BILL ANALYSIS Ó
AB 759
Page 1
ASSEMBLY THIRD READING
AB 759 (Daly)
As Amended May 6, 2013
Majority vote
BUSINESS & PROFESSIONS 13-0 APPROPRIATIONS 16-1
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|Ayes:|Gordon, Jones, Bocanegra, |Ayes:|Gatto, Harkey, Bigelow, |
| |Campos, | |Bocanegra, Bradford, Ian |
| |Dickinson, Eggman, | |Calderon, Campos, Eggman, |
| |Hagman, | |Gomez, Hall, Rendon, |
| |Holden, Maienschein, | |Linder, Pan, Quirk, |
| |Mullin, | |Wagner, Weber |
| |Skinner, Ting, Wilk | | |
| | | | |
|-----+--------------------------+-----+--------------------------|
| | |Nays:|Donnelly |
| | | | |
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SUMMARY : Revises all references to private patrol operators
(PPOs) in state law to instead refer to private security
contractors (PSCs), specifies what a security guard's
distinctive uniform may include, and revises the requirements
for a qualifying manager to a PSC. Specifically, this bill :
1)Revises all references in code to a PPO to instead refer to a
PSC.
2)Modifies the requirements for a PSC's distinctive uniform to
authorize:
a) A uniform to include police styles;
b) An unarmed PSC or officer, director, partner, manager,
or employee of a PSC to wear a business suit, blazer, or
polo shirt displaying a company-issued photo identification
designating the person's name, employing company, and
employee number, in lieu of complying with existing badge
and patch uniform requirements; and,
c) The Bureau of Security and Investigative Services (BSIS)
to adopt regulations to further define and clarify what
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constitutes a distinctive uniform.
3)Requires a PSC's license to be posted on the BSIS Web site,
which shall take effect upon posting.
4)Requires a qualifying manager for a PSC to comply with all of
the following, in addition to existing requirements:
a) Hold 2,080 hours of experience as a security guard, or
an equivalent amount of military experience;
b) Be currently registered as a security guard;
c) Hold 2,080 hours of experience as a manager of a PSC;
and,
d) Not be employed as a qualified manager by more than five
corporations or other business entities at the same time.
5)Makes a qualifying manager's examination results valid for up
to seven years after his or her license expires, unless
reauthorized by BSIS.
6)Redefines the following terms:
a) "Security officer" to include, among other things, the
terms "security guard," "patrolperson," "watchman," and
"guard"; and,
b) "Advertisement" to include, among other things, an
Internet Web site or social media.
7)Defines "social media" to mean "an electronic service or
account, or electronic content, including, but not limited to,
videos, still photographs, blogs, video blogs, podcasts,
instant and text messages, e-mail, online services or
accounts, or Internet Web site profiles or locations."
8)Makes other technical and clarifying changes.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, costs associated with this legislation should be
minor and absorbable within existing resources.
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COMMENTS :
1)Purpose of this bill . This bill would enact multiple changes
to modernize state law relating to PPOs. Those updates
include clarifying what a distinctive uniform may include,
changing all code references to a PPO to instead refer to a
PSC, posting licenses on the Internet, adding the Internet and
social media Web sites to existing advertising requirements,
and specifying eligibility requirements for the qualifying
managers of PSCs that demonstrate substantial security guard
experience in managing a PSC. This bill is sponsored by the
California Association of Licensed Security Agencies, Guards &
Associates.
2)PPO eligibility . PPOs, or private patrol operator companies,
employ security guards and dispatch them to protect persons or
property from harm or theft. The PPO must be licensed by BSIS
and complete criminal background checks with the California
Department of Justice and the Federal Bureau of Investigation.
An individual who wishes to hire security guard services
cannot directly hire a security guard, but must contract with
a PPO that employs the security guard. Security guards may
carry firearms, tear gas, or batons only after completing
training and receiving the respective BSIS-issued permit.
There are over 3,000 PPOs and 280,000 security guards licensed
in California.
3)Unscrupulous activity and distinctive uniforms . The sponsors
contend that unscrupulous PPOs hire unlicensed individuals to
work at horse races, sporting events, entertainment venues and
other events to perform security guard activities like
security screenings and crowd control - but pay those
individuals less than licensed security guards. In an attempt
to circumvent existing law, the unlicensed individuals
performing security guard services will not wear the
distinctive uniform that licensed security guards are required
to wear.
For example, BSIS has cited and fined PPOs for using unlicensed
security guards who lack the badge and patch identification
requirements required of licensed security guards, but instead
intentionally wear business suits, blazers, or polo shirts to
convey a sense of authority and security to consumers. Those
PPOs then contest the fines by arguing that the unlicensed
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individuals were not wearing a "distinctive uniform" and
therefore not performing security guard services.
This unlicensed activity poses a safety issue for consumers,
since unlicensed security guards have not passed a criminal
background check and may not have training on how to address
security situations. In addition, it creates an uneven
playing field for licensed security guards who do comply with
existing laws.
This bill would clarify that distinctive uniforms may include
business suits, blazers, or polo shirts to provide BSIS with
greater enforcement power against unlicensed security guard
activity.
4)When a license becomes valid . According to the sponsor, when
BSIS issues a license, it simultaneously mails the license and
posts it online. Under current law, BSIS licenses only become
valid once an applicant physically receives his or her license
in the mail. This bill would make BSIS licenses valid once
they are posted online so that a licensee can begin working
more quickly.
5)Qualifying managers . Current law allows for an individual who
has passed a written or oral examination to become a
qualifying manager for a PPO. According to the sponsor, this
allows anyone with at least one year of security experience to
open a security company, which could potentially endanger the
public because that new operator would not have adequate
experience and sufficient knowledge to responsibly operate a
security company. Currently, qualified managers must have one
year of experience (2,000 hours) as a patrolperson, guard,
watchperson, or the equivalent.
This bill increases the minimum eligibility requirements for
qualifying managers by requiring them to hold at least 4,160
hours of combined experience as a security guard and manager
of a PSC, hold a security guard license, and be limited in the
number of entities he or she can serve as the qualifying
manager for. In addition, this bill makes a qualified
manager's licensing examination results valid for up to seven
years after the license expires, to waive re-testing
requirements for an individual who leaves the profession but
wishes to return to the security industry as a qualified
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manager.
6)Updates to advertising requirements . Current law requires
every advertisement by a PPO soliciting or advertising
business to contain his or her name, address, and license
number. This bill expands the definition of an
"advertisement" to include social media and Internet Web
sites, and requires PPOs advertising online to post their PPO
license number so that consumers can verify a PPO's license
status through BSIS's online license database.
Analysis Prepared by : Joanna Gin / B., P. & C.P. / (916)
319-3301
FN: 0000631