By Oakley                                             H.B. No. 2615
       74R3566 CAG-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the licensing, regulation, and liability of
    1-3  commissioned and noncommissioned security officers and private
    1-4  security agencies; providing a penalty.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 3(a), Private Investigators and Private
    1-7  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
    1-8  Statutes), is amended to read as follows:
    1-9        (a)  This Act does not apply to:
   1-10              (1)  a person employed exclusively and regularly by one
   1-11  employer in connection with the affairs of an employer only and
   1-12  where there exists an employer-employee relationship; provided,
   1-13  however, any person who shall carry a firearm in the course of his
   1-14  employment shall be required to obtain a private security officer
   1-15  commission under the provisions of this Act;
   1-16              (2)  except as provided by Subsection (d) of this
   1-17  Section, an officer or employee of the United States of America, or
   1-18  of this State or political subdivision of either, while the
   1-19  employee or officer is engaged in the performance of official
   1-20  duties;
   1-21              (3)  a person who has full-time employment as a peace
   1-22  officer as defined by Article 2.12, Code of Criminal Procedure, who
   1-23  receives compensation for private employment on an individual or an
   1-24  independent contractor basis as a patrolman, guard, or watchman if
    2-1  such person is:
    2-2                    (A)  employed in an employee-employer
    2-3  relationship; or
    2-4                    (B)  employed on an individual contractual basis;
    2-5                    (C)  not in the employ of another peace officer;
    2-6  and
    2-7                    (D)  not a reserve peace officer;
    2-8              (4)  a person engaged exclusively in the business of
    2-9  obtaining and furnishing information for purposes of credit
   2-10  worthiness or collecting debts or ascertaining the financial
   2-11  responsibility of applicants for property insurance and for
   2-12  indemnity or surety bonds, with respect to persons, firms, and
   2-13  corporations;
   2-14              (5)  an attorney engaged in the practice of law or an
   2-15  employee of the attorney or the attorney's law firm who is only
   2-16  employed and paid by the attorney or law firm <attorney-at-law in
   2-17  performing his duties>;
   2-18              (6)  admitted insurers, insurance adjusters, agents,
   2-19  and insurance brokers licensed by the State, performing duties in
   2-20  connection with insurance transacted by them;
   2-21              (7)  a person who engages exclusively in the business
   2-22  of repossessing property that is secured by a mortgage or other
   2-23  security interest;
   2-24              (8)  a locksmith who does not install or service
   2-25  detection devices, does not conduct investigations, and is not a
   2-26  security service contractor;
   2-27              (9)  a person who owns and installs burglar detection
    3-1  or alarm devices on his own property or, if he does not charge for
    3-2  the device or its installation, installs it for the protection of
    3-3  his personal property located on another's property, and does not
    3-4  install the devices as a normal business practice on the property
    3-5  of another;
    3-6              (10)  an employee of a cattle association who is
    3-7  engaged in inspection of brands of livestock under the authority
    3-8  granted to that cattle association by the Packers and Stockyards
    3-9  Division of the United States Department of Agriculture;
   3-10              (11)  the provisions of this Act shall not apply to
   3-11  common carriers by rail engaged in interstate commerce and
   3-12  regulated by state and federal authorities and transporting
   3-13  commodities essential to the national defense and to the general
   3-14  welfare and safety of the community;
   3-15              (12)  a registered professional engineer practicing in
   3-16  accordance with the provisions of the Texas Engineering Practice
   3-17  Act  that does not install or service detection devices, does not
   3-18  conduct investigations, and is not a security services contractor;
   3-19              (13)  a person whose sale of burglar alarm signal
   3-20  devices, burglary alarms, television cameras, still cameras, or
   3-21  other electrical, mechanical, or electronic devices used for
   3-22  preventing or detecting burglary, theft, shoplifting, pilferage, or
   3-23  other losses is exclusively over-the-counter or by mail order;
   3-24              (14)  a person who holds a license or other form of
   3-25  permission issued by an incorporated city or town to practice as an
   3-26  electrician and who installs fire or smoke detectors in no building
   3-27  other than a single family or multifamily residence;
    4-1              (15)  a person or organization in the business of
    4-2  building construction that installs electrical wiring and devices
    4-3  that may include in part the installation of a burglar alarm or
    4-4  detection device if:
    4-5                    (A)  the person or organization is a party to a
    4-6  contract that provides that the installation will be performed
    4-7  under the direct supervision of and inspected and certified by a
    4-8  person or organization licensed to install and certify such an
    4-9  alarm or detection device and that the licensee assumes full
   4-10  responsibility for the installation of the alarm or detection
   4-11  device; and
   4-12                    (B)  the person or organization does not service
