SB3413 99TH GENERAL ASSEMBLY

LRB099 21243 SMS 46727 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB3413

Introduced 4/5/2016, by Sen. Bill Cunningham

SYNOPSIS AS INTRODUCED:

30 ILCS 105/5.875 new
205 ILCS 510/5	from Ch. 17, par. 4655
205 ILCS 510/7.7 new

Amends the Pawnbroker Regulation Act. Provides that within 60 days after the date of notification by the Illinois State Police of acceptable digital standards, every pawnbroker must take a digital image of each customer pledging or pawning any goods, articles, or other things and every item pawned or sold to the pawnbroker. Sets forth definitions for the following: "Automated Property Tracking Database System", "interchange file specification format", "point of sale data", and "reportable transaction". Requires every pawnbroker to transmit the point of sale data collected for every reportable transaction electronically from the pawnbroker's computer system to the Illinois State Police Automated Property Tracking Database System. Provides that in addition to any other fines and penalties imposed under applicable State and federal laws, a fine of up to $200 may be imposed upon any person who pledges or pawns any stolen goods, articles, or other items to a pawnbroker and is subsequently found guilty of theft. Provides that moneys collected pursuant to the provisions concerning fines shall be deposited into the Automated Property Tracking Database Reporting Fund and used for the purpose of administering and enforcing the Automated Property Tracking Database reporting requirements. Amends the State Finance Act to create the Automated Property Tracking Database System Reporting Fund.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The State Finance Act is amended by adding Section 5.875 as follows:

(30 ILCS 105/5.875 new)

Sec. 5.875. The Automated Property Tracking Database System Reporting Fund.

Section 10. The Pawnbroker Regulation Act is amended by changing Section 5 and by adding Section 7.7 as follows:

(205 ILCS 510/5) (from Ch. 17, par. 4655)

Sec. 5. Record requirements.

(a) Except in municipalities located in counties having 3,000,000 or more inhabitants, every pawn and loan broker shall keep a standard record book that has been approved by the sheriff of the county in which the pawnbroker does business. In municipalities in counties with 3,000,000 or more inhabitants, the record book shall be approved by the police department of the municipality in which the pawn or loan broker does business. At the time of each and every loan or taking of a pledge, an accurate account and description, in the English language, of all the goods, articles and other things pawned or pledged, the amount of money, value or thing loaned thereon, the time of pledging the same, the rate of interest to be paid on such loan, and the name and residence of the person making such pawn or pledge shall be printed, typed, or written in ink in the record book. Such entry shall include the serial number or identification number of items received which bear such number. Except for items purchased from dealers possessing a federal employee identification number who have provided a receipt to the pawnbroker, every pawnbroker shall also record in his book, an accurate account and description, in the English language, of all goods, articles and other things purchased or received for the purpose of resale or loan collateral by the pawnbroker from any source, including other pawnshop locations owned by the same pawnbroker, not in the course of a pledge or loan, the time of such purchase or receipt and the name and address of the person or business which sold or delivered such goods, articles, or other things to the pawnbroker. No entry in such book shall be erased, mutilated or changed.

(b) Every pawnbroker shall require identification to be shown him by each person pledging or pawning any goods, articles or other things to the pawnbroker. If the identification shown is a driver's license or a State identification card issued by the Secretary of State and contains a photograph of the person being identified, only one form of identification must be shown. If the identification shown is not a driver's license or a State identification card issued by the Secretary of State and does not contain a photograph, 2 forms of identification must be shown, and one of the 2 forms of identification must include his or her residence address. These forms of identification shall include, but not be limited to, any of the following: driver's license, social security card, utility bill, employee or student identification card, credit card, or a civic, union or professional association membership card. In addition, in a municipality with a population of 1,000,000 or more inhabitants, if the customer does not have an identification issued by a governmental entity containing a photograph of the person being identified, the pawnbroker shall photograph the customer in color and record the customer's name, residence address, date of birth, social security number, gender, height, and weight on the reverse side of the photograph. If the customer has no social security number, the pawnbroker shall record this fact.

A county or municipality, including a home rule unit, may regulate a pawnbroker's identification requirements for persons pledging or pawning goods, articles, or other things to the pawnbroker in a manner that is not less restrictive than the regulation by the State of a pawnbroker's identification requirements for persons pledging or pawning goods, articles, or other things. A home rule unit may not regulate a pawnbroker's identification requirements for persons pledging or pawning goods, articles, or other things to the pawnbroker in a manner less restrictive than the regulation by the State of a pawnbroker's identification requirements for persons pledging or pawning goods, articles, or other things. This Section is a limitation under subsection (i) of Section 6 of Article VII of the Illinois Constitution on the concurrent exercise by home rule units of the powers and functions exercised by the State.

(c) A pawnbroker may maintain the records required by subsection (a) in computer form if the computer form has been approved by the Commissioner, the sheriff of the county in which the shop is located, and the police department of the municipality in which the shop is located.

(d) Records, including reports to the Secretary, maintained by pawnbrokers shall be confidential, and no disclosure of pawnbroker records shall be made except disclosures authorized by this Act or ordered by a court of competent jurisdiction. No record transferred to a governmental official shall be improperly disclosed, provided that use of those records as evidence of a felony or misdemeanor shall be a proper purpose.

