Amended in Assembly July 13, 2015

Amended in Assembly July 2, 2015

Amended in Senate April 22, 2015

Senate BillNo. 34


Introduced by Senator Hill

(Coauthor: Assembly Member Gatto)

December 1, 2014


An act to amend Sections 1798.29 and 1798.82 of, and to add Title 1.81.23 (commencing with Section 1798.90.5) to Part 4 of Division 3 of, the Civil Code, relating to personal information.

LEGISLATIVE COUNSEL’S DIGEST

SB 34, as amended, Hill. Automated license plate recognition systems: use of data.

(1) Existing law authorizes the Department of the California Highway Patrol to retain license plate data captured by license plate recognition (LPR) technology, also referred to as an automated license plate recognition (ALPR) system, for not more than 60 days unless the data is being used as evidence or for the investigation of felonies. Existing law prohibits the department from selling the data or from making the data available to an agency that is not a law enforcement agency or an individual that is not a law enforcement officer.

Existing law authorizes the department to use LPR data for the purpose of locating vehicles or persons reasonably suspected of being involved in the commission of a public offense, and requires the department to monitor the internal use of the data to prevent unauthorized use and to submit to the Legislature, as a part of the annual automobile theft report, information on the department’s LPR practices and usage.

This bill would impose specified requirements on an “ALPR operator” as defined, including, among others, maintaining reasonable security procedures and practices to protect ALPR information and implementing a usage and privacy policy with respect to that information, as specified. The bill would impose similar requirements on an “ALPR end-user,” as defined.

The bill would require an ALPR operator that accesses or provides access to ALPR information to maintain a specified record of thatbegin delete access.end deletebegin insert access and require that ALPR information only be used for authorized purposes.end insert

The bill would, in addition to any other sanctions, penalties, or remedies provided by law, authorize an individual who has been harmed by a violation of these provisions to bring a civil action in any court of competent jurisdiction against a person who knowingly caused the harm.

The bill would require a public agency, as defined, that operates or intends to operate an ALPR system to provide an opportunity for public comment at a regularly scheduled public meeting of the governing body of the public agency before implementing the program. The bill would also prohibit a public agency from selling, sharing, or transferring ALPR information, except to another public agency, as specified.

(2) Existing law requires any agency, and any person or business conducting business in California, that owns or licenses computerized data that includes personal information, as defined, to disclose in specified ways, any breach of the security of the system or data, as defined, following discovery or notification of the security breach, to any California resident whose unencrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person. Existing law defines “personal information” for these purposes to include an individual’s first name and last name, or first initial and last name, in combination with one or more designated data elements relating to, among other things, social security numbers, driver’s license numbers, financial accounts, and medical information.

This bill would include information or data collected through the use or operation of an automated license plate recognition system, when that information is not encrypted and is used in combination with an individual’s name, in the definition of “personal information” discussed above.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P3    1

SECTION 1.  

Section 1798.29 of the Civil Code is amended
2to read:

3

1798.29.  

(a) Any agency that owns or licenses computerized
4data that includes personal information shall disclose any breach
5of the security of the system following discovery or notification
6of the breach in the security of the data to any resident of California
7whose unencrypted personal information was, or is reasonably
8believed to have been, acquired by an unauthorized person. The
9disclosure shall be made in the most expedient time possible and
10without unreasonable delay, consistent with the legitimate needs
11of law enforcement, as provided in subdivision (c), or any measures
12necessary to determine the scope of the breach and restore the
13reasonable integrity of the data system.

14(b) Any agency that maintains computerized data that includes
15personal information that the agency does not own shall notify the
16owner or licensee of the information of any breach of the security
17of the data immediately following discovery, if the personal
18information was, or is reasonably believed to have been, acquired
19by an unauthorized person.

20(c) The notification required by this section may be delayed if
21a law enforcement agency determines that the notification will
22impede a criminal investigation. The notification required by this
23section shall be made after the law enforcement agency determines
24that it will not compromise the investigation.

25(d) Any agency that is required to issue a security breach
26notification pursuant to this section shall meet all of the following
27requirements:

28(1) The security breach notification shall be written in plain
29language.

