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HomeMy WebLinkAboutG17-11 Ordinance No.G17-11 AN ORDINANCE ADOPTING AN IDENTITY PROTECTION POLICY IN ACCORDANCE WITH THE IDENTITY PROTECTION ACT WHEREAS,the State of Illinois enacted the Identity Protection Act(5 ILCS 179/1,et seq.) (the "Act"), effective June 1, 2010; and WHEREAS, the Act requires state and local government agencies, including the City of Elgin (the "City") to take certain steps to protect Social Security numbers from unauthorized disclosure; and WHEREAS,the Act further requires the City to implement an Identity Protection Policy,as defined by the Act, by June 1, 2011; and WHEREAS, the City has developed an Identity Protection Policy in the form provided herein. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS: Section 1. Recitals. The recitals set forth above are incorporated as part of this ordinance by this reference. Section 2. Approval of Policy. The City hereby approves and adopts the Identity Protection Policy in the form attached to this ordinance. Section 3. Effective Date. This ordinance shall be in full force and effect as of May 31, 2011, from and after its passage, approval and publication in the manner required by law. cattie David J. Kaptain ayor Presented: May 25, 2011 Passed: May 25, 2011 Vote: Yeas: 6 Nays: 0 ;: '�. � C Recorded: May 25, 2011 ""` Published: May 27, 2011 rt Attest: /000 Je . ifer Q ;'ton, Acting City Clerk CITY OF ELGIN IDENTITY PROTECTION POLICY WITH REGARD TO THE COLLECTION,USE AND COMMUNICATION OF INDIVIDUALS' SOCIAL SECURITY NUMBERS This policy is to comply with the Identity Protection Act,as amended(5 ILCS 179/1, et seq.). 1. Definitions. a. "Person"means any individual in the employ of the City of Elgin. b. "Publicly post"or"publicly display"means to intentionally communicate or otherwise intentionally make available to the general public. 2. Prohibited Activities. a. No officer or employee of the City of Elgin shall do any of the following: i. Publicly post or publicly display in any manner an individual's Social Security number. ii. Print an individual's Social Security number on any card required for the individual to access products or services provided by the person or entity. iii. Require an individual to transmit his or her Social Security number over the internet, unless the connection is secure or the Social Security number is encrypted. iv. Print an individual's Social Security number on any materials that are mailed to the individual through the U.S. Postal Service, any private mail service, electronic mail or any similar method delivery, unless state or federal law requires the Social Security number to be on the document to be mailed. Notwithstanding any provision in this section to the contrary,Social Security numbers may be included in applications and forms sent by mail,including, but not limited to,any material mailed in connection with the administration of the Unemployment Insurance Act,any material mailed in connection with any tax administered by the Department of Revenue,and documents sent as part of an application or enrollment process or to establish, amend or terminate an account, contract or policy, or to confirm the accuracy of the Social Security number. A Social Security number that may permissibly be mailed under this section may not be printed, in whole or in part, on a postcard or other mailer that does not require an envelope or be visible on an envelope without the envelope having been opened. - 1 - b. Except as otherwise provided by this policy, no officer or employee of the City of Elgin shall do any of the following: i. Collect, use or disclose a Social Security number from an individual unless (a) required to so under state or federal law, rules or regulations, or the collection, use or disclosure of the Social Security number is otherwise necessary for the performance of that agency's duties and responsibilities;(b) the need and purpose for the Social Security number is documented before collection of the Social Security number;and(c)the Social Security number collected is relevant to the documented need and purpose. ii. Require an individual to use his or her Social Security number to access an interne website. iii. Use the Social Security number for any purpose other than the purpose for which it was collected. c. The prohibitions in subsection (b) shall not apply in the following circumstances: i. The disclosure of Social Security numbers to agents,employees,contractors or subcontractors of the City of Elgin or disclosure to another governmental entity or its agents, employee, contractors or subcontractors if disclosure is necessary in order for the entity to perform its duties and responsibilities;and, if disclosing to a contractor or subcontractor, prior to such disclosure, the officer or employee of the City of Elgin must first receive from the contractor or subcontractor a copy of the contractor's or subcontractor's policy that sets forth how the requirements imposed under