80R12627 YDB-F
 
  By: Pickett H.B. No. 2118
 
Substitute the following for H.B. No. 2118:
 
  By:  Eiland C.S.H.B. No. 2118
 
A BILL TO BE ENTITLED
AN ACT
relating to licensing and regulation of residential fire alarm
technicians and regulation of fire detection and alarm devices.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Section 2, Article 5.43-2, Insurance Code, is
amended by amending Subdivision (8) and adding Subdivision (17) to
read as follows:
             (8)  "Monitoring" means the receipt of fire alarm and
supervisory signals [and retransmission] or communication of those
signals to a fire service communications center that is located in
this state or serves property in this state.
             (17)  "Residential fire alarm technician" means a
licensed individual who is designated by a registered firm to
install, service, inspect, and certify residential single-family
or two-family fire alarm or detection systems.
       SECTION 2.  Section 3, Article 5.43-2, Insurance Code, is
amended by amending Subsection (b) and adding Subsections (d) and
(e) to read as follows:
       (b)  The licensing provisions of this article shall not apply
to:
             (1)  a person or organization in the business of
building construction that installs electrical wiring and devices
that may include in part the installation of a fire alarm or
detection system if:
                   (A)  the person or organization is a party to a
contract that provides that the installation will be performed
under the direct supervision of and certified by a licensed
employee or agent of a firm registered to install and certify such
an alarm or detection device and that the registered firm assumes
full responsibility for the installation of the alarm or detection
device; and
                   (B)  the person or organization does not plan,
certify, lease, sell, service, or maintain fire alarms or detection
devices or systems;
             (2)  a person or organization that owns and installs
fire detection or fire alarm devices on the person's or
organization's own property or, if the person or organization does
not charge for the device or its installation, installs it for the
protection of the person's or organization's personal property
located on another's property and does not install the devices as a
normal business practice on the property of another;
             (3)  a person who holds a license or other form of
permission issued by an incorporated city or town to practice as an
electrician and who installs fire or smoke detection and alarm
devices in no building other than a single family or multifamily
residence if:
                   (A)  the devices installed are:
                         (i)  single station detectors; or
                         (ii)  multiple station detectors capable of
being connected in such a manner that actuation of one detector
causes all integral or separate alarms to operate, if the detectors
are not connected to a control panel or to an outside alarm, do not
transmit a signal off the premises, and do not use more than 120
volts; and
                   (B)  all installations comply with provisions of
the adopted edition of [Household Fire Warning Equipment,] National
Fire Protection Association Standard No. 72 [74];
             (4)  a person or organization that sells fire detection
or fire alarm devices if the sales are exclusively over-the-counter
or by mail order and if the person or organization does not plan,
certify, install, service, or maintain this equipment;
             (5)  response to a fire alarm or detection device by a
law enforcement agency or fire department or by a law enforcement
officer or fireman acting in an official capacity;
             (6)  a Texas registered professional engineer acting
solely in his professional capacity;
             (7)  a person or an organization that provides and
installs at no charge to the property owners or residents a
battery-powered smoke detector in a single-family or two-family
residence if:
                   (A)  the smoke detector bears a label of listing
or approval by a testing laboratory approved by the State Board of
Insurance;
                   (B)  the installation complies with provisions of
the adopted edition of National Fire Protection Association
Standard No. 72 [74];
                   (C)  the installers are knowledgeable in fire
protection and the proper use of smoke detectors; and
                   (D)  the detector is a single station installation
and not a part of or connected to any other detection device or
system;
             (8)  an [a regular] employee of a registered firm who is
under the direct on-site supervision of a licensee;
             (9)  a building owner, the owner's managing agent, or
their employees who install battery-operated single-station smoke
detectors or who monitor fire alarm or fire detection devices or
systems in the owner's building, and in which the monitoring is
performed at the owner's property and monitored at no charge to the
occupants of the building, and complies with applicable standards
of the National Fire Protection Association as may be adopted by
rule promulgated under this Act, and utilizes equipment approved by
a testing laboratory approved by the State Board of Insurance for
fire alarm monitoring;
             (10)  a person employed by a registered firm that sells
and installs a smoke or heat detector in a single-family or
two-family residence if:
                   (A)  the detector bears a label of listing or
approval by a testing laboratory approved by the State Board of
Insurance;
                   (B)  the installation complies with provisions of
the adopted edition of National Fire Protection Association
Standard No. 72 [74];
                   (C)  the installers are knowledgeable in fire
protection and the proper use and placement of detectors; and
                   (D)  the detector is a single station installation
and not a part of or connected to any other detection device or
system; or
             (11)  a person or organization licensed to install or
service burglar alarms under Chapter 1702, Occupations Code, [the
Private Investigators and Private Security Agencies Act (Article
