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
          
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          |Version: July 2, 2015           |Policy Vote: T. & H. 9 - 2      |
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          |Urgency: No                     |Mandate: No                     |
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          |Hearing Date: August 17, 2015   |Consultant: Mark McKenzie       |
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          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  







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            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  








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          $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.


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