1-1     By:  Driver (Senate Sponsor - Jackson)                H.B. No. 3189
 1-2           (In the Senate - Received from the House May 11, 1999;
 1-3     May 12, 1999, read first time and referred to Committee on Economic
 1-4     Development; May 14, 1999, reported favorably by the following
 1-5     vote:  Yeas 4, Nays 0; May 14, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the sale, servicing, installation, or monitoring of
 1-9     fire alarms or fire detection devices.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Section 3(b), Article 5.43-2, Insurance Code, is
1-12     amended to read as follows:
1-13           (b)  The licensing provisions of this article shall not apply
1-14     to:
1-15                 (1)  a person or organization in the business of
1-16     building construction that installs electrical wiring and devices
1-17     that may include in part the installation of a fire alarm or
1-18     detection system if:
1-19                       (A)  the person or organization is a party to a
1-20     contract that provides that the installation will be performed
1-21     under the direct supervision of and certified by a licensed
1-22     employee or agent of a firm registered to install and certify such
1-23     an alarm or detection device and that the registered firm assumes
1-24     full responsibility for the installation of the alarm or detection
1-25     device; and
1-26                       (B)  the person or organization does not plan,
1-27     certify, lease, sell, service, or maintain fire alarms or detection
1-28     devices or systems;
1-29                 (2)  a person or organization that owns and installs
1-30     fire detection or fire alarm devices on the person's or
1-31     organization's own property or, if the person or organization does
1-32     not charge for the device or its installation, installs it for the
1-33     protection of the person's or organization's personal property
1-34     located on another's property and does not install the devices as a
1-35     normal business practice on the property of another;
1-36                 (3)  a person who holds a license or other form of
1-37     permission issued by an incorporated city or town to practice as an
1-38     electrician and who installs fire or smoke detection and alarm
1-39     devices in no building other than a single family or multifamily
1-40     residence if:
1-41                       (A)  the devices installed are:
1-42                             (i)  single station detectors; or
1-43                             (ii)  multiple station detectors capable of
1-44     being connected in such a manner that actuation of one detector
1-45     causes all integral or separate alarms to operate, if the detectors
1-46     are not connected to a control panel or to an outside alarm, do not
1-47     transmit a signal off the premises, and do not use more than 120
1-48     volts; and
1-49                       (B)  all installations comply with provisions of
1-50     the adopted edition of Household Fire Warning Equipment, National
1-51     Fire Protection Association Standard No. 74;
1-52                 (4)  a person or organization that sells fire detection
1-53     or fire alarm devices if the sales are exclusively over-the-counter
1-54     or by mail order and if the person or organization does not plan,
1-55     certify, install, service, or maintain this equipment;
1-56                 (5)  response to a fire alarm or detection device by a
1-57     law enforcement agency or fire department or by a law enforcement
1-58     officer or fireman acting in an official capacity;
1-59                 (6)  a Texas registered professional engineer acting
1-60     solely in his professional capacity;
1-61                 (7)  a person or an organization that provides and
1-62     installs at no charge to the property owners or residents a
1-63     battery-powered smoke detector in a single-family or two-family
1-64     residence if:
 2-1                       (A)  the smoke detector bears a label of listing
 2-2     or approval by a testing laboratory approved by the State Board of
 2-3     Insurance;
 2-4                       (B)  the installation complies with provisions of
 2-5     the adopted edition of National Fire Protection Association
 2-6     Standard No. 74;
 2-7                       (C)  the installers are knowledgeable in fire
 2-8     protection and the proper use of smoke detectors; and
 2-9                       (D)  the detector is a single station
2-10     installation and not a part of or connected to any other detection
2-11     device or system;
2-12                 (8)  a regular employee of a registered firm who is
2-13     under the direct supervision of a licensee;
2-14                 (9)  a building owner, the owner's managing agent, or
2-15     their employees who install battery-operated single-station smoke
2-16     detectors or who monitor fire alarm or fire detection devices or
2-17     systems in the owner's building, and in which the monitoring is
2-18     performed at the owner's property and monitored at no charge to the
2-19     occupants of the building, and complies with applicable standards
2-20     of the National Fire Protection Association as may be adopted by
2-21     rule promulgated under this Act, and utilizes equipment approved by
2-22     a testing laboratory approved by the State Board of Insurance for
2-23     fire alarm monitoring; [or]
2-24                 (10)  a person employed by a registered firm that sells
2-25     and installs a smoke or heat detector in a single-family or
2-26     two-family residence if:
2-27                       (A)  the detector bears a label of listing or
2-28     approval by a testing laboratory approved by the State Board of
2-29     Insurance;
2-30                       (B)  the installation complies with provisions of
2-31     the adopted edition of National Fire Protection Association
2-32     Standard No. 74;
2-33                       (C)  the installers are knowledgeable in fire
2-34     protection and the proper use and placement of detectors; and
2-35                       (D)  the detector is a single station
2-36     installation and not a part of or connected to any other detection
2-37     device or system; or
2-38                 (11)  a person or organization licensed to install or
2-39     service burglar alarms under the Private Investigators and Private
2-40     Security Agencies Act (Article 4413(29bb), Vernon's Texas Civil
2-41     Statutes) that provides and installs in a single-family or
2-42     two-family residence a combination keypad that includes a panic
2-43     button to initiate a fire alarm signal if the fire alarm signal:
2-44                       (A)  is monitored by a fire alarm firm registered
2-45     under this article; and
2-46                       (B)  is not initiated by any fire or smoke
2-47     detection device.
2-48           SECTION 2.  Section 7, Article 5.43-2, Insurance Code, is
2-49     amended to read as follows:
2-50           Sec. 7.  CERTAIN ACTS PROHIBITED.  (a)  No person or
2-51     organization may do any of the following:
2-52                 (1)  plan, certify, lease, sell, service, install,
2-53     monitor, or maintain fire alarm or fire detection devices or
2-54     systems without a valid license or certificate of registration;
2-55                 (2)  obtain or attempt to obtain a license or
2-56     certificate of registration by fraudulent representation; or
2-57                 (3)  plan, certify, lease, sell, service, install,
2-58     monitor, or maintain fire alarm or fire detection devices or
2-59     systems contrary to the provisions of this article or the rules
2-60     formulated by the board under the authority of this article.
2-61           (b)  A political subdivision may not sell, service, install,
2-62     or monitor residential fire alarm or fire detection devices unless
2-63     it provides the services only to residences within the boundaries
2-64     of the political subdivision and it is providing these services to
2-65     residences on September 1, 1999.  This subsection does not prohibit
2-66     response to a fire alarm or detection device by a law enforcement
2-67     agency or fire department or by a law enforcement officer or
2-68     firefighter acting in an official capacity.  This subsection does
2-69     not apply to a political subdivision with a population of less than
 3-1     35,000.
 3-2           SECTION 3.  This Act takes effect September 1, 1999.
 3-3           SECTION 4.  The importance of this legislation and the
 3-4     crowded condition of the calendars in both houses create an
 3-5     emergency and an imperative public necessity that the
 3-6     constitutional rule requiring bills to be read on three several
 3-7     days in each house be suspended, and this rule is hereby suspended.
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