By Brimer H.B. No. 1485
76R6124 MXM-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of persons who repossess motor vehicles,
1-3 mobile and manufactured homes, and vessels; providing a civil
1-4 penalty.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 ARTICLE 1. REGULATION OF REPOSSESSION COMPANIES
1-7 SECTION 1.01. Section 1, Private Investigators and Private
1-8 Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
1-9 Statutes), is amended to read as follows:
1-10 Sec. 1. SHORT TITLE. This Act may be cited as the Private
1-11 Investigators, [and] Private Security Agencies, and Repossession
1-12 Companies Act.
1-13 SECTION 1.02. Section 2, Private Investigators and Private
1-14 Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
1-15 Statutes), is amended by amending Subdivisions (14)-(16), (21), and
1-16 (22) and adding Subdivisions (37)-(43) to read as follows:
1-17 (14) "Manager" means in the case of a corporation, an
1-18 officer or supervisor, or in the case of a partnership, a general
1-19 or unlimited partner meeting the experience qualifications set
1-20 forth in Section 14 of this Act for managing a security services
1-21 contractor, [or] an investigations company, or a repossession
1-22 company.
1-23 (15) "License" means a permit granted by the board
1-24 entitling a person to operate as a security services contractor, an
2-1 [or] investigations company, or a repossession company.
2-2 (16) "Branch office license" means a permit granted by
2-3 the board entitling a person to operate as a security services
2-4 contractor, an [or] investigations company, or a repossession
2-5 company at a location other than the principal place of business as
2-6 shown in the board records.
2-7 (21) "Registration" means a permit granted by the
2-8 board to an individual to perform the duties of a private
2-9 investigator, manager, branch office manager, alarm systems
2-10 installer, noncommissioned security officer, private security
2-11 consultant, alarm systems monitor, [or] security sales person, or
2-12 repossession agent.
2-13 (22) "Registrant" means an individual who has filed an
2-14 application with the board to perform the duties of a private
2-15 investigator, manager, branch office manager, alarm systems
2-16 installer, noncommissioned security officer, private security
2-17 consultant, alarm systems monitor, [or] security sales person, or
2-18 repossession agent.
2-19 (37) "Manufactured home" has the meaning assigned by
2-20 Section 3, Texas Manufactured Housing Standards Act (Article 5221f,
2-21 Vernon's Texas Civil Statutes).
2-22 (38) "Mobile home" has the meaning assigned by Section
2-23 3, Texas Manufactured Housing Standards Act (Article 5221f,
2-24 Vernon's Texas Civil Statutes).
2-25 (39) "Motor vehicle" has the meaning assigned by
2-26 Section 1.03, Texas Motor Vehicle Commission Code (Article
2-27 4413(36), Vernon's Texas Civil Statutes).
3-1 (40) "Repossession" means the recovery by an
3-2 individual who is authorized by the legal owner, lienholder, or
3-3 lessor to recover or to collect payment in lieu of recovery of a
3-4 motor vehicle, mobile home, manufactured home, or vessel that has
3-5 been sold or leased under a security agreement that contains a
3-6 repossession clause. A repossession is complete when a registered
3-7 repossession agent is in control, custody, and possession of the
3-8 motor vehicle, mobile home, manufactured home, or vessel.
3-9 (41) "Repossession agent" means an individual who
3-10 performs or advertises that the person performs repossessions for
3-11 consideration.
3-12 (42) "Repossession company" means a person who is
3-13 engaged in the business of performing or advertises that the person
3-14 performs repossessions for consideration.
3-15 (43) "Vessel" has the meaning assigned by Section
3-16 31.003, Parks and Wildlife Code.
