TITLE: Relating to the electronic storage of personal identification information obtained from driver's licenses or personal identification certificates.

SUMMARY: Relating to the electronic storage of personal identification information obtained from driver's licenses or personal identification certificates.

FULL TEXT:
AN ACT relating to the electronic storage of 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 Subsection (e) and adding Subsection (l) to read as follows: (e) The prohibition provided by Subsection (b) [(b)(1)] does not apply to a financial institution or a business that accesses or uses electronically readable information or compiles or maintains a database of that information if:(1) 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) the information is accessed and used 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; or (3) in the case of [. The prohibition provided by Subsection (b)(2) does not apply to] a financial institution,[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. [For the purposes of this subsection, "financial institution" has the meaning assigned by 31 U.S.C. Section 5312(a)(2), as amended.] (l) For the purposes of this section, "financial institution" has the meaning assigned by 31 U.S.C. Section 5312(a)(2). 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.