4413(29bb), Vernon's Texas Civil Statutes)] 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:
                   (A)  is monitored by a fire alarm firm registered
under this article; and
                   (B)  is not initiated by any fire or smoke
detection device.
       (d)  A political subdivision may not require a registered
firm, a licensee, or an employee of a registered firm to maintain a
business location or residency within that political subdivision to
engage in a business or perform any activity authorized under this
article.
       (e)  A municipality or county may by ordinance require a
registered firm to make a telephone call to a monitored property
before the firm notifies the municipality or county of an alarm
signal received by the firm from a fire detection device.
       SECTION 3.  Section 5, Article 5.43-2, Insurance Code, is
amended by adding Subsection (c-1) to read as follows:
       (c-1)  A residential fire alarm technician must obtain a
license issued by the board. The amount of the initial fee for the
license may not exceed $50, and the amount of the annual license
renewal fee may not exceed $50.
       SECTION 4.  Sections 5B(e) and (f), Article 5.43-2,
Insurance Code, are amended to read as follows:
       (e)  For a person who is licensed to install or service
burglar alarms under Chapter 1702, Occupations Code [the Private
Investigators and Private Security Agencies Act, as amended
(Article 4413(29bb), Vernon's Texas Civil Statutes)], compliance
with the insurance requirements of that chapter [Act] constitutes
compliance with the insurance requirements of this section if the
insurance held by the person complies with the requirements of this
section in amounts and types of coverage.
       (f)  For a person who is licensed to install or service
burglar alarms under Chapter 1702, Occupations Code [the Private
Investigators and Private Security Agencies Act, as amended
(Article 4413(29bb), Vernon's Texas Civil Statutes)], compliance
with the bond and insurance requirements of that chapter [Act]
constitutes compliance with the bond and insurance requirements of
this section.
       SECTION 5.  Section 5D, Article 5.43-2, Insurance Code, is
amended by adding Subsection (a-2) and amending Subsection (d) to
read as follows:
       (a-2)  An applicant for a residential fire alarm technician
license must provide with the required license application evidence
of the applicant's successful completion of the required
instruction from a training school approved by the State Fire
Marshal in accordance with this section.
       (d)  The training curriculum for a residential fire alarm
technician course shall consist of at least eight hours of
instruction on installing, servicing, and maintaining
single-family and two-family residential fire alarm systems as
defined by National Fire Protection Association Standard No. 72  
[The training curriculum for a  fire alarm technician and a
residential fire alarm superintendent course shall consist of 16
hours of classroom instruction on all categories of licensure].
       SECTION 6.  Article 5.43-2, Insurance Code, is amended by
adding Section 5G to read as follows:
       Sec. 5G.  CONFIDENTIALITY OF RECORDS.  Records maintained by
the department under this article on the home address, home
telephone number, driver's license number, or social security
number of an applicant or a license or registration holder are
confidential and are not subject to mandatory disclosure under
Chapter 552, Government Code.
       SECTION 7.  Section 6A, Article 5.43-2, Insurance Code, is
amended by adding Subsection (c) to read as follows:
       (c)  The commissioner may not adopt a rule to administer this
article that requires a person who holds a license under this
article to obtain additional certification that imposes a financial
responsibility on the licensee.
       SECTION 8.  Section 7, Article 5.43-2, Insurance Code, is
amended by amending Subsection (b) and adding Subsection (f) to
read as follows:
       (b)  Except as provided by Subsection (c), a political
subdivision may not offer [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. Any fee charged by
the political subdivision may not exceed the cost of the
monitoring.
       (f)  A residential fire alarm technician may only provide
direct on-site supervision to an employee of a registered firm for
work performed under this article in a single-family or two-family
dwelling.
       SECTION 9.  Sections 9(d) and (e), Article 5.43-2, Insurance
Code, are amended to read as follows:
       (d)  No fire detection or fire alarm device may be sold or
installed in this state unless accompanied by printed information
supplied to the owner by the supplier or installing contractor
concerning:
             (1)  instructions describing the installation,
operation, testing, and proper maintenance of the device;
             (2)  information which will aid in establishing an
emergency evacuation plan for the protected premises; [and]
             (3)  the telephone number and location, including
notification procedures, of the nearest fire department; and
             (4)  information that will aid in reducing the number
of false fire alarms.
       (e)  Each registered firm that employs persons that are
exempt from the licensing provisions of this article pursuant to
Section 3(b)(10) of this article is required to appropriately train
and supervise such exempt persons so as to ensure that each
installation complies with the adopted provisions of National Fire
Protection Association Standard No. 72 [74] or other adopted
standards, that each smoke or heat detector installed or sold
carries a label or listing of approval by a testing laboratory
approved by the State Board of Insurance, and that such exempt
persons are knowledgeable in fire protection and the proper use and
placement of detectors.
       SECTION 10.  (a)  Not later than March 1, 2008, the
commissioner of insurance shall adopt the rules and forms necessary
to implement the changes in law made by this Act to Article 5.43-2,
Insurance Code.
       (b)  Notwithstanding Article 5.43-2, Insurance Code, a
residential fire alarm technician is not required to obtain a
license under that article before June 1, 2008.
       SECTION 11.  This Act takes effect September 1, 2007.