BILL ANALYSIS
Senate Research Center H.B. 320
80R1911 DWS-F By: West, George "Buddy" (Carona)
Transportation & Homeland Security
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Consumers and businesses are victimized when criminals steal the identity of a consumer and write checks in the consumer’s name. Texas law does not authorize a place of business to check the electronically readable information on a driver’s license or personal identification card when a consumer pays by check. Yet verifying this information would be a simple way to deter returned checks, reduce instances of theft by check, and reduce check fraud. This would also aid in reducing the number of cases on court dockets throughout the state.
H.B. 320 authorizes businesses to verify a customer’s identity by using the electronically readable information on the person’s driver’s license or personal identification card when the customer pays for goods or services by check.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 521.126(e), Transportation Code, to provide that the prohibition provided by Subsection (b)(1) (on accessing or using the electronically readable information on a person’s driver’s license or identification certificate) does not apply to a business if the information is accessed and used only for purposes of identification verification or check verification at the point of sale for a purchase of a good or service by check.
SECTION 2. Effective date: September 1, 2007.