BILL REQ. #:  S-0524.2 

Read first time 01/17/11.   Referred to Committee on Labor, Commerce & Consumer Protection.

     AN ACT Relating to the licensure of locksmiths; amending RCW 18.170.020, 18.170.030, 18.170.070, 18.170.120, 18.170.130, 18.170.140, 18.170.160, 18.170.164, 18.170.180, and 18.235.020; reenacting and amending RCW 18.170.010 and 43.24.150; adding a new section to chapter 18.170 RCW; and providing an effective date.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1   RCW 18.170.010 and 2007 c 306 s 1 and 2007 c 154 s 1 are each reenacted and amended to read as follows:
     The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
     (1) "Armed private security guard" means a private security guard who has a current firearms certificate issued by the commission and is licensed as an armed private security guard under this chapter.
     (2) "Armored vehicle guard" means a person who transports in an armored vehicle under armed guard, from one place to another place, valuables, jewelry, currency, documents, or any other item that requires secure delivery.
     (3) "Burglar alarm response runner" means a person employed by a private security company to respond to burglar alarm system signals.
     (4) "Burglar alarm system" means a device or an assembly of equipment and devices used to detect or signal unauthorized intrusion, movement, or exit at a protected premises, other than in a vehicle, to which police or private security guards are expected to respond.
     (5) "Chief law enforcement officer" means the elected or appointed police administrator of a municipal, county, or state police or sheriff's department that has full law enforcement powers in its jurisdiction.
     (6) "Classroom instruction" means training that takes place in a setting where individuals receiving training are assembled together and learn through lectures, study papers, class discussion, textbook study, or other means of organized formal education techniques, such as video, closed circuit, or other forms of electronic means, and as distinguished from individual instruction.
     (7) "Commission" means the criminal justice training commission established in chapter 43.101 RCW.
     (8) "Department" means the department of licensing.
     (9) "Department-certified trainer" means any person who has been approved by the department by receiving a passing score on a department-administered examination, to administer department-provided examinations and attest that training or testing requirements have been met.
     (10) "Director" means the director of the department of licensing.
     (11) "Employer" includes any individual, firm, corporation, partnership, association, company, society, manager, contractor, subcontractor, bureau, agency, service, office, or an agent of any of the foregoing that employs or seeks to enter into an arrangement to employ any person as a private security guard.
     (12) "Emergency" means imminent threat to life or property.
     (13) "Firearms certificate" means the certificate issued by the commission.
     (((13))) (14) "Individual instruction" means training that takes place either on-the-job or through formal education techniques, such as video, closed circuit, internet, or other forms of electronic means, and as distinguished from classroom instruction.
     (((14))) (15) "Licensee" means a person granted a license required by this chapter.
     (((15))) (16) "Lock" means any mechanical, electromechanical, electronic, or electromagnetic device, including any peripheral hardware, such as closed circuit television systems, wireless or infrared transmitters, card readers, keypads, or biometric scanners that are designed to control access or egress or to control the use of something.
     (17) "Locksmith" means any person licensed to perform locksmith services for compensation. "Locksmith" does not mean a person whose activities are limited to making duplicate keys. For the purposes of this subsection, "compensation" means money, fee, emolument, quid pro quo, barter, remuneration, pay, reward, indemnification, or satisfaction.
     (18) "Locksmith services" or "locksmithing" means:
     (a) Selling, installing, servicing, repairing, repining, recombinating, and adjusting locks, safes, vaults, or safe deposit boxes;
     (b) Originating keys;
     (c) Operating, bypassing, or neutralizing locks, safes, vaults, or safe deposit boxes;
     (d) Creating, documenting, selling, installing, managing, and servicing master-key systems;
     (e) Unlocking, bypassing, or neutralizing locks for motor vehicles;
     (f) Originating of keys for motor vehicles, which can include the programming, reprogramming, or bypassing of any security transponder, or immobilizer systems or subsequent technology built by the manufacturer; and
     (g) Keying or recombinating motor vehicle locks.
     (19) "Person" includes any individual, firm, corporation, partnership, association, company, society, manager, contractor, subcontractor, bureau, agency, service, office, or an agent or employee of any of the foregoing.
     (((16))) (20) "Primary responsibility" means activity that is fundamental to, and required or expected in, the regular course of employment and is not merely incidental to employment.
     (((17))) (21) "Principal corporate officer" means the president, vice president, treasurer, secretary, comptroller, or any other person who performs the same functions for the corporation as performed by these officers.
     (((18))) (22) "Private security company" means a person or entity licensed under this chapter and engaged in the business of providing the services of private security guards on a contractual basis.
     (((19))) (23) "Private security guard" means an individual who is licensed under this chapter and principally employed as or typically referred to as one of the following:
     (a) Security officer or guard;
     (b) Patrol or merchant patrol service officer or guard;
     (c) Armed escort or bodyguard;
     (d) Armored vehicle guard;
     (e) Burglar alarm response runner; or
     (f) Crowd control officer or guard.
     (((20))) (24) "Qualifying agent" means an officer or manager of a corporation who meets the requirements set forth in this chapter for obtaining a license to own or operate a private security company.
     (((21))) (25) "Sworn peace officer" means a person who is an employee of the federal government, the state, a political subdivision, agency, or department branch of a municipality, or other unit of local government, and has law enforcement powers.