this policy on the City of Elgin to protect an individual's Social Security number will be achieved. ii. The disclosure of Social Security numbers pursuant to a court order,warrant or subpoena. iii. The collection, use or disclosure of Social Security numbers in order to ensure the safety of City of Elgin employees; persons committed to correctional facilities, local jails and other law enforcement facilities or retention centers; wards of the state; and all persons working in or visiting a City of Elgin facility. iv. The collection, use or disclosure of Social Security numbers for internal verification or administrative purposes. v. The City shall comply with the provisions of the Illinois Freedom of Information Act(5 ILCS 140/1 et seq.)and any other state law with respect to allowing the public inspection and copying of information or documents - 2 - containing all or any portion of an individual's Social Security number. However,the City shall redact Social Security numbers from the information or documents before allowing the public inspection or copying of the information or documents. When collecting Social Security numbers, the City shall request each Social Security number in a manner that makes the Social Security number easy to redact, if required to be released as part of a public records request. vi. The collection or use of Social Security numbers to investigate or prevent fraud; to conduct background checks; to collect a debt; to obtain a credit report from a consumer reporting agency under the federal Fair Credit Reporting Act; to undertake any permissible purpose that is enumerated under the federal Gramm Leach Bliley Act; or to locate a missing person, a lost relative or a person who is due a benefit,such as a pension benefit or an unclaimed property benefit. d. Any standards of the City of Elgin for the collection, use or disclosure of Social Security numbers that are stricter than the standards under this policy with respect to the protection of those Social Security numbers,then,in the event of any conflict with the provisions of this policy,the stricter standards adopted by the City of Elgin shall control. 3. Public Inspection and Copying of Documents. Notwithstanding any other provision of this policy to the contrary, all officers and employees of the City of Elgin shall comply with the provisions of the Illinois Freedom of Information Act,5 ILCS 140/1, et seq., and any other state law with respect to allowing the public inspection and copying of information or documents containing all or any portion of an individual's Social Security number. All officers and employees of the City of Elgin shall redact Social Security numbers from the information or documents before allowing the public inspection or copying of the information or documents. 4. Applicability. a. This policy shall not apply to the collection, use or disclosure of a Social Security number as required by state or federal law, rule or regulation. b. This policy does not apply to documents that are required to be open to the public under any state or federal law,rule or regulation,applicable case law, Supreme Court rule or the Constitution of the State of Illinois. 5. Compliance with Federal Law. If a federal law takes effect requiring any federal agency to establish a national unique patient health identifier program, the City of Elgin shall follow that law. - 3 - 6. Embedded Social Security Numbers. No officer or employee of the City of Elgin may encode or embed a Social Security number in or on a card or document, including,but not limited to,using a bar code,chip,magnetic strip,RFID technology or other technology, in place of removing the Social Security number as required by this policy. 7. Identity Protection Requirements. a. All officers, employees and agents of the City of Elgin identified as having access to Social Security numbers in the course of performing their duties shall be trained to protect the confidentiality of Social Security numbers. Training shall include instructions on the proper handling of information that contains Social Security numbers from the time of collection through the destruction of the information. b. Only employees who are required to use or handle information or documents that contain Social Security numbers have access to such information or documents. c. Social Security numbers requested from an individual shall be provided in a manner that makes the Social Security number easily redacted if required to be released as part of a public records request. d. When collecting a Social Security number or upon request by the individual, a statement of the purposes for which the City of Elgin is collecting and using the Social Security number shall be provided. e. A written copy of this policy and any amendments thereto shall be filed with the city council within thirty (30) days after approval of this policy or any amendment thereto. f. The City of Elgin shall advise its employees of the existence of this policy and make a copy of the policy available to each employee, and shall also make this privacy policy available to any member of the public upon request. If the City of Elgin amends this policy,the City of Elgin shall also advise its employees of the existence of the amended policy and make a copy of the amended policy available to each employee. 