SB 3816 · Illinois · introduced Feb 6, 2026In Committee

SB 3816

AUTO LICENSE PLATE RECOGNITION

Medium RiskMay require changes to AI practices. Monitor and prepare.

TL;DR

Illinois SB 3816, introduced by Senators Celina Villanueva and Graciela Guzmán, regulates how automated license plate recognition (ALPR) systems can be used in the state. The bill restricts data sharing and retention by law enforcement and private operators of camera networks that scan and store license plate data.

How This Might Impact Your Business

Companies operating ALPR systems (parking lot operators, toll road vendors, repossession firms, private security companies) would face new restrictions on how long they can store plate data and who they can share it with.

Vendors selling ALPR technology to Illinois police departments or municipalities (Flock Safety, Motorola, Rekor, Vigilant Solutions) would need contract terms aligned with the new data-sharing limits.

Insurance companies and auto finance lenders that purchase ALPR data for fraud detection or vehicle recovery could lose access to certain data feeds.

Retailers and shopping centers using ALPR for loss prevention or customer analytics may need to revise data retention policies and vendor agreements.

The bill is still in committee (re-referred to Assignments), so specific retention periods, penalty amounts, and enforcement mechanisms could change before passage.

Out-of-state data sharing restrictions could affect national ALPR networks that pool Illinois plate reads with data from other states.

No clear small-business exemption has been signaled, meaning private operators of any size could be covered.

What Should You Do

1

Ask your security or operations team to inventory every ALPR camera your company operates or contracts for in Illinois, including vendor names and data retention settings.

2

Have legal review current contracts with ALPR vendors for data sharing clauses, especially any that share data with out-of-state law enforcement or commercial databases.

3

If you purchase ALPR data feeds (insurers, recovery agents, investigators), identify your Illinois data sources and prepare for potential access disruptions.

4

Monitor the bill's progress out of the Assignments Committee and watch for amendments that define retention periods and penalties.

5

Draft a customer-facing data practices statement now in case disclosure requirements get added during committee markup.

Who It Affects

Physical Security & SurveillanceParking & Toll OperationsAuto Finance & RepossessionInsuranceRetail Loss PreventionLaw Enforcement Technology

Sponsors

Status Timeline

  1. committee

    Rule 3-9(a) / Re-referred to Assignments

    May 22, 2026

AI-generated analysis for informational purposes only. Not legal advice. Always consult a qualified attorney for legal guidance.Last action May 22, 2026

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