3-17 SECTION 1.03. Section 3(a), Private Investigators and
3-18 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
3-19 Civil Statutes), is amended to read as follows:
3-20 (a) This Act does not apply to:
3-21 (1) a person employed exclusively and regularly by one
3-22 employer in connection with the affairs of an employer only and
3-23 where there exists an employer-employee relationship; provided,
3-24 however, any person who shall carry a firearm in the course of his
3-25 employment shall be required to obtain a private security officer
3-26 commission under the provisions of this Act;
3-27 (2) except as provided by Subsection (d) of this
4-1 Section, an officer or employee of the United States of America, or
4-2 of this State or political subdivision of either, while the
4-3 employee or officer is engaged in the performance of official
4-4 duties;
4-5 (3) a person who has full-time employment as a peace
4-6 officer, who receives compensation for private employment on an
4-7 individual or an independent contractor basis as a patrolman,
4-8 guard, or watchman if the officer:
4-9 (A) is employed in an employee-employer
4-10 relationship or employed on an individual contractual basis;
4-11 (B) is not in the employ of another peace
4-12 officer;
4-13 (C) is not a reserve peace officer; and
4-14 (D) works as a peace officer on the average of
4-15 at least 32 hours a week, is compensated by the state or a
4-16 political subdivision of the state at the rate of the minimum wage
4-17 or higher, and is entitled to all employee benefits offered to a
4-18 peace officer by the state or political subdivision;
4-19 (4) a person engaged exclusively in the business of
4-20 obtaining and furnishing information for purposes of credit
4-21 worthiness or collecting debts or ascertaining the financial
4-22 responsibility of applicants for property insurance and for
4-23 indemnity or surety bonds, with respect to persons, firms, and
4-24 corporations;
4-25 (5) an attorney-at-law in performing his duties;
4-26 (6) admitted insurers, insurance adjusters, agents,
4-27 and insurance brokers licensed by the State, performing duties in
5-1 connection with insurance transacted by them;
5-2 (7) [a person who engages exclusively in the business
5-3 of repossessing property that is secured by a mortgage or other
5-4 security interest;]
5-5 [(8)] a locksmith who does not install or service
5-6 detection devices, does not conduct investigations, and is not a
5-7 security service contractor;
5-8 (8) [(9)] a person who owns and installs burglar
5-9 detection or alarm devices on his own property or, if he does not
5-10 charge for the device or its installation, installs it for the
5-11 protection of his personal property located on another's property,
5-12 and does not install the devices as a normal business practice on
5-13 the property of another;
5-14 (9) [(10)] an employee of a cattle association who is
5-15 engaged in inspection of brands of livestock under the authority
5-16 granted to that cattle association by the Packers and Stockyards
5-17 Division of the United States Department of Agriculture;
5-18 (10) [(11)] a common carrier by rail engaged in
5-19 interstate commerce and regulated by state and federal authorities
5-20 and transporting commodities essential to the national defense and
5-21 to the general welfare and safety of the community;
5-22 (11) [(12)] a registered professional engineer
5-23 practicing in accordance with the provisions of the Texas
5-24 Engineering Practice Act that does not install or service detection
5-25 devices, does not conduct nonengineering investigations, is
5-26 performing forensic engineering studies, and is not a security
5-27 services contractor;
6-1 (12) [(13)] a person whose sale of burglar alarm
6-2 signal devices, burglary alarms, television cameras, still cameras,
6-3 or other electrical, mechanical, or electronic devices used for
6-4 preventing or detecting burglary, theft, shoplifting, pilferage, or
6-5 other losses is exclusively over-the-counter or by mail order;
6-6 (13) [(14)] a person who holds a license or other form
6-7 of permission issued by an incorporated city or town to practice as
6-8 an electrician and who installs fire or smoke detectors in no
6-9 building other than a single family or multifamily residence;
6-10 (14) [(15)] a person or organization in the business
6-11 of building construction that installs electrical wiring and
6-12 devices that may include in part the installation of a burglar
6-13 alarm or detection device if:
6-14 (A) the person or organization is a party to a
6-15 contract that provides that the installation will be performed
6-16 under the direct supervision of and inspected and certified by a
6-17 person or organization licensed to install and certify such an
6-18 alarm or detection device and that the licensee assumes full
6-19 responsibility for the installation of the alarm or detection
6-20 device; and
6-21 (B) the person or organization does not service
6-22 or maintain burglar alarms or detection devices;
6-23 (15) [(16)] a reserve peace officer while the reserve
6-24 officer is performing guard, patrolman, or watchman duties for a
6-25 county and is being compensated solely by that county;
6-26 (16) [(17)] response to a burglar alarm or detection
6-27 device by a law enforcement agency or by a law enforcement officer
7-1 acting in an official capacity;
