League Submits Comment Letter: Modified Proposed CCPA Regs

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On Feb. 25, the California Credit Union League submitted a comment letter on the modified proposed regulations concerning the California Consumer Privacy Act (CCPA).

California Attorney General Xavier Becerra released proposed regulations governing compliance with the CCPA on Oct. 11, 2019. Then on Feb. 7, and again on Feb. 10, Becerra issued modified regulations in response to comments received on the proposed rules and/or to clarify and conform the proposed regulations to existing law.

The League supports some of the modifications but still has significant concerns on several issues, including:

  • Clarity needed regarding “doing business in California.”
  • Clarity needed regarding the Gramm-Leach-Bliley Act (GLBA) and California Financial Information Privacy Act (CFIPA) exemption.
  • Model notices are needed.
  • Clarity and consistent language are needed regarding “financial incentives” throughout the regulation.

The League included numerous other observations and recommendations in its comment letter on the modified proposed regulations. To read the full comment letter, click here.

When Can CUs Expect Final Rules?
The rulemaking process is long and complicated. However, the regulations appear to be on track for a July 1, 2020 effective date.

The second notice and comment period for the proposed and modified regulations ended Feb. 25, 2020. If there are any further substantive changes made based on those comments, then an additional notice and comment period will be required.

Once the notice and comment periods are completed, the California Attorney General’s Office will submit the rule to the California Office of Administrative Law (OAL). The OAL then has 30 working days to review the rulemaking to ensure it has met the administrative procedure requirements. If so, then the OAL will file the rule with the California Secretary of State. Government Code 11343.4 provides that if the rule is filed between March 1 and May 31, the effective date will be July 1; if filed between June 1 and Aug. 31, the effective date will be Oct. 1.

However, the final regulation's effective date does not change the statute’s enforcement date. It means the attorney general can begin enforcing the law, regardless of final regulations being in place, beginning on July 1, 2020.

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