[Pages S4133-S4139]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2815. Mrs. BLACKBURN submitted an amendment intended to be 
proposed to amendment SA 2602 submitteded by Mrs. Blackburn (for 
herself and Mr. Cruz) and intended to be proposed to the amendment SA 
2360 proposed by Mr. Thune (for Mr. Graham) to the bill H.R. 1, to 
provide for reconciliation pursuant to title II of H. Con. Res. 14; 
which was ordered to lie on the table; as follows:

        In lieu of the matter proposed to be inserted, insert the 
     following:

                   Subtitle B--Kids Online Safety Act

     SECTION 40101. SHORT TITLE.

       This subtitle may be cited as the ``Kids Online Safety 
     Act''.

                     CHAPTER 1--KIDS ONLINE SAFETY

     SEC. 40201. DEFINITIONS.

       In this chapter:
       (1) Child.--The term ``child'' means an individual who is 
     under the age of 13.
       (2) Compulsive usage.--The term ``compulsive usage'' means 
     a persistent and repetitive use of a covered platform that 
     significantly impacts one or more major life activities of an 
     individual, including socializing, sleeping, eating, 
     learning, reading, concentrating, communicating, or working.
       (3) Covered platform.--
       (A) In general.--The term ``covered platform'' means an 
     online platform, online video game, messaging application, or 
     video streaming service that connects to the internet and 
     that is used, or is reasonably likely to be used, by a minor.
       (B) Exceptions.--The term ``covered platform'' does not 
     include--
       (i) an entity acting in its capacity as a provider of--

       (I) a common carrier service subject to the Communications 
     Act of 1934 (47 U.S.C. 151 et seq.) and all Acts amendatory 
     thereof and supplementary thereto;
       (II) a broadband internet access service (as such term is 
     defined for purposes of section 8.1(b) of title 47, Code of 
     Federal Regulations, or any successor regulation);
       (III) an email service;
       (IV) a teleconferencing or video conferencing service that 
     allows reception and transmission of audio or video signals 
     for real-time communication, provided that--

       (aa) the service is not an online platform; and
       (bb) the real-time communication is initiated by using a 
     unique link or identifier to facilitate access; or

       (V) a wireless messaging service, including such a service 
     provided through short messaging service or multimedia 
     messaging service protocols, that is not a component of, or 
     linked to, an online platform and where the predominant or 
     exclusive function is direct messaging consisting of the 
     transmission of text, photos or videos that are sent by 
     electronic means, where messages are transmitted from the 
     sender to a recipient, and are not posted within an online 
     platform or publicly;

       (ii) an organization not organized to carry on business for 
     its own profit or that of its members;
       (iii) any public or private--

       (I) early childhood education program or preschool that 
     provides for the care, development, and education of infants, 
     toddlers, or young children who are not yet enrolled in 
     kindergarten;

[[Page S4134]]

       (II) elementary school (as defined in section 8101 of the 
     Elementary and Secondary Education Act of 1965 (20 U.S.C. 
     7801)) or secondary school (as so defined);
       (III) school providing career and technical education (as 
     defined in section 3 of the Carl D. Perkins Career and 
     Technical Education Act of 2006 (20 U.S.C. 2302));
       (IV) school providing adult education and literacy 
     activities (as defined in section 203 of the Adult Education 
     and Family Literacy Act (29 U.S.C. 3272)); or
       (V) institution of higher education (as defined in section 
     101, and subparagraphs (A) and (B) of section 102(a)(1), of 
     the Higher Education Act of 1965 (20 U.S.C. 1001, 
     1002(a)(1)));

       (iv) a library (as defined in section 213 of the Library 
     Services and Technology Act (20 U.S.C. 9122));
       (v) a news or sports coverage website or app where--

       (I) the inclusion of video content on the website or app is 
     related to the website or app's own gathering, reporting, or 
     publishing of news content or sports coverage; and
       (II) the website or app is not otherwise an online 
     platform;

       (vi) a product or service that primarily functions as 
     business-to-business software, such as a cloud storage, file 
     sharing, or file collaboration service;
       (vii) a virtual private network or similar service that 
     exists predominantly to route internet traffic between 
     locations; or
       (viii) a government entity with a .gov internet domain (as 
     described in section 2215 of the Homeland Security Act of 
     2002 (6 U.S.C. 665)).
       (4) Design feature.--The term ``design feature'' means any 
     feature or component of a covered platform that will 
     encourage or increase the frequency, time spent, or activity 
     of minors on the covered platform. Design features include 
     but are not limited to--
       (A) infinite scrolling or auto play;
       (B) rewards or incentives based on the frequency, time 
     spent, or activity of minors on the covered platform;
       (C) notifications and push alerts;
       (D) badges or other visual award symbols based on the 
     frequency, time spent, or activity of minors on the covered 
     platform;
       (E) personalized design features;
       (F) in-game purchases; or
       (G) appearance altering filters.
       (5) Geolocation.--The term ``geolocation'' has the meaning 
     given the term ``geolocation information'' in section 1302 of 
     the Children's Online Privacy Protection Act of 1998 (15 
     U.S.C. 6501), as added by section 40301(a).
       (6) Know or knows.--The term ``know'' or ``knows'' means to 
     have actual knowledge or knowledge fairly implied on the 
     basis of objective circumstances.
       (7) Microtransaction.--
       (A) In general.--The term ``microtransaction'' means a 
     purchase made in an online video game (including a purchase 
     made using a virtual currency that is purchasable or 
     redeemable using cash or credit or that is included as part 
     of a paid subscription service).
       (B) Inclusions.--Such term includes a purchase involving 
     surprise mechanics, new characters, or in-game items.
       (C) Exclusions.--Such term does not include--
       (i) a purchase made in an online video game using a virtual 
     currency that is earned through gameplay and is not otherwise 
     purchasable or redeemable using cash or credit or included as 
     part of a paid subscription service; or
       (ii) a purchase of additional levels within the game or an 
     overall expansion of the game.
       (8) Minor.--The term ``minor'' means an individual who is 
     under the age of 17.
       (9) Narcotic drug.--The term ``narcotic drug'' has the 
     meaning given such term in section 102 of the Controlled 
     Substances Act (21 U.S.C. 802).
       (10) Online platform.--
       (A) In general.--The term ``online platform'' means any 
     public-facing website, online service, online application, or 
     mobile application that predominantly provides a community 
     forum for user-generated content, such as sharing videos, 
     images, games, audio files, or other content, including a 
     social media service, social network, or virtual reality 
     environment.
       (B) Incidental chat functions.--A website, online service, 
     online application, or mobile application is not an online 
     platform solely on the basis that it includes a chat, 
     comment, or other interactive function that is incidental to 
     its predominant purpose.
       (11) Online video game.--The term ``online video game'' 
     means a video game, including an educational video game, that 
     connects to the internet and that allows a user to--
       (A) create and upload content other than content that is 
     incidental to gameplay, such as character or level designs 
     created by the user, preselected phrases, or short 
     interactions with other users;
       (B) engage in microtransactions within the game; or
       (C) communicate with other users.
       (12) Parent.--The term ``parent'' includes a legal 
     guardian.
       (13) Personal data.--The term ``personal data'' has the 
     same meaning as the term ``personal information'' as defined 
     in section 1302 of the Children's Online Privacy Protection 
     Act (15 U.S.C. 6501).
       (14) Personalized design feature.--The term ``personalized 
     design feature'' means a fully or partially automated system, 
     including a recommendation system, that is based on the 
     collection of personal data of users and that encourages or 
     increases the frequency, time spent, or activity of minors on 
     the covered platform.
       (15) Personalized recommendation system.--The term 
     ``personalized recommendation system'' means a fully or 
     partially automated system used to suggest, promote, or rank 
     content, including other users, hashtags, or posts, based on 
     the personal data of users. A recommendation system that 
     suggests, promotes, or ranks content based solely on the 
     user's language, city or town, or age shall not be considered 
     a personalized recommendation system.
       (16) Sexual exploitation and abuse.--The term ``sexual 
     exploitation and abuse'' means any of the following:
       (A) Coercion and enticement, as described in section 2422 
     of title 18, United States Code.
       (B) Child sexual abuse material, as described in sections 
     2251, 2252, 2252A, and 2260 of title 18, United States Code.
       (C) Trafficking for the production of images, as described 
     in section 2251A of title 18, United States Code.
       (D) Sex trafficking of children, as described in section 
     1591 of title 18, United States Code.
       (17) State.--The term ``State'' means each State of the 
     United States, the District of Columbia, each commonwealth, 
     territory, or possession of the United States, and each 
     federally recognized Indian Tribe.
       (18) User.--The term ``user'' means, with respect to a 
     covered platform, an individual who registers an account or 
     creates a profile on the covered platform.

