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California privacy agency holds public meeting on CPRA

Privacy, Cyber Risk & Data Security State Issues California CPPA CPRA CCPA Consumer Protection Agency Rule-Making & Guidance

Privacy, Cyber Risk & Data Security

On December 16, the California Privacy Protection Agency (CPPA) Board held a public meeting to discuss the ongoing status of the California Privacy Rights Act (CPRA). As previously covered by InfoBytes, the CPRA (largely effective January 1, 2023, with enforcement delayed until July 1, 2023) was approved by ballot measure in November 2020 to amend and build on the California Consumer Privacy Act (CCPA). In July, the CPPA initiated formal rulemaking procedures to adopt proposed regulations implementing the CPRA, and in November the agency posted updated draft regulations (covered by InfoBytes here and here). The CPPA stated it anticipates conducting additional preliminary rulemaking in early 2023. After public input is received, the CPPA will discuss proposed regulatory frameworks for risk assessments, cybersecurity audits, and automated decisionmaking.

During the board meeting, the CPPA introduced sample questions and subject areas for preliminary rulemaking that will be provided to the public at some point in 2023, and finalized and approved at a later meeting. The questions and topics relate to, among other things, (i) privacy and security risk assessment requirements, including whether the CPPA should follow the approach outlined in the European Data Protection Board’s Guidelines on Data Protection Impact Assessment, as well as other models or factors the agency should consider; (ii) benefits and drawbacks for businesses should the CPPA accept a business’s risk assessment submission that was completed in compliance with GDPR’s or the Colorado Privacy Act’s requirements for these assessments; (iii) how the CPPA can ensure cybersecurity audits, assessments, and evaluations are thorough and independent; and (iv) how to address profiling and logic in automated decisionmaking, the prevalence of algorithmic discrimination, and whether opt-out rights with respect to a business’s use of automated decisionmaking technology differ across industries and technologies. The CPPA said it is also considering different rules for businesses making under $25 million in annual gross revenues.