BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
SB 468 (Hill) - Bureau of Security and Investigative Services:
licensees
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|Version: April 22, 2015 |Policy Vote: B., P. & E.D. 8 - |
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|Urgency: No |Mandate: No |
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|Hearing Date: May 11, 2015 |Consultant: Mark McKenzie |
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This bill meets the criteria for referral to the Suspense File.
Bill
Summary: SB 468 would subject the powers and duties of the
Bureau of Security and Investigative Services (BSIS) to sunset
review by the Legislature as if its governing statutes were
scheduled for repeal on January 1, 2020.
The bill would also require applicants for armed security guard
licensure to submit proof of a psychological examination with
the application for a firearms permit, require BSIS to inspect
all firearms training facilities, as specified, and make several
other changes to the laws under BSIS regulatory authority.
SB 468 (Hill) Page 1 of
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Fiscal
Impact:
BSIS costs of approximately $300,000 annually, and 3 PY of
enforcement staff, to conduct compliance inspections of
firearms training facilities. (Private Security Services
Fund)
BSIS costs of approximately $131,000 annually, and 2 PY of
licensing staff, to process psychological examinations
submitted with Firearm Permit applications. (Private Security
Services Fund)
Prevents expenditures of approximately $12.1 million (mainly
from the Private Security Services Fund), supporting 51.4 PY,
and the collection of approximately $12.1 million in fee
revenues, beyond January 1, 2020.
Background: Pursuant to existing law, the BSIS, within the Department of
Consumer Affairs (DCA), licenses and regulates approximately
380,000 companies and employees serving in the areas of alarm
services, locksmith services, private investigation, private
security, repossession, and firearm and baton training. Based
on the past three fiscal years, the BSIS issues an average of
1,900 company licenses, 71,000 employee registrations, and
12,000 Bureau firearm permits annually. In addition, the BSIS
renews an average of 9,500 company licenses, 105,000 employee
registrations, and 11,500 Bureau firearm permits each year. The
BSIS is responsible for regulating the following six areas of
state law: the Alarm Company Act; the Locksmith Act; the Private
Investigator Act; the Private Security Services Act; the
Proprietary Security Services Act; and the Collateral Recovery
Act. The BSIS had its first sunset review hearing by the
Legislature in 2015, but there is no sunset date for the BSIS in
existing law.
Proposed Law:
SB 468 would make the following changes to statutes under the
regulatory authority of the BSIS:
Subject the powers and duties of the BSIS to sunset review by
the Legislature as if its governing statutes were scheduled
for repeal on January 1, 2020.
SB 468 (Hill) Page 2 of
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Require applicants for a BSIS firearm permit to undergo and
pass a psychological evaluation by a licensed psychologist
prior to BSIS issuing a permit. This condition would not
apply to peace officers or federal law enforcement officers.
Require a security guard employer, as well as the security
guard, to submit a written report to the Director of the DCA
of any incident involving the discharge of a firearm while on
he or she is on duty.
Require BSIS to inspect a firearms training facility within 90
days of issuance of a "Firearms Training Facility
Certificate," and require BSIS to maintain a program of random
and targeted inspections of training facilities to ensure
compliance with applicable laws.
Exempt federal law enforcement officers from BSIS firearms,
power to arrest, and baton training requirements if the
officer has already completed an applicable course.
Clarify that a private investigator who has a Concealed Carry
Weapons (CCW) permit, may carry a concealed firearm in the
course of his or her business as a private investigator. (The
individual must also carry a BSIS Firearm Permit)
Require alarm companies to make a specific disclosure to their
customers regarding any evergreen clause renewals in their
contracts.
Related
Legislation: This bill is one of five measures introduced this
session by the Senate Business, Professions, and Economic
Development Committee to extend the sunset on licensing boards
within DCA - including SB 465 (Hill), SB 466 (Hill), SB 468
(Hill), and SB 469 (Hill). Five additional bills that extend
the sunset on DCA licensing boards and bureaus are being
considered by the Assembly this year.
Staff
Comments: In addition to subjecting the BSIS to sunset review,
this bill would require security guard applicants for a firearm
permit to pass a psychological evaluation by a licensed
psychologist as a condition of licensure, and require BSIS to
inspect licensed firearms training facilities. BSIS receives an
average of 14,156 Firearm Permit applications annually, and
SB 468 (Hill) Page 3 of
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anticipates it would need an additional 2 PY of licensing staff,
at a cost of $131,000 annually, to receive, match, process, and
review psychological evaluations submitted with permit
applications. There are currently 367 licensed firearms
training facilities. Assuming BSIS staff would conduct random
compliance inspections on all facilities on a biennial cycle,
BSIS anticipates it would need an additional 3 PY of enforcement
staff, at an annual cost of approximately $300,000, to conduct
the inspections.
Staff notes that the Private Security Services Fund and the
Private Investigator Fund, have revenues and expenditures that
are in balance, and both funds have very healthy reserves to
fund the additional expenditures related to this bill. The
Governor's proposed 2015-16 budget assumes a $4 million loan
from the Private Security Services Fund to the General Fund from
the 2003 Budget Act will be repaid in 2015-16. This leaves one
outstanding loan of $4 million from the 2011 Budget Act, which
is proposed for repayment in 2016-17.
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