Senate Bill S2884E

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2884
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 30, 2019
                                ___________
 
 Introduced by Sens. SANDERS, CARLUCCI -- read twice and ordered printed,
   and  when  printed  to  be  committed  to  the  Committee  on Consumer
   Protection
 
 AN ACT to amend the general business law, in relation to prohibiting the
   disclosure or use of a person's consumer credit history to an  employ-
   er,  labor  organization,  employment  agency  or  agent  thereof  for
   purposes of employment decisions
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  380-a  of the general business law is amended by
 adding a new subdivision (u) to read as follows:
   (U) THE TERM "CONSUMER CREDIT HISTORY" MEANS  AN  INDIVIDUAL'S  CREDIT
 WORTHINESS,  CREDIT  STANDING,  CREDIT  CAPACITY  OR PAYMENT HISTORY, AS
 INDICATED BY:
   (1) A CONSUMER CREDIT REPORT;
   (2) CREDIT SCORE; OR
   (3) INFORMATION AN  EMPLOYER  OBTAINS  DIRECTLY  FROM  THE  INDIVIDUAL
 REGARDING  (I) DETAILS ABOUT CREDIT ACCOUNTS, INCLUDING THE INDIVIDUAL'S
 NUMBER OF CREDIT ACCOUNTS, LATE OR MISSED PAYMENTS,  CHARGED-OFF  DEBTS,
 ITEMS  IN COLLECTIONS, CREDIT LIMIT OR PRIOR CREDIT REPORT INQUIRIES, OR
 (II) BANKRUPTCIES, JUDGMENTS OR LIENS.
   A CONSUMER CREDIT REPORT SHALL INCLUDE ANY WRITTEN OR  OTHER  COMMUNI-
 CATION OF ANY INFORMATION BY A CONSUMER REPORTING AGENCY THAT BEARS ON A
 CONSUMER'S  CREDITWORTHINESS, CREDIT STANDING, CREDIT CAPACITY OR CREDIT
 HISTORY.
   § 2. Subdivision (d) of section 380-b of the general business  law  is
 relettered  subdivision  (f)  and  two  new subdivisions (d) and (e) are
 added to read as follows:
   (D) (1) EXCEPT AS PROVIDED IN THIS SUBDIVISION, IT SHALL BE AN  UNLAW-
 FUL DISCRIMINATORY PRACTICE FOR AN EMPLOYER, LABOR ORGANIZATION, EMPLOY-
 MENT  AGENCY  OR ANY AGENT THEREOF TO REQUEST OR TO USE, AND A VIOLATION
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01243-03-9

 S. 2884                             2
 
 OF THIS ARTICLE FOR ANY PERSON TO DISCLOSE, FOR EMPLOYMENT PURPOSES  THE
 CONSUMER  CREDIT  HISTORY OF AN APPLICANT FOR EMPLOYMENT OR EMPLOYEE, OR
 OTHERWISE DISCRIMINATE AGAINST AN APPLICANT OR EMPLOYEE WITH  REGARD  TO
 HIRING, COMPENSATION,  OR THE TERMS, CONDITIONS OR PRIVILEGES OF EMPLOY-
 MENT BASED ON THE CONSUMER CREDIT HISTORY OF THE APPLICANT OR EMPLOYEE.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO:
   (I) AN EMPLOYER, OR AGENT THEREOF, THAT IS REQUIRED BY STATE OR FEDER-
 AL LAW OR REGULATIONS OR BY A SELF-REGULATORY ORGANIZATION AS DEFINED IN
 SECTION  3(A)(26)  OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED TO
 USE AN INDIVIDUAL'S CONSUMER CREDIT HISTORY FOR EMPLOYMENT PURPOSES;
   (II) PERSONS APPLYING FOR POSITIONS AS OR EMPLOYED:
   (A) AS PEACE OFFICERS OR POLICE OFFICERS, AS THOSE TERMS  ARE  DEFINED
 IN  SUBDIVISIONS  THIRTY-THREE  AND  THIRTY-FOUR  OF SECTION 1.20 OF THE
 CRIMINAL PROCEDURE LAW, RESPECTIVELY,  OR  IN  A  POSITION  WITH  A  LAW
 ENFORCEMENT OR INVESTIGATIVE FUNCTION IN A LAW ENFORCEMENT AGENCY;
   (B)  IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO BE BONDED UNDER
 LOCAL, STATE OR FEDERAL LAW;
   (C) IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO POSSESS SECURITY
 CLEARANCE UNDER FEDERAL LAW OR THE LAW OF ANY STATE;
   (D) IN A NON-CLERICAL POSITION HAVING REGULAR ACCESS TO TRADE SECRETS,
 INTELLIGENCE INFORMATION OR NATIONAL SECURITY INFORMATION;
   (E) IN A POSITION: (I) HAVING  ACCESS  TO  THIRD  PARTY,  CONSUMER  OR
 EMPLOYER FUNDS OR ASSETS VALUED AT TEN THOUSAND DOLLARS OR MORE; OR (II)
 THAT  INVOLVES  A  FIDUCIARY  RESPONSIBILITY  TO  THE  EMPLOYER WITH THE
 AUTHORITY TO ENTER FINANCIAL AGREEMENTS OR INITIATE, MODIFY  OR  APPROVE
 PAYMENTS,  VALUED  AT  TEN  THOUSAND  DOLLARS  OR  MORE ON BEHALF OF THE
 EMPLOYER; OR
   (F) IN A POSITION WITH REGULAR  DUTIES  THAT  ALLOW  THE  EMPLOYEE  TO
 DESIGN,  MONITOR,  ACCESS,  PROVISION  ACCESS AND/OR MODIFY (I) SYSTEMS,
 APPLICATIONS  OR  DATABASES  CONTAINING  CONFIDENTIAL  EMPLOYER   AND/OR
 CUSTOMER  DATA;  OR (II) DIGITAL SECURITY SYSTEMS ESTABLISHED TO PREVENT
 THE UNAUTHORIZED USE OF THE EMPLOYER'S OR  CLIENT'S  NETWORKS  OR  DATA-
 BASES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE  OBLIGATIONS  OF  PERSONS REQUIRED BY STATE OR LOCAL LAW RELATING TO
 DISCLOSURES BY PUBLIC EMPLOYEES OF CONFLICTS OF INTEREST.
   (4) AS USED IN THIS SUBDIVISION:
   (I)  THE  TERM  "INTELLIGENCE  INFORMATION"  MEANS  RECORDS  AND  DATA
 COMPILED  FOR THE PURPOSE OF CRIMINAL INVESTIGATION OR COUNTERTERRORISM,
 INCLUDING RECORDS AND DATA RELATING  TO  THE  ORDER  OR  SECURITY  OF  A
 CORRECTIONAL  FACILITY,  REPORTS  OF  INFORMANTS, INVESTIGATORS OR OTHER
 PERSONS, OR FROM ANY TYPE OF SURVEILLANCE ASSOCIATED WITH  AN  IDENTIFI-
 ABLE  INDIVIDUAL,  OR  INVESTIGATION  OR ANALYSIS OF POTENTIAL TERRORIST
 THREATS.
   (II) THE TERM "NATIONAL  SECURITY  INFORMATION"  MEANS  ANY  KNOWLEDGE
 RELATING  TO  THE  NATIONAL  DEFENSE  OR FOREIGN RELATIONS OF THE UNITED
 STATES, REGARDLESS OF ITS PHYSICAL  FORM  OR  CHARACTERISTICS,  THAT  IS
 OWNED  BY,  PRODUCED  BY  OR  FOR, OR IS UNDER THE CONTROL OF THE UNITED
 STATES GOVERNMENT AND IS DEFINED AS SUCH BY THE UNITED STATES GOVERNMENT
 AND ITS AGENCIES AND DEPARTMENTS.
   (III) THE TERM "TRADE SECRETS" MEANS  INFORMATION  THAT:  (A)  DERIVES
 INDEPENDENT ECONOMIC VALUE, ACTUAL OR POTENTIAL, FROM NOT BEING GENERAL-
 LY  KNOWN  TO,  AND  NOT  BEING READILY ASCERTAINABLE BY PROPER MEANS BY
 OTHER PERSONS WHO CAN OBTAIN ECONOMIC VALUE FROM ITS DISCLOSURE OR  USE;
 (B)  IS  THE  SUBJECT  OF  EFFORTS THAT ARE REASONABLE UNDER THE CIRCUM-