     SEC. 40202. DUTY OF CARE.

       (a) Prevention of Harm to Minors.--A covered platform shall 
     exercise reasonable care in the creation and implementation 
     of any design feature to prevent and mitigate the following 
     harms to minors where a reasonable and prudent person would 
     agree that such harms were reasonably foreseeable by the 
     covered platform and would agree that the design feature is a 
     contributing factor to such harms:
       (1) Eating disorders, substance use disorders, and suicidal 
     behaviors.
       (2) Depressive disorders and anxiety disorders when such 
     conditions have objectively verifiable and clinically 
     diagnosable symptoms and are related to compulsive usage.
       (3) Patterns of use that indicate compulsive usage.
       (4) Physical violence or online harassment activity that is 
     so severe, pervasive, or objectively offensive that it 
     impacts a major life activity of a minor.
       (5) Sexual exploitation and abuse of minors.
       (6) Distribution, sale, or use of narcotic drugs, tobacco 
     products, cannabis products, gambling, or alcohol.
       (7) Financial harms caused by unfair or deceptive acts or 
     practices (as defined in section 5(a)(4) of the Federal Trade 
     Commission Act (15 U.S.C. 45(a)(4))).
       (b) Rules of Construction.--
       (1) Nothing in subsection (a) shall be construed to require 
     a covered platform to prevent or preclude any minor from--
       (A) deliberately and independently searching for, or 
     specifically requesting, content; or
       (B) accessing resources and information regarding the 
     prevention or mitigation of the harms described in subsection 
     (a).
       (2) Nothing in this section shall be construed to allow a 
     government entity to enforce subsection (a) based upon the 
     viewpoint of users expressed by or through any speech, 
     expression, or information protected by the First Amendment 
     to the Constitution of the United States.

     SEC. 40203. SAFEGUARDS FOR MINORS.

       (a) Safeguards for Minors.--
       (1) Safeguards.--A covered platform shall provide a user or 
     visitor that the covered platform knows is a minor with 
     readily accessible and easy-to-use safeguards to, as 
     applicable--
       (A) limit the ability of other users or visitors to 
     communicate with the minor;
       (B) prevent other users or visitors, whether registered or 
     not, from viewing the minor's personal data collected by or 
     shared on the covered platform, in particular restricting 
     public access to personal data;
       (C) limit by default design features that encourage or 
     increase the frequency, time spent, or activity of minors on 
     the covered platform, such as infinite scrolling, auto 
     playing, rewards for time spent on the platform, 
     notifications, and other design features that result in 
     compulsive usage of the covered platform by the minor;
       (D) control personalized recommendation systems, including 
     the ability for a minor to have--
       (i) a prominently displayed option to opt out of such 
     personalized recommendation systems, while still allowing the 
     display of content based on a chronological format; and
       (ii) a prominently displayed option to limit types or 
     categories of recommendations from such systems; and
       (E) restrict the sharing of the geolocation of the minor 
     and provide notice regarding the tracking of the minor's 
     geolocation.
       (2) Option.--A covered platform shall provide a user that 
     the covered platform knows is a minor with a readily 
     accessible and easy-to-use option to limit the amount of time 
     spent by the minor on the covered platform.
       (3) Default safeguard settings for minors.--A covered 
     platform shall provide

[[Page S4135]]

