SB 511 — Regulating pawnbrokers

SB511 SFATSFA #2#1 Jeffries 2-202-24 Alder  7824               Senators Jeffries, Lindsay, and Trump moved to amend the bill on page five, by striking outall theof titlesection four and substitutinginserting thereforin lieu thereof a new title,section, designated section four, to read as follows:

Eng.§47-26-4.

Com.Providing information to law-enforcement agencies;

Sub.providing information through third-party database.

for(a) SenateThe Billpawnbroker 511—Ashall Billsatisfy tothe amendrequirements andof reenact§47-26-2 §47-26-1,of §47-26-2,this andcode §47-26-3by oftransmitting the Codepawn ofand Westpurchase Virginia,transaction 1931,information aselectronically amended;to a database in accordance with this section:

andProvided, toThat amendpaper saidcopies codeshall bybe addingmade theretoavailable twofor newan sections,on-site designatedinspection §47-26-2aupon andrequest §47-26-4,of allany generallyappropriate relatinglaw-enforcement toauthority. the regulation of pawnbrokers;

removing(b) anAs exceptionused forin certainthis transactionssection: from the report required of all pawnbrokers;

requiring“Database” allmeans pawnbrokersa tocomputer bedatabase equippedestablished withand certainmaintained surveillanceby equipmenta third party engaged in the business of establishing and signagemaintaining effectiveone Januaryor 1,more 2021;databases;

prohibiting“Permitted pawnbrokersuser” frommeans doinga businessperson withauthorized certainby persons;law-enforcement personnel to access the database;

prohibiting“Reportable data” means the information required to be recorded by pawnbrokers fromfor purchasingpawn certainand itemspurchase ortransactions transactingpursuant withto certain§47-26-2 itemsof fromthis anyone;code, excluding the information recorded under §47-26-2(b)(1) ;

creating“Reporting misdemeanorpawnbroker” offensesmeans fora certainpawnbroker violations;who transmits reportable data electronically to the database;

directingand information“Search” tomeans bethe providedaccessing toof lawa enforcement;single database record.

requiring(c) provisionThe ofdatabase certainshall provide appropriate law-enforcement officials with the information contained in §47-26-2 of this code of this article to afacilitate third-partythe reportinginvestigation database,of alleged property crimes while protecting the privacy rights of pawnbrokers and providingpawnshop certaincustomers exceptionswith regard to thosetheir reportingtransactions. requirements;

and(d) increasingThe thedatabase penaltiesshall forenable existingreporting criminalpawnbrokers offensesto relatedtransmit to pawnbrokers.the database through the Internet reportable data for each pawn and purchase transaction.

 The  database  shall Adoptedcontain Rejectedthe  reportable  data recorded by reporting pawnbrokers pursuant to this section.

The database shall also contain security features and protections necessary to ensure that the reportable data maintained in the database can only be accessed by permitted users in accordance with the provisions of this section.

Pawn and purchase transaction information shall maintain its confidential status and shall only be used for law-enforcement purposes consistent with the provisions of this article.

(e) A pawnbroker shall be responsible for establishing and maintaining the database.

A pawnbroker may charge law-enforcement agencies for access to the database.

Law-enforcement agencies may be charged directly by the third party or by the pawnbroker for access to the database, and the charge shall be reasonable in relation to the costs of the pawnbroker in establishing and maintaining the database.

(f) The information in the database may only be accessible through the Internet to permitted users who have provided a secure identification or access code to the database.

A permitted user may access database information from any jurisdiction within this state.

The database shall record, for each search, the identity of the permitted user, the pawn or purchase transaction involved in the search, and the identity of any customer accessed through the search.

Each search record shall be made available to other permitted users within this state regardless of their jurisdiction.

(g) A pawnbroker shall meet the following requirements:

(1) Provide all reportable data to permitted users by transmitting it through the internet to the database;

(2) Transmit all reportable data for one business day to the database prior to the end of the following business day;

and (3) Make available for on-site inspection to any appropriate law-enforcement official, upon request, paper copies of any pawn or purchase transaction documents.

(h) If a reporting pawnbroker or permitted user discovers any error in the reportable data, notice of the error shall be given to the database, which has 30 days in which to correct the error.

Any reporting pawnbroker experiencing a computer malfunction preventing the transmission of reportable data or receipt of search requests is allowed no more than 60 days to repair the malfunction, and during that period the pawnbroker is not in violation of this section if good faith efforts are made to correct the malfunction.

(i) A reporting pawnbroker is not obligated to incur any cost, other than Internet service costs, in preparing, converting, or delivering its reportable data to the database.