(e) Pawnbrokers and their associations may lawfully give appropriate governmental agencies computer equipment for the purpose of transferring information pursuant to this Act.

(f) Within 60 days after the date of notification by the Illinois State Police of acceptable digital standards, every pawnbroker must take a digital image in the form of a color photograph or a color video recording of each customer pledging or pawning any goods, articles, or other things and every item pawned or sold to the pawnbroker. Each digital image must be electronically cross-referenced with the transaction to which it is associated. The pawnbroker must inform the customer that he or she is being photographed or videotaped by displaying a sign of sufficient size to alert the customer in a conspicuous place on the premises.

Each printed photograph must be at least 2 inches in length by 2 inches in width and must be maintained in such a manner that the photograph can be readily matched and correlated with all other records of the transaction to which they relate. Each photograph of a customer must include a clearly identifiable facial image of the person who pawned or sold the item. Each photograph of an item must depict the item accurately.

If a video photograph is taken, then the video camera must focus on the person pawning or selling the item so as to include an identifiable image of that person's face. Items photographed by video must be accurately depicted. Video photographs must be electronically referenced by time and date so they can be readily matched and correlated with all other records of the transaction to which they relate.

(Source: P.A. 99-188, eff. 1-1-16.)

(205 ILCS 510/7.7 new)

Sec. 7.7. Automated Property Tracking Database System report.

(a) As used in this Section:

"Automated Property Tracking Database System" means an electronic database system serving as a central repository for property information that is made available to all law enforcement agencies to provide communities a more effective means to manage the regulation of their pawn dealers, precious metal dealers, and any other secondhand dealers, and to enable law enforcement agencies to track and share pawn dealer, precious metal dealer, and any other secondhand dealer transaction information electronically. The automated database system may include, but is not limited to, the following specifications and features:

(1) electronic import of transaction data from the pawnshops;

(2) automated serial number checking against the National Crime Information Center stolen article files and smart matching so typographical errors can be identified;

(3) sophisticated query capabilities on persons and property;

(4) notifications to a cell phone or email account based on stored queries that can be set;

(5) a built-in process to detect an warn of possible criminal activity;

(6) web interface for easy, low-cost access; or

(7) secure law enforcement-only access.

"Interchange file specification format" means the most current version of the interchange file specification format that is used by or compatible with the implemented automated property tracking database system for documenting, tracking, and reporting any dealer point of sale data.

"Point of sale data" or "POS data" means the following: an accurate account and description, in the English language, of all the goods, articles, or other things pawned or pledged; the amount of money loaned; the time of pledging the same; the rate of interest to be paid on the loan; any information about redemptions, extensions, and renewals of pawned items; the name and residence of the person making the pawn, pledge, or sale; digital images of each customer involved in a reportable transaction and every item pawned, pledged, or sold; the serial number of each item pawned, pledged, or sold; and the amount of any fees as specified in Section 2 of this Act.

"Reportable transaction" means any transaction in which a pawnbroker makes an advancement, loan, or payment to any person pawning, pledging, or selling any property.

(b) Every pawnbroker shall transmit to the Illinois State Police the POS data collected for every reportable transaction. Upon notification by the Illinois State Police of acceptable computer system standards, it shall be the duty of every pawnbroker to transmit the POS data daily using the Automated Property Tracking Database System interchange file specification format. The POS data shall be transferred electronically from the pawnbroker's computer system to the Illinois State Police Automated Property Tracking Database System. All required records must be transmitted completely and accurately after the close of business each day in accordance with standards and procedures established by the Illinois State Police. Every pawnbroker must display a sign of sufficient size in a conspicuous place in the premises which informs patrons that all transactions are reported to the Illinois State Police daily.

If the pawnbroker provides records in an electronic format, the records must be provided in a system compatible with an interchangeable file specification format. Any transaction that does not meet the Automated Property Tracking Database System interchange file specification format must be corrected and resubmitted the next business day. If a pawnbroker is unable to successfully transfer the required reports electronically, then the pawnbroker must provide the Illinois State Police, upon request, printed copies of all reportable transactions along with the video tape for that date by noon of the next business day. If the problem is determined to be in the pawnbroker's computer system and is not corrected by the close of the first business day following the failure, then the pawnbroker must provide printed copies of the required reports as detailed in this Section until the error is corrected. If the problem is determined to be outside of the pawnbroker's system, then the pawnbroker must continue to provide the required reports in print format and resubmit all such transactions electronically when the error is corrected.

(c) In addition to any other fines and penalties imposed under applicable State and federal laws, a fine of up to $200 may be imposed upon any person who pledges or pawns any stolen goods, articles, or other items to a pawnbroker and is subsequently found guilty of theft as defined in Section 16-1 of the Criminal Code of 2012. This additional amount shall be assessed by the court imposing sentence and shall be collected by the Circuit Clerk in addition to any other fines and costs in the case. Each such additional penalty shall be remitted by the Circuit Clerk to the State Treasurer for deposit into the Automated Property Tracking Database System Reporting Fund. The Circuit Clerk shall retain 10% of such penalty to cover the costs incurred in administering and enforcing this Section.

(d) The Automated Property Tracking Database System Reporting Fund is established as a special fund in the State treasury. Moneys collected pursuant to this Section shall be deposited into the Fund and used for the purpose of administering and enforcing this Section.