C.S.H.B. 2079 78(R)    BILL ANALYSIS


C.S.H.B. 2079
By: Driver
Law Enforcement
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Under current law, the alarm system industry is regulated under Chapter
1702 of the Occupations Code.  However, technology has changed in the
industry since regulatory provisions were enacted, and changes in the code
are needed to reflect the new technology and properly protect the public
interest.  C.S.H.B. 2079 updates the Occupations Code to reflect advances
in security alarm technology.  

RULEMAKING AUTHORITY

It is the opinion of this committee that rulemaking authority is expressly
delegated to the Texas Commission on Private Security in SECTION 10
(Section 1702.236 of the Occupations Code) and SECTION 15 of this bill. 

ANALYSIS

C.S.H.B. 2079 amends Section 1702.002 of the Occupations Code by deleting
the current definition of "Alarm system" and replacing it with a
definition that includes electronic equipment and devices designed to
detect or signal unauthorized entry or the occurrence of a robbery or
other emergency, electronic devices using a computer or data processor to
control access through a door, gate, or other entrance, and cameras that
record, archive, or monitor an area.   

C.S.H.B. 2079 amends Subchapter D, Chapter 1702, Occupations Code by
adding Section 1702.0635, which prohibits the Texas Commission on Private
Security from adopting rules or establishing unduly restrictive experience
or education requirements that limit a person's ability to be licensed as
an electronic access control device company or be registered as an
electronic access control device installer.  

C.S.H.B. 2079 amends Chapter 1702 of the Occupations Code by adding
Section 1702.1025, which provides that unless a person holds a license as
an electronic access control device company, the person is prohibited from
offering to perform services or engaging in business activity for which a
license is required under this chapter.  The bill adds Section 1702.2225
to the Occupations Code, which provides that unless a person is registered
as a locksmith company, the person is prohibited from offering to perform
services or engaging in business activity for which registration is
required under this chapter. 

C.S.H.B. 2079 amends Subchapter F, Chapter 1702, Occupations Code by
adding Sections 1702.1055 and 1702.1056.  These sections provide that a
person acts as an electronic access control device company if the person
installs or maintains electronic access control devices, and that a person
acts as a locksmith company if the person installs and maintains
mechanical security devices and cuts keys for mechanical security devices.

C.S.H.B. 2079 amends Section 1702.221 of the Occupations Code by requiring
an electronic access control device installer and a locksmith to register
with the Texas Commission on Private Security.  
C.S.H.B. 2079 amends Subchapter J, Chapter 1702, Occupations Code by
adding Section 1702.236, which requires an individual who applies for
registration as an electronic access control device installer to pass an
examination given by or approved by the Texas Commission on Private
Security. Before September 1, 2005, the commission shall allow an
electronic access control device installer  to obtain or renew a
certificate of registration by fulfilling the requirements of a
commissionedapproved, industry-based educational training program.  On and
after September 1, 2005, the commission, by rule, may allow but is not
required to allow an electronic access control device installer to obtain
or renew a certificate of registration by fulfilling the requirements of a
commissioned-approved, industry-based educational training program.  A
party who asserts that the commission has adopted a rule in violation of
this chapter may appeal to the attorney general, and the attorney general
shall make a determination on an appeal by the 90th day after the appeal
was submitted.    

C.S.H.B. 2079 amends Section 1702.239(a) of the Occupations Code to reduce
from 20 to 16 the number of hours of classroom instruction that must be
required by a training program in order for it to be approved by the Texas
Commission on Private Security for certification of alarm systems
installers and security salespersons. 

C.S.H.B. 2079 amends Section 1702.324 of the Occupations Code by removing
certain locksmiths from the list that provides which entities are exempt
from Chapter 1702 of the Occupations Code. 

C.S.H.B. 2079 requires the Texas Commission on Private Security to adopt
rules necessary to administer the changes in law made by this Act by
January 1, 2004.   

Notwithstanding Sections 1702.1025, 1702.2225, and 1702.221 of the
Occupations Code, a person is not required to hold a license as an
electronic access control device company or be registered as an electronic
access control device installer, a locksmith company, or a locksmith
before September 1, 2004. 

Sections 1702.1025 and 1702.2225 of the Occupations Code, as added by this
Act, take effect January 1, 2004.   

EFFECTIVE DATE

This Act takes effect September 1, 2003.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 2079 modifies the original by adding language that prohibits the
Texas Commission on Private Security from adopting rules or establishing
unduly restrictive experience or education requirements that limit a
person's ability to be licensed as an electronic access control device
company or be registered as an electronic access control device installer.

The substitute defines electronic access control device company and
locksmith company and adds sections which prohibit unlicensed or
unregistered persons from offering to perform services or engaging in
business activities of an electronic access control device company or a
locksmith company.   

The substitute requires an electronic access control device installer and
a locksmith to register with the Texas Commission on Private Security.   

The substitute requires an individual who applies for registration as an
electronic access control device installer to pass an examination approved
by the Texas Commission on Private Security, and the commission is
authorized to require an electronic access control device installer to
obtain or renew a certification by a commission-approved, industry-based
educational training program. 

The substitute removes certain locksmiths from the list that provides
which entities are exempt from Chapter 1702 of the Occupations Code.   

The substitute requires the Texas Commission on Private Security to adopt
rules necessary to administer the changes in law made by this Act no later
than January 1, 2004.