The US Government House Intelligence Committee passed a marked-up version of the controversial information-sharing bill, the Cyber Intelligence Sharing and Protection Act (CISPA).
While it was amended in hopes of satisfying privacy concerns, amendments to limit liability protection for companies and omit personal information from shared threat data were not passed, according to The Hill.
The proposed legislation, which supporters say will help the private sector better defend itself against cyber attacks by codifying information sharing with government, was revived earlier this year.
It was approved by the House in April 2012 but never taken up by the Senate. The White House also had threatened a veto.
Even with amendments, CISPA is expected to face a fierce fight from civil liberties advocates concerned that the bill would lead to the sharing of customer's personally identifiable information with government agencies without consent or legal oversight and recourse.
Once a final version is approved by the committee, CISPA will go for a full House vote.
Threat-sharing bill SECURE-IT, a complement of CISPA, was also reintroduced.