Identification (ID) Systems

NCSL Foundation for State Legislatures Partners Project

2005 Project Summary

In December 2003, the Foundation for State Legislatures (FSL) established a project to examine the issues, challenges and potential approaches for creating and managing effective identification systems. In 2004 the project focused on developing educational resources to assist policymakers in understanding the complexities involved with ID security. The project held programs at four major NCSL meetings, produced a LegisBrief, State Legislatures magazine article, and a summary report describing key issues and identifying principles of effective ID systems. A project web site which provides access to important ID security related resources was also developed.

In the second phase of this project, the partnership proposes to continue the forum for FSL partners, state legislators and legislative staff to address issues and explore areas of common concern related to ID systems, technology and privacy. In addition, during the second year of this project, the project will provide a special focus on radio frequency identification (RFID).

Discussion of Issues

Importance of ID Systems

Government issued IDs provide the credentials needed to board airplanes, open bank and credit card accounts, cash checks, obtain benefits, buy alcohol, tobacco, and firearms and more. In the US, the most commonly used form of identification is the state-issued driver's license. Because of their widespread use, breaches of government-issued identification documents can result in stolen identities, severe financial losses and serious risks to personal security of citizens and the nation as a whole. Developing secure ways to verify individual identity is an important requirement to ensure public safety and a sound economy.

The ID security challenges for government have increased significantly with the growth in identity theft, fraud, and breaches of homeland security. False IDs are used to facilitate a variety of crimes from the illegal purchase of alcohol and firearms, to false background checks, identity theft, terrorism and other violent offenses. Technology provides ways to improve ID Security. But, advances in computer software and hardware have made it easier to produce fraudulent IDs and to breach ID system protections.

According to studies by the Federal Trade Commission nearly 10 million Americans have been victims of identity theft in the last year. The average consumer spends $1,495 in expenses just to resolve the situation when they have been victimized. Despite state and federal laws aimed at combating identity theft, the incidence and the methods used by thieves continues to grow. From 2002 to 2003, reported incidents of identity theft jumped 33 percent. Identity theft does not just affect consumers, it impacts businesses as well. While consumers lost nearly $5 billion, businesses have lost $48 billion just in the last year. Relationships between customers and businesses could suffer as distrust grows. Improving the reliability of ID systems is an important requirement for combating identity theft.

Radio Frequency IDs

New technologies, such as radio frequency identification (RFID), use radio waves to automatically identify people or objects. Typically, RFID technology stores a serial number that identifies a person or object on a microchip attached to an antenna. Identification information is transmitted to a reader via the antenna, and it is converted into digital form. The potential benefits to business are great -- RFID could reduce theft, improve inventory management, reduce product fraud and expedite customer purchasing. But, some fear that if RFID tag information is combined with personally identifiable consumer information, it could be used to track an individual's purchases, movements, and other behavior.

Project Scope

In 2005, the project will focus upon:

Continued examination of technology and policy issues involved in creating effective ID systems for citizens in order to enhance security and prevent fraud and ID theft.

Examination of radio frequency ID technology to identify policy issues, educate lawmakers and determine best practices.

Project Deliverables

Through programs and a national seminar held in conjunction with major NCSL meetings, in written products, including an article, brief and report, and through the project web page, the Partnership will explore the policy and technology issues and outline options for policy makers and business.

The following deliverables are included:

Partners Meetings

The Partnership Steering Committee will have a legislator chair and vice-chair and will include FSL Partners, selected state legislators and staff. Steering Committee meetings will be held in conjunction with major NCSL meetings to

discuss policy issues and options and to guide the development of project deliverables. Working groups will be established to examine the major themes of the project.

ID Systems Seminar and Programs

The Project will sponsor programs in conjunction with major NCSL meetings: Spring Forum 2005; Annual Meeting 2005; and Fall Forum 2005. In addition, the project could sponsor a one-day seminar in conjunction with a major NCSL meeting to provide a more in-depth focus on ID related issues and practices. Panelists for these programs will include FSL Partners, state legislators, technology experts and government officials.

ID Systems Web Page

NCSL will expand the ID Security web page to serve as an information clearinghouse providing access to project publications, links to relevant websites and other resources. The project will enhance information available on RFID via the web page including NCSL resources, partners' publications and other information sources.

State Legislatures Article

NCSL will prepare an article on RFID for State Legislatures magazine that will provide perspectives from business leaders, policymakers, government officials, and technology experts. State Legislatures is distributed to 18,000 legislators, legislative staff and subscribers in government and industry.

LegisBrief

NCSL will produce a two-page brief highlighting a key ID systems issue identified by project members.

Project Report

NCSL will prepare a report summarizing findings of ID systems programs and research conducted during the 2005 project year.

Project Timeline

January 2005 - Spring 2006

_______________________________________________________________

For more information, contact Jo Anne Bourquard, NCSL, 7700 East First Place, Denver, Colorado 80230 303-856-1355 jo.anne.bourquard@ncsl.org

For last year's timeline, click here.

Back arrow, return to previous page ID Systems Home