7-2 (17) [(18)] a person who, by education, experience, or
7-3 background has specialized expertise or knowledge such as that
7-4 which would qualify or tend to qualify such person as an expert
7-5 witness, authorized to render opinions in proceedings conducted in
7-6 a court, administrative agency, or governing body of this state or
7-7 of the United States, in accordance with applicable rules and
7-8 regulations and who does not perform any other service for which a
7-9 license is required by provisions of this Act;
7-10 (18) [(19)] an officer, employee, or agent of a common
7-11 carrier, as defined by Section 153(10), Communications Act of 1934
7-12 (47 U.S.C.A. Sec. 151 et seq.), while protecting the carrier or a
7-13 user of the carrier's long-distance services from a fraudulent,
7-14 unlawful, or abusive use of those long-distance services;
7-15 (19) [(20)] a person who sells or installs automobile
7-16 burglar alarm devices and that does not perform any other act that
7-17 requires a license under this Act;
7-18 (20) [(21)] a manufacturer, or a manufacturer's
7-19 authorized distributor, who sells to the holder of a license under
7-20 this Act equipment used in the operations for which the holder is
7-21 required to be licensed;
7-22 (21) [(22)] a person employed as a noncommissioned
7-23 security officer by a political subdivision of this state;
7-24 (22) [(23)] a person whose activities are regulated
7-25 under Article 5.43-2, Insurance Code, except to the extent that
7-26 those activities are specifically regulated under this Act;
7-27 (23) [(24)] a landman performing activities in the
8-1 course and scope of the landman's business;
8-2 (24) [(25)] a hospital or a wholly owned subsidiary or
8-3 affiliate of a hospital that provides medical alert services for
8-4 persons who are sick or disabled, if the hospital, subsidiary, or
8-5 affiliate is licensed under Chapter 241, Health and Safety Code,
8-6 and the hospital does not perform any other service that requires a
8-7 license under this Act;
8-8 (25) [(26)] a charitable, nonprofit organization that
8-9 provides medical alert services for persons who are sick or
8-10 disabled, if the organization:
8-11 (A) is exempt from taxation under Section
8-12 501(c)(3), Internal Revenue Code of 1986;
8-13 (B) has its monitoring services provided by a
8-14 licensed person, licensed nurse, licensed physician assistant, or
8-15 hospital or a wholly owned subsidiary or affiliate of a hospital
8-16 licensed under Chapter 241, Health and Safety Code; and
8-17 (C) does not perform any other service that
8-18 requires a license under this Act;
8-19 (26) [(27)] a person engaged in the business of
8-20 electronic monitoring of a person as a condition of that person's
8-21 probation, parole, mandatory supervision, or release on bail, if
8-22 the person does not perform any other service that requires a
8-23 license under this Act;
8-24 (27) [(28)] a nonprofit business or civic organization
8-25 that:
8-26 (A) employs one or more peace officers meeting
8-27 the qualifications of Subdivision (3) of this subsection as
9-1 patrolmen, guards, or watchmen;
9-2 (B) provides the services of these peace
9-3 officers only to:
9-4 (i) its members; or
9-5 (ii) if the organization does not have
9-6 members, the members of the communities served by the organization
9-7 as described in its articles of incorporation or other
9-8 organizational documents;
9-9 (C) devotes the net receipts from all charges
9-10 for the services exclusively to the cost of providing the services
9-11 or to the costs of other services for the enhancement of the
9-12 security or safety of:
9-13 (i) its members; or
9-14 (ii) if the organization does not have
9-15 members, the members of the communities served by the organization
9-16 as described in its articles of incorporation or other
9-17 organizational documents; and
9-18 (D) does not perform any other service that
9-19 requires a license under this Act;
9-20 (28) [(29)] a charitable, nonprofit organization that
9-21 maintains a system of records to aid in the location of missing
9-22 children if the organization:
9-23 (A) is exempt from federal taxation under
9-24 Section 501(c)(3), Internal Revenue Code of 1986, and its
9-25 subsequent amendments;
9-26 (B) exclusively provides services related to
9-27 locating missing children; and
10-1 (C) does not perform any other service that
10-2 requires a license under this Act;
10-3 (29) [(30)] a person engaged in the business of
10-4 psychological testing or other testing and interviewing services
10-5 (to include but not limited to attitudes, honesty, intelligence,
10-6 personality, and skills) for preemployment purposes, if the person
10-7 does not perform any other service that requires a license under
10-8 this Act;
10-9 (30) [(31)] a person who does not perform any other
10-10 act that requires a license under this Act, and who is engaged in
10-11 obtaining information classified as a public record under Chapter
10-12 552, Government Code, regardless of whether for compensation,
10-13 unless the person is a full-time employee, as defined by Section
10-14 61.001, Labor Code, of a person licensed under this Act; [or]
10-15 (31) [(32)] a person who obtains a document for use in
10-16 litigation under an authorization or subpoena issued for a written
10-17 or oral deposition; or
10-18 (32) a person who is an employee of a federally
10-19 insured lender.