30(2) The security breach notification shall include, at a minimum,
31the following information:

32(A) The name and contact information of the reporting agency
33subject to this section.

34(B) A list of the types of personal information that were or are
35reasonably believed to have been the subject of a breach.

36(C) If the information is possible to determine at the time the
37notice is provided, then any of the following: (i) the date of the
38breach, (ii) the estimated date of the breach, or (iii) the date range
P4    1within which the breach occurred. The notification shall also
2include the date of the notice.

3(D) Whether the notification was delayed as a result of a law
4enforcement investigation, if that information is possible to
5determine at the time the notice is provided.

6(E) A general description of the breach incident, if that
7information is possible to determine at the time the notice is
8provided.

9(F) The toll-free telephone numbers and addresses of the major
10credit reporting agencies, if the breach exposed a social security
11number or a driver’s license or California identification card
12number.

13(3) At the discretion of the agency, the security breach
14notification may also include any of the following:

15(A) Information about what the agency has done to protect
16individuals whose information has been breached.

17(B) Advice on steps that the person whose information has been
18breached may take to protect himself or herself.

19(4) In the case of a breach of the security of the system involving
20personal information defined in paragraph (2) of subdivision (g)
21for an online account, and no other personal information defined
22in paragraph (1) of subdivision (g), the agency may comply with
23this section by providing the security breach notification in
24electronic or other form that directs the person whose personal
25information has been breached to promptly change his or her
26password and security question or answer, as applicable, or to take
27other steps appropriate to protect the online account with the
28agency and all other online accounts for which the person uses the
29same user name or email address and password or security question
30or answer.

31(5) In the case of a breach of the security of the system involving
32personal information defined in paragraph (2) of subdivision (g)
33 for login credentials of an email account furnished by the agency,
34the agency shall not comply with this section by providing the
35security breach notification to that email address, but may, instead,
36comply with this section by providing notice by another method
37described in subdivision (i) or by clear and conspicuous notice
38delivered to the resident online when the resident is connected to
39the online account from an Internet Protocol address or online
P5    1location from which the agency knows the resident customarily
2accesses the account.

3(e) Any agency that is required to issue a security breach
4notification pursuant to this section to more than 500 California
5residents as a result of a single breach of the security system shall
6electronically submit a single sample copy of that security breach
7notification, excluding any personally identifiable information, to
8the Attorney General. A single sample copy of a security breach
9notification shall not be deemed to be within subdivision (f) of
10Section 6254 of the Government Code.

11(f) For purposes of this section, “breach of the security of the
12system” means unauthorized acquisition of computerized data that
13compromises the security, confidentiality, or integrity of personal
14information maintained by the agency. Good faith acquisition of
15personal information by an employee or agent of the agency for
16the purposes of the agency is not a breach of the security of the
17system, provided that the personal information is not used or
18subject to further unauthorized disclosure.

19(g) For purposes of this section, “personal information” means
20either of the following:

21(1) An individual’s first name or first initial and last name in
22combination with any one or more of the following data elements,
23when either the name or the data elements are not encrypted:

24(A) Social security number.

25(B) Driver’s license number or California identification card
26number.

27(C) Account number, credit or debit card number, in
28combination with any required security code, access code, or
29password that would permit access to an individual’s financial
30account.

31(D) Medical information.

32(E) Health insurance information.

33(F) Information or data collected through the use or operation
34of an automated license plate recognition system, as defined in
35Section 1798.90.5.

36(2) A user name or email address, in combination with a
37password or security question and answer that would permit access
38to an online account.

39(h) (1) For purposes of this section, “personal information”
40does not include publicly available information that is lawfully
P6    1made available to the general public from federal, state, or local
2government records.

3(2) For purposes of this section, “medical information” means
4any information regarding an individual’s medical history, mental
5or physical condition, or medical treatment or diagnosis by a health
6care professional.

7(3) For purposes of this section, “health insurance information”
8means an individual’s health insurance policy number or subscriber
9identification number, any unique identifier used by a health insurer
10to identify the individual, or any information in an individual’s
11application and claims history, including any appeals records.

12(i) For purposes of this section, “notice” may be provided by
13one of the following methods:

14(1) Written notice.

