47 | | - | control, or cameras cameras, analytic capturing devices, systems providing 34 General Assembly Of North Carolina Session 2025 |
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48 | | - | Page 2 House Bill 897-First Edition |
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49 | | - | intelligence or other imaging devices used to detect or observe burglary, 1 |
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50 | | - | breaking or entering, intrusion, shoplifting, pilferage, theft, or other 2 |
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51 | | - | unauthorized or illegal activity. This provision shall not apply to a locking 3 |
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52 | | - | device that records entry and exit data and does not transmit the data in real 4 |
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53 | | - | time to an on-site or off-site monitoring location, provided the installer is duly 5 |
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54 | | - | licensed by the North Carolina Locksmith Licensing Board. 6 |
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55 | | - | … 7 |
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56 | | - | (c) Qualifying Agent. – A business entity that engages in the alarm systems business is 8 |
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57 | | - | required to be licensed under this Chapter is subject to all of the requirements listed in this 9 |
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58 | | - | subsection with respect to a qualifying agent. For purposes of this Chapter, a "qualifying agent" 10 |
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59 | | - | is an individual who is a full-time employee in a management position who is licensed under this 11 |
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60 | | - | Chapter and whose name and address have been registered with the Board. The requirements are: 12 |
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61 | | - | (1) The business entity shall employ a designated qualifying agent who meets the 13 |
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62 | | - | requirements for a license issued under and who is, in fact, licensed under the 14 |
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63 | | - | provisions of this Chapter, unless otherwise approved by the Board. Service 15 |
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64 | | - | upon the qualifying agent appointed by the business entity of any process, 16 |
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65 | | - | notice or demand required by or permitted by law to be served upon the 17 |
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66 | | - | business entity by the Alarm Security Systems Licensing Board shall be 18 |
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67 | | - | binding upon the licensed business entity. Nothing herein contained shall limit 19 |
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68 | | - | or affect the right to serve any process, notice or demand required or permitted 20 |
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69 | | - | by law to be served upon a business entity in any other manner or hereafter 21 |
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70 | | - | permitted by law. 22 |
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71 | | - | … 23 |
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72 | | - | (3) In the event that the qualifying agent upon whom the business entity relies in 24 |
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73 | | - | order to do business ceases to perform his duties as qualifying agent, the 25 |
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74 | | - | business entity shall notify the board in writing by letter or using the Board's 26 |
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75 | | - | online form within 10 working days. The business entity must obtain a 27 |
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76 | | - | substitute qualifying agent within 90 days after the original qualifying agent 28 |
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77 | | - | ceases to serve as qualifying agent. The Director, in his or her discretion, may 29 |
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78 | | - | extend the 90-day period for good cause by an additional 30 days upon a 30 |
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79 | | - | written request of an officer of the company. 31 |
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80 | | - | (4) The license certificate shall list the name of the qualifying agent. No licensee 32 |
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81 | | - | person shall serve as the qualifying agent for more than one business entity 33 |
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82 | | - | without the prior approval of the Board. 34 |
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83 | | - | … 35 |
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84 | | - | (6) The qualifying agent shall be responsible for maintaining a current address 36 |
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85 | | - | and other contact information with the Board. 37 |
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86 | | - | (d) Criminal Record Check. Minimum Qualifications for Security Systems License. – An 38 |
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87 | | - | applicant must for qualifying agent shall meet all of the following requirements and qualifications 39 |
---|
88 | | - | determined by a background investigation conducted by the Board in accordance with 40 |
---|
89 | | - | G.S. 74D-2.1 and upon receipt of an application:qualifications: 41 |
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90 | | - | (1) The applicant is at least 18 years of age. 42 |
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91 | | - | (2) The applicant is of good moral character and temperate habits. The following 43 |
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92 | | - | shall be prima facie evidence that the applicant does not have good moral 44 |
---|
93 | | - | character or temperate habits: conviction by any local, State, federal, or 45 |
---|
94 | | - | military court of any crime involving the illegal use, carrying, or possession 46 |
---|
95 | | - | of a firearm; conviction of any crime involving the illegal use, possession, 47 |
---|
96 | | - | sale, manufacture, distribution or transportation of a controlled substance, 48 |
---|
97 | | - | drug, narcotic, or alcoholic beverages; conviction of a crime involving 49 |
---|
98 | | - | felonious assault or an act of violence; conviction of a crime involving 50 |
---|
99 | | - | unlawful breaking or entering, burglary, larceny, or of any offense involving 51 General Assembly Of North Carolina Session 2025 |
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100 | | - | House Bill 897-First Edition Page 3 |
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101 | | - | moral turpitude; or a history of addiction to alcohol or a narcotic drug; 1 |
---|
102 | | - | provided that, for purposes of this subsection, "conviction" means and 2 |
---|
103 | | - | includes the entry of a plea of guilty, plea of no contest, or a verdict rendered 3 |
---|
104 | | - | in open court by a judge or jury.jury, including a prayer for judgment 4 |
---|
105 | | - | continued, adjudication withheld, or equivalent. 5 |
---|
106 | | - | (3) The applicant has the necessary training, qualifications and experience to be 6 |
---|
107 | | - | licensed.licensed, or the applicant has successfully completed or kept current 7 |
---|
108 | | - | a Certified Alarm Technician Level I course offered by the Electronic Security 8 |
---|
109 | | - | Association or equivalent course approved by the Board. 9 |
---|
110 | | - | (e) Examination. – The Board may require the applicant to demonstrate the applicant's 10 |
---|
111 | | - | qualifications by examination. 11 |
---|
| 46 | + | control, or cameras cameras, analytic capturing devices, systems providing 34 |
---|
| 47 | + | intelligence or other imaging devices used to detect or observe burglary, 35 |
---|
| 48 | + | breaking or entering, intrusion, shoplifting, pilferage, theft, or other 36 |
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| 49 | + | H.B. 897 |
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| 50 | + | Apr 10, 2025 |
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| 51 | + | HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025 |
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| 52 | + | Page 2 DRH10407-NNf-61 |
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| 53 | + | unauthorized or illegal activity. This provision shall not apply to a locking 1 |
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| 54 | + | device that records entry and exit data and does not transmit the data in real 2 |
---|
| 55 | + | time to an on-site or off-site monitoring location, provided the installer is duly 3 |
---|
| 56 | + | licensed by the North Carolina Locksmith Licensing Board. 4 |
---|
| 57 | + | … 5 |
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| 58 | + | (c) Qualifying Agent. – A business entity that engages in the alarm systems business is 6 |
---|
| 59 | + | required to be licensed under this Chapter is subject to all of the requirements listed in this 7 |
---|
| 60 | + | subsection with respect to a qualifying agent. For purposes of this Chapter, a "qualifying agent" 8 |
---|
| 61 | + | is an individual who is a full-time employee in a management position who is licensed under this 9 |
---|
| 62 | + | Chapter and whose name and address have been registered with the Board. The requirements are: 10 |
---|
| 63 | + | (1) The business entity shall employ a designated qualifying agent who meets the 11 |
---|
| 64 | + | requirements for a license issued under and who is, in fact, licensed under the 12 |
---|
| 65 | + | provisions of this Chapter, unless otherwise approved by the Board. Service 13 |
---|
| 66 | + | upon the qualifying agent appointed by the business entity of any process, 14 |
---|
| 67 | + | notice or demand required by or permitted by law to be served upon the 15 |
---|
| 68 | + | business entity by the Alarm Security Systems Licensing Board shall be 16 |
---|
| 69 | + | binding upon the licensed business entity. Nothing herein contained shall limit 17 |
---|
| 70 | + | or affect the right to serve any process, notice or demand required or permitted 18 |
---|
| 71 | + | by law to be served upon a business entity in any other manner or hereafter 19 |
---|
| 72 | + | permitted by law. 20 |
---|
| 73 | + | … 21 |
---|
| 74 | + | (3) In the event that the qualifying agent upon whom the business entity relies in 22 |
---|
| 75 | + | order to do business ceases to perform his duties as qualifying agent, the 23 |
---|
| 76 | + | business entity shall notify the board in writing by letter or using the Board's 24 |
---|
| 77 | + | online form within 10 working days. The business entity must obtain a 25 |
---|
| 78 | + | substitute qualifying agent within 90 days after the original qualifying agent 26 |
---|
| 79 | + | ceases to serve as qualifying agent. The Director, in his or her discretion, may 27 |
---|
| 80 | + | extend the 90-day period for good cause by an additional 30 days upon a 28 |
---|
| 81 | + | written request of an officer of the company. 29 |
---|
| 82 | + | (4) The license certificate shall list the name of the qualifying agent. No licensee 30 |
---|
| 83 | + | person shall serve as the qualifying agent for more than one business entity 31 |
---|
| 84 | + | without the prior approval of the Board. 32 |
---|
| 85 | + | … 33 |
---|
| 86 | + | (6) The qualifying agent shall be responsible for maintaining a current address 34 |
---|
| 87 | + | and other contact information with the Board. 35 |
---|
| 88 | + | (d) Criminal Record Check. Minimum Qualifications for Security Systems License. – An 36 |
---|
| 89 | + | applicant must for qualifying agent shall meet all of the following requirements and qualifications 37 |
---|
| 90 | + | determined by a background investigation conducted by the Board in accordance with 38 |
---|
| 91 | + | G.S. 74D-2.1 and upon receipt of an application:qualifications: 39 |
---|
| 92 | + | (1) The applicant is at least 18 years of age. 40 |
---|
| 93 | + | (2) The applicant is of good moral character and temperate habits. The following 41 |
---|
| 94 | + | shall be prima facie evidence that the applicant does not have good moral 42 |
---|
| 95 | + | character or temperate habits: conviction by any local, State, federal, or 43 |
---|
| 96 | + | military court of any crime involving the illegal use, carrying, or possession 44 |
---|
| 97 | + | of a firearm; conviction of any crime involving the illegal use, possession, 45 |
---|
| 98 | + | sale, manufacture, distribution or transportation of a controlled substance, 46 |
---|
| 99 | + | drug, narcotic, or alcoholic beverages; conviction of a crime involving 47 |
