2009 RES R-26-09 - Laserfiche WebLink

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IDENTITY THEFT PREVENTION PROGRAM 1. PURPOSE The Fair and Accurate Credit Transaction Act of 2003 ("FACTA"), section 114, as implernented by the Red Flag Rules, 16 C.F.R. § 681.2, issued by the Federal Trade Commission along with other federal agencies requires creditors of customer accounts to implement an Identity Theft Prevention Program. Pursuant to the regulations, City of Colton is a creditor because it provides services to customers prior to receipt of payment through customer accounts, including utility service accounts, which are maintained primarily for personal, family or household purposes and involve multiple payments or transactions, and for which there is a reasonably foreseeable risk of identity theft. Therefore, City of Colton is required to implement an Identity Theft Prevention Program. The purpose of this Identify Theft Prevention Program ("Program") is to detect, prevent and mitigate identity theft in connection with all customer accounts, taking into consideration the level of risk for identity theft given the City of Colton's scope of services provided and the types of accounts. This Program is created to identify patterns, practices and specific activities that indicate the possible existence of identity theft, hereinafter referred to as "Red Flags." The Program sets forth the procedures for detecting Red Flags and responding to Red Flags when discovered. 11. DEFINITIONS "Red Flag" shall mean a pattern, practice or specific activity that indicates the possible existence of identity theft as defined in the Red Flag Rules, and as specifically enumerated in Section [insert number]. 16 C.F.R. § 681.2. "Identity theft" shall mean a fraud committed or attempted using the personal identifying information of another person without his/her authority. 16 C.F.R. 603.2 (a). "Customer account" shall mean a utility service account or other account provided by City of Colton that constitutes a "covered account" under the Red Flag Rules. "Personal identifying information" shall mean information that may be used to identify a specific person, including, but not limited to, a social security number, date of birth, goveinment issued driver's license or identification number, government passport number, unique biometric data such as fingerprints or physical appearance, any unique electronic identification number, telephone number or address. III. DESIGNATION OF AUTHORITY The City Council of City of Colton designates the authority to develop, oversee, implement and administer the Program to the FACT ACT Committee. As part of the FACT ACT Committee's oversight responsibilities for the Program, the FACT ACT Committee is required to review and approve all material changes to the Program as necessary to address changing identity theft risks. The FACT ACT Committee is also