ARIZONA HOUSE OF REPRESENTATIVES

Forty-fifth Legislature – First Regular Session

 

PRIVATE INVESTIGATOR AND

SECURITY GUARD STUDY COMMITTEE

 

Minutes of Meeting

Monday, October 1, 2001

House Hearing Room 4  --  1:00 p.m.

 

(Tape 1, Side A)

 

Chairman Gray called the meeting to order at 1:02 p.m. and the secretary called the role.

 

Members Present

 

Senator Hamilton

Lt. Lawrence Burns

Anna Prassa

Senator Mitchell

Pete Chapas

Mrs. Gray, Chairman

Senator Valadez

Gary Carnicle

 

 

 

 

 

Members Absent

 

Representative Giffords

Representative May

George Weisz

 

Speakers Present

 

Amy Bjelland, Majority Research Analyst

Brian Cavalo, Director of Security, S.D.I. Protective Services

Ron Vernon, President, Accu Search, Inc.

Tom Krieg, President, Global Protective Services

Michael Sankey, Chief Executive Officer, BRB Publications

Trevor Macky, Security Officer, representing himself

Barry Kintner, Private Investigator, representing himself

Tom Shepard, General Manager, Shepard Security

Steve Graehling, Security Manager, Loomis, Fargo and Co.

Donald Parrish, Director, Parrish and Associates International Security Services, Inc

 

Staff Presentation of Comments Submitted regarding Draft Legislation

 

Amy Bjelland, Majority Research Analyst, addressed the committee.  She explained that the members had previously received a summary of recommendations made by the committee, as well as the actual hard copy of the language submitted by those who made the recommendations.

Chairman Gray stated that those who made recommendations would speak in the following order:  Larry Burns, Pete Chapas, Anna Prassa, Brian Cavalo, Mike Shelter, Ron Vernon, Bert Falbaum, Gary Carnicle, Michael Sankey and Tom Krieg.

 

Recommendations by Lt. Lawrence Burns

 

Lt. Lawrence Burns, stated that his primary concern has been the public safety issue.  Additionally, he stated the need to set the unit up to run efficiently and ensure that it is financed properly in order to bring it to current technology.  Therefore, he submitted the following recommendations:

 

General:

·        Authorize the Director of the Department of Public Safety to set reasonable fees for the unit and remove fee schedule from statute for both private investigators and security guards and to cover the cost of personnel. He explained that last year, $370,000 in fees was received for licensing and of that, $500,000 was spent to run the unit.  Therefore, the fees that are currently generated do not cover the expenditures for that unit. Additionally, that cost does not cover computer or software and only covers the cost of one investigator.  Part of the increase in fees is to cover additional investigators for that unit and to include the technology necessary to run that unit. Additionally, the $500,000 does not include the expense of housing the unit and providing for the other facilities required for it. He explained further that the suggestion to raise the fees is to sufficiently cover the increase in costs to the state.

·        Reduce the license issue period for private investigators and security guards from three to two years. This would generate income of $780,000, which would cover the additional technology, the expenses for the unit and also additional investigators.

·        Remove the requirement that identification cards contain the applicant’s fingerprint. He explained that there is no real need to have the fingerprint on the identification card because the applicant’s picture is on the card.  Additionally, the fingerprint cards are sent directly to the Federal Bureau of Investigation (FBI). 

 

Private Investigators:

·        Authorize the qualifying agency to issue a temporary registration to its private investigators rather than the Department of Public Safety (DPS) issue a provisional certificate.   The temporary registration is valid for 90 days but may be extended by DPS if there is an abnormal delay in completion of the background check. 

 

·        Increase a violation of the private investigator provisions from a Class 1 misdemeanor (up to 6 months and a $2,500 fine) to a Class 6 felony (1 year and $150,000 fine).

 

Security Guards:

·        Define proprietary company and include security guards employed by proprietary companies in the regulatory scheme.  Change the definition of registrant to mean a person authorized to be a security guard rather than a private investigator.  He explained that in house security guards should be fall under the same regulations and training requirements as those hired by companies that  employ security guards.

·        Authorize companies that employ security guards to issue a temporary certificate after the employer submits the guard’s application to DPS rather than DPS issue a provisional certificate.  The temporary certificate is valid for 180 days but may be extended by DPS if there is an abnormal delay in completion of the background check.

·        Require agency licensees to provide eight hours of pre assignment training before the employee acts as a security guard.  Require eight hours of training for renewal applicants with the training curriculum established by DPS.  He pointed out that many times, guards are working because they have received the provisional certificate but have not yet received adequate training and do not receive it until they are ready to receive their permanent cards.

·        Increase required initial firearms training for armed security guards from 16 to 40 hours, plus eight hours of annual Firearms training.

