HB 260 — Relating to the Alabama Electronic Security Board of Licensure; to amend Sections 34-1A-1, 34-1A-3, 34-1A-5, and 34-1A-7, Code of Alabama 1975, to create and provide for the qualifications of a qualifying agent license; to authorize the board to levy and collect administrative fines; to revise the process for pursuing disciplinary actions and cease and desist orders; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022

HB260 ENGROSSEDENROLLED 1V2OLZ-21V2OLZ-3 By Representative Sells RFD:

05-Apr-23 2023 Regular Session Page 0 HB260 EngrossedEnrolled 2Enrolled, 4An AAct, BILL3 TO BE ENTITLED AN ACT 8 Relating to the Alabama Electronic Security Board of Licensure;

A person An individual who engages in clerical duties for a licensed company, whose work is restricted to office duties, and who has access to Page 1 HB260 Engrossed sensitive client information including, but not limited to, Social Security numbers, customer privacy codes, customer passwords, and similar information.

A monetary fine assessed by the board for unlicensed activity or unethical behavior by an Page 1 HB260 Enrolled individual, company, corporation, firm, or business entity.

An assembly of equipment and devices, or a single device such as a solid-state unit which Page 2 HB260 Engrossed plugs directly into an AC line, designed to detect an unauthorized intrusion or an attempted robbery at a protected premises or signal public police or private guards to respond, or both.

A Page 2 HB260 Enrolled combination of electronic equipment and devices designed and arranged for the viewing, monitoring, or recording of video signals transmitted from transmitters, such as cameras, to receivers, such as monitors, digital video recorders, and network video recorders (NVR) through a closed cable or other video signal transmission method.

Page 3 HB260 Engrossed 2.

Page 3 HB260 Enrolled 7.

Creates or copies transponder keys and any other automotive keys and electronic operating devices connected to 95 motor vehicles.

Uses any other method of bypassing a locking 95 mechanism of any kind including, but not limited to, shimming a lock or picking and popping a lock.

Police, fire, medical, or other government or Page 4 HB260 Engrossed emergency personnel performing activities within the scope of their official duties.

Page 4 HB260 Enrolled 6.

A person An individual or business entity that offers to undertake, represents itself as being able to undertake, or does undertake the installation, service, or monitoring of alarm systems, CCTV systems, electronic access control systems, or mechanical locking systems for the public for any type of compensation or in Page 5 HB260 Engrossed exchange for a thing of value." "§34-1A-3 The board shall have all of the following powers:

(1) License and regulate persons individuals and business entities who hold themselves out as engaging in the Page 5 HB260 Enrolled business of alarm system, CCTV, or electronic access control system installation or service, as a locksmith, or as an alarm monitoring company.

Page 6 HB260 Engrossed (5) Revoke, suspend, or fail to renew a license for just cause as enumerated in the regulations provided in the rules of the board.

(6) Levy and collect reasonable fees for licensure, including, but not limited to, the application process and Page 6 HB260 Enrolled testing of applicants, and renewal, suspension, and reissuance of licenses, and costs of necessary hearings, that are sufficient to cover all expenses for the administration and operation of the board.

(9)(10) Receive and investigate complaints concerning Page 7 HB260 Engrossed the conduct of any person individual or business entity whose activities are regulated by the board, conduct hearings in accordance with procedures established by the board pursuant to the Alabama Administrative Procedure Act, and take appropriate disciplinary action if warranted.

Page 7 HB260 Enrolled (10)(11) Ensure that periodic inspections are conducted relating to the operations of licensees to ensure competency and lawful compliance.

(17)(18) Borrow money for the initial start-up operation of the board until sufficient receipts are paid into Page 8 HB260 Engrossed the special revenue trust fund specified in Section 34-1A-9.

(19)(20) Establish volunteer procedures for those Page 8 HB260 Enrolled persons individuals or businesses that are exempt from this chapter.

Page 9 HB260 Engrossed (2) Effective for the license year beginning January 1, 2014, and thereafter, the board may provide for the licenses to be renewed on a staggered basis as determined by rule of the board and, in order to stagger the license renewals, may issue the license for less than a two-year period.

The amount Page 9 HB260 Enrolled of the license fees provided in subdivision (1) shall be prorated by the board on a monthly basis for the number of months the board issues the licenses in order to convert to any staggered system of renewals.

The board may consult with appropriate state or federal law enforcement authorities to verify whether an applicant has a criminal record prior to granting any license and, as an aid to this duty, each applicant may be required to Page 10 HB260 Engrossed provide his or her fingerprints and complete an affidavit of his or her criminal record, if any, as a part of the application.