Sec. 2   RCW 18.170.020 and 2007 c 154 s 2 are each amended to read as follows:
     The requirements of this chapter do not apply to:
     (1) A person who is employed exclusively or regularly by one employer and performs the functions of a private security guard solely in connection with the affairs of that employer, if the employer is not a private security company;
     (2) A sworn peace officer while engaged in the performance of the officer's official duties;
     (3) Employees of police departments, fire departments, or other governmental agencies providing emergency services in their official line of duty;
     (4) A sworn peace officer while employed by any person to engage in off-duty employment as a private security guard, but only if the employment is approved by the chief law enforcement officer of the jurisdiction where the employment takes place and the sworn peace officer does not employ, contract with, or broker for profit other persons to assist him or her in performing the duties related to his or her private employer; ((or
     (4))) (5)(a) A person performing crowd management or guest services including, but not limited to, a person described as a ticket taker, usher, door attendant, parking attendant, crowd monitor, or event staff who:
     (((a))) (i) Does not carry a firearm or other dangerous weapon including, but not limited to, a stun gun, taser, pepper mace, or nightstick;
     (((b))) (ii) Does not wear a uniform or clothing readily identifiable by a member of the public as that worn by a private security officer or law enforcement officer; and
     (((c))) (iii) Does not have as his or her primary responsibility the detainment of persons or placement of persons under arrest.
     (b) The exemption provided in this subsection (5) applies only when a crowd has assembled for the purpose of attending or taking part in an organized event, including preevent assembly, event operation hours, and postevent departure activities;
     (6) Sales representatives providing a bona fide sales demonstration of products to locksmiths;
     (7) An in-store employee of a hardware store, do-it-yourself home products store, or other retail store, when rekeying locks just purchased or about to be purchased, in the store where that employee works;
     (8) Any person using a key duplicating machine or key blanks in their place of business;
     (9) A property owner maintaining a file of key cutting data for a master-key system on the property;
     (10) An employee of a financial institution or trust company that provides safe, safe deposit box, or vault opening or lock services at his or her place of employment;
     (11) An automotive service dealer, a lock manufacturer, or an agent of a lock manufacturer servicing, installing, repairing, or rebuilding automotive locks or originating and duplicating automotive keys;
     (12) Building trades personnel installing locks or locking devices on a project that requires a building permit; or
     (13) A tow operator or repossessing agent possessing and using car opening tools to unlock vehicles to facilitate towing or repossession.

Sec. 3   RCW 18.170.030 and 1995 c 277 s 1 are each amended to read as follows:
     An applicant must meet the following minimum requirements to obtain a ((private security guard)) license under this chapter:
     (1) Be at least eighteen years of age;
     (2) Be a citizen of the United States or a resident alien;
     (3) Not have been convicted of a crime in any jurisdiction, if the director determines that the applicant's particular crime directly relates to his or her capacity to perform the duties of a private security guard or locksmith, as applicable, and the director determines that the license should be withheld to protect the citizens of Washington state. The director shall make her or his determination to withhold a license because of previous convictions notwithstanding the restoration of employment rights act, chapter 9.96A RCW;
     (4) For security guard applicants, be employed by or have an employment offer from a licensed private security company or be licensed as a private security company;
     (5) Satisfy the training requirements established by the director;
     (6) Submit a set of fingerprints;
     (7) For locksmith applicants, submit proof of compliance with insurance and bonding requirements, as adopted by the director;
     (8) For locksmith applicants, submit evidence of successful passage of the written examination as required in section 7 of this act;
     (9) Pay the required nonrefundable fee for each application; ((and
     (8))) (10) Submit a fully completed application that includes proper identification on a form prescribed by the director for each company of employment; and
     (11) Other qualifications, as established by the director.

