BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 397|
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THIRD READING
Bill No: SB 397
Author: Hueso (D)
Amended: 5/28/13
Vote: 21
SENATE TRANSPORTATION & HOUSING COMMITTEE : 11-0, 4/30/13
AYES: DeSaulnier, Gaines, Beall, Cannella, Galgiani, Hueso,
Lara, Liu, Pavley, Roth, Wyland
SENATE APPROPRIATIONS COMMITTEE : 7-0, 5/23/13
AYES: De León, Walters, Gaines, Hill, Lara, Padilla, Steinberg
SUBJECT : Vehicles: enhanced drivers license
SOURCE : Author
DIGEST : This bill authorizes the Department of Motor Vehicles
(DMV) to issue enhanced drivers licenses (EDLs), which
individuals can use at border crossings as proof of both
identity and citizenship.
ANALYSIS : Existing law authorizes the DMV to issue driver's
licenses and identification (ID) cards. In order to obtain a
driver's license or ID card, an individual must provide, among
other things, a social security number, verification of birth
date and legal presence in the United States, and a thumb print.
The DMV encodes the individual's basic personal information in
a magnetic strip on the back of the license or card.
To address the need for increased security measures after the
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9/11 terrorist attacks, Congress passed the Intelligence Reform
and Terrorism Prevention Act of 2004 (Public Law 108-458). To
implement this legislation, with an eye to reducing border
congestion, the Department of State and Department of Homeland
Security (DHS) established a plan called the Western Hemisphere
Travel Initiative (WHTI). The WHTI requires U.S. and Canadian
travelers to present a passport or other document proving
identity and citizenship to enter the country beginning in 2007
for air travel into the U.S. and in 2009 for land and sea travel
into the U.S. The EDL is one of the documents meeting WHTI
requirements.
An EDL is a driver's license that an individual can also use as
a travel document to enter the U.S. from Mexico, Canada, the
Caribbean, and Bermuda. A key feature distinguishing an EDL
from a California driver's license is Radio Frequency
Identification (RFID) technology. RFID systems allow
information contained in a wireless device or "tag" to be read
from a distance. RFID technology can be found in car keys,
security access cards, and highway toll lanes (such as
"FasTrak").
Under WHTI, U.S. Customs and Border Protection (border patrol)
created "ready lanes" at some ports of entry, including Calexico
and Otay Mesa on the California-Mexico border, dedicated to
travelers with RFID-enabled travel documents such as EDLs.
Frequent travelers who hold EDLs can use these ready lanes to
expedite the inspection process. Specifically, as a traveler
approaches inspection lanes at the border, authorized readers
read the EDL from 10 to 15 feet away. The WHTI provides that no
personal information is stored on the EDL, but rather a number
that points to information housed in the secure database. Upon
reading this number, the reader signals the database to display
biographical information, a photo, and the results of
terrorist/criminal checks to the border patrol officer as the
vehicle pulls up to the inspection booth. While the officer
must still conduct a visual inspection, and potentially
interview the driver, he/she does not have to take the time to
collect paper documents and key them in. Four states (Michigan,
New York, Vermont, and Washington), as well as several Canadian
provinces, are currently issuing EDLs.
This bill:
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1. Authorizes DMV to enter into a memorandum of understanding
with a federal agency to obtain approval to issue an EDL,
instruction permit, provisional license, or ID card
(hereafter referred to as EDL) that meets WHTI requirements.
Authorizes DMV to issue or renew an EDL to an applicant who
is 16 years or older and is both a California resident and a
U.S. citizen.
2. Requires an applicant to submit proof of identity,
residency, and citizenship and to certify under penalty of
perjury that the information is valid. Also requires the
applicant to sign a declaration acknowledging his/her
understanding of RFID technology.
3. Requires DMV to include in the EDL reasonable security
measures to protect against unauthorized duplication or
disclosure of the holder's personal information. Limits the
RFID technology in the EDL to contain only a randomly
assigned number, encrypted subject to DHS approval, and a
barcode that can be read by border patrol.