---|
| 100 | + | felonious assault or an act of violence; conviction of a crime involving 48 |
---|
| 101 | + | unlawful breaking or entering, burglary, larceny, or of any offense involving 49 |
---|
| 102 | + | moral turpitude; or a history of addiction to alcohol or a narcotic drug; 50 |
---|
| 103 | + | provided that, for purposes of this subsection, "conviction" means and 51 General Assembly Of North Carolina Session 2025 |
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| 104 | + | DRH10407-NNf-61 Page 3 |
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| 105 | + | includes the entry of a plea of guilty, plea of no contest, or a verdict rendered 1 |
---|
| 106 | + | in open court by a judge or jury.jury, including a prayer for judgment 2 |
---|
| 107 | + | continued, adjudication withheld, or equivalent. 3 |
---|
| 108 | + | (3) The applicant has the necessary training, qualifications and experience to be 4 |
---|
| 109 | + | licensed.licensed, or the applicant has successfully completed or kept current 5 |
---|
| 110 | + | a Certified Alarm Technician Level I course offered by the Electronic Security 6 |
---|
| 111 | + | Association or equivalent course approved by the Board. 7 |
---|
| 112 | + | (e) Examination. – The Board may require the applicant to demonstrate the applicant's 8 |
---|
| 113 | + | qualifications by examination. 9 |
---|
| 114 | + | … 10 |
---|
| 115 | + | (g) An alarm monitoring company located in another state and licensed by that state 11 |
---|
| 116 | + | which demonstrates to the Board's satisfaction that it does not conduct any business through a 12 |
---|
| 117 | + | personal representative present in this State, but which solicits and conducts business solely 13 |
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| 118 | + | through interstate communication facilities, such as telephone, the internet, and the United States 14 |
---|
| 119 | + | Postal Service, upon receipt by the Board of a certificate of good standing from the state of 15 |
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| 120 | + | licensure is not required to register employees pursuant to G.S. 74D-8. Out-of-state monitoring 16 |
---|
| 121 | + | companies not licensed in any state must be licensed by the Board and must register employees 17 |
---|
| 122 | + | pursuant to G.S. 74D-8. 18 |
---|
| 123 | + | (h) A security guard and patrol company licensed under Chapter 74C of the General 19 |
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| 124 | + | Statutes that remotely monitors access control, cameras, analytic capturing devices, systems 20 |
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| 125 | + | providing intelligence, or other imaging devices shall obtain a separate limited monitoring license 21 |
---|
| 126 | + | and may utilize the same qualifying agent for the limited license as utilized for its security guard 22 |
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| 127 | + | and patrol license and shall not be required to meet the requirements of G.S. 74D-2(d)(3) and (4) 23 |
---|
| 128 | + | or hold a low voltage electrical license. The qualifying agent must successfully complete a central 24 |
---|
| 129 | + | station monitoring operator course approved by the Board. 25 |
---|
| 130 | + | "§ 74D-2.1. Criminal background checks. 26 |
---|
| 131 | + | (a) Authorization. – Upon receipt of an application for a license or registration, the Board 27 |
---|
| 132 | + | shall conduct a background investigation to determine whether the applicant meets the 28 |
---|
| 133 | + | requirements for a license or registration as set out in G.S. 74D-2(d). The Department State 29 |
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| 134 | + | Bureau of Public Safety Investigation may provide a criminal record check to the Board for a 30 |
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| 135 | + | person who has applied for a new or renewal license or registration through the Board. The Board 31 |
---|
| 136 | + | shall provide to the Department of Public Safety, State Bureau of Investigation, along with the 32 |
---|
| 137 | + | request, the fingerprints of a new applicant, and the Department of Public Safety State Bureau of 33 |
---|
| 138 | + | Investigation shall provide a criminal record check based upon the applicant's fingerprints. The 34 |
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| 139 | + | Board may request a criminal record check from the Department of Public Safety State Bureau 35 |
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| 140 | + | of Investigation for a renewal applicant based upon the applicant's fingerprints in accordance 36 |
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| 141 | + | with policy adopted by the Board. The Board shall provide any additional information required 37 |
---|
| 142 | + | by the Department of Public Safety State Bureau of Investigation and a form signed by the 38 |
---|
| 143 | + | applicant consenting to the check of the criminal record and to the use of the fingerprints and 39 |
---|
| 144 | + | other identifying information required by the State or national repositories. The applicant's 40 |
---|
| 145 | + | fingerprints shall be forwarded to the State Bureau of Investigation for a search of the State's 41 |
---|
| 146 | + | criminal history record file, and the State Bureau of Investigation shall forward a set of the 42 |
---|
| 147 | + | fingerprints to the Federal Bureau of Investigation for a national criminal history check. The 43 |
---|
| 148 | + | Department of Public Safety State Bureau of Investigation may charge each applicant a fee to be 44 |
---|
| 149 | + | collected by the Board and transmitted to the State Bureau of Investigation for conducting the 45 |
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| 150 | + | checks of criminal history records authorized by this subsection. 46 |
---|
| 151 | + | The Board may require a new or renewal applicant to obtain a criminal record report from 47 |
---|
| 152 | + | one or more reporting services designated by the Board to provide criminal record reports. 48 |
---|
| 153 | + | Applicants are required to pay the designated reporting service for the cost of these reports. 49 |
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| 154 | + | (b) Confidentiality. – The Except as necessary to support the denial of an application or 50 |
---|
| 155 | + | a disciplinary matter in a contested case, the Board shall keep all information obtained pursuant 51 General Assembly Of North Carolina Session 2025 |
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| 156 | + | Page 4 DRH10407-NNf-61 |
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| 157 | + | to this section confidential in accordance with applicable State law and federal guidelines, and 1 |
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| 158 | + | the information shall not be a public record under Chapter 132 of the General Statutes. 2 |
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| 159 | + | "§ 74D-3. Exemptions. 3 |
---|
| 160 | + | The provisions of this Chapter shall not apply to:to the following: 4 |
---|
| 161 | + | (1) A person, firm, association or corporation that sells or manufactures alarm 5 |
---|
| 162 | + | security systems, unless the person, firm, association or corporation makes 6 |
---|
| 163 | + | personal solicitations at a residence or business to advise, design, or consult 7 |
---|
| 164 | + | on specific types and specific locations of alarm security system devices, 8 |
---|
| 165 | + | installs, services, monitors, or responds to alarm security systems at or from a 9 |
---|
| 166 | + | protected premises or a premises to be protected and thereby obtains 10 |
---|
| 167 | + | knowledge of specific application or location of the alarm security system. A 11 |
---|
| 168 | + | person licensed under this Chapter may hire a consultant to troubleshoot a 12 |
---|
| 169 | + | location or installation for a period of time not to exceed 48 hours in a 13 |
---|
| 170 | + | one-month period if the licensee submits a report to the Board within 30 days 14 |
---|
| 171 | + | from the date of the consultation designating the consultant as a temporary 15 |
---|
| 172 | + | consultant; 16 |
---|
| 173 | + | (2) Installation, servicing or responding to fire alarm systems or any alarm device 17 |
---|
| 174 | + | which is installed in a motor vehicle, aircraft or boat;boat. 18 |
---|
| 175 | + | (3) Installation or service of an alarm electronic security system on property 19 |
---|
| 176 | + | owned by or leased to the installer;installer. 20 |
---|
| 177 | + | (4) An alarm monitoring company located in another state which demonstrates to 21 |
---|
| 178 | + | the Board's satisfaction that it does not conduct any business through a 22 |
---|
| 179 | + | personal representative present in this State but which solicits and conducts 23 |
---|
| 180 | + | business solely through interstate communication facilities such as telephone 24 |
---|
| 181 | + | messages, earth satellite relay stations and the United States postal service; 25 |
---|
| 182 | + | and 26 |
---|
| 183 | + | (5) A person or business providing alarm systems services to a State agency or 27 |
---|
| 184 | + | local government if that person or business has been providing those services 28 |
---|
| 185 | + | to the State agency or local government for more than five years prior to the 29 |
---|
| 186 | + | effective date of this Chapter, and the State agency or local government joins 30 |
---|
| 187 | + | with the person or business in requesting the application of this exemption. 31 |
---|
| 188 | + | (6) Installation or service of a locking device that records entry and exit data and 32 |
---|
| 189 | + | does not transmit the data in real time to an on-site or off-site monitoring 33 |
---|
| 190 | + | location, provided the installer is licensed by the North Carolina Locksmith 34 |
---|
| 191 | + | Licensing Board. 35 |
---|
| 192 | + | (7) An entity through which a customer accesses marketing or advertising 36 |
---|
| 193 | + | material or installation instructions for a security system. 37 |
---|
| 194 | + | (b) A person licensed under this Chapter may utilize a consultant or manufacturer's 38 |
---|
| 195 | + | representative to troubleshoot a location or installation if accompanied by the licensee and the 39 |
---|
| 196 | + | licensee submits a report to the Board within 30 days from the date of the consultation designating 40 |
---|
| 197 | + | the consultant as a temporary consultant. 41 |
---|
| 198 | + | "§ 74D-4. Alarm Security Systems Licensing Board. 42 |
---|
| 199 | + | (a) The Alarm Security Systems Licensing Board is hereby established. 43 |
---|
| 200 | + | (b) The Board shall consist of seven members: the Secretary of Public Safety or his or 44 |
---|
| 201 | + | her designee; two persons appointed by the Governor, one of whom shall be licensed under this 45 |
---|
| 202 | + | Chapter and one of whom shall be a public member; two persons appointed by the General 46 |
---|
| 203 | + | Assembly upon the recommendation of the President Pro Tempore of the Senate in accordance 47 |
---|
| 204 | + | with G.S. 120-121, one of whom shall be licensed under this Chapter and one of whom shall be 48 |
---|
| 205 | + | a public member; and two persons appointed by the General Assembly upon the recommendation 49 |
---|
| 206 | + | of the Speaker of the House of Representatives in accordance with G.S. 120-121, one of whom 50 |
---|
| 207 | + | shall be licensed under this Chapter and one of whom shall be a public member. 51 General Assembly Of North Carolina Session 2025 |
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| 208 | + | DRH10407-NNf-61 Page 5 |
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| 209 | + | (c) Each member shall be appointed for a term of three years and shall serve until a 1 |
---|
| 210 | + | successor is installed. No With the exception of the Secretary or his or her designee, no member 2 |
---|
| 211 | + | shall serve more than two complete three-year consecutive terms. The term of each member, 3 |
---|
| 212 | + | other than the Attorney General or his designee, who is serving on August 7, 1989, shall terminate 4 |
---|
| 213 | + | on June 30, 1989. Of the appointments made by the General Assembly upon the recommendation 5 |
---|
| 214 | + | of the President of the Senate to begin on July 1, 1989, one member shall be for a term of one 6 |
---|
| 215 | + | year and one member shall be for a term of three years. Of the appointments made by the General 7 |
---|
| 216 | + | Assembly upon the recommendation of the Speaker of the House of Representatives, one member 8 |
---|
| 217 | + | shall be appointed for a term of two years and one member shall be appointed for a term of three 9 |
---|
| 218 | + | years. Thereafter all terms shall be for three years. 10 |
---|
| 219 | + | … 11 |
---|
| 220 | + | (e) Board members who are also State officers or employees shall receive no per diem 12 |
---|