·        Require that security guard uniforms be gray in color and that the badge or shield be square.  He explained that he color is not important as long as it is identifiable as that of a security guard and not of a police officer. He offered an example of badges used by security guards (Attachment 1)  and pointed out that some of them do resemble those worn by police officers.  He stated his concern that the public has a very clear distinction as to the level of security.  He pointed out that in addition to public safety, this is a safety issue for the guards themselves because if they are identified as a police officer, that presents an entirely different target and they do not have the training of a police officer to handle such situations. 

·        Require a more formalized committee representative of the industry that would make suggestions or assist in preparing the lesson plans or training programs for the security guards and private investigators.

 

 Mr. Carnicle pointed out that regulating the security guards should relieve some of the individual companies of much of the work.   Lt. Burns added that the proprietary companies should not fall under all of the requirements of a licensing and qualifications that a contract company would be under and would probably need to register someone who would be responsible for the guards.  However, the guards themselves would fall under the regulatory functions.

 

Recommendations by Pete Chapas

 

Pete Chapas offered the following recommendations:

 

General:

·        Increase fees so that the Licensing Bureau is self-funded.

·        Implement a plan to conduct background checks within 24 to 48 hours prior to issuing provisional certificate.

 

Security Guards:

·        Require eight to 16 hours of training for all security guards and retain an additional 16 hours for armed guards.  Allow DPS to determine the training topics.

·        Authorize an individual to obtain a registration certificate without an affiliation with a guard company by completing independent training from a DPS-approved entity, providing the necessary documents and submitting to a background investigation.

·        Require guard to prominently display the words on the uniform that identify the wearer as a security guard.

 

Mr. Carnicle pointed out that insurance rates drop for those who employ armed security officers.

He added that 24 hours of firearms training should be sufficient for the basic security officer and suggested that it be a course approved by the National Rifle Association (NRA). 

 

Lt. Burns referenced comments made by Mr. Chapas and stated that regardless of where a security guard is working, that person is still in a manner of public trust, regardless of the type of company they work for.  He added that if we regulate contract companies then we should equally regulate the proprietary companies. 

 

In response to inquiry from Chairman Gray, Mr. Chapas explained that he works for Salt River Project (SRP) and they have their own security officers, three individuals that work for SRP and are considered security guards.  Under the current law, they would not be nor need to be licensed or registered because they work for SRP and they have anything to do with private contract guard agencies.

 

Recommendations by Anna Prassa

 

Anna Prassa stated that security has a whole new meaning after the events of September 11, 2001. She explained that she had the opportunity to interview a few security guards at a shopping center, as well as some police officers. She stated that her suggestions focus on education within the industry and she offered the following recommendations:

 

General:

·        Create four separate categories for licensing: security guards, armed security guard, private investigator and armed personal protection assistant.

·        Generally require statewide training approved by DPS.  Minimum qualifications include:

-         21 years of age

-         U.S. citizen or legal resident

-         No felony or misdemeanor convictions (based on Arizona and FBI background checks)

-         Honorable military history, if applicable

-         Written test to qualify

-         Successful completion of minimum training required through vocation, public or private school.

 

Licensing Categories:

·        Define security guard as one employed to provide security functions as a patrol guard, merchant patrol guard, watchman, crowd control or any mild security duties.  Requires 100 hours of training.  Must wear a uniform.

·        Define armed security guard the same as above but with a license to carry a firearm, baton, chemical agent or stun gun to  perform security duties.  Requires 15 hours of training.  Must wear a uniform.

·        Define private investigator as one who is self-employed or employed by a company and who gathers confidential information and conducts an investigation. Is also licensed to carry a concealed weapon.  Requires 200 hours of training.  No uniform required. 

·        Define armed personal protection specialist as one who is self-employed or employed by a company to act as a bodyguard.  Requires 200 hours of training.  No uniform required. 

 

Chairman Gray discussed the recommendation that the approval of the uniform insignia for security guards come from the Board rather than the department.  She explained that the board only meets once per month and they are volunteers so that might pose a problem. 

 

Lt. Burns stated that last year the board spent 8 to 12 hours in hearings once per month.  However, matters are currently up to date and the board is hearing anywhere from 4 to 10 hearings per month.  Still, they are a volunteer board and it is difficult to bring them together and then take an entire day.  However, would be very positive if there was a committee or advisory group from the industry.

 

Recommendations by Brian Cavalo

 

Brian Cavalo, Director of Security, S.D.I. Protective Services, addressed the committee.  He explained that when he entered the industry, he found a number of inconsistencies, particularly the inconsistencies in relation to the different companies based on their training.  He added that there really is no regulation regarding the training.  He agreed with Lt. Burns’s recommendation that a board be created to oversee the training and assemble minimum requirements and standards for hiring and training and generate a syllabus for all of the agencies within the industry.  This would eliminate dissimilarities between the agencies.  