     that, in the case of a user or visitor that the platform 
     knows is a minor, the default setting for any safeguard 
     described under paragraph (1) shall be the option available 
     on the platform that provides the most protective level of 
     control that is offered by the platform over privacy and 
     safety for that user or visitor, unless otherwise enabled by 
     the parent of the minor.
       (b) Parental Tools.--
       (1) Tools.--A covered platform shall provide readily 
     accessible and easy-to-use parental tools for parents to 
     support a user that the platform knows is a minor with 
     respect to the use of the platform by that user.
       (2) Requirements.--The parental tools provided by a covered 
     platform under paragraph (1) shall include--
       (A) the ability to manage a minor's privacy and account 
     settings, including the safeguards and options established 
     under subsection (a), in a manner that allows parents to--
       (i) view the privacy and account settings; and
       (ii) in the case of a user that the platform knows is a 
     child, change and control the privacy and account settings;
       (B) the ability to restrict purchases and financial 
     transactions by the minor, where applicable; and
       (C) the ability to view metrics of total time spent on the 
     covered platform and restrict time spent on the covered 
     platform by the minor.
       (3) Notice to minors.--A covered platform shall provide 
     clear and conspicuous notice to a user when the tools 
     described in this subsection are in effect and what settings 
     or controls have been applied.
       (4) Default tools.--A covered platform shall provide that, 
     in the case of a user that the platform knows is a child, the 
     tools required under paragraph (1) shall be enabled by 
     default.
       (5) Application to existing accounts.--If, prior to the 
     effective date of this subsection, a covered platform 
     provided a parent of a user that the platform knows is a 
     child with notice and the ability to enable the parental 
     tools described under this subsection in a manner that would 
     otherwise comply with this subsection, and the parent opted 
     out of enabling such tools, the covered platform is not 
     required to enable such tools with respect to such user by 
     default when this subsection takes effect.
       (c) Reporting Mechanism.--
       (1) Reporting tools.--A covered platform shall provide--
       (A) a readily accessible and easy-to-use means for users 
     and visitors to submit reports to the covered platform of 
     harms to a minor on the covered platform;
       (B) an electronic point of contact specific to matters 
     involving harms to a minor; and
       (C) confirmation of the receipt of such a report and, 
     within the applicable time period described in paragraph (2), 
     a substantive response to the individual that submitted the 
     report.
       (2) Timing.--A covered platform shall establish an internal 
     process to receive and substantively respond to such reports 
     in a reasonable and timely manner, but in no case later 
     than--
       (A) 10 days after the receipt of a report, if, for the most 
     recent calendar year, the platform averaged more than 
     10,000,000 active users on a monthly basis in the United 
     States;
       (B) 21 days after the receipt of a report, if, for the most 
     recent calendar year, the platform averaged less than 
     10,000,000 active users on a monthly basis in the United 
     States; and
       (C) notwithstanding subparagraphs (A) and (B), if the 
     report involves an imminent threat to the safety of a minor, 
     as promptly as needed to address the reported threat to 
     safety.
       (d) Advertising of Illegal Products.--A covered platform 
     shall not facilitate the advertising of narcotic drugs, 
     cannabis products, tobacco products, gambling, or alcohol to 
     an individual that the covered platform knows is a minor.
       (e) Rules of Application.--
       (1) Accessibility.--With respect to safeguards and parental 
     tools described under subsections (a) and (b), a covered 
     platform shall provide--
       (A) information and control options in a clear and 
     conspicuous manner that takes into consideration the 
     differing ages, capacities, and developmental needs of the 
     minors most likely to access the covered platform and does 
     not encourage minors or parents to weaken or disable 
     safeguards or parental tools;
       (B) readily accessible and easy-to-use controls to enable 
     or disable safeguards or parental tools, as appropriate; and
       (C) information and control options in the same language, 
     form, and manner as the covered platform provides the product 
     or service used by minors and their parents.
       (2) Dark patterns prohibition.--It shall be unlawful for 
     any covered platform to design, embed, modify, or manipulate 
     a user interface of a covered platform with the purpose or 
     substantial effect of obscuring, subverting or impairing user 
     autonomy, decision-making, or choice with respect to 
     safeguards or parental tools required under this section.
       (3) Timing considerations.--
       (A) No interruption to gameplay.--Subsections (a)(1)(C) and 
     (b)(3) shall not require an online video game to interrupt 
     the natural sequence of gameplay, such as progressing through 
     game levels or finishing a competition.
       (B) Application of changes to offline devices or 
     accounts.--If a user's device or user account does not have 
     access to the internet at the time of a change to parental 
     tools, a covered platform shall apply changes the next time 
     the device or user is connected to the internet.
       (f) Device or Console Controls.--
       (1) In general.--Nothing in this section shall be construed 
     to prohibit a covered platform from integrating its products 
     or service with, or duplicate controls or tools provided by, 
     third-party systems, including operating systems or gaming 
     consoles, to meet the requirements imposed under subsections 
     (a) and (b) relating to safeguards for minors and parental 
     tools, provided that--
       (A) the controls or tools meet such requirements; and
       (B) the minor or parent is provided sufficient notice of 
     the integration and use of the parental tools.
       (2) Preservation of protections.--In the event of a 
     conflict between the controls or tools of a third-party 
     system, including operating systems or gaming consoles, and a 
     covered platform, the covered platform is not required to 
     override the controls or tools of a third-party system if it 
     would undermine the protections for minors from the 
     safeguards or parental tools imposed under subsections (a) 
     and (b).
       (g) Exception.--A covered platform shall provide the 
     safeguards and parental tools described in subsections (a) 
     and (b) to an educational agency or institution (as defined 
     in section 444 of the General Education Provisions Act (20 
     U.S.C. 1232g(a)(3))), rather than to the user or visitor, 
     when the covered platform is acting on behalf of the 
     educational agency or institution subject to a written 
     contract that complies with the requirements of the 
     Children's Online Privacy Protection Act (15 U.S.C. 6501 et 
     seq.) and the Family Educational Rights and Privacy Act of 
     1974 (20 U.S.C. 1232g).
       (h) Rules of Construction.--Nothing in this section shall 
     be construed to--
       (1) prevent a covered platform from taking reasonable 
     measures to--
       (A) block, detect, or prevent the distribution of unlawful, 
     obscene, or other harmful material to minors as described in 
     section 40202(a); or
       (B) block or filter spam, prevent criminal activity, or 
     protect the security of a platform or service;
       (2) require the disclosure of the browsing behavior, search 
     history, messages, contact list, or other content or metadata 
     of the communications of a minor;
       (3) prevent a covered platform from using a personalized 
     recommendation system to display content to a minor if the 
     system only uses information on--
       (A) the language spoken by the minor;
       (B) the city the minor is located in; or
       (C) the minor's age;
       (4) prevent an online video game from disclosing a username 
     or other user identification for the purpose of competitive 
     gameplay or to allow for the reporting of users;
       (5) prevent a covered platform from contracting or entering 
     into an agreement with a third-party entity, whose primary or 
     exclusive function is to provide the safeguards or parental 
     tools required under subsections (a) and (b) or to offer 
     similar or stronger protective capabilities for minors, to 
     assist with meeting the requirements imposed under 
     subsections (a) and (b); or
       (6) prevent a parent or user from authorizing a third-party 
     entity described in subparagraph (5) to implement such 
     safeguards or parental tools or provide similar or stronger 
     protective capabilities for minors, at the choice of the 
     parent or user.

     SEC. 40204. DISCLOSURE.

