SRC-TAG C.S.S.B. 1252 78(R) Page 1 of 4 BILL ANALYSIS Senate Research ...

L ANALYSIS
Senate Research Center
C.S.S.B. 1252
78R13265 YDB-F
By: Armbrister
Criminal Justice
5/8/2003
Committee Report (Substituted)
DIGEST
AND PURPOSE
Under current law, the alarm system industry is regulated under Chapter 1702 (Private Security),
Occupations Code. The alarm system industry has changed since the provisions to regulate this
industry were enacted. C.S.S.B. 1252 amends the Occupations Code to reflect advances in
security alarm system technology.
RULEMAKING AUTHORITY
Rulemaking authority is expressly granted to the Texas Commission on Private Security in
SECTION 10 (Section 1702.236, Occupations Code) of the bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 1702.002, Occupations Code, by amending Subdivisions (1) and
(6) and adding Subdivisions (6-a), as follows:
(a-1) Redefine alarm system.
(a-6) Redefines detection device.
(6-a) Defines electronic access control device.
SECTION 2. Amends Subchapter D, Chapter 1702, Occupations Code, by adding 1702.0635, as
follows:
Sec. 1702.0635. RESTRICTIONS ON CERTAIN RULES. Prohibits the Texas
Commission on Private Security (commission) from adopting rules or from establishing
unduly restrictive experience or education requirements that limit a persons ability to be
licensed as an electronic access control device company or be registered as an electronic
access control device installer.
SECTION 3. Amends Subchapter F, Chapter 1702, Occupations Code, by adding Section
1702.1025, as follows:
Sec. 1702.1025. ELECTRONIC ACCESS CONTROL DEVICE COMPANY LICENSE
REQUIRED; SCOPE OF LICENSE. (a) Prohibits a person from taking certain actions,
unless the person holds a license as an electronic access control device company.
(b) Prohibits a person licensed as an electronic access control device company
from installing alarm systems unless otherwise licensed or registered to install
alarm systems under this chapter.
SECTION 4. Amends Sections 1702.103(a) and (b), Occupations Code, as follows:
(a) Includes a new class of license classifications, Class D.
(b) Makes a conforming change.
SECTION 5. Amends Subchapter F, Chapter 1702, Occupations Code, by adding Sections SRC-TAG C.S.S.B. 1252 78(R)
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1702.1055 and 1702.1056, as follows:
Sec. 1702.1055. ELECTRONIC ACCESS CONTROL DEVICE COMPANY. Provides
that a person acts as an electronic access control device company for the purpose of this
chapter if the person installs or maintains an electronic access control device.
Sec. 1702.1056. LOCKSMITH COMPANY. Provides that a person acts as a locksmith
company for the purpose of this chapter if the person installs and maintains mechanical
security devices, including deadbolts and locks and cuts keys for mechanical security
devices.

SECTION 6. Amends Section 1702.124(a), Occupations Code, to prohibit the commission from
issuing a license unless the applicant files with the commission evidence of general liability
insurance policy on a certificate of insurance form prescribed by the Texas Department of
Insurance, rather than the commission, and countersigned by an insurance agent licensed in this
state; or a certificate of insurance for surplus lines coverage obtained under Chapter 981 (Surplus
Line Insurance), rather than Article 1.14-2, Insurance Code, through a licensed Texas surplus
lines agent resident in this state.
SECTION 7. Amends Section 1702.221, Occupations Code, to require an individual to register
with the commission as provided by commission rule if the individual is employed as an
electronic access control device installer or locksmith.
SECTION 8. Amends Subchapter J, Chapter 1702, Occupations Code, by adding Section
1702.2225, as follows:
Sec. 1702.2225. LOCKSMITH COMPANY REGISTRATION REQUIRED. Prohibits
a person from taking certain actions, unless the person is registered as a locksmith
company.
SECTION 9. Amends Subchapter J, Chapter 1702, Occupations Code, by adding Sections
1702.2226 and 1702.2227, as follows:
Sec. 1702.2226. ELECTRONIC ACCESS CONTROL DEVICE INSTALLER. (a)
Provides that an individual acts as an electronic access control device installer for
purposes of this chapter if the individual installs, maintains, or repairs an electronic
access control device.
(b) Prohibits a person registered as an electronic access control device installer
from installing alarm system unless the person is registered under this chapter as
an alarm system installer.
