RESOLUTION NO. 08-1104

A RESOLUTION AUTHORIZING ADOPTION AND IMPLEMENTATION OF THE CITY OF OLATHE RED FLAG POLICIES FOR MUNICIPAL SERVICES AND THE CITY OF OLATHE HOUSING REHABILITATION PROGRAM.

WHEREAS, the Fair and Accurate Credit Transaction Act of 2003 (FACTA) added new sections to the federal Fair Credit Reporting Act (FCRA, 15 U.S.C. 1681 et seq.), intended primarily to help consumers fight the growing crime of identity theft; and

WHEREAS, FACTA requires all financial institutions and creditors to adopt and implement a written policy to detect and deter identity theft; and

WHEREAS, the Federal Trade Commission published rule, Identity Theft Red Flags and Address Discrepancies Under the Fair and Accurate Credit Transactions Act of 2003 (16 C.F.R. Part 681), requires the written policy be adopted and implemented by November 1, 2008 (the “Rule”); and

WHEREAS, the Rule identifies utility companies as creditors; and

WHEREAS, the City of Olathe is a municipal utility company in the business of providing water to the citizens of Olathe; and

WHEREAS, the Olathe Housing Rehabilitation Program distributes CDBG funds in the form of second mortgages that must be repaid when the home being rehabilitated is sold or converted to rental property; and

WHEREAS, the FACTA also specifically applies to mortgage lenders; and

WHEREAS, the Rule requires the Governing Body approve and adopt and implement the written the policy.

NOW, THEREFORE, BE IT RESOLVED BY THE GOVERNING BODY OF THE CITY OF OLATHE, KANSAS:

SECTION ONE: Pursuant to the Act, the Governing Body hereby approves and adopts the City of Olathe Identity Theft Prevention Programs for Municipal Services (Exhibit A) and the Olathe Housing Rehabilitation Program (Exhibit B).

SECTION TWO: This Resolution shall take effect immediately.

ADOPTED by the Governing Body this 4th day of November, 2008.

SIGNED by the Mayor this 4th day of November, 2008.

ATTEST:

/s/ Debra S. Gragg

City Clerk

(SEAL)

APPROVED AS TO FORM:

/s/ Thomas A. Glinstra

City Attorney