AN ACT Relating to private security/private investigator licensing; adding a new chapter to Title 18 RCW; prescribing penalties; making an appropriation; and declaring an emergency.

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

NEW SECTION. Sec. 1. This chapter may be known and cited as the "private security and private investigator licensing and regulatory act."

NEW SECTION. Sec. 2. For the purpose of this chapter, the following terms, phrases, words, and their derivations shall have the meaning given herein. When not inconsistent with the context, words used in the plural number shall include the singular number and words in the singular number shall include the plural number.

(1) "Advisory board" means the private security advisory board provided for in section 3 of this act.

(2) "Alarm company employee," means only those individuals of a contract security company employed as a burglar alarm response runner, burglar alarm system monitor, and burglar alarm system installer.

(3) "Armed carrier" means any person that transports or offers to transport under armed security guard, from one place or point to another place or point, valuables, jewelry, currency, documents, papers, maps, stocks, bonds, checks, or any other item that requires secure or expeditious delivery in a specially equipped motor vehicle or otherwise.

(4) "Branch office" means any office of a licensee within the state other than its principal place of business within the state.

(5) "Burglar alarm installer" means an individual employed or contracted by a contract security company to install, modify, inspect, or repair a burglar alarm system in or on a premises, other than in a vehicle.

(6) "Burglar alarm monitor" means an individual employed in this state by a contract security company whose primary responsibilities are to monitor or receive burglar alarm signals and to initiate some response activity to such signals.

(7) "Burglar alarm response runner" means any individual person employed by a contract security company to respond to burglar alarm signals.

(8) "Burglar alarm system" means a device or an assembly of equipment and devices used to detect or signal unauthorized intrusion, movement, or exit at the premises, other than in a vehicle, or to signal an attempted robbery, or other criminal act at a protected premises, other than in a vehicle; and with respect to such signals, police, security guards, or alarm response runners are expected to respond. Fire alarm systems and alarm systems which monitor temperature, humidity, or any other conditions not directly related to the detection of an unauthorized intrusion into a premises or an attempted robbery at a premises are excluded from the provisions of this chapter.

(9) "Certified firearms trainer" means any person approved and certified by the director as qualified to administer and certify to successful completion of the minimum firearms training requirements in both the classroom and on the range, for issuance of a firearms certificate required under this chapter.

(10) "Certified trainer" means any person approved and certified by the director as qualified to administer and certify to successful completion of the minimum training requirements for private security officers and private investigators required by this chapter.

(11) "Chief law enforcement executive" means the elected or appointed police administrator of any municipal, county, or state police department or sheriff's department which has full law enforcement powers in its jurisdiction.

(12) "Contract security company" means any person engaging in the business of providing, or which represents itself to be in the business of providing services of private security officers, armed or unarmed, for sale or otherwise on a contractual basis to another person.

(13) "Director" means the director of the department of licensing of the state of Washington.

(14) "Employer/employee relationship" means the performance of any service for wages or under any contract of hire, written, oral, expressed, or implied by an individual: PROVIDED, That the employer has control or direction over the performance of such service, that such service is performed personally by an individual, and that such individual is paid directly by the employer with federal income tax withheld from such pay.

(15) "Firearms certificate" means the permanent but renewable permit issued by the director to an individual as evidence that the individual has met the minimum qualifications required by this chapter to perform the duties of an armed private security officer or armed private investigator.

(16) "Licensee" means any person to whom a license is granted in accordance with the provisions of this chapter.

(17) "Private investigation agency" means any person, partnership, or corporation, not an agency of the federal or state government or any subdivision thereof, which engages in the business of, or represents itself as being in the business of, conducting investigations.

(18) "Patrol service" means any contract security company that provides services which utilize foot patrols, motor vehicles, or any other means of transportation in public areas or on public thoroughfares in the performance of its security functions.

(19) "Person" includes individuals, firms, associations, companies, partnerships, corporations, nonprofit organizations, institutions, or similar entities.

(20) "Principal corporate officer" means the president, vice-president, treasurer, secretary, or controller as well as any other person who performs functions for the corporation corresponding to those performed by these officers.

(21) "Private investigator" means an individual employed or contracted by a private investigation agency whose principal duties include the following:

(a) Detecting, discovering, or revealing crime or criminals, or secured information relating thereto;

(b) Inquiring into or concerning the identity, habits, conduct, business, occupation, honesty, integrity, credibility, knowledge, trustworthiness, efficiency, loyalty, activity, movement, whereabouts, affiliations, associations, transactions, acts, reputation, or character of any person, firm, corporation, or thing;

(d) Securing evidence to be used before any court, board, officer, or investigative committees;

(e) Ascertaining or holding himself or herself out to ascertain the truth or falsity of any statement or representation;

(f) Detecting the presence of electronic eavesdropping devices;

(g) Determining the cause or responsibility for fires, libels, losses, accidents, damage, or injury to persons or property.

(22) "Private security officer" means an individual who is 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;

(d) Armored transport officer or armored car guard;

(e) Installer, alarm response runner, or central station monitor of a burglar alarm company;

(f) Crowd control officer or guard;

(g) Any other individual employed to protect a person or property from criminal activity or whose duties include, but are not limited to, deterrence of unlawful intrusion or entry, larceny, robbery, vandalism, assault or other physical attack, arson or other fire, or trespass on private property; or

(h) Any other individual whose principal duties include crowd control at planned public events or gatherings or control of access to such events or gatherings where duties include searches of persons or vehicles for unauthorized or unlawful items.

(23) "Proprietary security organization" means any person who employs a private security officer or private investigator solely for such person; and wherein an employer/employee relationship exists.

