SB597: Bill Text

Under current law, a person must be licensed by the department of regulation and licensing (DORL) to operate a private detective agency, act as a private detective or private security person, or act as a supplier of private security personnel. DORL issues 2 kinds of licenses to cover these activities: 1) a private detective agency li cense; and 2) a private detective license. A person who owns or operates an agency is not required to have a private detective license to be eligible for a private detective agency license unless he or she is actually engaged in private detective work. Cur rent law prohibits DORL from issuing a private detective agency license or private detective license to a person who has been convicted of a felony within the 5-year peri od following the conviction if the circumstances of the conviction are substantially related to the licensed activity.

Current law also exempts the following private security persons from the pri vate detective agency and private detective licensing requirements: 1) a private secu rity person who is employed by the state, a municipality, a railroad company or a com mercial establishment, if the person operates exclusively on the employer's premises; 2) a person who is engaged in his or her duties as an employe of a licensed detective or security agency that is in the business of supplying uniformed security personnel to patrol exclusively on the private property of industrial plants, busi nesses, schools, colleges, hospitals, sports stadiums, exhibits or similar places, if he or she gets a private security permit from the chief of police or other designated law enforcement official of the municipality in which his or her employment activities take place. A private security permit may not be issued to a person who has been convicted of a felony in this state or elsewhere within the 5-year period following the conviction if the circumstances of the conviction are substantially related to the ac tivity allowed by the permit.

Finally, current law does not require locksmiths, persons providing armored transport services or persons selling, installing, servicing, monitoring or responding to private alarms, such as burglar alarms, to be licensed. However, current law does prohibit any person from intentionally hiring as a burglar alarm installer a person who has been convicted of a felony and who has not been pardoned. Current law also prohibits a person engaged in the business of installing burglar alarms from inten tionally allowing a person who has been convicted of a felony, and who has not been pardoned, to have access to individual burglar alarm installation records. Any per son who violates these prohibitions may be required to forfeit not more than $1,000.

This bill makes the following changes to the regulation of private detectives, private detective agencies, private security persons, armored transport services, locksmiths and private alarm contractors:

1. The bill requires any person who acts or solicits business as an armored transport service, a locksmith or a private alarm contractor to be licensed by DORL. To be eligible for a license, an armored transport service, locksmith or private alarm contractor must meet qualifications specified by DORL by rule and the qualifications specified in item 5, below. A person who violates the bill's requirement that armored transport services, locksmiths and private alarm contractors be licensed may be fined not less than $100 nor more than $500 and imprisoned for not less than 3 months nor more than 6 months. In addition, any licensed armored transport ser vice, locksmith or private alarm contractor who violates a law, engages in conduct reflecting adversely on his or her professional qualifications or makes a false state ment in applying for a license may have his or her license revoked, suspended or lim ited or may be subject to a reprimand by DORL.

2. The bill requires a person who owns or operates a private detective agency to be licensed as a private detective.

3. The bill retains the current exemption from licensing for a private security person who is employed by the state, a municipality, a railroad company or a commer cial establishment, but the bill changes the scope of the exemption by providing that it applies to the person whenever and wherever he or she is acting within the scope of his or her employment, and not, as under current law, only if he or she operates exclusively on the employer's premises.

4. The bill transfers the responsibility for issuing a private security permit from local law enforcement officials to DORL. The bill requires DORL to collect the same information and to maintain records of applications for and the issuance of private security permits. The bill provides that a permit issued by DORL authorizes the per mit holder to act as a private security person anywhere in this state while engaged in his or her duties as an employe of a licensed agency that supplies personnel to pa trol exclusively on specified types of private property. The bill also provides for DORL to set appropriate fees and to discipline a permit holder for just cause.

5. The bill prohibits DORL from issuing a private detective license, a private detective agency license, an armored transport service license, a locksmith license, a private alarm contractor license or a private security permit to a person who has been convicted of a felony in this state or elsewhere and who has not been pardoned, regardless of when the person was convicted or whether the circumstances of the con viction are substantially related to the licensed activity. In addition, the bill prohib its any licensed private detective, private detective agency, armored transport ser vice, locksmith or private alarm contractor from employing or being managed by a person who has been convicted of a felony and has not been pardoned, regardless of when the person was convicted or whether the circumstances of the conviction are substantially related to the person's employment. Finally, the bill prohibits the state, a municipality, a railroad company or a commercial establishment from em ploying as a private security person a person who has been convicted of a felony and has not been pardoned, regardless of when the person was convicted or whether the circumstances of the conviction are substantially related to the person's employ ment.

