HBA-DMD, NIK H.B. 3189 76(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 3189
By: Driver
Public Safety
7/30/1999
Enrolled



BACKGROUND AND PURPOSE 

Licensed security firms often install standard residential burglar alarm
systems, equipped with three button keypads that include police, fire, and
medical "panic buttons."  Under Article 5.43-2 (Fire Detection and Alarm
Devices), Insurance Code, if a licensed security firm activates the fire
alarm button on the keypad, the firm must also obtain a fire alarm license.
To avoid this requirement, security firms sometimes disable the fire
button.  Homeowners who are unaware that the button has been disabled might
erroneously believe they have summoned firefighters by pushing the button. 

H.B. 3189 exempts installers licensed under the Private Investigators and
Private Security Agencies Act from the fire alarm licensing requirements
when installing a fire alarm panic button in a one or two family dwelling,
if the fire alarm signal is monitored by a registered fire alarm firm and
the alarm is not initiated by a fire or smoke detection device. This bill
also makes prohibitions relating to a political subdivision dealing with
fire alarm or fire detection devices or systems. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 3(b), Article 5.43-2, Insurance Code, to include
among the enumerated persons to whom the licensing provisions of this
article is prohibited from applying, a person or organization licensed to
install or service burglar alarms under the Private Investigators and
Private Security Agencies Act (Article 4413(29bb), V.T.C.S.)  that provides
and installs in a single-family or two-family residence a combination
keypad that includes a panic button to initiate a fire alarm signal if the
fire alarm signal is monitored by a fire alarm firm registered under this
article (Fire Detection and Alarm Devices), and is not initiated by any
fire or smoke detection device. 

SECTION 2. Amends Section 7, Article 5.43-2, Insurance Code, as follows:

(b) Prohibits a political subdivision from offering residential alarm
system sales, service, installation, or monitoring unless it has been
providing monitoring services to residences within the boundaries of the
political subdivision as of September 1, 1999.  Prohibits any fee charged
by the political subdivision from exceeding the cost of the monitoring.  

 (c) Sets forth the authority of a political subdivision pertaining to
alarm systems.  

(d) Provides that the limitations of Subsections (b) do not apply to a
political subdivision in counties with certain populations or in a
political subdivision where monitoring is not otherwise provided or
available. 

 (e) Defines "monitoring" for the purposes of Subsections (b), (c), and (d).

SECTION 3.  Amends Subsections (d), (e), and (f), Section 13, Private
Investigators and Private Security Agencies Act (Article 4413(29bb),
V.T.C.S.), as added by H.B. No. 2617, Acts of the 76th Legislature, Regular
Session, 1999, as follows: 
 (d) Prohibits a political subdivision from offering residential alarm
system sales, service, installation, or monitoring unless it has been
providing monitoring services to residences within the boundaries of the
political subdivision as of September 1, 1999, except as provided by
Subsection (e).  Prohibits any fee charged by the political subdivision
from exceeding the cost of the monitoring.  

 (e) Sets forth the authority of a political subdivision pertaining to
alarm systems.  

(f) Provides that the limitations of Subsection (d) do not apply to a
political subdivision in counties with certain populations or in a
political subdivision where monitoring is not otherwise provided or
available. 

SECTION 4. Effective date: September 1, 1999.

SECTION 5. Emergency clause.