4 | 8 | | AN ACT |
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5 | 9 | | relating to the Texas Consumer Privacy Act Phase I; creating |
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6 | 10 | | criminal offenses; increasing the punishment for an existing |
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7 | 11 | | criminal offense. |
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8 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 13 | | SECTION 1. This Act may be cited as the Texas Consumer |
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10 | 14 | | Privacy Act Phase I. |
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11 | 15 | | SECTION 2. Section 11.030, Parks and Wildlife Code, is |
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12 | 16 | | amended by amending Subsections (a) and (c) and adding Subsections |
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13 | 17 | | (e-1), (e-2), and (e-3) to read as follows: |
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14 | 18 | | (a) The name and address and a telephone, social security, |
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15 | 19 | | driver's license, bank account, credit card, or charge card number |
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16 | 20 | | of a person who purchases customer products, licenses, or services |
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17 | 21 | | from the department may not be disclosed, sold, rented, or traded |
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18 | 22 | | except as authorized under this section or Section 12.0251. |
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19 | 23 | | (c) The commission by rule shall adopt policies relating to: |
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20 | 24 | | (1) the release of the customer information; and |
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21 | 25 | | (2) the use of the customer information by the |
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22 | 26 | | department[; and |
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23 | 27 | | [(3) the sale of a mailing list consisting of the names |
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24 | 28 | | and addresses of persons who purchase customer products, licenses, |
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25 | 29 | | or services]. |
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26 | 30 | | (e-1) The department may disclose statistical data and |
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27 | 31 | | compilations of customer information described by Subsection (a) if |
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28 | 32 | | the information does not reveal information identifying a specific |
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29 | 33 | | department customer or a department customer's address, telephone |
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30 | 34 | | number, social security number, or driver's license number. |
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31 | 35 | | (e-2) The department may disclose customer information |
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32 | 36 | | described by Subsection (a) only: |
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33 | 37 | | (1) to another governmental body, including a law |
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34 | 38 | | enforcement entity, as needed to carry out a governmental purpose; |
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35 | 39 | | (2) if the customer that is the subject of the |
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36 | 40 | | information consents in writing to the specific disclosure; or |
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37 | 41 | | (3) if the information is: |
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38 | 42 | | (A) part of a record that is considered to be a |
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39 | 43 | | public record under Section 31.039; or |
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40 | 44 | | (B) authorized to be disclosed under Section |
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41 | 45 | | 31.0391. |
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42 | 46 | | (e-3) This section does not authorize the department to |
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43 | 47 | | disclose information the department is prohibited from disclosing |
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44 | 48 | | by other law. |
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45 | 49 | | SECTION 3. Section 204.011(a), Transportation Code, is |
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46 | 50 | | amended to read as follows: |
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47 | 51 | | (a) The [Except as provided by this section or a rule |
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48 | 52 | | adopted by the commission under this section, the] department may |
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49 | 53 | | not disclose to any person the name, address, telephone number, |
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50 | 54 | | social security account number, driver's license number, bank |
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51 | 55 | | account number, credit or debit card number, or charge account |
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52 | 56 | | number of a person who: |
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53 | 57 | | (1) is or has been a subscriber to "Texas Highways"; or |
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54 | 58 | | (2) has purchased from the department a promotional |
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55 | 59 | | item described by Section 204.009. |
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56 | 60 | | SECTION 4. Section 548.601(a), Transportation Code, is |
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57 | 61 | | amended to read as follows: |
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58 | 62 | | (a) A person, including an inspector or an inspection |
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59 | 63 | | station, commits an offense if the person: |
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60 | 64 | | (1) submits information to the department's inspection |
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61 | 65 | | database or issues a vehicle inspection report with knowledge that |
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62 | 66 | | the submission or issuance is in violation of this chapter or rules |
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63 | 67 | | adopted under this chapter; |
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64 | 68 | | (2) falsely or fraudulently represents to the owner or |
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65 | 69 | | operator of a vehicle that equipment inspected or required to be |
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66 | 70 | | inspected must be repaired, adjusted, or replaced for the vehicle |
