BILL ANALYSIS SB 28 Page 1 SENATE THIRD READING SB 28 (Simitian) As Introduced December 4, 2006 Majority vote SENATE VOTE :31-6 JUDICIARY 6-3 TRANSPORTATION 9-5 ----------------------------------------------------------------- |Ayes:|Jones, Evans, Berg, |Ayes:|Nava, Carter, DeSaulnier, | | |Laird, Levine, Lieber | |Horton, Karnette, | | | | |Portantino, Ruskin, | | | | |Solorio, Soto | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Berryhill, Duvall, Keene |Nays:|Duvall, Galgiani, | | | | |Garrick, Houston, Huff | | | | | | ----------------------------------------------------------------- SUMMARY : Prohibits, until January 1, 2011, the Department of Motor Vehicles (DMV) from issuing, renewing, duplicating, or replacing a driver's license or identification (ID) card, if the license or card uses radio waves to either transmit personal information remotely or to enable personal information to be read from the license or card remotely. EXISTING LAW : 1)Authorizes the DMV to issue an original driver's license or identification card, or a renewal, duplicate, or replacement driver's license or ID card, when appropriate requirements have been satisfied. Specifies the required contents that must appear on each driver's license and identification card. 2)Limits the purposes for which a business may swipe the magnetic strip of a California driver's license or ID card and makes it a misdemeanor to use the information for any unauthorized purpose. 3)Provides that no agency may disclose personal information in a manner that would link the information disclosed to the individual to whom it pertains, subject to certain exceptions. SB 28 Page 2 Further provides that each agency shall keep an accurate accounting of the date, nature, and purpose of each disclosure made pursuant to one of the authorized exceptions. 4)Grants to all persons within this state a constitutional right to privacy, and provides that government may not intrude upon this privacy unless: a) it is necessary to further a compelling state interest; and, b) there is no feasible and effective alternative that would have a lesser impact on privacy interests. (Cal. Const., Art. I, Sec. 1; Academy of Pediatrics v. Lungren (1997) 16 Cal. 4th 307.) FISCAL EFFECT : None COMMENTS : This bill is one of a number of bills introduced by the author that seek to prohibit, limit, or otherwise regulate the use of remotely readable radio frequency identification (RFID) devices. According to the author, the use of RFID technology in government-issued documents, and driver's licenses and ID cards in particular, poses a serious threat to the personal privacy of Californians with only marginal offsetting benefits. The author generally concedes that RFID has many potentially useful applications, such as inventory management. But he points to a number of studies and reports which purportedly show that the technology also poses "clear privacy and security risks." Despite these risks, the author points out, existing law does not currently regulate the use RFID devices. According to the author, the use of RFID in driver's licenses and ID cards is especially egregious given their widespread distribution and the fact that adult citizens have little practical choice but to obtain a license or ID card. We would in effect, the author contends, be forcing millions of law-abiding citizens to carry documents which would broadcast their personal information and could be used to track their location. This bill is opposed by a number of retail, banking, and business associations and various companies that manufacture RFID and related technologies. Opponents claim that the author and supporters of this and the related RFID bills overstate the dangers of this new technology. They claim that RFID is, in fact, a safe, efficient, and cost effective technology that SB 28 Page 3 actually enhances safety and security. Legislation that would ban this technology, opponents claim, would deprive the public of significant benefits and hamper an industry that is creating jobs and generating economic growth in California. Opponents argue that this bill, in particular, seeks to address a problem that does not yet exist. According to the Hi-Tech Trust Coalition, "the Department of Motor Vehicles has publicly stated that they do not intend to use RFID devices within driver's licenses within the foreseeable future." Because there is no problem at this time, this bill will have no effect except to send a message that RFID is a dangerous technology that threatens our privacy and facilitates identify theft, even though there is as yet no real life example of it doing so. The only purpose of this bill then, according to the Coalition, is to stigmatize a promising new technology and discourage investment in its development. HID Global makes a similar argument, but adds that DMV recently concluded contract negotiations to extend the current non-RFID drivers' licenses for five more years. In short, this bill creates a three-year ban on DMV even though DMV cannot possibly use the technology, even if it wanted to, for another five years. Analysis Prepared by : Thomas Clark / JUD. / (916) 319-2334 FN: 0001752