6. The bill requires a person who is licensed as a private detective, private de tective agency, armored transport company, locksmith or private alarm contractor and a person who has been issued a private security permit to notify DORL if he or she is convicted of a crime or found to have violated a state or local law which is pun ishable by a forfeiture.

7. The bill requires DORL to promulgate rules relating to the carrying of dan gerous weapons by private detectives, private security persons and persons licensed as or employed by armored transport services, private alarm contractors, locksmiths or private detective agencies. The rules promulgated by DORL under the bill must meet the minimum requirements specified under federal law relating to the armored car industry.

For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

SB597, s. 1 Section 1. 111.335 (1) (cg) of the statutes is created to read:

SB597,4,4 111.335 (1) (cg) 1. Notwithstanding s. 111.322, it is not employment discrimina tion because of conviction record to deny or refuse to renew a license or permit under s. 440.26 to a person who has been convicted of a felony and has not been pardoned.

SB597,4,8 2. Notwithstanding s. 111.322, it is not employment discrimination because of conviction record to refuse to employ a person who has been convicted of a felony and has not been pardoned in a business licensed under s. 440.26 or as an employe speci fied in s. 440.26 (5) (b).

SB597, s. 2 Section 2. 111.335 (1) (cm) of the statutes is repealed.

SB597, s. 3 Section 3. 114.103 (1) (c) of the statutes is amended to read:

SB597,4,12 114.103 (1) (c) "Private security person" has the meaning given in s. 440.26 (1m) (d), but does not include any law enforcement officer.

SB597, s. 4 Section 4. 134.59 (title), (1) and (3) of the statutes are repealed.

SB597, s. 5 Section 5. 134.59 (2) of the statutes is renumbered 440.26 (4g) (c) and amended to read:

SB597,5,2 440.26 (4g) (c) No person engaged in the business of installing burglar alarms private alarm contractor or employe of a private alarm contractor may intentionally allow a felon who has not been pardoned to have access to individual burglar alarm system installation records.

SB597, s. 6 Section 6. 440.08 (2) (a) 14d. of the statutes is created to read:

SB597,5,5 440.08 (2) (a) 14d. Armored transport service: September 1 of each even-num bered year; $41.

SB597, s. 7 Section 7. 440.08 (2) (a) 41m. of the statutes is created to read:

SB597,5,7 440.08 (2) (a) 41m. Locksmith: September 1 of each even-numbered year; $41.

SB597, s. 8 Section 8. 440.08 (2) (a) 60m. of the statutes is created to read:

SB597,5,10 440.08 (2) (a) 60m. Private alarm contractor: September 1 of each even-num bered year; $41.

SB597, s. 9 Section 9. 440.08 (2) (a) 63g. of the statutes is created to read:

SB597,5,13 440.08 (2) (a) 63g. Private security person: September 1 of each even-num bered year; $41.

SB597, s. 10 Section 10. Subchapter II (title) of chapter 440 [precedes 440.26] of the stat utes is amended to read:

SB597,5,16 CHAPTER 440

SB597,5,21 SUBCHAPTER II PRIVATE DETECTIVES, private security persons, armored transport services, locksmiths and private alarm contractors

SB597, s. 11 Section 11. 440.26 (1) of the statutes is renumbered 440.26 (1) (intro.) and amended to read:

SB597,5,25 440.26 (1) License or permit required. (intro.) No person may advertise do any of the following unless he or she has a license or permit issued under this section:

SB597,6,2 (a) Advertise, solicit or engage in the business of operating a private detective agency, or act.

SB597,6,4 (b) Act as a private detective, investigator, special investigator or private secu rity person, or act.

SB597,6,5 (c) Act as a supplier of private security personnel , or solicit.

SB597,6,7 (d) Solicit business or perform any other type of service or investigation as a private detective or private security person, or receive .

SB597,6,12 (g) Receive any fees or compensation for acting as such, without first filing an application and the necessary bond or liability policy with the department and being issued a license or a permit under this section. No person may be so licensed unless the person is over 18 years of age any person, engaging in any business or performing any service specified in pars. (a) to (f).

SB597, s. 12 Section 12. 440.26 (1) (e), (em) and (f) of the statutes are created to read:

SB597,6,15 440.26 (1) (e) Act as an armored transport service or solicit business or perform any type of service as an armored transport service.

SB597,6,17 (em) Act as a locksmith or solicit business or perform any type of service as a locksmith.

SB597,6,19 (f) Act as a private alarm contractor or solicit business or perform any type of service as a private alarm contractor.

