HOUSE BILL No. 5917
June 21, 2000, Introduced by Rep. Sanborn and referred to the Committe on Criminal Law and Corrections. A bill to amend 1968 PA 330, entitled "Private security guard act of 1968," by amending the title and sections 1, 2, 3, 4, 6, 7, 8, 9, 10, 11, 14, 17, 18, 19, 22, 25, 29, 30, 31, 32, and 33 (MCL 338.1051, 338.1052, 338.1053, 338.1054, 338.1056, 338.1057, 338.1058, 338.1059, 338.1060, 338.1061, 338.1064, 338.1067, 338.1068, 338.1069, 338.1072, 338.1075, 338.1079, 338.1080, 338.1081, 338.1082, and 338.1083), sections 6, 10, 17, and 18 as amended by 1994 PA 326; and to repeal acts and parts of acts. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 TITLE 2 An act to license and regulate private security guards, pri- 3 vate SECURITY police, special police, security technicians, 4 watchmen, patrol service, private security guard agencies and 5 SECURITY alarm systems sales, installations, and operations 06318'00 * LBO 2 1 SERVICING, INSTALLING, OPERATING, AND MONITORING; to provide 2 penalties for violations; to protect the general public against 3 unauthorized, unlicensed and unethical operations by individuals 4 engaged in private security activity or SECURITY alarm systems 5 sales, installations, SERVICE, MAINTENANCE, and operations; to 6 establish minimum qualifications for individuals as well as pri- 7 vate agencies engaged in private THE security work BUSINESS 8 and SECURITY alarm systems and operations; and to prescribe the 9 powers and duties of the department of state police. 10 Sec. 1. This act shall be known and may be cited as the 11 "private security guard BUSINESS AND SECURITY ALARM act". of 12 1968". 13 Sec. 2. (1) As used in this act: 14 (a) "Alarm system" means a detection device or an assembly 15 of equipment and devices arranged to signal the presence of a 16 hazard requiring urgent attention or to which police are expected 17 to respond. A fire alarm system or an alarm system which moni- 18 tors temperature, humidity, or other condition not directly 19 related to the detection of an unauthorized intrusion into a 20 premises or an attempted robbery at a premises is excluded from 21 the provisions of this act. 22 (b) "Alarm system agent" means a person employed by an alarm 23 system contractor whose duties include the altering, installing, 24 maintaining, moving, repairing, replacing, selling, servicing, 25 responding to, or causing others to respond to an alarm system. 26 (c) "Alarm system contractor" means a person, firm, company, 27 partnership, or corporation engaged in the installation, 06318'00 * 3 1 maintenance, alteration, or servicing of alarm systems or who 2 responds to an alarm system. "Alarm system contractor" shall not 3 include a business which only sells or manufactures alarm systems 4 unless the business services alarm systems, installs alarm sys- 5 tems, or monitors or responds to alarm systems at the protected 6 premises. 7 (d) "Business of alarm system contractor, private police, 8 special police, watchmen, patrol service, private security 9 guards, security technicians and private security guard agencies" 10 means a person, firm, company, partnership, or corporation 11 engaged in the furnishing of such service, or performed by per- 12 sons as defined in subdivisions (g) and (h) and subsection (2), 13 with or without the assistance of an employee or employees. 14 (A) (e) "Department" means the department of state 15 police. 16 (B) (f) "Licensee" means a person, firm, company, partner- 17 ship, or corporation licensed under the provisions of this 18 act. 19 (g) "Private police, special police, watchmen, patrol serv- 20 ice agencies, private security guards and private security guard 21 agencies" means, separately or collectively, as an individual or 22 an employer of employees in the business of furnishing, for hire, 23 fee or reward, private police, special police, watchmen, patrol 24 service, private security guards, or other persons hired to pre- 25 vent the theft or the misappropriation or concealment of goods, 26 wares or merchandise, money, bonds, stocks, notes, choses in 06318'00 * 4 1 action or other valuable documents, papers and articles of 2 value. 3 (h) "Private police or special police or security guards or 4 watchmen" employed by investment, financial concerns, or other 5 business firms, not including banks or savings and loan associa- 6 tions, whose duties require their employees as designated above, 7 to proceed from 1 point to another, including convoy activity for 8 protection of choses in action or other designated reasons, and 9 in so doing travel on public property, shall be included under 10 this act. 11 (C) "PRIVATE SECURITY GUARD" MEANS AN INDIVIDUAL OR AN 12 EMPLOYEE OF AN EMPLOYER WHO OFFERS, FOR HIRE, TO PROVIDE PROTEC- 13 TION OF PERSONS AND PROPERTY ON THE PREMISES OF ANOTHER. 