15(2) Electronic notice, if the notice provided is consistent with
16the provisions regarding electronic records and signatures set forth
17in Section 7001 of Title 15 of the United States Code.

18(3) Substitute notice, if the agency demonstrates that the cost
19of providing notice would exceed two hundred fifty thousand
20dollars ($250,000), or that the affected class of subject persons to
21be notified exceeds 500,000, or the agency does not have sufficient
22contact information. Substitute notice shall consist of all of the
23following:

24(A) Email notice when the agency has an email address for the
25subject persons.

26(B) Conspicuous posting of the notice on the agency’s Internet
27Web site page, if the agency maintains one.

28(C) Notification to major statewide media and the Office of
29Information Security within the Department of Technology.

30(j) Notwithstanding subdivision (i), an agency that maintains
31its own notification procedures as part of an information security
32policy for the treatment of personal information and is otherwise
33consistent with the timing requirements of this part shall be deemed
34to be in compliance with the notification requirements of this
35section if it notifies subject persons in accordance with its policies
36in the event of a breach of security of the system.

37(k) Notwithstanding the exception specified in paragraph (4) of
38subdivision (b) of Section 1798.3, for purposes of this section,
39“agency” includes a local agency, as defined in subdivision (a) of
40Section 6252 of the Government Code.

P7    1

SEC. 2.  

Section 1798.82 of the Civil Code is amended to read:

2

1798.82.  

(a) A person or business that conducts business in
3California, and that owns or licenses computerized data that
4includes personal information, shall disclose a breach of the
5security of the system following discovery or notification of the
6breach in the security of the data to a resident of California whose
7unencrypted personal information was, or is reasonably believed
8to have been, acquired by an unauthorized person. The disclosure
9shall be made in the most expedient time possible and without
10unreasonable delay, consistent with the legitimate needs of law
11enforcement, as provided in subdivision (c), or any measures
12necessary to determine the scope of the breach and restore the
13reasonable integrity of the data system.

14(b) A person or business that maintains computerized data that
15includes personal information that the person or business does not
16own shall notify the owner or licensee of the information of the
17breach of the security of the data immediately following discovery,
18if the personal information was, or is reasonably believed to have
19been, acquired by an unauthorized person.

20(c) The notification required by this section may be delayed if
21a law enforcement agency determines that the notification will
22impede a criminal investigation. The notification required by this
23section shall be made promptly after the law enforcement agency
24determines that it will not compromise the investigation.

25(d) A person or business that is required to issue a security
26breach notification pursuant to this section shall meet all of the
27following requirements:

28(1) The security breach notification shall be written in plain
29language.

30(2) The security breach notification shall include, at a minimum,
31the following information:

32(A) The name and contact information of the reporting person
33or business subject to this section.

34(B) A list of the types of personal information that were or are
35reasonably believed to have been the subject of a breach.

36(C) If the information is possible to determine at the time the
37notice is provided, then any of the following: (i) the date of the
38breach, (ii) the estimated date of the breach, or (iii) the date range
39within which the breach occurred. The notification shall also
40include the date of the notice.

P8    1(D) Whether notification was delayed as a result of a law
2enforcement investigation, if that information is possible to
3determine at the time the notice is provided.

4(E) A general description of the breach incident, if that
5information is possible to determine at the time the notice is
6provided.

7(F) The toll-free telephone numbers and addresses of the major
8credit reporting agencies if the breach exposed a social security
9number or a driver’s license or California identification card
10number.

11(G) If the person or business providing the notification was the
12source of the breach, an offer to provide appropriate identity theft
13prevention and mitigation services, if any, shall be provided at no
14cost to the affected person for not less than 12 months, along with
15all information necessary to take advantage of the offer to any
16person whose information was or may have been breached if the
17breach exposed or may have exposed personal information defined
18in subparagraphs (A) and (B) of paragraph (1) of subdivision (h).

19(3) At the discretion of the person or business, the security
20breach notification may also include any of the following:

21(A) Information about what the person or business has done to
22protect individuals whose information has been breached.

23(B) Advice on steps that the person whose information has been
24breached may take to protect himself or herself.