 

Mr. Cavalo stated that if the board were to play a key role in assisting DPS, over time, the number of hearings would decrease.  If the guards are individually licensed as opposed to the company doing it will allow the board and DPS to more accurately monitor those individuals.

 

(Tape 1,  Side B)

 

 Mr. Cavalo offered the following recommendations:

 

General:

·        Change the Board’s duties to include making recommendations on minimum training standards and hiring qualifications to the DPS Director.

·        Additionally define good moral character to be reasonably determined by the Board.

 

Security Guards:

·        Prohibit an applicant for a security guard agency license or registration certificate from qualifying if a history of committing the crimes or theft is shown beyond the five years immediately preceding the application. 

·        Require uniform and insignia approval from the Board rather than from the Department and specifies that the uniform be of a color that does not cause the public to confuse the security guard with a law enforcement officer.

·        Require the Board and Director to approve the badge or shield to be worn by a security guard.

 

 

 

 

Recommendations by Mike Shelter

 

Amy Bjelland, Majority Research Analyst, addressed the committee.  She explained that Mike Shelter was not present and she offered his recommendations to the committee as follows:
 
General

·        Appropriate monies to DPS for technology upgrades.

·        Increase fees to reflect the cost of operating the Licensing Division at DPS.

·        Grant authority to the Licensing Bureau to run a computer background check.

 

Security Guards

·        Increase hiring and training standards.  Retain current scheme for unarmed officers.  For armed security guards, increase training to 24 hours with a minimum four-hour re-qualification every three months.  Training should be approved or possibly written by DPS.

·        Retain current uniform requirements.

·        Add proprietary guards tot he statute, as well as requiring in-house guard forces to employ a qualified party.

 

Recommendations by Ron Vernon

 

Ron Vernon, President, Accu Search, Inc., addressed the committee.  He explained that his concerns involve the definition of a private investigator and what that job entails.  He informed the members that most private investigators do research work such as public records retrieval and criminal background searches. He explained that when a licensed individual researches criminal or public records, that person is acting in the capacity of an investigator because he is interpreting the record.  Interpreting the cases is a specialized task and the primary focus of private investigation is to keep the public safe from those individuals who may be reported incorrectly or may not be reported at all.

 

Mr. Vernon offered the following recommendations:

 

·        Clarify requirements and limitations of performing background checks, e.g., the difference between conducting an investigation and making a public records request.

 

In response to inquiry from Mr. Chapas, Mr. Vernon explained that general public record providers do not need to be licensed.  Private investigators or anyone who is investigating criminal records need to be held accountable and ensure that they are trained properly. 

 

Recommendations by Bert Falbaum

 

Amy Bjelland, Majority Research Analyst, addressed the committee.  She explained that Bert Falbaum was not present and she offered his recommendations to the committee as follows:

 

General

·        Retain current membership of the Private Investigator and Security Guard Hearing Board.

·        Provide consistent qualifications for both private investigator and security guards.

·        Change the requirement that the applicant submit verified information to require verifiable information for both private investigators and security guards.

 

Private Investigators

·        Clarify language in the definition of unprofessional conduct that presumes an obligation to investigate one’s own client (ARS §§ 32-2401(22)(d) and 32-2601(24)(d).

·        Clarify language regarding meaning of being in good standing while not maintaining a current license in another state or jurisdiction.

 

Security Guards

·        Change definition of security guard registrant to mean an employee qualified to be a security guard, rather than to be a private investigator.

·        Reconsider the five-year requirement for convictions in the qualification requirements.

·        Add violation of Title 13, chapters 14 (sexual offenses) or 35.1 (sexual exploitation of children) to grounds for suspension or revocation of license.

 

Recommendations by Gary Carnicle

 

Gary Carnicle pointed out that most of his recommendations have already been discussed.  He offered the following suggestions:

 

General:

·        Verify costs with DPS and review all fees.  Deposit fees with DPS, rather than the General Fund.

 

Security Guards

·        Redefine private security guard service by removing provisions specifying that security guards furnish security to the public for hire and adding ATM service provision.  He explained that the armored service companies initially handled ATM service.  However, there are individual companies providing ATM services and a number of those companies do not register their armed guards through the Department of Public Safety (DPS and they are not receiving training.  He added that because they are transporting money and are armed, they should meet the same requirements as other armed security guards.

·        Redefine security guard by removing language indicating one must be employed by a private agency and adding ATM service provision

·        Remove language requiring an agency license application to include a completed form describing the agency’s training program.

·        Add 16 hours of DPS-authorized training as a qualification for applicants.

·        Require applicants to have completed DPS-authorized training as a prerequisite to receiving a provisional certificate.

