This bill proposes the introduction of electronic driver's licenses in Minnesota, establishing a new section in the Minnesota Statutes, chapter 171. It defines key terms related to electronic credentials, including "credential," "credential holder," and "relying party," and outlines the responsibilities of the Department of Public Safety's Driver and Vehicle Services Division (DVS) in developing and managing an electronic credential system. The bill allows DVS to issue electronic credentials to individuals eligible for physical credentials, mandates compliance with American Association of Motor Vehicle Administrators (AAMVA) standards, and permits DVS to charge fees for these electronic credentials in addition to existing fees.

The bill also addresses the verification and privacy of electronic credentials, requiring relying parties to authenticate these credentials securely and only retain necessary data with the credential holder's consent. It stipulates that credential holders must carry a physical credential while operating a vehicle and provides guidelines for interactions with law enforcement regarding electronic credentials. The effective date for the implementation of this section is set for July 1, 2026, with certain provisions taking effect immediately following final enactment.