ALARM CONTRACTORS LICENSING ACT OF 1991 Present law provides that the purpose of the Alarm Contractors Licensing Act of 1991 (the "Act") is to provide uniform procedures and qualifications throughout this state for the certifying, licensing, and regulation of alarm systems contractors and to protect the safety and security of persons and property by assuring the competence of individuals or companies offering alarm systems and services to the general public. Present law requires persons and businesses seeking to engage in the business of an alarm systems contractor to first be certified through a program administered by the commissioner of commerce and insurance. This bill deletes the Act in its entirety.SERVICES PROVIDED BY A COUNTY OR MUNICIPALITY This bill authorizes a county or municipality to provide monitoring or response services, or both, for alarm systems when deemed in the public interest by the legislative body of the county or municipality as long as the following parameters are followed: (1) No charge is made by the county or municipality for the service unless the county or municipality was charging for the service of or before July 1, 1991; however, a county or municipality is prohibited from imposing or collecting a charge for responding to a false alarm caused exclusively by an act of nature; (2) Use of local government services is not mandatory; and (3) Response by local law enforcement, firefighters, or other emergency personnel is not conditional upon use of the services. LOCAL REGULATION This bill generally prohibits a county or municipality from enacting legislation or promulgating rules or regulations relating to the licensing of alarm systems contractors. However, this bill does not prevent a county or municipality by legislation, rule, or regulations, and within the police power of the county or municipality, from requiring alarm systems contractors to register their names and addresses with the county or municipality within which they operate as long as the county or municipality does not charge a fee or require an application for the registration. However, this bill authorizes the county or municipality to require that the alarm system contractors give reasonable notice of termination of agents. PENALTIES This bill does not prohibit a county or municipality from enacting and imposing penalties for false alarms as long as the penalties do not exceed $50 for each false alarm. However, notwithstanding a charter, ordinance, or resolution to the contrary, a county or municipality is prohibited from enacting an ordinance, legislation, or resolution requiring an alarm systems contractor to pay for, collect, or be responsible for fines and fees relative to false alarms, false alarm dispatches, alarm permits, or alarm renewal permits. This bill provides that, notwithstanding a charter, ordinance, or resolution to the contrary, a county or municipality must not require an alarm systems contractor to acquire or pay for a permit or renewal permit to operate an alarm system at an alarm site that is owned or leased by a customer of the alarm systems contactor. However, this prohibition does not apply to an installation permit required by law. CONTRACTS This bill authorizes an owner of a residential property that serves as the owner's primary residence to cancel a contract between the owner and an alarm systems contractor for the provision of alarm services when the term of the contract is for a period of longer than two years by giving a 30-days' written notice to the alarm system contractor after the initial two years in the term if: (1) The owner is required to sell the residential property due to medical reasons; and (2) The owner provides the alarm system contractor with a letter from the owner's treating physician verifying the medical reasons. This bill authorizes a contract having an automatic renewal clause between an alarm systems contractor and a homeowner or renter for the provisions of alarm services to be automatically renewed for a period not to exceed one year at a time. Any waiver of the renewal limitation period in the contract is void as contrary to public policy. At any time during an automatic renewal period provided by contract, a party to the contract who is being relocated to a hospital, nursing home, or assisted living facility may cancel the contract by giving 30 days written notice to the alarm systems contractor.

Statutes affected:
Introduced: 56-7-203