Sec. 4   RCW 18.170.070 and 1995 c 277 s 5 are each amended to read as follows:
     (1) The director shall issue a private security guard license card to each licensed private security guard ((and)), an armed private security guard license card to each licensed armed private security guard, and a locksmith license card to each licensed locksmith.
     (a) The license card may not be used as security clearance.
     (b) A private security guard shall carry the license card whenever he or she is performing the duties of a private security guard and shall exhibit the card upon request.
     (c) An armed private security guard shall carry the license card whenever he or she is performing the duties of an armed private security guard and shall exhibit the card upon request.
     (d) A locksmith shall carry the license card whenever he or she is performing the duties of a locksmith and shall exhibit the card upon request.
     (2) The director shall issue a license certificate to each licensed private security company or locksmith company.
     (a) Within seventy-two hours after receipt of the license certificate, the licensee shall post and display the certificate in a conspicuous place in the principal office of the licensee within the state.
     (b) It is unlawful for any person holding a license certificate to knowingly and willfully post the license certificate upon premises other than those described in the license certificate or to materially alter a license certificate.
     (c) Every advertisement by a licensee that solicits or advertises business shall contain the name of the licensee, the address of record, and the license number as they appear in the records of the director.
     (d) The licensee shall notify the director within thirty days of any change in the licensee's officers or directors or any material change in the information furnished or required to be furnished to the director.
     (3) A license issued under this section expires one year after issuance. The department shall develop renewal procedures.

Sec. 5   RCW 18.170.120 and 1995 c 277 s 9 are each amended to read as follows:
     (1) Any person from another state that the director determines has selection, training, and other requirements at least equal to those required by this chapter, and who holds a valid license, registration, identification, or similar card issued by the other state, may apply for a ((private security guard license card or armed private security guard license card)) license under this chapter on a form prescribed by the director. Upon receipt of a processing fee to be determined by the director, the director shall issue the individual ((a private security guard license card or armed private security guard)) an applicable license card.
     (2) A valid private security guard license, registration, identification, or similar card issued by any other state of the United States is valid in this state for a period of ninety days, but only if the licensee is on temporary assignment as a private security guard for the same employer that employs the licensee in the state in which he or she is a permanent resident.
     (3) A person from another state on temporary assignment in Washington may not solicit business in this state or represent himself or herself as licensed in this state.

Sec. 6   RCW 18.170.130 and 1995 c 277 s 10 are each amended to read as follows:
     (1) Applications for licenses required under this chapter shall be filed with the director on a form provided by the director. The director may require any information and documentation that reasonably relates to the need to determine whether the applicant meets the criteria.
     (2) After receipt of an application for a license, the director shall conduct an investigation to determine whether the facts set forth in the application are true and shall request that the Washington state patrol compare the fingerprints submitted with the application to fingerprint records available to the Washington state patrol. The Washington state patrol shall forward the fingerprints of applicants for an armed private security guard license to the federal bureau of investigation for a national criminal history records check. The applicant is required to pay the current federal and state fees for fingerprint-based criminal history records check. The director may require that fingerprint cards of licensees be periodically reprocessed to identify criminal convictions subsequent to registration. The department may consider the recent issuance of a license that required a fingerprint-based national criminal information records check, in order to accelerate the registration process.
     (3) The director shall solicit comments from the chief law enforcement officer of the county and city or town in which the applicant's employer is located on issuance of a permanent private security guard license.
     (4) A summary of the information acquired under this section, to the extent that it is public information, shall be forwarded by the department to the applicant's employer.

NEW SECTION.  Sec. 7   A new section is added to chapter 18.170 RCW to read as follows:
     Applicants for locksmith licensure must pass a written examination that is psychometrically valid, reliable, and legally defensible by the state. The examination is to be developed, maintained, and administered by the department. The director may choose to use an examination prepared by a national entity.

Sec. 8   RCW 18.170.140 and 1991 c 334 s 14 are each amended to read as follows:
     (1) The provisions of this chapter relating to the licensing for regulatory purposes of private security guards, armed private security guards, ((and)) private security companies, locksmiths, and locksmith companies are exclusive. No governmental subdivision of this state may enact any laws or rules licensing for regulatory purposes such persons, except as provided in subsections (2) and (3) of this section.
     (2) This section shall not be construed to prevent a political subdivision of this state from levying a business license fee, business and occupation tax, or other tax upon private security companies or locksmith companies if such fees or taxes are levied on other types of businesses within its boundaries.
     (3) This section shall not be construed to prevent this state or a political subdivision of this state from licensing or regulating private security companies or locksmith companies with respect to activities performed or offered that are not of a security nature.