4. Prohibits an employer from requiring an employee to apply
for or use an EDL as a condition of employment or to
discharge, discriminate against, or retaliate against an
employee who refuses to apply for or use an EDL.
5. Requires an applicant for an EDL to allow DMV to capture and
reproduce his/her facial image and signature at the time of
application or renewal and provides that these items shall
only be available to border patrol or DHS.
6. Requires DMV set, by regulation, the application fee in an
amount not to exceed its regulatory cost of issuing or
renewing an EDL or $55, whichever is less. Requires this
fee, in addition to other fees required by state law, to be
deposited in a special account within the Motor Vehicle
Account.
7. Requires DMV to submit an annual report to the Legislature
including, but not limited to, information on the number of
EDLs and related documents issued, the effect on wait times
and traffic congestion at border points of entry, and whether
or not there have been any security or privacy breaches
related to the use of EDLs or related documents.
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Background
EDLs and RFID technology . An RFID tag with a power source is an
"active" tag that can transit a radio wave transmitting
information to any reader in the area. An RFID tag without a
power source is a "passive" tag; a reader can remotely read the
information when the tag gets within a certain range of the
reader. While an RFID tag is similar to bar code technology, it
is different in that it can be read remotely, without having to
swipe the bar code, and in that much more information can be
stored on an RFID tag chip than on a bar code. The EDL proposed
in this bill includes a passive tag. In addition, as required
by WHTI, this bill specifies that the EDL contains only a number
that points to information housed in the border patrol's secure
database.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
According to the Senate Appropriations Committee:
Initial DMV costs of approximately $4.5 million (Motor
Vehicle Account) over several fiscal years, to the extent the
department implements a program to issue EDLs. These costs
are related to initial program development, entering into
agreements with federal agencies, substantial regulatory
changes, significant programming changes, and equipment
purchases. These costs must be incurred prior to collecting
any additional fee revenues for issuance of EDLs
Ongoing DMV costs of approximately $5 million annually and
40 personnel years of staff to handle increased field office
and call center workload (Enhanced Driver's License and
Identification Subaccount, created by this bill).
Unknown revenue increases, likely sufficient to offset
ongoing, but not initial, DMV costs, after program is fully
implemented. Based on DMV's estimate of 285,000 applicants
annually (5% of annual driver's license renewal population of
5.7 million) Fee revenues would be approximately $15.675
million annually if the fee were set at $55 per applicant
(EDL Subaccount).
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SUPPORT : (Verified 5/28/13)
California Chamber of Commerce
City of Chula Vista
Imperial County Board of Supervisors
Imperial County Transportation Commission
Otay Mesa Chamber
San Diego-Tijuana Smart Boarder Coalition
South County Economic Development Council
OPPOSITION : (Verified 5/28/13)
American Civil Liberties Union of California
Consumer Federation of California
Privacy Rights Clearinghouse
ARGUMENTS IN SUPPORT : The author's office states that the
average wait time at the California-Mexico border is 70 minutes.
Delays result in lost productivity, wages, working hours, and
foregone business income at the regional, state, and national
levels. The Imperial County Transportation Commission notes
that eliminating the need for a border patrol officer to key in
a traveler's information translates into a 60% faster processing
time over manual queries. By authorizing DMV to move forward
with creating an EDL, this bill will help reduce border wait
times and increase economic gains produced by efficient and
secure cross-border travel.
ARGUMENTS IN OPPOSITION : The American Civil Liberties Union
(ACLU) notes that this bill sets up a framework that could be
expanded to any Californian who carries a driver's license or ID
card. In addition, creating a state database of facial images
and personal information, accessible by the federal government,
could pose a threat to anonymity and anonymous speech and
potentially lead to surveillance by governmental and private
entities. The ACLU also notes that an analysis of the
Washington State EDL found its security protections insufficient
and that the Smart Card Alliance, an industry trade group, has
criticized EDL technology as being too vulnerable to criminal
access and duplication.
JA:k 5/28/13 Senate Floor Analyses
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SUPPORT/OPPOSITION: SEE ABOVE
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