 

Tom Krieg, President, Global Protective Services, addressed the committee.  Mr. Krieg stated that the events of September 11, 2001 has changed the public perception of security and those in the security industry who have the largest responsibility to ensure that certain things do not get on airplanes, receive only 12 hours of training.

Mr. Krieg stated that there would probably be no problem with increased fees.  With respect to the licensing of proprietary companies, he pointed out that in Texas, if a private company has security people who are going to be in uniform and carry a weapon, that company has to get a letter from the Texas Board of Private Investigators and Security Services. 

 

Mr. Krieg added that the goal is to towards something that is reasonable and prudent for both parties.  He pointed out that in any other profession, you must first get the training, the obtain the certification and then get hired by a company.  This should be the same requirement for those in the security industry. Lastly, he suggested that a personal protection specialist category added to be able to be licensed under private investigator and security guard companies. 

 

(Tape 2, Side A)

 

In response to inquiry from Mr. Chapas, Mr. Krieg explained that by raising the training requirements, better employees would be attracted to the industry. 

 

Michael Sankey, Chief Executive Officer, BRB Publications, addressed the committee.  Mr. Sankey followed up on some comments made by previous speakers.  He offered a handout (Attachment 2) for the members to review.  He explained that the position of a record retriever involves going to a court house or county recorders office to obtain a public record and stated his opinion that those individuals should not need to be licensed.  He stated that the five methods to obtain public records is by phone, fax, by mail, in person or online and yet this legislation seems to apply only to those who appear in person.  He added that as record retriever is not a highly skilled job and the salary is not very high so to require them to be licensed is not right or necessary. 

 

Trevor Macky, Security Officer, representing himself, addressed the committee.  Mr. Mackey explained that he is employed in Tucson.  He urged the committee to consider the different realms and levels of security.  He pointed out that for general posts, a general criminal history check is sufficient to the FBI.  However, for sensitive or high-level posts, such as airports, railways, government offices, utilities and government or military contractors should require a more extensive investigation on security officers applying for positions on those types of posts.

 

Mr. Macky informed the committee that in 1994, he was arrested and pled quilty on charges of carrying a concealed weapon.  In 1996 the court set aside that judgement of guilty to allow him to work as a licensed security officer in accordance with DPS policy.  Last year, the department changed that policy and rendered him unemployed.  He was forced to resign his position and has since found similar work in an in-house environment. 

 

Mr. Macky stated his belief that a time limitation for consideration for expungements and dismissals for minor, non-violent offenses should be included in the law to allow certain individuals to work toward becoming qualified for security positions. 

Additionally, he recommended that regulation of in-house security should be limited to training standards and uniform regulations only. 

 

 

 

Barry Kintner, Private Investigator, representing himself, addressed the committee.  Mr. Kintner responded to comments previously made.  He agreed with the suggestion that training programs be submitted for approval by a committee.  Additionally, a slightly oversized patch on both shoulders with a visible name should be sufficient to allow a certain amount of accessibility to  the public as to who is working as a security guard.  He also suggested yearly checks to update licenses.

 

Tom Shepard, General Manager, Shepard Security, addressed the committee.  Mr. Shepard explained that he is a former Phoenix police officer and has been in the private security industry for 18 years.  He stated that there is a 40% return rate on guard licenses and that is a very serious issue, which needs to be addressed and expedited immediately, regardless of the cost. Private companies are accepting a tremendous amount of liability, as well as the State of Arizona by regulating those officers.  

 

Steve Graehling, Security Manager, Loomis, Fargo and Co., addressed the committee.  Mr. Graehling discussed the issue of uniforms.  He explained that because his company is nationwide, they use a specific uniform used throughout the country and they have no desire to look like police officers.  He agreed with the recommendations made regarding training and suggested that the committee decide on specific training requirements and hours because current legislation does not address that issue.  He added that his company has every intention of complying with and maintaining all regulations required by the state and asked that everybody else in the industry be kept to that same standard.

 

Donald Parrish, Director, Parrish and Associates International Security Services, Inc., addressed the committee.  Mr. Parrish offered a brief background of his law enforcement career.  He discussed fingerprinting procedures and offered his support of the suggestions and recommendations made and suggested that all licenses be combined into one set of licenses.

 

Chairman Gray announced that a group would be assembled to review the suggestions and recommendations in an effort to reach a consensus on the issues.

 

 

Without objection, the meeting adjourned at 3:55 p.m.

 

 

­­­­­­­­­­­­­                                                                        ______________________________________

Robyne Richards, Committee Secretary

October 4, 2001

 

 

 

(Original minutes, attachments and tapes on file in the Chief Clerk’s office.)

 

 

 

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            SECURITY GUARD STUDY COMMITTEE

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                        October 1, 2001

 

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