(24) "Qualifying agent" means, in the case of a corporation, an officer or an individual in a management capacity, or in the case of a partnership, a general or unlimited partner, who meets the experience qualifications set forth in this chapter for operating a contract security company or private investigation agency.

(25) "Registrant" means an individual who has a valid registration card issued by the director.

(26) "Registration card" means a pocket card issued by the director to a private security officer or private investigator as evidence that the individual has met the minimum qualifications required under this chapter to perform duties of a private security officer or a private investigator.

(27) "Sworn peace officer" means any individual who derives plenary or special law enforcement powers from, and is an employee of, the federal government, the state, or any political subdivision, agency, or department branch of any municipality, or of any other unit of local government.

NEW SECTION. Sec. 3. (1) There is established a private security/private investigators advisory board, hereinafter called the advisory board, designated to assist and support the director in administering the provisions of this chapter.

(2) The advisory board shall consist of seven members, appointed by the director, with proportionate representation as follows:

(a) One member actively engaged in business as a licensed guard service provider;

(b) One member actively engaged in business as a licensed alarm company operator;

(d) One member actively engaged in business as a licensed private detective;

(e) One member actively engaged in business as a licensed armed carrier service;

(f) One member not actively engaged in business as a provider of security services for sale and nominated by the Washington law enforcement executive forum; and

(g) One member not actively engaged in or particularly interested in a business as a provider of security services for sale and selected from the public at large.

(3) Each member of the advisory board shall be appointed for a three-year term, except as provided in subsection (4) of this section, and may be removed by the director for misconduct, incompetency, or neglect of duty.

(4) The initial advisory board shall be comprised of members appointed by the director upon adoption of this chapter with terms as follows: Three members for an initial term of three years; two members for an initial term of two years; and two members for an initial term of one year. The director shall arbitrarily designate which categories of membership will be assigned to each of the initial terms.

(5) In appointing members to the initial advisory board, the director may solicit recommendations from the steering committee of the Washington law enforcement executive forum, which developed the basic provisions of this chapter.

(6) Members of the advisory board shall be reimbursed for traveling and other expenses necessarily incurred in the performance of duties as provided for in RCW 43.03.050 and 43.03.060. There shall be no per diem allowance for advisory board members.

(7) The advisory board may select from its members a chairperson and such other officers, committees, and subcommittees and adopt such rules and procedures as it feels necessary to conduct its activities consistent with the provisions of this chapter.

(8) The advisory board shall meet at least once every six months at the call of the director. The advisory board, its committees, or subcommittees may meet at such other times as necessary to conduct its activities at the call of the director or the chairperson. A simple majority of the currently serving members shall constitute a quorum.

(9) The advisory board shall engage in the following functions as they pertain to private security and private investigator companies in this state, the licensing of such companies and the registration of private security officers and private investigators employed by such companies:

(a) Inquire into the needs of the private security and private investigator industries, companies, and employees in this state with respect to licensing and registration and make recommendations to the director as may be important and necessary to the public welfare;

(b) Consider on a continuing basis the appropriateness of private security and private investigator licensing and registration legislation with regard to the needs of the public, consumers, and private security and private investigation industries and personnel, and make appropriate recommendations to the director for proposing amendments to such legislation;

(c) Review from time to time qualifications or training standards required of applicants for license or registration or renewal thereof in addition to those minimum qualifications and standards set forth in this chapter and recommend changes to industry representatives as appropriate;

(d) Assist the director in the collection of information and data as the director may deem necessary in the administration of this chapter;

(e) Upon request of the director, review applications for licenses or registration or renewal thereof under this chapter, and make recommendations with respect to the apparent qualification of applicants;

(f) Upon request of the director, conduct informal reviews of appeals for denied applications for licenses or registrations;

(g) Upon request of the director, conduct fact-finding inquiries into reports of violations or misconduct with respect to this chapter by licensees or registrants;

(h) Upon request of the director, participate in hearings or appeals related to violations or misconduct with respect to this chapter by licensees or registrants;

(i) As requested by the director, develop or facilitate development and assist in the administration and scoring of examinations that are necessary to measure a person's competence in the contract security company and private investigation agency business for the purposes of licensing. At a minimum, the advisory board shall review and recommend to the director approval or specific modifications to any such examination;

(j) Review how revenues from private security and private investigator license and registration fees are expended, make recommendations for modified use of such revenues, and recommend amendment to this chapter when adjustment in license and registration fees is appropriate;

(k) Foster and facilitate communications with the law enforcement community of this state designed to improve the understanding and support by private security, private investigators, and law enforcement of each others' professional roles and responsibilities.

(10) The director, members of the advisory board, or any persons acting on their behalf are immune from suit in any action, civil or criminal, based on any acts performed in the course of their duties.

(11) The director shall have the authority to adopt rules and codes of ethical conduct for licensees and registrants which may include proof of competency in areas of practice.

NEW SECTION. Sec. 4. (1) It shall be unlawful and punishable as provided in section 33 of this act, for any person to engage in the business of a contract security company or private investigation agency within this state without having first obtained a contract security company or private investigation agency license from the director.

(2) Every person engaged in the contract security company or private investigation agency business within this state on the effective date of this act, however, shall have one hundred eighty days to apply to the director for a license to operate a contract security company or private investigation agency. Such persons may continue to engage in business pending a final determination of their application.

(3) A person licensed as either a contract security company or private investigation agency under this chapter may also be licensed as the other if all requirements for licensing or renewal in the appropriate category are met by the applicant and application is made to the director, as specified in section 6 of this act.