The administrative or Page 10 HB260 Enrolled management staff of the board may also consult with state or federal law enforcement authorities to determine if a current or potential employee has a criminal conviction.

(1) Conforming to the provisions of this chapter and Page 11 HB260 Engrossed the regulations rules of the board.

(h) A licensee shall display the license at its normal place of business and in a manner easily readable by the Page 11 HB260 Enrolled general public.

Page 12 HB260 Engrossed (m) Notice of the issuance, revocation, reinstatement, or expiration of every license issued by the board shall be furnished to the sheriff of the county and the chief of police, as appropriate, and the inspection department of the city where the principal place of business of a licensee is Page 12 HB260 Enrolled located.

With the exception of a company that only performs monitoring work, each licensed company, corporation, firm, and business entity is required to have at least one licensed employee designated as a qualifying agent." "§34-1A-7 (a) Effective January 1, 1998, it shall be unlawful for any person individual or business entity to engage in a business regulated by this chapter in this state without a current valid license or in violation of this chapter and Page 13 HB260 Engrossed applicable rules and regulations of the board.

Page 13 HB260 Enrolled (c) Any person individual or business entity who violates this chapter or any order, or rule, or regulation of the board shall be guilty of a Class A misdemeanor, and for each offense for which he or she is convicted shall be punished as provided by law.

(6) Make use of any designation provided by statute or regulation to denote a standard of professional or Page 14 HB260 Engrossed occupational competence without being duly licensed.

(7) Make use of any title, words, letters, or abbreviations which may reasonably be confused with a designation provided by statute or regulation to denote a standard of professional or occupational competence without Page 14 HB260 Enrolled being duly licensed.

(3) Perform unsolicited sales or installation, or both, of an alarm system or locking system at the home or property of a person an individual who is age 75 or older, without providing the person individual with a waiting period of at Page 15 HB260 Engrossed least four business days after the initial contact and at least 30 business days to cancel any executed contract, before performing the installation or service, unless otherwise authorized by this chapter.

(4) Deceive or defraud a person an individual who is Page 15 HB260 Enrolled age 60 or older in violation of the Protecting Alabama's Elders Act, Chapter 6, commencing with Section 13A-6-190, of Title 13A.

If the board determines that the person is in fact guilty of the violation, the board shall determine the Page 16 HB260 Engrossed amount of the monetary penalty for the violation, which shall not exceed one thousand dollars ($1,000) for each violation.

(f)(1) Upon notification that an individual, company, corporation, firm, or business entity has engaged in any Page 16 HB260 Enrolled activity, conduct, or practice constituting a violation of this chapter or rule adopted by the board pursuant to this chapter, or has not renewed a company license or completed the renewal of a company license immediately upon expiration, the board may issue a letter to show cause why an order should not be issued directing the individual, company, corporation, firm, or business entity to cease and desist from the activity, conduct, practice, or the performance of any work being done then or about to be commenced.

(3) If the individual, company, corporation, firm, or business entity to whom the board directs a cease and desist order does not cease or desist the proscribed activity, conduct, practice, or performance of the work immediately, the board may impose an administrative fine of not more than five Page 17 HB260 Engrossed thousand dollars ($5,000) per violation.

(g) Upon finding an individual, company, corporation, firm, or business entity has engaged in any activity, conduct, or practice constituting a violation of this chapter or rule adopted by the board pursuant to this chapter, or has not Page 17 HB260 Enrolled renewed a company license or completed the renewal of a company license immediately upon expiration, the board may investigate the activities of licensed and unlicensed entities and individuals.

(i) If the individual, company, corporation, firm, or business entity to whom the board directs a cease and desist order does not cease or desist the proscribed activity, conduct, practice, or performance of the work immediately, the board may petition any court of competent jurisdiction to Page 18 HB260 Engrossed issue a writ of injunction enjoining the individual, company, corporation, firm, or business entity from engaging in any activity, conduct, practice, or performance of work as prohibited by this chapter.

Upon a showing by the board that the individual, company, corporation, firm, or business entity Page 18 HB260 Enrolled has engaged or is engaged in any activity, conduct, practice, or performance of any work prohibited by this chapter, the court shall grant injunctive relief enjoining the individual, company, corporation, firm, or business entity from engaging in the unlawful activity, conduct, practice, or performance of work.

(i) In addition to or in lieu of the criminal penalties and administrative sanctions provided in this chapter, the board may issue an order to any person, firm, or corporation engaged in any activity, conduct, or practice constituting a violation of this chapter to show cause why an order should not be issued directing the person, firm, or corporation to cease and desist from the activity, conduct, practice, or the performance of any work being done then or about to be Page 19 HB260 Engrossed commenced.