South Carolina General Assembly
114th Session, 2001-2002

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Bill 3106


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                      3106
Type of Legislation:              General Bill GB
Introducing Body:                 House
Introduced Date:                  20010109
Primary Sponsor:                  Whatley
All Sponsors:                     Whatley
Drafted Document Number:          l:\council\bills\nbd\11055ac01.doc
Companion Bill Number:            41
Residing Body:                    House
Current Committee:                Labor, Commerce and Industry Committee 26 
                                  HLCI
Subject:                          Burglar alarm system industry; licensure 
                                  fees and renewal, branch office and employee 
                                  requirements; Businesses, Labor


                        History

Body    Date      Action Description                     Com     Leg Involved
______  ________  ______________________________________ _______ ____________
------  20010112  Companion Bill No. 41
House   20010109  Introduced, read first time,           26 HLCI
                  referred to Committee
House   20001206  Prefiled, referred to Committee        26 HLCI


              Versions of This Bill

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND SECTION 40-79-50, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO ADMINISTRATIVE RESPONSIBILITIES OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION CONCERNING REGULATING THE BURGLAR ALARM SYSTEM INDUSTRY, SO AS TO PROVIDE THAT CERTAIN LICENSURE FEES INCLUDE A PRIMARY QUALIFYING PARTY CERTIFICATE; TO AMEND SECTIONS 40-79-110 AND 40-79-130, BOTH AS AMENDED, BOTH RELATING TO DISCIPLINARY ACTION AGAINST A BURGLAR ALARM SYSTEM LICENSEE, SO AS TO CLARIFY THE SCOPE OF AUTHORITY OF A LICENSEE AFTER CANCELLATION OF HIS LICENSE; TO AMEND SECTION 40-79-220 RELATING TO BURGLAR ALARM SYSTEM BRANCH OFFICES AND REGISTERED EMPLOYEE REQUIREMENTS, SO AS TO PROVIDE THAT A BRANCH OFFICE MAY NOT CONDUCT BUSINESS UNTIL A LICENSE NUMBER HAS BEEN ISSUED, TO REQUIRE AN EMPLOYEE TO BE REGISTERED BY THE DEPARTMENT TO HAVE ACCESS TO CLIENT RECORDS, AND TO REQUIRE REGISTRATION CANCELLATION UPON TERMINATION OF EMPLOYMENT; AND TO AMEND SECTION 40-79-240 RELATING TO LICENSE RENEWAL, SO AS TO MAKE TECHNICAL CORRECTIONS.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    Section 40-79-50(2) and (3) of the 1976 Code, as last amended by Act 367 of 2000, is further amended to read:

    "(2)    Initial license fees are:

        (a)    two hundred dollars for an alarm system business license including, which includes one primary qualifying party certificate;

        (b)    fifty dollars for each branch office, which includes one primary qualifying party certificate;

        (c)    ten dollars for additional qualifying party license certificate.

    (3)    Renewal license fees are:

        (a)    two hundred dollars for an alarm system business renewal including one qualifying party certificate;

        (b)    fifty dollars for each branch office, which includes one primary qualifying party certificate;

        (c)    ten dollars for additional qualifying party license certificate."

SECTION    2.    Section 40-79-110(H) and (I) of the 1976 Code, as last amended by Act 367 of 2000, is further amended to read:

    "(H)    The licensee may complete work in progress if the licensee's license is suspended, canceled, or revoked; however, no new work may be bid or started after suspension or revocation of a license upon proper notification by the department.

    (I)    Unless otherwise directed by the board, the suspension, cancellation, revocation, or restriction of a license or certificate shall become effective following the delivery to the licensee or qualifying party of a written decision of the board. Service of a petition for a review of the decision does not stay the board's decision pending completion of the appellate process in accordance with the Administrative Procedures Act."

SECTION    3.    Section 40-79-130(1)(b) of the 1976 Code, as last amended by Act 367 of 2000, is further amended to read:

    "(b)    had a license or registration denied, suspended, canceled, revoked, or otherwise disciplined;"

SECTION    4.    Section 40-79-220 of the 1976 Code, as added by Act 367 of 2000, is amended to read:

    "Section 40-79-220.    (A)    The following branch office requirements apply:

        (1)    The department shall issue a certificate to each branch burglar alarm office. This certificate authorizes the branch office to conduct business under the name of the licensed entity. The department may create the certificate as necessary. The licensed entity must apply for the certificate prior to opening the branch office and must not conduct business from this office until the applicant has received the certificate application has been approved by the department and a license number has been issued for the branch office. The certificate must be posted within the branch office upon receipt from the department.

