mr. carnie. >> thank you, mr. chairman thank you to the panelists for coming today, i'd like to talk a little bit about this preempts issue, i know it's a concern for many of the members and we've worked hard to try to address it. i said in my opening comments. the prevention provision should not have the unintended consequences outside the issues covered in the bill. we don't believe it affects the medical debt issue that was raised a moment ago with respect to california 37 we would be willing to make that plain. >> you said -- i thought i heard you say that we shouldn't have 50 different standards is not the answer. is that what you said or did i mishear your comments? >> so what i have said is that i think the best for consumers would be to create a floor not a ceiling, so that states can continue. >> set a national standard? >> right and then -- >> allow states -- >> to protect judicial categories -- >> my understanding is that 13 states now currently have data breach notification and standards like this, and

mr. carnie and mr. nugenbauer for putting this together. this bill would significantly strengthen the data security procedures for businesses, but in a way that is flexible and can evolve as a cyber threat changes and evolves. i am still concerned about the scope of the state preempts in the bill and i want to keep working on the preemption enforcement. i have signed on to the bill as a co sponsor it is a serious good faith effort to tackle what is a critically important issue to our economy. i'd like to commend them for their hard work and leadership on this issue. and i look forward to working with them on the enforcement and provisions in it. my first question is to governor polente. i'd like to ask you about the standards that were put in place for the financial institutions. you mention they had worked well in the financial institutions, but i also want to know, have they proven to be overly burdensome for smaller banks and credit unions? >> congresswoman maloney no. the standards have been flexible. i think congressman nugerbauer and