NEW SECTION. Sec. 5. The requirements of this chapter do not apply to:

(1) A sworn peace officer while such officer is engaged in the performance of the officer's official duties;

(2) A person employed exclusively or regularly by one employer who performs the functions of a private security officer or a private investigator, armed or unarmed, solely in connection with the affairs of such employer and between whom an employer/employee relationship exists;

(3) A sworn peace officer while such officer is employed by a private employer to engage in off-duty employment approved by the chief law enforcement executive of the jurisdiction where the employment takes place: PROVIDED, That the officer is in a uniform of a law enforcement agency. However, nothing herein shall exempt such peace officer who offers for sale or contract such officer's services or the services of others as a private security officer or private investigator;

(4) A person engaged exclusively in the business of obtaining and furnishing information as to the financial ratings of persons;

(5) An attorney at law in the performance of the attorney's duties;

(6) A licensed collection agency or its employee if acting within the scope of that person's employment and while making an investigation incidental to the business of the agency;

(7) Insurers, agents, and insurance brokers licensed by this state, in performing duties in connection with insurance transacted by them.

(8) Any bank subject to the jurisdiction of the department of general administration division of banking, or any savings and loan association subject to the jurisdiction of this state or the federal home loan bank board;

(9) A licensed insurance adjuster performing the adjuster's duties that are within the scope of the adjuster's license;

(10) Any secured creditor engaged in the repossession of a creditor's collateral and any lessor engaged in the repossession of leased property in which the lessor claims an interest.

(11) A person solely engaged in the business of securing information about persons or property from public records; or

(12) A person known as an accident reconstructionist or forensic scientist or other person, if engaged exclusively in the business of collecting and analyzing physical evidence and characteristic data relating to an accident or matter and assimilating such evidence or data in order to render an opinion of likely cause, fault, or the circumstances of such accident or matter, and who does not advertise or hold himself or herself or his or her services out to be that of an investigator in any other capacity and who does not engage in any other investigatory activities.

NEW SECTION. Sec. 6. Applications for licenses required under this chapter shall be filed with the director on a form provided by the director.

NEW SECTION. Sec. 7. (1) Every applicant, or in the case of a partnership each partner, or in the case of a corporation the qualifying agent, shall meet the following qualifications before issued a license to engage in the business of a contract security company or a private investigation agency:

(a) Be at least twenty-one years of age;

(b) Be a citizen of the United States or a resident alien;

(c) Not have been convicted in the last ten years in any jurisdiction of any felony, or any crime involving moral turpitude, or illegal use or possession of a dangerous weapon, for which a full pardon, or similar relief, has not been granted, consistent with RCW 9.96A.020;

(d) Not have been declared by any court of competent jurisdiction incompetent by reason of mental disease or defect and has not been restored;

(e) Not suffer from habitual drunkenness or from drug addiction or dependence;

(f) Be of good moral character;

(g) Except for a private investigation agency, possess three years' experience as a manager, supervisor, or administrator with a contract security company or proprietary security organization or possess three years' supervisory experience approved by the director with any federal, United States military, state, county, or municipal law enforcement agency. An applicant may substantiate the claimed years of qualifying experience by written certification from the applicant's employer or as otherwise required by the director;

(h) Except for a contract security company, possess at least three years' experience as a manager, supervisor, or administrator in investigative work or the equivalent thereof, as determined by the director. A year's experience for the purposes of this chapter shall consist of not less than two thousand hours of actual compensated work performed by each applicant. An applicant shall substantiate the claimed years of qualifying experience and include exact details as to the character and nature thereof by written certifications from the employer, subject to verification as required by the director; and

(i) Meet the insurance requirements under section 32 of this act.

(2) Examination requirement: The director shall prepare and administer at least twice annually examinations designed to measure an individual's knowledge and competence in the contract security company or private investigation business. The director shall establish an appropriate examination fee to be paid by those wishing to take the examination. A sole proprietor, partner or qualifying agent successfully passing the examination may substitute that for the experience requirement of subsection (1) (g) of this section.

(3) In the event that the qualifying agent upon whom the licensee relies to comply with subsection (1) (g) and (h) of this section or to qualify under subsection (2) of this section shall cease to perform his duties on a regular basis, the licensee shall promptly notify the director by certified or registered mail and shall obtain a substitute eligible individual as promptly as possible, but not longer than sixty days from the disqualification of the former qualifying agent. The director may revoke the license or extend for no more than thirty additional days, the period for obtaining a substitute qualifying agent.

(4) A corporation seeking a license shall be incorporated under the laws of this state or shall be duly qualified to do business within this state with a valid certificate of authority issued by the secretary of state and shall have an agent for service of process as required by law.

NEW SECTION. Sec. 8. 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 compare, or request that the Washington state patrol compare the fingerprints submitted with the application to fingerprints filed with the Washington state patrol. The director or the Washington state patrol shall also submit the fingerprints to the federal bureau of investigation for a search of the fingerprint files of that agency to determine if the individual fingerprinted has any convictions recorded in the federal bureau of investigation files.

NEW SECTION. Sec. 9. The director shall deny the application for a license or renewal thereof or take disciplinary action against the licensee if the director finds that the applicant or the qualifying agent or any of the applicant's owners, partners, or principal corporate officers have:

(1) Violated any of the provisions of this chapter or the rules promulgated hereunder;

(2) Practiced fraud, deceit, or misrepresentation with respect to the private security or private investigation activities covered by this chapter;

(3) Knowingly made a material misstatement or omission in the application for a license; or

(4) Not met the qualifications of section 7 of this act.

NEW SECTION. Sec. 10. If following a hearing, the director finds that an applicant or licensee has violated any provision of this chapter or any rule adopted under it, the director may impose one or more of the following penalties:

(1) Denial of license or renewal;

(2) Revocation or suspension of a license;

(3) A fine of not more than five hundred dollars per violation;

(4) Issuance of a reprimand or letter of censure;

(5) Placement of the licensee on probation for a fixed period of time;

(6) Restriction of the licensee's authorized scope of practice;

(7) Requiring the licensee to make restitution or a refund as determined by the director to any individual injured by the violation; or

(8) Requiring the licensee to obtain additional training or instruction.