 S. 2884                             3
 
 STANCES TO MAINTAIN ITS SECRECY; AND (C) CAN REASONABLY BE  SAID  TO  BE
 THE END PRODUCT OF SIGNIFICANT INNOVATION.
   THE  TERM "TRADE SECRETS" DOES NOT INCLUDE GENERAL PROPRIETARY COMPANY
 INFORMATION SUCH AS HANDBOOKS AND POLICIES. THE TERM "REGULAR ACCESS  TO
 TRADE SECRETS" DOES NOT INCLUDE ACCESS TO OR THE USE OF CLIENT, CUSTOMER
 OR MAILING LISTS.
   (5)  NOTHING  IN  THIS  SUBDIVISION  SHALL  PRECLUDE  AN EMPLOYER FROM
 REQUESTING OR RECEIVING CONSUMER CREDIT HISTORY INFORMATION PURSUANT  TO
 A LAWFUL SUBPOENA, COURT ORDER OR LAW ENFORCEMENT INVESTIGATION.
   (6) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO ANY CITY WITH
 A POPULATION OF ONE MILLION OR MORE.
   (E)  (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBDIVISION, IT SHALL BE
 AN UNLAWFUL DISCRIMINATORY PRACTICE FOR ANY STATE OR MUNICIPAL AGENCY TO
 REQUEST OR USE, AND A VIOLATION  OF  THIS  ARTICLE  FOR  ANY  PERSON  TO
 DISCLOSE,  FOR LICENSING OR PERMITTING PURPOSES INFORMATION CONTAINED IN
 THE CONSUMER CREDIT HISTORY OF AN APPLICANT, LICENSEE OR  PERMITTEE  FOR
 LICENSING OR PERMITTING PURPOSES.
   (2)  PARAGRAPH  ONE  OF  THIS SUBDIVISION SHALL NOT APPLY TO AN AGENCY
 REQUIRED BY STATE OR FEDERAL LAW OR REGULATIONS TO USE  AN  INDIVIDUAL'S
 CONSUMER CREDIT HISTORY FOR LICENSING OR PERMITTING PURPOSES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE  ABILITY OF AN AGENCY TO CONSIDER AN APPLICANT'S, LICENSEE'S, REGIS-
 TRANT'S OR PERMITTEE'S FAILURE TO PAY ANY TAX, FINE, PENALTY OR FEE  FOR
 WHICH  LIABILITY HAS BEEN ADMITTED BY THE PERSON LIABLE THEREFOR, OR FOR
 WHICH JUDGMENT HAS BEEN ENTERED BY A COURT OR ADMINISTRATIVE TRIBUNAL OF
 COMPETENT JURISDICTION, OR ANY TAX FOR WHICH  A  GOVERNMENT  AGENCY  HAS
 ISSUED A WARRANT, OR A LIEN OR LEVY ON PROPERTY.
   (4) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE A LICENSING AGENCY FROM
 REQUESTING,  RECEIVING,  OR  USING  CONSUMER  CREDIT HISTORY INFORMATION
 OBTAINED PURSUANT TO A LAWFUL SUBPOENA, COURT ORDER OR  LAW  ENFORCEMENT
 INVESTIGATION.
   (5) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO ANY CITY WITH
 A POPULATION OF ONE MILLION OR MORE.
   § 3. The division of human rights shall request information from state
 and  local  agencies  and non-governmental employers regarding the agen-
 cies' and employers' use of the exemptions  established  in  subdivision
 (d)  of section 380-b of the general business law for purposes of hiring
 and employment. Within two years of the effective date of this act,  the
 division  of  human  rights  shall  submit  to  the legislature a report
 concerning the results of such request and any  relevant  feedback  from
 agencies and employers.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2884--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 30, 2019
                                ___________
 
 Introduced by Sens. SANDERS, CARLUCCI -- read twice and ordered printed,
   and  when  printed  to  be  committed  to  the  Committee  on Consumer
   Protection -- committee discharged, bill amended, ordered reprinted as
   amended and recommitted to said committee
 
 AN ACT to amend the general business law, in relation to prohibiting the
   disclosure or use of a person's consumer credit history to an  employ-
   er,  labor  organization,  employment  agency  or  agent  thereof  for
   purposes of employment decisions
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  380-a  of the general business law is amended by
 adding a new subdivision (u) to read as follows:
   (U) THE TERM "CONSUMER CREDIT HISTORY" MEANS  AN  INDIVIDUAL'S  CREDIT
 WORTHINESS,  CREDIT  STANDING,  CREDIT  CAPACITY  OR PAYMENT HISTORY, AS
 INDICATED BY:
   (1) A CONSUMER CREDIT REPORT;
   (2) CREDIT SCORE; OR
   (3) INFORMATION AN  EMPLOYER  OBTAINS  DIRECTLY  FROM  THE  INDIVIDUAL
 REGARDING  (I) DETAILS ABOUT CREDIT ACCOUNTS, INCLUDING THE INDIVIDUAL'S
 NUMBER OF CREDIT ACCOUNTS, LATE OR MISSED PAYMENTS,  CHARGED-OFF  DEBTS,
 ITEMS  IN COLLECTIONS, CREDIT LIMIT OR PRIOR CREDIT REPORT INQUIRIES, OR
 (II) BANKRUPTCIES, JUDGMENTS OR LIENS.
   A CONSUMER CREDIT REPORT SHALL INCLUDE ANY WRITTEN OR  OTHER  COMMUNI-
 CATION OF ANY INFORMATION BY A CONSUMER REPORTING AGENCY THAT BEARS ON A
 CONSUMER'S  CREDITWORTHINESS, CREDIT STANDING, CREDIT CAPACITY OR CREDIT
 HISTORY.
   § 2. Subdivision (d) of section 380-b of the general business  law  is
 relettered  subdivision  (f)  and  two  new subdivisions (d) and (e) are
 added to read as follows:
   (D) (1) EXCEPT AS PROVIDED IN THIS SUBDIVISION, IT SHALL BE AN  UNLAW-
 FUL DISCRIMINATORY PRACTICE FOR AN EMPLOYER, LABOR ORGANIZATION, EMPLOY-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01243-05-9