14 (D) "PRIVATE SECURITY POLICE" MEANS THAT PART OF A BUSINESS 15 ORGANIZATION PRIMARILY RESPONSIBLE FOR THE PROTECTION OF PROPERTY 16 AND PERSONS ON THE PREMISES OF THE BUSINESS ORGANIZATION. 17 (E) "SECURITY ALARM SYSTEM" MEANS A DETECTION DEVICE OR AN 18 ASSEMBLY OF EQUIPMENT AND DEVICES ARRANGED TO SIGNAL THE PRESENCE 19 OF A HAZARD REQUIRING URGENT ATTENTION OR TO WHICH POLICE ARE 20 EXPECTED TO RESPOND. SECURITY ALARM SYSTEM INCLUDES ANY SYSTEM 21 THAT CAN ELECTRONICALLY CAUSE AN EXPECTED RESPONSE BY A LAW 22 ENFORCEMENT AGENCY TO A PREMISES BY MEANS OF THE ACTIVATION OF AN 23 AUDIBLE SIGNAL, VISIBLE SIGNAL, ELECTRONIC NOTIFICATION, OR VIDEO 24 SIGNAL, OR ANY COMBINATION OF THESE SIGNALS, TO A REMOTE MONITOR- 25 ING LOCATION ON OR OFF THE PREMISES. SECURITY ALARM SYSTEM DOES 26 NOT INCLUDE A VIDEO SIGNAL THAT IS NOT TRANSMITTED OVER A PUBLIC 27 COMMUNICATION SYSTEM OR A FIRE ALARM SYSTEM OR AN ALARM SYSTEM 06318'00 * 5 1 THAT MONITORS TEMPERATURE, HUMIDITY, OR OTHER CONDITION NOT 2 DIRECTLY RELATED TO THE DETECTION OF AN UNAUTHORIZED INTRUSION 3 INTO A PREMISES OR AN ATTEMPTED ROBBERY AT A PREMISES. 4 (F) "SECURITY ALARM SYSTEM AGENT" MEANS A PERSON EMPLOYED BY 5 A SECURITY ALARM SYSTEM CONTRACTOR WHOSE DUTIES INCLUDE THE 6 ALTERING, INSTALLING, MAINTAINING, MOVING, REPAIRING, REPLACING, 7 SELLING, SERVICING, MONITORING, RESPONDING TO, OR CAUSING OTHERS 8 TO RESPOND TO A SECURITY ALARM SYSTEM. 9 (G) "SECURITY ALARM SYSTEM CONTRACTOR" MEANS A PERSON, FIRM, 10 COMPANY, PARTNERSHIP, OR CORPORATION ENGAGED IN THE INSTALLATION, 11 MAINTENANCE, ALTERATION, MONITORING, OR SERVICING OF SECURITY 12 ALARM SYSTEMS OR WHO RESPONDS TO A SECURITY ALARM SYSTEM. 13 SECURITY ALARM SYSTEM CONTRACTOR DOES NOT INCLUDE A BUSINESS THAT 14 ONLY SELLS OR MANUFACTURES SECURITY ALARM SYSTEMS UNLESS THE 15 BUSINESS SERVICES SECURITY ALARM SYSTEMS, INSTALLS SECURITY ALARM 16 SYSTEMS, MONITORS OR ARRANGES FOR THE MONITORING OF A SECURITY 17 ALARM SYSTEM, OR RESPONDS TO SECURITY ALARM SYSTEMS AT THE PRO- 18 TECTED PREMISES. 19 (H) "SECURITY BUSINESS" MEANS A PERSON OR BUSINESS ENTITY 20 ENGAGED IN OFFERING, ARRANGING, OR PROVIDING 1 OR MORE OF THE 21 FOLLOWING SERVICES: 22 (i) SECURITY ALARM SYSTEM INSTALLATION, SERVICE, MAINTE- 23 NANCE, ALTERATION, OR MONITORING. 24 (ii) PRIVATE SECURITY GUARD. 25 (iii) PRIVATE SECURITY POLICE. 26 (2) All businesses furnishing SECURITY alarm systems for the 27 protection of persons and property, whose employees and security 06318'00 * 6 1 technicians travel on public property and thoroughfares in the 2 pursuit of their duties, shall be included under ARE SUBJECT TO 3 this act. , except this shall not include a 4 (3) A communications common carrier providing communications 5 channels under tariffs for the transmission of signals in connec- 6 tion with an alarm system IS NOT SUBJECT TO THIS ACT. 7 (4) (3) Railroad policemen appointed and commissioned 8 under the provisions of Act No. 114 of the Public Acts of 1941, 9 as amended, being sections 470.51 to 470.61 of the Michigan 10 Compiled Laws RAILROAD CODE OF 1993, 1993 PA 354, MCL 462.101 TO 11 462.451, are exempt from the provisions of RAILROAD CODE OF 12 1993, 1993 PA 354, MCL 462.101 TO 462.451, are exempt from the 13 provisions of this act. 14 Sec. 3. (1) Unless licensed pursuant to UNDER this act, a 15 person, firm, company, partnership, or corporation shall not 16 engage in the business of SECURITY alarm system contractor, 17 alarm system agent, private security guard, private SECURITY 18 police, special police, patrol service, or an agency furnishing 19 those services. , notwithstanding the name or title used in 20 describing the agency and notwithstanding that other functions 21 and services may also be performed for fee, hire, or reward. A 22 person, firm, company, partnership, or corporation shall not 23 advertise the ITS business to be that of SECURITY alarm system 24 contractor, SECURITY alarm system agent, private security guard 25 agency, or an agency furnishing those services without having 26 first obtained from the department a license to do so , as 27 provided in this act, for each bureau, agency, subagency, 06318'00 * 7 1 office , and branch office to be owned, conducted, managed, or 2 maintained for the conduct of that business. A person who vio- 3 lates this section is guilty of a misdemeanor, punishable by 4 imprisonment for not more than 90 days, or by a fine of not more 5 than $1,000.00, or both. 6 (2) A person shall not sell, install, operate, adjust, 7 arrange for, or contract to provide a device which upon activa- 8 tion, either mechanically, electronically, or by any other means, 9 initiates the automatic calling or dialing of, or makes a connec- 10 tion directly to, a telephone assigned to a public service, util- 11 ity, or police agency, for the purpose of delivering a recorded 12 message, without first receiving written permission from that 13 service, utility, or agency. 