NEW SECTION. Sec. 11. (1) Each license shall expire two years after its date of issuance or date of renewal.

(2) The director shall provide each licensee with a renewal application at least sixty days before the date of expiration of the license. The renewal application form and process shall be set forth by the director.

(3) Application for renewal of a license must be received by the director on a form provided by the director not less than thirty days prior to the expiration date of the license.

(4) Applications for renewal shall include all required documents and the appropriate renewal fee.

(5) The director may refuse to renew a license for any of the grounds set forth in section 15(1) of this act, and shall promptly notify the licensee and members of the advisory board of the intent not to renew the license. The licensee may, within fifteen days after receipt of such notice of intent not to renew a license, request a hearing under chapter 34.05 RCW. A licensee shall be permitted to continue to engage in the contract security company or private investigation agency business while a renewal application or appeal to the director is pending.

NEW SECTION. Sec. 12. (1) A nonrefundable investigation fee shall be remitted with each initial license application.

(2) An application fee, refundable in the event the license or renewal is denied, shall be remitted with each application for a license.

(3) Fees shall be established pursuant to RCW 43.24.086.

NEW SECTION. Sec. 13. The license, when issued, shall be in a form prescribed by the director.

NEW SECTION. Sec. 14. No license issued pursuant to the provisions of this chapter shall be assigned or transferred by operation of law or otherwise.

NEW SECTION. Sec. 15. (1) Licenses may be revoked by the director in the manner set forth in this section if the licensee or any of its owners, partners, principal corporate officers, or qualifying agents are found to have:

(a) Violated any of the provisions of this chapter; or any rule of the director which the director determines reflects unfavorably upon the fitness of the licensee to engage in the contract security company or private investigation agency business;

(b) Knowingly and willfully given false information of a material nature in connection with an application for a license, renewal, reinstatement of a license, or in a notice of transfer of a business licensed under this chapter;

(c) Been convicted in any jurisdiction of a felony or a misdemeanor if the director determines, consistent with RCW 9.96A.020, that such conviction is detrimental to the fitness of the applicant to engage in the contract security company or private investigation agency business; or

(d) Committed any act while the license was not in effect which would have been cause for revoking a license, or grounds for denying an application for a license.

(2) Within ninety days after the licensee has exhausted all rights of appeal under this chapter, or if the licensee does not seek a hearing after receipt of a notice of intent to revoke, the licensee shall notify all of the licensee's clients within the state of such revocation and shall maintain a copy of such notices. The licensee shall cease to perform any services for which the licensee has been licensed under this chapter within sixty days of receipt of the final notice of intent to revoke from the director.

(3) Under circumstances in which the director determines that the public health, welfare, or safety may be jeopardized by the termination of a licensee's services, the director may upon the director's own motion or upon application by the licensee or any party affected by such termination extend the time for the termination of the licensee's operations, subject to such reasonable, necessary, and proper conditions or restrictions as it deems appropriate.

(4) After the director has issued a notice of intent to revoke a license, the licensee may request permission to continue to operate subject to the terms of a written order of consent issued by the director, requiring the licensee to correct the conditions set forth as grounds for revocation in the notice of intent to revoke and imposing reasonable conditions and restrictions on the licensee in conducting business. The director may in the director's sole discretion or with advice from the advisory board grant or deny such a request and may stay or postpone any proceeding being conducted as provided by chapter 34.05 RCW. Negotiations for an order of consent may be requested at any time during revocation proceedings. A stay of pending proceedings during such negotiations shall be within the sole discretion of the director. If revocation proceedings are before a court and the director and licensee have agreed upon the terms of a proposed consent order, the director shall submit the proposed order to the court which may approve or disapprove the proposed order or require modification of the proposed order before approval.

(5) The director shall enact reasonable rules to determine whether a licensee has complied with a consent order issued pursuant to subsection (4) of this section. If the director determines that a licensee has failed to comply, the director may revoke the order and conduct proceedings for revocation of the license. If the consent order has been approved by a court, the director shall petition the court for vacation of the order. The court shall hold a hearing to determine if the order should be vacated. If the court vacates the consent order, the director may initiate proceedings for revocation of the license.

NEW SECTION. Sec. 16. (1) Within seventy-two hours after receipt of the license certificate, the licensee shall cause such license certificate to be posted and displayed at all times in a conspicuous place in the principal office of the licensee within the state. Copies of the license certificate shall be displayed at all times in any branch office within the state where the licensee transacts business with customers, so that all persons visiting such places may readily see the license. License certificates or copies thereof shall be subject to inspection at all reasonable times by the director.

(2) It shall be unlawful for any person holding a license certificate to knowingly and willingly post the license certificate or permit such license certificate to be posted upon premises other than those described in the license certificate or to knowingly and willfully alter such license certificate. Each license certificate shall be surrendered to the director within seventy-two hours after it has been revoked or after the licensee ceases to do business, subject however, to section 15 (3) and (4) of this act. If, however, the director or a court of competent jurisdiction has pending before it any matter relating to the renewal, revocation, or transfer of a license, the licensee shall not be required to surrender the license until the matter has been adjudicated and all appeals have been exhausted. When the licensee receives final notice that the license has been revoked, a copy of such notice shall be displayed and posted in close proximity to the license certificate until the licensee terminates operations.

(3) Every advertisement by a licensee which 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.

