Committee hears first reading on electronic driver’s licenses; DMV outlines app design, privacy and enforcement safeguards

The Senate Transportation Committee held the first hearing on Senate Bill 165 on April 27, a bill to authorize electronic driver’s licenses and identification cards as a digital companion to the physical credential.

Eric DeMullen, acting administrative services director and director of finance for the Department of Administration, said the bill “is an exciting modernization of Alaska’s current driver's license programs” that would strengthen privacy protections and clarify legal procedures for law enforcement while keeping physical cards mandatory. Forrest Wolf, the department’s legislative liaison, summarized statutory changes—adding authority to issue electronic credentials, requiring regulations, and including liability protection for officers who verify credentials.

Lauren Whiteside, DMV division operations manager, described how the system would work: “It is an app. It is an app. Both the folder and the verifier app were developed by DMV with DMV's current credential vendor,” and the apps follow international and industry privacy standards. She said the holder app “will always be able to display that credential” without cell signal, while the verifier app used by law enforcement or businesses does not store personal information after a verification session.

Committee members pressed departments on several practical and privacy questions. Senators asked whether a mobile credential would function in areas without cell coverage and whether law enforcement could require the physical card. Whiteside explained that the holder app keeps the credential locally, so it can be displayed offline, but real-time updates require signal; if a verifier cannot receive a transmission, officers may request the physical card. The department emphasized the mobile credential is intended as a companion, not a replacement, though the statute allows the commissioner to require both in specific circumstances.

Members also asked about data sharing and agreements. The department noted existing data exchanges (National Driver Registry, Problem Driver Pointer System, Commercial Driver License Information System) and said the section authorizes agreements with law enforcement and other governmental agencies; officials said those arrangements are DMV-to-DMV or agency-to-agency systems rather than vendor contracts, and said they would provide applicable privacy rules and further information to the committee.

Officials said the Federal Aviation Administration/TSA final rule for mobile credentials was released in November 2024 and DMV is working on an application for acceptance at TSA checkpoints, with a target submission and acceptance process aimed toward late 2025. The committee did not take action on SB 165 and asked department staff to provide follow-up materials on privacy rules, data-sharing agreements, and vendor/contract details as the bill moves forward.