OK
Oklahoma House Bill HB2931

Oklahoma 2022 Regular Session

Oklahoma House Bill HB2931 Compare Versions

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2828 STATE OF OKLAHOMA
2929
3030 1st Session of the 58th Legislature (2021)
3131
3232 HOUSE BILL 2931 By: Randleman
3333
3434
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3838 AS INTRODUCED
3939
4040 An Act relating to human trafficking and child
4141 exploitation; creating the Human Trafficking and
4242 Child Exploitation Prevention Act; defining terms;
4343 directing retailers of Internet -enabled devices to
4444 equip products with certain filters; requiring
4545 retailers of Internet -enabled devices to ensure
4646 functionality of filters; establishing reporting
4747 requirements; prohibiting retailers from sharing
4848 filter deactivation information with consumers;
4949 providing for a one-time filter deactivation fee;
5050 providing for remittance of fee; directing the
5151 Oklahoma Tax Commission to deposit fee into certain
5252 revolving fund; providing purpose of fee; providing
5353 construing provision; directing the Attorney General
5454 to prepare and make available certain form; requiring
5555 retailers to use due care to protect privacy rights
5656 of adult consumers; prohibiting disclosure of
5757 personal identification information; providing for
5858 the unblocking of websites under certain
5959 circumstances; authorizing consumers to seek certain
6060 judicial relief; providing for attorney fees and
6161 costs; providing for the filing of civil actions when
6262 filters are breached; providing for attorney fees and
6363 costs; making retailers subject to penalties for
6464 deceptive trade practices; providing an affirmative
6565 defense; making certain acts unlawful; providing
6666 penalties; providing exemptions to provision of the
6767 act; establishing the Oklahoma Human Trafficking and
6868 Child Exploitation Prevention Revolving Fund; stating
6969 purpose of the fund; directing the Attorney General
7070 to utilize funds for specific needs and services;
7171 providing for the use of accrued interest amounts and
7272 remaining balances in the revolving fund; directing
7373 the Attorney General to evaluate activities of grant
7474 recipients and submit annual reports to certain state
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101101 officials; specifying contents of annual report;
102102 authorizing the Attorney General to establish
103103 eligibility requirements for grant recipients;
104104 imposing fee for customers entering live adult
105105 entertainment establishment s; directing remittance of
106106 said fee on a quarterly basis to the Tax Commission;
107107 directing deposit of fee into certain revolving fund;
108108 stating purpose of admission fee; directing live
109109 adult entertainment establishments to record daily
110110 number of customers; requiring the maintenance of
111111 certain records; providing for the inspection and
112112 auditing of records by the Tax Commission; providing
113113 discretion on collect ing and remitting admission fee;
114114 providing for codification; and providing an
115115 effective date.
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121121 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
122122 SECTION 1. NEW LAW A new section of law to be codified
123123 in the Oklahoma Statutes as Section 1031 of Title 15, unless there
124124 is created a duplication in numbering, reads as follows:
125125 Sections 1 through 8 of this act shall be known and may be cited
126126 as the "Human Trafficking and Child Exploitation Prevention Act ".