14 (3) A PERSON WHO VIOLATES THIS SECTION IS GUILTY OF A FELONY 15 PUNISHABLE BY IMPRISONMENT FOR NOT MORE THAN 4 YEARS, BY A FINE 16 OF NOT MORE THAN $1,000.00, OR BOTH. 17 Sec. 4. The department shall have the power to MAY issue 18 separate licenses to SECURITY alarm system contractors, alarm 19 system agents, private SECURITY police, special police, patrol 20 services, and to private security guard agencies. Nothing in 21 this section shall prevent a private detective or private inves- 22 tigator licensed under the laws of this state from performing the 23 services of private security guard or agency as defined under 24 this act and the license fee shall include both services. A pri- 25 vate security guard or agency may not perform the services of a 26 private detective or private investigator as defined in Act 27 No. 285 of the Public Acts of 1965, as amended, being sections 06318'00 * 8 1 338.821 to 338.851 of the Michigan Compiled Laws, without 2 obtaining a detective license so to do. 3 Sec. 6. (1) The department shall issue a license to conduct 4 business as an A SECURITY alarm system contractor or a private 5 security guard, or agency PRIVATE SECURITY POLICE, OR TO A PRI- 6 VATE SECURITY GUARD BUSINESS, if it is satisfied that the appli- 7 cant is a person, or if a firm, partnership, company, or corpora- 8 tion the sole or principal license holder is a person, who meets 9 all of the following qualifications: 10 (a) Is a citizen of the United States. 11 (A) (b) Is not less than 25 years of age. 12 (B) (c) Has a high school education or its equivalent. 13 (d) Is currently, and has been for not less than 1 year, a 14 resident of this state. 15 (C) (e) Has not been under any sentence, including parole, 16 probation, or actual incarceration, for the commission of a 17 felony. within 5 years before the date of application. 18 (D) HAS NOT BEEN CONVICTED OF AN OFFENSE LISTED IN 19 SECTION 10(1)(C) WITHIN 5 YEARS BEFORE THE DATE OF APPLICATION. 20 (E) (f) Has not been dishonorably discharged from a branch 21 of the United States military service. 22 (F) (g) In the case of an applicant for a private security 23 guard or agency license, has been lawfully engaged in 1 or more 24 of the following: 25 (i) In the private security guard or agency business on his 26 or her own account for a period of not less than 3 years. 06318'00 * 9 1 (ii) In the private security guard or agency business for a 2 period of not less than 3 4 years as an employee of the holder 3 of a certificate of authority to conduct a private security guard 4 or agency business , and has had experience reasonably equiva- 5 lent to not less than 4 years of full-time guard work in a super- 6 visory capacity with rank above that of patrolman. 7 (iii) In law enforcement employment on a full-time basis for 8 not less than 4 years for a city, county, or state government, or 9 for the United States government. 10 (iv) In the private security guard or agency business as an 11 employee or on his or her own account or as a security adminis- 12 trator in private business for not less than 2 years on a 13 full-time basis, and is a graduate WITH A BACCALAUREATE DEGREE or 14 its equivalent in the field of police administration or indus- 15 trial security from an accredited college or university. 16 (G) (h) In the case of an applicant for an A SECURITY 17 alarm system contractor license, has been lawfully engaged in 18 either or both of the following: 19 (i) The SECURITY alarm system contractor business on his or 20 her own account for a period of not less than 3 years. 21 (ii) The SECURITY alarm system contractor business for a 22 period of not less than 3 4 years as an employee of the holder 23 of a certificate of authority to conduct an A SECURITY alarm 24 system contractor business, and has had experience reasonably 25 equivalent to at least 4 years of full-time work in a supervisory 26 capacity or passes a written exam administered by the department 06318'00 * 10 1 designed to measure his or her knowledge and training in SECURITY 2 alarm systems. 3 (H) (j) Has posted with the department a bond provided for 4 in this act. 5 (I) (k) Has not been adjudged insane , unless restored 6 to sanity by court order. 7 (J) (l) Does not have any outstanding warrants for his or 8 her arrest. 9 (2) In the case of a person, firm, partnership, company, or 10 corporation now doing or seeking to do business in this state, 11 the resident manager shall comply with the applicable qualifica- 12 tions of this section. 13 Sec. 7. (1) The department shall prepare a uniform applica- 14 tion for the particular license , and shall require the person 15 filing application to list as references at least 5 reputable 16 citizens who are residents of this state who have known the 17 application APPLICANT for a period of at least 5 years, who can 18 attest that the applicant is honest, of good character, and com- 19 petent, and who are not related or connected to the applicant by 20 blood or marriage. 