   4-13  or maintain burglar alarms or detection devices;
   4-14              (16)  a reserve peace officer while the reserve officer
   4-15  is performing guard, patrolman, or watchman duties for a county and
   4-16  is being compensated solely by that county;
   4-17              (17)  response to a burglar alarm or detection device
   4-18  by a law enforcement agency or by a law enforcement officer acting
   4-19  in an official capacity;
   4-20              (18)  a person who, by education, experience, or
   4-21  background has specialized expertise or knowledge such as that
   4-22  which would qualify or tend to qualify such person as an expert
   4-23  witness, authorized to render opinions in proceedings conducted in
   4-24  a court, administrative agency, or governing body of this state or
   4-25  of the United States, in accordance with applicable rules and
   4-26  regulations and who does not perform any other service for which a
   4-27  license is required by provisions of this Act;
    5-1              (19)  an officer, employee, or agent of a common
    5-2  carrier, as defined by Section 153(h), Communications Act of 1934
    5-3  (47 U.S.C.A. Sec. 151 et seq.), while protecting the carrier or a
    5-4  user of the carrier's long-distance services from a fraudulent,
    5-5  unlawful, or abusive use of those long-distance services;
    5-6              (20)  a person who sells or installs automobile burglar
    5-7  alarm devices;
    5-8              (21)  a manufacturer, or a manufacturer's authorized
    5-9  distributor, who sells to the holder of a license under this Act
   5-10  equipment used in the operations for which the holder is required
   5-11  to be licensed;
   5-12              (22)  a person employed as a noncommissioned security
   5-13  officer by a political subdivision of this state;
   5-14              (23)  a person whose activities are regulated under
   5-15  Article 5.43-2, Insurance Code, except to the extent that those
   5-16  activities are specifically regulated under this Act;
   5-17              (24)  a landman performing activities in the course and
   5-18  scope of the landman's business;
   5-19              (25)  a hospital or a wholly owned subsidiary or
   5-20  affiliate of a hospital that provides medical alert services for
   5-21  persons who are sick or disabled, if the hospital, subsidiary, or
   5-22  affiliate is licensed under Chapter 241, Health and Safety Code,
   5-23  and the hospital does not perform any other service that requires a
   5-24  license under this Act;
   5-25              (26)  a charitable, nonprofit organization that
   5-26  provides medical alert services for persons who are sick or
   5-27  disabled, if the organization:
    6-1                    (A)  is exempt from taxation under Section
    6-2  501(c)(3), Internal Revenue Code of 1986;
    6-3                    (B)  has its monitoring services provided by a
    6-4  licensed person or hospital or a wholly owned subsidiary or
    6-5  affiliate of a hospital licensed under Chapter 241, Health and
    6-6  Safety Code; and
    6-7                    (C)  does not perform any other service that
    6-8  requires a license under this Act;
    6-9              (27)  a person engaged in the business of electronic
   6-10  monitoring of a person as a condition of that person's probation,
   6-11  parole, mandatory supervision, or release on bail, if the person
   6-12  does not perform any other service that requires a license under
   6-13  this Act;
   6-14              (28)  a nonprofit business or civic organization that:
   6-15                    (A)  employs one or more peace officers meeting
   6-16  the qualifications of Subdivision (3) of this subsection as
   6-17  patrolmen, guards, or watchmen;
   6-18                    (B)  provides the services of these peace
   6-19  officers only to:
   6-20                          (i)  its members; or
   6-21                          (ii)  if the organization does not have
   6-22  members, the members of the communities served by the organization
   6-23  as described in its articles of incorporation or other
   6-24  organizational documents;
   6-25                    (C)  devotes the net receipts from all charges
   6-26  for the services exclusively to the cost of providing the services
   6-27  or to the costs of other services for the enhancement of the
    7-1  security or safety of:
    7-2                          (i)  its members; or
    7-3                          (ii)  if the organization does not have
    7-4  members, the members of the communities served by the organization
    7-5  as described in its articles of incorporation or other
    7-6  organizational documents; and
    7-7                    (D)  does not perform any other service that
    7-8  requires a license under this Act;
    7-9              (29)  a charitable, nonprofit organization that
   7-10  maintains a system of records to aid in the location of missing
   7-11  children if the organization:
   7-12                    (A)  is exempt from federal taxation under
   7-13  Section 501(c)(3), Internal Revenue Code of 1986, and its
   7-14  subsequent amendments;
   7-15                    (B)  exclusively provides services related to
   7-16  locating missing children; and
   7-17                    (C)  does not perform any other service that
   7-18  requires a license under this Act; or
   7-19              (30)  a person engaged in the business of psychological
   7-20  testing or other testing and interviewing services (to include but
   7-21  not limited to attitudes, honesty, intelligence, personality, and
   7-22  skills) for preemployment purposes, if the person does not perform
   7-23  any other service that requires a license under this Act.