127127 SECTION 2. NEW LAW A new section of l aw to be codified
128128 in the Oklahoma Statutes as Section 1032 of Title 15, unless there
129129 is created a duplication in numbering, reads as follows:
130130 As used in the Human Trafficking and Child Exp loitation
131131 Prevention Act:
132132 1. "Cellular telephone" means a communication device containing
133133 a unique electronic serial number that is programmed into its
134134 computer chip by its manufacturer and whose operation is dependent
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161161 on the transmission of that electronic serial number along with a
162162 mobile identification number, which is assigned by the cellular
163163 telephone carrier, in the form of radio signals through cell sites
164164 and mobile switching stations;
165165 2. "Child pornography" has the same meaning as provided for in
166166 Section 1024.1 of Title 21 of the Oklahoma Statutes ;
167167 3. "Computer" means an electronic, magnetic, optical,
168168 electrochemical, or other high -speed data-processing device
169169 performing logical, arithmetic or storage functions, and includes
170170 any data storage facility or communications facility directly
171171 related to or operating in c onjunction with such device, but such
172172 term does not include an automated typewriter or typesetter, a
173173 portable handheld calculator, or other similar device;
174174 4. "Consumer" means an individual, business or entity that
175175 purchases or leases for personal, family or household purposes or
176176 any other reason an Internet-enabled device;
177177 5. "Data communications device " means an electronic device that
178178 receives electronic information from one source and transmits or
179179 routes it to another including, but not limited to, any such bridge,
180180 router, switch or gateway;
181181 6. "Filter" means digital blocking capability, hardware or
182182 software that restricts or blocks Internet access to websites,
183183 electronic mail, chat or other Internet-based communications based
184184 on category, site or con tent and may include a digital blinder rack
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211211 that can be deactivated by a retailer upon the satisfaction of
212212 certain nominal conditions;
213213 7. "Harmful to minors" has the same meaning as provided for in
214214 Section 1040.75 of Title 21 of the Oklahoma Statutes;
215215 8. "Human trafficking" has the same meaning as provided for in
216216 Section 748 of Title 21 of the Oklahoma Statutes;
217217 9. "Internet" means the international computer network of
218218 interoperable packet switched data networks ;
219219 10. "Internet-enabled device" means a cellular telephone,
220220 computer, data communications device or other product manufactured,
221221 distributed or sold in this state that provides Internet access or
222222 plays a material role in distributing content on the Internet;
223223 11. "Internet service provider " means a person engaged in the
224224 business of providing a computer and communications facility through
225225 which a consumer may obtain access to the Internet. The term does
226226 not include a common carrier if it provides only telecommunication
227227 services;
228228 12. "Live adult entertainment establishment " means a business
229229 in which, as the major activity, customers congregate primarily for
230230 the purpose of viewing or associating with employees who display
231231 anatomical areas designed to provide sexual stim ulation or sexual
232232 gratification including, but not limited to , human genitals, the
233233 immediate pubic region or pubic hair , buttocks to the extent of
234234 exposing the immediate anal area , female breasts to points below the
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261261 nipples, male genitals in a state of erection even if covered with
262262 opaque clothing, and all of the aforementioned anatomical areas when
263263 covered only by transparent or diaphanous clothing;
264264 13. "Minor" means any unmarried person under the age of
265265 eighteen (18) years;
266266 14. "Nongovernment group" means a nonprofit organization exe mpt
267267 from federal income taxation pursuant to the provisions of the
268268 Internal Revenue Code Title 26, Section 501(c)(3), whose primary
269269 purpose is ending sexual violence in this state through programs
270270 dedicated to preventing sexual violence, outreach programs and
271271 technical assistance and support to youth and rape crisis centers
272272 working to prevent sexual violence. The term also includes
273273 individuals or group s that are doing anything to uphold community
274274 standards of decency;
275275 15. "Obscene material" has the same meaning as provided for in
276276 Section 1024.1 of Title 21 of the Oklahoma Statutes and includes
277277 Internet websites that:
278278 a. are known to facilitate human trafficking or
279279 prostitution, and
280280 b. display or depict images that are harmful to minors or
281281 that constitute sadomasochistic abuse, se xual
282282 excitement, sexual conduct or revenge pornography;
283283 16. "Personal identification information " means any
284284 information that identifies a person including a photograph, Social
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311311 Security number, driver license number, name, email addr ess, home
312312 address or telephone number of an individual;
313313 17. "Prostitution" has the same meaning as provided for in
314314 Section 1030 of Title 21 of the Oklahoma Statutes;
315315 18. "Retailer" means any person who regularly engages in the
316316 manufacturing, sale, offer for sale or lease of Internet -enabled
317317 devices or services in this state that make s content accessible on
318318 the Internet. The term includes Internet service providers;
319319 19. "Revenge pornography" means images promoting the exposure
320320 of a person which may be a criminal offense under the provisions of
321321 Section 1040.13b of Title 21 of the Oklahoma Statutes;
322322 20. "Sadomasochistic abuse " has the same meaning as provided
323323 for in Section 1040.75 of Title 21 of the Oklahoma Statutes;
324324 21. "Sexual conduct" has the same meaning as provided for in
325325 Section 1024.1 of Title 21 of the Oklahoma Statutes;
326326 22. "Sexual excitement" has the same meaning as provided for in
327327 Section 1040.75 of Title 21 of the Oklahoma Statutes; and
328328 23. "Social media website " means an Internet website o r
329329 application that enables users to communicate with each other by
330330 posting information, comments, messages or images and that meets all
331331 of the following requirements:
332332 a. is open to the public,
333333 b. has more than seventy-five million (75,000,000)
334334 subscribers,
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361361 c. from its inception, has not been specifically
362362 affiliated with any one religion or political party ,
363363 and
364364 d. provides a means for the users of its website to
365365 report obscene materials and has in place procedures
366366 for evaluating those reports and thereafter, removing
367367 said obscene material.
