BILL NUMBER: SB 1834	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 14, 2004
	AMENDED IN SENATE  APRIL 1, 2004

INTRODUCED BY   Senator Bowen
   (Principal coauthor:  Senator Machado)

                        FEBRUARY 20, 2004

   An act to add Chapter 22.7 (commencing with Section 22650) to
Division 8 of the Business and Professions Code, relating to
business.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1834, as amended, Bowen.  Radio frequency identification
systems.
   Existing law imposes special business regulations on various
businesses.
   This bill would prohibit a private entity from using an electronic
product code system that uses radio frequency identification (RFID)
tags attached to consumer products or an RFID reader to gather,
store, use, or share information that could be used to identify an
individual unless the entity complies with certain conditions.  The
bill would  authorize   prohibit  a library
 to use   from using  RFID tags attached
to circulating materials to collect information that could be used to
identify a borrower  under   unless 
specified conditions  are satisfied  .
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  no.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Chapter 22.7 (commencing with Section 22650) is added
to Division 8 of the Business and Professions Code, to read:

      CHAPTER 22.7.  RADIO FREQUENCY IDENTIFICATION

   22650.  A private entity may not use an electronic product code
system that uses radio frequency identification (RFID) tags attached
to consumer products or an RFID reader that enables the user to
collect information from RFID tags attached to consumer products to
gather, store, use, or share information that could be used to
identify an individual, unless all of the following conditions are
met:
   (a) The information is collected only to the extent permitted by
law.
   (b) The information has been provided by a customer for the
purpose of completing a transaction to purchase or rent an item
containing an RFID tag at a retail store.
   (c) The information is not collected at any time before a customer
actually initiates a transaction to purchase or rent an item or at
any time after the customer completes the transaction.
   (d) The information regards only a customer who actually presents
the item for purchase or rent, and is in regard only to that item.
   22651.  A library may not  use an electronic product code
system that  uses radio frequency identification (RFID) tags
attached to circulating materials  only  to collect,
store, use, or share information that could be used to identify a
borrower  if   unless  all of the following
conditions are met:
   (a) The information is collected only to the extent permitted by
law.
   (b) The information has been  voluntarily  provided by
the borrower for the purpose of  registering to use the library's
collections and services or for the purpose of  borrowing an
item  from the library, including an item  containing an
RFID tag  at the library  .
   (c) The information is not collected at any time before the
borrower actually attempts to borrow the item or at any time after
the customer completes the transaction to borrow the item containing
the RFID tag.
   (d) The information is collected with regards only to a borrower
who actually attempts to borrow the item and is in regard only to
that item.