By: Deshotel (Senate Sponsor - Carona) H.B. No. 346
(In the Senate - Received from the House May 1, 2013;
May 2, 2013, read first time and referred to Committee on Business
and Commerce; May 15, 2013, reported adversely, with favorable
Committee Substitute by the following vote: Yeas 9, Nays 0;
May 15, 2013, sent to printer.)
COMMITTEE SUBSTITUTE FOR H.B. No. 346 By: Carona
A BILL TO BE ENTITLED
AN ACT
relating to the accessing and use of electronically readable
personal identification information obtained from driver's
licenses or personal identification certificates.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 521.126, Transportation Code, is amended
by amending Subsections (b) and (e) and adding Subsection (l) to
read as follows:
(b) Except as provided by Subsections (d), (e), (g), (i),
and (j), and Section 501.101, Business & Commerce Code, a person
commits an offense if the person:
(1) accesses or uses electronically readable
information derived from a driver's license, commercial driver's
license, or personal identification certificate; or
(2) compiles or maintains a database of electronically
readable information derived from driver's licenses, commercial
driver's licenses, or personal identification certificates.
(e) The prohibition provided by Subsection (b) [(b)(1)]
does not apply to a financial institution or a business that:
(1) accesses or uses electronically readable
information [if the information is accessed and used only] for
purposes of identification verification of an individual or check
verification at the point of sale for a purchase of a good or
service by check;
(2) accesses or uses electronically readable
information as part of a transaction initiated by the license or
certificate holder to provide information to a check services
company or fraud prevention services company governed by the Fair
Credit Reporting Act (15 U.S.C. Section 1681 et seq.) for the
purpose of effecting, administering, or enforcing the transaction;
(3) is a check services company or a fraud prevention
services company governed by the Fair Credit Reporting Act (15
U.S.C. Section 1681 et seq.) that accesses or uses electronically
readable information or compiles or maintains a database of that
information for the purpose of effecting, administering, or
enforcing the transaction; or
(4) is [. The prohibition provided by Subsection
(b)(2) does not apply to] a financial institution that compiles or
maintains a database of electronically readable information, if
each license or certificate holder whose information is included in
the compilation or database consents to the inclusion of the
person's information in the compilation or database[. Consent
under this subsection must be] on a separate document, signed by the
license or certificate holder, that explains in at least 14-point
bold type the information that will be included in the compilation
or database.
(l) For the purposes of this section [subsection],
"financial institution" has the meaning assigned by 31 U.S.C.
Section 5312(a)(2)[, as amended].
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2013.
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