   7-24        SECTION 2.  Section 11(a), Private Investigators and Private
   7-25  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
   7-26  Statutes), is amended to read as follows:
   7-27        (a)  The board shall have the following powers and duties:
    8-1              (1)  to determine the qualifications of licensees,
    8-2  registrants, and commissioned security officers as provided in this
    8-3  Act;
    8-4              (2)  to investigate alleged violations of the
    8-5  provisions of this Act and of any rules and regulations adopted by
    8-6  the board;
    8-7              (3)  to promulgate all rules and regulations necessary
    8-8  in carrying out the provisions of this Act; and
    8-9              (4)  to establish and enforce standards governing the
   8-10  safety and conduct of persons licensed, registered, or <and>
   8-11  commissioned under the provisions of this Act.
   8-12        SECTION 3.  Subchapter C, Private Investigators and Private
   8-13  Security Agencies Act (Article 4413(29bb), Vernon's  Texas Civil
   8-14  Statutes), is amended by adding Sections 19A and 19B to read as
   8-15  follows:
   8-16        Sec. 19A.  TRAINING REQUIREMENTS FOR REGISTRATION AS SECURITY
   8-17  OFFICER.  (a)   An applicant for registration as a security officer
   8-18  shall complete:
   8-19              (1)  eight hours of classroom instruction approved by
   8-20  the board; and
   8-21              (2)  four hours of apprentice training under the
   8-22  supervision of a registered security officer at a place where a
   8-23  security officer routinely patrols.
   8-24        (b)  The classroom instruction shall include instruction in:
   8-25              (1)  the legal powers and authority of a security
   8-26  officer, including instruction in the laws of arrest, search and
   8-27  seizure, and the use of force by a security officer;
    9-1              (2)  the detection and reporting of fire and safety
    9-2  risks;
    9-3              (3)  communicating with and notifying public safety
    9-4  agencies;
    9-5              (4)  techniques for observing and reporting security
    9-6  disturbances, including field note taking and report writing;
    9-7              (5)  patrolling techniques; and
    9-8              (6)  the code of conduct and ethics applicable to a
    9-9  security officer.
   9-10        (c)  To be registered as a security officer, an applicant
   9-11  must complete the training described in Subsection (a) of this
   9-12  section and  pass a written examination.  The examination shall be
   9-13  prepared or approved by the board.  An examination required for
   9-14  registration as a security officer must be validated by an
   9-15  independent testing professional.
   9-16        (d)  The board shall adopt rules necessary to administer the
   9-17  provisions of this section concerning the training requirements of
   9-18  this Act.
   9-19        Sec. 19B.  ADDITIONAL REQUIREMENTS FOR COMMISSIONED SECURITY
   9-20  OFFICER.  (a)  In addition to the completion of the training
   9-21  requirements in Section 19A of this Act, a security officer may not
   9-22  carry a firearm or other weapon unless the officer has received a
   9-23  security officer commission and has:
   9-24              (1)  completed 15 hours of firearms instruction,
   9-25  including instruction in marksmanship, limitations on the use of a
   9-26  firearm, and firearm handling, safety, and maintenance;
   9-27              (2)  attained a satisfactory grade on a written
   10-1  examination on the issues covered in the instruction required by
   10-2  Section 19A of this Act and this section; and
   10-3              (3)  attained a marksmanship qualification score of not
   10-4  less than 70 percent on a silhouette target course approved by a
   10-5  state regulatory agency.
   10-6        (b)  The written examination required by this section shall
   10-7  be prepared or approved by the board and may be offered at the same
   10-8  time as the examination required by Section 19A of this Act.
   10-9        (c)  The board may approve a course of instruction in the use
  10-10  of other  weapons.  If a security officer completes the course of
  10-11  instruction in the use of other weapons, the commissioned security
  10-12  officer may carry the other weapon under the same restrictions that
  10-13  apply to a commissioned security officer carrying a firearm.
  10-14        (d)  The board may impose other physical or mental standards
  10-15  as a requirement for carrying a firearm or other weapon.
  10-16        (e)  Only a school approved by the board may offer firearms
  10-17  or other weapon training described by this section.
  10-18        SECTION 4.  Section 32(a), Private Investigators and Private
  10-19  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
  10-20  Statutes), is amended to read as follows:
  10-21        (a)  An individual who is employed as a private investigator,
  10-22  manager, branch office manager, alarm systems installer,
  10-23  <noncommissioned> security officer, private security consultant,
  10-24  security sales person, alarm systems monitor, or dog trainer, or
  10-25  who is an owner, officer, partner, or shareholder of a licensee,
  10-26  must register with the board as provided by board rule.
