By: Simmons (Senate Sponsor - Campbell) H.B. No. 2162 (In the Senate - Received from the House May 11, 2015; May 13, 2015, read first time and referred to Committee on Intergovernmental Relations; May 25, 2015, reported adversely, with favorable Committee Substitute by the following vote: Yeas 5, Nays 0; May 25, 2015, sent to printer.) Click here to see the committee vote COMMITTEE SUBSTITUTE FOR H.B. No. 2162 By: Campbell A BILL TO BE ENTITLED AN ACT relating to municipal regulation of the use of alarm systems; authorizing a municipal fee. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 214.191, Local Government Code, is amended to read as follows: Sec. 214.191. DEFINITIONS. In this subchapter: (1) "Alarm system" means a device or system that transmits a signal intended to summon police of a municipality in response to a burglary. The term includes an alarm that emits an audible signal on the exterior of a structure. The term does not include an alarm installed on a vehicle, unless the vehicle is used for a habitation at a permanent site, or an alarm designed to alert only the inhabitants within the premises. (2) "Alarm systems monitor" means a person who acts as an alarm systems company under Section 1702.105, Occupations Code. (3) "False alarm" means a notification of possible criminal activity reported to law enforcement: (A) that is based solely on electronic information remotely received by an alarm systems monitor; (B) that is uncorroborated by eyewitness, video, or photographic evidence that an emergency exists; and (C) concerning which an agency of the municipality has verified that no emergency exists after an on-site inspection of the location from which the notification originated. (4) [(2)] "Permit" means a certificate, license, permit, or other form of permission that authorizes a person to engage in an action. SECTION 2. Section 214.194(b), Local Government Code, is amended to read as follows: (b) A municipal permit fee imposed under this section for an alarm system may not exceed the rate of: (1) $50 a year for a residential location; and (2) $250 a year for other alarm system locations. SECTION 3. The heading to Section 214.195, Local Government Code, is amended to read as follows: Sec. 214.195. NONRENEWAL OR REVOCATION OF PERMIT; [AND] TERMINATION OF MUNICIPAL RESPONSE; DISCRIMINATION PROHIBITED. SECTION 4. Section 214.195, Local Government Code, is amended by amending Subsection (a) and adding Subsection (e) to read as follows: (a) Except as provided in Subsections [Subsection] (d) and (e), a municipality may not terminate its law enforcement response to a residential permit holder because of excess false alarms if the false alarm fees are paid in full. (e) A municipality may refuse to respond to a location if the location has had more than eight other false alarms during the preceding 12-month period. SECTION 5. Section 214.196, Local Government Code, is amended to read as follows: Sec. 214.196. ON-SITE INSPECTION REQUIRED. A municipality may not consider a false alarm to have occurred unless a response is made by an agency of the municipality within a reasonable time [30 minutes of the alarm notification] and the agency determines from an inspection of the interior or exterior of the premises that the alarm report by an alarm systems monitor was false. SECTION 6. Section 214.197, Local Government Code, is amended to read as follows: Sec. 214.197. PENALTIES FOR FALSE ALARMS. (a) A municipality may impose a penalty on a person who uses an alarm system in the municipality for the report [signaling] of a false alarm by an alarm systems monitor [a burglar alarm system] if at least three other false alarms have occurred at that location during the preceding 12-month period. The amount of the penalty for the report [signaling] of a false alarm as described by Section 214.196 may not exceed: (1) $50, if the location has had more than three but fewer than six other false alarms in the preceding 12-month period; (2) $75, if the location has had more than five but fewer than eight other false alarms in the preceding 12-month period; or (3) $100, if the location has had eight or more other false alarms in the preceding 12-month period. (b) A municipality may not impose a penalty authorized under Subsection (a) if reasonable visual proof of possible criminal activity recorded by an alarm systems monitor is provided to the municipality before the inspection of the premises by an agency of the municipality. (c) A municipality that adopts an ordinance requiring a person to obtain a permit from the municipality before the person may use an alarm system in the municipality may impose a penalty, not to exceed $250, for the report of a false alarm by an alarm systems monitor on a person who has not obtained a permit for the alarm system as required by the municipal ordinance. (d) A municipality: (1) may impose a penalty, not to exceed $250, for the report of a false alarm on a person not licensed under Chapter 1702, Occupations Code, that to any extent is reported or facilitated by the unlicensed person; and (2) may not impose a penalty for the report of a false alarm on a person licensed under Chapter 1702, Occupations Code. (e) A municipality may not impose or collect any fine, fee, or penalty related to a false alarm or alarm system unless the fine, fee, or penalty is defined in the ordinance in accordance with this subchapter. SECTION 7. The heading to Section 214.198, Local Government Code, is amended to read as follows: Sec. 214.198. PROCEDURES FOR REDUCING FALSE ALARMS [VERIFICATION]. SECTION 8. Section 214.200(b), Local Government Code, is amended to read as follows: (b) A municipality that does not respond to an alarm system signal is not liable for damages that may occur relating to the cause of the alarm system signal. SECTION 9. Subchapter F, Chapter 214, Local Government Code, is amended by adding Section 214.201 to read as follows: Sec. 214.201. EXCLUSION OF CERTAIN ALARM SYSTEMS BY OWNER. (a) A property owner or an agent of the property owner authorized to make decisions regarding the use of the property may elect to exclude the municipality from receiving an alarm signal by an alarm system located on the owner's property. A municipality may adopt an ordinance that specifies the requirements a property owner must satisfy for an election to be made under this section. (b) If an election is made under Subsection (a), the municipality: (1) may not impose a fee to obtain a permit to use the alarm system; (2) may impose a fee on the property owner, not to exceed $250, for each law enforcement response to a signal from the alarm system requested by an alarm systems monitor; and (3) may not impose or collect any other fine, penalty, or fee, other than a collection fee, related to the alarm system. SECTION 10. With respect to a municipality that on the effective date of this Act is a party to a contract with a third party to provide alarm system services, the changes in law made by this Act apply beginning after the date the contract, including any renewals, is terminated or expires by the contract's own terms. During the period a contract described by this section is effective, the municipality is governed by the law in effect immediately before the effective date of this Act, and the former law is continued in effect for that purpose. SECTION 11. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2015. * * * * *