SB597, s. 13 Section 13. 440.26 (1m) of the statutes is renumbered 440.26 (1m) (intro.) and amended to read:

SB597,6,22 440.26 (1m) (title) Definition Definitions. (intro.) In this section, "private:

SB597,6,24 (d) "Private security person" or "private security personnel" means any private police, guard or any person who stands watch for security purposes.

SB597, s. 14 Section 14. 440.26 (1m) (a), (b), (br) and (c) of the statutes are created to read:

SB597,7,5 440.26 (1m) (a) "Armored transport service" means a person engaged in the business of transporting valuables, including currency, documents, papers, maps, negotiable instruments, securities, jewelry or works of art in a manner that provides or that is primarily intended or designed to provide a high degree of security to the valuables being transported.

SB597,7,9 (b) "Burglar alarm system" means a system, including an electronic access sys tem or other electronic security system, that activates an audible, visible or remote signal that requires a response and that is designed for the prevention or detection of intrusion, entry, theft, vandalism or trespass.

SB597,7,14 (br) "Locksmith" means a person engaged in the business of servicing, instal ling, receding, recombinating, manipulating, bypassing or originating first keys for any mechanical or electronic locking device that is used to control access to or exit from premises, vehicles, vaults, safe deposit boxes, automatic teller machines or oth er areas to which access is intended to be limited.

SB597,7,21 (c) "Private alarm contractor" means a person engaged in the business of sel ling, installing, monitoring, maintaining, altering, repairing, replacing, servicing or responding to security alarm systems, including burglar alarm systems, that are installed at a premises protected on an emergency basis. "Private alarm contractor" does not include a person engaged solely in the manufacture or sale of security alarm systems at his or her place of business or a person engaged solely in supplying private security personnel to patrol a protected premises.

SB597, s. 15 Section 15. 440.26 (2) (a) (intro.) of the statutes is repealed and recreated to read:

SB597,7,25 440.26 (2) (a) Types of licenses. (intro.) The department may do any of the fol lowing:

SB597, s. 16 Section 16. 440.26 (2) (a) 1. of the statutes is amended to read:

SB597,8,7 440.26 (2) (a) 1. A Issue a private detective agency license may be issued to an individual, partnership, limited liability company or corporation . An that meets the qualifications specified under par. (c) if the individual, the members of a the part nership or limited liability company and or the officers or directors of a the corpora tion, having have a private detective agency license, are not required to have a pri vate detective license unless actually engaged in the work of a private detective.

SB597, s. 17 Section 17. 440.26 (2) (a) 2. of the statutes is amended to read:

SB597,8,11 440.26 (2) (a) 2. A Issue a private detective license may only be issued to an individual who meets the qualifications specified under par. (c) if the individual is an owner, coowner or employe of a licensed private detective agency.

SB597, s. 18 Section 18. 440.26 (2) (a) 3., 3m. and 4. of the statutes are created to read:

SB597,8,15 440.26 (2) (a) 3. Issue an armored transport service license to an individual, partnership, limited liability company or corporation that meets the qualifications specified under par. (c).

SB597,8,17 3m. Issue a locksmith license to an individual, partnership, limited liability company or corporation that meets the qualifications specified under par. (c).

SB597,8,20 4. Issue a private alarm contractor license to an individual, partnership, lim ited liability company or corporation that meets the qualifications specified under par. (c).

SB597, s. 19 Section 19. 440.26 (2) (c) of the statutes is renumbered 440.26 (2) (c) 1. and amended to read:

SB597,9,2 440.26 (2) (c) 1. The Subject to subds. 2. and 3., the department shall prescribe, by rule, such qualifications as it deems appropriate, with due regard to investigative experience, special professional education and training and other factors bearing on professional competence. Subject to ss. 111.321, 111.322 and 111.335, no person

SB597,9,5 2. An individual who has been convicted in this state or elsewhere of a felony and who has not been pardoned is not eligible for a license for 5 years thereafter un der this section.

SB597,9,9 4. The department, in considering applicants for license, shall seek the advice of the appropriate local law enforcement agency or governmental official, and con duct such further investigation, as it deems proper to determine the competence of the applicant.

SB597, s. 20 Section 20. 440.26 (2) (c) 3. of the statutes is created to read:

SB597,9,12 440.26 (2) (c) 3. The department may not issue a license under this section to an individual unless the individual is over 18 years of age.

