BILL ANALYSIS Ó AB 2799 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 2799 (Chau) As Amended June 21, 2016 Majority vote -------------------------------------------------------------------- |ASSEMBLY: |78-0 |(May 12, 2016) |SENATE: | 39-0 |(August 23, | | | | | | |2016) | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: P. & C.P. SUMMARY: Prohibits operators of Internet Web sites, online services, and mobile apps that are designed, marketed and used primarily for prekindergarten and preschool pupils, from using data about those pupils for targeting, marketing or profiling, and prohibits selling or disclosing a pupil's information with limited exceptions. The Senate amendments make technical and clarifying changes. EXISTING LAW: 1)Establishes the Student Online Privacy Protection Act (SOPIPA), which prohibits an operator of a Web site, online service, online application, or mobile application from knowingly engaging in targeted advertising to students or AB 2799 Page 2 their parents or legal guardians using covered information, as defined, amassing a profile of a K-12 student, selling a student's information, or disclosing covered information, as provided. (Business and Professions Code Section (BPC) 22584-85) 2)Defines an "Operator" as the operator of a Web site, online service, online application, or mobile application with actual knowledge that the site, service, or application is used primarily for K-12 school purposes and was designed and marketed for K-12 school purposes. (BPC 22584(a)) 3)Requires an Operator of a commercial Web site or online service that collects personally identifiable information through the Internet about individual consumers residing in California who use or visit its Web site to conspicuously post its privacy policy. (BPC 22575) 4)Protects, pursuant to the federal Family Educational Rights and Privacy Act (FERPA), the confidentiality of educational records (and personally identifiable information contained therein) by prohibiting the funding of schools that permit the release of those records. It applies to all schools that receive funds under an applicable program of the United States (U.S.) Department of Education. Generally, schools must have written permission from the parent or eligible student in order to release any information from a student's education record. FERPA's prohibition only applies to the school itself and contains various exemptions where the data may be released without the written consent of the parents. (20 United States Code Section (U.S.C.) 1232g(b)(1)) 5)Prohibits, pursuant to the federal Children's Online Privacy Protection Act of 1998, an Operator of a Web site or online service directed to pupils under the age of 13 from collecting personal information from a pupil, including a pupil's first and last name, home or other physical address including street name and name of a city or town, e-mail address, telephone AB 2799 Page 3 number, or Social Security number. (5 U.S.C. 6501-6505) FISCAL EFFECT: None. This bill is keyed non-fiscal by the Legislative Counsel. COMMENTS: In 2014, California became the national leader on student privacy protections with the unanimous passage of SB 1177 (Steinberg), Chapter 839, known as SOPIPA. SOPIPA went into effect on January 1, 2016, and mandates privacy and data security requirements on Web sites, online services, and mobile apps that are designed, marketed and used primarily for K-12 students. SOPIPA was passed in response to the massive amounts of sensitive student data that online educational products and services were collecting about students, including academic performance, health records, and personal interests. However, SOPIPA only applies to K-12 students, leaving younger children in preschool and pre-kindergarten classrooms without the same privacy protections, despite the fact that many were using educational technology. This bill, dubbed the "Early Learning Personal Information Protection Act," is modeled on SOPIPA and expands the same privacy and data security requirements that exist today for K-12 oriented Web sites, online services, and mobile apps to those designed primarily for prekindergarten and preschool pupils. The major provisions of this bill would: 1)Prohibit using pupils' personal information for targeted advertising; 2)Prohibit using pupils' personal information for profiling (except for school purposes); AB 2799 Page 4 3)Prohibit selling pupils' personal information; 4)Prohibit disclosing pupils' personal information (with limited exceptions to permit site functionality or as required by law); 5)Require reasonable data security for the pupils' information; and 6)Require companies to delete pupils' information upon the school's request. Analysis Prepared by: Jennie Bretschneider / P. & C.P. / (916) 319-2200 FN: 0003608