368368 SECTION 3. NEW LAW A new section of law to be codified
369369 in the Oklahoma Statutes as Section 1033 of Title 15, unless there
370370 is created a duplication in numbering, reads as follows:
371371 A. A retailer that manufactures, sells, offers for sale,
372372 leases, or distributes an Internet-enabled device shall ensure that
373373 the product is equipped with an active and operating filter prior to
374374 sale that blocks by default websites that:
375375 1. Are known to facilitate human tra fficking or prostitution;
376376 and
377377 2. Display child pornography, revenge pornography or obscene
378378 material harmful to minors.
379379 B. A retailer that manufactures, sel ls, offers for sale, leases
380380 or distributes an Internet -enabled device shall:
381381 1. Make reasonable and ongoing efforts to ensure that a
382382 product's filter functions properly;
383383 2. Establish a reporting mechanism, such as a website or call
384384 center, to allow a consumer to report unblocked websites displaying
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411411 content described in subsection A of this section or to report
412412 blocked websites that are not displaying content described in
413413 subsection A of this section;
414414 3. Report child pornography received through the reporting
415415 mechanism to the CyberTipline of the National Center for Missing and
416416 Exploited Children in acc ordance with the provisions of Section
417417 2258A of Title 18 of the United States Code; and
418418 4. Not block access to websites that:
419419 a. are social media websites that p rovide a means for
420420 users of the website to report obscene materials and
421421 have in place procedur es for evaluating those reports
422422 and removing the obscene material,
423423 b. serve primarily as a search engine, or
424424 c. display complete movies that meet the qualifications
425425 for a "G", "PG", "PG-13" or "R" rating by the
426426 Classification and Ratings Administration, as those
427427 qualifications existed on September 1, 2020.
428428 C. Except as provided by subsection D of this section, a
429429 retailer of an Internet -enabled device may not provide to a consumer
430430 methods, source code or other operating instructions for
431431 deactivating a product's filter.
432432 D. A retailer of an Internet -enabled device shall deactivate
433433 the filter after a consumer:
434434 1. Requests that the capability be disabled;
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461461 2. Presents personal identification information to verify that
462462 the consumer is eighteen (18) years of age or older;
463463 3. Acknowledges receiving a warning regarding the potential
464464 danger of deactivating the filter; and
465465 4. Pays a one-time, filter deactivation fee of Twenty Dollars
466466 ($20.00) to be remitted quarterly to the Oklahoma Tax Commission to
467467 be deposited into the Oklahoma Human Trafficking and Child
468468 Exploitation Prevention grant fund established under the provisions
469469 of Section 7 of this act.
470470 E. The filter deactivation fee provided for in paragraph 4 of
471471 subsection D of this section is not content based but shall be
472472 collected and remitted to the Oklahoma Tax Commission to help the
473473 state bear the costs of upholding community standards of decency and
474474 combating sex-related offenses and shall be used as set forth in
475475 subsection B of Section 7 of this act. The Tax Commission shall
476476 prescribe the administration, payment, collection and enforcement of
477477 the fee imposed by the provisions of paragraph 4 of subsection D of
478478 this section. The Tax Commission may annually adjust the one -time
479479 fee to account for inflation.
480480 F. Nothing in this act shall be construed to prevent a retailer
481481 of an Internet-enabled device from charging a reasonable , separate
482482 fee to deactivate the filter which may then be authorized to retain
483483 for profit.
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510510 G. The Attorney General shall prepare and make available to
511511 retailers a form that includes all content that must be in the
512512 warning described in paragraph 3 of subsection D of this section.