21 (2) Upon receipt of the application, the department shall 22 investigate the applicant's reputation for truth, honesty, integ- 23 rity and ethical dealing. 24 (3) The application and investigation shall IS not be 25 CONSIDERED complete until the applicant has received the approval 26 of the prosecuting attorney and the sheriff of the county IN THIS 27 STATE within which the principal office of the applicant is to be 06318'00 * 11 1 located. If the office is to be located in a city, TOWNSHIP, or 2 village, the approval of the chief of police may be obtained 3 instead of the sheriff. Branch offices and branch managers shall 4 be similarly approved. 5 (4) IF A PERSON HAS NOT PREVIOUSLY BEEN DENIED A LICENSE OR 6 HAS NOT HAD A PREVIOUS LICENSE SUSPENDED OR REVOKED, THE DEPART- 7 MENT MAY ISSUE A NONRENEWABLE TEMPORARY LICENSE TO AN APPLICANT. 8 IF APPROVED BY THE DEPARTMENT, THE TEMPORARY LICENSE IS VALID 9 UNTIL 1 OR MORE OF THE FOLLOWING OCCUR BUT NOT TO EXCEED 120 10 DAYS: 11 (A) THE RESULTS OF THE INVESTIGATIONS AND APPROVALS REQUIRED 12 UNDER SUBSECTIONS (1), (2), AND (3). 13 (B) THE RESULTS OF THE INVESTIGATION OF THE SUBJECT MATTER 14 ADDRESSED IN SECTION 6. 15 (C) THE RESULTS OF THE INVESTIGATION OF ANY EMPLOYEES OF THE 16 LICENSEE AS FURTHER DESCRIBED IN SECTION 17. 17 (D) CONFIRMATION OF COMPLIANCE WITH THE BONDING OR INSURANCE 18 REQUIREMENTS IMPOSED IN SECTION 9. 19 (E) THE APPLICANT FAILS TO MEET 1 OR MORE OF THE REQUIRE- 20 MENTS FOR LICENSURE IMPOSED UNDER THIS ACT. 21 (5) THE FEES FOR A TEMPORARY LICENSE SHALL BE THE APPLICABLE 22 FEES AS DESCRIBED IN SECTION 9. 23 Sec. 8. If the applicant is a corporation, the application 24 shall be signed and verified by the president, secretary and 25 treasurer thereof, and shall specify the name of the corporation, 26 the date and place of its incorporation, the location of its 27 principal place of business, and the name of the city, as well as 06318'00 * 12 1 indicate the location of the bureau, agency, subagency, office or 2 branch office for which the license is desired, the amount of the 3 corporation's outstanding paid-up capital and stock, and whether 4 paid in cash or property, and if in property, the nature of the 5 same, and shall be accompanied by a duly certified copy of a cer- 6 tificate of incorporation. 7 Each person or individual signing an application shall, 8 together with such application, submit to the department his pho- 9 tograph, taken within 6 months prior thereto in duplicate, in 10 passport size. 11 (1) EACH APPLICANT SHALL SIGN AND VERIFY THE APPLICATION. 12 EACH APPLICATION SHALL CONTAIN AT LEAST ALL OF THE FOLLOWING: 13 (A) THE NAME AND PRINCIPAL ADDRESS WHERE THE INDIVIDUAL OR 14 BUSINESS ENTITY IS LOCATED IN THIS STATE. 15 (B) THE ADDRESS AND LOCATION OF ANY BRANCH OFFICE OF THE 16 BUSINESS. 17 (C) THE CERTIFICATE OF INCORPORATION OF THE BUSINESS, IF 18 APPLICABLE. 19 (2) EACH APPLICANT SHALL SUBMIT 2 PASSPORT QUALITY PHOTO- 20 GRAPHS OF THE APPLICANT WITH THE APPLICATION. IF THE APPLICANT 21 IS A BUSINESS ENTITY, THE RESIDENT MANAGER OF THE BUSINESS SHALL 22 SUBMIT 2 PASSPORT QUALITY PHOTOGRAPHS OF HIMSELF OR HERSELF. 23 Sec. 9. (1) The department, when satisfied of the good 24 character, competence, and integrity of the applicant, or if the 25 applicant is a firm, company, partnership, or corporation, of 26 the ITS individual members or officers, thereof, shall issue 27 to the applicant a certificate of license upon the applicant's 06318'00 * 13 1 paying to the department for each certificate of license $200.00 2 if a person, or $300.00 if a private security guard firm, com- 3 pany, partnership, or corporation, or $500.00 if an A SECURITY 4 alarm system contractor, and upon the applicant's executing, 5 delivering, and filing in the office of WITH the department a 6 bond in the sum of $5,000.00 $25,000.00. if a person, or 7 $10,000 if a private security guard firm, company, partnership, 8 or corporation or an alarm system contractor. The bond shall be 9 conditioned upon the faithful and honest conduct of the business 10 by the applicant , and shall be approved by the state 11 DEPARTMENT. In lieu of a bond, the applicant may furnish a 12 policy of insurance issued by an insurer authorized to do busi- 13 ness in this state , naming the licensee and the state as coin- 14 sureds in the amount of $20,000.00 $25,000.00 for property dam- 15 ages, $100,000.00 for injury to or death of 1 person, and 16 $200,000.00 for injuries to or deaths of more than 1 person aris- 17 ing out of the operation of the licensed activity. The license 18 shall be IS valid for 2 years , but shall be revokable IS 19 REVOCABLE at all times by the department for cause shown. The 20 bonds shall be taken in the name of the people of the state , 21 and a person injured by the wilful WILLFUL, malicious, and 22 wrongful act of the licensee or any of his OR HER agents or 23 employees may bring an action on the bond or insurance policy in 24 his OR HER own name to recover damages suffered by reason of the 25 WRONGFUL act. The license certificate shall be in a form to be 26 prescribed by the department. and shall specify the full name of 27 the applicant, the location of the principal office or place of 06318'00 * 14 1 business and the location of the bureau, agency, subagency, 2 office, or branch office for which the license is issued, the 3 date on which it will expire, and the name of the person filing 4 the application. 