 S. 2884--A                          2
 
 MENT  AGENCY  OR ANY AGENT THEREOF TO REQUEST OR TO USE, AND A VIOLATION
 OF THIS ARTICLE FOR ANY PERSON TO DISCLOSE, FOR EMPLOYMENT PURPOSES  THE
 CONSUMER  CREDIT  HISTORY OF AN APPLICANT FOR EMPLOYMENT OR EMPLOYEE, OR
 OTHERWISE  DISCRIMINATE  AGAINST AN APPLICANT OR EMPLOYEE WITH REGARD TO
 HIRING, COMPENSATION,  OR THE TERMS, CONDITIONS OR PRIVILEGES OF EMPLOY-
 MENT BASED ON THE CONSUMER CREDIT HISTORY OF THE APPLICANT OR EMPLOYEE.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO:
   (I) AN EMPLOYER, OR AGENT THEREOF, THAT IS REQUIRED BY STATE OR FEDER-
 AL LAW OR REGULATIONS OR BY A SELF-REGULATORY ORGANIZATION AS DEFINED IN
 SECTION 3(A)(26) OF THE SECURITIES EXCHANGE ACT OF 1934, AS  AMENDED  TO
 USE AN INDIVIDUAL'S CONSUMER CREDIT HISTORY FOR EMPLOYMENT PURPOSES;
   (II) PERSONS APPLYING FOR POSITIONS AS OR EMPLOYED:
   (A)  AS  PEACE OFFICERS OR POLICE OFFICERS, AS THOSE TERMS ARE DEFINED
 IN SUBDIVISIONS THIRTY-THREE AND THIRTY-FOUR  OF  SECTION  1.20  OF  THE
 CRIMINAL  PROCEDURE  LAW,  RESPECTIVELY,  OR  IN  A  POSITION WITH A LAW
 ENFORCEMENT OR INVESTIGATIVE FUNCTION IN A LAW ENFORCEMENT AGENCY;
   (B) IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO BE BONDED  UNDER
 LOCAL, STATE OR FEDERAL LAW;
   (C) IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO POSSESS SECURITY
 CLEARANCE UNDER FEDERAL LAW OR THE LAW OF ANY STATE;
   (D) IN A NON-CLERICAL POSITION HAVING REGULAR ACCESS TO TRADE SECRETS,
 INTELLIGENCE INFORMATION OR NATIONAL SECURITY INFORMATION;
   (E)  IN  A  POSITION:  (I)  HAVING  ACCESS TO THIRD PARTY, CONSUMER OR
 EMPLOYER FUNDS OR ASSETS VALUED AT TEN THOUSAND DOLLARS OR MORE; OR (II)
 THAT INVOLVES A  FIDUCIARY  RESPONSIBILITY  TO  THE  EMPLOYER  WITH  THE
 AUTHORITY  TO  ENTER FINANCIAL AGREEMENTS OR INITIATE, MODIFY OR APPROVE
 PAYMENTS, VALUED AT TEN THOUSAND  DOLLARS  OR  MORE  ON  BEHALF  OF  THE
 EMPLOYER; OR
   (F)  IN  A  POSITION  WITH  REGULAR  DUTIES THAT ALLOW THE EMPLOYEE TO
 DESIGN, MONITOR, ACCESS, PROVISION ACCESS  AND/OR  MODIFY  (I)  SYSTEMS,
 APPLICATIONS   OR  DATABASES  CONTAINING  CONFIDENTIAL  EMPLOYER  AND/OR
 CUSTOMER DATA; OR (II) DIGITAL SECURITY SYSTEMS ESTABLISHED  TO  PREVENT
 THE  UNAUTHORIZED  USE  OF  THE EMPLOYER'S OR CLIENT'S NETWORKS OR DATA-
 BASES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE OBLIGATIONS OF PERSONS REQUIRED BY STATE OR LOCAL  LAW  RELATING  TO
 DISCLOSURES BY PUBLIC EMPLOYEES OF CONFLICTS OF INTEREST.
   (4) AS USED IN THIS SUBDIVISION:
   (I)  THE  TERM  "INTELLIGENCE  INFORMATION"  MEANS  RECORDS  AND  DATA
 COMPILED FOR THE PURPOSE OF CRIMINAL INVESTIGATION OR  COUNTERTERRORISM,
 INCLUDING  RECORDS  AND  DATA  RELATING  TO  THE  ORDER OR SECURITY OF A
 CORRECTIONAL FACILITY, REPORTS OF  INFORMANTS,  INVESTIGATORS  OR  OTHER
 PERSONS,  OR  FROM ANY TYPE OF SURVEILLANCE ASSOCIATED WITH AN IDENTIFI-
 ABLE INDIVIDUAL, OR INVESTIGATION OR  ANALYSIS  OF  POTENTIAL  TERRORIST
 THREATS.
   (II)  THE  TERM  "NATIONAL  SECURITY  INFORMATION" MEANS ANY KNOWLEDGE
 RELATING TO THE NATIONAL DEFENSE OR  FOREIGN  RELATIONS  OF  THE  UNITED
 STATES,  REGARDLESS  OF  ITS  PHYSICAL  FORM OR CHARACTERISTICS, THAT IS
 OWNED BY, PRODUCED BY OR FOR, OR IS UNDER  THE  CONTROL  OF  THE  UNITED
 STATES GOVERNMENT AND IS DEFINED AS SUCH BY THE UNITED STATES GOVERNMENT
 AND ITS AGENCIES AND DEPARTMENTS.
   (III)  THE  TERM  "TRADE  SECRETS" MEANS INFORMATION THAT: (A) DERIVES
 INDEPENDENT ECONOMIC VALUE, ACTUAL OR POTENTIAL, FROM NOT BEING GENERAL-
 LY KNOWN TO, AND NOT BEING READILY  ASCERTAINABLE  BY  PROPER  MEANS  BY
 OTHER  PERSONS WHO CAN OBTAIN ECONOMIC VALUE FROM ITS DISCLOSURE OR USE;
 (B) IS THE SUBJECT OF EFFORTS THAT  ARE  REASONABLE  UNDER  THE  CIRCUM-

