Bill
A 3518
New Jersey creates voluntary digital driver's licenses and digital non-driver IDs, issued by the MVC, with selective data disclosure, encryption, logs, and privacy protections.
Status and timeline
- Introduced: Feb 5, 2024 (Assembly).
- Committee action/amendments: Reported with amendments by Assembly Budget Committee (June 26, 2025).
- Passed both houses: June 30, 2025 (Assembly 75‑3‑2; Senate 31‑6).
- Enacted: Approved as P.L.2025, c.115 (July 23, 2025).
- Effective date: 72 months after enactment (6 years), but the Motor Vehicle Commission (MVC) may take administrative steps earlier to implement.
Purpose
- Establishes a voluntary digital alternative to New Jersey’s printed driver’s licenses and non‑driver identification cards by authorizing the MVC to create and issue “digital driver’s licenses” and “digital non‑driver identification cards” that are accessible on electronic devices (digital wallets).
Key provisions
- Definitions: Creates statutory definitions for digital driver’s license, digital non‑driver identification card, digital wallet, selective disclosure, attribute authentication, verifier, holder, electronic device, personal information, and related terms.
- Voluntary issuance and fees: MVC must issue digital credentials to any eligible person who requests one. MVC may charge a reasonable fee and shall retain it under existing law (C.39:2A‑36).
- Security and integrity: Digital credentials must include features to protect integrity and personal information—encryption, protection against unauthorized access, and measures to prevent alteration, duplication, counterfeiting, photographing or forging.
- Privacy & selective disclosure: Holders control which data fields are disclosed (selective disclosure). Systems must support attribute authentication (e.g., proving minimum age without revealing birthdate). Digital wallets must show the verifier’s identity and requested fields and allow holders to approve or refuse.
- Limitations on data use and retention:
- Verifiers and entities contracting with MVC may not collect, retain, share, or use information from a digital credential beyond what is strictly necessary for the verification purpose.
- Digital wallet and verification tool providers operating in the State may not access, collect, retain, share, or use identifiable holder data except as required by law.
- Contracts with outside entities must prohibit use/sale/shared use of data beyond contract needs and require deletion of collected/generated data within 30 days after contract termination.
- Holder protections & law enforcement:
- Holders are not required to physically hand over their device to a verifier; no person (including law enforcement) may take physical possession of the device to verify the credential.
- Displaying or surrendering a device for verification does not constitute consent to search the device; incidental information obtained cannot be used to establish probable cause for a warrant to search the device.
- Logs and transparency: Digital wallets must log verifier requests (verifier identity, requested data, transmitted data). Logs are available only to the holder, who may delete entries.
- Accessibility & public outreach: MVC must ensure accessibility for persons with disabilities and (in consultation with the Attorney General) provide public information online about availability and use.
- Regulatory implementation: MVC must adopt implementing rules under the Administrative Procedure Act.
Who is affected
- MVC (responsible for design, issuance, rulemaking, and contracting).
- New Jersey residents who hold or seek driver’s licenses or non‑driver IDs (may opt in).
- Verifiers (private businesses, service providers, and law enforcement) that accept digital credentials.
- Digital wallet and verification tool providers and any third‑party contractors working with MVC.
Potential impacts and considerations
- Creates a privacy‑focused, voluntary digital ID option that could simplify remote and in‑person identity verification (including age checks) while limiting data collection and reuse.
- Imposes vendor and contract safeguards intended to reduce commercial exploitation of holder data.
- Implementation requires technical development, procurement, and rulemaking by MVC; the long effective delay (72 months) allows time for standards, interoperability, and security testing.
Compiled from official sources — confirm details with the bill’s official record.
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