Title
Federal FACTAct (2003) Identity Theft Red Flag Ruling (B)
Staff is requesting approval of a proposed Identify Theft Detection and Prevention Program.
Explanation
Under the revisions to the FACT Act 2003 (Fair and Accurate Credit Transactions Act), creditors, including utilities, are required to have policies and procedures in place by November 1, 2008 which meet the standards outlined by Federal Agencies including the Federal Trade Commission. There are a number of red flags or potential warnings of identity theft included in the current legislation. Portions of these occur more frequently in utilities than other entities. The proposed FACT Act Compliance Plan specifies the policies and procedures that will be used by GRU to comply with the requirements of this legislation. The Plan may require revisions as practice, business, and further regulation dictate
Recommendations
The City Commission 1) approve GRU's proposed FACT Act Compliance Plan; 2) authorize the General Manager for Utilities or his designee to make further revisions to the Plan as required by practice, business, and the Federal Trade Commission.
Fiscal Note
Estimated additional costs associated with Equifax consumer identity verification are $17,000/year. These additional costs may offset some operating costs in Customer Service by reducing labor costs for deposit and account collections as well as provide a reduction in write-offs.
Drafter
Prepared by Cindy Andrade, Director Customer Operations
Submitted by Robert E. Hunzinger, General Manager