 S. 2884--A                          3
 
 STANCES  TO  MAINTAIN  ITS SECRECY; AND (C) CAN REASONABLY BE SAID TO BE
 THE END PRODUCT OF SIGNIFICANT INNOVATION.
   THE  TERM "TRADE SECRETS" DOES NOT INCLUDE GENERAL PROPRIETARY COMPANY
 INFORMATION SUCH AS HANDBOOKS AND POLICIES. THE TERM "REGULAR ACCESS  TO
 TRADE SECRETS" DOES NOT INCLUDE ACCESS TO OR THE USE OF CLIENT, CUSTOMER
 OR MAILING LISTS.
   (5)  NOTHING  IN  THIS  SUBDIVISION  SHALL  PRECLUDE  AN EMPLOYER FROM
 REQUESTING OR RECEIVING CONSUMER CREDIT HISTORY INFORMATION PURSUANT  TO
 A LAWFUL SUBPOENA, COURT ORDER OR LAW ENFORCEMENT INVESTIGATION.
   (E)  (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBDIVISION, IT SHALL BE
 AN UNLAWFUL DISCRIMINATORY PRACTICE FOR ANY STATE OR MUNICIPAL AGENCY TO
 REQUEST OR USE, AND A VIOLATION  OF  THIS  ARTICLE  FOR  ANY  PERSON  TO
 DISCLOSE,  FOR LICENSING OR PERMITTING PURPOSES INFORMATION CONTAINED IN
 THE CONSUMER CREDIT HISTORY OF AN APPLICANT, LICENSEE OR  PERMITTEE  FOR
 LICENSING OR PERMITTING PURPOSES.
   (2)  PARAGRAPH  ONE  OF  THIS SUBDIVISION SHALL NOT APPLY TO AN AGENCY
 REQUIRED BY STATE OR FEDERAL LAW OR REGULATIONS TO USE  AN  INDIVIDUAL'S
 CONSUMER CREDIT HISTORY FOR LICENSING OR PERMITTING PURPOSES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE  ABILITY OF AN AGENCY TO CONSIDER AN APPLICANT'S, LICENSEE'S, REGIS-
 TRANT'S OR PERMITTEE'S FAILURE TO PAY ANY TAX, FINE, PENALTY OR FEE  FOR
 WHICH  LIABILITY HAS BEEN ADMITTED BY THE PERSON LIABLE THEREFOR, OR FOR
 WHICH JUDGMENT HAS BEEN ENTERED BY A COURT OR ADMINISTRATIVE TRIBUNAL OF
 COMPETENT JURISDICTION, OR ANY TAX FOR WHICH  A  GOVERNMENT  AGENCY  HAS
 ISSUED A WARRANT, OR A LIEN OR LEVY ON PROPERTY.
   (4) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE A LICENSING AGENCY FROM
 REQUESTING,  RECEIVING,  OR  USING  CONSUMER  CREDIT HISTORY INFORMATION
 OBTAINED PURSUANT TO A LAWFUL SUBPOENA, COURT ORDER OR  LAW  ENFORCEMENT
 INVESTIGATION.
   § 3. The division of human rights shall request information from state
 and  local  agencies  and non-governmental employers regarding the agen-
 cies' and employers' use of the exemptions  established  in  subdivision
 (d)  of section 380-b of the general business law for purposes of hiring
 and employment. Within two years of the effective date of this act,  the
 division  of  human  rights  shall  submit  to  the legislature a report
 concerning the results of such request and any  relevant  feedback  from
 agencies and employers.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2884--B
     Cal. No. 221
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 30, 2019
                                ___________
 
 Introduced by Sens. SANDERS, CARLUCCI, GOUNARDES, KRUEGER, RAMOS, THOMAS
   -- read twice and ordered printed, and when printed to be committed to
   the  Committee  on  Consumer  Protection -- committee discharged, bill
   amended, ordered reprinted as amended and recommitted to said  commit-
   tee  --  reported  favorably from said committee, ordered to first and
   second report,  ordered  to  a  third  reading,  amended  and  ordered
   reprinted, retaining its place in the order of third reading
 
 AN ACT to amend the general business law, in relation to prohibiting the
   disclosure  or use of a person's consumer credit history to an employ-
   er,  labor  organization,  employment  agency  or  agent  thereof  for
   purposes of employment decisions
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 380-a of the general business  law  is  amended  by
 adding a new subdivision (u) to read as follows:
   (U)  THE  TERM  "CONSUMER CREDIT HISTORY" MEANS AN INDIVIDUAL'S CREDIT
 WORTHINESS, CREDIT STANDING, CREDIT  CAPACITY  OR  PAYMENT  HISTORY,  AS
 INDICATED BY:
   (1) A CONSUMER CREDIT REPORT;
   (2) CREDIT SCORE; OR
   (3)  INFORMATION  AN  EMPLOYER  OBTAINS  DIRECTLY  FROM THE INDIVIDUAL
 REGARDING (I) DETAILS ABOUT CREDIT ACCOUNTS, INCLUDING THE  INDIVIDUAL'S
 NUMBER  OF  CREDIT ACCOUNTS, LATE OR MISSED PAYMENTS, CHARGED-OFF DEBTS,
 ITEMS IN COLLECTIONS, CREDIT LIMIT OR PRIOR CREDIT REPORT INQUIRIES,  OR
 (II) BANKRUPTCIES, JUDGMENTS OR LIENS.
   A  CONSUMER  CREDIT REPORT SHALL INCLUDE ANY WRITTEN OR OTHER COMMUNI-
 CATION OF ANY INFORMATION BY A CONSUMER REPORTING AGENCY THAT BEARS ON A
 CONSUMER'S CREDITWORTHINESS, CREDIT STANDING, CREDIT CAPACITY OR  CREDIT
 HISTORY.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01243-07-9
              