5 (2) If a licensee desires to open a branch office, or 6 subagency, he OR SHE may receive a certificate of license for 7 that branch or subagency following approval as required in sec- 8 tion 7 and payment to the department of an additional fee of 9 $50.00 for each private security guard branch office license and 10 $100.00 for each SECURITY alarm system contractor branch office 11 license. The additional license shall be posted in a conspicuous 12 place in the branch office or subagency and shall expire 13 concurrent with the ON THE SAME date of AS the initial 14 license. 15 (3) THE DEPARTMENT SHALL CHARGE AN ADDITIONAL FEE OF $25.00 16 FOR A LATE RENEWAL AS FURTHER DESCRIBED IN SECTION 25. 17 (4) (3) If the license is DENIED, revoked, or terminated 18 SUSPENDED for cause, no refund shall be made of the license fees 19 or a part thereof. 20 Sec. 10. (1) The department may revoke any license issued 21 under this act if it determines, upon good cause shown, that the 22 licensee or his or her manager, if THE LICENSEE IS an individual, 23 or if the licensee is a person other than an individual, that any 24 of its officers, directors, partners or its manager, has done any 25 of the following: 06318'00 * 15 1 (a) Made any false statements or given any false information 2 in connection with an application for a license or a renewal or 3 reinstatement of a license. 4 (b) Violated any provision of this act. 5 (c) Been, while licensed or employed by a licensee, con- 6 victed of , or has knowingly continued the employment of any 7 individual convicted of, a felony, misdemeanor punishable by more 8 than 1 year of imprisonment, or any crime or crimes involving 9 moral turpitude, dishonesty or fraud, unauthorized divulging or 10 selling of information or evidence, impersonation of a law 11 enforcement officer or employee of the United States or any state 12 or political subdivision of the United States, illegally using, 13 carrying or possessing a dangerous weapon, habitual drunkenness, 14 using, selling or possessing narcotics, or illegally using an 15 excessive and unnecessary degree of force. A FELONY OR A MISDE- 16 MEANOR INVOLANY OF THE FOLLOWING: 17 (i) DISHONESTY OR FRAUD. 18 (ii) UNAUTHORIZED DIVULGING OR SELLING OF INFORMATION OR 19 EVIDENCE. 20 (iii) IMPERSONATION OF A LAW ENFORCEMENT OFFICER OR EMPLOYEE 21 OF THE UNITED STATES, THIS STATE, OR A POLITICAL SUBDIVISION OF 22 THIS STATE. 23 (iv) ILLEGALLY USING, CARRYING, OR POSSESSING A DANGEROUS 24 WEAPON. 25 (v) TWO OR MORE ALCOHOL RELATED OFFENSES. 26 (vi) CONTROLLED SUBSTANCES UNDER THE PUBLIC HEALTH CODE, 27 1978 PA 368, MCL 333.1101 TO 333.25211. 06318'00 * 16 1 (vii) AN ASSAULT. 2 (d) Knowingly submitted any of the following: 3 (i) A name other than the true name of a prospective 4 employee. 5 (ii) Fingerprints not belonging to the prospective 6 employee. 7 (iii) False identifying information in connection with the 8 application of a prospective employee. 9 (2) The department shall not renew a license of a licensee 10 who fails to pay any fines or fees due and owing OWES ANY FINE 11 OR FEE to the department at the time of FOR A renewal. 12 (3) Upon notification from the department of the revocation 13 of the license, the licensee, within 48 hours after notification, 14 shall surrender to the department the certificate of license and 15 his or her identification card. In addition to the penalties 16 provided for in section 32, failure to surrender a certificate of 17 license or identification card to the department is WITHIN 48 18 HOURS AFTER NOTIFICATION FROM THE DEPARTMENT OF THE REVOCATION OF 19 A LICENSE UNDER THIS ACT, THE LICENSEE SHALL SURRENDER THE 20 LICENSE AND THE IDENTIFICATION CARD ISSUED UNDER SECTION 14. A 21 PERSON WHO VIOLATES THIS SUBSECTION IS GUILTY OF a misdemeanor 22 PUNISHABLE BY IMPRISONMENT FOR NOT MORE THAN 93 DAYS OR A FINE OF 23 NOT MORE THAN $500.00, OR BOTH. 24 Sec. 11. A THE DEPARTMENT SHALL NOT REFUND A license OR 25 APPLICATION fee shall not be refunded unless a showing is made 26 of ineligibility to receive the license by failure to meet the 06318'00 * 17 1 requirements of this act, or by a showing of mistake, 2 inadvertence, or error in the collection of the fee. 3 Sec. 14. (1) Upon issuing a certificate of license, the 4 department shall issue an identification card to the principal 5 license holder, and if the agency is LICENSEE IS A PARTNER IN a 6 partnership to each partner, and if the license holder is a cor- 7 poration to each resident officer or manager thereof BUT ONLY 8 IF REQUESTED BY A RESIDENT OFFICER OR MANAGER. 