       (a) Notice.--
       (1) Registration or purchase.--Prior to registration or 
     purchase of a covered platform by an individual that the 
     platform knows is a minor, the platform shall provide clear, 
     conspicuous, and easy-to-understand--
       (A) notice of the policies and practices of the covered 
     platform with respect to safeguards for minors;
       (B) information about how to access the safeguards and 
     parental tools required under section 40203; and
       (C) notice about how to access the information on 
     personalized recommendation systems required under subsection 
     (b).
       (2) Notification.--
       (A) Notice and acknowledgment.--In the case of an 
     individual that a covered platform knows is a child, the 
     platform shall provide information about the parental tools 
     and safeguards required under section 40203 to a parent of 
     the child and obtain verifiable consent (as defined in 
     section 1302 of the Children's Online Privacy Protection Act 
     of 1998 (15 U.S.C. 6501)).
       (B) Reasonable effort.--A covered platform shall be deemed 
     to have satisfied the requirement described in subparagraph 
     (A) if the covered platform is in compliance with the 
     requirements of the Children's Online Privacy Protection Act 
     of 1998 (15 U.S.C. 6501 et seq.) to use reasonable efforts 
     (taking into consideration available technology) to provide a 
     parent with the information described in subparagraph (A) and 
     to obtain verifiable consent as required.
       (3) Consolidated notices.--For purposes of this chapter, a 
     covered platform may consolidate the process for providing 
     information under this subsection and obtaining verifiable 
     consent or the consent of the minor involved (as applicable) 
     as required

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     under this subsection with the obligations of the covered 
     platform to provide relevant notice and obtain verifiable 
     consent under the Children's Online Privacy Protection Act of 
     1998 (15 U.S.C. 6501 et seq.).
       (4) Guidance.--The Federal Trade Commission may issue 
     guidance to assist covered platforms in complying with the 
     specific notice requirements of this subsection.
       (b) Personalized Recommendation System.--A covered platform 
     that operates a personalized recommendation system shall set 
     out in its terms and conditions, in a clear, conspicuous, and 
     easy-to-understand manner--
       (1) an overview of how each personalized recommendation 
     system is used by the covered platform to provide information 
     to minors, including how such systems use the personal data 
     of minors; and
       (2) information about options for minors or their parents 
     to opt out of or control the personalized recommendation 
     system (as applicable).
       (c) Advertising and Marketing Information and Labels.--
       (1) Information and labels.--A covered platform shall 
     provide clear, conspicuous, and easy-to-understand labels and 
     information, which can be provided through a link to another 
     web page or disclosure, to minors on advertisements 
     regarding--
       (A) the name of the product, service, or brand and the 
     subject matter of an advertisement; and
       (B) whether particular media displayed to the minor is an 
     advertisement or marketing material, including disclosure of 
     endorsements of products, services, or brands made for 
     commercial consideration by other users of the platform.
       (2) Guidance.--The Federal Trade Commission may issue 
     guidance to assist covered platforms in complying with the 
     requirements of this subsection, including guidance about the 
     minimum level of information and labels for the disclosures 
     required under paragraph (1).
       (d) Resources for Parents and Minors.--A covered platform 
     shall provide to minors and parents clear, conspicuous, easy-
     to-understand, and comprehensive information in a prominent 
     location, which may include a link to a web page, regarding--
       (1) the policies and practices of the covered platform with 
     respect to safeguards for minors; and
       (2) how to access the safeguards and parental tools 
     required under section 40203.
       (e) Resources in Additional Languages.--A covered platform 
     shall ensure, to the extent practicable, that the disclosures 
     required by this section are made available in the same 
     language, form, and manner as the covered platform provides 
     any product or service used by minors and their parents.

     SEC. 40205. TRANSPARENCY.

       (a) In General.--Subject to subsection (b), not less 
     frequently than once a year, a covered platform shall issue a 
     public report that addresses the matters in subsection (c) 
     based on an independent, third-party audit of the covered 
     platform with a reasonable level of assurance.
       (b) Scope of Application.--The requirements of this section 
     shall apply to a covered platform if--
       (1) for the most recent calendar year, the platform 
     averaged more than 10,000,000 active users on a monthly basis 
     in the United States; and
       (2) the platform predominantly provides a community forum 
     for user-generated content and discussion, including sharing 
     videos, images, games, audio files, discussion in a virtual 
     setting, or other content, such as acting as a social media 
     platform, virtual reality environment, or a social network 
     service.
       (c) Content.--
       (1) Transparency.--The public reports required of a covered 
     platform under this section shall include--
       (A) an assessment of the extent to which the platform is 
     likely to be accessed by minors;
       (B) a description of the commercial interests of the 
     covered platform being used by minors;
       (C) an accounting, based on the data held by the covered 
     platform, of--
       (i) the number of users using the covered platform that the 
     platform knows to be minors in the United States;
       (ii) the median and mean amounts of time spent on the 
     platform by users known to be minors in the United States who 
     have accessed the platform during the reporting year on a 
     daily, weekly, and monthly basis; and
       (iii) the amount of content being accessed by users that 
     the platform knows to be minors in the United States that is 
     in English, and the top 5 non-English languages used by users 
     accessing the platform in the United States;
       (D) an accounting of total reports received through the 
     reporting mechanism described in section 40203, disaggregated 
     by language, including English and the top 5 non-English 
     languages used by users accessing the platform from the 
     United States (as identified under subparagraph (C)(iii)); 
     and
       (E) an assessment of the safeguards and parental tools 
     under section 40203, representations regarding the use of the 
     personal data of minors, and other matters regarding 
     compliance with this chapter.
       (2) Evaluation.--The public reports required under this 
     section shall include--
       (A) an assessment based on aggregate data on the exercise 
     of safeguards and parental tools described in section 40203, 
     and other competent and reliable empirical evidence;
       (B) a description of whether and how the covered platform 
     uses design features that increase, sustain, or extend the 
     use of a product or service by a minor;
       (C) a description of whether, how, and for what purpose the 
     platform collects or processes categories of personal data, 
     including how personal data is used to operate personalized 
     recommendation systems related to minors;
       (D) an evaluation of the efficacy of safeguards for minors 
     and parental tools under section 40203, and any issues in 
     delivering such safeguards and parental tools; and
       (E) an assessment of differences, with respect to the 
     matters described in subparagraphs (A) through (D), across 
     different English and non-English languages and efficacy of 
     safeguards in those languages.
       (3) Mitigation.--The public reports required of a covered 
     platform under this section shall include, for English and 
     the top 5 non-English languages used by users accessing the 
     platform from the United States (as identified under 
     paragraph (2)(C)(iii))--
       (A) a description of the safeguards and parental tools 
     available to minors and parents on the covered platform;
       (B) a description of the prevention and mitigation measures 
     a covered platform may take, if any, in response to the 
     assessments conducted under paragraph (2), including steps 
     take to provide the most protective level of control over 
     safety by default;
       (C) a description of the processes used for the creation 
     and implementation of any design feature that will be used by 
     minors;
       (D) a description and assessment of handling reports under 
     the requirement of section 40203(c), including the rate of 
     response, timeliness, and substantiveness of responses; and
       (E) the status of implementing prevention and mitigation 
     measures identified in prior assessments.
       (d) Reasonable Inspection.--In conducting an inspection of 
     the reasonably foreseeable risk of harm to minors under this 
     section, an independent, third-party auditor shall--
       (1) take into consideration the function of personalized 
     recommendation systems;
       (2) consult parents and youth experts, including youth and 
     families with relevant past or current experience, public 
     health and mental health nonprofit organizations, health and 
     development organizations, and civil society with respect to 
     the prevention of harms to minors;
       (3) conduct research based on experiences of minors that 
     use the covered platform, including reports under section 
     40203(c) and information provided by law enforcement;
       (4) take account of research, including research regarding 
     design features, marketing, or product integrity, industry 
     best practices, or outside research;
       (5) take into consideration indicia or inferences of age of 
     users, in addition to any self-declared information about the 
     age of users; and
       (6) take into consideration differences in risk of 
     reasonably foreseeable harms and effectiveness of safeguards 
     across English and non-English languages.
       (e) Cooperation With Independent, Third-Party Audit.--To 
     facilitate the report required by subsection (c), a covered 
     platform shall--
       (1) provide or otherwise make available to the independent 
     third-party conducting the audit all information and material 
     in its possession, custody, or control that is relevant to 
     the audit;
       (2) provide or otherwise make available to the independent 
     third-party conducting the audit access to all network, 
     systems, and assets relevant to the audit; and
       (3) disclose all relevant facts to the independent third-
     party conducting the audit, and not misrepresent in any 
     manner, expressly or by implication, any relevant fact.
       (f) Privacy Safeguards.--
       (1) In general.--In issuing the public reports required 
     under this section, a covered platform shall take steps to 
     safeguard the privacy of its users, including ensuring that 
     data is presented in a de-identified, aggregated format such 
     that it is not reasonably linkable to any user.
       (2) Rule of construction.--This section shall not be 
     construed to require the disclosure of information that will 
     lead to material vulnerabilities for the privacy of users or 
     the security of a covered platform's service or create a 
     significant risk of the violation of Federal or State law.
       (3) Definition of de-identified.--As used in this 
     subsection, the term ``de-identified'' means data that does 
     not identify and is not linked or reasonably linkable to a 
     device that is linked or reasonably linkable to an 
     individual, regardless of whether the information is 
     aggregated.
       (g) Location.--The public reports required under this 
     section should be posted by a covered platform on an easy to 
     find location on a publicly available website.