NEW SECTION. Sec. 17. The licensee shall notify the director within thirty days of any change in the licensee's officers, directors, or material change in the information previously furnished or required to be furnished to the director, or any occurrence which could reasonably be expected to affect the licensee's right to a license under this chapter.

NEW SECTION. Sec. 18. (1) Except as otherwise provided in this chapter, no person shall perform the functions and duties of a private security officer or private investigator in this state without first having been registered with the director and issued a registration card in the manner prescribed in this chapter.

(2) Individuals required to obtain a registration card under this section shall, through the licensee employing them, apply for a registration card in accordance with rules prescribed by the director.

(3) To be eligible to apply for a registration card an individual must:

(a) Be at least eighteen years of age;

(b) Be a citizen of the United States or a resident alien;

(c) Not have been convicted in any jurisdiction of any felony or crime involving moral turpitude or illegal use or possession of a dangerous weapon for which a full pardon, or similar relief, has not been granted;

(d) Not have been declared by any court of competent jurisdiction incompetent by reason of mental disease or defect and has not been restored;

(e) Not suffer from habitual drunkenness or from drug addiction or dependence;

(f) Be of good moral character;

(g) Not possess any disability which in the opinion of the director would prevent the individual from performing the duties assigned; and

(h) Be employed or have an employment offer from a contract security company or private investigation agency.

(4) The registration card shall be carried by an individual required to be registered under this chapter whenever such individual is performing the duties of a private security officer or private investigator and shall be exhibited upon request.

(5) A fee to be determined by the director shall accompany applications for registration.

(6) A registration card shall entitle the registrant to perform the duties of a private security officer or private investigator provided the registrant is in the employ of the employer listed on the card and is eligible to hold a registration card under this chapter.

(7) Nothing in this section shall limit the right of a licensee to require additional conditions or qualifications of those persons seeking employment with such licensee as a private security officer or private investigator.

NEW SECTION. Sec. 19. After receipt of an application for a registration card, the director shall conduct an investigation to determine whether the facts set forth in the application are true and shall cause the applicant's fingerprints to be compared with fingerprints filed with the Washington state patrol. The director or the Washington state patrol shall forward a copy of the fingerprint card of the applicant to the federal bureau of investigation and request a search of the fingerprint files of the federal bureau of investigation for any record of convictions of the registration card applicant.

NEW SECTION. Sec. 20. (1) For each applicant for a registration card, the licensee employing the applicant shall prepare a statement to the director stating that the licensee has hired or intends to hire the applicant as a private security officer or a private investigator and indicating whether the applicant will be armed or unarmed in his position.

(2) The licensee shall forward the completed application along with all necessary documents, fingerprints, and photos to the director immediately after it has been submitted in the prescribed form by the applicant.

(3) The licensee may issue to the applicant a temporary registration card, of the type and form prescribed by the director. Such temporary registration card shall be valid until a permanent registration card is issued or denied by the licensing authority and shall permit the applicant to perform the duties of a private security officer or private investigator for the issuing licensee during that period. An applicant who will be issued a temporary registration card to perform the duties of a private security officer or private investigator and will carry a firearm in performance of those duties must also have in his or her possession a valid and current firearms certificate.

(4) Upon expiration of a temporary registration card or the receipt of a permanent registration card, the applicant shall surrender his or her temporary registration card to the licensee who shall immediately forward it to the director.

NEW SECTION. Sec. 21. (1) Prior to applying for a registration card as a private security officer or private investigator, the licensee employing or contracting with the applicant shall assure that the applicant has completed the minimum training required in this section. The licensee shall submit a statement to the director from a certified trainer attesting to the applicant's completion of such training.

(2) Each application for renewal of a registration card shall be accompanied by a statement from a certified trainer attesting to the registrant's completion of annual refresher training required in this section.

(3) Training required in this section shall be conducted under the supervision of a certified trainer, and successful completion of training and any required examination shall be verified by a statement from the certified trainer in a form approved by the director.

(4) Certified trainers shall be approved and certified by the director if they meet qualifications set by the director and approved by the advisory board. Such qualifications shall be consistent with the nature and depth of the training to be provided.

(5) Written examinations shall be in a form approved by the director and adopted by rule.

(6) At a minimum, all registrants shall have completed the following initial and annual refresher training for private security officers and private investigators.

(a) Applicants for registration as a private security officer shall receive a minimum of eight hours of initial training in the following topics followed by successful completion of a written examination in the following topics:

(i) Initial orientation;

(ii) Legal powers and limitations;

(iii) Emergency procedures;

(iv) Relationship with law enforcement;

(v) General duties;

(vi) Report writing; and

(vii) Searches.

(b) An individual holding a registration card as a private security officer shall between the first and second renewal of such registration card and once during every twelve months thereafter receive a minimum of four hours of refresher training in the following topics:

(i) Legal powers and limitations;

(ii) Emergency procedures;

(iii) Relationship with law enforcement; and

(iv) Searches.

(c) Applicants for registration as a private investigator shall receive a minimum of eight hours of initial training in the following topics:

(i) Federal privacy act;

(ii) Client confidentiality;

(iii) Rules of evidence/entrapment;

(iv) Search and seizure/powers of arrest;

(v) Relationship with law enforcement; and

(vi) Civil liabilities.

(d) An individual holding a registration card as a private investigator shall during each twelve-month period between renewals of such registration card, complete at least four hours of refresher training in topics listed in (c) of this subsection or such alternative refresher training as may be approved by the advisory board.

