First Privacy Officer Calls 'Experiment' a Success
Official Is Lauded for Protecting Citizen Rights
http://www.washingtonpost.com/wp-dyn/content/article/2005/09/28/AR2005092802
173_pf.html

By Sara Kehaulani Goo and Spencer S. Hsu
Washington Post Staff Writers
Thursday, September 29, 2005; A21

Nuala O'Connor Kelly, who won praise for protecting Americans' privacy
rights at the Department of Homeland Security but drew criticism for her
office's lack of independence, announced she will step down this week after
two years as the department's first chief privacy officer.

The ombudsman-like job was created by Congress in 2002 to uphold the Privacy
Act within a department that launched a series of ambitious security
programs that affect millions of people, including airline travelers, truck
drivers and foreign visitors.

Many groups that advocate greater privacy protections feared the chief
privacy officer could have become a rubber stamp for the administration's
homeland security agenda, but they credited O'Connor Kelly with establishing
an office that won respect within and outside the administration.

Former and current colleagues said O'Connor Kelly used a combination of her
forceful personality and support of then-Secretary Tom Ridge to ensure that
her staff (she oversaw 400 employees) became major players inside the
department. She had the general support of, but not the same relationship
with, Secretary Michael Chertoff, current and former agency officials said.

"O'Connor Kelly has done a commendable job as Homeland Security's first
Chief Privacy Officer considering the limited independence of the job as it
was created by Congress," Barry Steinhardt, director of the American Civil
Liberties Union's Technology and Liberty Project said in a statement. "But
even as strong a privacy officer as O'Connor Kelly could only do so much
with the powers that she was given. Her replacement must have a dedicated
commitment to ensuring DHS's programs respect a substantial zone of privacy
for all Americans, even while they try to enhance our nation's security."

O'Connor Kelly has accepted a position as head of privacy issues for General
Electric Co. Her last day at the department is today, she said. The
Department of Homeland Security has named Maureen Cooney, O'Connor Kelly's
chief of staff, as acting chief privacy officer.

The $140,000-a-year government job, according to O'Connor Kelly, was not an
easy one. At times, she was the only woman in a room full of male managers
who never had to answer to anyone about the privacy implications of their
programs. Creating the office, she said, "was an experiment. Did we succeed?
Yes. . . . If the litmus test is the number of people we [ticked] off, then
the answer is yes, although that doesn't make it the easiest place to be at
times."

Before being named to the job in April 2003, O'Connor Kelly served as legal
counsel for DoubleClick Inc., after the Internet company infuriated
customers by announcing plans to capture identifying information about
computer users who view certain Internet ads.

At the Department of Homeland Security, O'Connor Kelly established the role
of the chief privacy officer somewhat like that of an inspector general, but
without the legal power and the public platform to criticize her own agency.
Instead, she chose to advocate change from within and was aided by her
relationship with Ridge, who ensured that the privacy office not only
approved various programs but also was involved at the early stages.

Privacy groups said she played a key role in delaying Secure Flight, an
airline security program that seeks to know more about airline travelers
using commercial databases.

"There was a larger set of skepticism generally about this type of post.
It's a unique one in that it's kind of half-inside and half-outside," said
Paul Rosenzwieg, senior legal research fellow at the Heritage Foundation.
"That's a hard line to walk, and yet I think if you call around to the
privacy advocates, no one's going to tell you they were disappointed with
her."

Marc Rotenberg, of the Electronic Privacy Information Center, said O'Connor
Kelly deserves "high grades," but her office could do better if it had power
to issue subpoenas. In the spring 2004, O'Connor Kelly faced her biggest
test by launching an investigation into JetBlue Airways Corp., which
admitted that it had turned over millions of passenger records to the
government for a security project.

O'Connor Kelly's report criticized government managers and required them to
go through training. But it did not reveal what Homeland Security's
Transportation Security Administration later acknowledged: Almost every
other major airline also shared passenger records -- 270 million of them.

Rotenberg said O'Connor Kelly had to rely on goodwill and political pressure
to get the TSA to hand over documents. "We've pushed to strengthen the
office and give them more independent authority," he said.

C. Stewart Verdery Jr., a former Homeland Security official who worked with
O'Connor Kelly, said she played a crucial role last year when the department
negotiated an agreement to share airline passenger data with the European
Union, which has much stronger privacy protections. "She was a known
commodity and the advocacy community respected her," he said.

Ironically, some skeptics note, agreement with European countries means that
the department now protects the privacy of European airline passengers more
than it does Americans because it calls for specific and limited uses of
airline passenger data.

The United States was granted official observer status in 2004 to the
International Association of Data Protection and Privacy Officials, a group
of government privacy officials, but is not eligible for membership because
O'Connor Kelly's office is not seen as sufficiently independent because it
reports to the secretary of homeland security.

"Over the long haul, I think that there is certainly merit to looking at the
way the rest of the world looks at this issue and making sure we are part of
that international conversation," O'Connor Kelly said.



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