25(4) In the case of a breach of the security of the system involving
26personal information defined in paragraph (2) of subdivision (h)
27for an online account, and no other personal information defined
28in paragraph (1) of subdivision (h), the person or business may
29comply with this section by providing the security breach
30notification in electronic or other form that directs the person whose
31personal information has been breached promptly to change his
32or her password and security question or answer, as applicable, or
33to take other steps appropriate to protect the online account with
34the person or business and all other online accounts for which the
35person whose personal information has been breached uses the
36same user name or email address and password or security question
37or answer.

38(5) In the case of a breach of the security of the system involving
39personal information defined in paragraph (2) of subdivision (h)
40for login credentials of an email account furnished by the person
P9    1or business, the person or business shall not comply with this
2section by providing the security breach notification to that email
3address, but may, instead, comply with this section by providing
4notice by another method described in subdivision (j) or by clear
5and conspicuous notice delivered to the resident online when the
6resident is connected to the online account from an Internet
7Protocol address or online location from which the person or
8business knows the resident customarily accesses the account.

9(e) A covered entity under the federal Health Insurance
10Portability and Accountability Act of 1996 (42 U.S.C. Sec. 1320d
11et seq.) will be deemed to have complied with the notice
12requirements in subdivision (d) if it has complied completely with
13Section 13402(f) of the federal Health Information Technology
14for Economic and Clinical Health Act (Public Law 111-5).
15However, nothing in this subdivision shall be construed to exempt
16a covered entity from any other provision of this section.

17(f) A person or business that is required to issue a security breach
18notification pursuant to this section to more than 500 California
19residents as a result of a single breach of the security system shall
20electronically submit a single sample copy of that security breach
21notification, excluding any personally identifiable information, to
22the Attorney General. A single sample copy of a security breach
23notification shall not be deemed to be within subdivision (f) of
24Section 6254 of the Government Code.

25(g) For purposes of this section, “breach of the security of the
26system” means unauthorized acquisition of computerized data that
27compromises the security, confidentiality, or integrity of personal
28information maintained by the person or business. Good faith
29acquisition of personal information by an employee or agent of
30the person or business for the purposes of the person or business
31is not a breach of the security of the system, provided that the
32personal information is not used or subject to further unauthorized
33disclosure.

34(h) For purposes of this section, “personal information” means
35either of the following:

36(1) An individual’s first name or first initial and last name in
37combination with any one or more of the following data elements,
38when either the name or the data elements are not encrypted:

39(A) Social security number.

P10   1(B) Driver’s license number or California identification card
2number.

3(C) Account number, credit or debit card number, in
4combination with any required security code, access code, or
5password that would permit access to an individual’s financial
6account.

7(D) Medical information.

8(E) Health insurance information.

9(F) Information or data collected through the use or operation
10of an automated license plate recognition system, as defined in
11Section 1798.90.5.

12(2) A user name or email address, in combination with a
13password or security question and answer that would permit access
14to an online account.

15(i) (1) For purposes of this section, “personal information” does
16not include publicly available information that is lawfully made
17available to the general public from federal, state, or local
18government records.

19(2) For purposes of this section, “medical information” means
20any information regarding an individual’s medical history, mental
21 or physical condition, or medical treatment or diagnosis by a health
22care professional.

23(3) For purposes of this section, “health insurance information”
24means an individual’s health insurance policy number or subscriber
25identification number, any unique identifier used by a health insurer
26to identify the individual, or any information in an individual’s
27application and claims history, including any appeals records.

28(j) For purposes of this section, “notice” may be provided by
29one of the following methods:

30(1) Written notice.

31(2) Electronic notice, if the notice provided is consistent with
32the provisions regarding electronic records and signatures set forth
33in Section 7001 of Title 15 of the United States Code.

34(3) Substitute notice, if the person or business demonstrates that
35the cost of providing notice would exceed two hundred fifty
36thousand dollars ($250,000), or that the affected class of subject
37persons to be notified exceeds 500,000, or the person or business
38does not have sufficient contact information. Substitute notice
39shall consist of all of the following:

P11   1(A) Email notice when the person or business has an email
2address for the subject persons.

