[HISTORY: Adopted by the Town Board of the Town of Horseheads 11-25-2020 by L.L. No. 4-2020. Amendments noted where applicable.]
The Town of Horseheads Board of Trustees finds that identity theft and security breaches are affecting local residents and others. The New York State Legislature and Governor enacted legislation mandating the establishment of a breach notification procedure to prevent injury to residents and afford an opportunity for repair of damages resultant from a breach.
As used in this chapter, the following terms shall have the meanings indicated:
PRIVATE INFORMATION, BREACH OF SECURITY OF THE SYSTEM, and CONSUMER REPORTING AGENCY
Shall have the same meanings as provided in State Technology Law Section 208, as amended from time to time, excepting that where the word "State" is used, it shall be interchanged with the word "Town" as the context of this chapter will require.
TOWN
The Town of Horseheads, NY.
TOWN ENTITY
Any Town board, bureau, division, committee, commission, council, department, public authority, public benefit corporation, office or other governmental entity performing a governmental or proprietary function for the Town of Horseheads except the judiciary.
A. 
Any Town entity that owns or licenses computerized data that includes private information shall disclose any breach of the security of the system following discovery or notification of the breach in the security of the system to any resident of New York State whose private information was, or is reasonably believed to have been, accessed or acquired by a person without valid authorization. The disclosure shall be made in the most expedient time possible and without unreasonable delay, consistent with the legitimate needs of law enforcement, as provided in § 149-5 of this chapter, or any measures necessary to determine the scope of the breach and restore the reasonable integrity of the data system.
B. 
The Town entity shall consult with the State Office of Cyber Security and Critical Information Coordination to determine the scope of the breach and restoration measures.
C. 
Notice to affected persons under this section is not required if the exposure of private information was an inadvertent disclosure by persons authorized to access private information, and the Town entity reasonably determines such exposure will not likely result in misuse of such information, or financial or emotional harm, to the affected persons. Such a determination must be documented in writing and maintained for at least five years. If the incidents affected over 500 residents of New York, the Town shall provide the written determination to the New York State Attorney General within 10 days after the determination.
D. 
If notice of the breach of the security of the system is made to affected persons pursuant to the breach notification requirements under any of the following laws, nothing in this section shall require any additional notice to those affected persons, but notice shall be provided to the New York State Attorney General, the Department of State and the Office of Information Technology Services pursuant to § 149-8 hereof and to consumer reporting agencies pursuant to § 149-8 hereof.
(1) 
Regulations promulgated pursuant to Title V of the federal Gramm-Leach Bliley Act (15 U.S.C. 6801 to 6809), as amended from time to time;
(2) 
Regulations implementing the Health Insurance Portability and Accountability Act of 1996 (45 CFR Parts 160 and 164), as amended from time to time, and the Health Information Technology for Economic and Clinical Health Act, as amended from time to time;
(3) 
Part 500 of Title 23 of the official compilation of Codes, Rules and Regulations of the State of New York, as amended from time to time;
(4) 
Any other data security rules and regulations of, and the statutes administered by, any official department, division, commission or agency of the federal or New York State government as such rules, regulations or statutes are interpreted by such department, division, commission or agency or by the federal or New York State courts.
Any Town entity that maintains computerized data that includes private information which such entity does not own shall notify the owner or licensee of the information of any breach of the security of the system immediately following discovery, if the private information was, or is reasonably believed to have been, acquired by a person without valid authorization.
The notification required by this chapter may be delayed if a law enforcement agency determines that such notification impedes a criminal investigation. The notification required by this chapter shall be made after such law enforcement agency determines that such notification does not compromise such investigation.
The notice required by this chapter shall be directly provided to the affected persons by one of the following methods:
A. 
Written notice;
B. 
Electronic notice, provided that the person to whom notice is required has expressly consented to receiving said notice in electronic form and a log of each such notification is kept by the Town entity who notifies affected persons in such form; provided further, however, that in no case shall any person or business require a person to consent to accepting said notice in said form as a condition of establishing any business relationship or engaging in any transaction;
C. 
Telephone notification, provided that a log of each telephone notification is kept by the Town entity which notifies the affected parties; or
D. 
Substitute notice, if a Town entity demonstrates to the New York State Attorney General that the cost of providing notice would exceed $250,000, or that the affected class of subject persons to be notified exceeds $500,000, or such entity does not have sufficient contact information, substitute notice shall consist of all of the following:
(1) 
Email notice when such Town entity has an email address for the subject persons;
(2) 
Conspicuous posting of the notice on such Town entity's website page, if such entity maintains one; and
(3) 
Notification to major statewide media.
Regardless of the method by which notice is provided, such notice shall include contact information for the person or business making the notification and a description of the categories of information that were, or are reasonably believed to have been, accessed or acquired by a person without valid authorization, including specification of which of the elements of personal information and private information were, or are reasonably believed to have been, so acquired.
A. 
In the event that any New York residents are to be notified at one time, the Town entity shall notify the New York State Attorney General, the Consumer Protection Board, and the State Office of Cyber Security and Critical Infrastructure Coordination as to the timing, content and distribution of the notices and approximate number of affected persons and provide a copy of the template of the notice sent to affected persons. Such notice shall be made without delaying notice to affected New York residents.
B. 
In the event that more than 5,000 New York residents are to be notified at one time, the person or business shall also notify consumer reporting agencies as to the timing, content and distribution of the notices and approximate number of affected persons. Such notice shall be made without delaying notice to affected New York residents.
Any Town entity required to provide notification of a breach of information that is not "private information" as defined herein, to the Secretary of Health and Human Services pursuant to the Health Insurance Portability and Accountability Act of 1996 or the Health Information Technology for Economic and Clinical Health Act, as amended from time to time, shall provide such notification to the New York State Attorney General within five business days of notifying the Secretary.
Any local law, ordinance, or resolution of the Town in conflict herewith is hereby repealed to the extent of such conflict or inconsistency, except that this chapter shall not affect or prevent the prosecution or punishment of any person for any act done or committed in violation of any local law, ordinance, regulation or resolution hereby repealed prior to the effective date of this chapter. In particular, but not by way of limitation, this chapter supersedes and repeals Chapter 56 of the Town Code as adopted by the Town Board in May of 2012 as Local Law No. 4 of 2012.
In the event any clause, sentence, section or other part of this chapter shall be declared to be invalid, such invalidity shall not affect the remainder of this chapter.