NEW SECTION. Sec. 22. (1) Registration cards or renewal thereof shall be denied or suspended or other disciplinary action regarding the registration shall be taken by the director in the manner set forth in this section if the cardholder has:

(a) Failed to meet the qualifications of section 18(3) of this act;

(b) Been found to have violated any of the provisions of this chapter or any rule of the director if the director determines that such violation reflects unfavorably upon the fitness of the registrant to function as a private security officer or private investigator;

(c) Knowingly and willfully given any material false information to the director in connection with an application for a registration card, or a renewal or reinstatement of a registration card, or in the submission of any material fact to the director;

(d) Been convicted in any jurisdiction of a felony or a crime involving moral turpitude or illegal use or possession of a dangerous weapon, for which a full pardon, or similar relief, has not been granted, or any other conviction which the director determines is detrimental to the fitness of the registrant or applicant to perform the duties of a private security officer or private investigator consistent with RCW 9.96A.020.

(2) Prior to denial, suspension, or revocation of a registration card, the director shall promptly notify the registrant and the registrant's employer of the proposed action, setting forth in reasonable detail the grounds for denial, suspension, or revocation. The registrant may request a hearing under chapter 34.05 RCW.

(3) In the event that the director denies, suspends, or revokes a registration card, the cardholder, upon receipt of the notice of denial, suspension, or revocation, shall immediately cease to perform the duties of a private security officer or private investigator.

(4) Both the cardholder and the employer shall be notified by the director of final action to deny, suspend, or revoke a registration card.

NEW SECTION. Sec. 23. (1) Registration cards issued by the director shall be valid for a period of one year. A registration card renewal form prescribed by the director must be filed by the cardholder with the director not less than thirty days prior to the expiration of the card. The fee for renewal of the card shall be determined by the director. The renewal application shall include a statement by the registrant that the registrant continues to meet the qualifications for a private security officer or private investigator as set forth in section 18(3) of this act. The renewal application shall be accompanied by a statement from a certified trainer that the registrant has satisfactorily completed the prescribed refresher training required by section 21 of this act. A renewed registration card shall be valid for one year.

(2) The director may refuse to renew a registration card for any of the grounds set forth in section 22(1) of this act, and the director shall promptly notify the cardholder of the director's intent to refuse to renew the registration card. The cardholder may request a hearing to contest the refusal under chapter 34.05 RCW.

(3) Licensees and employers subject to this chapter shall notify the director within seventy-two hours after the death or termination of employment of any employees who are registrants.

(4) Licensees and employers subject to this chapter shall immediately notify the director upon receipt of information relating to a registrant's continuing eligibility to hold such a card under the provisions of this chapter.

NEW SECTION. Sec. 24. (1) In the event that a registrant terminates employment with one employer and is reemployed within five business days as a private security officer or private investigator with another licensee, the registrant shall within twenty-four hours of the change notify the director of the change in a manner prescribed by the director, and shall pay a transfer fee to be determined by the director. The director shall issue a new registration card reflecting the name of the new employer. The new registration card shall be mailed to the new employer. Upon receipt of the new card, the registrant must immediately return the old card to the old employer. The registrant may continue to work as a private security officer or private investigator for the new employer while the director is processing the application.

(2) A registrant who terminates employment and who is not reemployed as a private security officer or private investigator within five business days, shall within twenty-four hours of the fifth business day surrender the registration card to the former employer. The employer shall notify the director and handle the surrendered registration card as prescribed by the director and adopted by rule. If the registrant fails to surrender the card as required by this subsection, the former employer shall notify the director of that fact within ten business days after the registrant terminates employment.

(3) Any individual who changes his or her permanent residence to this state from another state which the director determines has selection, training, and other similar requirements at least equal to those required by this chapter, and who holds a valid registration, commission, identification or similar card issued by the other state through a licensee of that state, and who wishes to continue to be employed by said licensee, may apply for a registration card on a form prescribed by the director upon paying a processing fee to be determined by the director. The director shall issue the individual a registration card.

(4) A registration card issued by any other state of the United States shall be valid in this state for a period of ninety days, provided the registrant is on temporary assignment for the employer shown on the registration card.

NEW SECTION. Sec. 25. A registration card shall be subject to expiration and renewal during the period in which the holder of the card is subject to an order of suspension.

NEW SECTION. Sec. 26. Upon receiving notice of suspension or revocation of his or her registration card, a registrant shall not perform the duties of a private security officer or private investigator unless specifically authorized to do so by order of the director.

NEW SECTION. Sec. 27. (1) Any person licensed or registered under this chapter who carries a firearm in the performance of his or her duties shall possess a current firearms certificate issued by a firearms trainer approved by the director. Minimum training standards are to be adopted by rule.

(2) No person may perform the functions of an armed private security officer or armed private investigator in this state unless such person is employed by or contracted by a licensed contract security company or private investigation agency and is also registered as a private security officer or private investigator as required by this chapter.

(3) Except as provided in subsection (4) of this section, it shall be unlawful for any person to hire, contract with, or otherwise engage the services of an armed private security officer or armed private investigator who has not been certified under this section and who does not have a current valid firearms certificate issued by the director.

(4) Every person employed in the position of an armed private security officer or armed private investigator on the effective date of this act shall have one hundred eighty days to apply to the director for a firearms certificate. Such persons may continue to be employed as an armed private security officer or armed private investigator during this one hundred eighty-day period.

(5) Nothing in this section is intended to prohibit persons otherwise licensed in this state to carry firearms, concealed or not, from carrying such firearms: PROVIDED, That such licenses do not exempt the holder from the requirement to obtain a firearms certificate if the person will perform the functions of an armed private security officer or armed private investigator.

NEW SECTION. Sec. 28. (1) Individuals desiring to obtain a firearms certificate shall make application to the director on a form prescribed by the director and include documentation as prescribed by the director.