        (2)    Each branch office located within the doing business in this State must have a primary qualifying agent party assigned to that location exclusively. The This primary qualifying agent party may not be a primary qualifying agent party for any other business location in this State or be employed by or perform any burglar alarm related services for any other burglar alarm system business unless the licensed alarm business is performing work as a subcontractor. Any disciplinary action taken by the board affects all of the offices equally, unless otherwise stipulated by the board.

        (3)    All branch offices shall pay a separate license fee.

        (4)    Every branch office and all qualifying parties the primary qualifying party must be listed or registered, or both, with the department prior to opening the branch office. All registered employees who have access to the licensee's client records must be listed or registered, or both, with the department within ten fifteen working days of employment within the branch office.

        (5)    Each branch office must have a separate comprehensive general liability insurance policy or be listed on the home office policy in accordance with this chapter.

    (B)    The following qualifying party requirements apply:

        (1)    An alarm business, including a sole proprietorship, may not do business unless it has in its employment a primary qualifying party who meets the requirements of this chapter.

        (2)    Upon passing all required examinations and meeting all other requirements, the qualifying party must be issued a qualifying party certificate. Any number of employees may become qualified and may be listed as qualifying parties.

        (3)    If a qualifying party ceases to perform his duties or leaves employment of the licensee, the licensee and qualifying party must notify the department in writing within fifteen days. The licensee must obtain a substitute primary qualifying party within ninety days after the primary qualifying party ceases to perform his duties. If the licensee notifies the department within the prescribed time, the license shall remain in good standing until the prescribed time limit has expired. If the primary qualifier is not replaced within the time limit above, the license or certificate, or both, may be canceled by the department. If the licensee or qualifying party, or either, fails to notify the department within the required time, disciplinary action may be taken in accordance with this chapter.

        (4)    A qualifying party may transfer his qualifications to another alarm business when he becomes a new employee for that business. The new employer must send written notification of the qualifying party's new employment to the department within fifteen days of employment.

        (5)    No qualifying party for an alarm business may serve as a qualifying party for more than one licensee at a time and must be a full-time employee of the licensee.

        (6)    Any qualifying party that is not listed as a qualifying party for an alarm business for four consecutive years must pass any examinations required by the board in order to become certified.

    (C)    The following registered employee requirements apply:

        (1)    All employees of a licensed burglar alarm business who meet the definition of 'registered' in Section 40-79-20(14) must be registered with the department. The licensee must conduct a criminal background check of any applicant for employment and submit the report to the department. The department must be notified by the licensee of each employee requiring registration by the licensee required to be registered within fifteen days of employment along with the criminal background check of the new employee. An employee must not have access to the licensee's client records until the employee is approved by the department.

        (2)    The department must be notified in writing by the licensee and registered employee of termination of employment for any registered employee within fifteen days after termination. If the licensee or registered employee, or either, fails to notify the department within the fifteen days, disciplinary action may be taken in accordance with this chapter the registration of the employee must be immediately canceled by the department. Failure of the licensee to timely notify the department may result in disciplinary action for a violation of this chapter.

        (3)    A licensee may employ an individual who is properly registered, certified, or licensed as an alarm system business employee from another state for a period not to exceed fifteen days in any given month. The licensee, prior to employing the person, must submit to the department the name, address, date of birth, and social security number of the person and the name of the state of current registration or licensing. Department approval of the employment of the person in this State must be obtained prior to the person being employed before the individual may have access to the burglar alarm business client records.

        (4)    A licensee may employ in this State an individual registered in another state as an alarm business employee for a period not to exceed thirty days in any given calendar year provided the licensee submits to the department within five days from the date of employment, a report that provides the department with the name, address, social security number, job description, and dates of employment of the employee. Such an individual is not required to be registered in this State unless employed for more than thirty days in a given calendar year."

SECTION.    5.    Section 40-79-240(C) and (E) of the 1976 Code, as added by Act 367 of 2000, is amended to read:

    "(C)    All employees that are required to have a criminal background check must submit a new background check upon conviction of a crime.

    A registered individual employee failing to qualify according to the requirements of this chapter may submit a request to the board within ten days of receipt of denial of renewal for consideration of a waiver for failure to meet the requirements of this chapter.

    This individual must be allowed to continue to work under strict supervision of the alarm business until the board makes a decision on a timely waiver request.

    (E)    A burglar An alarm licensee must submit documentation of a current comprehensive general liability insurance policy with each license renewal in an amount provided for in Section 40-79-250."

SECTION    6.    This act takes effect upon approval by the Governor.

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