8. Violation. Any person who intentionally violates the prohibitions in Section 10 of the Identity Protect Act (paragraph 2 of this policy) is guilty of a Class B misdemeanor. 9. Scope. This policy does not supersede any more restrictive law, rule or regulation regarding the collection, use or disclosure of Social Security numbers. - 4 - 10. Statement of Purpose. A Statement of Purpose is attached hereto and made a part hereof as Attachment A. - 5 - ATTACHMENT A STATEMENT OF PURPOSE FOR COLLECTION OF SOCIAL SECURITY NUMBERS BY THE CITY OF ELGIN The Identity Protection Act(5 ILCS 179/1 et seq.) and the Identity Protection Policy of the City of Elgin (the "City') require the City to provide an individual with a statement of the purpose or purposes for which the City is collecting and using the individual's Social Security Number("SSN") any time an individual is asked to provide the City with his or her SSN or upon request of the individual. This Statement of Purpose is being provided to you because you have been asked by the City to provide your SSN or because you requested a copy of this Statement of Purpose. Why do we collect your Social Security number? You are being asked for your SSN for one or more of the following reasons: Employment Volunteer(background check) Contract payment W-9 What do we do with your Social Security number? We will only use your SSN for the purpose for which it was collected. We will not: • Sell, lease, loan,trade or rent your SSN to a third party for any purpose; • Publicly post or publicly display your SSN; • Print your SSN on any card required for you to access our services; • Require you to transmit your SSN over the interne,unless the connection is secure or your SSN is encrypted; or • Print your SSN on any materials that are mailed to you, unless state or federal law requires that number to be on documents mailed to you. If mailed,your SSN will not be visible without opening the envelope in which it is contained. Questions or complaints about this Statement of Purpose: Write to: City of Elgin Attn: Human Resources Director 150 Dexter Court Elgin, IL 60120 - 6 - . r • '. ulh REPORT TO MAYOR & MEMBERS OF CITY COUNCIL_ E L I N THE CITY IN THE SUBURBS- AGENDA ITEM: E MEETING DATE: May 11, 2011 ITEM: Ordinance Adopting an Identity Protection Policy (No Cost to the City) OBJECTIVE: To protect social security numbers from unauthorized disclosure and to comply with the requirements of the Illinois Identity Protection Act. RECOMMENDATION: Approval of the Ordinance adopting an identity protection policy. • BACKGROUND In response to growing concerns regarding fraudulent use of Social Security numbers, Illinois created the Social Security Number Protection Task Force in 2004. The Task Force consisted of various members representing interested state entities. The purpose of the Task Force was to explore changes which would replace the use of Social Security numbers by state and local governmental agencies. In response to the recommendations of the Task Force, in January 2010, the Illinois State Legislature passed the Identity Protection Act, which became effective on July 1, 2010. The Act limits a municipality's ability to post or display an individual's Social Security number; print an individual's Social Security number on cards for the access of products and services or on mailed materials; require an individual to transmit a Social Security number via the internet; or collect Social Security numbers in general. The Act also requires public sector employers to have an identity protection policy in place by June 1, 2011. OPERATIONAL ANALYSIS The purpose of the Act and the required policy is to protect Social Security numbers from unauthorized disclosure which can be used to facilitate identity theft. In addition, the Act requires that all employees must be made aware of the policy and a copy must be made • available to the public upon request. Staff who have access to Social Security numbers must be • trained on the proper handling of information containing Social Security numbers from the time of collection to the time of destruction. The Act requires that the policies adopted by all affected governmental agencies must: 1.. Specifically designate the Identity Protection Act. 2. Require all employees with access to Social Security numbers in the course of their work duties to receive training on protecting the confidentiality of Social Security numbers. The training must include instructions on properly handling information containing Social Security numbers from the time of collection through the time of destruction. 