Oklahoma Municipal League

Champions for Effective Local Government

Red Flag Rule

Red Flag Rule

DEQ fee increases & Red Flag Rule
Fee increases proposed by the Oklahoma DEQ pre-Christmas rule-making will dramatically increase costs to municipalities and businesses they wish to attract to OK. Also, Red Flag Rule Effective 12/31/10 with Congressional Clarification.  
 
FTC Extends Enforcement Deadline for Identity Theft Red Flags Rule
At the request of several Members of Congress, the FTC is further delaying enforcement of the “Red Flags” Rule through December 31, 2010, while Congress considers legislation that would affect the scope of entities covered by the Rule. 
 
The Red Flag Rule: An Identity Theft Risk Audit for Municipal Lawyers
This paper discussing the Federal Red Flag Rules was presented by OML General Counsel Diane Pedicord to the IMLA Spring Conference in Washington D.C. on April 21, 2009. 
 
Red Flag Attorney Ruling
The American Bar Association on October 29 won a suit against the Federal Trade Commission’s enforcement of its Red Flag regulations against attorneys practicing outside the financial sector.  
 
Red Flag On-line Course Now Available
The Red Flag Rule requires continuing follow up and training to prevent identity theft.  
 
FTC Provides More Tools For Red Flags Rule Compliance
The Federal Trade Commission (FTC) made more tools available to entities impacted by the Red Flags Rule, which the FTC will now begin enforcing on August 1, 2009. 
 
Red Flag Rules and Guildelines
Municipal Policy Review Volume 7
Municipal Policy Review Volume 7 for download. 
 
Red Flag Rules: When Do They Apply?
MUNICIPAL COURT? Municipal licensing?
Other “Governmental operations?
“We report. You decide.” 
 
New State Statute: Red Flag Implications in HB 2245
Unauthorized Acquired Personal Information effective November 1, 2008
HB 2245creates the Security Breach Notification Act. The bill affects private business and “governments, governmental subdivisions, agencies or instrumentalities, or any other legal entity, whether for profit or not-for-profit.” 
 
Red Flag/Security Breach Notification Act Incident?
The Security Breach Notification Act was likely triggered by the State of Oklahoma due to three instances over a sixty day period of lost/stolen laptops of state employees. 
 
Upon Reflection: How to Live with the FACTA Red Flag Rule
This paper was presented by OML General Counsel Diane Pedicord at the Oklahoma Municipal Clerks and Treasurers Institute on March 18, 2009. This Institute is part of the national certification process for clerks and treasurers. 

Application to Municipal Attorney’s in Private Practice
One of the most interesting applications of the Red Flag Rules to municipal operations is whether the Rule applies to an attorney in private practice.

Sample Policies

Red Flag Rules and Guidelines

FTC confirms that municipalities are subject to the Red Flag rules for all utility operations and other services for which payment is deferred for multiple transactions.  Look for news of training events being developed by OML. 

See the FTC powerpoint and the Final Rule beginning at page 63771.  The rule contains Guidelines (see Rule at pages 63773 -63774 and the Powerpoint at pages 14-26).  It also includes 26 examples of red flags (see Rule at page 63774 and the Powerpoint at pages 27-28).

Final Rules (.pdf)

FTC PowerPoint (.ppt)

Miss the workshop? Download the form to order the workshop materials. 

Red Flag Rules Order Form

Red Flag Rules: Q&A