Sec. 1702.2227. LOCKSMITH. Provides that an individual acts as a locksmith for the
purposes of this chapter if the person installs and maintains mechanical security devices,
including deadbolts and locks, and cut keys for mechanical security devices.
SECTION 10. Amends Subchapter J, Chapter 1702, Occupations Code, by adding Section
1702.236, as follows:
Sec. 1702.236. EXAMINATION AND TRAINING REQUIREMENTS FOR
ELECTRONIC ACCESS CONTROL DEVICE INSTALLERS. (a) Requires the
commission to require an individual who applies for registration as an electronic access
control device installer to pass an examination given by the commission or a person
approved by the commission. Requires the examination to cover material related to
access control.
(b) Requires the commission, before September 1, 2005, to allow an electronic
access control device installer to obtain or renew a certificate of registration by
fulfilling the requirements of a commission-approved, industry-based educational SRC-TAG C.S.S.B. 1252 78(R)
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training program. Provides that this subsection expires September 1, 2006.
(c) Authorizes the commission, on and after September 1, 2005, by rule to allow
an electronic access control device installer to obtain or renew a certificate of
registration by fulfilling the requirements of a commission-approved, industry-
based educational training program.
(d) Authorizes a party who asserts that the commission has adopted a rule in
violation of Subsection (b) or (c) to appeal to the attorney general for a
determination of whether the rule violates the subsection because the rule does not
comply with reasonable business practices. Requires the attorney general to make
a determination on an appeal submitted under this section not later than the 90th
day after the date the appeal is submitted or within a reasonable time as
circumstances require. Prohibits the challenged rule from taking effect until after
the attorney general makes a determination. Provides that this subsection expires
September 1, 2007.
SECTION 11. Amends Section 1702.223, Occupations Code, as follows:
(a) Provides that an individual acts as an alarm systems installer for purposes of this
chapter if the individual installs, maintains, or repairs an alarm system or detection
device.
(b) Authorizes an alarm systems installer to install, maintain, or repair an electronic
access control device.
SECTION 12. Amends Section 1702.239(a), Occupations Code, to authorize the commission to
approve only nationally recognized training programs that consist of at least 16 hours, rather than
20 hours, of classroom study in the areas of work allowed by the registration.
SECTION 13. Amends Section 1702.324(b), Occupations Code, to provide that this chapter
does not apply to a manufacturer or a manufacturers authorized distributor who sells equipment
to a license holder or registrant that is used in the operations for which the person is required to
be licensed or registered. Provides that this chapter does not apply to a person who is a licensed
professional engineer practicing engineering supervising engineering practice under Chapter
1001, Occupations Code, rather than the Texas Engineering Practice Act (Article 3271(a),
V.T.C.S.), including forensic analysis, burglar alarm system engineering, and necessary date
collection. Deletes text providing that this chapter does not apply to a locksmith. Redesignates
(b)(6)-(b)(12) as (b5)-(b)(11).
SECTION 14. Amends Section 1702.328, Occupations Code, to provide that this chapter does
not apply to a person in the business of building construction that installs electrical wiring and
devices that may include in part the installation of a burglar alarm or detection device if the
person does not service or maintain alarm systems, electronic access control devices, locks,
rather than burglar alarms, or detection devices; nor does it apply to person who sells exclusively
over the counter or by mail order alarm systems or detection device, rather than signal devices,
burglary alarms, television cameras, still cameras, or other electrical, mechanical, or electronic
devise used for preventing or detecting burglary, theft, or other losses.
SECTION 15. (a) Requires the commission, by January 1, 2004, to adopt rules necessary to
administer the changes made by this Act to Chapter 1702, Occupations Code.
(b) Provides that notwithstanding Sections 1702.1025 and 1702.2225, Occupations
Code, as added by this Act, and Section 1702.221, Occupations Code, as amended by this
Act, a person is not required to hold a license as an electronic access control device
installer, a locksmith company, or a locksmith before September 1, 2004.
SECTION 16. (a) Provides that except as provided by Subsection (b) of this section, this Act
takes effect September 1, 2003. SRC-TAG C.S.S.B. 1252 78(R)
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(b) Provides that Sections 1702.1025 and 1702.2225, Occupations Code, as added by this
Act, take effect January 1, 2004.