DAR File No. 39369

Commerce, Occupational and Professional Licensing

Rule R156-63b

Security Personnel Licensing Act Armored Car Rule

Notice of Proposed Rule

(Amendment)

DAR File No.: 39369
Filed: 05/14/2015 11:41:44 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

The Division and the Security Services Licensing Board reviewed the rule and determined amendments need to be made to add provisions of federal code with regards to firearm prohibitions.

Summary of the rule or change:

In Section R156-63b-302f, the proposed amendments provide that an applicant who is in violation of 18 U.S.C. Chapter 44, 922(g)1-9 will be denied a license in accordance with federal code. In Section R156-63b-502, the proposed amendment adds as unprofessional conduct failing to report a violation of 18 U.S.C. Chapter 44, 922(g)1-9. In Section R156-63b-503, the proposed amendments update the title and add a minimum sanction that shall be imposed if a licensee fails to report a violation of federal code and Utah statutes identified in the rule. In Section R156-63b-607, the proposed amendments require licensees to notify the Division if they are in violation of 18 U.S.C. Chapter 44, 922(g)1-9 or Utah statutes identified in the rule. In Section R156-63b-612, the proposed amendments require licensees to notify their employing armored car company and the Division if they are in violation of 18 U.S.C Chapter 44, 922(g)1-9 or Utah statutes identified in the rule. Division note: It should be noted that the rule text for Section R156-63b-502 in this filing comes from an earlier proposed rule amendment filing also affecting this rule section, see DAR No. 39294.

State statutory or constitutional authorization for this rule:

• Subsection 58-1-202(1)(a)
• Subsection 58-1-106(1)(a)
• Section 58-63-101

Anticipated cost or savings to:

the state budget:

The Division will incur minimal costs of approximately $75 to print and distribute the rule once the proposed amendments are made effective. Any costs incurred will be absorbed in the Division's current budget.

local governments:

The proposed amendments apply only to licensed armored car security officers, armored car companies, and applicants for licensure in those classifications. As a result, the proposed amendments do not apply to local governments.

small businesses:

A small business that fails to qualify for licensure will be unable to operate with attendant fiscal losses. However, specific amounts cannot be estimated by the Division.

persons other than small businesses, businesses, or local governmental entities:

The proposed amendments apply only to licensed armored car security officers, armored car companies, and applicants for licensure in those classifications. As a result, the proposed amendments do not apply to other persons.

Compliance costs for affected persons:

The proposed amendments apply only to licensed armored car security officers, armored car companies, and applicants for licensure in those classifications. To comply, affected persons seeking licensure must ensure that they have the necessary qualifications. Any associated costs will vary and are outside of the Division's control. Therefore, those costs cannot be estimated.

Comments by the department head on the fiscal impact the rule may have on businesses:

This filing provides notice that certain criminal convictions and statutory violations preclude licensure of both individuals and business entities. A business that is precluded from licensure will be unable to operate and will therefore experience a fiscal impact. The amount of such impact cannot be estimated or anticipated.

Francine A. Giani, Executive Director

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Commerce
Occupational and Professional Licensing
HEBER M WELLS BLDG
160 E 300 S
SALT LAKE CITY, UT 84111-2316

Direct questions regarding this rule to:

• Jana Johansen at the above address, by phone at 801-530-6621, by FAX at 801-530-6511, or by Internet E-mail at [email protected]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

07/15/2015

Interested persons may attend a public hearing regarding this rule:

• 06/16/2015 11:00 AM, Heber Wells Bldg, 160 E 300 S, Conference Room 210, Salt Lake City, UT

This rule may become effective on:

07/22/2015

Authorized by:

Mark Steinagel, Director

R156. Commerce, Occupational and Professional Licensing.

R156-63b. Security Personnel Licensing Act Armored Car Rule.

R156-63b-302g. Qualifications for Licensure - Good Moral Character - Disqualifying Convictions.