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67 | 71 | | to pass an inspection; |
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68 | 72 | | (3) misrepresents: |
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69 | 73 | | (A) material information in an application in |
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70 | 74 | | violation of Section 548.402 or 548.403; or |
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71 | 75 | | (B) information filed with the department under |
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72 | 76 | | this chapter or as required by department rule; |
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73 | 77 | | (4) submits information to the department's inspection |
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74 | 78 | | database or issues a vehicle inspection report: |
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75 | 79 | | (A) without authorization to issue the report or |
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76 | 80 | | submit the information; or |
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77 | 81 | | (B) without inspecting the vehicle; |
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78 | 82 | | (5) submits information to the department's inspection |
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79 | 83 | | database indicating that a vehicle has passed the applicable |
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80 | 84 | | inspections or issues a passing vehicle inspection report for a |
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81 | 85 | | vehicle with knowledge that the vehicle has not been repaired, |
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82 | 86 | | adjusted, or corrected after an inspection has shown a repair, |
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83 | 87 | | adjustment, or correction to be necessary; |
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84 | 88 | | (6) knowingly submits information to the department's |
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85 | 89 | | inspection database or issues a vehicle inspection report: |
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86 | 90 | | (A) for a vehicle without conducting an |
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87 | 91 | | inspection of each item required to be inspected; or |
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88 | 92 | | (B) for a vehicle that is missing an item |
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89 | 93 | | required to be inspected or that has an item required to be |
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90 | 94 | | inspected that is not in compliance with state law or department |
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91 | 95 | | rules; |
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92 | 96 | | (7) refuses to allow a vehicle's owner to have a |
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93 | 97 | | qualified person of the owner's choice make a required repair, |
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94 | 98 | | adjustment, or correction; |
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95 | 99 | | (8) charges for an inspection an amount greater than |
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96 | 100 | | the authorized fee; |
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97 | 101 | | (9) discloses or sells information collected in |
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98 | 102 | | relation to the vehicle inspection program under this chapter about |
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99 | 103 | | a unique customer or a unique vehicle owner to a person other than |
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100 | 104 | | the department or the person who is the subject of the information, |
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101 | 105 | | including a customer or vehicle owner's name, address, or phone |
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102 | 106 | | number; or |
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103 | 107 | | (10) [(9)] performs an act prohibited by or fails to |
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104 | 108 | | perform an act required by this chapter or a rule adopted under this |
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105 | 109 | | chapter. |
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106 | 110 | | SECTION 5. Section 730.003, Transportation Code, is amended |
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107 | 111 | | by adding Subdivision (1-a) and amending Subdivision (6) to read as |
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108 | 112 | | follows: |
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109 | 113 | | (1-a) "Authorized recipient" means a person who is |
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110 | 114 | | permitted to receive and use personal information from an agency in |
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111 | 115 | | a manner authorized by this chapter. |
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112 | 116 | | (6) "Personal information" means information that |
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113 | 117 | | identifies a person, including an individual's photograph or |
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114 | 118 | | computerized image, social security number, date of birth, driver |
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115 | 119 | | identification number, name, address, but not the zip code, e-mail |
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116 | 120 | | address, telephone number, and medical or disability information. |
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117 | 121 | | The term does not include: |
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118 | 122 | | (A) information on vehicle accidents, driving or |
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119 | 123 | | equipment-related violations, or driver's license or registration |
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120 | 124 | | status; or |
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121 | 125 | | (B) information contained in an accident report |
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122 | 126 | | prepared under: |
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123 | 127 | | (i) Chapter 550; or |
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124 | 128 | | (ii) former Section 601.004 before |
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125 | 129 | | September 1, 2017. |
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126 | 130 | | SECTION 6. Section 730.006, Transportation Code, is amended |
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127 | 131 | | to read as follows: |
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128 | 132 | | Sec. 730.006. REQUIRED DISCLOSURE WITH CONSENT. Personal |
