SACRAMENTO - After much debate and rewriting, a bill to allow motor fuels retailers to continue to collect zip codes from customers who pay by credit card passed the California Assembly last week, the Sacramento Business Journal reports. The bill now moves to the state Senate.

The California Supreme Court recently ruled that zip codes constitute personal identification and collecting them is a violation of state privacy rules. Following the ruling, more than 150 class action lawsuits were filed against retailers in the state. Many retailers require zip codes with a pay-at-the-pump credit card sale to reduce fraud.

New language in Assembly Bill 1219 exempts motor fuels retailers from the prohibition when the zip codes are collected to prevent fraud, theft or identity theft in specified fuel transactions or when required under state law.

"Millions of people swipe their credit cards when they pay for gas at the pump and they don€™t think twice about inputting their zip code," said state Sen. Henry Perea, a supporter of the bill. "Asking for zip codes at the pump is a layer of protection for consumers, and businesses are being unfairly sued for it."