9 (2) The form and contents of the identification card shall 10 be prescribed by the department, and the card shall be 11 recallable RECALLED by the department for cause IF THE 12 PERSON'S LICENSE IS REVOKED. 13 (3) Only 1 identification card shall be issued for each 14 person entitled to receive it, and the licensee shall be respon- 15 sible for the maintenance, custody, and control of the identifi- 16 cation card, and shall neither NOT let, loan, sell, nor OR 17 otherwise permit unauthorized persons or employees to use it. 18 Nothing in this THIS section shall be construed to DOES NOT 19 prevent an agency from issuing its own identification cards to 20 their ITS employees if they are approved as to form and content 21 by the department. The individual card shall not bear the seal 22 of the state, but the employee shall be designated as either 23 SECURITY alarm system agent, private SECURITY police OFFICER, 24 security guard, watchman, patrolman, or security technician. 25 (4) THE DEPARTMENT MAY SUSPEND A LICENSE ISSUED UNDER THIS 26 ACT IF THE LICENSE FAILS TO COMPLY WITH ANY OF THE REQUIREMENTS 27 OF THIS ACT. UNLESS A LICENSE IS REQUIRED TO BE REVOKED FOR A 06318'00 * 18 1 VIOLATION OF THIS ACT, THE DEPARTMENT SHALL REINSTATE A SUSPENDED 2 LICENSE UPON THE LICENSE COMPLYING WITH THIS ACT AND THE LICENSEE 3 PAYING A $100.00 REINSTATEMENT FEE. 4 (5) (4) Upon proper application and for sufficient reasons 5 shown, the department may issue duplicates of the original cer- 6 tificate of license or identification card. 7 Sec. 17. (1) A licensee may employ as many persons as he or 8 she considers necessary to assist him or her in his or her work 9 of SECURITY alarm system contractor, PRIVATE SECURITY POLICE, or 10 private security guard or agency and in the conduct of his or 11 her business, and at all times during the employment may be IS 12 accountable for the good conduct in the business of each person 13 so employed. 14 (2) Employees shall meet the qualifications outlined in sec- 15 tion 6(1)(a), (e), (f), (k), and (l) 6(1)(C), (D), (I), AND 16 (J), be at least 18 years of age, and have had at least an eighth 17 grade education or its equivalent. 18 (3) A licensee shall keep AND MAINTAIN IN THIS STATE ade- 19 quate and complete personnel information on all persons employed 20 by him or her. 21 (4) If a licensee falsely states or represents that a person 22 is or has been in his or her employ, the false statement or rep- 23 resentation is sufficient cause for the revocation of the 24 license. A person falsely stating or representing that he or 25 she is or has been a licensed alarm system contractor or private 26 security guard or agency or employed by a holder of a license is 27 guilty of a misdemeanor. 06318'00 * 19 1 (5) A PERSON SHALL NOT FALSELY STATE OR REPRESENT THAT HE OR 2 SHE IS AN AGENT OF A LICENSED SECURITY ALARM SYSTEM CONTRACTOR, 3 PRIVATE SECURITY POLICE OFFICER, OR PRIVATE SECURITY GUARD. A 4 PERSON WHO VIOLATES THIS SUBSECTION IS GUILTY OF A MISDEMEANOR 5 PUNISHABLE BY IMPRISONMENT FOR NOT MORE THAN 93 DAYS OR A FINE OF 6 NOT MORE THAN $500.00, OR BOTH. 7 Sec. 18. (1) A licensee shall not knowingly employ any 8 person who fails to meet the requirements of section 17. 9 (2) The licensee shall cause fingerprints to be taken of all 10 prospective employees, which fingerprints shall be submitted to 11 the department for processing and approval. 12 (3) The fingerprints required to be taken under 13 subsection (2) may be taken by a law enforcement agency or any 14 other person determined by the department to be qualified to take 15 fingerprints. The department may charge a fee not to exceed 16 $100.00 for training. The licensee shall submit a 1-time $15.00 17 processing fee for each person applying for employment at that 18 agency. If a licensee takes the fingerprints, that licensee 19 shall obtain training in taking fingerprints from the department 20 or a law enforcement agency or other person determined qualified 21 by the department. The department may impose a fee not to exceed 22 $5.00 for fingerprints submitted to the department that do not 23 meet standards imposed by the department. 24 (4) A charge not to exceed $15.00 per person may be required 25 by the local law enforcement agency for the fingerprint process. 26 (5) A licensee shall request the department to conduct a 27 background check of each prospective employee based upon a name 06318'00 * 20 1 check. THE LICENSEE SHALL OBTAIN A COMPLETE AND SIGNED 2 EMPLOYMENT APPLICATION FOR ALL INDIVIDUALS FOR WHOM A NAME CHECK 3 IS REQUESTED AND CONDUCTED. THE EMPLOYMENT APPLICATION SHALL BE 4 RETAINED FOR AT LEAST 1 YEAR FROM THE DATE OF ITS SUBMISSION. The 5 department shall conduct the background check upon a written or 6 telephonic request of a licensee accompanied by a fee of $5.00. 