| 221 | + | compensation for serving on the Board, and shall only receive the travel allowances set forth in 13 |
---|
| 222 | + | G.S. 138-6. All other Board members shall receive reimbursement in accordance with 14 |
---|
| 223 | + | G.S. 93B-5(b) and, notwithstanding G.S. 93B-5(a), shall receive as compensation for their 15 |
---|
| 224 | + | services per diem not to exceed one hundred dollars ($100.00) for each day during which they 16 |
---|
| 225 | + | are engaged in the official business of the Board. The Board shall set the travel allowance and 17 |
---|
| 226 | + | per diem compensation of Board members who are not also State officers or employees. 18 |
---|
| 227 | + | (f) The Board shall elect a chairman chair and a vice-chairman vice-chair from its 19 |
---|
| 228 | + | membership by majority vote at the first meeting of its fiscal year. The vice-chairman vice-chair 20 |
---|
| 229 | + | shall serve as chairman chair of the screening committee and shall also serve as chairman chair 21 |
---|
| 230 | + | in the chairman's chair's absence. At no time shall both the positions of chairman chair and 22 |
---|
| 231 | + | vice-chairman vice-chair be held by either an industry representative or a nonindustry 23 |
---|
| 232 | + | representative. 24 |
---|
| 233 | + | (g) The Board shall meet at the call of the chairman chair or a majority of the members 25 |
---|
| 234 | + | of the Board. The Board shall adopt rules governing the call and conduct of its meetings. A 26 |
---|
| 235 | + | majority of the current Board membership constitutes a quorum. 27 |
---|
| 236 | + | "§ 74D-5. Powers of the Board. 28 |
---|
| 237 | + | (a) In addition to the powers conferred upon the Board elsewhere in this Chapter, the 29 |
---|
| 238 | + | Board shall have the power to:to do the following: 30 |
---|
| 239 | + | (1) Promulgate rules necessary to carry out and administer the provisions of this 31 |
---|
| 240 | + | Chapter including the authority to require the submission of reports and 32 |
---|
| 241 | + | information by licensees under this Chapter;Chapter. 33 |
---|
| 242 | + | (2) Determine minimum qualifications and establish minimum education, 34 |
---|
| 243 | + | experience, and training standards for applicants and licensees applicants, 35 |
---|
| 244 | + | licensees, and registrants under this Chapter;Chapter. 36 |
---|
| 245 | + | (3) Conduct investigations regarding alleged violations and make evaluations as 37 |
---|
| 246 | + | may be necessary to determine if unlicensed individuals or entities are in 38 |
---|
| 247 | + | violation of this Chapter and licensees and registrants under this Chapter are 39 |
---|
| 248 | + | complying with the provisions of this Chapter;Chapter. The Board shall issue 40 |
---|
| 249 | + | cease and desist orders, in writing, for violations of this Chapter with the 41 |
---|
| 250 | + | concurrence of the Secretary of Public Safety. 42 |
---|
| 251 | + | (4) Adopt and amend bylaws, consistent with law, for its internal management 43 |
---|
| 252 | + | and control;control. 44 |
---|
| 253 | + | (5) Investigate and approve individual applicants to be licensed or registered 45 |
---|
| 254 | + | according to this Chapter;Chapter. 46 |
---|
| 255 | + | (6) Deny, suspend, or revoke any license issued or to be issued under this Chapter 47 |
---|
| 256 | + | to any applicant or licensee applicant, licensee, or registrant who fails to 48 |
---|
| 257 | + | satisfy the requirements of this Chapter or the rules established by the Board. 49 |
---|
| 258 | + | The denial, suspension, or revocation of such license or registration shall be 50 General Assembly Of North Carolina Session 2025 |
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| 259 | + | Page 6 DRH10407-NNf-61 |
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| 260 | + | in accordance with Chapter 150B of this General Statutes of North 1 |
---|
| 261 | + | Carolina;Carolina. 2 |
---|
| 262 | + | (7) Issue subpoenas to compel the attendance of witnesses and the production of 3 |
---|
| 263 | + | pertinent books, accounts, records, and documents. The district court shall 4 |
---|
| 264 | + | have the power to impose punishment pursuant to G.S. 5A-21 et seq. for acts 5 |
---|
| 265 | + | occurring in matters pending before the Board which would constitute civil 6 |
---|
| 266 | + | contempt if the acts occurred in an action pending in court; andcourt. 7 |
---|
| 267 | + | (8) Contract for services as necessary to carry out the functions of the Board. 8 |
---|
| 268 | + | (9) Acquire, hold, rent, encumber, alienate, and otherwise deal with real property 9 |
---|
| 269 | + | in the same manner as a private person or corporation, subject only to approval 10 |
---|
| 270 | + | of the Governor and the Council of State. Collateral pledged by the Board for 11 |
---|
| 271 | + | an encumbrance is limited to the assets, income, and revenues of the Board. 12 |
---|
| 272 | + | (b) The chairman chair of the Board or his or her representative designated to be a hearing 13 |
---|
| 273 | + | officer may conduct any hearing called by the board Board for the purpose of denial, suspension, 14 |
---|
| 274 | + | or revocation of a license or registration under this Chapter. 15 |
---|
| 275 | + | (c) The regulation of security system businesses shall be exclusive to the Board; however, 16 |
---|
| 276 | + | any city or county shall be permitted to require a security business operating within its 17 |
---|
| 277 | + | jurisdiction to register and to supply information regarding its license and may adopt an ordinance 18 |
---|
| 278 | + | to require users of electronic security systems to obtain revocable permits when alarm usage 19 |
---|
| 279 | + | involves automatic signal transmission to a law enforcement agency. 20 |
---|
| 280 | + | "§ 74D-5.1. Position of Director created. 21 |
---|
| 281 | + | The position of Director of the Alarm Security Systems Licensing Board is hereby created 22 |
---|
| 282 | + | within the Department of Public Safety. The Secretary of Public Safety shall appoint a person to 23 |
---|
| 283 | + | fill this full-time position. The Director's duties shall be to administer the directives contained in 24 |
---|
| 284 | + | this Chapter and the rules promulgated adopted by the Board to implement this Chapter and to 25 |
---|
| 285 | + | carry out the administrative duties incident to the functioning of the Board in order to actively 26 |
---|
| 286 | + | police the alarm systems security systems industry to insure ensure compliance with the law in 27 |
---|
| 287 | + | all aspects. The Director may issue a temporary grant or denial of a request for registration subject 28 |
---|
| 288 | + | to final action by the Board at its next regularly scheduled meeting. 29 |
---|
| 289 | + | "§ 74D-5.2. Investigative powers of the Secretary of Public Safety. 30 |
---|
| 290 | + | The Secretary of Public Safety shall have the power to investigate or cause to be investigated 31 |
---|
| 291 | + | any complaints, allegations, or suspicions of wrongdoing or violations of this Chapter involving 32 |
---|
| 292 | + | individuals unlicensed, licensed, or to be licensed, under this Chapter. Any investigation 33 |
---|
| 293 | + | conducted pursuant to this section is deemed confidential and is not subject to review under 34 |
---|
| 294 | + | G.S. 132-1 until the investigation is complete and a report is presented to the Board. However, 35 |
---|
| 295 | + | the report may be released to the licensee after the investigation is complete but before the report 36 |
---|
| 296 | + | is presented to the Board. 37 |
---|
| 297 | + | "§ 74D-6. Denial of a license or registration. 38 |
---|
| 298 | + | Upon a finding that the applicant meets the requirements for licensure or receipt of an 39 |
---|
| 299 | + | application for licensure or registration under this Chapter, G.S. 74D-8, the Board shall determine 40 |
---|
| 300 | + | whether the applicant shall receive the license or registration applied for. The grounds for denial 41 |
---|
| 301 | + | include:include all of the following: 42 |
---|
| 302 | + | (1) Commission of some act which, if committed by a registrant or licensee, 43 |
---|
| 303 | + | would be grounds for the suspension or revocation of a registration or license 44 |
---|
| 304 | + | under this Chapter;Chapter. 45 |
---|
| 305 | + | (2) Conviction of a crime involving fraud;the illegal use, carrying, or possession 46 |
---|
| 306 | + | of a firearm, felonious assault or an act of violence, felonious sexual offense, 47 |
---|
| 307 | + | felonious larceny, or felonious fraud. For purposes of this subdivision, 48 |
---|
| 308 | + | "conviction" means and includes the entry of a plea of guilty, plea of no 49 |
---|
| 309 | + | contest, or a verdict entered in open court by a judge or jury, including a prayer 50 |
---|
| 310 | + | for judgment continued, adjudication withheld, or equivalent. 51 General Assembly Of North Carolina Session 2025 |
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| 311 | + | DRH10407-NNf-61 Page 7 |
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| 312 | + | (3) Lack of good moral character or temperate habits. The following 1 |
---|
| 313 | + | misdemeanor convictions shall be prima facie evidence that the applicant does 2 |
---|
| 314 | + | not have good moral character or temperate habits: conviction by any local, 3 |
---|
| 315 | + | State, federal, or military court of any crime involving the illegal use, carrying, 4 |
---|
| 316 | + | or possession of a firearm; conviction of any crime involving the illegal use, 5 |
---|
| 317 | + | possession, sale, manufacture, distribution, or transportation of a controlled 6 |
---|
| 318 | + | substance, drug, narcotic, or alcoholic beverages; conviction of a crime 7 |
---|
| 319 | + | involving felonious assault or an act of violence; conviction of a crime 8 |
---|
| 320 | + | involving unlawful breaking or entering, burglary or larceny or of any offense 9 |
---|
| 321 | + | involving moral turpitude; larceny; conviction of a crime involving a sexual 10 |
---|
| 322 | + | offense; or a history of addiction to alcohol or a narcotic drug; provided that, 11 |
---|
| 323 | + | for purposes of this subsection subdivision, "conviction" means and includes 12 |
---|
| 324 | + | the entry of a plea of guilty, plea of no contest, or a verdict rendered in open 13 |
---|
| 325 | + | court by a judge or jury;jury, including a prayer for judgment continued, 14 |
---|
| 326 | + | adjudication withheld, or equivalent. 15 |
---|
| 327 | + | (4) Previous denial under this Chapter or previous revocation for cause;cause. 16 |
---|
| 328 | + | (5) Knowingly making any false statement or misrepresentation in an application 17 |
---|
| 329 | + | made to the Board for a license or registration. 18 |
---|
| 330 | + | (6) Being a registered sex offender in this State or any other state. 19 |
---|
| 331 | + | "§ 74D-7. Form of license; term; assignability; renewal; posting; branch offices; fees. 20 |
---|
| 332 | + | … 21 |
---|
| 333 | + | (c) No licensee shall engage in any business regulated by this Chapter under a name other 22 |
---|
| 334 | + | than the licensee licensee's name or names which appear on the certificate issued by the Board. 23 |
---|
| 335 | + | (d) Any branch office of an alarm in this State with a security systems business shall 24 |
---|
| 336 | + | obtain a branch office certificate. A separate certificate stating the location and licensed 25 |
---|
| 337 | + | qualifying agent shall be posted at all times in a conspicuous place in each branch office. Every 26 |
---|
| 338 | + | business covered under the provisions of this Chapter shall file in writing with the Board the 27 |
---|
| 339 | + | addresses of each of its branch offices. offices in this State. All licensees of with a branch office 28 |
---|
| 340 | + | shall notify the Board in writing before the establishment, closing, or changing of the location of 29 |
---|
| 341 | + | any branch office. A licensed qualifying agent may be responsible for more than one branch 30 |
---|
| 342 | + | office of an alarm systems business with the prior approval of the Board. office in this State. 31 |
---|
| 343 | + | Temporary approval may be granted by the Director, upon application of the qualifying agent, 32 |
---|
| 344 | + | for a period of time not to exceed 10 working 45 days after the adjournment of the next regularly 33 |
---|
| 345 | + | scheduled meeting of the Board unless the Board determines that the application should be 34 |
---|
| 346 | + | denied. 35 |
---|
| 347 | + | (e) The Board may charge the following fees, which must be expended, under the 36 |
---|
| 348 | + | direction of the Board, to defray the expense of administering this Chapter: 37 |
---|
| 349 | + | (1) A nonrefundable initial license application fee in an amount not to exceed one 38 |
---|
| 350 | + | hundred fifty dollars ($150.00).five hundred dollars ($500.00). 39 |
---|
| 351 | + | (2) A new or renewal license fee in an amount not to exceed five hundred dollars 40 |
---|
| 352 | + | ($500.00).one thousand dollars ($1,000). 41 |
---|
| 353 | + | (3) A late license renewal fee to be paid in addition to the renewal fee due in an 42 |
