BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session AB 221 (Dababneh) - Mobile application: driver's licenses and identification cards ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: July 2, 2015 |Policy Vote: T. & H. 9 - 2 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: August 17, 2015 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: AB 221 would require the Department of Motor Vehicles (DMV) to study the feasibility of creating a digital mobile driver's license application (DDL app) for smartphone use, and submit a report to the Legislature by December 1, 2016. Fiscal Impact: DMV estimates one-time costs of approximately $300,000 for the feasibility study and report to the Legislature. (Motor Vehicle Account) Major cost pressures, in the millions of dollars, to develop AB 221 (Dababneh) Page 1 of ? and implement a DDL app, to the extent DMV finds that it would be feasible. (Motor Vehicle Account) Background: Existing law requires DMV to issue a driver's license to an applicant that meets specified requirements, and authorizes DMV to issue an identification card to any person, containing specified identifying data certified by the applicant. A driver's license must contain the full name, age, mailing address, digitized signature, and a full-face engraved picture or photograph of the licensee. Existing law requires a driver to have a valid license in his/her immediate possession when operating a motor vehicle on a highway, and requires a driver to present his/her license upon demand of a peace officer, as specified. Currently no other states have implemented a DDL app, although the Delaware Legislature adopted a resolution directing their Division of Motor Vehicles to study and consider issuing optional DDLs and the Iowa Department of Transportation (IDOT) has administratively developed an in-house pilot program to test a prototype DDL app. IDOT has worked with application developers, the Federal Department of Homeland Security, and local law enforcement to develop a DDL app that is practical, but also meets appropriate security standards. To date, IDOT has identified several implementation concerns, including how a mobile device will be handled by law enforcement during a traffic stop, how information will be stored on the DDL app, and how a DDL will comply with federal REAL ID requirements. They are currently in a limited testing phase. Proposed Law: AB 221 would require DMV to study the feasibility of creating a DDL app for smartphone use. At a minimum, the study must consider the security of personal information, compliance with federal standards, and limitations of available technology. The bill also requires DMV to report the results from the study to the Legislature by December 1, 2016. Staff Comments: DMV anticipates it would incur costs of approximately AB 221 (Dababneh) Page 2 of ? $300,000 to perform the feasibility study, including an assessment of relevant issues pertaining to privacy, security, and compliance with federal standards, and report results to the Legislature. Staff notes that these costs would be borne by the Motor Vehicle Account, which currently has a structural imbalance and will be insolvent sometime during the 2017-18 fiscal year, absent corrective action. To the extent that DMV finds that the development and implementation of a DDL app is feasible, the bill would create cost pressures in the millions of dollars. Actual costs would be attributable to future legislation that would direct state action to implement a DDL app. -- END --