513513 H. Nothing in this act shall be construed to require a retailer
514514 of an Internet-enabled device to create a databas e or registry that
515515 contains the names or personal identification information of adults
516516 who knowingly chose to deactivate a product 's filter. A retailer of
517517 an Internet-enabled device shall take due care to protect the
518518 privacy rights of adult consumers unde r this section and shall not
519519 disclose the names or personal identification information of an
520520 adult consumer who decided to deactivate a product 's filter.
521521 SECTION 4. NEW LAW A new section of law to be codified
522522 in the Oklahoma Statute s as Section 1034 of Title 15, unless there
523523 is created a duplication in numbering, reads as follows:
524524 A. Pursuant to paragraph 2 of subsection B of Section 3 of this
525525 act, if a filter blocks a website that is not displaying content
526526 described in subsection A of Section 3 of this act and the block is
527527 reported to a call center or other reporting mechanism, the website
528528 shall be unblocked within a reasonable time, but in no event later
529529 than five (5) business days after the block is first reported. A
530530 consumer may seek judicial relief to unblock a website that was
531531 wrongfully blocked by the filter. The prevailing party in a civil
532532 litigation may seek attorney fees, costs and other forms of relief.
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559559 B. Pursuant to paragraph 2 of subsection B of Section 3 of this
560560 act, if a retailer of an Internet -enabled device is unresponsive to
561561 a report of a website displaying content described in subsection A
562562 of Section 3 of this act that has breached the filter, the Attorney
563563 General or a consumer may file a civil action. The Attorney General
564564 or a consumer may seek monetary damages of up to Five Hundred
565565 Dollars ($500.00) for each website that was reported but not
566566 subsequently blocked. The prevailing party in the civil action may
567567 seek attorney fees, costs and other forms of relief.
568568 C. A retailer of an Internet -enabled device that fails to
569569 comply with a duty described in subsections A and B of this section
570570 has engaged in an unfair and deceptive trade practice in violation
571571 of the Oklahoma Consumer Protection Act and may be subject to the
572572 penalties provided for therein.
573573 D. It shall be an affirmative defense in a civil action to a
574574 charge of violating this section that the dissemination of the
575575 content described in subsection A of Section 3 of this act was
576576 limited to institutions or organ izations having scientific,
577577 educational or other similar justifications for displaying the
578578 material.
579579 SECTION 5. NEW LAW A new section of law to be codified
580580 in the Oklahoma Statutes as Section 1035 of Title 15, unless there
581581 is created a duplication in numbering, reads as follows:
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608608 A. It shall be unlawful for a retailer of an Internet -enabled
609609 device to knowingly:
610610 1. Sell an Internet-enabled device without an activated filter
611611 that at least makes an attempt to block by default websites that
612612 display content described in subsection A of Section 3 of this act;
613613 2. Violate the provisions of subsection C of Section 3 of this
614614 act;
615615 3. Fail to comply with the requirements of subsection D of
616616 Section 3 of this act before deactivating a product 's filter; or
617617 4. Disclose to a third party the name or the personal
618618 identification information of adult consumers who have elected to
619619 deactivate a product 's filter in violation of subsection H of
620620 Section 3 of this act without a court order directing otherwis e.
621621 B. A retailer of an Internet -enabled device that commits an
622622 offense under the provisions of subsection A of this section shall ,
623623 upon conviction, be guilty of a misdemeanor subject to a fine not
624624 exceeding One Thousand Dollars ($1,000.00) , or by imprisonment in a
625625 county jail for a term not exceeding two (2) days, or by both such
626626 fine and imprisonment. A retailer convicted of a second violation
627627 shall be subject to a fine not exceeding Two Thousand Five Hundred
628628 Dollars ($2,500.00), or by imprisonment in a county jail for a term
629629 not exceeding ten (10) days, or by both such fine and imprisonment.
630630 A retailer convicted of a third o r subsequent offense shall be
631631 subject to a fine not exceeding Two Thousand Five Hundred Dollars
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658658 ($2,500.00), or by imprisonment in a county jail for a term not
659659 exceeding sixty (60) days, or by both such fine and imprisonment.
660660 C. A retailer of an Internet -enabled device that commits an
661661 offense under the provisions of subsection A of this section has
662662 engaged in an unfair and deceptive trade practice in violation of
663663 the Oklahoma Consumer Protection Act and may be subject to the
664664 penalties provided for therein.
