S.B. 55 Will Require Rulemaking for Electronic Signatures

February 16, 2011
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As amended, S.B. 55, Electronic Signatures, beginning on line 39, provides:

state governmental agency may not accept an electronic signature unless the state governmental agency makes a rule, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, identifying: (i) the type of documents, transactions, or other filings that will be accepted with an electronic signature affixed; and (ii) the manner and format in which the electronic signature must be affixed to the document, transaction, or other filing.

This language changes the presumption that exists in the current law which the Utah Supreme Court described as follows:

The language of section 46-4-501(1) plainly permits governmental agencies to dictate what transactions they are willing to conduct through electronic means and what transactions they are unwilling to do via electronic means. Id. § 46-4-501(1)(a) & (b).  But this subsection also requires the state agency to make this determination through the rulemaking procedures required by Title 63G. (2010 UT 47, ¶21; Emphasis added)

The Division of Administrative Rules encourages state agencies to review S.B. 55, as amended, with counsel.  More information about S.B. 55 is available from the Legislature’s web site at http://le.utah.gov/~2011/htmdoc/sbillhtm/SB0055.htm .