---|
| 354 | + | amount not to exceed one hundred dollars ($100.00), five hundred dollars 43 |
---|
| 355 | + | ($500.00) if the license has not been renewed on or before the expiration date 44 |
---|
| 356 | + | of the license. 45 |
---|
| 357 | + | (4) A new or renewal registration fee in an amount not to exceed fifty dollars 46 |
---|
| 358 | + | ($50.00) one hundred dollars ($100.00) plus any fees charged to the board for 47 |
---|
| 359 | + | background checks by the State Bureau of Investigation. 48 |
---|
| 360 | + | (5) A fee for reregistration of an employee who changes employment to another 49 |
---|
| 361 | + | licensee, not to exceed ten dollars ($10.00).twenty-five dollars ($25.00). 50 General Assembly Of North Carolina Session 2025 |
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| 362 | + | Page 8 DRH10407-NNf-61 |
---|
| 363 | + | (6) A branch office certificate fee not to exceed one hundred fifty dollars 1 |
---|
| 364 | + | ($150.00).three hundred dollars ($300.00). 2 |
---|
| 365 | + | (7) A fee not to exceed fifty dollars ($50.00) for each reconsideration of a license 3 |
---|
| 366 | + | or registration permit that has been filed or returned to the applicant for 4 |
---|
| 367 | + | correctable errors. 5 |
---|
| 368 | + | (8) A late registration fee, to be paid in addition to the registration renewal fee, 6 |
---|
| 369 | + | not to exceed twenty dollars ($20.00) forty dollars ($40.00) for an application 7 |
---|
| 370 | + | submitted no more than 30 days after the expiration of the registration permit. 8 |
---|
| 371 | + | A registration application submitted more than 30 days after the registration 9 |
---|
| 372 | + | has expired shall be registered as a new applicant. 10 |
---|
| 373 | + | "§ 74D-8. Registration of persons employed. 11 |
---|
| 374 | + | (a) (1) A licensee of an alarm a security systems business shall register with the 12 |
---|
| 375 | + | Board within 30 days after the employment begins, all of the following 13 |
---|
| 376 | + | licensee's employees described in subdivision (1a) of this subsection that are 14 |
---|
| 377 | + | within the State, unless in the discretion of the Director, the time period is 15 |
---|
| 378 | + | extended for good cause:cause. 16 |
---|
| 379 | + | (1a) The following employees shall be registered with the Board: 17 |
---|
| 380 | + | a. Any employee that has access to confidential any information 18 |
---|
| 381 | + | detailing the design, installation, or application of any location specific 19 |
---|
| 382 | + | electronic security system or that has access to any code, number, or 20 |
---|
| 383 | + | program that would allow the system to be modified, altered, or 21 |
---|
| 384 | + | circumvented. 22 |
---|
| 385 | + | b. Any employee who conducts personal sales in a private residence or 23 |
---|
| 386 | + | who installs or services an electronic a security system in a commercial 24 |
---|
| 387 | + | business establishment or a personal residence. 25 |
---|
| 388 | + | c. Any employee who remotely monitors a security system, including 26 |
---|
| 389 | + | cameras, unless the employee is registered as a security guard with a 27 |
---|
| 390 | + | licensed security guard and patrol company under Chapter 74C of the 28 |
---|
| 391 | + | General Statutes. 29 |
---|
| 392 | + | Employees engaged only in sales or marketing that does not involve any of 30 |
---|
| 393 | + | the above are not required to be registered. 31 |
---|
| 394 | + | (1a)(1b) To register an employee, a licensee shall submit to the Board as to the 32 |
---|
| 395 | + | employee: set(s) of classifiable fingerprints on standard F.B.I. applicant cards; 33 |
---|
| 396 | + | recent color photograph(s) of acceptable quality for identification; and 34 |
---|
| 397 | + | statements of any criminal records as deemed appropriate by the Board. 35 |
---|
| 398 | + | (2) Except during the period allowed for registration in subdivision (a)(1) of this 36 |
---|
| 399 | + | section, no alarm security systems business may employ any employee 37 |
---|
| 400 | + | required to be registered by this Chapter unless the employee's registration has 38 |
---|
| 401 | + | been approved by the Board as set forth in this section. 39 |
---|
| 402 | + | (3) A licensee may employ an applicant for registration as a probationary 40 |
---|
| 403 | + | employee for 20 consecutive days. Upon completion of the probationary 41 |
---|
| 404 | + | period and the desire of the licensee to hire the registration applicant as a 42 |
---|
| 405 | + | regular employee, the licensee shall register the employee, as described in this 43 |
---|
| 406 | + | subsection, with the Board within 30 days after the probationary employment 44 |
---|
| 407 | + | period ends unless the Director, in the Director's discretion, extends the time 45 |
---|
| 408 | + | period for good cause. Before a probationary employee engages in systems 46 |
---|
| 409 | + | services, the employee shall complete any training requirements and the 47 |
---|
| 410 | + | licensee shall conduct a criminal record check on the employee, as the Board 48 |
---|
| 411 | + | deems appropriate. The licensee shall submit a list of the probationary 49 |
---|
| 412 | + | employees to the Director on a monthly basis. The list shall include the name, 50 |
---|
| 413 | + | address, social security number, and dates of employment of the employees. 51 General Assembly Of North Carolina Session 2025 |
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| 414 | + | DRH10407-NNf-61 Page 9 |
---|
| 415 | + | … 1 |
---|
| 416 | + | "§ 74D-8.1. Apprenticeship registration permit. 2 |
---|
| 417 | + | (a) The Board may issue an apprenticeship registration permit to an applicant who is 16 3 |
---|
| 418 | + | or 17 years old and currently enrolled in high school if the applicant holds a valid drivers license 4 |
---|
| 419 | + | and submits at least three letters of recommendation stating that the applicant is of good moral 5 |
---|
| 420 | + | character as provided in G.S. 74D-2(d)(2). The letters of recommendation shall be from persons 6 |
---|
| 421 | + | who are not related to the individual, and at least one of the letters shall be from an official at the 7 |
---|
| 422 | + | school where the applicant is currently enrolled.applicant. 8 |
---|
| 423 | + | … 9 |
---|
| 424 | + | "§ 74D-9. Certificate of liability insurance required; form and approval; suspension for 10 |
---|
| 425 | + | noncompliance. 11 |
---|
113 | | - | (g) An alarm monitoring company located in another state and licensed by that state 13 |
---|
114 | | - | which demonstrates to the Board's satisfaction that it does not conduct any business through a 14 |
---|
115 | | - | personal representative present in this State, but which solicits and conducts business solely 15 |
---|
116 | | - | through interstate communication facilities, such as telephone, the internet, and the United States 16 |
---|
117 | | - | Postal Service, upon receipt by the Board of a certificate of good standing from the state of 17 |
---|
118 | | - | licensure is not required to register employees pursuant to G.S. 74D-8. Out-of-state monitoring 18 |
---|
119 | | - | companies not licensed in any state must be licensed by the Board and must register employees 19 |
---|
120 | | - | pursuant to G.S. 74D-8. 20 |
---|
121 | | - | (h) A security guard and patrol company licensed under Chapter 74C of the General 21 |
---|
122 | | - | Statutes that remotely monitors access control, cameras, analytic capturing devices, systems 22 |
---|
123 | | - | providing intelligence, or other imaging devices shall obtain a separate limited monitoring license 23 |
---|
124 | | - | and may utilize the same qualifying agent for the limited license as utilized for its security guard 24 |
---|
125 | | - | and patrol license and shall not be required to meet the requirements of G.S. 74D-2(d)(3) and (4) 25 |
---|
126 | | - | or hold a low voltage electrical license. The qualifying agent must successfully complete a central 26 |
---|
127 | | - | station monitoring operator course approved by the Board. 27 |
---|
128 | | - | "§ 74D-2.1. Criminal background checks. 28 |
---|
129 | | - | (a) Authorization. – Upon receipt of an application for a license or registration, the Board 29 |
---|
130 | | - | shall conduct a background investigation to determine whether the applicant meets the 30 |
---|
131 | | - | requirements for a license or registration as set out in G.S. 74D-2(d). The Department State 31 |
---|
132 | | - | Bureau of Public Safety Investigation may provide a criminal record check to the Board for a 32 |
---|
133 | | - | person who has applied for a new or renewal license or registration through the Board. The Board 33 |
---|
134 | | - | shall provide to the Department of Public Safety, State Bureau of Investigation, along with the 34 |
---|
135 | | - | request, the fingerprints of a new applicant, and the Department of Public Safety State Bureau of 35 |
---|
136 | | - | Investigation shall provide a criminal record check based upon the applicant's fingerprints. The 36 |
---|
137 | | - | Board may request a criminal record check from the Department of Public Safety State Bureau 37 |
---|
138 | | - | of Investigation for a renewal applicant based upon the applicant's fingerprints in accordance 38 |
---|
139 | | - | with policy adopted by the Board. The Board shall provide any additional information required 39 |
---|
140 | | - | by the Department of Public Safety State Bureau of Investigation and a form signed by the 40 |
---|
141 | | - | applicant consenting to the check of the criminal record and to the use of the fingerprints and 41 |
---|
142 | | - | other identifying information required by the State or national repositories. The applicant's 42 |
---|
143 | | - | fingerprints shall be forwarded to the State Bureau of Investigation for a search of the State's 43 |
---|
144 | | - | criminal history record file, and the State Bureau of Investigation shall forward a set of the 44 |
---|
145 | | - | fingerprints to the Federal Bureau of Investigation for a national criminal history check. The 45 |
---|
146 | | - | Department of Public Safety State Bureau of Investigation may charge each applicant a fee to be 46 |
---|
147 | | - | collected by the Board and transmitted to the State Bureau of Investigation for conducting the 47 |
---|
148 | | - | checks of criminal history records authorized by this subsection. 48 |
---|
149 | | - | The Board may require a new or renewal applicant to obtain a criminal record report from 49 |
---|
150 | | - | one or more reporting services designated by the Board to provide criminal record reports. 50 |
---|
151 | | - | Applicants are required to pay the designated reporting service for the cost of these reports. 51 General Assembly Of North Carolina Session 2025 |
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152 | | - | Page 4 House Bill 897-First Edition |
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153 | | - | (b) Confidentiality. – The Except as necessary to support the denial of an application or 1 |
---|
154 | | - | a disciplinary matter in a contested case, the Board shall keep all information obtained pursuant 2 |
---|
155 | | - | to this section confidential in accordance with applicable State law and federal guidelines, and 3 |
---|
156 | | - | the information shall not be a public record under Chapter 132 of the General Statutes. 4 |
---|
157 | | - | "§ 74D-3. Exemptions. 5 |
---|
158 | | - | The provisions of this Chapter shall not apply to:to the following: 6 |
---|
159 | | - | (1) A person, firm, association or corporation that sells or manufactures alarm 7 |
---|
160 | | - | security systems, unless the person, firm, association or corporation makes 8 |
---|
161 | | - | personal solicitations at a residence or business to advise, design, or consult 9 |
---|
162 | | - | on specific types and specific locations of alarm security system devices, 10 |
---|
163 | | - | installs, services, monitors, or responds to alarm security systems at or from a 11 |
---|
164 | | - | protected premises or a premises to be protected and thereby obtains 12 |
---|
165 | | - | knowledge of specific application or location of the alarm security system. A 13 |
---|
166 | | - | person licensed under this Chapter may hire a consultant to troubleshoot a 14 |
---|
167 | | - | location or installation for a period of time not to exceed 48 hours in a 15 |
---|
168 | | - | one-month period if the licensee submits a report to the Board within 30 days 16 |
---|
169 | | - | from the date of the consultation designating the consultant as a temporary 17 |
---|
170 | | - | consultant; 18 |
---|
171 | | - | (2) Installation, servicing or responding to fire alarm systems or any alarm device 19 |
---|
172 | | - | which is installed in a motor vehicle, aircraft or boat;boat. 20 |
---|
173 | | - | (3) Installation or service of an alarm electronic security system on property 21 |
---|
174 | | - | owned by or leased to the installer;installer. 22 |
---|