     SEC. 40206. MARKET RESEARCH.

       (a) Prohibition of Research on Children.--A covered 
     platform shall not, in the case of a user or visitor that the 
     covered platform knows is a child, conduct market or product-
     focused research on such child.
       (b) Market Research on Minors.--A covered platform may not, 
     in the case of a user or visitor that the online platform 
     knows is

[[Page S4137]]

     a minor, conduct market or product-focused research on such 
     minor, unless the covered platform obtains verifiable 
     parental consent (as defined in section 1302 of the 
     Children's Online Privacy Protection Act of 1998 (15 U.S.C. 
     6501)) prior to conducting such research on such minor.

     SEC. 40207. AGE VERIFICATION STUDY AND REPORT.

       (a) Study.--The Secretary of Commerce, in coordination with 
     the Federal Communications Commission and the Federal Trade 
     Commission, shall conduct a study evaluating the most 
     technologically feasible methods and options for developing 
     systems to verify age at the device or operating system 
     level.
       (b) Contents.--Such study shall consider--
       (1) the benefits of creating a device or operating system 
     level age verification system;
       (2) what information may need to be collected to create 
     this type of age verification system;
       (3) the accuracy of such systems and their impact or steps 
     to improve accessibility, including for individuals with 
     disabilities;
       (4) how such a system or systems could verify age while 
     mitigating risks to user privacy and data security and 
     safeguarding minors' personal data, emphasizing minimizing 
     the amount of data collected and processed by covered 
     platforms and age verification providers for such a system;
       (5) the technical feasibility, including the need for 
     potential hardware and software changes, including for 
     devices currently in commerce and owned by consumers; and
       (6) the impact of different age verification systems on 
     competition, particularly the risk of different age 
     verification systems creating barriers to entry for small 
     companies.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act, the agencies described in subsection 
     (a) shall submit a report containing the results of the study 
     conducted under such subsection to the Committee on Commerce, 
     Science, and Transportation of the Senate and the Committee 
     on Energy and Commerce of the House of Representatives.

     SEC. 40208. GUIDANCE.

       (a) In General.--Not later than 18 months after the date of 
     enactment of this Act, the Federal Trade Commission shall 
     issue guidance to--
       (1) provide information and examples for covered platforms 
     and auditors regarding the following, with consideration 
     given to differences across English and non-English 
     languages--
       (A) identifying design features that encourage or increase 
     the frequency, time spent, or activity of minors on the 
     covered platform;
       (B) safeguarding minors against the possible misuse of 
     parental tools;
       (C) best practices in providing minors and parents the most 
     protective level of control over privacy and safety;
       (D) using indicia or inferences of age of users for 
     assessing use of the covered platform by minors;
       (E) methods for evaluating the efficacy of safeguards set 
     forth in this chapter; and
       (F) providing additional parental tool options that allow 
     parents to address the harms described in section 40202(a); 
     and
       (2) outline conduct that does not have the purpose or 
     substantial effect of subverting or impairing user autonomy, 
     decision-making, or choice, or of causing, increasing, or 
     encouraging compulsive usage for a minor, such as--
       (A) de minimis user interface changes derived from testing 
     consumer preferences, including different styles, layouts, or 
     text, where such changes are not done with the purpose of 
     weakening or disabling safeguards or parental tools;
       (B) algorithms or data outputs outside the control of a 
     covered platform; and
       (C) establishing default settings that provide enhanced 
     privacy protection to users or otherwise enhance their 
     autonomy and decision-making ability.
       (b) Guidance on Knowledge Standard.--Not later than 18 
     months after the date of enactment of this Act, the Federal 
     Trade Commission shall issue guidance to provide information, 
     including best practices and examples, for covered platforms 
     to understand how the Commission would determine whether a 
     covered platform ``had knowledge fairly implied on the basis 
     of objective circumstances'' for purposes of this chapter.
       (c) Limitation on Federal Trade Commission Guidance.--
       (1) Effect of guidance.--No guidance issued by the Federal 
     Trade Commission with respect to this chapter shall--
       (A) confer any rights on any person, State, or locality; or
       (B) operate to bind the Federal Trade Commission or any 
     court, person, State, or locality to the approach recommended 
     in such guidance.
       (2) Use in enforcement actions.--In any enforcement action 
     brought pursuant to this chapter, the Federal Trade 
     Commission or a State attorney general, as applicable--
       (A) shall allege a violation of a provision of this 
     chapter; and
       (B) may not base such enforcement action on, or execute a 
     consent order based on, practices that are alleged to be 
     inconsistent with guidance issued by the Federal Trade 
     Commission with respect to this chapter, unless the practices 
     are alleged to violate a provision of this chapter.
     For purposes of enforcing this chapter, State attorneys 
     general shall take into account any guidance issued by the 
     Commission under subsection (b).