665665 D. Only the Attorney General or a district attorney can enforce
666666 the provisions of this section.
667667 SECTION 6. NEW LAW A new section of law to be codified
668668 in the Oklahoma Statutes as Section 1036 of Title 15, unless there
669669 is created a duplication in numbering, reads as follows:
670670 A. The provisions of the Human Trafficking and Child
671671 Exploitation Prevention Act shal l not apply to:
672672 1. An occasional sale of an Internet -enabled device by a person
673673 who is not regularly engaged in the trade business of selling
674674 Internet-enabled devices;
675675 2. Products produced or sold before the effective date of this
676676 act; and
677677 3. Independent third-party routers that are not affiliated with
678678 an Internet service provider.
679679 B. The provisions of this act do not apply to a retailer of an
680680 Internet-enabled device that is not subje ct to the jurisdiction of
681681 this state.
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708708 SECTION 7. NEW LAW A new section of law to be codified
709709 in the Oklahoma Statutes as Section 1037 of Title 15, unless there
710710 is created a duplication in numbering, reads as follows:
711711 A. There is hereby created in the State Treasury a revolving
712712 fund for the Office of the Attorney General, to be designated as the
713713 "Oklahoma Human Trafficking and Child Exploitation Prevention
714714 Revolving Fund". The fund shall be a continuing fund, not subject
715715 to fiscal year limitations, and shall consist of filter deactivation
716716 fees collected by the Oklahoma Tax Commission from retailers of
717717 Internet-enabled devices pursuant to the provisions of paragraph 4
718718 of subsection D of Section 3 of this act , live adult entertainment
719719 admission fees collected by the Tax Commission from live adult
720720 entertainment establishments pursuant to the provisions of
721721 subsection A of Section 8 of this act and any other appropriations,
722722 gifts, grants, donations , bequests or monies designated to the fund
723723 by law. All monies accruing to the credit of said fund are hereby
724724 appropriated and may be budgeted and expended by the Attorney
725725 General for the following purposes:
726726 1. Promote throughout the state , the development of locally-
727727 based nonprofit programs for the survivors of sexual -related
728728 offenses and support for quality services to said survivors;
729729 2. Empower government and nongovernment entities working to
730730 uphold community standards of decency to protect children and
731731 strengthen families;
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758758 3. Prevent or offset the costs of sex-related offenses; and
759759 4. Maximize human flourishing and protect the safety, health
760760 and welfare of the public.
761761 The purposes can be interpreted broadly to meet the evolving needs
762762 of the state. Expenditures from said fund shall be made upon
763763 warrants issued by the State Treasurer against claims filed as
764764 prescribed by law with the Director of the Office of Management and
765765 Enterprise Services for approval and payment.
766766 B. Money deposited into the revolving fund may be used only by
767767 the Office of the Attorney General for grants to government and
768768 nongovernment entities and individuals that are working to uphold
769769 community standards of decency to protect children and strengthen
770770 families, that are developing, expanding or strengthening programs
771771 for victims of human t rafficking or child exploitation and
772772 specifically include the following:
773773 1. The needs of any human trafficking task force or anti-human
774774 trafficking coalition based in Oklahoma;
775775 2. The needs of the Department of Mental Health and Substance
776776 Abuse Services, District Attorney 's Council and the State Department
777777 of Health;
778778 3. The needs of the Oklahoma Crime Victims Compensation Board;
779779 4. Substance abuse services to persons with substance abuse
780780 problems;
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807807 5. Counselors and victim advocates who are trained to assist
808808 victims of domestic violence and sexual abuse ;
809809 6. Shelters for persons who have been exposed to prostitution
810810 or sex trafficking;
811811 7. Research-based organizations;
812812 8. Faith-based organizations working to uphold community
813813 standards of decency and assisting victims of human tra fficking or
814814 other sex offenses;
815815 9. Child advocacy centers;
816816 10. Organizations that provide legal advocacy to abused,
817817 neglected and at-risk children;
818818 11. Physical and mental health services ;
819819 12. Temporary and permanent housing placemen;
820820 13. Employment, placement, education an d training;
821821 14. Independent school distr icts;
822822 15. Family counseling and therapy ;
823823 16. Law enforcement;
824824 17. Musical, writing, design, cinematic or pictorial creative
825825 art projects that promote decency ;
826826 18. Regional nonprofit providers of civil legal serv ices to
827827 provide legal assistance for sexual assault victims ;
828828 19. Grants to support technology in rape crisis center s;
829829 20. Sexual violence awareness and prevention campaigns ;
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856856 21. Scholarships for students demonstrating outstanding
857857 character or leadership skills; and
858858 22. Any other state agency or organization for the purpose of
859859 conducting human trafficking enforcement programs or uphold ing
860860 community standards of decency.