10-20 SECTION 1.04. Section 5(a), Private Investigators and
10-21 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
10-22 Civil Statutes), is amended to read as follows:
10-23 (a) The board is composed of the following members:
10-24 (1) the director of the Texas Department of Public
10-25 Safety or his designated representative shall serve as an ex
10-26 officio member of such board, and such service shall not jeopardize
10-27 the individual's official capacity with the State of Texas;
11-1 (2) the Attorney General or his designated
11-2 representative shall serve as an ex officio member of such board,
11-3 and such service shall not jeopardize the individual's official
11-4 capacity with the State of Texas;
11-5 (3) three members shall be appointed by the Governor,
11-6 without regard to the race, creed, color, handicap, age, sex,
11-7 religion, or national origin of the appointees and with the advice
11-8 and consent of the Senate, who are citizens of the United States
11-9 and residents of the State of Texas;
11-10 (4) five [two] members shall be appointed by the
11-11 Governor, without regard to the race, creed, color, handicap, age,
11-12 sex, religion, or national origin of the appointees and with the
11-13 advice and consent of the Senate, who are licensed under this Act,
11-14 who have been engaged for a period of five consecutive years as a
11-15 private investigator, [or] security services contractor, or
11-16 repossession agent, and who are not employed by the same person as
11-17 any other member of the board; and
11-18 (5) one member shall be appointed by the Governor
11-19 without regard to the race, creed, color, handicap, age, sex,
11-20 religion, or national origin of the appointee and with the advice
11-21 and consent of the Senate, who:
11-22 (A) is licensed under this Act as the owner or
11-23 operator of a guard company;
11-24 (B) has operated for at least five consecutive
11-25 years as a guard company; and
11-26 (C) is not employed by a person who employs any
11-27 other member of the board.
12-1 SECTION 1.05. Sections 13(a) and (c), Private Investigators
12-2 and Private Security Agencies Act (Article 4413(29bb), Vernon's
12-3 Texas Civil Statutes), are amended to read as follows:
12-4 (a) It shall be unlawful and punishable as provided in
12-5 Section 44 of this Act for any person to engage in the business of,
12-6 or perform any service as an investigations company, guard company,
12-7 alarm systems company, repossession company, armored car company,
12-8 courier company, or guard dog company or to offer his services in
12-9 such capacities or engage in any business or business activity
12-10 required to be licensed by this Act unless he has obtained a
12-11 license under the provisions of this Act.
12-12 (c) It shall be unlawful and punishable as provided in
12-13 Section 44 of this Act for any individual to make application to
12-14 the board as manager or to serve as manager of an investigations
12-15 company, guard company, repossession company, alarm systems
12-16 company, armored car company, courier company, or guard dog company
12-17 unless the individual intends to maintain and maintains that
12-18 supervisory position on a daily basis for the company.
12-19 SECTION 1.06. The Private Investigators and Private Security
12-20 Agencies Act (Article 4413(29bb), Vernon's Texas Civil Statutes) is
12-21 amended by adding Section 14C to read as follows:
12-22 Sec. 14C. REPOSSESSION COMPANY. (a) A person applying for
12-23 a repossession company license shall file with the board:
12-24 (1) a copy of the sales tax permit issued to the
12-25 applicant by the comptroller under Chapter 151, Tax Code; and
12-26 (2) evidence of compliance with the registration and
12-27 insurance requirements of Chapter 643, Transportation Code,
13-1 regarding tow trucks or other vehicles to be used by the applicant
13-2 to repossess a motor vehicle, mobile or manufactured home, or
13-3 vessel.