 S. 2884--B                          2
 
   §  2.  Subdivision (d) of section 380-b of the general business law is
 relettered subdivision (f) and two new  subdivisions  (d)  and  (e)  are
 added to read as follows:
   (D)  (1) EXCEPT AS PROVIDED IN THIS SUBDIVISION, IT SHALL BE AN UNLAW-
 FUL DISCRIMINATORY PRACTICE FOR AN EMPLOYER, LABOR ORGANIZATION, EMPLOY-
 MENT AGENCY OR ANY AGENT THEREOF TO REQUEST OR  TO  USE  FOR  EMPLOYMENT
 PURPOSES  THE  CONSUMER CREDIT HISTORY OF AN APPLICANT FOR EMPLOYMENT OR
 EMPLOYEE, OR OTHERWISE DISCRIMINATE AGAINST  AN  APPLICANT  OR  EMPLOYEE
 WITH REGARD TO HIRING, COMPENSATION,  OR THE TERMS, CONDITIONS OR PRIVI-
 LEGES  OF  EMPLOYMENT BASED ON THE CONSUMER CREDIT HISTORY OF THE APPLI-
 CANT OR EMPLOYEE.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO:
   (I) AN EMPLOYER, OR AGENT THEREOF, THAT IS REQUIRED BY STATE OR FEDER-
 AL LAW OR REGULATIONS OR BY A SELF-REGULATORY ORGANIZATION AS DEFINED IN
 SECTION 3(A)(26) OF THE SECURITIES EXCHANGE ACT OF 1934, AS  AMENDED  TO
 USE AN INDIVIDUAL'S CONSUMER CREDIT HISTORY FOR EMPLOYMENT PURPOSES;
   (II) PERSONS APPLYING FOR POSITIONS AS OR EMPLOYED:
   (A)  AS  PEACE OFFICERS OR POLICE OFFICERS, AS THOSE TERMS ARE DEFINED
 IN SUBDIVISIONS THIRTY-THREE AND THIRTY-FOUR  OF  SECTION  1.20  OF  THE
 CRIMINAL  PROCEDURE  LAW,  RESPECTIVELY,  OR  IN  A  POSITION WITH A LAW
 ENFORCEMENT OR INVESTIGATIVE FUNCTION IN A LAW ENFORCEMENT AGENCY;
   (B) IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO BE BONDED  UNDER
 LOCAL, STATE OR FEDERAL LAW;
   (C) IN A POSITION IN WHICH AN EMPLOYEE IS REQUIRED TO POSSESS SECURITY
 CLEARANCE UNDER FEDERAL LAW OR THE LAW OF ANY STATE;
   (D) IN A NON-CLERICAL POSITION HAVING REGULAR ACCESS TO TRADE SECRETS,
 INTELLIGENCE INFORMATION OR NATIONAL SECURITY INFORMATION;
   (E)  IN  A  POSITION:  (I)  HAVING  ACCESS TO THIRD PARTY, CONSUMER OR
 EMPLOYER FUNDS OR ASSETS VALUED AT TEN THOUSAND DOLLARS OR MORE; OR (II)
 THAT INVOLVES A  FIDUCIARY  RESPONSIBILITY  TO  THE  EMPLOYER  WITH  THE
 AUTHORITY  TO  ENTER FINANCIAL AGREEMENTS OR INITIATE, MODIFY OR APPROVE
 PAYMENTS, VALUED AT TEN THOUSAND  DOLLARS  OR  MORE  ON  BEHALF  OF  THE
 EMPLOYER; OR
   (F)  IN  A  POSITION  WITH  REGULAR  DUTIES THAT ALLOW THE EMPLOYEE TO
 DESIGN, MONITOR, ACCESS, PROVISION ACCESS  AND/OR  MODIFY  (I)  SYSTEMS,
 APPLICATIONS   OR  DATABASES  CONTAINING  CONFIDENTIAL  EMPLOYER  AND/OR
 CUSTOMER DATA; OR (II) DIGITAL SECURITY SYSTEMS ESTABLISHED  TO  PREVENT
 THE  UNAUTHORIZED  USE  OF  THE EMPLOYER'S OR CLIENT'S NETWORKS OR DATA-
 BASES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE OBLIGATIONS OF PERSONS REQUIRED BY STATE OR LOCAL  LAW  RELATING  TO
 DISCLOSURES BY PUBLIC EMPLOYEES OF CONFLICTS OF INTEREST.
   (4) AS USED IN THIS SUBDIVISION:
   (I)  THE  TERM  "INTELLIGENCE  INFORMATION"  MEANS  RECORDS  AND  DATA
 COMPILED FOR THE PURPOSE OF CRIMINAL INVESTIGATION OR  COUNTERTERRORISM,
 INCLUDING  RECORDS  AND  DATA  RELATING  TO  THE  ORDER OR SECURITY OF A
 CORRECTIONAL FACILITY, REPORTS OF  INFORMANTS,  INVESTIGATORS  OR  OTHER
 PERSONS,  OR  FROM ANY TYPE OF SURVEILLANCE ASSOCIATED WITH AN IDENTIFI-
 ABLE INDIVIDUAL, OR INVESTIGATION OR  ANALYSIS  OF  POTENTIAL  TERRORIST
 THREATS.
   (II)  THE  TERM  "NATIONAL  SECURITY  INFORMATION" MEANS ANY KNOWLEDGE
 RELATING TO THE NATIONAL DEFENSE OR  FOREIGN  RELATIONS  OF  THE  UNITED
 STATES,  REGARDLESS  OF  ITS  PHYSICAL  FORM OR CHARACTERISTICS, THAT IS
 OWNED BY, PRODUCED BY OR FOR, OR IS UNDER  THE  CONTROL  OF  THE  UNITED
 STATES GOVERNMENT AND IS DEFINED AS SUCH BY THE UNITED STATES GOVERNMENT
 AND ITS AGENCIES AND DEPARTMENTS.