     SEC. 40209. ENFORCEMENT.

       (a) Enforcement by Federal Trade Commission.--
       (1) Unfair and deceptive acts or practices.--A violation of 
     this chapter 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)).
       (2) Powers of the commission.--
       (A) In general.--The Federal Trade Commission (referred to 
     in this section as the ``Commission'') shall enforce this 
     chapter 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 chapter.
       (B) Privileges and immunities.--Any person that violates 
     this chapter 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.).
       (3) Authority preserved.--Nothing in this chapter shall be 
     construed to limit the authority of the Commission under any 
     other provision of law.
       (b) Enforcement by State Attorneys General.--
       (1) In general.--
       (A) Civil actions.--In any case in which the attorney 
     general of a State has reason to believe that a covered 
     platform has violated or is violating section 40203, 40204, 
     or 40205, the State, as parens patriae, may bring a civil 
     action on behalf of the residents of the State in a district 
     court of the United States or a State court of appropriate 
     jurisdiction to--
       (i) enjoin any practice that violates section 40203, 40204, 
     or 40205;
       (ii) enforce compliance with section 40203, 40204, or 
     40205;
       (iii) on behalf of residents of the State, obtain damages, 
     restitution, or other compensation, each of which shall be 
     distributed in accordance with State law; or
       (iv) obtain such other relief as the court may consider to 
     be appropriate.
       (B) Notice.--
       (i) In general.--Before filing an action under subparagraph 
     (A), the attorney general of the State involved shall provide 
     to the Commission--

       (I) written notice of that action; and
       (II) a copy of the complaint for that action.

       (ii) Exemption.--

       (I) In general.--Clause (i) shall not apply with respect to 
     the filing of an action by an attorney general of a State 
     under this paragraph if the attorney general of the State 
     determines that it is not feasible to provide the notice 
     described in that clause before the filing of the action.
       (II) Notification.--In an action described in subclause 
     (I), the attorney general of a State shall provide notice and 
     a copy of the complaint to the Commission at the same time as 
     the attorney general files the action.

       (2) Intervention.--
       (A) In general.--On receiving notice under paragraph 
     (1)(B), the Commission shall have the right to intervene in 
     the action that is the subject of the notice.
       (B) Effect of intervention.--If the Commission intervenes 
     in an action under paragraph (1), it shall have the right--
       (i) to remove the action to the appropriate United States 
     district court;
       (ii) to be heard with respect to any matter that arises in 
     that action; and
       (iii) to file a petition for appeal.
       (3) Construction.--For purposes of bringing any civil 
     action under paragraph (1), nothing in this chapter shall be 
     construed to prevent an attorney general of a State from 
     exercising the powers conferred on the attorney general by 
     the laws of that State to--
       (A) conduct investigations;
       (B) administer oaths or affirmations; or
       (C) compel the attendance of witnesses or the production of 
     documentary and other evidence.
       (4) Actions by the commission.--In any case in which an 
     action is instituted by or on behalf of the Commission for 
     violation of this chapter, no State may, during the pendency 
     of that action, institute a separate action under paragraph 
     (1) against any defendant named in the complaint in the 
     action instituted by or on behalf of the Commission for that 
     violation.
       (5) Venue; service of process.--
       (A) Venue.--Any action brought under paragraph (1) may be 
     brought in--
       (i) the district court of the United States that meets 
     applicable requirements relating to venue under section 1391 
     of title 28, United States Code; or
       (ii) a State court of competent jurisdiction.
       (B) Service of process.--In an action brought under 
     paragraph (1) in a district court of the United States, 
     process may be served wherever defendant--
       (i) is an inhabitant; or
       (ii) may be found.
       (6) Limitation.--A violation of section 40202 shall not 
     form the basis of liability in any action brought by the 
     attorney general of a State under a State law.

     SEC. 40210. KIDS ONLINE SAFETY COUNCIL.

       (a) Establishment.--There is established a Kids Online 
     Safety Council (in this section referred to as the 
     ``Council'').

[[Page S4138]]

       (b) Duties.--The duties of the Council shall be to provide 
     reports to Congress with recommendations and advice on 
     matters related to the safety of minors online. The matters 
     to be addressed by the Council shall include--
       (1) identifying emerging or current risks of harms to 
     minors associated with online platforms;
       (2) recommending measures and methods for assessing, 
     preventing, and mitigating harms to minors online;
       (3) recommending methods and themes for conducting research 
     regarding online harms to minors, including in English and 
     non-English languages; and
       (4) recommending best practices and clear, consensus-based 
     technical standards for transparency reports and audits, as 
     required under this chapter, including methods, criteria, and 
     scope to promote overall accountability.
       (c) Number and Appointment of Members.--The Council shall 
     be comprised of 11 members, of whom--
       (1) 3 members shall be appointed by the President, 
     including--
       (A) the Secretary of Commerce or a designee of the 
     Secretary; and
       (B) the Secretary of Health and Human Services or a 
     designee of the Secretary;
       (2) 2 members shall be appointed by the Speaker of the 
     House of Representatives;
       (3) 2 members shall be appointed by the Minority Leader of 
     the House of Representatives;
       (4) 2 members shall be appointed by the Majority Leader of 
     the Senate; and
       (5) 2 members shall be appointed by the Minority Leader of 
     the Senate.
       (d) Timing of Appointments.--Each of the appointments under 
     subsection (c) shall be made not later than 180 days after 
     the date of the enactment of this Act.
       (e) Terms; Vacancies.--Each member of the Council shall be 
     appointed for the life of the Council, and a vacancy in the 
     Council shall be filled in the manner in which the original 
     appointment was made.
       (f) Chairperson; Vice Chairperson.--The Council, once it 
     has been fully appointed, shall select its own Chair and Vice 
     Chair.
       (g) Participation.--The Council shall consist of 1 member 
     from each of the following:
       (1) academic experts with specific expertise in the 
     prevention of online harms to minors;
       (2) researchers with specific expertise in social media 
     studies;
       (3) parents with demonstrated experience in child online 
     safety;
       (4) youth representatives with demonstrated experience in 
     child online safety;
       (5) educators with demonstrated experience in child online 
     safety;
       (6) representatives of online platforms;
       (7) representatives of online video games;
       (8) State attorneys general or their designees acting in 
     State or local government; and
       (9) representatives of communities of socially 
     disadvantaged individuals (as defined in section 8 of the 
     Small Business Act (15 U.S.C. 637)).
       (h) Reports.--
       (1) Interim report.--Not later than 1 year after the date 
     of the initial meeting of the Council, the Council shall 
     submit to Congress an interim report that includes a detailed 
     summary of the work of the Council and any preliminary 
     findings of the Council.
       (2) Final report.--Not later than 3 years after the date of 
     the initial meeting of the Council, the Council shall submit 
     to Congress a final report that includes--
       (A) a detailed statement of the findings and conclusions of 
     the Council;
       (B) dissenting opinions of any member of the Council who 
     does not support the findings and conclusions referred to in 
     subparagraph (A); and
       (C) any recommendations for legislative and administrative 
     actions to address online safety for children and prevent 
     harms to minors.
       (i) Termination.--The Council shall terminate not later 
     than 30 days after the submission of the final report 
     required under subsection (h)(2).
       (j) Non-Applicability of FACA.--The Kids Online Safety 
     Council shall not be subject to chapter 10 of title 5, United 
     States Code (commonly referred to as the ``Federal Advisory 
     Committee Act'').