3(B) Conspicuous posting of the notice on the Internet Web site
4page of the person or business, if the person or business maintains
5one.

6(C) Notification to major statewide media.

7(k) Notwithstanding subdivision (j), a person or business that
8maintains its own notification procedures as part of an information
9security policy for the treatment of personal information and is
10otherwise consistent with the timing requirements of this part, shall
11be deemed to be in compliance with the notification requirements
12of this section if the person or business notifies subject persons in
13accordance with its policies in the event of a breach of security of
14the system.

15

SEC. 3.  

Title 1.81.23 (commencing with Section 1798.90.5)
16is added to Part 4 of Division 3 of the Civil Code, to read:

17 

18Title 1.81.23.  COLLECTION OF LICENSE PLATE
19INFORMATION

20

 

21

1798.90.5.  

The following definitions shall apply for purposes
22of this title:

23(a) “Automated license plate recognition end-user” or “ALPR
24end-user” means a person that accesses or uses an ALPR system,
25but does not include any of the following:

26(1) A transportation agency when subject to Section 31490 of
27the Streets and Highways Code.

28(2) A person that is subject to Sections 6801 to 6809, inclusive,
29of Title 15 of the United States Code and state or federal statutes
30or regulations implementing those sections, ifbegin delete both ofend delete thebegin delete following
31apply:end delete

32begin delete(A)end deletebegin deleteend deletebegin deleteTheend delete person is subject to compliance oversight by a state or
33federal regulatory agency with respect to those sections.

begin delete

34(B) The person has agreed to comply with and is subject to the
35privacy policy of the ALPR operator providing the information.

end delete

36(3) A person, other than a law enforcement agency, to whom
37information may be disclosed as a permissible use pursuant to
38Section 2721 of Title 18 of the United Statesbegin delete Code, if the person
39has agreed to comply with and is subject to the privacy policy of
40the ALPR operator providing the information.end delete
begin insert Code.end insert

P12   1(b) “Automated license plate recognition information,” or
2“ALPR information” means information or data collected through
3the use of an ALPR system.

4(c) “Automated license plate recognition operator” or “ALPR
5operator” means a person that operates an ALPR system, but does
6not include a transportation agency when subject to Section 31490
7of the Streets and Highways Code.

8(d) “Automated license plate recognition system” or “ALPR
9system” means a searchable computerized database resulting from
10the operation of one or more mobile or fixed cameras combined
11with computer algorithms to read and convert images of registration
12plates and the characters they contain into computer-readable data.

13(e) “Person” means any natural person, public agency,
14partnership, firm, association, corporation, limited liability
15company, or other legal entity.

16(f) “Public agency” means the state, any city, county, or city
17and county, or any agency or political subdivision of the state or
18a city, county, or city and county, including, but not limited to, a
19law enforcement agency.

20

1798.90.51.  

An ALPR operator shall do all of the following:

21(a) Maintain reasonable security procedures and practices,
22including operational, administrative, technical, and physical
23safeguards, to protect ALPR information from unauthorized access,
24destruction, use, modification, or disclosure.

25(b) (1) Implement a usage and privacy policy in order to ensure
26that the collection, use, maintenance, sharing, and dissemination
27of ALPR information is consistent with respect for individuals’
28privacy and civil liberties. The usage and privacy policy shall be
29available to the public in writing, and, if the ALPR operator has
30an Internet Web site, the usage and privacy policy shall be posted
31conspicuously on that Internet Web site.

32(2) The usage and privacy policy shall, at a minimum, include
33all of the following:

34(A) The authorized purposes for using the ALPR system and
35collecting ALPR information.

36(B) A description of the job title or other designation of the
37employees and independent contractors who are authorized to use
38or access the ALPR system, or to collect ALPR information. The
39policy shall identify the training requirements necessary for those
40authorized employees and independent contractors.

P13   1(C) A description of how the ALPR system will be monitored
2to ensure the security of the information and compliance with
3applicable privacy laws.

4(D) The purposes of, process for, and restrictions on, the sale,
5sharing, or transfer of ALPR information to other persons.

6(E) The title of the official custodian, or owner, of the ALPR
7 system responsible for implementing this section.

