Texas 2017 - 85th Regular

Texas Senate Bill SB1185 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		By: West S.B. No. 1185
2		-	(In the Senate - Filed March 1, 2017; March 9, 2017, read
3		-	first time and referred to Committee on Criminal Justice;
4		-	May 3, 2017, reported favorably by the following vote: Yeas 7,
5		-	Nays 0; May 3, 2017, sent to printer.)
6		-	Click here to see the committee vote
7	2
8	3
9	4		A BILL TO BE ENTITLED
10	5		AN ACT
11	6		relating to criminal history record information obtained or
12	7		disseminated by certain private entities; providing a civil
13	8		penalty.
14	9		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	10		SECTION 1. Section 411.0851, Government Code, is amended by
16	11		amending Subsections (a) and (b) and adding Subsections (a-1) and
17	12		(d) to read as follows:
18	13		(a) This section applies only to a [A] private entity that:
19	14		(1) compiles and disseminates for compensation
20	15		criminal history record information of individuals; and
21	16		(2) provides the information described by Subdivision
22	17		(1) to a customer on request without verifying the information
23	18		after receipt of the request.
24	19		(a-1) A private entity described by Subsection (a) shall
25	20		destroy and may not disseminate any information in the possession
26	21		of the entity with respect to which the entity has received a
27	22		certified or noncertified copy of the order showing or notice from
28	23		the department that:
29	24		(1) an order of expunction has been issued under
30	25		Article 55.02, Code of Criminal Procedure; or
31	26		(2) an order of nondisclosure of criminal history
32	27		record information has been issued under Subchapter E-1.
33	28		(b) Except as otherwise provided by federal law [Unless the
34	29		entity is regulated by the federal Fair Credit Reporting Act (15
35	30		U.S.C. Section 1681 et seq.) or the Gramm-Leach-Bliley Act (15
36	31		U.S.C. Sections 6801 to 6809)], a private entity described by
37	32		Subsection (a) that purchases or otherwise obtains criminal history
38	33		record information that originates from the department, a custodian
39	34		of court records, or [from] another governmental agency or entity
40	35		in this state:
41	36		(1) may disseminate that information:
42	37		(A) [only] if, within the 60-day [90-day] period
43	38		preceding the date of dissemination, the entity verifies[:
44	39		[(A) originally obtains] that the information was
45	40		obtained from or verified by the department, a custodian of court
46	41		records, or another governmental agency or entity in this state
47	42		within that same 60-day period; or
48	43		(B) with a notice [receives] that the information
49	44		was received from the governmental source more than 60 days before
50	45		the date it is being provided and may not reflect the current state
51	46		of the criminal history record information and should be verified
52	47		before taking any action based on the information, to:
53	48		(i) a law enforcement agency; or
54	49		(ii) an investigations agency licensed
55	50		under Chapter 1702, Occupations Code, or similar statute of another
56	51		state or a consumer reporting agency for a purpose regulated under
57	52		the federal Fair Credit Reporting Act (15 U.S.C. Section 1681 et
58	53		seq.), if the recipient of the information has certified in writing
59	54		that the information will be used exclusively for the purpose of
60	55		generating investigative leads and will not be shared with any
61	56		other party unless verified as accurate and up to date under Section
62	57		20.071, Business & Commerce Code [as updated record information to
63	58		its database]; and
64	59		(2) shall on a quarterly basis notify the department
65	60		of the name and contact information of each similar entity to which
66	61		[if] the entity sold [sells] any compilation of the information in
67	62		the previous quarter [to another similar entity].
68	63		(d) Information reported to the department under Subsection
69	64		(b)(2) is not subject to Chapter 552.
70	65		SECTION 2. Subchapter F, Chapter 411, Government Code, is
71	66		amended by adding Sections 411.0852, 411.0853, 411.0854, and
72	67		411.0855 to read as follows:
73	68		Sec. 411.0852. ACCESS TO CRIMINAL HISTORY RECORD
74	69		INFORMATION MAINTAINED BY PRIVATE ENTITY; DISPUTES OF ACCURACY.
