Limits the use of social security numbers for identification of employees

Summary of provisions

Section one of this bill would prohibit agencies from using Social Security numbers as a means of identifying employees unless specifically authorized or required by law. In addition, this bill would require agencies to:

* notify employees, in writing, if disclosure of a Social Security number is mandatory or voluntary;

* advise employees, when a Social Security number is voluntarily disclosed, of the uses of such number;

* advise employees, when a Social Security number is mandated to be disclosed, of the statute or authority for which the number is required, as well as the uses of such number.

Effects of present law which this bill would alter

Under current law, New York State is not prohibited from using Social Security numbers (SSNs) as a means to identify State employees. This bill would amend the Public Officers Law to provide that, unless authorized or required by law, no state agency shall use Social Security numbers (SSNs) of its employees for identification purposes.

The bill further provides that an agency which requests or requires an employee to disclose his or her SSN must inform the employee in writing whether such disclosure is voluntary or mandatory. If the disclosure is voluntary, the agency must advise the employee of what uses will be made of the SSN. If the disclosure is mandatory and the agency is statutorily authorized to require the SSN, the agency must (i) advise the employee of the statutory or other authority under which the SSN is required; and (ii) advise the employee of what uses will be made of the SSN.

Justification

Identity theft is a pervasive crime that is financially devastating. People whose identities have been stolen can spend months or years and thousands of dollars cleaning up the mess the thieves have made of a good name and credit record. In the meantime, victims of identity theft may lose job opportunities, be refused loans for

education, housing, or cars. Identity thieves thrive on harvesting personal information in order to assume a person's identity. The Social Security number is a key piece of information as it is linked to credit reports and a number of other financial documents. The misappropriation of SSNs can result in unscrupulous. individuals gaining access to financial accounts, opening new accounts, and making purchases of unsuspecting victims, thereby resulting in "identity theft" that can cause years of substantial financial problems.

This bill seeks to limit possibility of SSN misappropriation by prohibiting the State from using the SSN as an employee identifier. The United States General Accounting Office provided testimony at a September 2005 Assembly hearing stating "Although government agencies told us of various steps they take to safeguard the SSNs they use, we found that those key protections are not uniformly in place."

In 2002, a similar bill passed both houses and was vetoed by the Governor. The Governor's veto message (Veto 19) stated "a thorough analysis by an appropriate Task Force of the many complex issues the bill presents should precede the enactment of statutory changes. Accordingly, I am issuing an Executive Order establishing such a Task Force to study the State's use of SSNs as personal identifiers and recommend what steps should be taken to safeguard public employees from the unnecessary dissemination and Unlawful misappropriation of SSNs." The Task Force created by Executive Order 122 never convened. This bill will take significant steps in protecting State employees in the fight against identity theft.

Legislative history

2002: Similar to S.6707-A/A.10040-A - Veto Message 19 2007: Passed Assembly/Passed Senate - Veto No. 78 2009-10: S.4186 Investigations & Government Operations

Fiscal implications

Some costs would be associated with creating new employee identifiers.

Effective date

One hundred and eighty days after enactment.