     SEC. 40211. EFFECTIVE DATE.

       Except as otherwise provided in this chapter, this chapter 
     shall take effect on the date that is 18 months after the 
     date of enactment of this Act.

     SEC. 40212. RULES OF CONSTRUCTION AND OTHER MATTERS.

       (a) Relationship to Other Laws.--Nothing in this chapter 
     shall be construed to--
       (1) preempt section 444 of the General Education Provisions 
     Act (20 U.S.C. 1232g, commonly known as the ``Family 
     Educational Rights and Privacy Act of 1974'') or other 
     Federal or State laws governing student privacy;
       (2) preempt the Children's Online Privacy Protection Act of 
     1998 (15 U.S.C. 6501 et seq.) or any rule or regulation 
     promulgated under such Act;
       (3) authorize any action that would conflict with section 
     18(h) of the Federal Trade Commission Act (15 U.S.C. 57a(h)); 
     or
       (4) expand, limit the scope, or alter the meaning of 
     section 230 of the Communications Act of 1934 (commonly known 
     as ``section 230 of the Communications Decency Act of 1996'') 
     (47 U.S.C. 230).
       (b) Determination of ``Fairly Implied on the Basis of 
     Objective Circumstances''.--For purposes of enforcing this 
     chapter, in making a determination as to whether covered 
     platform has knowledge fairly implied on the basis of 
     objective circumstances that a specific user is a minor, the 
     Federal Trade Commission or a State attorney general shall 
     rely on competent and reliable evidence, taking into account 
     the totality of the circumstances, including whether a 
     reasonable and prudent person under the circumstances would 
     have known that the user is a minor.
       (c) Protections for Privacy.--Nothing in this chapter, 
     including a determination described in subsection (b), shall 
     be construed to require--
       (1) the affirmative collection of any personal data with 
     respect to the age of users that a covered platform is not 
     already collecting in the normal course of business; or
       (2) a covered platform to implement an age gating or age 
     verification functionality.
       (d) Compliance.--Nothing in this chapter shall be construed 
     to restrict a covered platform's ability to--
       (1) cooperate with law enforcement agencies regarding 
     activity that the covered platform reasonably and in good 
     faith believes may violate Federal, State, or local laws, 
     rules, or regulations;
       (2) comply with a lawful civil, criminal, or regulatory 
     inquiry, subpoena, or summons by Federal, State, local, or 
     other government authorities;
       (3) investigate, establish, exercise, respond to, or defend 
     against legal claims;
       (4) prevent, detect, protect against, or respond to any 
     security incident, identity theft, fraud, harassment, 
     malicious or deceptive activity, or any illegal activities; 
     or
       (5) investigate or report those responsible for any action 
     described in paragraph (4).
       (e) Application to Video Streaming Services.--A video 
     streaming service shall be deemed to be in compliance with 
     this chapter if it predominantly consists of news, sports, 
     entertainment, or other video programming content that is 
     preselected by the provider and not user-generated, and--
       (1) any chat, comment, or interactive functionality is 
     provided incidental to, directly related to, or dependent on 
     provision of such content; and
       (2) if such video streaming service requires account owner 
     registration and is not predominantly news or sports, the 
     service includes the capability--
       (A) to limit a minor's access to the service, which may 
     utilize a system of age-rating;
       (B) to limit the automatic playing of on-demand content 
     selected by a personalized recommendation system for an 
     individual that the service knows is a minor;
       (C) for a parent to manage a minor's privacy and account 
     settings, and restrict purchases and financial transactions 
     by a minor, where applicable;
       (D) to provide an electronic point of contact specific to 
     matters described in this paragraph;
       (E) to offer a clear, conspicuous, and easy-to-understand 
     notice of its policies and practices with respect to the 
     capabilities described in this paragraph; and
       (F) when providing on-demand content, to employ measures 
     that safeguard against serving advertising for narcotic 
     drugs, cannabis products, tobacco products, gambling, or 
     alcohol directly to the account or profile of an individual 
     that the service knows is a minor.

                 CHAPTER 2--FILTER BUBBLE TRANSPARENCY

     SEC. 40301. DEFINITIONS.

       In this chapter:
       (1) Algorithmic ranking system.--The term ``algorithmic 
     ranking system'' means a computational process, including one 
     derived from algorithmic decision-making, machine learning, 
     statistical analysis, or other data processing or artificial 
     intelligence techniques, used to determine the selection, 
     order, relative prioritization, or relative prominence of 
     content from a set of information that is provided to a user 
     on an online platform, including the ranking of search 
     results, the provision of content recommendations, the 
     display of social media posts, or any other method of 
     automated content selection.
       (2) Approximate geolocation information.--The term 
     ``approximate geolocation information'' means information 
     that identifies the location of an individual, but with a 
     precision of less than 5 miles.
       (3) Commission.--The term ``Commission'' means the Federal 
     Trade Commission.
       (4) Connected device.--The term ``connected device'' means 
     an electronic device that--
       (A) is capable of connecting to the internet, either 
     directly or indirectly through a network, to communicate 
     information at the direction of an individual;
       (B) has computer processing capabilities for collecting, 
     sending, receiving, or analyzing data; and
       (C) is primarily designed for or marketed to consumers.
       (5) Input-transparent algorithm.--
       (A) In general.--The term ``input-transparent algorithm'' 
     means an algorithmic ranking system that does not use the 
     user-specific data of a user to determine the selection, 
     order, relative prioritization, or relative prominence of 
     information that is furnished to such user on an online 
     platform, unless the user-specific data is expressly provided 
     to the platform by the user for such purpose.
       (B) Data expressly provided to the platform.--For purposes 
     of subparagraph (A),