13-4 (b) The board shall adopt rules, with the advice of the
13-5 Texas Department of Transportation and the Texas Department of
13-6 Public Safety, to ensure that a vehicle used for a repossession by
13-7 a Class D, Class E, Class F, or Class G license holder is a tow
13-8 truck or other vehicle that is suitable in terms of size, towing
13-9 capacity, equipment, and safety.
13-10 (c) A vehicle is not suitable under Subsection (b) of this
13-11 section unless it has four rear wheels.
13-12 (d) A vehicle used for a repossession by a Class D, Class E,
13-13 Class F, or Class G license holder must be identified during the
13-14 repossession by the license number of the repossession company.
13-15 The license number shall be displayed on both sides of the vehicle
13-16 and appear in lettering that is not less than 2-1/2 inches tall and
13-17 that is a color that contrasts with the vehicle's background.
13-18 (e) Each area in which a repossession company stores
13-19 repossessed motor vehicles, mobile or manufactured homes, or
13-20 vessels shall:
13-21 (1) be securely enclosed by a six-foot chain link
13-22 fence or an equivalent means of security;
13-23 (2) be well-lit; and
13-24 (3) have the capacity to store not less than 20
13-25 full-sized motor vehicles.
13-26 (f) A repossession company shall:
13-27 (1) maintain regular office hours consisting of not
14-1 less than eight hours per day Monday through Friday for persons to
14-2 claim personal property from repossessed motor vehicles, mobile or
14-3 manufactured homes, or vessels;
14-4 (2) maintain a telephone listed in the name of the
14-5 repossession company; and
14-6 (3) notify, not less than one hour after completing a
14-7 repossession, the chief of police of the municipality where the
14-8 repossession began, or if the repossession occurred outside the
14-9 territory of a municipality, the sheriff of the county where the
14-10 repossession began.
14-11 (g) The notice provided under Subsection (f)(3) of this
14-12 section must include:
14-13 (1) the address where the repossession began;
14-14 (2) the address where the repossessed item will be
14-15 stored;
14-16 (3) a description of the repossessed item; and
14-17 (4) the license plate number of the repossessed item,
14-18 if applicable.
14-19 (h) The board shall:
14-20 (1) adopt rules to ensure compliance with this
14-21 section; and
14-22 (2) conduct regular inspections to ensure compliance
14-23 with this section and the rules adopted under this section.
14-24 SECTION 1.07. Sections 16(b) and (d), Private Investigators
14-25 and Private Security Agencies Act (Article 4413(29bb), Vernon's
14-26 Texas Civil Statutes), are amended to read as follows:
14-27 (b) For the purpose of defining the scope of licenses, the
15-1 following license classifications are established:
15-2 (1) Class A: investigations company license, covering
15-3 operations as defined in Subdivision (3), Section 2, of this Act;
15-4 (2) Class B: security services contractor license,
15-5 covering operations as defined in Subdivision (9), Section 2, of
15-6 this Act;
15-7 (3) Class C: covering the operations included within
15-8 Class A and Class B;
15-9 (4) Class D: repossession company license, covering
15-10 operations defined by Section 2(40) of this Act;
15-11 (5) Class E: covering the operations included within
15-12 Class A and Class D;
15-13 (6) Class F: covering the operations included within
15-14 Class B and Class D; and
15-15 (7) Class G: covering the operations included within
15-16 Class A, Class B, and Class D.
15-17 (d) A [Class A, B, or C] license issued under Subsection (b)
15-18 of this section does not authorize the licensee to perform any
15-19 services for which he has not qualified. The board shall indicate
15-20 on the license which services the licensee is authorized to
15-21 perform, and the licensee may not perform any service not indicated
15-22 on the license.