3. Direct that only employees who are required to use or handle information or documents containing Social Security numbers have access to such information or documents. 4. Require that Social Security numbers requested from an individual be provided in a format that allows Social Security numbers to be easily redacted if required to be released as part of a public records requests. 5. Require the governmental agency to set forth a statement of the purpose or purposes for which the agency is collecting and using the Social Security numbers when collecting Social Security numbers from individuals. • The city is required to fully implement the training aspects of the policy within twelve (12) months of the approval of its identity protection policy. Attached is a proposed ordinance adopting an identity protection policy in accordance with the Identity Protection Act. INTERESTED PERSONS CONTACTED The recommended policy complies with the requirements of the Identity Protection Act and has been drafted using a number of sources, including the Illinois Municipal League and the policies adopted by various Illinois governmental agencies, including, but not limited to, the Village of Lombard; the Lake County Forest Preserve District; the Illinois Board of Higher Education; the Village of Sugar Grove; the City of Peoria; the City of Warrenville; and the Village of Rantoul. The policy is also reflective of the issues raised by the report to the Illinois General Assembly of the Social Security Number Protection Task Force. FINANCIAL ANALYSIS There are no direct costs associated with this initiative. • • BUDGET IMPACT FUND(S) ACCOUNT(S) PROJECT#(S) AMOUNT AMOUNT BUDGETED AVAILABLE N/A N/A N/A N/A N/A LEGAL IMPACT The Illinois Identity Protection Act (5 ILCS 179/1) requires the city to adopt an identity protection policy which conforms to certain minimum guidelines. ALTERNATIVES The city is required to adopt a policy on identity protection in conformance with the Identity Protection Act's requirements. Therefore, the city must either adopt (1) the recommended policy; or (2) an amended version of the recommended identity protection policy which conforms to the Act's requirements. NEXT STEPS Implementation of the identity policy's provisions, including, but not limited to, training staff • within the next year. Originators: Michael R. Gehrman, Assistant Corporation Counsel Final Review: Colleen Lavery, Chief Financial Officer William A. Cogley, Corporation Counsel/Chief Development Officer Richard G. Kozal, Assistant City Manager/Chief Operating Officer Approved: Sean R. Stegall, City Manager ATTACHMENTS A. Proposed Ordinance • • Ordinance No.Gxx-11 AN ORDINANCE ADOPTING AN IDENTITY PROTECTION POLICY IN ACCORDANCE WITH THE IDENTITY PROTECTION ACT WHEREAS,the State of Illinois enacted the Identity Protection Act(5 ILCS 179/1,et seq.) (the"Act"),effective June 1, 2010; and WHEREAS, the Act requires state and local government agencies, including the City of Elgin (the "City") to take certain steps to protect Social Security numbers from unauthorized disclosure; and WHEREAS,the Act further requires the City to implement an Identity Protection Policy,as defined by the Act,by June 1, 2011; and WHEREAS, the City has developed an Identity Protection Policy in the form provided herein. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS: • Section 1. Recitals. The recitals set forth above are incorporated as part of this ordinance by this reference. Section 2. Approval of Policy. The City hereby approves and adopts the Identity Protection Policy in the form attached to this ordinance. Section 3. Effective Date. This ordinance shall be in full force and effect as of May 31, 2011, from and after its passage,approval and publication in the manner required by law. David J. Kaptain, Mayor Presented: Adopted: Vote: Yeas Nays: Recorded: Attest: Jennifer Quinton,Acting City Clerk • F:\Legal Dept\Ordinances\dentity Protection Policy.doc i CITY OF ELGIN IDENTITY PROTECTION POLICY WITH REGARD TO THE COLLECTION,USE AND COMMUNICATION OF INDIVIDUALS' SOCIAL SECURITY NUMBERS This policy is to comply with the Identity Protection Act, as amended(5 ILCS 179/1, et seq.). 1. Definitions. a. "Person"means any individual in the employ of the City of Elgin. b. "Publicly post" or "publicly display" means to intentionally communicate or otherwise intentionally make available to the general public. 