175 | | - | (4) An alarm monitoring company located in another state which demonstrates to 23 |
---|
176 | | - | the Board's satisfaction that it does not conduct any business through a 24 |
---|
177 | | - | personal representative present in this State but which solicits and conducts 25 |
---|
178 | | - | business solely through interstate communication facilities such as telephone 26 |
---|
179 | | - | messages, earth satellite relay stations and the United States postal service; 27 |
---|
180 | | - | and 28 |
---|
181 | | - | (5) A person or business providing alarm systems services to a State agency or 29 |
---|
182 | | - | local government if that person or business has been providing those services 30 |
---|
183 | | - | to the State agency or local government for more than five years prior to the 31 |
---|
184 | | - | effective date of this Chapter, and the State agency or local government joins 32 |
---|
185 | | - | with the person or business in requesting the application of this exemption. 33 |
---|
186 | | - | (6) Installation or service of a locking device that records entry and exit data and 34 |
---|
187 | | - | does not transmit the data in real time to an on-site or off-site monitoring 35 |
---|
188 | | - | location, provided the installer is licensed by the North Carolina Locksmith 36 |
---|
189 | | - | Licensing Board. 37 |
---|
190 | | - | (7) An entity through which a customer accesses marketing or advertising 38 |
---|
191 | | - | material or installation instructions for a security system. 39 |
---|
192 | | - | (b) A person licensed under this Chapter may utilize a consultant or manufacturer's 40 |
---|
193 | | - | representative to troubleshoot a location or installation if accompanied by the licensee and the 41 |
---|
194 | | - | licensee submits a report to the Board within 30 days from the date of the consultation designating 42 |
---|
195 | | - | the consultant as a temporary consultant. 43 |
---|
196 | | - | "§ 74D-4. Alarm Security Systems Licensing Board. 44 |
---|
197 | | - | (a) The Alarm Security Systems Licensing Board is hereby established. 45 |
---|
198 | | - | (b) The Board shall consist of seven members: the Secretary of Public Safety or his or 46 |
---|
199 | | - | her designee; two persons appointed by the Governor, one of whom shall be licensed under this 47 |
---|
200 | | - | Chapter and one of whom shall be a public member; two persons appointed by the General 48 |
---|
201 | | - | Assembly upon the recommendation of the President Pro Tempore of the Senate in accordance 49 |
---|
202 | | - | with G.S. 120-121, one of whom shall be licensed under this Chapter and one of whom shall be 50 |
---|
203 | | - | a public member; and two persons appointed by the General Assembly upon the recommendation 51 General Assembly Of North Carolina Session 2025 |
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204 | | - | House Bill 897-First Edition Page 5 |
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205 | | - | of the Speaker of the House of Representatives in accordance with G.S. 120-121, one of whom 1 |
---|
206 | | - | shall be licensed under this Chapter and one of whom shall be a public member. 2 |
---|
207 | | - | (c) Each member shall be appointed for a term of three years and shall serve until a 3 |
---|
208 | | - | successor is installed. No With the exception of the Secretary or his or her designee, no member 4 |
---|
209 | | - | shall serve more than two complete three-year consecutive terms. The term of each member, 5 |
---|
210 | | - | other than the Attorney General or his designee, who is serving on August 7, 1989, shall terminate 6 |
---|
211 | | - | on June 30, 1989. Of the appointments made by the General Assembly upon the recommendation 7 |
---|
212 | | - | of the President of the Senate to begin on July 1, 1989, one member shall be for a term of one 8 |
---|
213 | | - | year and one member shall be for a term of three years. Of the appointments made by the General 9 |
---|
214 | | - | Assembly upon the recommendation of the Speaker of the House of Representatives, one member 10 |
---|
215 | | - | shall be appointed for a term of two years and one member shall be appointed for a term of three 11 |
---|
216 | | - | years. Thereafter all terms shall be for three years. 12 |
---|
217 | | - | … 13 |
---|
218 | | - | (e) Board members who are also State officers or employees shall receive no per diem 14 |
---|
219 | | - | compensation for serving on the Board, and shall only receive the travel allowances set forth in 15 |
---|
220 | | - | G.S. 138-6. All other Board members shall receive reimbursement in accordance with 16 |
---|
221 | | - | G.S. 93B-5(b) and, notwithstanding G.S. 93B-5(a), shall receive as compensation for their 17 |
---|
222 | | - | services per diem not to exceed one hundred dollars ($100.00) for each day during which they 18 |
---|
223 | | - | are engaged in the official business of the Board. The Board shall set the travel allowance and 19 |
---|
224 | | - | per diem compensation of Board members who are not also State officers or employees. 20 |
---|
225 | | - | (f) The Board shall elect a chairman chair and a vice-chairman vice-chair from its 21 |
---|
226 | | - | membership by majority vote at the first meeting of its fiscal year. The vice-chairman vice-chair 22 |
---|
227 | | - | shall serve as chairman chair of the screening committee and shall also serve as chairman chair 23 |
---|
228 | | - | in the chairman's chair's absence. At no time shall both the positions of chairman chair and 24 |
---|
229 | | - | vice-chairman vice-chair be held by either an industry representative or a nonindustry 25 |
---|
230 | | - | representative. 26 |
---|
231 | | - | (g) The Board shall meet at the call of the chairman chair or a majority of the members 27 |
---|
232 | | - | of the Board. The Board shall adopt rules governing the call and conduct of its meetings. A 28 |
---|
233 | | - | majority of the current Board membership constitutes a quorum. 29 |
---|
234 | | - | "§ 74D-5. Powers of the Board. 30 |
---|
235 | | - | (a) In addition to the powers conferred upon the Board elsewhere in this Chapter, the 31 |
---|
236 | | - | Board shall have the power to:to do the following: 32 |
---|
237 | | - | (1) Promulgate rules necessary to carry out and administer the provisions of this 33 |
---|
238 | | - | Chapter including the authority to require the submission of reports and 34 |
---|
239 | | - | information by licensees under this Chapter;Chapter. 35 |
---|
240 | | - | (2) Determine minimum qualifications and establish minimum education, 36 |
---|
241 | | - | experience, and training standards for applicants and licensees applicants, 37 |
---|
242 | | - | licensees, and registrants under this Chapter;Chapter. 38 |
---|
243 | | - | (3) Conduct investigations regarding alleged violations and make evaluations as 39 |
---|
244 | | - | may be necessary to determine if unlicensed individuals or entities are in 40 |
---|
245 | | - | violation of this Chapter and licensees and registrants under this Chapter are 41 |
---|
246 | | - | complying with the provisions of this Chapter;Chapter. The Board shall issue 42 |
---|
247 | | - | cease and desist orders, in writing, for violations of this Chapter with the 43 |
---|
248 | | - | concurrence of the Secretary of Public Safety. 44 |
---|
249 | | - | (4) Adopt and amend bylaws, consistent with law, for its internal management 45 |
---|
250 | | - | and control;control. 46 |
---|
251 | | - | (5) Investigate and approve individual applicants to be licensed or registered 47 |
---|
252 | | - | according to this Chapter;Chapter. 48 |
---|
253 | | - | (6) Deny, suspend, or revoke any license issued or to be issued under this Chapter 49 |
---|
254 | | - | to any applicant or licensee applicant, licensee, or registrant who fails to 50 |
---|
255 | | - | satisfy the requirements of this Chapter or the rules established by the Board. 51 General Assembly Of North Carolina Session 2025 |
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256 | | - | Page 6 House Bill 897-First Edition |
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257 | | - | The denial, suspension, or revocation of such license or registration shall be 1 |
---|
258 | | - | in accordance with Chapter 150B of this General Statutes of North 2 |
---|
259 | | - | Carolina;Carolina. 3 |
---|
260 | | - | (7) Issue subpoenas to compel the attendance of witnesses and the production of 4 |
---|
261 | | - | pertinent books, accounts, records, and documents. The district court shall 5 |
---|
262 | | - | have the power to impose punishment pursuant to G.S. 5A-21 et seq. for acts 6 |
---|
263 | | - | occurring in matters pending before the Board which would constitute civil 7 |
---|
264 | | - | contempt if the acts occurred in an action pending in court; andcourt. 8 |
---|
265 | | - | (8) Contract for services as necessary to carry out the functions of the Board. 9 |
---|
266 | | - | (9) Acquire, hold, rent, encumber, alienate, and otherwise deal with real property 10 |
---|
267 | | - | in the same manner as a private person or corporation, subject only to approval 11 |
---|
268 | | - | of the Governor and the Council of State. Collateral pledged by the Board for 12 |
---|
269 | | - | an encumbrance is limited to the assets, income, and revenues of the Board. 13 |
---|
270 | | - | (b) The chairman chair of the Board or his or her representative designated to be a hearing 14 |
---|
271 | | - | officer may conduct any hearing called by the board Board for the purpose of denial, suspension, 15 |
---|
272 | | - | or revocation of a license or registration under this Chapter. 16 |
---|
273 | | - | (c) The regulation of security system businesses shall be exclusive to the Board; however, 17 |
---|
274 | | - | any city or county shall be permitted to require a security business operating within its 18 |
---|
275 | | - | jurisdiction to register and to supply information regarding its license and may adopt an ordinance 19 |
---|
276 | | - | to require users of electronic security systems to obtain revocable permits when alarm usage 20 |
---|
277 | | - | involves automatic signal transmission to a law enforcement agency. 21 |
---|
278 | | - | "§ 74D-5.1. Position of Director created. 22 |
---|
279 | | - | The position of Director of the Alarm Security Systems Licensing Board is hereby created 23 |
---|
280 | | - | within the Department of Public Safety. The Secretary of Public Safety shall appoint a person to 24 |
---|
281 | | - | fill this full-time position. The Director's duties shall be to administer the directives contained in 25 |
---|
282 | | - | this Chapter and the rules promulgated adopted by the Board to implement this Chapter and to 26 |
---|
283 | | - | carry out the administrative duties incident to the functioning of the Board in order to actively 27 |
---|
284 | | - | police the alarm systems security systems industry to insure ensure compliance with the law in 28 |
---|
285 | | - | all aspects. The Director may issue a temporary grant or denial of a request for registration subject 29 |
---|
286 | | - | to final action by the Board at its next regularly scheduled meeting. 30 |
---|
287 | | - | "§ 74D-5.2. Investigative powers of the Secretary of Public Safety. 31 |
---|
288 | | - | The Secretary of Public Safety shall have the power to investigate or cause to be investigated 32 |
---|
289 | | - | any complaints, allegations, or suspicions of wrongdoing or violations of this Chapter involving 33 |
---|
290 | | - | individuals unlicensed, licensed, or to be licensed, under this Chapter. Any investigation 34 |
---|
291 | | - | conducted pursuant to this section is deemed confidential and is not subject to review under 35 |
---|
292 | | - | G.S. 132-1 until the investigation is complete and a report is presented to the Board. However, 36 |
---|
293 | | - | the report may be released to the licensee after the investigation is complete but before the report 37 |
---|
294 | | - | is presented to the Board. 38 |
---|
295 | | - | "§ 74D-6. Denial of a license or registration. 39 |
---|
296 | | - | Upon a finding that the applicant meets the requirements for licensure or receipt of an 40 |
---|
297 | | - | application for licensure or registration under this Chapter, G.S. 74D-8, the Board shall determine 41 |
---|
298 | | - | whether the applicant shall receive the license or registration applied for. The grounds for denial 42 |
---|
299 | | - | include:include all of the following: 43 |
---|
300 | | - | (1) Commission of some act which, if committed by a registrant or licensee, 44 |
---|
301 | | - | would be grounds for the suspension or revocation of a registration or license 45 |
---|
302 | | - | under this Chapter;Chapter. 46 |
---|
303 | | - | (2) Conviction of a crime involving fraud;the illegal use, carrying, or possession 47 |
---|
304 | | - | of a firearm, felonious assault or an act of violence, felonious sexual offense, 48 |
---|
305 | | - | felonious larceny, or felonious fraud. For purposes of this subdivision, 49 |
---|
306 | | - | "conviction" means and includes the entry of a plea of guilty, plea of no 50 General Assembly Of North Carolina Session 2025 |