15-23 SECTION 1.08. Sections 17(a) and (d), Private Investigators
15-24 and Private Security Agencies Act (Article 4413(29bb), Vernon's
15-25 Texas Civil Statutes), are amended to read as follows:
15-26 (a) If the General Appropriations Act does not specify the
15-27 amount of the fee, the board by rule shall establish reasonable and
16-1 necessary fees that produce funds sufficient for the administration
16-2 of this Act but that do not produce unnecessary fund balances and
16-3 do not exceed the following amounts:
16-4 Class A license $225
16-5 (original and renewal)
16-6 Class B license 225
16-7 (original and renewal)
16-8 Class C license 340
16-9 (original and renewal)
16-10 Class D license 225
16-11 (original and renewal)
16-12 Class E license 340
16-13 (original and renewal)
16-14 Class F license 340
16-15 (original and renewal)
16-16 Class G license 455
16-17 (original and renewal)
16-18 Reinstate suspended license 150
16-19 Assignment of license 150
16-20 Change name of license 75
16-21 Delinquency fee _____
16-22 Branch office certificate and renewal 150
16-23 Registration fee for private investigators,
16-24 managers, branch office managers,
16-25 repossession agents, and alarm
16-26 systems installers 20
16-27 (original and renewal)
17-1 Registration fee for noncommissioned
17-2 security officer 35
17-3 Registration fee for security sales person 20
17-4 Registration fee for alarm systems monitor 20
17-5 Registration fee for dog trainer 20
17-6 Registration fee for owner, officer, partner,
17-7 or shareholder of a licensee 20
17-8 Registration fee for security consultants 55
17-9 Security officer commission fee 35
17-10 (original and renewal)
17-11 School instructor fee 100
17-12 (original and renewal)
17-13 School approval fee 250
17-14 (original and renewal)
17-15 Letter of authority fee for private
17-16 businesses and political subdivisions 225
17-17 (original and renewal)
17-18 FBI fingerprint check 25
17-19 Duplicate pocket card 10
17-20 Employee information update fee 15
17-21 Burglar alarm sellers renewal fee 25
17-22 Personal protection authorization 50
17-23 (d) A [Class A, Class B, or Class C] license is valid for
17-24 one year from the date of issuance. Registration as a private
17-25 investigator, manager, branch office manager, repossession agent,
17-26 alarm systems installer, security consultant, security sales
17-27 person, alarm systems monitor, or dog trainer is valid for two
18-1 years from the date of registration, except that an initial
18-2 registration as an alarm systems installer or security sales person
18-3 is valid for one year from the date of registration if the board
18-4 requires registrants to be trained or tested pursuant to Section
18-5 32(f) of this Act. Registration as an owner, officer, partner, or
18-6 shareholder of a licensee is valid for two years from the date of
18-7 registration. Registration as a noncommissioned security officer
18-8 is valid for four years from the date of registration. A letter of
18-9 authority, or a school approval or school instructor approval
18-10 letter issued by the board, is valid for one year from the date of
18-11 issuance. Other licenses or registrations issued under this Act
18-12 are valid for the period specified by this Act or by board rule.
18-13 SECTION 1.09. Section 32(a), Private Investigators and
18-14 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
18-15 Civil Statutes), is amended to read as follows:
18-16 (a) An individual who is employed as a private investigator,
18-17 manager, branch office manager, alarm systems installer,
18-18 noncommissioned security officer, private security consultant,
18-19 security sales person, alarm systems monitor, repossession agent,
18-20 or dog trainer, or who is an owner, officer, partner, or
18-21 shareholder of a licensee, must register with the board as provided
18-22 by board rule.
18-23 SECTION 1.10. Section 37(a), Private Investigators and
18-24 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
18-25 Civil Statutes), is amended to read as follows:
18-26 (a) When an individual to whom a pocket card has been issued
18-27 under Section 34 of this Act terminates his position as a private
19-1 investigator, manager, branch office manager, repossession agent,
19-2 alarm systems installer, private security consultant, security
19-3 sales person, alarm systems monitor, or dog trainer, or as an
19-4 owner, officer, partner, or shareholder of a licensee, the
19-5 individual shall return his pocket card to the licensee on
19-6 termination of his employment.
19-7 SECTION 1.11. Section 38(b), Private Investigators and
19-8 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
19-9 Civil Statutes), is amended to read as follows:
19-10 (b) If the employee was registered as a private
19-11 investigator, manager, branch office manager, repossession agent,
19-12 alarm systems installer, private security consultant, security
19-13 sales person, alarm systems monitor, or dog trainer, the licensee
19-14 shall return the pocket card of the employee to the board.