2. Prohibited Activities. a. No officer or employee of the City of Elgin shall do any of the following: i. Publicly post or publicly display in any manner an individual's Social Security number. • ii. Print an individual's Social Security number on any card required for the individual to access products or services provided by the person or entity. iii. Require an individual to transmit his or her Social Security number over the internet, unless the connection is secure or the Social Security number is encrypted. iv. Print an individual's Social Security number on any materials that are mailed to the individual through the U.S. Postal Service, any private mail service, electronic mail or any similar method delivery, unless state or federal law requires the Social Security number to be on the document to be mailed. Notwithstanding any provision in this section to the contrary, Social Security numbers may be included in applications and forms sent by mail, including, but not limited to, any material mailed in connection with the administration of the Unemployment Insurance Act, any material mailed in connection with any tax administered by the Department of Revenue, and documents sent as part of an application or enrollment process or to establish, amend or terminate an account, contract or policy, or to confirm the accuracy of the Social Security number. A Social Security number that may permissibly be mailed under this section may not be printed, in whole or in part, on a postcard or other mailer that does not require an envelope or be visible on an envelope without the envelope having been opened. • Sb. Except as otherwise provided by this policy, no officer or employee of the City of Elgin shall do any of the following: i. Collect, use or disclose a Social Security number from an individual unless (a) required to so under state or federal law, rules or regulations, or the collection, use or disclosure of the Social Security number is otherwise necessary for the performance of that agency's duties and responsibilities; (b) the need and purpose for the Social Security number is documented before collection of the Social Security number; and (c) the Social Security number collected is relevant to the documented need and purpose. ii. Require an individual to use his or her Social Security number to access an internes website. iii. Use the Social Security number for any purpose other than the purpose for which it was collected. c. The prohibitions in subsection (b) shall not apply in the following circumstances: i. The disclosure of Social Security numbers to agents, employees, • contractors or subcontractors of the City of Elgin or disclosure to another governmental entity or its agents, employee, contractors or subcontractors if disclosure is necessary in order for the entity to perform its duties and responsibilities; and, if disclosing to a contractor or subcontractor, prior to such disclosure, the officer or employee of the City of Elgin must first receive from the contractor or subcontractor a copy of the contractor's or subcontractor's policy that sets forth how the requirements imposed under this policy on the City of Elgin to protect an individual's Social Security number will be achieved. ii. The disclosure of Social Security numbers pursuant to a court order, warrant or subpoena. iii. The collection, use or disclosure of Social Security numbers in order to ensure the safety of City of Elgin employees; persons committed to correctional facilities, local jails and other law enforcement facilities or retention centers; wards of the state; and all persons working in or visiting a City of Elgin facility. iv. The collection, use or disclosure of Social Security numbers for internal verification or administrative purposes. v. The City shall comply with the provisions of the Illinois Freedom of • Information Act (5 ILCS 140/1 et seq.) and any other state law with -2 - • respect to allowing the public inspection and copying of information or documents containing all or any portion of an individual's Social Security number. However,the City shall redact Social Security numbers from the information or documents before allowing the public inspection or copying of the information or documents. When collecting Social Security numbers, the City shall request each Social Security number in a manner that makes the Social Security number easy to redact, if required to be released as part of a public records request. vi. The collection or use of Social Security numbers to investigate or prevent fraud; to conduct background checks; to collect a debt; to obtain a credit report from a consumer reporting agency under the federal Fair Credit Reporting Act; to undertake any permissible purpose that is enumerated under the federal Gramm Leach Bliley Act; or to locate a missing person, a lost relative or a person who is due a benefit, such as a pension benefit or an unclaimed property benefit. d. Any standards of the City of Elgin for the collection, use or disclosure of Social Security numbers that are stricter than the standards under this policy with respect to the protection of those Social Security numbers, then, in the event of any conflict with the provisions of this policy, the stricter standards adopted by the City of Elgin shall control. 3. Public Inspection and Copying of Documents. Notwithstanding any other provision of this policy to the contrary, all officers and employees of the City of Elgin shall comply with the provisions of the Illinois Freedom of Information Act, 5 ILCS 140/1, et seq., and any other state law with respect to allowing the public inspection and copying of information or documents containing all or any portion of an individual's Social Security number. All officers and employees of the City of Elgin shall redact Social Security numbers from the information or documents before allowing the public inspection or copying of the information or documents. 