SB597, s. 21 Section 21. 440.26 (3m) of the statutes is created to read:

SB597,9,18 440.26 (3m) Rules concerning dangerous weapons. The department shall promulgate rules relating to the carrying of dangerous weapons by a person who holds a license or permit issued under this section or who is employed by a person licensed under this section. The rules shall meet the minimum requirements speci fied in 15 USC 5902 (b).

SB597, s. 22 Section 22. 440.26 (4) of the statutes is amended to read:

SB597,9,25 440.26 (4) Bonds or liability policies required. No license may be issued un der this section until a bond or liability policy, approved by the department, in the amount of $10,000 if the applicant for the license is an agency a private detective agency, an armored transport service, a locksmith or a private alarm contractor and includes all principals, partners, members or corporate officers, or in the amount of $2,000 if the applicant is a private detective, has been executed and filed with the department. Such bonds or liability policies shall be furnished by an insurer autho rized to do a surety business in this state in a form approved by the department.

SB597, s. 23 Section 23. 440.26 (4g) of the statutes is created to read:

SB597,10,6 440.26 (4g) Restrictions concerning unpardoned felons. (a) No person who holds a license issued under this section may employ a person who has been convicted in this state or elsewhere of a felony and who has not been pardoned.

SB597,10,9 (am) No partnership, limited liability company or corporation may have its business in this state managed by a person who has been convicted in this state or elsewhere of a felony and who has not been pardoned.

SB597,10,11 (b) No person may employ a person who has been convicted in this state or else where of a felony and has not been pardoned as an employe specified in sub. (5) (b).

SB597, s. 24 Section 24. 440.26 (4r) of the statutes is created to read:

SB597,10,15 440.26 (4r) Reporting violations of law. (a) Definition. In this subsection, "violation" means a violation of any state or local law that is punishable by a forfei ture.

SB597,10,24 (b) Reporting requirement. A person who holds a license or permit issued under this section and who is convicted of a felony or misdemeanor or is found to have com mitted a violation shall notify the department in writing of the date, place and nature of the conviction or finding within 30 days after the entry of the judgment of convic tion or the judgment finding that the person committed a violation. The written no tice to the department under this paragraph shall include a copy of the complaint, citation or other information that describes the nature of the crime or violation and a copy of the judgment of conviction or the judgment finding that the person com mitted a violation.

SB597, s. 25 Section 25. 440.26 (5) (title) of the statutes is amended to read:

SB597,11,1 440.26 (5) (title) Exemptions ; private security permit.

SB597, s. 26 Section 26. 440.26 (5) of the statutes is renumbered 440.26 (5) (b) and amended to read:

SB597,11,10 440.26 (5) (b) This Subject to sub. (4g) (b), the license requirements of this sec tion does do not apply to any person employed, directly or indirectly by the state or by a municipality, as defined in s. 345.05 (1) (c), or to any employe of a railroad compa ny under s. 192.47, or employes to any employe of a commercial establishments, who operate exclusively on their establishment, while the person is acting within the scope of his or her employment and whether or not he or she is on the employer's premises.

SB597,11,17 (c) An employe of any licensed agency that is licensed as a private detective agency under this section and that is doing business in this state as a supplier of uni formed private security personnel to patrol exclusively on the private property of in dustrial plants, business establishments, schools, colleges, hospitals, sports sta diums, exhibits and similar activities are is exempt from the license requirements of this section subs. (1m) to (4) while engaged in such employment, if the person all of the following apply:

SB597,11,18 1. The employe obtains a private security permit under this section sub. (5m).

SB597,12,2 2. The private detective agency shall furnish upon request furnishes an up-to- date written record of its employes to the chief of police or other local law enforcement official designated by the department for the municipality wherein such activities take place. Such. The record shall include the name, residence address, date of birth and a physical description of each such employe together with a recent photograph and 2 fingerprint cards bearing a complete set of fingerprints of the each employe, and, subject to ss. 111.321, 111.322 and 111.335, no person shall be eligible for a pri vate security permit who has been convicted in this state or elsewhere of a felony within 5 years preceding application.

SB597,12,11 3. The private detective agency shall notify notifies the chief of police or other designated official department in writing within 5 days of any change of the resi dence address or of the termination of employment of such person. A private security permit shall be issued or denied within 48 hours of application by the chief of police or other designated official. The permit shall remain valid unless for just cause re voked by the chief of police or other designated official issuing the permit for just cause. Upon denial or revocation of a permit, appeal may be taken to the department. The chief of police or other designated official may charge the agency a fee of not more than $10 for issuing the permit in the information under subd. 2.

SB597, s. 27 Section 27. 440.26 (5m) of the statutes is created to read: