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Daily Legislative Brief from February 4, 2020

Information Technology

HB 1391 – Relating to Technological Development

On Tuesday, February 4, HB 1391 by Representative James Grant (R-Tampa) was heard by the House Insurance & Banking Subcommittee and was reported favorable with 14 yeas and 0 nays. AIF stood in support of this legislation.

The Department of Management Services (DMS) oversees information technology governance and security for the executive branch of state government. The Division of State Technology (DST), a subdivision of DMS subject to its control and supervision, implements DMS’s duties and policies in this area.

The bill:

  • Abolishes DST and establishes the Florida Digital Service (FDS) in its place.
  • Places new duties and responsibilities under FDS and expands the duties and responsibilities currently assigned to DMS and DST.
  • Tasks FDS with procuring a credential service provider for the purpose of creating digital driver licenses or identification cards.
  • Creates the Enterprise Architecture Advisory Council as a 13-member advisory council within DMS.
  • Creates the Division of Telecommunications within DMS, removes DST as the head of the E911 system in Florida, and places the Division of Telecommunications as its new head.

The Office of Financial Regulation (OFR) regulates money services businesses, which include money transmitters and payment instrument sellers. The bill creates the Financial Technology Sandbox within the OFR to allow a person to make an innovative financial product or service available to consumers as a money transmitter or payment instrument seller during a sandbox period that is initially not longer than 24 months but which can be extended one time for up to 12 months. The sandbox provides regulatory flexibility by permitting the OFR to waive specified statutes and corresponding rule requirements.

HB 1391 will now move to the House Government Operations & Technology Appropriations Subcommittee.

AIF supports stronger investments in IT and the modernization of Florida’s outdated systems and processes that will greatly benefit the government and business relationship in the state.