California Officials Urged to Delay Effective Date of Landmark Consumer Privacy Act

SACRAMENTO, Calif.—California’s governor, attorney general, and members of the State Senate and Assembly are being urged by some to delay the effective date of the California Consumer Privacy Act (CCPA) by two years.

The CCPA was signed into law June 28, 2018, with many believing it will become a standard for other states to follow.

The suggested delay would move the implementation date to Jan. 1, 2022, and "provide sufficient time to resolve ambiguities" within the law, wrote NAFCU, in a joint letter with the United States Chamber of Commerce and other organizations representing “every sector of the American economy.”

The organizations are also asking that help be given to businesses to implement systems that would "meaningfully protect consumers' privacy, provide rights offered by CCPA, and meet consumers' expectations."

"In order for California's new privacy law to be effective it must instill certainty and trust," wrote the coalition. "This requires that both consumers and industry alike have adequate opportunities to know what the requirements of a privacy law will be prior to implementing robust compliance programs."

Two Complications

In the letter, the organizations highlight two complicating factors: the number of pending and material proposed amendments to the CCPA that may not be addressed until later this month, and the California Attorney General's current rulemaking effort that is expected to add new compliance obligations which is not expected to conclude until later this year.

"For a benchmark for a reasonable time for compliance, the State of California should look to the European Union's General Data Protection Regulation ("GDPR")—whose final regulations were adopted in April 2016 with a two-year implementation period before it took effect in May 2018," they added.

 

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