Servicemember Payment Data Privacy and Security Act
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed House
- Passed Senate
- To President
- Became Law
Overview
This bill prohibits the Department of Defense from contracting with retailers that use payment processing equipment, systems, or services developed, manufactured, or controlled by entities in countries designated as ‘countries of concern’ (China, Russia, Iran, North Korea, and potentially others). The law requires a review of current contracts, issues guidance to the Secretary of Defense, and establishes a ban on such contracts starting January 1, 2027, with a report to Congress on implementation. It aims to protect servicemember payment data by limiting reliance on potentially insecure technology.
Key provisions
- Requires the Secretary of Defense to review current contracts for retailers using specified payment processing equipment, systems, or services.
- Directs the Secretary of Defense to issue guidance prohibiting the use of such equipment, systems, or services in future contracts.
- Prohibits the Department of Defense from entering into contracts with retailers using prohibited payment processing equipment, systems, or services starting January 1, 2027.
- Defines ‘countries of concern’ as China, Russia, Iran, North Korea, and potentially other designated nations.
- Defines ‘covered equipment, systems, or services’ as those controlled by entities linked to countries of concern.
- Includes point-of-sale transfers and other electronic fund transfers within the scope of the bill.
- Requires the Secretary of Defense to submit a report to Congress on the implementation of the law.
- Defines ‘retailer’ using the existing definition from the U.S. Code.
Bill text
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Sponsors
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15 on record
Primary sponsor
Cosponsors
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