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The Terminator Terminates E-Payments Bill
by Chloe Albanesius
California Gov. Arnold Schwarzenegger last week vetoed a measure calling on state financial officials to develop a plan to move from paper-based to electronic payments.
In his veto message, the Republican governor wrote that while the measure, A.B. 2738, is "certainly meritorious," he thinks it is unnecessary because "I assume the state controller is already planning for such an eventuality." The bill also would impose more responsibilities on state officials without providing the funds to do the tasks, Schwarzenegger said.
In other news, Schwarzenegger signed into law another measure, A.B. 2840, that would prohibit rental-car companies that operate electronic surveillance in their vehicles from using those systems to gather specific information about how cars are used and from sharing that information with third parties.
One of several measures related to the outsourcing of jobs to other countries also was sent to Schwarzenegger's desk Friday. The bill, S.B. 1451, would require that individuals employed by California companies that handle sensitive information abide by state privacy laws, regardless of whether they are located overseas. Violators could be held responsible in California court for damages. "If they violate our privacy, it will be our courts that make sure they are brought to justice," state Sen. Liz Figueroa, the Democrat who authored the bill, said in a statement.
If the governor signs the bill, "no California customer will have to give up their legal rights and protections just because the company they are doing business with decides to participate in the global economy," Figueroa said.
Another Figueroa measure, S.B. 1633, reached the governor's desk. It would forbid those who handle patient medical information from selling that data to direct marketers.
Michigan Online Sales Tax Takes Effect
Under new laws that took effect Wednesday, catalog and online purchases within Michigan are now subject to sales taxes, and the state officially joins the Streamlined Sales Tax Project (SSTP), which would let states tax cross-border online sales.
Earlier this year, Tricia Kinley, director of tax policy and economic development for the Michigan Chamber of Commerce, testified before the House Tax Policy Committee that the SSTP-related part of the package "creates no new tax obligations for Michigan businesses. SSTP represents an opportunity to simplify the administration of extremely complex sales and use tax statutes for business in general."
In other news, the Great Falls Tribune reports that commissioners for Cascade County in Montana will post online property values and taxes. Residents will be able to access information about paid property taxes and delinquent tax amounts via the county's Web site in the next week, Treasurer Jess Anderson said. Some watchdogs, however, said people who request to have their information removed from telephone books should have the right to have that information removed from the Internet as well.
And in West Virginia, Gov. Bob Wise last week announced that three regional motor-vehicle offices have installed one-stop information centers. Drivers can access the Internet, phones and printers in order to find key forms and documents. The project will "provide a bridge between citizens and government to ensure that needs are met," Wise said in a release.
Illinois Prosecutor Touts Sex-Offender Registry
Illinois Attorney General Lisa Madigan on Wednesday urged citizens to visit the Web site for the state's registry of convicted sex offenders in order to be informed of who is living in their neighborhoods.
"This is not a pleasant Web site, but it contains information that each of us should know," she said in a statement.
Recently enacted legislation, S.B. 2607, added to the registry sex offenders' compliance status, criminal history and clearly marked "sexual predator" labels for those offenders deemed most dangerous. The site is now available in Spanish. Madigan also created a hotline for questions and tips about sex offenders.
While compliance with the mandate for sex offenders to register is at an all-time high of 90 percent in Illinois, more needs to be done, she said. "We cannot allow 10 percent of sex offenders ... to fall off the radar screen."
In other news, Michigan Attorney General Mike Cox announced last week that his Internet crime unit arrested two men for allegedly arranging sexual encounters online with a Michigan law enforcement agent posing as 14-year-old girls. The men were arrested when they arrived for their meetings.
California Telecom Bill of Rights Upheld
The California Public Utilities Commission (PUC) last month rejected a request from telecommunications carriers to delay implementation of the state's telecom consumer bill of rights. The carriers' claims "lacked merit," according to PUC attorneys.
"We worked long and hard to come up with a bill of rights that I think is fair in balancing the needs of consumers with consideration for the industry," Commissioner Geoffrey Brown said in a press release.
The PUC in May approved rules regulating the marketing, billing and contract practices of wireless firms. Carriers must more clearly label bills, avoid deceptive marketing practices and allow customers to opt out of their contracts within the first 30 days of purchase.
The decision drew criticism from industry officials, who claimed that the rules hamper innovation and competition.
Attorneys General Target Telemarketing Schemes
North Carolina officials have punished a Delaware company for deceptive telemarketing practices to overcharge state consumers, Attorney General Roy Cooper said last week.
GoInternet.com is accused of calling people to sign them up for services and then placing charges on their bills regardless of whether they agreed to take the services. As part of a settlement, the company now must get written authorization from their customers before billing them for Internet and telecom services and must make charges clear. The company also must provide refunds to affected consumers and pay $50,000 to the state.
In California, Attorney General Bill Lockyer last week secured a $1.89 million settlement against Florida-based Integrated Credit Solutions and Lighthouse Credit Foundation for false advertising and unfair business practices via pre-recorded telemarketing calls and excessive monthly fees. The companies will pay $1.4 million in restitution to more than 7,000 California consumers duped by the scam. They also will pay $275,000 in civil penalties and $175,000 in reimbursement for investigation and prosecution costs.
"These faceless entities exploited thousands of debt-strapped Californians," Lockyer said in a statement. "This settlement holds them accountable."
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