Bill Summary – FastDemocracy

State of Alaska
                                                          Fiscal Note
                                                                                            Bill Version:                    CSHB 159(L&C)
 2022 Legislative Session
                                                                                            Fiscal Note Number:              4
                                                                                            (H) Publish Date:                2/7/2022
 Identifier:       HB159-LAW-CIV-SLT-1-14-22                                 Department:        Department of Law
 Title:            CONSUMER DATA PRIVACY ACT                                 Appropriation: Civil Division
 Sponsor:          RLS BY REQUEST OF THE GOVERNOR                            Allocation:        Special Litigation
 Requester: Rules                                                            OMB Component Number:                 2213
 Expenditures/Revenues
 Note: Amounts do not include inflation unless otherwise noted below.                                                              (Thousands of Dollars)
                                                 Included in
                                    FY2023       Governor's
                                Appropriation      FY2023                                          Out-Year Cost Estimates
                                  Requested       Request
 OPERATING EXPENDITURES               FY 2023        FY 2023       FY 2024                    FY 2025             FY 2026          FY 2027        FY 2028
 Personal Services                       266.2                        266.2                     266.2               266.2            266.2          266.2
 Travel                                     0.6                         0.6                        0.6                 0.6              0.6            0.6
 Services                                 43.0                         43.0                       43.0                43.0             43.0          43.0
 Commodities                                3.1                         3.1                        3.1                 3.1              3.1            3.1
 Capital Outlay                             1.1                         1.1                        1.1                 1.1              1.1            1.1
 Grants & Benefits
 Miscellaneous
 Total Operating                         314.0            0.0         314.0                      314.0              314.0            314.0             314.0
 Fund Source (Operating Only)
 1004 Gen Fund (UGF)                         314.0                            314.0              314.0              314.0            314.0             314.0
 Total                                       314.0              0.0           314.0              314.0              314.0            314.0             314.0
 Positions
 Full-time                                      2.0                                 2.0             2.0                2.0              2.0              2.0
 Part-time
 Temporary
 Change in Revenues
 None
 Total                                          0.0             0.0                 0.0             0.0                0.0              0.0              0.0
 Estimated SUPPLEMENTAL (FY2022) cost:                                 0.0                (separate supplemental appropriation required)
 Estimated CAPITAL (FY2023) cost:                                      0.0                (separate capital appropriation required)
 Does the bill create or modify a new fund or account?       No
 (Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
 ASSOCIATED REGULATIONS
 Does the bill direct, or will the bill result in, regulation changes adopted by your agency?               Yes
 If yes, by what date are the regulations to be adopted, amended or repealed?
 Why this fiscal note differs from previous version/comments:
 Updated for SLA2022 fiscal note template.
 Prepared By:            Valerie Rose, Budget Analyst                                                               Phone:       (907)465-3674
 Division:               Administrative Services Division                                                           Date:        01/14/2022 02:46 PM
 Approved By:            Amber LeBlanc, Administrative Services Director                                            Date:        01/14/22
 Agency:                 Office of Management and Budget
Printed 2/7/2022                                                      Page 1 of 2                                                         Control Code: dwCYb
                                                                                                            CSHB 159(L&C) - Fiscal Note 4
                                                   FISCAL NOTE ANALYSIS
STATE OF ALASKA                                                                     BILL NO. HB 159
2022 LEGISLATIVE SESSION
Analysis
   This bill creates the Consumer Data Privacy Act, giving consumers certain rights over their personal information and
   creating obligations for some businesses that collect personal information. Under this Act, consumers have the right to
   request that a business disclose what personal information the business collects and what personal information is sold or
   disclosed for a business or commercial purpose. Consumers may opt out by requesting that the consumers personal
   information not be sold by the business that collects it or request that personal information be deleted.
   Under this Act, businesses that meet a required annual revenue or activity threshold have obligations to the consumers
   they serve. First, these businesses are obligated to notify customers in the state before the business collects personal
   information. The notification must include the categories of personal information, the purpose, and the right to optout.