 S. 2884--B                          3
 
   (III)  THE  TERM  "TRADE  SECRETS" MEANS INFORMATION THAT: (A) DERIVES
 INDEPENDENT ECONOMIC VALUE, ACTUAL OR POTENTIAL, FROM NOT BEING GENERAL-
 LY KNOWN TO, AND NOT BEING READILY  ASCERTAINABLE  BY  PROPER  MEANS  BY
 OTHER  PERSONS WHO CAN OBTAIN ECONOMIC VALUE FROM ITS DISCLOSURE OR USE;
 (B)  IS  THE  SUBJECT  OF  EFFORTS THAT ARE REASONABLE UNDER THE CIRCUM-
 STANCES TO MAINTAIN ITS SECRECY; AND (C) CAN REASONABLY BE  SAID  TO  BE
 THE END PRODUCT OF SIGNIFICANT INNOVATION.
   THE  TERM "TRADE SECRETS" DOES NOT INCLUDE GENERAL PROPRIETARY COMPANY
 INFORMATION SUCH AS HANDBOOKS AND POLICIES. THE TERM "REGULAR ACCESS  TO
 TRADE SECRETS" DOES NOT INCLUDE ACCESS TO OR THE USE OF CLIENT, CUSTOMER
 OR MAILING LISTS.
   (5)  NOTHING  IN  THIS  SUBDIVISION  SHALL  PRECLUDE  AN EMPLOYER FROM
 REQUESTING OR RECEIVING CONSUMER CREDIT HISTORY INFORMATION PURSUANT  TO
 A LAWFUL SUBPOENA, COURT ORDER OR LAW ENFORCEMENT INVESTIGATION.
   (E)  (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBDIVISION, IT SHALL BE
 AN UNLAWFUL DISCRIMINATORY PRACTICE FOR ANY STATE OR MUNICIPAL AGENCY TO
 REQUEST  OR  USE  FOR  LICENSING  OR  PERMITTING  PURPOSES   INFORMATION
 CONTAINED  IN  THE  CONSUMER CREDIT HISTORY OF AN APPLICANT, LICENSEE OR
 PERMITTEE FOR LICENSING OR PERMITTING PURPOSES.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT  APPLY  TO  AN  AGENCY
 REQUIRED  BY  STATE OR FEDERAL LAW OR REGULATIONS TO USE AN INDIVIDUAL'S
 CONSUMER CREDIT HISTORY FOR LICENSING OR PERMITTING PURPOSES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE ABILITY OF AN AGENCY TO CONSIDER AN APPLICANT'S, LICENSEE'S,  REGIS-
 TRANT'S  OR PERMITTEE'S FAILURE TO PAY ANY TAX, FINE, PENALTY OR FEE FOR
 WHICH LIABILITY HAS BEEN ADMITTED BY THE PERSON LIABLE THEREFOR, OR  FOR
 WHICH JUDGMENT HAS BEEN ENTERED BY A COURT OR ADMINISTRATIVE TRIBUNAL OF
 COMPETENT  JURISDICTION,  OR  ANY  TAX FOR WHICH A GOVERNMENT AGENCY HAS
 ISSUED A WARRANT, OR A LIEN OR LEVY ON PROPERTY.
   (4) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE A LICENSING AGENCY FROM
 REQUESTING, RECEIVING, OR  USING  CONSUMER  CREDIT  HISTORY  INFORMATION
 OBTAINED  PURSUANT  TO A LAWFUL SUBPOENA, COURT ORDER OR LAW ENFORCEMENT
 INVESTIGATION.
   § 3. The division of human rights shall request information from state
 and local agencies and non-governmental employers  regarding  the  agen-
 cies'  and  employers'  use of the exemptions established in subdivision
 (d) of section 380-b of the general business law for purposes of  hiring
 and  employment. Within two years of the effective date of this act, the
 division of human rights  shall  submit  to  the  legislature  a  report
 concerning  the  results  of such request and any relevant feedback from
 agencies and employers.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2884--C
     Cal. No. 221
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 30, 2019
                                ___________
 
 Introduced  by Sens. SANDERS, CARLUCCI, GOUNARDES, RAMOS, THOMAS -- read
   twice and ordered printed, and when printed to  be  committed  to  the
   Committee   on  Consumer  Protection  --  committee  discharged,  bill
   amended, ordered reprinted as amended and recommitted to said  commit-
   tee  --  reported  favorably from said committee, ordered to first and
   second report,  ordered  to  a  third  reading,  amended  and  ordered
   reprinted,  retaining its place in the order of third reading -- again
   amended and ordered reprinted, retaining its place  in  the  order  of
   third reading
 
 AN ACT to amend the general business law, in relation to prohibiting the
   disclosure  or use of a person's consumer credit history to an employ-
   er,  labor  organization,  employment  agency  or  agent  thereof  for
   purposes of employment decisions
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 380-a of the general business  law  is  amended  by
 adding a new subdivision (u) to read as follows:
   (U)  THE  TERM  "CONSUMER CREDIT HISTORY" MEANS AN INDIVIDUAL'S CREDIT
 WORTHINESS, CREDIT STANDING, CREDIT  CAPACITY  OR  PAYMENT  HISTORY,  AS
 INDICATED BY:
   (1) A CONSUMER CREDIT REPORT;
   (2) CREDIT SCORE; OR
   (3)  INFORMATION  AN  EMPLOYER  OBTAINS  DIRECTLY  FROM THE INDIVIDUAL
 REGARDING (I) DETAILS ABOUT CREDIT ACCOUNTS, INCLUDING THE  INDIVIDUAL'S
 NUMBER  OF  CREDIT ACCOUNTS, LATE OR MISSED PAYMENTS, CHARGED-OFF DEBTS,
 ITEMS IN COLLECTIONS, CREDIT LIMIT OR PRIOR CREDIT REPORT INQUIRIES,  OR
 (II) BANKRUPTCIES, JUDGMENTS OR LIENS.
   A  CONSUMER  CREDIT REPORT SHALL INCLUDE ANY WRITTEN OR OTHER COMMUNI-
 CATION OF ANY INFORMATION BY A CONSUMER REPORTING AGENCY THAT BEARS ON A
 CONSUMER'S CREDITWORTHINESS, CREDIT STANDING, CREDIT CAPACITY OR  CREDIT
 HISTORY.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD01243-13-9