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307 | | - | House Bill 897-First Edition Page 7 |
---|
308 | | - | contest, or a verdict entered in open court by a judge or jury, including a prayer 1 |
---|
309 | | - | for judgment continued, adjudication withheld, or equivalent. 2 |
---|
310 | | - | (3) Lack of good moral character or temperate habits. The following 3 |
---|
311 | | - | misdemeanor convictions shall be prima facie evidence that the applicant does 4 |
---|
312 | | - | not have good moral character or temperate habits: conviction by any local, 5 |
---|
313 | | - | State, federal, or military court of any crime involving the illegal use, carrying, 6 |
---|
314 | | - | or possession of a firearm; conviction of any crime involving the illegal use, 7 |
---|
315 | | - | possession, sale, manufacture, distribution, or transportation of a controlled 8 |
---|
316 | | - | substance, drug, narcotic, or alcoholic beverages; conviction of a crime 9 |
---|
317 | | - | involving felonious assault or an act of violence; conviction of a crime 10 |
---|
318 | | - | involving unlawful breaking or entering, burglary or larceny or of any offense 11 |
---|
319 | | - | involving moral turpitude; larceny; conviction of a crime involving a sexual 12 |
---|
320 | | - | offense; or a history of addiction to alcohol or a narcotic drug; provided that, 13 |
---|
321 | | - | for purposes of this subsection subdivision, "conviction" means and includes 14 |
---|
322 | | - | the entry of a plea of guilty, plea of no contest, or a verdict rendered in open 15 |
---|
323 | | - | court by a judge or jury;jury, including a prayer for judgment continued, 16 |
---|
324 | | - | adjudication withheld, or equivalent. 17 |
---|
325 | | - | (4) Previous denial under this Chapter or previous revocation for cause;cause. 18 |
---|
326 | | - | (5) Knowingly making any false statement or misrepresentation in an application 19 |
---|
327 | | - | made to the Board for a license or registration. 20 |
---|
328 | | - | (6) Being a registered sex offender in this State or any other state. 21 |
---|
329 | | - | "§ 74D-7. Form of license; term; assignability; renewal; posting; branch offices; fees. 22 |
---|
330 | | - | … 23 |
---|
331 | | - | (c) No licensee shall engage in any business regulated by this Chapter under a name other 24 |
---|
332 | | - | than the licensee licensee's name or names which appear on the certificate issued by the Board. 25 |
---|
333 | | - | (d) Any branch office of an alarm in this State with a security systems business shall 26 |
---|
334 | | - | obtain a branch office certificate. A separate certificate stating the location and licensed 27 |
---|
335 | | - | qualifying agent shall be posted at all times in a conspicuous place in each branch office. Every 28 |
---|
336 | | - | business covered under the provisions of this Chapter shall file in writing with the Board the 29 |
---|
337 | | - | addresses of each of its branch offices. offices in this State. All licensees of with a branch office 30 |
---|
338 | | - | shall notify the Board in writing before the establishment, closing, or changing of the location of 31 |
---|
339 | | - | any branch office. A licensed qualifying agent may be responsible for more than one branch 32 |
---|
340 | | - | office of an alarm systems business with the prior approval of the Board. office in this State. 33 |
---|
341 | | - | Temporary approval may be granted by the Director, upon application of the qualifying agent, 34 |
---|
342 | | - | for a period of time not to exceed 10 working 45 days after the adjournment of the next regularly 35 |
---|
343 | | - | scheduled meeting of the Board unless the Board determines that the application should be 36 |
---|
344 | | - | denied. 37 |
---|
345 | | - | (e) The Board may charge the following fees, which must be expended, under the 38 |
---|
346 | | - | direction of the Board, to defray the expense of administering this Chapter: 39 |
---|
347 | | - | (1) A nonrefundable initial license application fee in an amount not to exceed one 40 |
---|
348 | | - | hundred fifty dollars ($150.00).five hundred dollars ($500.00). 41 |
---|
349 | | - | (2) A new or renewal license fee in an amount not to exceed five hundred dollars 42 |
---|
350 | | - | ($500.00).one thousand dollars ($1,000). 43 |
---|
351 | | - | (3) A late license renewal fee to be paid in addition to the renewal fee due in an 44 |
---|
352 | | - | amount not to exceed one hundred dollars ($100.00), five hundred dollars 45 |
---|
353 | | - | ($500.00) if the license has not been renewed on or before the expiration date 46 |
---|
354 | | - | of the license. 47 |
---|
355 | | - | (4) A new or renewal registration fee in an amount not to exceed fifty dollars 48 |
---|
356 | | - | ($50.00) one hundred dollars ($100.00) plus any fees charged to the board for 49 |
---|
357 | | - | background checks by the State Bureau of Investigation. 50 General Assembly Of North Carolina Session 2025 |
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358 | | - | Page 8 House Bill 897-First Edition |
---|
359 | | - | (5) A fee for reregistration of an employee who changes employment to another 1 |
---|
360 | | - | licensee, not to exceed ten dollars ($10.00).twenty-five dollars ($25.00). 2 |
---|
361 | | - | (6) A branch office certificate fee not to exceed one hundred fifty dollars 3 |
---|
362 | | - | ($150.00).three hundred dollars ($300.00). 4 |
---|
363 | | - | (7) A fee not to exceed fifty dollars ($50.00) for each reconsideration of a license 5 |
---|
364 | | - | or registration permit that has been filed or returned to the applicant for 6 |
---|
365 | | - | correctable errors. 7 |
---|
366 | | - | (8) A late registration fee, to be paid in addition to the registration renewal fee, 8 |
---|
367 | | - | not to exceed twenty dollars ($20.00) forty dollars ($40.00) for an application 9 |
---|
368 | | - | submitted no more than 30 days after the expiration of the registration permit. 10 |
---|
369 | | - | A registration application submitted more than 30 days after the registration 11 |
---|
370 | | - | has expired shall be registered as a new applicant. 12 |
---|
371 | | - | "§ 74D-8. Registration of persons employed. 13 |
---|
372 | | - | (a) (1) A licensee of an alarm a security systems business shall register with the 14 |
---|
373 | | - | Board within 30 days after the employment begins, all of the following 15 |
---|
374 | | - | licensee's employees described in subdivision (1a) of this subsection that are 16 |
---|
375 | | - | within the State, unless in the discretion of the Director, the time period is 17 |
---|
376 | | - | extended for good cause:cause. 18 |
---|
377 | | - | (1a) The following employees shall be registered with the Board: 19 |
---|
378 | | - | a. Any employee that has access to confidential any information 20 |
---|
379 | | - | detailing the design, installation, or application of any location specific 21 |
---|
380 | | - | electronic security system or that has access to any code, number, or 22 |
---|
381 | | - | program that would allow the system to be modified, altered, or 23 |
---|
382 | | - | circumvented. 24 |
---|
383 | | - | b. Any employee who conducts personal sales in a private residence or 25 |
---|
384 | | - | who installs or services an electronic a security system in a commercial 26 |
---|
385 | | - | business establishment or a personal residence. 27 |
---|
386 | | - | c. Any employee who remotely monitors a security system, including 28 |
---|
387 | | - | cameras, unless the employee is registered as a security guard with a 29 |
---|
388 | | - | licensed security guard and patrol company under Chapter 74C of the 30 |
---|
389 | | - | General Statutes. 31 |
---|
390 | | - | Employees engaged only in sales or marketing that does not involve any of 32 |
---|
391 | | - | the above are not required to be registered. 33 |
---|
392 | | - | (1a)(1b) To register an employee, a licensee shall submit to the Board as to the 34 |
---|
393 | | - | employee: set(s) of classifiable fingerprints on standard F.B.I. applicant cards; 35 |
---|
394 | | - | recent color photograph(s) of acceptable quality for identification; and 36 |
---|
395 | | - | statements of any criminal records as deemed appropriate by the Board. 37 |
---|
396 | | - | (2) Except during the period allowed for registration in subdivision (a)(1) of this 38 |
---|
397 | | - | section, no alarm security systems business may employ any employee 39 |
---|
398 | | - | required to be registered by this Chapter unless the employee's registration has 40 |
---|
399 | | - | been approved by the Board as set forth in this section. 41 |
---|
400 | | - | (3) A licensee may employ an applicant for registration as a probationary 42 |
---|
401 | | - | employee for 20 consecutive days. Upon completion of the probationary 43 |
---|
402 | | - | period and the desire of the licensee to hire the registration applicant as a 44 |
---|
403 | | - | regular employee, the licensee shall register the employee, as described in this 45 |
---|
404 | | - | subsection, with the Board within 30 days after the probationary employment 46 |
---|
405 | | - | period ends unless the Director, in the Director's discretion, extends the time 47 |
---|
406 | | - | period for good cause. Before a probationary employee engages in systems 48 |
---|
407 | | - | services, the employee shall complete any training requirements and the 49 |
---|
408 | | - | licensee shall conduct a criminal record check on the employee, as the Board 50 |
---|
409 | | - | deems appropriate. The licensee shall submit a list of the probationary 51 General Assembly Of North Carolina Session 2025 |
---|
410 | | - | House Bill 897-First Edition Page 9 |
---|
411 | | - | employees to the Director on a monthly basis. The list shall include the name, 1 |
---|
412 | | - | address, social security number, and dates of employment of the employees. 2 |
---|
413 | | - | … 3 |
---|
414 | | - | "§ 74D-8.1. Apprenticeship registration permit. 4 |
---|
415 | | - | (a) The Board may issue an apprenticeship registration permit to an applicant who is 16 5 |
---|
416 | | - | or 17 years old and currently enrolled in high school if the applicant holds a valid drivers license 6 |
---|
417 | | - | and submits at least three letters of recommendation stating that the applicant is of good moral 7 |
---|
418 | | - | character as provided in G.S. 74D-2(d)(2). The letters of recommendation shall be from persons 8 |
---|
419 | | - | who are not related to the individual, and at least one of the letters shall be from an official at the 9 |
---|
420 | | - | school where the applicant is currently enrolled.applicant. 10 |
---|
| 427 | + | (d) No license shall be issued under this act unless the applicant files with the Board 13 |
---|
| 428 | + | evidence of a policy of liability insurance which policy must provide for the following minimum 14 |
---|
| 429 | + | coverage: fifty two hundred fifty thousand dollars ($50,000) ($250,000) because of bodily injury 15 |
---|
| 430 | + | or death of one person as a result of the negligent act or acts of the principal insured or his agents 16 |
---|
| 431 | + | operating in the course and scope of his employment; subject to said limit for one person, one 17 |
---|
| 432 | + | five hundred thousand dollars ($100,000) ($500,000) because of bodily injury or death of two or 18 |
---|
| 433 | + | more persons as the result of the negligent act or acts of the principal insured or his agent 19 |
---|
| 434 | + | operating in the course and scope of his or her agency; twenty one hundred thousand dollars 20 |
---|
| 435 | + | ($20,000) ($100,000) because of injury to or destruction of property of others as the result of the 21 |
---|
| 436 | + | negligent act or acts of the principal insured or his agents operating in the course and scope of 22 |
---|
| 437 | + | his or her agency. 23 |
---|
| 438 | + | … 24 |
---|
| 439 | + | "§ 74D-10. Suspension or revocation of licenses and registrations; appeal. 25 |
---|
| 440 | + | (a) The Board may, after notice and an opportunity for hearing, suspend or revoke a 26 |
---|
| 441 | + | license or registration issued under this Chapter if it is determined that the licensee or registrant 27 |
---|
| 442 | + | has: 28 |
---|
| 443 | + | … 29 |
---|
| 444 | + | (3) Violated any rule promulgated adopted by the Board pursuant to the authority 30 |
---|
| 445 | + | contained in this Chapter. 31 |
---|
| 446 | + | (4) Been convicted of any crime involving moral turpitude or any other crime 32 |
---|
| 447 | + | involving violence or the illegal use, carrying, or possession of a dangerous 33 |
---|
| 448 | + | weapon.felony as set forth in G.S. 74D-6(2) or any crime as set forth in 34 |
---|
| 449 | + | G.S. 74D-6(3). 35 |
---|
| 450 | + | … 36 |
---|
| 451 | + | (7) Engaged in or permitted any employee to engage in any alarm security 37 |
---|
| 452 | + | systems business when not lawfully in possession of a valid license 38 |
---|
| 453 | + | registration issued under the provisions of this Chapter. 39 |
---|
