Smith bill to protect Washingtonians’ private information unanimously passes House

In a 98-0 vote Wednesday, the House approved a bill sponsored by Rep. Norma Smith to protect Washingtonians’ payment credentials in business transactions with state agencies.

Under House Bill 1421, all state agencies would be prohibited from storing payment credentials on state data systems, and would be required to eliminate existing payment credentials by July 1, 2020. Third-party companies fully compliant with industry-leading security standards would store this data instead. An amendment introduced by Smith before the floor vote on HB 1421 specified these companies would be barred from transferring, selling, trading, monetizing, or otherwise sharing payment credentials, unless required by law.

In its 2017 Data Breach Report, the Attorney General’s Office revealed in both 2016 and 2017, financial information was the most commonly compromised type of personal data.

“Last year, there were 78 data breaches in our state that affected 2.7 million Washingtonians. That’s more than one-third of the population,” said Smith, R-Clinton. “In this 21st century economy built on big data, we must ensure the payment credentials Washingtonians entrust to us are protected.”

In addition to the above policy changes, House Bill 1421 would also require the state to develop a policy for minimizing the retention of social security numbers and other sensitive, personally identifiable information by state agencies whenever not required for the day-to-day operations of an agency, or by law.

The bill now moves to the Senate for further consideration.


Washington State House Republican Communications