HB-4732, As Passed House, September 9, 2009

HOUSE BILL No. 4732

March 31, 2009, Introduced by Reps. Valentine, Sheltrown, Leland, Melton, Durhal, Lori, Meadows and Dean and referred to the Committee on Judiciary.

     A bill to amend 2004 PA 452, entitled

"Identity theft protection act,"

(MCL 445.61 to 445.77) by adding section 12c.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 12c. (1) Within 30 days after the effective date of the

amendatory act that added this section, each qualified person shall

establish a written identity theft prevention program that meets

all of the following:

     (a) Includes reasonable policies and procedures for detecting,

preventing, and mitigating identity theft.

     (b) Identifies specific activities that indicate the possible

existence of identity theft and addresses those activities in the

program.

     (c) Detects the activities described in subdivision (b).

House Bill No. 4732 as amended September 9, 2009

     (d) Responds to the activities described in subdivision (b) in

order to mitigate the adverse effects of identity theft.

     (e) Trains staff to effectively implement the program.

     (f) Ensures that the program is periodically reviewed to

identify, detect, and respond to new and emerging practices that

increase the risk of identity theft.

     (2) A qualified person that is subject to and complies with

the joint final rules and guidelines concerning identity theft red

flags and address discrepancies under the fair and accurate credit

transactions act of 2003, Public Law 108-159, is not required to

comply with subsection (1).

     (3) A state or federal court, a political subdivision of this

state, or a state or federal department or agency is not required

to comply with subsection (1).

     (4) As used in this section:

     (a) "Covered account" means that term as defined in 16 CFR

681.2.

     (b) "Qualified person" means a person that meets both of the

following:

     (i) Has more than 50 employees.

     (ii) Is engaged in extending credit in the form of covered

accounts to residents of this state.

[Enacting section 1. This amendatory act takes effect January 1, 2010.]

     Enacting section [2]. This amendatory act does not take effect

unless all of the following bills of the 95th Legislature are

enacted into law:

     (a) Senate Bill No.____ or House Bill No. 4730(request no.

01597'09).

     (b) Senate Bill No.____ or House Bill No. 4731(request no.

01598'09).

     (c) Senate Bill No.____ or House Bill No. 4733(request no.

01600'09).

     (d) Senate Bill No.____ or House Bill No. 4729(request no.

01601'09).

     (e) Senate Bill No.____ or House Bill No. 4734(request no.

01602'09).