Representative Paul A. Cutler proposes the following substitute bill:


1     
GOVERNMENT DIGITAL VERIFIABLE

2     
RECORD AMENDMENTS

3     
2023 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Paul A. Cutler

6     
Senate Sponsor: Kirk A. Cullimore

7     

8     LONG TITLE
9     General Description:
10          This bill requires the Division of Technology Services to create a pilot program and
11     provide recommendations for certain digital verifiable records.
12     Highlighted Provisions:
13          This bill:
14          ▸     defines terms; and
15          ▸     requires the Division of Technology Services to:
16               •     provide recommendations to government entities regarding digital verifiable
17     records and credentials; and
18               •     create a pilot program for digital verifiable credentials.
19     Money Appropriated in this Bill:
20          None
21     Other Special Clauses:
22          None
23     Utah Code Sections Affected:
24     ENACTS:
25          63A-16-108, Utah Code Annotated 1953

26     

27     Be it enacted by the Legislature of the state of Utah:
28          Section 1. Section 63A-16-108 is enacted to read:
29          63A-16-108. Digital verifiable credential and records.
30          (1) As used in this section:
31          (a) "Blockchain" means a distributed ledger of ordered electronic records that:
32          (i) is distributed across a network of computers;
33          (ii) utilizes technology to prevent the unauthorized alteration of electronic records; and
34          (iii) is mathematically verified.
35          (b) "Digital record schema" means a description of the data fields and tamper-evident
36     technologies required to create a digital verifiable credential or digital verifiable record that can
37     be registered on a distributed ledger technology.
38          (c) "Digital signature" means a tamper-evident, immutable, electronic seal that is
39     equivalent in function and status to a notary seal issued by a government entity.
40          (d) "Digital verifiable credential" means a digital document that:
41          (i) attests to a fact;
42          (ii) is issued by a government entity;
43          (iii) can be mathematically verified; and
44          (iv) conveys rights, privileges, and legal enforceability equivalent to the possession of a
45     physical credential of the same type.
46          (e) "Digital verifiable record" means a digital record that:
47          (i) is issued by a government entity or has been digitally signed by a government entity;
48          (ii) has a digital signature;
49          (iii) can be mathematically verified; and
50          (iv) conveys rights, privileges, and legal enforceability equivalent to the possession of a
51     physical record of the same type.
52          (f) "Distributed ledger" means a decentralized database that is maintained by the
53     consensus of replicated, shared, and synchronized digital data.
54          (g) "Government entity" means:
55          (i) the state;
56          (ii) a state agency; or

57          (iii) a political subdivision of the state.
58          (h) "Government operations privacy officer" means the government operations privacy
59     officer described in Section 67-1-17.
60          (i) "State archivist" means the state archivist appointed under Section 63A-12-102.
61          (j) "State privacy officer" means the state privacy officer described in Section 67-3-13.
62          (k) "State registrar" means the state registrar of vital records appointed under Section
63     26-2-3.
64          (2) The Division of Technology Services shall:
65          (a) provide recommendations to government entities regarding:
66          (i) appropriate digital record schemas that allow a government to issue a digital
67     verifiable credential or record;
68          (ii) policies and procedures to protect the privacy of personal identifying information
69     maintained within distributed ledger programs;
70          (iii) the manner and format in which an issuer may certify a document through
71     blockchain; and
72          (iv) processes and procedures for the preservation, auditability, integrity, security, and
73     confidentiality of digital verifiable credentials and records,
74          (b) create a pilot program for the implementation of digital verifiable credentials by
75     governmental entities; and
76          (c) report to Government Operations Interim Committee by October 31, 2023, on the
77     duties described in Subsections (2)(a) and (b).
78          (3) In performing the duties described in Subsections (2)(a) and (b), the Division of
79     Technology Services shall consult with:
80          (a) the state archivist;
81          (b) the state privacy officer;
82          (c) the government operations privacy officer;
83          (d) the state registrar;
84          (e) private industry professionals with relevant expertise;
85          (f) the Utah League of Cities and Towns; and
86          (g) an association of counties in the state.