Ord 2022-016 Electronic Digital Signatures 2nd reading

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IN THE CITY COUNCIL OF THE CITY OF SAN LEANDRO ORDINANCE NO. 2022-016 ORDINANCE ADDING ARTICLE 1 TO CHAPTER 1-9 OF TITLE 1 OF THE SAN LEANDRO MUNICIPAL CODE PERTAINING TO ELECTRONIC SIGNATURES WHEREAS, in 1995, California passed Government Code section § 16.5, authorizing public entities, including cities, to accept a "digital signature" for any written communication, so long as the digital signature meets certain requirements and complies with regulations adopted by the Secretary of State; and WHEREAS, the regulations adopted by the Secretary of State in 1998 require a public entity, before accepting a digital signature, to ensure that (1) the level of security used to identify the signer of a document is sufficient for the transaction being conducted, (2) the level of security used to transmit the signature is sufficient for the transaction being conducted, and (3) any certificate format used by the signer is sufficient for the security and interoperability needs of the public entity (2 Cal. Code Regs. §22005); and WHEREAS, in 1999, California adopted a version of the Uniform Electronic Transactions Act (UETA) in California Civil Code § 1633.1 to § 1633.17, giving electronic signatures the same legal effect as manual or "wet" signatures; and WHEREAS, UETA applies broadly to "any action or set of actions occurring between two or more persons relating to the conduct of business, commercial, or governmental affairs" (Civil Code, §1633.2, subd. (o)) and transactions subject to UETA need not meet the specific requirements of Government Code section 16.5 and its implementing regulations (Gov. Code, § 16.5, subd. (e)); and WHEREAS, in 2000, the United States Congress passed the Electronic Signatures in Global and National Commerce Act (E-SIGN Act), mandating the same treatment of electronic signatures and manual signatures in interstate or foreign commerce (15 U.S.C. §7001); and WHEREAS, the use of electronic signatures on legally binding documents has become increasingly prevalent in the private sector and is gaining prevalence among public agencies; and WHEREAS, the benefits of electronic signatures include, but are not limited to, reductions in the paper, time, and costs associated with transmitting, approving, and executing physical documents; and WHEREAS, electronic signature technologies have developed to address concerns with verifying the identity of ,the person affixing his or her electronic signature; and WHEREAS, the City wishes to benefit from the efficiencies and benefits of electronic signatures, while using technology that addresses these security concerns; and WHEREAS, Chapter 1-9 is currently reserved in the San Leandro Municipal Code and the City Council desires to codify this Ordinance in Chapter 1-9 and;