  10-27        SECTION 5.  Section 36, Private Investigators and Private
   11-1  Security Agencies  Act (Article 4413(29bb), Vernon's Texas Civil
   11-2  Statutes), is amended by amending Subsection (a) and adding
   11-3  Subsection (c)  to read as follows:
   11-4        (a)  A pocket card issued to a noncommissioned security
   11-5  officer shall be issued to the individual employee and is valid for
   11-6  four years.  A pocket card issued to a commissioned security
   11-7  officer shall be issued to the individual employee and is valid for
   11-8  two years.  A pocket card issued to any other individual registered
   11-9  under Section 32 of this Act shall be issued to the individual's
  11-10  employer and is valid for two years.  The pocket card must state
  11-11  the name of the individual who is registered.
  11-12        (c)  A pocket card issued by the board shall contain a
  11-13  designation showing whether a security officer may carry a firearm
  11-14  or other weapon.  A new pocket card shall be issued each time a
  11-15  security officer obtains a new weapon designation.
  11-16        SECTION 6.  Sections 37(b) and (c), Private Investigators and
  11-17  Private Security Agencies Act (Article 4413(29bb), Vernon's  Texas
  11-18  Civil Statutes), are amended to read as follows:
  11-19        (b)  An individual who terminates his position as a
  11-20  <noncommissioned> security officer may retain the pocket card for
  11-21  use in future employment as provided by Subsection (c) of this
  11-22  section.
  11-23        (c)  An individual who is registered as a <noncommissioned>
  11-24  security officer may transfer the registration from one employer to
  11-25  another employer if, not later than the 10th day after the date on
  11-26  which the registrant begins new employment, the new employer
  11-27  notifies the board of the transfer of employment on a form
   12-1  prescribed by the board accompanied by the employee information
   12-2  update fee.
   12-3        SECTION 7.  Section 38(c), Private Investigators and Private
   12-4  Security Agencies  Act (Article 4413(29bb), Vernon's Texas Civil
   12-5  Statutes), is amended to read as follows:
   12-6        (c)  If the employee was registered as a <noncommissioned>
   12-7  security officer, the employee may retain the pocket card for use
   12-8  in future employment.
   12-9        SECTION 8.  Section 44(c), Private Investigators and Private
  12-10  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
  12-11  Statutes), is amended to read as follows:
  12-12        (c)  Any person who violates any provision of this Act for
  12-13  which a specific penalty is not prescribed commits an offense.  An
  12-14  offense under this subsection is a felony of  the third
  12-15  degree <Class A misdemeanor>.
  12-16        SECTION 9.  Subchapter D, Private Investigators and Private
  12-17  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
  12-18  Statutes), is amended by adding Section 52 to read as follows:
  12-19        Sec. 52.  LIMITATIONS ON TORT LIABILITY.  (a)  A person may
  12-20  not recover damages from a security services contractor in a civil
  12-21  suit for a cause of action arising from the negligent hiring or
  12-22  negligent training of a security officer if the security services
  12-23  contractor was, at the time of the injury, in compliance with the
  12-24  provisions of this Act and any security officer involved in the
  12-25  acts giving rise to the cause of action was trained under the
  12-26  provisions of this Act.
  12-27        (b)  The limit of liability for all noneconomic losses
   13-1  recoverable by or on behalf of  an injured person from a security
   13-2  services contractor in a civil suit arising from  a cause of action
   13-3  based on a claim other than negligent supervision or negligent
   13-4  training is $250,000, if the security services contractor was in
   13-5  compliance with  the provisions of this  Act at the time the cause
   13-6  of action arose and any security officer involved in the incident
   13-7  giving rise to the suit was trained and registered under this Act.
   13-8        (c)  This section does not limit the liability in a suit in
   13-9  which the action of a security services contractor is grossly
  13-10  negligent.
  13-11        (d)  This  section only provides a limit on liability arising
  13-12  from an act directly related to the provision of a service for
  13-13  which a license is required under this Act.
  13-14        SECTION 10.  Section 20, Private Investigators and Private
  13-15  Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
  13-16  Statutes), is repealed.
  13-17        SECTION 11.  This Act takes effect September 1, 1995.
  13-18        SECTION 12.  (a)  The change in law made by this Act applies
  13-19  only to the punishment of an offense committed on or after the
  13-20  effective date of this Act.  For purposes of this section, an
  13-21  offense is committed before the effective date of this Act if any
  13-22  element of the offense occurs before the effective date.
  13-23        (b)  An offense committed before the effective date of this
  13-24  Act is covered by the law in effect when the offense was committed,
  13-25  and the former law is continued in effect for that purpose.
  13-26        SECTION 13.  The importance of this legislation and the
  13-27  crowded condition of the calendars in both houses create an
   14-1  emergency and an imperative public necessity that the
   14-2  constitutional rule requiring bills to be read on three several
   14-3  days in each house be suspended, and this rule is hereby suspended.