(1) In addition to those criminal convictions prohibiting licensure as set forth in Subsections 58-63-302(1)(h) and (4)(c), the following is a list of criminal convictions [which]that may disqualify a person from obtaining or holding an armored car security officer license, or an armored car company license:

(a) crimes against a person as defined in Title 76, Chapter 5, Part 1;

(b) theft, including retail theft, as defined in Title 76;

(c) larceny;

(d) sex offenses as defined in Title 76, Part 4;

(e) any offense involving controlled dangerous substances;

(f) fraud;

(g) extortion;

(h) treason;

(i) forgery;

(j) arson;

(k) kidnapping;

(l) perjury;

(m) conspiracy to commit any of the offenses listed herein;

(n) hijacking;

(o) burglary;

(p) escape from jail, prison, or custody;

(q) false or bogus checks;

(r) terrorist activities;

(s) desertion;

(t) pornography;

(u) two or more convictions for driving under the influence of alcohol within the last three years; and

(v) any attempt to commit any of the above offenses.

(2) [Where not automatically disqualified pursuant to Subsections 58-63-302(1)(h) and (4)(c), applications for licensure or renewal of licensure in which the applicant, or in the case of an armored car company, the officers, directors, and shareholders with 5% or more of the stock of the company, has a criminal background shall be considered on a case by case basis as defined in Section R156-1-302.]An applicant for initial licensure or license renewal as an armored car security officer may not be licensed if the applicant is in violation of:

(a) any provision set forth in 18 U.S.C. Chapter 44, 922(g)1-9;

(b) Utah Code Subsection 76-10-503(1); or

(c) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

(3)(a) Where the applicant is an armored car company, the background of the following individuals shall be considered:

(i) officers;

(ii) directors; and

(iii) shareholders with 5% or more of the stock of the company.

(b) Criminal history and statutory violations that do not automatically disqualify an applicant under statute or rule shall be considered on a case-by-case basis as defined in Section R156-1-302.

(4) An armored car security officer license shall by automatically revoked if the licensee is in violation of:

(a) any provision set forth in 18 U.S.C. chapter 44, 922(g)1-9;

(b) Utah Code Subsection 76-10-503(1); or

(c) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

 

R156-63b-502. Unprofessional Conduct.

"Unprofessional conduct" includes the following:

(1) making any statement that would reasonably cause another person to believe that an armored car security officer functions as a law enforcement officer or other official of this state or any of its political subdivisions or any agency of the federal government;

(2) utilizing a vehicle with markings, lighting, and/or signal devices that imply or suggest that the vehicle is an authorized emergency vehicle as defined in Subsection 41-6a-102(3) and Section 41-6a-310 and in Title R722, Chapter 340;

(3) utilizing a vehicle with an emergency lighting system that violates the requirements of Section 41-6a-1616 of the Utah Motor Vehicle Code;

(4) wearing a uniform, insignia, or badge that would lead a reasonable person to believe that the armored car security officer is connected with a federal, state, or municipal law enforcement agency;

(5) being incompetent or negligent as an armored car security officer or as an armored car company so as to cause injury to a person or create an unreasonable risk that a person might be harmed;

(6) failing as an armored car company or its officers, directors, partners, proprietors or responsible management personnel to adequately supervise employees so as to place the public health and safety at risk;

(7) failing to immediately notify the Division of the cancellation of the armored car company's insurance policy;

(8) failing as an armored car company or an armored car security officer to report a criminal offense pursuant to Section R156-63b-612;

(9) pursuant to Subsection R156-63b-612(3), failing as an armored car company or an armored car security officer to report to the Division a violation of:

(a) any provision set forth in 18 U.S.C. Chapter 44, 922(g)1-9;

(b) Utah Code Subsection 76-10-503(1); or

(c) Utah Code Subsection 58-63-302(1)(a), (2)(c), or (3)(c); and

([9]10) wearing a uniform, insignia, or badge, or displaying a license, that would lead a reasonable person to believe that an individual is connected with an armored car company, when not employed as an armored car security officer by an armored car company.

 

R156-63b-503. Mandatory Sanctions - Administrative Penalties.

(1) The license of an armored car company or an armored car security officer shall be suspended for a period of time determined by the Board if the licensee fails to report to the Division a violation of:

(a) any provision set forth in 18 U.S.C. chapter 44, 922(g)1-9;

(b) Utah Code Subsection 76-10-503(1); or

(c) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

(2) In accordance with Subsection 58-63-503, the following citation fine schedule shall apply to citations issued under Title 58, Chapter 63:

 

. . . . . . .