 S. 2884--C                          2
 
   §  2.  Subdivision (d) of section 380-b of the general business law is
 relettered subdivision (g) and three new subdivisions (d), (e)  and  (f)
 are added to read as follows:
   (D)  (1) EXCEPT AS PROVIDED IN THIS SUBDIVISION, IT SHALL BE AN UNLAW-
 FUL DISCRIMINATORY PRACTICE FOR AN EMPLOYER, LABOR ORGANIZATION, EMPLOY-
 MENT AGENCY OR ANY AGENT THEREOF TO REQUEST OR  TO  USE  FOR  EMPLOYMENT
 PURPOSES  THE  CONSUMER CREDIT HISTORY OF AN APPLICANT FOR EMPLOYMENT OR
 EMPLOYEE, OR OTHERWISE DISCRIMINATE AGAINST  AN  APPLICANT  OR  EMPLOYEE
 WITH REGARD TO HIRING, COMPENSATION,  OR THE TERMS, CONDITIONS OR PRIVI-
 LEGES  OF  EMPLOYMENT BASED ON THE CONSUMER CREDIT HISTORY OF THE APPLI-
 CANT OR EMPLOYEE.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO:
   (I) AN EMPLOYER, OR AGENT THEREOF, THAT IS REQUIRED BY STATE OR FEDER-
 AL LAW OR BY  A  SELF-REGULATORY  ORGANIZATION  AS  DEFINED  IN  SECTION
 3(A)(26)  OF  THE  SECURITIES EXCHANGE ACT OF 1934, AS AMENDED TO USE AN
 INDIVIDUAL'S CONSUMER CREDIT HISTORY FOR EMPLOYMENT PURPOSES,  PROVIDED,
 HOWEVER, THAT THE PROVISIONS OF THIS SUBPARAGRAPH SHALL NOT APPLY IF THE
 EMPLOYER  IS  REQUIRED  BY STATE OR FEDERAL LAW TO USE A CONSUMER CREDIT
 REPORT FOR EMPLOYMENT DECISIONS;
   (II) PERSONS APPLYING FOR POSITIONS AS OR EMPLOYED AS  PEACE  OFFICERS
 OR  POLICE  OFFICERS,  AS SUCH TERMS ARE DEFINED IN SUBDIVISIONS THIRTY-
 THREE AND THIRTY-FOUR OF SECTION 1.20 OF  THE  CRIMINAL  PROCEDURE  LAW,
 RESPECTIVELY,  OR  IN A POSITION WITH A LAW ENFORCEMENT OR INVESTIGATIVE
 FUNCTION IN A LAW ENFORCEMENT AGENCY.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE OBLIGATIONS OF PERSONS REQUIRED BY STATE OR LOCAL  LAW  RELATING  TO
 DISCLOSURES BY PUBLIC EMPLOYEES OF CONFLICTS OF INTEREST.
   (4)  NOTHING  IN  THIS  SUBDIVISION  SHALL  PRECLUDE  AN EMPLOYER FROM
 REQUESTING OR RECEIVING CONSUMER CREDIT HISTORY INFORMATION PURSUANT  TO
 A  LAWFUL  SUBPOENA,  COURT  ORDER  OR SPECIFIC LAW ENFORCEMENT INVESTI-
 GATION.
   (E) (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBDIVISION, IT SHALL  BE
 AN UNLAWFUL DISCRIMINATORY PRACTICE FOR ANY STATE OR MUNICIPAL AGENCY TO
 REQUEST   OR  USE  FOR  LICENSING  OR  PERMITTING  PURPOSES  INFORMATION
 CONTAINED IN THE CONSUMER CREDIT HISTORY OF AN  APPLICANT,  LICENSEE  OR
 PERMITTEE FOR LICENSING OR PERMITTING PURPOSES.
   (2)  PARAGRAPH  ONE  OF  THIS SUBDIVISION SHALL NOT APPLY TO AN AGENCY
 REQUIRED BY STATE OR FEDERAL LAW TO USE AN INDIVIDUAL'S CONSUMER  CREDIT
 HISTORY FOR LICENSING OR PERMITTING PURPOSES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE  ABILITY OF AN AGENCY TO CONSIDER AN APPLICANT'S, LICENSEE'S, REGIS-
 TRANT'S OR PERMITTEE'S FAILURE TO PAY ANY TAX, FINE, PENALTY OR FEE  FOR
 WHICH  LIABILITY HAS BEEN ADMITTED BY THE PERSON LIABLE THEREFOR, OR FOR
 WHICH JUDGMENT HAS BEEN ENTERED BY A COURT OR ADMINISTRATIVE TRIBUNAL OF
 COMPETENT JURISDICTION, OR ANY TAX FOR WHICH  A  GOVERNMENT  AGENCY  HAS
 ISSUED A WARRANT, OR A LIEN OR LEVY ON PROPERTY.
   (4) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE A LICENSING AGENCY FROM
 REQUESTING,  RECEIVING,  OR  USING  CONSUMER  CREDIT HISTORY INFORMATION
 OBTAINED PURSUANT TO A LAWFUL SUBPOENA,  COURT  ORDER  OR  SPECIFIC  LAW
 ENFORCEMENT INVESTIGATION.
   (F) THIS SECTION DOES NOT ANNUL, ALTER, AFFECT OR EXEMPT ANY EMPLOYER,
 LABOR  ORGANIZATION,  EMPLOYMENT  AGENCY OR ANY AGENT THEREOF SUBJECT TO
 THE PROVISIONS OF THIS SECTION FROM COMPLYING WITH ANY LOCAL LAW,  ORDI-
 NANCE  OR  REGULATION WITH RESPECT TO THE USE OF CONSUMER CREDIT HISTORY
 FOR EMPLOYMENT PURPOSES EXCEPT TO THE EXTENT THAT THOSE LAWS ARE  INCON-
 SISTENT  WITH ANY PROVISION OF THIS SECTION, AND THEN ONLY TO THE EXTENT

 S. 2884--C                          3
 
 OF SUCH INCONSISTENCY. FOR PURPOSES OF THIS SUBDIVISION,  A  LOCAL  LAW,
 ORDINANCE  OR  REGULATION  IS  NOT INCONSISTENT WITH THIS SECTION IF THE
 PROTECTION SUCH LAW OR REGULATION AFFORDS AN EMPLOYEE OR  JOB  APPLICANT
 IS GREATER THAN THE PROTECTION PROVIDED BY THIS SECTION.
   § 3. The division of human rights shall request information from state
 and  local  agencies  and non-governmental employers regarding the agen-
 cies' and employers' use of the exemptions  established  in  subdivision
 (d)  of section 380-b of the general business law for purposes of hiring
 and employment. Within two years of the effective date of this act,  the
 division  of  human  rights  shall  submit  to  the legislature a report
 concerning the results of such request and any  relevant  feedback  from
 agencies and employers.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2884--D
     Cal. No. 221
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 30, 2019
                                ___________
 
 Introduced  by Sens. SANDERS, CARLUCCI, GOUNARDES, RAMOS, THOMAS -- read
   twice and ordered printed, and when printed to  be  committed  to  the
   Committee   on  Consumer  Protection  --  committee  discharged,  bill
   amended, ordered reprinted as amended and recommitted to said  commit-
   tee  --  reported  favorably from said committee, ordered to first and
   second report,  ordered  to  a  third  reading,  amended  and  ordered
   reprinted,  retaining its place in the order of third reading -- again
   amended and ordered reprinted, retaining its place  in  the  order  of
   third  reading  --  again amended and ordered reprinted, retaining its
   place in the order of third reading
 
 AN ACT to amend the general business law, in relation to prohibiting the
   disclosure or use of a person's consumer credit history to an  employ-
   er,  labor  organization,  employment  agency  or  agent  thereof  for
   purposes of employment decisions
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  380-a  of the general business law is amended by
 adding a new subdivision (u) to read as follows:
   (U) THE TERM "CONSUMER CREDIT HISTORY" MEANS  AN  INDIVIDUAL'S  CREDIT
 WORTHINESS,  CREDIT  STANDING,  CREDIT  CAPACITY  OR PAYMENT HISTORY, AS
 INDICATED BY:
   (1) A CONSUMER CREDIT REPORT;
   (2) CREDIT SCORE; OR
   (3) INFORMATION AN  EMPLOYER  OBTAINS  DIRECTLY  FROM  THE  INDIVIDUAL
 REGARDING  (I) DETAILS ABOUT CREDIT ACCOUNTS, INCLUDING THE INDIVIDUAL'S
 NUMBER OF CREDIT ACCOUNTS, LATE OR MISSED PAYMENTS,  CHARGED-OFF  DEBTS,
 ITEMS  IN COLLECTIONS, CREDIT LIMIT OR PRIOR CREDIT REPORT INQUIRIES, OR
 (II) BANKRUPTCIES, JUDGMENTS OR LIENS.
   A CONSUMER CREDIT REPORT SHALL INCLUDE ANY WRITTEN OR  OTHER  COMMUNI-
 CATION OF ANY INFORMATION BY A CONSUMER REPORTING AGENCY THAT BEARS ON A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01243-15-9