75	70		(a) On written request by a person who is the subject of criminal
76	71		history record information maintained by a private entity described
77	72		by Section 411.0851(a), the entity shall provide to the person a
78	73		copy of all records regarding that person maintained by the entity
79	74		not later than the 30th business day after the receipt of the
80	75		request.
81	76		(b) A person is entitled to receive one copy of the person's
82	77		criminal history record information pursuant to a request under
83	78		Subsection (a) at no charge to the person each calendar year. An
84	79		entity described by Section 411.0851(a) may charge a reasonable fee
85	80		for subsequent copies requested by the person within a calendar
86	81		year.
87	82		(c) If a person disputes the accuracy of any portion of the
88	83		person's criminal history record information maintained by a
89	84		private entity described by Section 411.0851(a), the person may
90	85		submit a written request to the entity for verification along with
91	86		any supporting documentation, including a copy of a court order, if
92	87		applicable. On receipt of a written request under this subsection,
93	88		the entity shall promptly initiate an investigation into the
94	89		accuracy of the disputed information. Not later than the 30th day
95	90		after the date the written request is received, the entity shall
96	91		complete the investigation, notify the person who is the subject of
97	92		the disputed information of the outcome of the investigation, and
98	93		correct the information as applicable.
99	94		(d) If a person disputes the criminal history record
100	95		information maintained by a private entity described by Section
101	96		411.0851(a) on the basis of an order of nondisclosure of criminal
102	97		history record information or an order of expunction, the person
103	98		may submit a written request to the entity for removal of the
104	99		person's information. Not later than the 15th day after receipt of
105	100		the request accompanied by a certified or uncertified copy of the
106	101		court order, the entity shall remove the information that is the
107	102		subject of the court order.
108	103		(e) A private entity described by Section 411.0851(a) that
109	104		fails to comply with Subsection (c) or (d) is liable for any damages
110	105		that are sustained as a result of the violation by the person who is
111	106		the subject of that information. A person who prevails in an action
112	107		brought under this subsection is also entitled to recover court
113	108		costs and reasonable attorney's fees.
114	109		Sec. 411.0853. PUBLIC DISCLOSURES BY PRIVATE ENTITIES;
115	110		CIVIL PENALTY. (a) Each private entity described by Section
116	111		411.0851(a) shall, not later than the 30th day after the date the
117	112		entity begins doing business in this state, disclose the entity's
118	113		name and contact information to the department in the form and
119	114		manner prescribed by the department.
120	115		(b) Disclosures required under this section are subject to
121	116		Chapter 552. The department shall publish the disclosures required
122	117		under this section on the department's Internet website.
123	118		(c) The department shall adopt rules to implement this
124	119		section.
125	120		(d) An entity that fails to comply with Subsection (a) is
126	121		liable to the state for a civil penalty of $500 for each violation.
127	122		Each day the violation continues constitutes a separate violation
128	123		for purposes of this subsection.
129	124		(e) At the request of the department, the attorney general
130	125		may bring an action to recover the civil penalty authorized by
131	126		Subsection (d). The attorney general and the department may
132	127		recover reasonable expenses incurred in obtaining the civil
133	128		penalty, including court costs, reasonable attorney's fees,
134	129		investigation costs, witness fees, and deposition expenses.
135	130		(f) A civil penalty collected under Subsection (d) shall be
136	131		deposited in the state treasury to the credit of the department for
137	132		the administration of this chapter.
138	133		Sec. 411.0854. DISCLOSURES BY PRIVATE ENTITIES TO
139	134		PURCHASERS OR OTHER RECIPIENTS. A private entity described by
140	135		Section 411.0851(a) shall disclose to each purchaser or recipient
141	136		of criminal history record information at the time the information
142	137		is provided:
143	138		(1) the name of the governmental entity from which the
144	139		information originated; and
145	140		(2) the date on which the information was last
146	141		received from or updated by the governmental entity.