 

([2]3) Citations shall not be issued for third offenses, except in extraordinary circumstances approved by the investigative supervisor. If a citation is issued for a third offense, the fine is double the second offense amount, with a maximum amount not to exceed the maximum fine allowed under Subsection 58-63-503(3)(h)(iii).

([3]4) If multiple offenses are cited on the same citation, the fine shall be determined by evaluating the most serious offense.

([4]5) An investigative supervisor may authorize a deviation from the fine schedule based upon the aggravating or mitigating circumstances.

([5]6) The presiding officer for a contested citation shall have the discretion, after a review of the aggravating and mitigating circumstances, to increase or decrease the fine amount imposed by an investigator based upon the evidence reviewed.

 

R156-63b-607. Operating Standards - Criminal Status of Officer, Qualifying Agent, Director, Partner, Proprietor, Armored Car Security Officer or Manager of Armored Car Companies.

(1) This subsection applies to any [In the event an ]officer, qualifying agent, director, partner, proprietor, armored car security officer, or any management personnel having direct responsibility for managing operations of the armored car company.[ has a conviction entered regarding]

(2) A person identified in this Subsection (1) may not participate at any level or capacity in the management, operations, sales, ownership, or employment of an armored car security company if the person:

(a) has been convicted of:

(i)  a felony;

([b]ii) a misdemeanor crime of moral turpitude; or

([c]iii) a crime that the Division and Board consider to constitute a risk to the public when considered with the duties and functions of an armored car security company officer; or[by the Division and the Board indicates that the best interests of the public are not served, the company shall within ten days of the conviction or notice reorganize and exclude said individual from participating at any level or capacity in the management, operations, sales, ownership, or employment of that company.]

(b) has violated:

(i) any provision set forth in 18 U.S.C. Chapter 44, 922(g)1-9;

(ii) Utah Code Subsection 76-10-503(1); or

(iii) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

(3) An armored car security company shall:

(a) within 10 calendar days of occurrence, report to the Division any event contemplated in Subsection (2) that occurs in regard to a person identified in Subsection (1); and

(b) take appropriate steps to ensure that company operations comply with this Subsection (2).

 

R156-63b-612. Operating Standards - Notification of Criminal Offense.

(1) Licensee employed by an armored car company[:].

(a) [p]Pursuant to Title 58, Chapter 63, a licensed armored car security officer [arrested, charged, or indicted for a criminal offense above the level of a Class C misdemeanor ]shall notify the licensee's employing [armored car]contract security company within 72 hours of being:

(i) [the ]arrested, charged, or [indictment;]indicted for any criminal offense above the level of a Class C misdemeanor; or

(ii) found in violation of:

(A) any provision set forth in 18 U.S.C. Chapter 44, 922(g)1-9;

(B) Utah Code Subsection 76-10-503(1); or

(C) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

(b) [w]Within 72 hours after [such]receiving notification pursuant to this Subsection (1)(a)[by the employee], the employing armored car company shall notify the Division of the arrest, charge, [or ]indictment, or violation.[in writing; and]

(c) [t]The written notification required under this Subsection (1)(b) shall include:

(i) the employee's name[,];

(ii) the name of the arresting agency, if applicable;

(iii) the agency case number[,]or similar case identifier;

(iv) the date of the arrest, charge, indictment, or violation; and

(v) the nature of the criminal offense or violation.

(2) Licensee not employed by an armored car company[:].

(a) [p]Pursuant to Title 58, Chapter 63, a licensed armored car security officer who is not employed by a[n] [armored car]contract security company shall directly notify the Division in writing within 72 hours of [any]being:

(i) arrested, charged or [indictment]indicted for any crime above the level of a Class C misdemeanor; [and]or

(ii) found to be in violation of:

(A) any provision set forth in 18 U.S.C. Chapter 44, 922(g)1-9;

(B) Utah Code Subsection 76-10-503(1); or

(C) Utah Code Subsections 58-63-302(1)(a), (2)(c), or (3)(c).

(b) [t]The written notification required under this Subsection (2)(a) shall meet the requirements of Subsection (1)(c).

 

KEY: licensing, security guards, armored car security officers, armored car company

Date of Enactment or Last Substantive Amendment: 2015

Notice of Continuation: September 9, 2013

Authorizing, and Implemented or Interpreted Law: 58-1-106(1)(a); 58-1-202(1)(a); 58-63-101