| 454 | + | (8) Committed an unlawful breaking or entering, burglary, larceny, sexual 40 |
---|
| 455 | + | offense, trespass, fraud, assault, battery, or kidnapping. 41 |
---|
| 456 | + | (9) Committed any other act which is a ground for the denial of an application for 42 |
---|
| 457 | + | a license or registration under this Chapter. 43 |
---|
| 458 | + | (10) Failed to maintain the certificate of liability insurance required by this 44 |
---|
| 459 | + | Chapter. 45 |
---|
| 460 | + | … 46 |
---|
| 461 | + | (15) Engaged in the alarm security systems profession under a name other than the 47 |
---|
| 462 | + | name under which the license was obtained under the provisions of this 48 |
---|
| 463 | + | Chapter. 49 |
---|
| 464 | + | … 50 General Assembly Of North Carolina Session 2025 |
---|
| 465 | + | Page 10 DRH10407-NNf-61 |
---|
| 466 | + | (19) Engaged in conduct that constitutes dereliction of duty or otherwise deceives, 1 |
---|
| 467 | + | defrauds, or harms the public in the course of professional activities or 2 |
---|
| 468 | + | services.services, including fraudulently claiming a change in business 3 |
---|
| 469 | + | ownership, fraudulently claiming dissolution of a competing business, 4 |
---|
| 470 | + | fraudulently claiming to be a representative of the consumer's current service 5 |
---|
| 471 | + | provider, misrepresentation of employer, or misrepresenting an upgrade of 6 |
---|
| 472 | + | equipment as a sales tactic. 7 |
---|
| 473 | + | (20) Demonstrated a lack of financial responsibility. 8 |
---|
| 474 | + | … 9 |
---|
| 475 | + | "§ 74D-11. Enforcement. 10 |
---|
422 | | - | "§ 74D-9. Certificate of liability insurance required; form and approval; suspension for 12 |
---|
423 | | - | noncompliance. 13 |
---|
424 | | - | … 14 |
---|
425 | | - | (d) No license shall be issued under this act unless the applicant files with the Board 15 |
---|
426 | | - | evidence of a policy of liability insurance which policy must provide for the following minimum 16 |
---|
427 | | - | coverage: fifty two hundred fifty thousand dollars ($50,000) ($250,000) because of bodily injury 17 |
---|
428 | | - | or death of one person as a result of the negligent act or acts of the principal insured or his agents 18 |
---|
429 | | - | operating in the course and scope of his employment; subject to said limit for one person, one 19 |
---|
430 | | - | five hundred thousand dollars ($100,000) ($500,000) because of bodily injury or death of two or 20 |
---|
431 | | - | more persons as the result of the negligent act or acts of the principal insured or his agent 21 |
---|
432 | | - | operating in the course and scope of his or her agency; twenty one hundred thousand dollars 22 |
---|
433 | | - | ($20,000) ($100,000) because of injury to or destruction of property of others as the result of the 23 |
---|
434 | | - | negligent act or acts of the principal insured or his agents operating in the course and scope of 24 |
---|
435 | | - | his or her agency. 25 |
---|
436 | | - | … 26 |
---|
437 | | - | "§ 74D-10. Suspension or revocation of licenses and registrations; appeal. 27 |
---|
438 | | - | (a) The Board may, after notice and an opportunity for hearing, suspend or revoke a 28 |
---|
439 | | - | license or registration issued under this Chapter if it is determined that the licensee or registrant 29 |
---|
440 | | - | has: 30 |
---|
441 | | - | … 31 |
---|
442 | | - | (3) Violated any rule promulgated adopted by the Board pursuant to the authority 32 |
---|
443 | | - | contained in this Chapter. 33 |
---|
444 | | - | (4) Been convicted of any crime involving moral turpitude or any other crime 34 |
---|
445 | | - | involving violence or the illegal use, carrying, or possession of a dangerous 35 |
---|
446 | | - | weapon.felony as set forth in G.S. 74D-6(2) or any crime as set forth in 36 |
---|
447 | | - | G.S. 74D-6(3). 37 |
---|
448 | | - | … 38 |
---|
449 | | - | (7) Engaged in or permitted any employee to engage in any alarm security 39 |
---|
450 | | - | systems business when not lawfully in possession of a valid license 40 |
---|
451 | | - | registration issued under the provisions of this Chapter. 41 |
---|
452 | | - | (8) Committed an unlawful breaking or entering, burglary, larceny, sexual 42 |
---|
453 | | - | offense, trespass, fraud, assault, battery, or kidnapping. 43 |
---|
454 | | - | (9) Committed any other act which is a ground for the denial of an application for 44 |
---|
455 | | - | a license or registration under this Chapter. 45 |
---|
456 | | - | (10) Failed to maintain the certificate of liability insurance required by this 46 |
---|
457 | | - | Chapter. 47 |
---|
458 | | - | … 48 |
---|
459 | | - | (15) Engaged in the alarm security systems profession under a name other than the 49 |
---|
460 | | - | name under which the license was obtained under the provisions of this 50 |
---|
461 | | - | Chapter. 51 General Assembly Of North Carolina Session 2025 |
---|
462 | | - | Page 10 House Bill 897-First Edition |
---|
463 | | - | … 1 |
---|
464 | | - | (19) Engaged in conduct that constitutes dereliction of duty or otherwise deceives, 2 |
---|
465 | | - | defrauds, or harms the public in the course of professional activities or 3 |
---|
466 | | - | services.services, including fraudulently claiming a change in business 4 |
---|
467 | | - | ownership, fraudulently claiming dissolution of a competing business, 5 |
---|
468 | | - | fraudulently claiming to be a representative of the consumer's current service 6 |
---|
469 | | - | provider, misrepresentation of employer, or misrepresenting an upgrade of 7 |
---|
470 | | - | equipment as a sales tactic. 8 |
---|
471 | | - | (20) Demonstrated a lack of financial responsibility. 9 |
---|
472 | | - | … 10 |
---|
473 | | - | "§ 74D-11. Enforcement. 11 |
---|
474 | | - | … 12 |
---|
475 | | - | (b) Any person, firm, association, corporation, or department or division of a firm, 13 |
---|
476 | | - | association or corporation, or their agents and employees violating any of the provisions of this 14 |
---|
477 | | - | Chapter or knowingly violating any rule promulgated to implement this Chapter shall be guilty 15 |
---|
478 | | - | of a Class 1 misdemeanor. The Attorney General, or his or her representative, shall have 16 |
---|
479 | | - | concurrent jurisdiction with the district attorneys of this State to prosecute violations of this 17 |
---|
480 | | - | Chapter. 18 |
---|
481 | | - | (c) The regulation of alarm systems businesses shall be exclusive to the Board; however, 19 |
---|
482 | | - | any city or county shall be permitted to require an alarm systems business operating within its 20 |
---|
483 | | - | jurisdiction to register and to supply information regarding its license, and may adopt an 21 |
---|
484 | | - | ordinance to require users of alarm systems to obtain revocable permits when alarm usage 22 |
---|
485 | | - | involves automatic signal transmission to a law-enforcement agency. 23 |
---|
486 | | - | (d) In lieu of revocation of suspension of a license or registration under G.S. 74D-10, a 24 |
---|
487 | | - | civil penalty of not more than two thousand dollars ($2,000) per violation may be assessed by 25 |
---|
488 | | - | the Board against any person that violates any provision of this Chapter or any rule of the Board 26 |
---|
489 | | - | adopted pursuant to this Chapter. In determining the amount of any penalty, the Board shall 27 |
---|
490 | | - | consider the degree and extent of harm caused by the violation. The clear proceeds of all penalties 28 |
---|
491 | | - | collected under this section shall be remitted to the Civil Penalty and Forfeiture Fund in 29 |
---|
492 | | - | accordance with G.S. 115C-457.2. 30 |
---|
493 | | - | (e) Proceedings for the assessment of civil penalties shall be governed by Chapter 150B 31 |
---|
494 | | - | of the General Statutes. If the person assessed a penalty fails to pay the penalty to the Board, the 32 |
---|
495 | | - | Board may institute an action in the superior court of the county in which the person resides or 33 |
---|
496 | | - | has his or her principal place of business to recover the unpaid amount of the penalty. An action 34 |
---|
497 | | - | to recover a civil penalty under this section shall not relieve any party from any other penalty 35 |
---|
498 | | - | prescribed by law. 36 |
---|
499 | | - | (f) The sale, installation, or service of an alarm a security system by an unlicensed or 37 |
---|
500 | | - | unregistered person shall constitute a threat to the public safety, and any contract for the sale, 38 |
---|
501 | | - | installation, or service of an alarm a security system shall be deemed void and unenforceable. 39 |
---|
502 | | - | … 40 |
---|
503 | | - | "§ 74D-13. Transfer of funds. 41 |
---|
504 | | - | All fees collected pursuant to Chapter 74C of the General Statutes from alarm systems 42 |
---|
505 | | - | businesses which have not been expended upon January 1, 1984, shall be transferred to the Board 43 |
---|
506 | | - | by the Private Protective Services Board for the purpose of defraying the expenses of 44 |
---|
507 | | - | administering this act. 45 |
---|
508 | | - | "§ 74D-14. Proof of licensure to maintain or commence action. 46 |
---|
509 | | - | An alarm A security systems business may not maintain any action in any court of the State 47 |
---|
510 | | - | for the collection of compensation for performing an act for which a license or registration is 48 |
---|
511 | | - | required by this Chapter without alleging and proving that the alarm security systems business is 49 |
---|
512 | | - | appropriately licensed and the employee or agent of the alarm security systems business is 50 |
---|
513 | | - | appropriately registered upon entering into a contract with the consumer. An alarm A security 51 General Assembly Of North Carolina Session 2025 |
---|
514 | | - | House Bill 897-First Edition Page 11 |
---|
515 | | - | systems installation, maintenance, or monitoring contract entered into with a consumer shall be 1 |
---|
516 | | - | void if the consumer confirms through records maintained by the Board that the alarm security 2 |
---|
517 | | - | systems business is not properly licensed or the consumer establishes through records maintained 3 |
---|
518 | | - | by the Board that the person enticing the consumer to enter into the contract is not properly 4 |
---|
519 | | - | registered by the Board. The sale, installation, or service of an alarm A security system by an 5 |
---|
520 | | - | unlicensed entity or unregistered employee shall be deemed an unfair and deceptive trade practice 6 |
---|
521 | | - | and shall be actionable under Chapter 75 of the General Statutes. 7 |
---|
522 | | - | …." 8 |
---|
523 | | - | SECTION 1.(b) Article 2 of Chapter 74D of the General Statutes reads as rewritten: 9 |
---|
524 | | - | "Article 2. 10 |
---|
525 | | - | "Alarm Security Systems Education Fund. 11 |
---|
526 | | - | "§ 74D-30. Alarm Security Systems Education Fund created; payment to Fund; 12 |
---|
527 | | - | management; use of funds. 13 |
---|
528 | | - | (a) There is hereby created and established a special fund to be known as the "Alarm 14 |
---|
529 | | - | "Security Systems Education Fund" (hereinafter Fund) which shall be set aside and maintained 15 |
---|
530 | | - | in the office of the State Treasurer. The Fund shall be used in the manner provided in this Article 16 |
---|
531 | | - | for the education of licensees and registrants. 17 |
---|
532 | | - | … 18 |
---|
533 | | - | (c) In addition to the fees provided for elsewhere in this Chapter, the Board shall charge 19 |
---|
534 | | - | the following fees which shall be deposited into the Fund: 20 |
---|
535 | | - | (1) On July 1, 1985, the Board shall charge every licensee on that date a fee of 21 |
---|
536 | | - | fifty dollars ($50.00); 22 |
---|
537 | | - | (2) The Board shall charge each new applicant for a license fifty dollars ($50.00), 23 |
---|
538 | | - | provided that for purposes of this Article a new applicant is hereby defined as 24 |
---|
539 | | - | an applicant who did not possess a license on July 1, 1985; andfifty dollars 25 |
---|
540 | | - | ($50.00). 26 |
---|
541 | | - | (3) The Board is authorized to charge each licensee an additional amount, not to 27 |
---|
542 | | - | exceed fifty dollars ($50.00), on July 1 of any year in which the balance of the 28 |
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543 | | - | Fund is less than twenty-five thousand dollars ($25,000). 29 |
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544 | | - | (d) The State Treasurer shall invest and reinvest the moneys in the Fund in a manner 30 |
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545 | | - | provided by law. The Board in its discretion, may use the Fund for any of the following purposes: 31 |
---|
546 | | - | (1) To advance education and research in the alarm security systems field for the 32 |
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547 | | - | benefit of those licensed under the provisions of this Chapter and for the 33 |
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548 | | - | improvement of the industry,industry. 34 |