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129 | 133 | | information obtained by an agency in connection with a motor |
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130 | 134 | | vehicle record shall be disclosed to a requestor who: |
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131 | 135 | | (1) is the subject of the information; or |
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132 | 136 | | (2) demonstrates, in such form and manner as the |
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133 | 137 | | agency requires, that the requestor has obtained the written |
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134 | 138 | | consent of the person who is the subject of the information. |
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135 | 139 | | SECTION 7. The heading to Section 730.007, Transportation |
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136 | 140 | | Code, is amended to read as follows: |
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137 | 141 | | Sec. 730.007. PERMITTED DISCLOSURES OF CERTAIN PERSONAL |
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138 | 142 | | INFORMATION. |
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139 | 143 | | SECTION 8. Section 730.007, Transportation Code, is amended |
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142 | 146 | | (a) Personal information obtained by an agency in |
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143 | 147 | | connection with a motor vehicle record may be disclosed to any |
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144 | 148 | | requestor by an agency if the requestor: |
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145 | 149 | | (1) provides the requestor's name and address and any |
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146 | 150 | | proof of that information required by the agency; and |
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147 | 151 | | (2) represents that the use of the personal |
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148 | 152 | | information will be strictly limited to: |
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149 | 153 | | (A) use by: |
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150 | 154 | | (i) a government agency, including any |
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151 | 155 | | court or law enforcement agency, in carrying out its functions; or |
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152 | 156 | | (ii) a private person or entity acting on |
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153 | 157 | | behalf of a government agency in carrying out the functions of the |
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154 | 158 | | agency; |
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155 | 159 | | (B) use in connection with a matter of: |
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156 | 160 | | (i) motor vehicle or motor vehicle operator |
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157 | 161 | | safety; |
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158 | 162 | | (ii) motor vehicle theft; |
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159 | 163 | | (iii) motor vehicle product alterations, |
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160 | 164 | | recalls, or advisories; |
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161 | 165 | | (iv) performance monitoring of motor |
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162 | 166 | | vehicles, motor vehicle parts, or motor vehicle dealers; or |
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163 | 167 | | (v) [motor vehicle market research |
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164 | 168 | | activities, including survey research; or |
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165 | 169 | | [(vi)] removal of nonowner records from the |
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166 | 170 | | original owner records of motor vehicle manufacturers; |
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167 | 171 | | (C) use in the normal course of business by a |
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168 | 172 | | legitimate business or an authorized agent of the business, but |
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169 | 173 | | only: |
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170 | 174 | | (i) to verify the accuracy of personal |
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171 | 175 | | information submitted by the individual to the business or the |
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172 | 176 | | agent of the business; and |
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173 | 177 | | (ii) if the information is not correct, to |
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174 | 178 | | obtain the correct information, for the sole purpose of preventing |
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175 | 179 | | fraud by, pursuing a legal remedy against, or recovering on a debt |
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176 | 180 | | or security interest against the individual; |
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177 | 181 | | (D) use in conjunction with a civil, criminal, |
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178 | 182 | | administrative, or arbitral proceeding in any court or government |
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179 | 183 | | agency or before any self-regulatory body, including service of |
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180 | 184 | | process, investigation in anticipation of litigation, execution or |
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181 | 185 | | enforcement of a judgment or order, or under an order of any court; |
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182 | 186 | | (E) use in research or in producing statistical |
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183 | 187 | | reports, but only if the personal information is not published, |
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184 | 188 | | redisclosed, or used to contact any individual; |
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185 | 189 | | (F) use by an insurer, [or] insurance support |
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186 | 190 | | organization, or [by a] self-insured entity, or an authorized agent |
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187 | 191 | | of an insurer, insurance support organization, or self-insured |
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188 | 192 | | entity [the entity], in connection with claims processing or |
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189 | 193 | | investigation activities, antifraud activities, rating, or |
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190 | 194 | | underwriting; |
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191 | 195 | | (G) use in providing notice to an owner of a |
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192 | 196 | | vehicle that was towed or impounded and is in the possession of a |
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193 | 197 | | vehicle storage facility; |
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194 | 198 | | (H) use by a licensed private investigator agency |
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195 | 199 | | or licensed security service for a purpose permitted under this |
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196 | 200 | | section; |
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197 | 201 | | (I) use by an employer or an agent or insurer of |
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198 | 202 | | the employer to obtain or verify information relating to a holder of |
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199 | 203 | | a commercial driver's license that is required under 49 U.S.C. |
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200 | 204 | | Chapter 313; |
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201 | 205 | | (J) use in connection with the operation of a |
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202 | 206 | | [private] toll transportation facility or another type of |
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203 | 207 | | transportation project described by Section 370.003; |
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204 | 208 | | (K) use by a consumer reporting agency, as |
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205 | 209 | | defined by the Fair Credit Reporting Act (15 U.S.C. Section 1681 et |
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206 | 210 | | seq.), for a purpose permitted under that Act; |
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207 | 211 | | (L) use by a motor vehicle manufacturer, |
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208 | 212 | | dealership, or distributor, or an agent of or provider of services |
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209 | 213 | | to a motor vehicle manufacturer, dealership, or distributor, for |
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210 | 214 | | motor vehicle market research activities, including survey |
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211 | 215 | | research; |
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212 | 216 | | (M) use in the ordinary course of business by a |
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213 | 217 | | person or authorized agent of a person who: |
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214 | 218 | | (i) holds a salvage vehicle dealer license |
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215 | 219 | | issued under Chapter 2302, Occupations Code; |
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216 | 220 | | (ii) holds an independent motor vehicle |
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217 | 221 | | dealer or wholesale motor vehicle auction general distinguishing |
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218 | 222 | | number issued under Chapter 503 of this code; |
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219 | 223 | | (iii) holds a used automotive parts |
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220 | 224 | | recycler license issued under Chapter 2309, Occupations Code; or |
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221 | 225 | | (iv) is licensed by, registered with, or |
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222 | 226 | | subject to regulatory oversight by the Texas Department of Motor |
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223 | 227 | | Vehicles, the Texas Department of Banking, the Department of |
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224 | 228 | | Savings and Mortgage Lending, the Credit Union Department, the |
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225 | 229 | | Office of Consumer Credit Commissioner, the Texas Department of |
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226 | 230 | | Insurance, the Board of Governors of the Federal Reserve System, |
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227 | 231 | | the Office of the Comptroller of the Currency, the Federal Deposit |
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228 | 232 | | Insurance Corporation, the Consumer Financial Protection Bureau, |
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229 | 233 | | or the National Credit Union Administration; or |
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230 | 234 | | (N) use by an employer, principal, general |
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231 | 235 | | contractor, nonprofit organization, charitable organization, or |
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232 | 236 | | religious institution to obtain or verify information relating to a |
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233 | 237 | | person who holds a driver's license or the driving history of a |
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234 | 238 | | person who holds a driver's license if the person is employed by, |
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235 | 239 | | works under a contract with, or volunteers for the employer, |
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236 | 240 | | principal, contractor, organization, or institution [(L) use for |
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237 | 241 | | any other purpose specifically authorized by law that relates to |
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238 | 242 | | the operation of a motor vehicle or to public safety]. |
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239 | 243 | | (a-1) Personal information obtained by the Texas Department |
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240 | 244 | | of Motor Vehicles in connection with a motor vehicle record may be |
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241 | 245 | | disclosed: |
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242 | 246 | | (1) when referring potential violations to the Texas |
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243 | 247 | | Office of Consumer Credit Commissioner, the Department of Public |
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288 | 278 | | (1) actual damages; |
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289 | 279 | | (2) if the actual damages to the person are less than |
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290 | 280 | | $2,500, an additional amount so that the total amount of damages |
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291 | 281 | | equals $2,500; and |
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292 | 282 | | (3) court costs incurred by the person who is the |
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293 | 283 | | subject of the information in bringing the action. |
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294 | 284 | | (b) A person whose personal information has been disclosed |
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295 | 285 | | for compensation to a person who is not an authorized recipient may |
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296 | 286 | | sue for: |
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297 | 287 | | (1) the damages, costs, and fees authorized under |
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298 | 288 | | Subsection (a); |
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299 | 289 | | (2) injunctive relief; and |
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300 | 290 | | (3) any other equitable remedy determined to be |
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301 | 291 | | appropriate by the court. |
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302 | 292 | | (c) A district court has exclusive original jurisdiction |
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303 | 293 | | over a cause of action brought under this section. |
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304 | 294 | | SECTION 10. Section 730.013, Transportation Code, is |
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305 | 295 | | amended to read as follows: |
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306 | 296 | | Sec. 730.013. [RESALE OR] REDISCLOSURE; OFFENSE. (a) An |
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307 | 297 | | authorized recipient of personal information may not [resell or] |
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308 | 298 | | redisclose the personal information in the identical or a |
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309 | 299 | | substantially identical format the personal information was |
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310 | 300 | | disclosed to the recipient by the applicable agency. |
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311 | 301 | | (b) An authorized recipient of personal information may |
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312 | 302 | | [resell or] redisclose the information, including redisclosure for |
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313 | 303 | | compensation, only for a use permitted under Section 730.007. |
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314 | 304 | | (c) An [Any] authorized recipient who [resells or] |
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315 | 305 | | rediscloses personal information obtained from an agency shall be |
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316 | 306 | | required by that agency to: |
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317 | 307 | | (1) maintain for a period of not less than five years |
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318 | 308 | | records as to any person or entity receiving that information and |
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319 | 309 | | the permitted use for which it was obtained; and |
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320 | 310 | | (2) provide copies of those records to the agency on |
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321 | 311 | | request. |
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322 | 312 | | (c-1) A person who receives personal information under |
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323 | 313 | | Subsection (b) may not redisclose the personal information, |
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324 | 314 | | including redisclosure for compensation, to a person who is not an |
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325 | 315 | | authorized recipient. |
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326 | 316 | | (c-2) An authorized recipient shall notify each person who |
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327 | 317 | | receives personal information from the authorized recipient that |
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328 | 318 | | the person may not redisclose the personal information to a person |
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329 | 319 | | who is not an authorized recipient. |
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330 | 320 | | (d) A person commits an offense if the person violates this |
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331 | 321 | | section. An offense under this subsection is a misdemeanor |
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332 | 322 | | punishable by a fine not to exceed $100,000 [$25,000]. |
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333 | 323 | | SECTION 11. The heading to Section 730.014, Transportation |
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334 | 324 | | Code, is amended to read as follows: |
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335 | 325 | | Sec. 730.014. AGENCY RULES,[; ORGANIZATION OF] RECORDS, AND |
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336 | 326 | | CONTRACTS. |
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337 | 327 | | SECTION 12. Section 730.014, Transportation Code, is |
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339 | 329 | | follows: |
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340 | 330 | | (c) An agency that provides a requestor access to personal |
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341 | 331 | | information in motor vehicle records in bulk under a contract under |
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342 | 332 | | Section 730.007 shall include in the contract: |
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343 | 333 | | (1) a requirement that the requestor post a |
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344 | 334 | | performance bond in an amount of not more than $1 million; |
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345 | 335 | | (2) a prohibition on the sale or redisclosure of the |
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346 | 336 | | personal information for the purpose of marketing extended vehicle |
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347 | 337 | | warranties by telephone; |
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348 | 338 | | (3) a requirement that the requestor provide proof of |
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349 | 339 | | general liability and cyber-threat insurance coverage in an amount |
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350 | 340 | | specified by the contracting agency that is: |
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351 | 341 | | (A) at least $3 million; and |
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352 | 342 | | (B) reasonably related to the risks associated |
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353 | 343 | | with unauthorized access and use of the records; |
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354 | 344 | | (4) a requirement that if a requestor experiences a |
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355 | 345 | | breach of system security, as defined by Section 521.053, Business & |
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356 | 346 | | Commerce Code, that includes data obtained under Section 730.007, |
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357 | 347 | | the requestor must notify the agency of the breach not later than 48 |
