BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1451
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          Date of Hearing:  January 13, 2010

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                             Anna Marie Caballero, Chair
                   AB 1451 (Ammiano) - As Amended:  January 4, 2010
          
          SUBJECT  :  The Local Government Identification Act.

           SUMMARY  :  Establishes the Local Government Identification Act,  
          which would authorize counties to issue local identification  
          cards (local ID cards) to persons who can provide proof of  
          identity and proof of residency within the county.   
          Specifically,  this bill  :  

          1)Authorizes a county to issue a local ID card to its residents  
            on a voluntary basis.

          2)Prohibits the local ID card from displaying the cardholder's  
            gender. 

          3)States that a minor, 13 years of age and older, is allowed to  
            apply for a local ID card so long as the proofs of identity  
            and residency are met and the minor's parent or legal guardian  
            completes the application.

          4)Requires the county clerk to keep confidential the names and  
            other identifying information or persons applying for and  
            receiving local ID cards.  The county clerk is prohibited from  
            keeping a record of the applicant's residential address.

          5)Limits the board of supervisors to imposing a fee of not more  
            than $15 per local ID card for persons over the age of 18 and  
            a fee of not more than $5 per local ID card for minors and  
            seniors who present proof of age.

          6)Requires every city, redevelopment agency, school district,  
            special district, and any other local agency located in a  
            county that issues local ID cards to accept the local ID cards  
            as proof of identification or proof of residency except where  
            otherwise provided by law.

           EXISTING LAW  authorizes the Department of Motor Vehicles (DMV)  
          to issue an identification card to any person attesting to the  
          true full name, correct age, and other identifying data as  
          certified by the applicant for the identification card, and  








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          authorizes DMV to refuse to issue an identification card under  
          certain circumstances.

           FISCAL EFFECT  :   None

           COMMENTS  :   

          1)The author states that existing state and federal law  
            establishes provisions for state-issued identification cards  
            that require documentation of a person's gender and legal  
            immigration status.  Many residents are ineligible to receive  
            an identification card or driver's license from DMV because of  
            their status as an undocumented immigrant.  Some transgender  
            individuals, who publicly identify as a gender different than  
            that on their driver's license or DMV identification card, are  
            turned away or made uncomfortable when they try to use their  
            ID.

            The author says that those individuals without legal,  
            recognized, government-issued ID cards are unable to open bank  
            accounts, prove age, prove residency, or otherwise demonstrate  
            proof of identity when necessary.

          2)This bill exempts from the Public Records Act the names and  
            other identifying information of those applying for and  
            receiving local ID cards.  This bill goes a step further and  
            also prohibits the county clerk from keeping a record of an  
            applicant's residential address.  Under current law, any  
            residence address provided to DMV is confidential, but a  
            mailing address can be disclosed under certain circumstances,  
            such as the assessment of driver risk or ownership of  
            vehicles.  Someone who is the subject of stalking also can  
            make a request to keep all of their DMV records confidential.   
            Specified officials, such as judges, can request to keep their  
            residential address confidential, too.  The Legislature may  
            wish to consider whether requiring a county clerk to not even  
            keep a record of applicants' residential address in addition  
            to making the names and other identifying information of  
            applicants confidential is too broad.  Under these proposed  
            restrictions, a county clerk might not be able to verify to a  
            third party, such as a financial institution, whether or not  
            the local ID card presented to the third party was not  
            counterfeit. 

          3)As part of the USA Patriot Act, federally regulated banks and  








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            saving associations, credit unions, and non-federally  
            regulated private banks, trust companies, and credit unions  
            (banks) are required to comply with Customer Identification  
            Program regulation (CIP), 31 CFR 103.121, for all accounts  
            established on or after October 1, 2003.  Banks are required  
            to implement a written CIP that includes, among other things,  
            account-opening procedures that specify the identifying  
            information that will be obtained from each customer.  These  
            procedures must enable the bank to form a reasonable belief  
            that it knows the true identity of each customer.  At a  
            minimum, banks are required to obtain from each customer  
            opening an account their name, date of birth, address, and  
            taxpayer identification number.  The banks are required to  
            then use documentary methods to verify a customer's identity.   
            Certain types of documents have long been considered primary  
            sources of identification, including a driver's license and  
            passport, and are preferred.  Other forms of identification  
            may be used if they enable the bank to form a reasonable  
            belief that it knows the true identity of the customer.   
            However, banks are warned by the federal government that  
            counterfeit and fraudulently obtained documents are widely  
            available.

            This bill would allow counties to issue local ID cards that  
            banks may or may not accept as a valid form of verifying a  
            customer's identity.  The USA Patriot Act does not prohibit a  
            bank from accepting this form of identification, but it also  
            cautions banks on accepting identification that could be easy  
            to counterfeit and obtain fraudulently.  Because it is unclear  
            under this bill's provisions whether a bank would be unable to  
            verify with the county issuing the local ID cards that a local  
            ID card was issued for that person, a bank may be unable to  
            form a reasonable belief that it knows the true identity of  
            the customer presenting the local ID card.  Therefore, the  
            Legislature may wish to consider whether there is a  
            probability that banks would accept a local ID card as  
            authorized under this bill.

          4)This bill will not be accepted as a valid form of passenger  
            identification at airports or for entering federal buildings.   
            The federal Transportation Security Administration (TSA)  
            accepts only a federal or state-issued identification that  
            contains the name, date of birth, gender, expiration date, and  
            tamper-resistant feature.  Because the local ID cards would be  
            neither state-issued nor identify the gender of the passenger,  








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            the local ID cards would not be accepted by TSA.  The  
            Legislature may want to consider whether the limitations of  
            the local ID card program are worth the potential costs to  
            local governments of administering it.  

          5)In an October 13, 2009, report, the City of Oakland  
            preliminarily estimated the costs for the technology to  
            provide local ID cards would range between $300,000 and over  
            $500,000 if there is an upfront investment or annual lease  
            payments of $75,000 to $133,000.  The estimates for staff time  
            and replacement ID card costs were minimally estimated at  
            ranging from $88,000 in the first year and $69,000 thereafter  
            to higher costs depending on staffing levels.  If local ID  
            card fees range from $15 to $35, annual revenue projections  
            were estimated at between $30,000 and $140,000.  AB 1451 would  
            impose a local ID card cap of $15 for adults and $5 for  
            minors.  The Committee may wish to consider whether forcing a  
            cap on what a county can charge for a local ID card will deter  
            county participation. 

          6)The San Francisco City ID Card (SFIDC) program was approved by  
            an ordinance passed November 20, 2007, by the board of  
            supervisors.  The program officially started January 15, 2009.  
             So far SFIDC has reportedly cost the city $798,000 for  
            one-time, start-up costs and $220,000 in annual operating  
            costs for the staffing of two legal clerks, overhead, and  
            supplies.  The Committee may wish to consider whether it would  
            be better to wait for this pilot program to complete two years  
            in existence as each card is valid for two years before  
            approving a statewide program.  There might be certain  
            features of the SFIDC program that are found to be missing or  
            others that prove to be burdensome on either individuals or  
            the City and County of San Francisco.

          7)AB 772 (Ammiano) was vetoed by the Governor on October 12,  
            2009.  The Governor's veto message read: "As I have stated  
            before on similar bills, until the federal Real ID Act is  
            implemented and the federal government adopts comprehensive  
            immigration reform, it is inappropriate to move forward with  
            state law in this area."

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           








                                                                  AB 1451
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          None on file

           Opposition 
           
          None on file
           
          Analysis Prepared by  :    Jennifer R. Klein / L. GOV. / (916)  
          319-3958