2023 -- S 0425
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LC000523
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S TATE OF RHODE IS LAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2023
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A N A C T
RELATING TO CRIMINAL OFFENSES -- IDENTITY THEFT PROTECTION ACT OF 2015
Introduced By: Senators DiPalma, Zurier, Burke, Sosnowski, Kallman, Euer, Acosta,
Britto, de la Cruz, and Ujifusa
Date Introduced: February 16, 2023
Referred To: Senate Labor
It is enacted by the General Assembly as follows:
SECTION 1. Sections 11-49.3-3 and 11-49.3-4 of the General Laws in Chapter 11-49.3 1
entitled "Identity Theft Protection Act of 2015" are hereby amended to read as follows: 2
11-49.3-3. Definitions. 3
(a) The following definitions apply to this section: 4
(1) “Breach of the security of the system” means unauthorized access or acquisition of 5
unencrypted, computerized data information that compromises the security, confidentiality, or 6
integrity of personal information maintained by the municipal agency, state agency, or person. 7
Good-faith acquisition of personal information by an employee or agent of the agency for the 8
purposes of the agency is not a breach of the security of the system; provided, that the personal 9
information is not used or subject to further unauthorized disclosure. 10
(2) “Classified data” means any data that is not public (private, sensitive, confidential). 11
Classified data requires additional security controls, such as access restrictions and encryption. 12
Classified data includes personally identifiable information (PII), personally identifiable health 13
information (PHI) or federal tax information (FTI). 14
(3) “Cybersecurity incident” means unauthorized access that could jeopardize the 15
confidentiality, integrity or availability of critical information systems and critical infrastructure 16
systems (i.e., first responder networks, water, energy). 17
(2)(4) “Encrypted” means the transformation of data through the use of a one hundred 18
twenty-eight (128) bit or higher algorithmic process into a form in which there is a low probability 19
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of assigning meaning without use of a confidential process or key. Data shall not be considered to 1
be encrypted if it is acquired in combination with any key, security code, or password that would 2
permit access to the encrypted data. 3
(3)(5) “Health insurance information” means an individual’s health insurance policy 4
number, subscriber identification number, or any unique identifier used by a health insurer to 5
identify the individual. 6
(4)(6) “Medical information” means any information regarding an individual’s medical 7
history, mental or physical condition, or medical treatment or diagnosis by a healthcare professional 8
or provider. 9
(5)(7) “Municipal agency” means any department, division, agency, commission, board, 10
office, bureau, authority, quasi-public authority, or school, fire, or water district within Rhode 11
Island, other than a state agency, and any other agency that is in any branch of municipal 12
government and exercises governmental functions other than in an advisory nature. 13
(6)(8) “Owner” means the original collector of the information. 14
(7)(9) “Person” shall include any individual, sole proprietorship, partnership, association, 15
corporation, joint venture, business, legal entity, trust, estate, cooperative, or other commercial 16
entity. 17
(8)(10) “Personal information” means an individual’s first name or first initial and last 18
name in combination with any one or more of the following data elements, when the name and the 19
data elements are not encrypted or are in hard copy, paper format: 20
(i) Social security number; 21
(ii) Driver’s license number, Rhode Island identification card number, or tribal 22
identification number; 23
(iii) Account number, credit, or debit card number, in combination with any required 24
security code, access code, password, or personal identification number, that would permit access 25
to an individual’s financial account; 26
(iv) Medical or health insurance information; or 27
(v) E-mail address with any required security code, access code, or password that would 28
permit access to an individual’s personal, medical, insurance, or financial account. 29
(9)(11) “Remediation service provider” means any person who or that, in the usual course 30
of business, provides services pertaining to a consumer credit report including, but not limited to, 31
credit report monitoring and alerts, that are intended to mitigate the potential for identity theft. 32
(10)(12) “State agency” means any department, division, agency, commission, board, 33
office, bureau, authority, or quasi-public authority within Rhode Island; either branch of the Rhode 34
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Island general assembly or an agency or committee thereof; the judiciary; or any other agency that 1
is in any branch of Rhode Island state government and that exercises governmental functions other 2
than in an advisory nature. 3
(b) For purposes of this section, personal information does not include publicly available 4
information that is lawfully made available to the general public from federal, state, or local 5
government records. 6
(c) For purposes of this section, “notice” may be provided by one of the following methods: 7
(i) Written notice; 8
(ii) Electronic notice, if the notice provided is consistent with the provisions regarding 9
electronic records and signatures set forth in 15 U.S.C. § 7001; or 10
(iii) Substitute notice, if the municipal agency, state agency, or person demonstrates that 11
the cost of providing notice would exceed twenty-five thousand dollars ($25,000), or that the 12
affected class of subject persons to be notified exceeds fifty thousand (50,000), or the municipal 13
agency, state agency, or person does not have sufficient contact information. Substitute notice shall 14
consist of all of the following: 15
(A) E-mail notice when the municipal agency, state agency, or person has an e-mail address 16
for the subject persons; 17
(B) Conspicuous posting of the notice on the municipal agency’s, state agency’s or 18