[[Page S4139]]

     user-specific data that is provided by a 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--
       (i) includes user-supplied search terms, filters, speech 
     patterns (if provided for the purpose of enabling the 
     platform to accept spoken input or selecting the language in 
     which the user interacts with the platform), saved 
     preferences, the resumption of a previous search, and the 
     current precise geolocation information that is supplied by 
     the user;
       (ii) includes the user's current approximate geolocation 
     information;
       (iii) includes data submitted to the platform by the user 
     that expresses the user's desire to receive particular 
     information, such as the social media profiles the user 
     follows, the video channels the user subscribes to, or other 
     content or sources of content on the platform the user has 
     selected;
       (iv) does not include the history of the connected device 
     of the user, including the history of web searches and 
     browsing, previous geographical locations, physical activity, 
     device interaction, and financial transactions of the user; 
     and
       (v) does not include inferences about the user or the 
     connected device of the user, without regard to whether such 
     inferences are based on data described in clause (i) or 
     (iii).
       (6) Online platform.--
       (A) In general.--Subject to subparagraph (B), the term 
     ``online platform'' means any public-facing website, online 
     service, online application, or mobile application that 
     predominantly provides a community forum for user-generated 
     content, such as sharing videos, images, games, audio files, 
     or other content, including a social media service, social 
     network, or virtual reality environment.
       (B) Scope.--
       (i) Incidental chat functions.--A website, online service, 
     online application, or mobile application is not an online 
     platform solely on the basis that it includes a chat, 
     comment, or other interactive function that is incidental to 
     its predominant purpose.
       (ii) Review sites.--A website, online service, online 
     application, or mobile application that has the predominant 
     purpose of providing travel reviews is not an online 
     platform.
       (7) Opaque algorithm.--The term ``opaque algorithm''--
       (A) means an algorithmic ranking system that determines the 
     selection, order, relative prioritization, or relative 
     prominence of information that is furnished to such user on 
     an online platform based, in whole or part, on user-specific 
     data that was not expressly provided by the user to the 
     platform for such purpose; and
       (B) does not include an algorithmic ranking system used by 
     an online platform if--
       (i) the only user-specific data (including inferences about 
     the user) that the system uses is information relating to the 
     age of the user; and
       (ii) such information is only used to restrict the access 
     of a user to content on the basis that the individual is not 
     old enough to access such content.
       (8) Precise geolocation information.--The term ``precise 
     geolocation information'' means geolocation information that 
     identifies the location of an individual to within a range of 
     5 miles or less.
       (9) User-specific data.--The term ``user-specific data'' 
     means information relating to an individual or a specific 
     connected device that would not necessarily be true of every 
     individual or device.

     SEC. 40302. REQUIREMENT TO ALLOW USERS TO SEE UNMANIPULATED 
                   CONTENT ON INTERNET PLATFORMS.

       (a) In General.--Beginning on the date that is 1 year after 
     the date of enactment of this Act, it shall be unlawful for 
     any person to operate an online platform that uses an opaque 
     algorithm unless the person complies with the requirements of 
     subsection (b).
       (b) Opaque Algorithm Requirements.--
       (1) In general.--The requirements of this subsection with 
     respect to a person that operates an online platform that 
     uses an opaque algorithm are the following:
       (A) The person provides users of the platform with the 
     following notices:
       (i) Notice that the platform uses an opaque algorithm that 
     uses user-specific data to select the content the user sees. 
     Such notice shall be presented in a clear and conspicuous 
     manner on the platform whenever the user interacts with an 
     opaque algorithm for the first time, and may be a one-time 
     notice that can be dismissed by the user.
       (ii) Notice, to be included in the terms and conditions of 
     the online platform, in a clear, accessible, and easily 
     comprehensible manner that is to be updated whenever the 
     online platform makes a material change, of--

       (I) the most salient features, inputs, and parameters used 
     by the algorithm;
       (II) how any user-specific data used by the algorithm is 
     collected or inferred about a user of the platform, and the 
     categories of such data;
       (III) any options that the online platform makes available 
     for a user of the platform to opt out or exercise options 
     under subparagraph (B), modify the profile of the user or to 
     influence the features, inputs, or parameters used by the 
     algorithm; and
       (IV) any quantities, such as time spent using a product or 
     specific measures of engagement or social interaction, that 
     the algorithm is designed to optimize, as well as a general 
     description of the relative importance of each quantity for 
     such ranking.

       (B) The online platform enables users to easily switch 
     between the opaque algorithm and an input-transparent 
     algorithm in their use of the platform.
       (2) Rule of construction.--Nothing in this subsection shall 
     be construed to require an online platform to disclose any 
     information, including data or algorithms--
       (A) relating to a trade secret or other protected 
     intellectual property;
       (B) that is confidential business information; or
       (C) that is privileged.
       (3) Prohibition on differential pricing.--An online 
     platform shall not deny, charge different prices or rates 
     for, or condition the provision of a service or product to a 
     user based on the user's election to use an input-transparent 
     algorithm in their use of the platform, as provided under 
     paragraph (1)(B).
       (4) Special rule.--Notwithstanding paragraphs (1) and (2), 
     an online platform shall provide the notice and opt-out 
     described in paragraphs (1) and (2) to the educational agency 
     or institution (as defined in section 444(a)(3) of the 
     General Education Provisions Act (20 U.S.C. 1232g(a)(3)), 
     rather than to the user, when the online platform is acting 
     on behalf of an educational agency or institution (as so 
     defined), subject to a written contract that complies with 
     the requirements of the Children's Online Privacy Protection 
     Act of 1998 (15 U.S.C. 1232g(a)(3)) and section 444 of the 
     General Education Provisions Act (20 U.S.C. 1232g) (commonly 
     known as the ``Family Educational Rights and Privacy Act of 
     1974'').
       (c) Enforcement by Federal Trade Commission.--
       (1) Unfair or deceptive acts or practices.--A violation of 
     this section by an operator of an online platform 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)).
       (2) Powers of commission.--
       (A) In general.--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.
       (B) Privileges and immunities.--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.).
       (C) Authority preserved.--Nothing in this section shall be 
     construed to limit the authority of the Commission under any 
     other provision of law.
       (d) Rule of Construction To Preserve Personalized Blocks.--
     Nothing in this section shall be construed to limit or 
     prohibit an online platform's ability to, at the direction of 
     an individual user or group of users, restrict another user 
     from searching for, finding, accessing, or interacting with 
     such user's or group's account, content, data, or online 
     community.

          CHAPTER 3--RELATIONSHIP TO STATE LAWS; SEVERABILITY

     SEC. 40401. RELATIONSHIP TO STATE LAWS.

       The provisions of this subtitle shall preempt any State 
     law, rule, or regulation only to the extent that such State 
     law, rule, or regulation conflicts with a provision of this 
     subtitle. Nothing in this subtitle shall be construed to 
     prohibit a State from enacting a law, rule, or regulation 
     that provides greater protection to minors than the 
     protection provided by the provisions of this subtitle.

     SEC. 40402. SEVERABILITY.

       If any provision of this subtitle, or an amendment made by 
     this subtitle, is determined to be unenforceable or invalid, 
     the remaining provisions of this subtitle and the amendments 
     made by this subtitle shall not be affected.
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