7 The background check shall be conducted not later than 3 days 8 after the date a written request is made and not later than 24 9 hours after a telephonic request is made. Provisional clearance 10 based on the name check shall allow the employee to be employed, 11 for a period of time not to exceed 90 days, pending final clear- 12 ance based upon a fingerprint check. If an approval is once 13 denied, that individual may not again be employed by the submit- 14 ting licensee except upon receipt of an approved fingerprint 15 clearance. A LICENSEE OR EMPLOYEE OF A LICENSEE WHO USES A NAME 16 CHECK OR RESULTS OF A NAME CHECK FOR PURPOSES OTHER THAN PROSPEC- 17 TIVE EMPLOYMENT IS GUILTY OF A MISDEMEANOR PUNISHABLE BY A FINE 18 OF NOT MORE THAN $1,000.00. 19 (6) The department may enter into an agreement with a 20 licensee for the payment of fees imposed pursuant to this act. 21 (7) Any employee who, upon demand, fails to surrender to the 22 licensee his or her identification card and any other property 23 issued to him or her for use in connection with his or her 24 employer's business is guilty of a misdemeanor. 25 Sec. 19. (1) The particular type of uniform and insignia 26 worn by a licensee or his OR HER employees , must be approved 27 by the department and shall not deceive or confuse the public or 06318'00 * 21 1 be identical with that of a law enforcement officer of the 2 federal government, state, or a political subdivision thereof 3 OF THE STATE in the community of the license holder. Shoulder 4 identification patches shall be worn on all uniform jackets, 5 coats, and shirts and shall include the name of the licensee or 6 agency. Shoulder identification patches or emblems shall not be 7 less than 2 3 inches by 3 5 inches in size, HALF-MOON SHAPE, 8 AND RED AND WHITE IN COLOR EXCEPT THAT, UPON REQUEST, THE DEPART- 9 MENT MAY APPROVE DIFFERENT COLORS. A PATCH SHALL BE WORN ON THE 10 RIGHT BREAST WITH THE WORDS "SECURITY GUARD" OR "SECURITY 11 TECHNICIAN", AS APPROPRIATE. 12 (2) A badge or shield shall not be worn or carried by an A 13 SECURITY alarm system agent, private policeman, special police- 14 man, watchman SECURITY POLICE OFFICER, or employee, or licensee 15 of an A SECURITY alarm system contractor, patrol service 16 agency PRIVATE SECURITY POLICE ORGANIZATION, or private security 17 guard agency, unless approved by the director of the department. 18 of state police. 19 (3) A PERSON SHALL NOT WEAR OR DISPLAY A BADGE OR SHIELD 20 UNLESS THE PERSON IS ON DUTY AS AN EMPLOYEE OF THE LICENSEE OR 21 WHILE GOING TO AND FROM HIS OR HER PLACE OF EMPLOYMENT AND HIS OR 22 HER RESIDENCE. 23 (4) A PERSON WHO IS NOT EMPLOYED AS A SECURITY GUARD SHALL 24 NOT DISPLAY A BADGE OR SHIELD OR WEAR A UNIFORM OF A SECURITY 25 GUARD. A PERSON WHO VIOLATES THIS SUBSECTION IS GUILTY OF A MIS- 26 DEMEANOR PUNISHABLE BY IMPRISONMENT FOR NOT MORE THAN 93 DAYS OR 27 A FINE OF NOT MORE THAN $500.00, OR BOTH. 06318'00 * 22 1 (5) (3) A person licensed as an A SECURITY alarm system 2 contractor, SECURITY alarm system agent, or a private security 3 guard or agency is not authorized to carry a deadly weapon unless 4 he OR SHE is licensed to do so in accordance with the laws of 5 this state. 6 (6) (4) Nothing in this THIS act will DOES NOT prevent a 7 licensee from authorizing his OR HER employee to carry a night 8 stick constructed solely of wood TACTICAL BATON THAT IS COMMER- 9 CIALLY AVAILABLE. 10 Sec. 22. (1) Every advertisement by a licensee soliciting 11 or advertising for business shall contain his OR HER business 12 name and address as they appear in the records of the 13 department. 14 (2) Any A licensee shall, on UPON notice from AND ORDER 15 OF the department, discontinue any advertising or the use of any 16 advertisement, seal, or card , which THAT, in the opinion of 17 the department, may tend to mislead the public. Failure to 18 comply with any such order of the department shall be IS cause 19 for revocation OR SUSPENSION of the license. of such licensee. 20 (3) Any A person who is not licensed under this act , 21 who advertises his OR HER business to be that of a private secur- 22 ity guard or SECURITY ALARM agency, irrespective of the name or 23 title actually used, is guilty of a misdemeanor PUNISHABLE BY A 24 FINE OF NOT MORE THAN $1,000.00. 