Sec. 9   RCW 18.170.160 and 1995 c 277 s 11 are each amended to read as follows:
     (1) After June 30, 1992, any person who performs the functions and duties of a private security guard in this state without being licensed in accordance with this chapter, or any person presenting or attempting to use as his or her own the license of another, or any person who gives false or forged evidence of any kind to the director in obtaining a license, or any person who falsely impersonates any other licensee, or any person who attempts to use an expired or revoked license, or any person who violates any of the provisions of this chapter is guilty of a gross misdemeanor.
     (2) After January 1, 1992, a person is guilty of a gross misdemeanor if he or she owns or operates a private security company in this state without first obtaining a private security company license.
     (3) After June 30, 1992, the owner or qualifying agent of a private security company is guilty of a gross misdemeanor if he or she employs an unlicensed person to perform the duties of a private security guard without issuing the employee a valid temporary registration card if the employee does not have in his or her possession a permanent private security guard license issued by the department. This subsection does not preclude a private security company from requiring applicants to attend preassignment training classes or from paying wages for attending the required preassignment training classes.
     (4) After June 30, 1992, a person is guilty of a gross misdemeanor if he or she performs the functions and duties of an armed private security guard in this state unless the person holds a valid armed private security guard license issued by the department.
     (5) After June 30, 1992, it is a gross misdemeanor for a private security company to hire, contract with, or otherwise engage the services of an unlicensed armed private security guard knowing that he or she does not have a valid armed private security guard license issued by the director.
     (6) It is a gross misdemeanor for a person to possess or use any vehicle or equipment displaying the word "police" or "law enforcement officer" or having any sign, shield, marking, accessory, or insignia that indicates that the equipment or vehicle belongs to a public law enforcement agency.
     (7) It is a gross misdemeanor for any person who performs the functions and duties of a private security guard to use any name that includes the word "police" or "law enforcement" or that portrays the individual or a business as a public law enforcement agency.
     (8) It is the duty of all officers of the state and political subdivisions thereof to enforce the provisions of this chapter. The attorney general shall act as legal adviser of the director, and render such legal assistance as may be necessary in carrying out the provisions of this chapter.
     (9) After June 30, 2013, it is unlawful for any person to perform or offer to perform locksmith services without having been issued a valid locksmith license.

Sec. 10   RCW 18.170.164 and 1997 c 58 s 838 are each amended to read as follows:
     The director shall immediately suspend ((any)) the license ((issued under this chapter if the holder)) of a person who has been certified pursuant to RCW 74.20A.320 by the department of social and health services as a person who is not in compliance with a support order ((or a residential or visitation order)). If the person has continued to meet all other requirements for ((reinstatement)) a license under this chapter during the suspension, reissuance of the license ((shall be)) is automatic upon the director's receipt of a release issued by the department of social and health services stating that the ((person)) licensee is in compliance with the child support order. The procedure in RCW 74.20A.320 is the exclusive administrative remedy for contesting the establishment of noncompliance with a child support order, and suspension of a license under this subsection, and satisfies the requirements of RCW 34.05.422.
     (2) The director shall establish by rule under what circumstances a license may be suspended or revoked. These circumstances must be based upon accepted industry standards.

Sec. 11   RCW 18.170.180 and 2007 c 256 s 9 are each amended to read as follows:
     The director or the director's designee has the following authority in administering this chapter:
     (1) To adopt, amend, and rescind rules as deemed necessary to carry out this chapter;
     (2) To adopt standards of professional conduct or practice; ((and))
     (3) To employ such administrative and clerical staff as necessary for the enforcement of this chapter; and
     (4) Adopt fees as provided in RCW 43.24.086.