   The information must be maintained and updated by the business and available to the public through the business
   privacy policy or a webpage on the business website.
   This Act also creates a statutory process for a business to follow to respond to verified consumer requests to disclose or
   delete information. The process laid out includes required and suggested methods to submit a request, how information
   in the request may be used, the process to determine if a request is verified, and how information must be provided to the
   consumer, including confirmation that a deletion has occurred. A business must respond within 45 days of the request,
   and may be extended another 45 days after notifying the consumer if additional time is reasonably necessary. A business
   is prohibited from retaliating against a consumer that exercises any of their rights under this chapter. A business is also
   responsible for implementing and maintaining reasonable security measures to protect the personal information the
   business collects.
   Thirdparties and services providers are also subject to limitations and are prohibited from certain disclosure or use of
   personal information collected and disclosed by a business. Likewise, if a business is subject to a merger or acquisition, the
   new parent business is responsible for the personal information and notifying consumers of any changes to the business
   policies.
   There are a number of exemptions to this Act, including protected health information, certain vehicle information,
   information relating to employment, and information subject to another law or legal privilege. A person may also disclose
   information in order to comply with a law or legal obligation, or cooperate with law enforcement.
   This bill creates civil penalties for violating this chapter. A violation of this Act is also considered a violation of the Unfair
   Trade Practices and Consumer Protection Act. The Department of Law is the agency responsible for implementing and
   enforcing the Consumer Data Privacy Act, as well as the Unfair Trade Practices and Consumer Protection Act. In addition to
   enforcing and investigating violations of this chapter, the Department of Law is also required to adopt and enforce
   regulations to implement this Act, and update some of these regulations as technology progresses, in order to implement
   this Act.
   Funds recovered as a result of an action under this section may be appropriated to a consumer privacy account, for the
   Department of Law to offset costs incurred in connection with enforcing this chapter. The Department of Law anticipates
   that this will generate funding in the future for the enforcement of this Act over the longterm. To implement this chapter,
   the Department of Law anticipates that it will initially require one fulltime associate attorney position to provide public
   education and review online content and one fulltime assistant attorney general position to assist with drafting the
   implementing regulations and handle the initial caseload.
(Revised 11/23/2021 OMB/LFD)                                                                                            Page 2 of 2
HB159-LAW-CIV-SLT-1-14-22                                        Page 2 of 2                                                Control Code: dwCYb
Statutes affected: 
HB0159A, AM HB 159, introduced 03/31/2021: 44.33.020, 45.49.050, 45.49.060, 45.49.015, 45.49.020, 45.49.030, 45.49.040, 45.49.290, 45.49.070, 45.49.010, 45.49.080, 45.49.090, C.F.R, U.S.C, 45.49.120, 10.06.990, 21.59.290, 45.25.990, 45.49.100, 45.49.110, 45.49.130, 45.50.471, 45.50.561, 45.50.531, 45.49.140, 45.49.200, 45.49.210, 45.49.250, 45.49.260, 45.49.270, 01.10.055, 45.48.090, 45.49.295
HB0159B, AM CSHB 159(L&C), introduced 02/07/2022: 44.33.020, 45.48.900, 45.48.430, 45.48.800, 45.48.945, 45.48.470, 45.48.450, 45.48.400, 45.48.480, 45.48.835, 45.48.840, 45.48.850, 45.48.805, 45.48.810, 45.48.815, 45.48.820, 45.48.825, 45.48.830, 45.48.915, 45.48.845, 11.81.900, 45.48.855, 45.48.860, 45.48.865, C.F.R, 45.25.990, U.S.C, 45.48.875, 45.48.885, 45.48.880, 10.06.990, 45.48.870, 45.50.471, 45.40.561, 45.48.890, 45.50.561, 45.50.531, 45.48.080, 45.48.010, 45.48.090, 45.48.895, 45.48.910, 45.48.905, 45.48.920, 45.48.925, 45.48.930, 45.48.935, 45.48.940, 13.06.050, 01.10.055