 S. 2884--D                          2
 
 CONSUMER'S  CREDITWORTHINESS, CREDIT STANDING, CREDIT CAPACITY OR CREDIT
 HISTORY.
   §  2.  Subdivision (d) of section 380-b of the general business law is
 relettered subdivision (g) and three new subdivisions (d), (e)  and  (f)
 are added to read as follows:
   (D)  (1) EXCEPT AS PROVIDED IN THIS SUBDIVISION, IT SHALL BE AN UNLAW-
 FUL DISCRIMINATORY PRACTICE FOR AN EMPLOYER, LABOR ORGANIZATION, EMPLOY-
 MENT AGENCY OR ANY AGENT THEREOF TO REQUEST OR  TO  USE  FOR  EMPLOYMENT
 PURPOSES  THE  CONSUMER CREDIT HISTORY OF AN APPLICANT FOR EMPLOYMENT OR
 EMPLOYEE, OR OTHERWISE DISCRIMINATE AGAINST  AN  APPLICANT  OR  EMPLOYEE
 WITH REGARD TO HIRING, COMPENSATION,  OR THE TERMS, CONDITIONS OR PRIVI-
 LEGES  OF  EMPLOYMENT BASED ON THE CONSUMER CREDIT HISTORY OF THE APPLI-
 CANT OR EMPLOYEE.
   (2) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT APPLY TO:
   (I) AN EMPLOYER, OR AGENT THEREOF, THAT IS REQUIRED BY STATE OR FEDER-
 AL LAW OR BY  A  SELF-REGULATORY  ORGANIZATION  AS  DEFINED  IN  SECTION
 3(A)(26)  OF  THE  SECURITIES EXCHANGE ACT OF 1934, AS AMENDED TO USE AN
 INDIVIDUAL'S CONSUMER CREDIT HISTORY FOR EMPLOYMENT PURPOSES;
   (II) PERSONS APPLYING FOR POSITIONS AS OR EMPLOYED AS  PEACE  OFFICERS
 OR  POLICE  OFFICERS,  AS SUCH TERMS ARE DEFINED IN SUBDIVISIONS THIRTY-
 THREE AND THIRTY-FOUR OF SECTION 1.20 OF  THE  CRIMINAL  PROCEDURE  LAW,
 RESPECTIVELY,  OR  IN A POSITION WITH A LAW ENFORCEMENT OR INVESTIGATIVE
 FUNCTION IN A LAW ENFORCEMENT AGENCY.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE OBLIGATIONS OF PERSONS REQUIRED BY STATE OR LOCAL  LAW  RELATING  TO
 DISCLOSURES BY PUBLIC EMPLOYEES OF CONFLICTS OF INTEREST.
   (4)  NOTHING  IN  THIS  SUBDIVISION  SHALL  PRECLUDE  AN EMPLOYER FROM
 REQUESTING OR RECEIVING CONSUMER CREDIT HISTORY INFORMATION PURSUANT  TO
 A  LAWFUL  SUBPOENA,  COURT  ORDER  OR SPECIFIC LAW ENFORCEMENT INVESTI-
 GATION.
   (E) (1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBDIVISION, IT SHALL  BE
 AN UNLAWFUL DISCRIMINATORY PRACTICE FOR ANY STATE OR MUNICIPAL AGENCY TO
 REQUEST   OR  USE  FOR  LICENSING  OR  PERMITTING  PURPOSES  INFORMATION
 CONTAINED IN THE CONSUMER CREDIT HISTORY OF AN  APPLICANT,  LICENSEE  OR
 PERMITTEE FOR LICENSING OR PERMITTING PURPOSES.
   (2)  PARAGRAPH  ONE  OF  THIS SUBDIVISION SHALL NOT APPLY TO AN AGENCY
 REQUIRED BY STATE OR FEDERAL LAW TO USE AN INDIVIDUAL'S CONSUMER  CREDIT
 HISTORY FOR LICENSING OR PERMITTING PURPOSES.
   (3) PARAGRAPH ONE OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO AFFECT
 THE  ABILITY OF AN AGENCY TO CONSIDER AN APPLICANT'S, LICENSEE'S, REGIS-
 TRANT'S OR PERMITTEE'S FAILURE TO PAY ANY TAX, FINE, PENALTY OR FEE  FOR
 WHICH  LIABILITY HAS BEEN ADMITTED BY THE PERSON LIABLE THEREFOR, OR FOR
 WHICH JUDGMENT HAS BEEN ENTERED BY A COURT OR ADMINISTRATIVE TRIBUNAL OF
 COMPETENT JURISDICTION, OR ANY TAX FOR WHICH  A  GOVERNMENT  AGENCY  HAS
 ISSUED A WARRANT, OR A LIEN OR LEVY ON PROPERTY.
   (4) NOTHING IN THIS SUBDIVISION SHALL PRECLUDE A LICENSING AGENCY FROM
 REQUESTING,  RECEIVING,  OR  USING  CONSUMER  CREDIT HISTORY INFORMATION
 OBTAINED PURSUANT TO A LAWFUL SUBPOENA,  COURT  ORDER  OR  SPECIFIC  LAW
 ENFORCEMENT INVESTIGATION.
   (F) THIS SECTION DOES NOT ANNUL, ALTER, AFFECT OR EXEMPT ANY EMPLOYER,
 LABOR  ORGANIZATION,  EMPLOYMENT  AGENCY OR ANY AGENT THEREOF SUBJECT TO
 THE PROVISIONS OF THIS SECTION FROM COMPLYING WITH ANY LOCAL LAW,  ORDI-
 NANCE  OR  REGULATION WITH RESPECT TO THE USE OF CONSUMER CREDIT HISTORY
 FOR EMPLOYMENT PURPOSES EXCEPT TO THE EXTENT THAT THOSE LAWS ARE  INCON-
 SISTENT  WITH ANY PROVISION OF THIS SECTION, AND THEN ONLY TO THE EXTENT
 OF SUCH INCONSISTENCY. FOR PURPOSES OF THIS SUBDIVISION,  A  LOCAL  LAW,

 S. 2884--D                          3
 
 ORDINANCE  OR  REGULATION  IS  NOT INCONSISTENT WITH THIS SECTION IF THE
 PROTECTION SUCH LAW OR REGULATION AFFORDS AN EMPLOYEE OR  JOB  APPLICANT
 IS GREATER THAN THE PROTECTION PROVIDED BY THIS SECTION.
   § 3. The division of human rights shall request information from state
 and  local  agencies  and non-governmental employers regarding the agen-
 cies' and employers' use of the exemptions  established  in  subdivision
 (d)  of section 380-b of the general business law for purposes of hiring
 and employment. Within two years of the effective date of this act,  the
 division  of  human  rights  shall  submit  to  the legislature a report
 concerning the results of such request and any  relevant  feedback  from
 agencies and employers.
   § 4. This act shall take effect on the one hundred twentieth day after
 it shall have become a law.