(2) All firearms certificates shall expire one year from the date of issue and shall be renewable upon payment of a renewal application fee to be determined by the director and a statement from a certified firearms trainer that the applicant has completed within the past twelve months both an annual refresher course of at least four hours of the subjects set forth in subsection (5)(a) of this section and a successful firearms proficiency test as required in subsection (5)(d) of this section.

(3) An individual applying simultaneously for both a registration and a firearms certificate shall meet the requirements for application by filing one application form as required by section 18 of this act and the statement from a certified firearms trainer required in subsection (7) of this section, and submitting a combined nonrefundable application fee to be determined by the director.

(4) An applicant for a firearms certificate or renewal thereof need not be a registrant at the time of applying and may be issued a firearms certificate or renewal without having been issued a registration card: PROVIDED, That no such person shall be allowed to perform the functions of an armed private security officer or armed private investigator without applying for and being issued a registration card.

(5) To be eligible for a firearms certificate, a person must meet all the requirements for a registration card as set forth in section 18 of this act and must be certified by a certified firearms trainer as having successfully completed the following minimum training and proficiency testing in firearms:

(a) At least eight hours of classroom training in subjects including, but not limited to, legal limitations on the use of weapons, safe use and handling of a firearm, safety and maintenance of a firearm, and such other training as the director may from time to time prescribe;

(b) Successful completion of a written exam covering classroom subjects;

(c) Successful completion of initial proficiency testing in the handling and use of a firearm pursuant to the requirements set by the director; and

(d) Successful completion of periodic proficiency testing of the frequency and type set by the director.

(6) The director shall establish requirements for and approve certified firearms trainers and shall maintain and make available to applicants a list of such certified firearms trainers in this state.

(7) Upon being approved for certification or renewal of certification by the director, the applicant shall be issued a firearms certificate or renewal and such approval shall not be unreasonably denied.

(8) Upon completion of the required training, successful completion of a written examination, and satisfactory proficiency testing with an approved weapon, the certified firearms trainer may issue a temporary firearms certificate of the type prescribed by the director. Such temporary certificate shall be valid for a period of forty-five days from the date of issue and shall permit the applicant to perform the duties of an armed private security officer or armed private investigator when registered and employed as provided in this chapter.

(9) The director shall prescribe procedures for the necessary safekeeping, issuance, and recovery of temporary firearms certificates allotted to certified firearms trainers.

(10) Temporary firearms certificates shall become void upon receipt of a permanent certificate, expiration of the temporary certificate, or notification by the director that the application for a firearms certificate has been denied. Each voided temporary certificate must be surrendered by the applicant to the licensee who shall immediately forward it to the director.

(11) The director may accept previous training and proficiency testing of persons currently employed by a contract security company or private investigation agency as satisfactory to meet the requirements of subsection (4) of this section, provided such previous training and testing is adequately documented in the employer's records.

NEW SECTION. Sec. 29. (1) A firearms certificate or renewal thereof may be denied, suspended, or revoked, as the director deems necessary, if the cardholder or applicant has:

(a) Failed to meet the qualifications of this section;

(b) Been found to have violated any of the provisions of this chapter or any rule of the department of licensing with respect to firearms or the functions of an armed private security officer or armed private investigator, if the director determines that such violation reflects unfavorably upon the individual's ability to be certified under this section;

(c) Knowingly or willfully given any material false information to the director in connection with application for a firearms certificate or renewal thereof; or

(d) Been convicted in any jurisdiction of a felony or crime involving moral turpitude or illegal use or possession of a firearm, for which a full pardon, or similar relief, has not been granted.

(2) Prior to denial, suspension or revocation of a firearms certificate or renewal thereof, the director shall promptly notify the applicant of the proposed action and shall set forth in reasonable detail the grounds for the denial, suspension, or revocation. The applicant may request a hearing and may appeal the action of the director under chapter 34.05 RCW.

NEW SECTION. Sec. 30. (1) No individual, while performing the duties of an armed or unarmed private security officer or private investigator shall wear or display any badge, insignia, device, shield, patch, or pattern which shall indicate or tend to indicate that he is a sworn peace officer, or which contains or includes the word "police" or the equivalent thereof, or is similar in wording to any law enforcement agency in this state.

(2) No person shall, while performing the duties of a private security officer or private investigator, have or utilize any vehicle or equipment displaying the word "police," "law enforcement officer," or the equivalent thereof, or have any sign, shield, marking, accessory, or insignia that may indicate that such vehicle is a vehicle of a public law enforcement agency.

(3) If a private security officer is required to wear a uniform, it shall be as specified by the employer. All military or police-style uniforms shall, except for rainwear or other foul-weather clothing, have affixed over the left breast pocket, on the outermost garment and on all caps worn by such persons, badges, distinct in design from those utilized by law enforcement agencies within the state and approved by the director.

NEW SECTION. Sec. 31. (1) A firearms certificate will grant authority to the holder, while in the performance of his duties as a registrant, to carry a standard police .38-caliber handgun or other firearm as may be approved by the director, not otherwise prohibited by law, and with which the registrant has met the proficiency requirements of section 28(4) of this act. However, approval of firearms by the director shall not be unreasonably withheld.

(2) All firearms carried by authorized armed private security officers in the performance of their duties shall be owned by the employer and, if required by law, shall be fully registered with the proper government agency. Personally owned weapons shall not be carried by armed private security officers in the performance of their duties.

NEW SECTION. Sec. 32. All licensees shall file with the director a certificate of insurance evidencing comprehensive general liability coverage, as a minimum, in the amount of twenty-five thousand dollars for bodily or personal injury and twenty-five hundred dollars for property damage. All persons required to be insured by this chapter must be insured by a carrier licensed in the state in which the insurance has been purchased or in this state.