861861 C. Interest accruing on investments and deposits of the fund
862862 shall be credited to th e fund, shall not revert to the general fund
863863 and shall be carried forward into the subsequent fiscal year.
864864 D. Any balance in the fund remaining unexpected at the end of a
865865 fiscal year shall not revert to the general fund but shall be
866866 carried forward into t he subsequent fiscal year.
867867 E. The Attorney General shall annually evaluate activities
868868 conducted under this section and shall, on or before the fifteenth
869869 of February of each year, submit an annual report containing the
870870 result of the evaluation to the President Pro Tempore of the
871871 Oklahoma State Senate and the Speaker of the Oklahoma House of
872872 Representatives. The report shall include:
873873 1. The amount of filter deactivation fees received under
874874 paragraph 4 of subsection D of Section 3 of this act;
875875 2. The amount of live adult entertainment admission fees
876876 received under subsection A of Section 8 of this act;
877877 3. The manner in which the monies deposited in the revolving
878878 fund are distributed; and
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905905 4. The manner in which the entities that received funds
906906 pursuant to subsection B of this section utilized said funds.
907907 F. The Attorney General shall be authorized to:
908908 1. Determine eligibility requirements for any grant awarded
909909 under the provisions of this section;
910910 2. Require a grant applicant to offer minimum services for a
911911 period of time before receiving said grant and continue to offer
912912 minimum services during the grant period; and
913913 3. Require a grant recipient to submit financial and
914914 programmatic reports.
915915 G. The Attorney General shall be prohibited from expend more
916916 than ten percent (10%) of the available funds on the administration
917917 of the fund.
918918 SECTION 8. NEW LAW A new section of law to be codified
919919 in the Oklahoma Statutes as Section 1038 of Title 15, unless there
920920 is created a duplication in numbe ring, reads as follows:
921921 A. Upon the effective date of this act, a n admission fee of
922922 Five Dollars ($5.00) shall be imposed for each entry by each
923923 customer admitted to a live adult entertainment establishment .
924924 B. The fee prescribed by subsection A of this section shall be
925925 remitted quarterly to the Oklahoma Tax Commission on such forms as
926926 the Commission may prescribe for such purpose. All required forms
927927 and remittances shall be filed with the Tax Commission no later than
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954954 the fifteenth day of the month follo wing the close of each calendar
955955 quarter.
956956 C. The Tax Commission shall apportion all revenues derived from
957957 the fee to the Oklahoma Human Trafficking and Child Exploitation
958958 Prevention Revolving Fund established in Section 7 of this act .
959959 D. The admission fee is not content-based but shall be imposed
960960 and remitted to the state to offset secondary harmful effects , to
961961 help the state uphold community standards of decency , to combat sex-
962962 related crimes and to be used as described in subsection B of
963963 Section 7 of this act.
964964 E. The admission fee shall be in addition to all other taxes
965965 imposed on the business that offers live adult entertainment.
966966 F. Each live adult entertainment establishment shall record
967967 daily in the manner required by the Tax Commission the number of
968968 customers admitted to the business. The business shall maintain the
969969 records for the period required by the Tax Commission and make the
970970 records available only for inspection and audit on request by the
971971 Tax Commission. The records shall not contain the na mes or personal
972972 information of any of the customers of the live adult entertainment
973973 establishment.
974974 G. This section shall not require a live adult entertainment
975975 establishment to impose a tax on customer s of the establishment.
976976 The live adult entertainment establishment shall have the discretion
977977 to determine the manner by which the establishment derives the funds
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10041004 required to pay the fee imposed under the provisions of this
10051005 section.
10061006 SECTION 9. This act shall become effective November 1, 2021.
10071007
10081008 58-1-5741 GRS 12/30/20