8(F) A description of the reasonable measures that will be used
9to ensure the accuracy of ALPR information and correct data errors.

10(G) The length of time ALPR information will be retained, and
11the process the ALPR operator will utilize to determine if and
12when to destroy retained ALPR information.

13

1798.90.52.  

If an ALPR operator accesses or provides access
14to ALPR information, the ALPR operator shallbegin delete maintainend deletebegin insert do both
15of the following:end insert

16begin insert(a)end insertbegin insertend insertbegin insertMaintainend insert a record of that access. At a minimum, the record
17shall include all of the following:

begin delete

18(a)

end delete

19begin insert(1)end insert The date and time the information is accessed.

begin delete

20(b)

end delete

21begin insert(2)end insert The license plate number or other data elements used to
22query the ALPR system.

begin delete

23(c)

end delete

24begin insert(3)end insert The username of the person who accesses the information,
25and, as applicable, the organization or entity with whom the person
26is affiliated.

begin delete

27(d)

end delete

28begin insert(4)end insert The purpose for accessing the information.

begin insert

29(b) Require that ALPR information only be used for the
30authorized purposes described in the usage and privacy policy
31required by subdivision (b) of Section 1798.90.51.

end insert
32

1798.90.53.  

An ALPR end-user shall do all of the following:

33(a) Maintain reasonable security procedures and practices,
34including operational, administrative, technical, and physical
35safeguards, to protect ALPR information from unauthorized access,
36destruction, use, modification, or disclosure.

37(b) (1) Implement a usage and privacy policy in order to ensure
38that the access, use, sharing, and dissemination of ALPR
39information is consistent with respect for individuals’ privacy and
40civil liberties. The usage and privacy policy shall be available to
P14   1the public in writing, and, if the ALPR end-user has an Internet
2Web site, the usage and privacy policy shall be posted
3conspicuously on that Internet Web site.

4(2) The usage and privacy policy shall, at a minimum, include
5all of the following:

6(A) The authorized purposes for accessing and using ALPR
7information.

8(B) A description of the job title or other designation of the
9employees and independent contractors who are authorized to
10access and use ALPR information. The policy shall identify the
11training requirements necessary for those authorized employees
12and independent contractors.

13(C) A description of how the ALPR system will be monitored
14to ensure the security of the information accessed or used, and
15 compliance with all applicable privacy laws and a process for
16periodic system audits.

17(D) The purposes of, process for, and restrictions on, the sale,
18sharing, or transfer of ALPR information to other persons.

19(E) The title of the official custodian, or owner, of the ALPR
20information responsible for implementing this section.

21(F) A description of the reasonable measures that will be used
22to ensure the accuracy of ALPR information and correct data errors.

23(G) The length of time ALPR information will be retained, and
24the process the ALPR end-user will utilize to determine if and
25when to destroy retained ALPR information.

26

1798.90.54.  

(a) In addition to any other sanctions, penalties,
27or remedies provided by law, an individual who has been harmed
28by a violation of this title, including, but not limited to,
29unauthorized access or use of ALPR information or a breach of
30security of an ALPR system, may bring a civil action in any court
31of competent jurisdiction against a person who knowingly caused
32the harm.

33(b) The court may award a combination of any one or more of
34the following:

35(1) Actual damages, but not less than liquidated damages in the
36amount of two thousand five hundred dollars ($2,500).

37(2) Punitive damages upon proof of willful or reckless disregard
38of the law.

39(3) Reasonable attorney’s fees and other litigation costs
40reasonably incurred.

P15   1(4) Other preliminary and equitable relief as the court determines
2to be appropriate.

3

1798.90.55.  

Notwithstanding any other law or regulation:

4(a) A public agency that operates or intends to operate an ALPR
5system shall provide an opportunity for public comment at a
6regularly scheduled public meeting of the governing body of the
7public agency before implementing the program.

8(b) A public agency shall not sell, share, or transfer ALPR
9information, except to another public agency, and only as otherwise
10permitted by law. For purposes of this section, the provision of
11data hostingbegin insert or towingend insert services shall not be considered the sale,
12sharing, or transferring of ALPR information.



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