Sec. 12   RCW 18.235.020 and 2010 c 179 s 18 are each amended to read as follows:
     (1) This chapter applies only to the director and the boards and commissions having jurisdiction in relation to the businesses and professions licensed under the chapters specified in this section. This chapter does not apply to any business or profession not licensed under the chapters specified in this section.
     (2)(a) The director has authority under this chapter in relation to the following businesses and professions:
     (i) Auctioneers under chapter 18.11 RCW;
     (ii) Bail bond agents and bail bond recovery agents under chapter 18.185 RCW;
     (iii) Camping resorts' operators and salespersons under chapter 19.105 RCW;
     (iv) Commercial telephone solicitors under chapter 19.158 RCW;
     (v) Cosmetologists, barbers, manicurists, and estheticians under chapter 18.16 RCW;
     (vi) Court reporters under chapter 18.145 RCW;
     (vii) Driver training schools and instructors under chapter 46.82 RCW;
     (viii) Employment agencies under chapter 19.31 RCW;
     (ix) For hire vehicle operators under chapter 46.72 RCW;
     (x) Limousines under chapter 46.72A RCW;
     (xi) Notaries public under chapter 42.44 RCW;
     (xii) Private investigators under chapter 18.165 RCW;
     (xiii) Professional boxing, martial arts, and wrestling under chapter 67.08 RCW;
     (xiv) Real estate appraisers under chapter 18.140 RCW;
     (xv) Real estate brokers and salespersons under chapters 18.85 and 18.86 RCW;
     (xvi) Security guards and locksmiths under chapter 18.170 RCW;
     (xvii) Sellers of travel under chapter 19.138 RCW;
     (xviii) Timeshares and timeshare salespersons under chapter 64.36 RCW;
     (xix) Whitewater river outfitters under chapter 79A.60 RCW;
     (xx) Home inspectors under chapter 18.280 RCW;
     (xxi) Body artists, body piercers, and tattoo artists, and body art, body piercing, and tattooing shops and businesses, under chapter 18.300 RCW; and
     (xxii) Appraisal management companies under chapter 18.310 RCW.
     (b) The boards and commissions having authority under this chapter are as follows:
     (i) The state board ((of registration)) for architects established in chapter 18.08 RCW;
     (ii) The Washington state collection agency board established in chapter 19.16 RCW;
     (iii) The state board of registration for professional engineers and land surveyors established in chapter 18.43 RCW governing licenses issued under chapters 18.43 and 18.210 RCW;
     (iv) The funeral and cemetery board established in chapter 18.39 RCW governing licenses issued under chapters 18.39 and 68.05 RCW;
     (v) The state board of licensure for landscape architects established in chapter 18.96 RCW; and
     (vi) The state geologist licensing board established in chapter 18.220 RCW.
     (3) In addition to the authority to discipline license holders, the disciplinary authority may grant or deny licenses based on the conditions and criteria established in this chapter and the chapters specified in subsection (2) of this section. This chapter also governs any investigation, hearing, or proceeding relating to denial of licensure or issuance of a license conditioned on the applicant's compliance with an order entered under RCW 18.235.110 by the disciplinary authority.

Sec. 13   RCW 43.24.150 and 2009 c 429 s 4, 2009 c 412 s 21, and 2009 c 370 s 19 are each reenacted and amended to read as follows:
     (1) The business and professions account is created in the state treasury. All receipts from business or professional licenses, registrations, certifications, renewals, examinations, or civil penalties assessed and collected by the department from the following chapters must be deposited into the account:
     (a) Chapter 18.11 RCW, auctioneers;
     (b) Chapter 18.16 RCW, cosmetologists, barbers, and manicurists;
     (c) Chapter 18.145 RCW, court reporters;
     (d) Chapter 18.165 RCW, private investigators;
     (e) Chapter 18.170 RCW, security guards and locksmiths;
     (f) Chapter 18.185 RCW, bail bond agents;
     (g) Chapter 18.280 RCW, home inspectors;
     (h) Chapter 19.16 RCW, collection agencies;
     (i) Chapter 19.31 RCW, employment agencies;
     (j) Chapter 19.105 RCW, camping resorts;
     (k) Chapter 19.138 RCW, sellers of travel;
     (l) Chapter 42.44 RCW, notaries public;
     (m) Chapter 64.36 RCW, timeshares;
     (n) Chapter 67.08 RCW, boxing, martial arts, and wrestling; and
     (o) Chapter 18.300 RCW.
     Moneys in the account may be spent only after appropriation. Expenditures from the account may be used only for expenses incurred in carrying out these business and professions licensing activities of the department. Any residue in the account shall be accumulated and shall not revert to the general fund at the end of the biennium.
     (2) The director shall biennially prepare a budget request based on the anticipated costs of administering the business and professions licensing activities listed in subsection (1) of this section, which shall include the estimated income from these business and professions fees.

NEW SECTION.  Sec. 14   This act takes effect July 1, 2012.