25 Sec. 25. (1) A license granted under the provisions of 26 this act may be renewed by the department upon application 27 thereof by the licensee , and the payment of a renewal fee of 06318'00 * 23 1 $100.00 if a person AN INDIVIDUAL, $150.00 if a private 2 security guard firm, company, partnership, or corporation, or 3 $250.00 if an A SECURITY alarm system contractor, and filing of 4 a renewal surety bond in the amount equivalent to that speci- 5 fied in section 9. of this act. 6 (2) A renewal license shall be dated as of the expiration 7 date of the previously existing license. For the renewal of a 8 license, the licensee shall submit an application in such form 9 as prescribed PROVIDED by the department. , and a license 10 shall be issued forthwith, except that the THE department may 11 defer the renewal of license if there are IS AN uninvestigated 12 complaints then outstanding against the licensee or if there 13 is ADMINISTRATIVE COMPLAINT OR a criminal complaint then pend- 14 ing against the licensee OR A CRIMINAL CASE PENDING IN ANY COURT 15 AGAINST THE LICENSEE. 16 (3) The renewal application shall MUST be approved by the 17 sheriff or chief of police and the prosecuting attorney, as 18 required for an initial license. 19 (4) A PERSON WHO FAILS TO RENEW A LICENSE ON OR BEFORE THE 20 EXPIRATION DATE SHALL NOT ENGAGE IN ACTIVITIES REGULATED BY THIS 21 ACT. A PERSON WHO FAILS TO RENEW A LICENSE ON OR BEFORE THE 22 EXPIRATION DATE MAY, WITHIN 30 DAYS AFTER THE EXPIRATION DATE, 23 RENEW THE LICENSE BY PAYMENT OF THE REQUIRED LICENSE FEE AND A 24 LATE RENEWAL FEE AS PRESCRIBED BY SECTION 9. AN APPLICANT WHO 25 FAILS TO RENEW MUST REAPPLY FOR A LICENSE UNDER SECTION 7. 26 Sec. 29. This act shall not require licensing of any 27 private security police GUARDS employed for the purpose of 06318'00 * 24 1 guarding PROTECTING the property and employees of their 2 employer and generally maintaining plant security for their 3 employer. , provided however, that HOWEVER, any person, firm, 4 or corporation maintaining a private security police organization 5 may voluntarily apply for licensing under this act. When a pri- 6 vate security police employer described and defined in this sec- 7 tion provides the employee with a pistol for the purpose of pro- 8 tecting the property of the employer, such pistol shall be con- 9 sidered the property of the employer and the employer shall 10 retain custody thereof, except during the actual working hours of 11 the employee. All such private security people shall be subject 12 to the provisions of section 19, subsection (1) 19(1). of this 13 act. 14 Sec. 30. Any A private security police officer, as 15 defined DESCRIBED in section 29, who is properly licensed under 16 this act shall have HAS the authority to arrest a person with- 17 out a warrant as set forth for public peace officers in section 18 15 of chapter 4 IV of Act No. 175 of the Public Acts of 1927, 19 being section 764.15 of the Compiled Laws of 1948 THE CODE OF 20 CRIMINAL PROCEDURE, 1927 PA 175, MCL 764.15, when such THAT 21 PRIVATE security police officer is on his THE employer's 22 premises. Such authority shall be IS limited to his OR HER 23 hours of employment as a private SECURITY police officer and 24 shall DOES not extend beyond the boundaries of the property of 25 his THE employer , and while such THE PRIVATE SECURITY 26 POLICE officer is in the full uniform of his THE employer. 06318'00 * 25 1 Sec. 31. Anyone ANY PERSON requesting licensing under 2 this act as provided under section 29, or THE employee of 3 said THE applicant, shall comply with training requirements as 4 prescribed by the department UNDER THIS ACT. 5 Sec. 32. A EXCEPT AS OTHERWISE PROVIDED IN THIS ACT, A 6 licensee, manager, or employee of a licensee who violates this 7 act is guilty of a misdemeanor, punishable by imprisonment for 8 not more than 90 days or by a fine of not more than $100.00 9 $1,000.00, or both. 10 Sec. 33. (1) An A SECURITY alarm system may not be 11 installed or operated in this state unless the SECURITY ALARM 12 system is : (a) EITHER installed by an A SECURITY alarm 13 system contractor licensed under this act ; (b) OR IS installed 14 by the owner or occupant of a residence in his OR HER residence. 15 (2) An alarm system installed in a commercial or public 16 building shall utilize equipment and methods of installation 17 equivalent to or exceeding minimum underwriter's laboratory, 18 American national standards institute or any other nationally 19 recognized testing laboratory requirements for the appropriate 20 installation. 21 (3) An alarm system installed in a residence shall utilize 22 equipment equivalent to or exceeding minimum applicable 23 underwriter's laboratory or American national standards institute 24 requirements for household security alarm systems. 25 (4) If the alarm system was installed prior to the effective 26 date of this act, it shall be inspected and certified by an alarm 06318'00 * 26 1 system contractor licensed under this act within 6 months after 2 the effective date of this act. 3 Enacting section 1. Sections 28 and 35 of the private 4 security guard act of 1968, 1968 PA 330, MCL 338.1078 and 5 338.1085, are repealed. 06318'00 * Final page. LBO