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549 | | - | (2) To underwrite educational seminars, training centers and other educational 35 |
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550 | | - | projects for the use and benefit generally of licensees, andlicensees. 36 |
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551 | | - | (3) To sponsor, contract for and to underwrite any and all additional educational 37 |
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552 | | - | training and research projects of a similar nature having to do with the 38 |
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553 | | - | advancement of the alarm security systems field in North Carolina." 39 |
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554 | | - | SECTION 1.(c) The Alarm Systems Licensing Board may adopt rules to implement 40 |
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555 | | - | the provisions of this Part. 41 |
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556 | | - | SECTION 1.(d) This Part becomes effective October 1, 2025. 42 |
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557 | | - | 43 |
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558 | | - | PART II. PRIVATE PROTECTIVE SERVICES BOA RD LAWS AMENDMENTS 44 |
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559 | | - | SECTION 2.(a) G.S. 74C-2 reads as rewritten: 45 |
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560 | | - | "§ 74C-2. Licenses required. 46 |
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561 | | - | (a) No private person, firm, association, or corporation shall engage in, perform any 47 |
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562 | | - | services as, or in any way represent or hold itself out as engaging in a private protective services 48 |
---|
563 | | - | profession or activity in this State without having first complied with the provisions of this 49 |
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564 | | - | Chapter. Compliance with the licensing requirements of this Chapter shall not relieve any person, 50 |
---|
565 | | - | firm, association or corporation from compliance with any other licensing law. 51 General Assembly Of North Carolina Session 2025 |
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566 | | - | Page 12 House Bill 897-First Edition |
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| 477 | + | (b) Any person, firm, association, corporation, or department or division of a firm, 12 |
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| 478 | + | association or corporation, or their agents and employees violating any of the provisions of this 13 |
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| 479 | + | Chapter or knowingly violating any rule promulgated to implement this Chapter shall be guilty 14 |
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| 480 | + | of a Class 1 misdemeanor. The Attorney General, or his or her representative, shall have 15 |
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| 481 | + | concurrent jurisdiction with the district attorneys of this State to prosecute violations of this 16 |
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| 482 | + | Chapter. 17 |
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| 483 | + | (c) The regulation of alarm systems businesses shall be exclusive to the Board; however, 18 |
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| 484 | + | any city or county shall be permitted to require an alarm systems business operating within its 19 |
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| 485 | + | jurisdiction to register and to supply information regarding its license, and may adopt an 20 |
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| 486 | + | ordinance to require users of alarm systems to obtain revocable permits when alarm usage 21 |
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| 487 | + | involves automatic signal transmission to a law-enforcement agency. 22 |
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| 488 | + | (d) In lieu of revocation of suspension of a license or registration under G.S. 74D-10, a 23 |
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| 489 | + | civil penalty of not more than two thousand dollars ($2,000) per violation may be assessed by 24 |
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| 490 | + | the Board against any person that violates any provision of this Chapter or any rule of the Board 25 |
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| 491 | + | adopted pursuant to this Chapter. In determining the amount of any penalty, the Board shall 26 |
---|
| 492 | + | consider the degree and extent of harm caused by the violation. The clear proceeds of all penalties 27 |
---|
| 493 | + | collected under this section shall be remitted to the Civil Penalty and Forfeiture Fund in 28 |
---|
| 494 | + | accordance with G.S. 115C-457.2. 29 |
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| 495 | + | (e) Proceedings for the assessment of civil penalties shall be governed by Chapter 150B 30 |
---|
| 496 | + | of the General Statutes. If the person assessed a penalty fails to pay the penalty to the Board, the 31 |
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| 497 | + | Board may institute an action in the superior court of the county in which the person resides or 32 |
---|
| 498 | + | has his or her principal place of business to recover the unpaid amount of the penalty. An action 33 |
---|
| 499 | + | to recover a civil penalty under this section shall not relieve any party from any other penalty 34 |
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| 500 | + | prescribed by law. 35 |
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| 501 | + | (f) The sale, installation, or service of an alarm a security system by an unlicensed or 36 |
---|
| 502 | + | unregistered person shall constitute a threat to the public safety, and any contract for the sale, 37 |
---|
| 503 | + | installation, or service of an alarm a security system shall be deemed void and unenforceable. 38 |
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| 504 | + | … 39 |
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| 505 | + | "§ 74D-13. Transfer of funds. 40 |
---|
| 506 | + | All fees collected pursuant to Chapter 74C of the General Statutes from alarm systems 41 |
---|
| 507 | + | businesses which have not been expended upon January 1, 1984, shall be transferred to the Board 42 |
---|
| 508 | + | by the Private Protective Services Board for the purpose of defraying the expenses of 43 |
---|
| 509 | + | administering this act. 44 |
---|
| 510 | + | "§ 74D-14. Proof of licensure to maintain or commence action. 45 |
---|
| 511 | + | An alarm A security systems business may not maintain any action in any court of the State 46 |
---|
| 512 | + | for the collection of compensation for performing an act for which a license or registration is 47 |
---|
| 513 | + | required by this Chapter without alleging and proving that the alarm security systems business is 48 |
---|
| 514 | + | appropriately licensed and the employee or agent of the alarm security systems business is 49 |
---|
| 515 | + | appropriately registered upon entering into a contract with the consumer. An alarm A security 50 |
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| 516 | + | systems installation, maintenance, or monitoring contract entered into with a consumer shall be 51 General Assembly Of North Carolina Session 2025 |
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| 517 | + | DRH10407-NNf-61 Page 11 |
---|
| 518 | + | void if the consumer confirms through records maintained by the Board that the alarm security 1 |
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| 519 | + | systems business is not properly licensed or the consumer establishes through records maintained 2 |
---|
| 520 | + | by the Board that the person enticing the consumer to enter into the contract is not properly 3 |
---|
| 521 | + | registered by the Board. The sale, installation, or service of an alarm A security system by an 4 |
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| 522 | + | unlicensed entity or unregistered employee shall be deemed an unfair and deceptive trade practice 5 |
---|
| 523 | + | and shall be actionable under Chapter 75 of the General Statutes. 6 |
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| 524 | + | …." 7 |
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| 525 | + | SECTION 1.(b) Article 2 of Chapter 74D of the General Statutes reads as rewritten: 8 |
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| 526 | + | "Article 2. 9 |
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| 527 | + | "Alarm Security Systems Education Fund. 10 |
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| 528 | + | "§ 74D-30. Alarm Security Systems Education Fund created; payment to Fund; 11 |
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| 529 | + | management; use of funds. 12 |
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| 530 | + | (a) There is hereby created and established a special fund to be known as the "Alarm 13 |
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| 531 | + | "Security Systems Education Fund" (hereinafter Fund) which shall be set aside and maintained 14 |
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| 532 | + | in the office of the State Treasurer. The Fund shall be used in the manner provided in this Article 15 |
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| 533 | + | for the education of licensees and registrants. 16 |
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| 534 | + | … 17 |
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| 535 | + | (c) In addition to the fees provided for elsewhere in this Chapter, the Board shall charge 18 |
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| 536 | + | the following fees which shall be deposited into the Fund: 19 |
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| 537 | + | (1) On July 1, 1985, the Board shall charge every licensee on that date a fee of 20 |
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| 538 | + | fifty dollars ($50.00); 21 |
---|
| 539 | + | (2) The Board shall charge each new applicant for a license fifty dollars ($50.00), 22 |
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| 540 | + | provided that for purposes of this Article a new applicant is hereby defined as 23 |
---|
| 541 | + | an applicant who did not possess a license on July 1, 1985; andfifty dollars 24 |
---|
| 542 | + | ($50.00). 25 |
---|
| 543 | + | (3) The Board is authorized to charge each licensee an additional amount, not to 26 |
---|
| 544 | + | exceed fifty dollars ($50.00), on July 1 of any year in which the balance of the 27 |
---|
| 545 | + | Fund is less than twenty-five thousand dollars ($25,000). 28 |
---|
| 546 | + | (d) The State Treasurer shall invest and reinvest the moneys in the Fund in a manner 29 |
---|
| 547 | + | provided by law. The Board in its discretion, may use the Fund for any of the following purposes: 30 |
---|
| 548 | + | (1) To advance education and research in the alarm security systems field for the 31 |
---|
| 549 | + | benefit of those licensed under the provisions of this Chapter and for the 32 |
---|
| 550 | + | improvement of the industry,industry. 33 |
---|
| 551 | + | (2) To underwrite educational seminars, training centers and other educational 34 |
---|
| 552 | + | projects for the use and benefit generally of licensees, andlicensees. 35 |
---|
| 553 | + | (3) To sponsor, contract for and to underwrite any and all additional educational 36 |
---|
| 554 | + | training and research projects of a similar nature having to do with the 37 |
---|
| 555 | + | advancement of the alarm security systems field in North Carolina." 38 |
---|
| 556 | + | SECTION 1.(c) The Alarm Systems Licensing Board may adopt rules to implement 39 |
---|
| 557 | + | the provisions of this Part. 40 |
---|
| 558 | + | SECTION 1.(d) This Part becomes effective October 1, 2025. 41 |
---|
| 559 | + | 42 |
---|
| 560 | + | PART II. PRIVATE PROTECTIVE SERVICES BOARD LAWS AMENDMENTS 43 |
---|
| 561 | + | SECTION 2.(a) G.S. 74C-2 reads as rewritten: 44 |
---|
| 562 | + | "§ 74C-2. Licenses required. 45 |
---|
| 563 | + | (a) No private person, firm, association, or corporation shall engage in, perform any 46 |
---|
| 564 | + | services as, or in any way represent or hold itself out as engaging in a private protective services 47 |
---|
| 565 | + | profession or activity in this State without having first complied with the provisions of this 48 |
---|
| 566 | + | Chapter. Compliance with the licensing requirements of this Chapter shall not relieve any person, 49 |
---|
| 567 | + | firm, association or corporation from compliance with any other licensing law. 50 General Assembly Of North Carolina Session 2025 |
---|
| 568 | + | Page 12 DRH10407-NNf-61 |
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