4. Applicability. a. This policy shall not apply to the collection, use or disclosure of a Social Security number as required by state or federal law, rule or regulation. b. This policy does not apply to documents that are required to be open to the public under any state or federal law, rule or regulation, applicable case law, Supreme Court rule or the Constitution of the State of Illinois. 5. Compliance with Federal Law. If a federal law takes effect requiring any federal agency to establish a national unique patient health identifier program, the City of Elgin shall follow that law. • - 3 - • 110 6. Embedded Social Security Numbers. No officer or employee of the City of Elgin may encode or embed a Social Security number in or on a card or document, including, but not limited to, using a bar code, chip, magnetic strip, RFID technology or other technology, in place of removing the Social Security number as required by this policy. 7. Identity Protection Requirements. a. All officers, employees and agents of the City of Elgin identified as having access to Social Security numbers in the course of performing their duties shall be trained to protect the confidentiality of Social Security numbers. Training shall include instructions on the proper handling of information that contains Social Security numbers from the time of collection through the destruction of the information. b. Only employees who are required to use or handle information or documents that contain Social Security numbers have access to such information or documents. c. Social Security numbers requested from an individual shall be provided in a manner that makes the Social Security number easily redacted if required to be released as part of a public records request. • d. When collecting a Social Security number or upon request by the individual, a statement of the purposes for which the City of Elgin is collecting and using the Social Security number shall be provided. e. A written copy of this policy and any amendments thereto shall be filed with the city council within thirty(30)days after approval of this policy or any amendment thereto. f. The City of Elgin shall advise its employees of the existence of this policy and make a copy of the policy available to each employee, and shall also make this privacy policy available to any member of the public upon request. If the City of Elgin amends this policy, the City of Elgin shall also advise its employees of the existence of the amended policy and make a copy of the amended policy available to each employee. 8. Violation. Any person who intentionally violates the prohibitions in Section 10 of the Identity Protect Act (paragraph 2 of this policy) is guilty of a Class B misdemeanor. 9. Scope. This policy does not supersede any more restrictive law, rule or regulation regarding the collection, use or disclosure of Social Security numbers. • -4 - . • • • 10. Statement of Purpose. A Statement of Purpose is attached hereto and made a part hereof as Attachment A. • • - 5 - • iATTACHMENT A STATEMENT OF PURPOSE FOR COLLECTION OF SOCIAL SECURITY NUMBERS BY THE CITY OF ELGIN The Identity Protection Act (5 ILCS 179/1 et seq.) and the Identity Protection Policy of the City of Elgin (the "City') require the City to provide an individual with a statement of the purpose or purposes for which the City is collecting and using the individual's Social Security Number ("SSN") any time an individual is asked to provide the City with his or her SSN or upon request of the individual. This Statement of Purpose is being provided to you because you have been asked by the City to provide your SSN or because you requested a copy of this Statement of Purpose. Why do we collect your Social Security number? You are being asked for your SSN for one or more of the following reasons: Employment Volunteer(background check) Contract payment W-9 • What do we do with your Social Security number? We will only use your SSN for the purpose for which it was collected. We will not: • Sell, lease, loan,trade or rent your SSN to a third party for any purpose; • Publicly post or publicly display your SSN; • Print your SSN on any card required for you to access our services; • Require you to transmit your SSN over the internet, unless the connection is secure or your SSN is encrypted; or • Print your SSN on any materials that are mailed to you, unless state or federal law requires that number to be on documents mailed to you. If mailed, your SSN will not be visible without opening the envelope in which it is contained. Questions or complaints about this Statement of Purpose: Write to: City of Elgin Attn: Human Resources Director 150 Dexter Court Elgin, IL 60120 411 - 6 -