HR6253-119

1. Short title This Act may be cited as the Algorithmic Transparency and Choice Act.

2. Notice and algorithm preference requirements for covered online platforms to provide to minors Beginning on the date that is 1 year after the date of the enactment of this Act, the provider of a covered online platform shall do the following: Provide covered users of the platform with the following: A notice that the platform uses a personalized recommendation system to select the content the covered user sees, presented in a clear and conspicuous manner on the platform whenever the covered user interacts with a personalized recommendation system for the first time. A notice, included in the terms and conditions of the platform, in a clear, accessible, and easily comprehensible manner that is updated whenever the platform makes a material change, that includes the following: A description of any feature, input, and parameter essential to the operation of the personalized recommendation system. How any user-specific data used by the personalized recommendation system is collected or inferred about a covered user of the platform and each category of such data. Any option that the platform makes available for a covered user of the platform to opt out or exercise an option under subparagraph (C) or (D), modify the profile of the covered user, or to influence any feature, input, or parameter used by the personalized recommendation system. Any quantity (such as time spent using a product or specific measure of engagement or social interaction) that the personalized recommendation system is designed to optimize, as well as a general description of the relative importance of each quantity for such ranking. An option to easily switch between the personalized recommendation system and an input-transparent algorithm in their use of the platform. An option to limit the type or category of recommendations from a personalized recommendation system. Provide an input-transparent algorithm as the default setting for a covered user of the platform. A violation of this section shall be treated as a violation of a rule defining an unfair or deceptive act or practice prescribed under section 18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)). The Federal Trade Commission shall enforce this section in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a part of this section. Any person who violates this section shall be subject to the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act (15 U.S.C. 41 et seq.). Nothing in this section shall be construed to limit the authority of the Commission under any other provision of law. Nothing in this section may be construed to require a covered online platform to disclose any information, including data or any personalized recommendation system— relating to a trade secret or other protected intellectual property; that is confidential business information; or that is privileged. Nothing in this section may be construed to limit or prohibit the ability of a covered online platform to, at the direction of a covered user or group of covered users, restrict another covered user from searching for, finding, accessing, or interacting with the account, content, data, or online community of such covered user or group. In this section: The term approximate geolocation information means information that identifies the location of an individual, but with a precision of less than 5 miles. The term Commission means the Federal Trade Commission. The term connected device means an electronic device that— is capable of connecting to the internet, either directly or indirectly through a network, to communicate information at the direction of an individual; has computer processing capabilities for collecting, sending, receiving, or analyzing data; and is primarily designed for or marketed to consumers. The term covered online platform means an online platform that uses a personalized recommendation system. The term covered user means, with respect to an online platform, a minor who registers an account or creates a profile on the covered platform. The term fully automated system means an operation or set of operations performed on data with minimal or no direction, instruction, prompting, oversight, involvement, or intervention by a natural person. The term input-transparent algorithm means a fully automated system that does not use the user-specific data of a covered user to determine the selection, order, relative prioritization, or relative prominence of information that is furnished to such covered user on an online platform, unless the user-specific data is expressly provided to the platform by the covered user for such purpose. For purposes of subparagraph (A), user-specific data that is provided by a covered user for the express purpose of determining the selection, order, relative prioritization, or relative prominence of information that is furnished to such user on an online platform— includes any search term, filter, and speech pattern supplied by the covered user (if provided for the purpose of enabling the platform to accept spoken input or selecting the language in which the covered user interacts with the platform), saved preference, the resumption of a previous search, and the current precise geolocation information that is supplied by the covered user; includes the current approximate geolocation information of the covered user; includes data affirmatively submitted to the platform by the covered user that expresses the clear desire of the covered user to receive particular information; does not include the history of the connected device of the covered user, including the history of web searches and browsing, previous geographical locations, physical activity, device interaction, and financial transactions of the covered user; and does not include inferences about the covered user or the connected device of the covered user, without regard to whether such inferences are based on data described in clauses (i) or (iii). The term minor means an individual under the age of 18. The term online platform— means a public-facing website, internet application, or mobile internet application, including a social network, or video sharing service— that serves the public; and that primarily provides a forum for user-generated content, including messages, videos, images, games, and audio files; and does not include— a provider of broadband internet access service (as described in section 8.1(b) of title 47, Code of Federal Regulations, or successor regulation); or electronic mail. The term personalized recommendation system— means a fully automated system that determines the selection, order, relative prioritization, or relative prominence of information that is furnished to a covered user on an online platform based, in whole or part, on user-specific data that was not expressly provided by the covered user to the platform for such purpose; and does not include a fully automated system used by an online platform if— the only user-specific data, including any inference about the covered user, that the system uses is— information relating to the age of the covered user; and such information is only used to fulfill a request to restrict the access of a covered user to content on the basis that the content is not age-appropriate for the covered user; or such system is designed to block or filter spam, prevent or detect fraud or other illegal activity, or preserve the security of any system, product, or service. The term precise geolocation information means geolocation information that identifies the location of an individual to within a range of 5 miles or less. The term user-specific data means information relating to a covered user or a specific connected device that would not necessarily be true of every individual or device. No State or political subdivision of a State may prescribe, maintain, or enforce any law, rule, regulation, requirement, standard, or other provision having the force and effect of law, if such law rule, regulation, requirement, standard, or other provision covers the requirements of subsection (a).