THE Saipan Chamber of Commerce said House Bill 23-63 or the Digital Closed Circuit Television Camera Act of 2023 is “problematic in a number of ways.”
In his letter to Rep. Julie M. Ogo, the bill’s author and chairwoman of House Commerce and Tourism Committee, Chamber President Joe C. Guerrero said they fully understand the importance of combatting crime against businesses, particularly breaking in and burglary.
However, the No. 1 problem with the measure is the cost, Guerrero said.
H.B. 23-63 would require all businesses in the CNMI to install colored CCTV cameras on their premises specifically in all access points, all exit points and all check-out counter points to continuously record 24 hours a day and seven days a week. It would also require that all recordings be safely and securely retained for 60 days.
Guerrero said the cost for CCTV systems “represents a potential significant hardship to small and medium-size businesses at a time when many are closing their doors due to poor economic conditions.”
While a subsidy program is mentioned in H.B. 23-63, Guerrero said that if the program is not adequately funded or if the eligibility criteria are not clearly defined, “it may fail to provide necessary support to those businesses that need it most.”
He said the “resulting gap” could also create an unequal playing field, potentially leading to more closures or reduced competitiveness.
In addition, Guerrero said the proposed law does not define or address the recurring fees, compliance certificate, inspection, and ongoing costs for digital storage of 60 days of full-color video.
He said “the subsidy may not cover the cost of these recurring storage and maintenance fees.”
Additionally, he said there will likely be significant administrative costs in responding to requests for footage by law enforcement, which may not be affordable for smaller businesses.
Guerrero also raised privacy concerns.
He said many businesses have several areas within their premises that may be considered a “check-out counter point,” and while the general public may not have a reasonable expectation of privacy in public areas, high resolution cameras may capture sensitive information on documents that are being handled by employees and customers.
Guerrero said businesses that will install CCTV cameras will have difficulty balancing their responsibilities to protect their customers’ privacy with the requirement of the legislation.
He added that the bill’s provisions regarding police and civil access to recording from interior areas of all businesses “create a conflict with existing privacy laws, including provisions of the Health Insurance Portability and Accountability Act or HIPAA, financial disclosure, lawyer-client confidentiality laws and Fourth Amendment protections.”
Guerrero said the extensive surveillance mandated by the bill also raises ethical concerns about individual autonomy, consent, and the potential for misuse of information, as the legislation fails to address which entities will have the right to request surveillance footage and the requisite mechanism for such requests.
“CCTV [cameras] may be considered a good investment for those businesses who are targets for break-ins, but to require this for most businesses represents severe overreach and financial burden at this time,” Guerrero said.
Instead of mandating CCTV cameras, Guerrero said the chamber respectfully offers the following suggestions:
1) The Department of Public Safety mounts a campaign to promote the voluntary use of CCTV by businesses and identify sources of funding to incentivize installation and maintenance of such systems.
2) Allow businesses that voluntarily install CCTV to offset the cost of installation and maintenance via a non-refundable tax credit against their business gross receipt tax.