NEW SECTION. Sec. 33. (1) It is unlawful for any person to knowingly commit any of the following:

(a) Provide contract security services or private investigator services without possessing a valid license;

(b) Employ any individual to perform the duties of a private security officer or private investigator who is not the holder of a valid registration card or to employ any individual to perform the duties of an armed private security officer or armed private investigator who is not the holder of a current and valid firearms certificate;

(c) Publish any advertisement, letterhead, circular, statement, or utter any statement or phrase of any sort which suggests that the licensee is an official police agency or any other agency, instrumentality, or division of this state or any of its political subdivisions or of the federal government;

(d) Issue any badge or shield not in conformance with this chapter;

(e) Knowingly make any false statement or material omission in any application filed with the director;

(f) Falsely represent that the person is the holder of a valid license or registration; or

(g) Violate any provision of this chapter or any rule of the director.

(2) It is unlawful for any private security officer or private investigator to knowingly commit any of the following:

(a) Fail to return immediately on demand or within twenty-four hours of termination of employment, a firearm issued by an employer. Violation of this provision shall constitute a felony;

(b) Carry a firearm in the performance of his or her duties if not the holder of a valid firearms certificate, or carry a firearm in the performance of his or her duties which does not meet the provisions of this chapter. Violation of this provision will constitute a felony;

(c) Fail to return immediately on demand or within seven days of termination of employment any uniform, badge, or other item of equipment issued to the private security officer or private investigator by an employer;

(d) Make any statement which would reasonably cause another person to believe that the private security officer or private investigator functions as a sworn peace officer or other official of this state or of any of its political subdivisions or agency of the federal government;

(e) Fail to comply with the rules issued by the director or with any other requirements under the provisions of this chapter;

(f) Divulge to anyone other than his or her employer or to such persons as his or her employer may direct or as may be required by law, any information acquired during such employment that may compromise the security of any premises to which he or she was assigned by such employer;

(g) Fail to return to the employer or the director a registration card or firearms certificate as required under this chapter;

(h) Possess a license, registration card, or firearms certificate issued to another person;

(i) Use any badge or shield not in conformance with this chapter;

(j) In the case of an employee or former employee of any private investigation agency, to divulge to any person other than the private investigation agency employer, except as the employer may direct or as required by law, information regarding his or her work assignments, other employees' work assignments, or the business and private affairs of the agency.

(3) The violation of any of the provisions of this section, unless otherwise specified, shall constitute a misdemeanor punishable by a fine of not more than one thousand dollars, or up to one year of imprisonment, or both. The director is also authorized to suspend or revoke a license, registration card, or firearms certificate issued under this chapter.

(4) The director shall investigate to obtain evidence of violations of this chapter and of any rule established under this chapter by unlicensed persons. The director shall furnish such evidence to the appropriate county or municipality for the purposes of prosecution.

NEW SECTION. Sec. 34. (1) The provisions of this chapter relating to the licensing and regulation of contract security companies, private investigation agencies, private security officers, or private investigators, armed or unarmed, with respect to the security nature of their services, shall be exclusive. No governmental subdivision of this state shall enact any laws or rules licensing or regulating 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 and occupation tax upon contract security companies or private investigation agencies if a business and occupation tax is levied by the state 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 contract security companies or private investigation agencies with respect to activities performed or offered which are not of a security or investigatory nature.

(4) Except as provided in subsection (3) of this section, upon the effective date of this act, any provision of any legislation, code, ordinance, or rules promulgated by any political subdivision of this state, relating to the licensing, training or regulation of contract security companies, private investigation agencies, private security officers, or private investigators, armed or unarmed, shall be deemed superseded by this chapter.

NEW SECTION. Sec. 35. (1) Any person aggrieved by a final action of the director under this chapter shall have the right to judicial review by a court of competent jurisdiction within the state.

(2) Trial shall be de novo in any court proceeding held pursuant to this chapter. When a court has acquired jurisdiction, all administrative action taken prior thereto shall be stayed, except as provided in section 26 of this act. The rights of the parties shall be determined by the court in a trial of the matter in controversy under rules governing the trial of other civil suits and in the same manner as if the matter had been committed to the court in the first instance and there had been no intervening administrative or executive action or decision.

NEW SECTION. Sec. 36. Full reciprocity shall be accorded to armed and unarmed private security officers and private investigators who are properly registered and certified in another state having selection and training requirements that are at least equal to the requirements of this state when the duties of such individuals require them to operate across state lines.

NEW SECTION. Sec. 37. Any contract security company or private investigation agency, principal or duly authorized manager or agent who upon proof of actual engagement in the occupation, business, or profession of a contract security company or private investigation agency on the effective date of this act, and who otherwise meets the requirements for licensure under this chapter, shall upon application and payment of the required license fee, be issued a license. Persons in business on the effective date who do not meet the experience requirements may elect to take the exam as provided in section 7(2) of this act. Applications filed under this section must be submitted to the director within one hundred eighty days of the effective date of this act. The director shall prescribe what shall constitute acceptable proof of current engagement in the business.

NEW SECTION. Sec. 38. (1) All fees related to the application and renewal of licenses, registration cards, and firearms certificates shall be set by the director in amounts sufficient to administer the provisions of this chapter pursuant to RCW 43.24.086.

(2) All such fees and sums received from the administration of this chapter shall be transmitted to the state treasurer for deposit into the state's general fund.

NEW SECTION. Sec. 39. There is appropriated from the general fund to the department of licensing for the biennium ending June 30, 1991, the sum of .......... dollars, or as much thereof as may be necessary, to carry out the purposes of this act.

NEW SECTION. Sec. 40. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 41. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.

NEW SECTION. Sec. 42. Sections 1 through 38 of this act shall constitute a new chapter in Title 18 RCW.