147	142		Sec. 411.0855. DUTIES OF PURCHASER OR RECIPIENT OF CRIMINAL
148	143		HISTORY RECORD INFORMATION USED FOR EMPLOYMENT, LICENSING, OR
149	144		HOUSING. (a) In this section, "adverse decision" means a decision
150	145		to disqualify an individual or otherwise negatively affect the
151	146		eligibility of an individual for employment, licensing, or housing.
152	147		(b) A person who purchases, accesses, or otherwise receives
153	148		criminal history record information and uses the information as the
154	149		basis for an adverse decision regarding the individual who is the
155	150		subject of the information shall disclose to that individual the
156	151		name and contact information of the entity from which the person
157	152		received the information.
158	153		SECTION 3. Subchapter C, Chapter 20, Business & Commerce
159	154		Code, is amended by adding Section 20.071 to read as follows:
160	155		Sec. 20.071. FURNISHING OF CONSUMER REPORT FOR EMPLOYMENT
161	156		OR HOUSING PURPOSES; EXCEPTION FOR NATIONAL SECURITY
162	157		INVESTIGATION. (a) This section does not apply to the furnishing
163	158		of a consumer report to an agency or department of the federal
164	159		government that seeks to obtain and use the report for employment
165	160		purposes and whose agency or department head makes a written
166	161		finding as prescribed by 15 U.S.C. Section 1681b(b)(4)(A).
167	162		(b) A consumer reporting agency that compiles and reports
168	163		information related to a consumer's criminal history for purposes
169	164		of furnishing a consumer report for employment or housing purposes
170	165		shall implement and maintain strict procedures designed to ensure
171	166		that the criminal history record information reported is complete
172	167		and up to date. For purposes of this subsection, criminal history
173	168		record information contained in a consumer report is considered:
174	169		(1) complete if the information reflects:
175	170		(A) the offense alleged;
176	171		(B) the jurisdiction in which the criminal
177	172		history record information originated;
178	173		(C) the date of the arrest or filing of criminal
179	174		charges;
180	175		(D) the current status of any criminal case
181	176		proceeding, if charges have been filed; and
182	177		(E) the disposition of the case and the date of
183	178		that disposition, if applicable; and
184	179		(2) up to date if the information related to an arrest,
185	180		filing of criminal charges, or conviction or other disposition of
186	181		the case reflects the most recent public record status of the
187	182		information described by Subdivision (1) at the time the consumer
188	183		report is requested.
189	184		SECTION 4. (a) Section 411.0851, Government Code, as
190	185		amended by this Act, applies only to information disseminated on or
191	186		after the effective date of this Act. Information disseminated
192	187		before the effective date of this Act is governed by the law in
193	188		effect on the date the information was disseminated, and the former
194	189		law is continued in effect for that purpose.
195	190		(b) Not later than October 1, 2017, a private entity that
196	191		compiles and disseminates for compensation criminal history record
197	192		information shall submit the initial quarterly notification under
198	193		Section 411.0851, Government Code, as amended by this Act.
199	194		(c) The Department of Public Safety shall adopt rules to
200	195		implement Section 411.0853, Government Code, as added by this Act,
201	196		not later than January 1, 2018.
202	197		(d) An entity subject to Section 411.0853, Government Code,
203	198		as added by this Act, is not required to submit the initial
204	199		disclosures required under that section before February 1, 2018.
205	200		(e) Section 411.0854, Government Code, as added by this Act,
206	201		applies only to criminal history record information provided to a
207	202		purchaser or recipient on or after the effective date of this Act.
208	203		Criminal history record information provided to a purchaser or
209	204		recipient before the effective date of this Act is governed by the
210	205		law in effect on the date the information was provided, and the
211	206		former law is continued in effect for that purpose.
212	207		(f) Section 411.0855, Government Code, as added by this Act,
213	208		applies only to criminal history record information purchased,
214	209		accessed, received, or otherwise used on or after the effective
215	210		date of this Act. Criminal history record information purchased,
216	211		accessed, received, or otherwise used before the effective date of
217	212		this Act is governed by the law in effect on the date the
218	213		information was purchased, accessed, received, or otherwise used,
219	214		and the former law is continued in effect for that purpose.
220	215		SECTION 5. This Act takes effect September 1, 2017.
221		-	* * * * *