19-15 SECTION 1.12. The Private Investigators and Private Security
19-16 Agencies Act (Article 4413(29bb), Vernon's Texas Civil Statutes) is
19-17 amended by adding Section 39A to read as follows:
19-18 Sec. 39A. DRUG TESTING OF REPOSSESSION AGENTS. (a) A
19-19 person applying for registration as a repossession agent shall
19-20 submit to a drug test in the manner prescribed by the board.
19-21 (b) The board shall adopt rules for drug testing under
19-22 Subsection (a) of this section. The rules shall conform to
19-23 applicable laws regarding drug testing and meet the minimum
19-24 standards established by federal law for occupational drug testing.
19-25 ARTICLE 2. LIMITATIONS ON CREDITORS
19-26 SECTION 2.01. Title 5, Finance Code, is amended by adding
19-27 Chapter 396 to read as follows:
20-1 CHAPTER 396. CREDITOR'S USE OF CERTAIN REPOSSESSION SERVICES
20-2 Sec. 396.001. DEFINITION. In this chapter, "repossession"
20-3 has the meaning assigned by Section 2, Private Investigators and
20-4 Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
20-5 Civil Statutes).
20-6 Sec. 396.002. USE OF REPOSSESSION SERVICES. A creditor may
20-7 not hire a person to engage in repossession unless that person is
20-8 licensed as a repossession company under the Private Investigators
20-9 and Private Security Agencies Act (Article 4413(29bb), Vernon's
20-10 Texas Civil Statutes).
20-11 Sec. 396.003. LIMITED LIABILITY. A creditor who hires a
20-12 person that is licensed as a repossession company under the Private
20-13 Investigators and Private Security Agencies Act (Article
20-14 4413(29bb), Vernon's Texas Civil Statutes) to engage in
20-15 repossession is not strictly liable for a breach of the peace
20-16 committed by that repossession company in carrying out the
20-17 repossession for which it was hired by that creditor.
20-18 Sec. 396.004. CIVIL PENALTY. (a) A creditor who violates
20-19 this chapter is subject to a civil penalty of not less than $1,000
20-20 for each act of violation.
20-21 (b) The attorney general or an appropriate prosecuting
20-22 attorney may sue to collect a civil penalty under this section.
20-23 ARTICLE 3. TRANSITION; EMERGENCY
20-24 SECTION 3.01. (a) A person is not required to obtain a
20-25 license to operate a repossession company or to register as a
20-26 repossession agent as required by Sections 13(a) and 32(a), Private
20-27 Investigators and Private Security Agencies Act (Article
21-1 4413(29bb), Vernon's Texas Civil Statutes), as amended by this Act,
21-2 until March 1, 2000.
21-3 (b) The Texas Board of Private Investigators and Private
21-4 Security Agencies shall adopt rules under this Act not later than
21-5 December 31, 1999.
21-6 (c) Section 14C(c), Private Investigators and Private
21-7 Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
21-8 Statutes), as added by this Act, takes effect September 1, 2002.
21-9 (d) In making the three additional appointments to the Texas
21-10 Board of Private Investigators and Private Security Agencies under
21-11 Section 5(a), Private Investigators and Private Security Agencies
21-12 Act (Article 4413(29bb), Vernon's Texas Civil Statutes), as amended
21-13 by this Act, the governor shall designate, not later than November
21-14 1, 1999, one member for a term expiring January 31, 2001, one
21-15 member for a term expiring January 31, 2003, and one member for a
21-16 term expiring January 31, 2005.
21-17 SECTION 3.02. A creditor is not required to comply with
21-18 Chapter 396, Finance Code, as added by this Act, until March 1,
21-19 2000.
21-20 SECTION 3.03. This Act takes effect September 1, 1999.
21-21 SECTION 3.04. The importance of this legislation and the
21-22 crowded condition of the calendars in both houses create an
21-23 emergency and an imperative public necessity that the
21-24 constitutional rule requiring bills to be read on three several
21-25 days in each house be suspended, and this rule is hereby suspended.