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358 | 348 | | hours after the discovery of the breach; |
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359 | 349 | | (5) a requirement that the requestor include in each |
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360 | 350 | | contract with a third party that receives the personal information |
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361 | 351 | | from the requestor that the third party must comply with federal and |
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362 | 352 | | state laws regarding the records; |
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363 | 353 | | (6) a requirement that the requestor and any third |
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364 | 354 | | party receiving the personal information from the requestor protect |
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365 | 355 | | the personal information with appropriate and accepted industry |
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366 | 356 | | standard security measures for the type of information and the |
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367 | 357 | | known risks from unauthorized access and use of the information; |
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368 | 358 | | and |
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369 | 359 | | (7) a requirement that the requestor annually provide |
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370 | 360 | | to the agency a report of all third parties to which the personal |
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371 | 361 | | information was disclosed under this section and the purpose of the |
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372 | 362 | | disclosure. |
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414 | 401 | | including a rule adopted under Section 730.0121: |
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415 | 402 | | (1) [to the person,] is ineligible to receive personal |
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416 | 403 | | information under Section 730.007; |
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417 | 404 | | (2) not later than one year after the date of |
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418 | 405 | | conviction or the court's final determination under this |
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419 | 406 | | subsection, shall delete from the person's records all personal |
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420 | 407 | | information received under this chapter; and |
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421 | 408 | | (3) may not redisclose personal information received |
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422 | 409 | | under this chapter. |
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423 | 410 | | (c) A person commits an offense if the person violates this |
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424 | 411 | | section. An offense under this subsection is a misdemeanor |
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425 | 412 | | punishable by a fine not to exceed $100,000. |
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426 | 413 | | SECTION 15. The following provisions are repealed: |
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427 | 414 | | (1) Section 11.030(d), Parks and Wildlife Code; and |
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428 | 415 | | (2) Sections 204.011(c) and (d), Transportation Code. |
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429 | 416 | | SECTION 16. The changes in law made by this Act apply only |
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430 | 417 | | to an offense committed on or after the effective date of this Act. |
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431 | 418 | | An offense committed before the effective date of this Act is |
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432 | 419 | | governed by the law in effect on the date the offense was committed, |
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433 | 420 | | and the former law is continued in effect for that purpose. For |
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434 | 421 | | purposes of this section, an offense was committed before the |
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435 | 422 | | effective date of this Act if any element of the offense occurred |
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436 | 423 | | before that date. |
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437 | 424 | | SECTION 17. (a) Section 730.0121, Transportation Code, as |
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438 | 425 | | added by this Act, applies to a person who received personal |
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439 | 426 | | information under Chapter 730, Transportation Code, before the |
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440 | 427 | | effective date of this Act, and is not an authorized recipient, as |
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441 | 428 | | defined by Section 730.003(1-a), Transportation Code, as added by |
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442 | 429 | | this Act, of that personal information under Chapter 730, |
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443 | 430 | | Transportation Code, as amended by this Act. |
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444 | 431 | | (b) Notwithstanding Subsection (a) of this section, an |
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445 | 432 | | agency to which Section 730.0121, Transportation Code, as added by |
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446 | 433 | | this Act, applies may not require a person who received personal |
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447 | 434 | | information from the agency before the effective date of this Act |
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448 | 435 | | and is not an authorized recipient, as defined by Section |
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449 | 436 | | 730.003(1-a), Transportation Code, as added by this Act, of that |
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450 | 437 | | information to delete the information before the first anniversary |
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451 | 438 | | of the effective date of this Act. |
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452 | 439 | | SECTION 18. This Act takes effect immediately if it |
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453 | 440 | | receives a vote of two-thirds of all the members elected to each |
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454 | 441 | | house, as provided by Section 39, Article III, Texas Constitution. |
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455 | 442 | | If this Act does not receive the vote necessary for immediate |
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456 | 443 | | effect, this Act takes effect September 1, 2021. |
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