person’s website page, if the municipal agency, state agency, or person maintains one; and 19
(C) Notification to major statewide media. 20
11-49.3-4. Notification of breach. 21
(a)(1) Any municipal agency, state agency, or person that stores, owns, collects, processes, 22
maintains, acquires, uses, or licenses data that includes personal information shall provide 23
notification as set forth in this section of any disclosure of personal information, or any breach of 24
the security of the system, that poses a significant risk of identity theft to any resident of Rhode 25
Island whose personal information was, or is reasonably believed to have been, acquired by an 26
unauthorized person or entity. 27
(2) The notification shall be made in the most expedient time possible, but no later than 28
forty-five (45) fifteen (15) calendar days after confirmation of the breach and the ability to ascertain 29
the information required to fulfill the notice requirements contained in subsection (d) of this section, 30
and shall be consistent with the legitimate needs of law enforcement as provided in subsection (c) 31
of this section. In the event that more than five hundred (500) Rhode Island residents are to be 32
notified, the municipal agency, state agency, or person shall notify the attorney general and the 33
major credit reporting agencies as to the timing, content, and distribution of the notices and the 34
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approximate number of affected individuals. Notification to the attorney general and the major 1
credit reporting agencies shall be made without delaying notice to affected Rhode Island residents. 2
Where affected employees are represented by a labor union through a collective bargaining 3
agreement, the employer shall also notify the collective bargaining agent, or designee, of such 4
breaches. 5
(b) The notification required by this section may be delayed if a federal, state, or local law 6
enforcement agency determines that the notification will impede a criminal investigation. The 7
federal, state, or local law enforcement agency must notify the municipal agency, state agency, or 8
person of the request to delay notification without unreasonable delay. If notice is delayed due to 9
such determination, then, as soon as the federal, state, or municipal law enforcement agency 10
determines and informs the municipal agency, state agency, or person that notification no longer 11
poses a risk of impeding an investigation, notice shall be provided as soon as practicable pursuant 12
to subsection (a)(2). The municipal agency, state agency, or person shall cooperate with federal, 13
state, or municipal law enforcement in its investigation of any breach of security or unauthorized 14
acquisition or use, which shall include the sharing of information relevant to the incident; provided 15
however, that such disclosure shall not require the disclosure of confidential business information 16
or trade secrets. 17
(c) Any municipal agency, state agency, or person required to make notification under this 18
section and fails to do so is liable for a violation as set forth in § 11-49.3-5. 19
(d) The notification to individuals must include the following information to the extent 20
known: 21
(1) A general and brief description of the incident, including how the security breach 22
occurred and the number of affected individuals; 23
(2) The type of information that was subject to the breach; 24
(3) Date of breach, estimated date of breach, or the date range within which the breach 25
occurred; 26
(4) Date that the breach was discovered; 27
(5) A clear and concise description of any remediation services offered to affected 28
individuals including toll free numbers and websites to contact: 29
(i) The credit reporting agencies; 30
(ii) Remediation service providers; 31
(iii) The attorney general; and 32
(6) A clear and concise description of the consumer’s ability to file or obtain a police report; 33
how a consumer requests a security freeze and the necessary information to be provided when 34
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requesting the security freeze; and that fees may be required to be paid to the consumer reporting 1
agencies. 2
(e) Remediation services to be provided and to be described pursuant to the provisions of 3
subsection (d)(5) of this section shall include, but not be limited to: 4
(1) Individuals eighteen (18) years of age and older, a minimum of five (5) years of 5
coverage; and 6
(2) Individuals under eighteen (18) years of age, coverage until age eighteen (18), and no 7
less than two (2) years of coverage beyond age eighteen (18). 8
SECTION 2. Chapter 11-49.3 of the General Laws entitled "Identity Theft Protection Act 9
of 2015" is hereby amended by adding thereto the following section: 10
11-49.3-7. Notification of cybersecurity incident. 11
(a) Any municipal agency, state agency, or person that detects a cybersecurity incident 12
shall provide notification to the Rhode Island state police upon detection of the cybersecurity 13
incident within twenty-four (24) hours. 14
(b) Any municipal agency, state agency, or person required to make notification under this 15
section and fails to do so may be liable for a violation as set forth in § 11-49.3-5. 16
(c) The notification shall include, at a minimum, the following information to the extent 17
known: 18
(1) A general and brief description of the incident, including how the cybersecurity incident 19
occurred; and 20
(2) The date of cybersecurity incident, estimated date of cybersecurity incident, or the date 21
range within which the cybersecurity incident occurred. 22
SECTION 3. This act shall take effect upon passage. 23
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO CRIMINAL OFFENSES -- IDENTITY THEFT PROTECTION ACT OF 2015
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This act would provide identity theft protections by requiring reporting of breaches by 1
certain municipal and state agencies, and would require notice to collective bargaining agents 2
where required and requires an explanation of remediation services. Cybersecurity incidents would 3
be reported to the Rhode Island state police. 4
This act would take effect upon passage. 5
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