesses use will no longer be at their disposal.”
Wednesday’s Senate vote did not split neatly along party lines. Seven Democrats opposed O’Neil’s bill, while Sen. Rick Bennett, R-Oxford, was the lone Republican to support it.
Sen. Anne Carney, D-Cape Elizabeth, urged her colleagues to “take the heat” out of the debate and support “extensive data privacy protections,” while Sen. Joe Baldacci, D-Bangor, opposed the stricter protections over not wanting to “experiment” with Maine’s economy and businesses.
