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F I S C A L I M P A C T R E P O R T

SPONSOR Stewart

ORIGINAL DATE

LAST UPDATED

2/15/07

HB 1142

SHORT TITLE Private Investigators and Polygrapher Regulation

SB

ANALYST C. Sanchez

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY07

FY08

NFI

(Parenthesis ( ) Indicate Expenditure Decreases)

ESTIMATED ADDITIONAL OPERATING BUDGET IMPACT (dollars in thousands)

FY07

FY08

FY09 3 Year

Total Cost

Recurring

or Non-

Rec

Fund

Affected

Total none Indeterminable Indeterminable Indeterminable Recurring General

Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

Regulation and Licensing Department (RLD)

Boards and Commissions (BC)

SUMMARY

Synopsis of Bill

House Bill 1142 will amend Section 61-27A NMSA 1978 the Private Investigator and

Polygraphers Act. The bill provides licensing changes for private investigators and private patrol

operators, also known as security guards.

Specifically, the bill will:

House Bill 1142 – Page

2

(1)

Require private patrol companies to hire security guards to maintain general liability

insurance in case an individual is hurt by a security guard’s negligence;

(2)

Allow each security guard to own his own guard card thereby allowing him to seek

employment as he chooses. Under current Act, the employer owns the guards cards. A

separate application for a card must be submitted by each employer for every security

guard employed;

(3)

Create 3 levels of licensure for security guards based on the experience and

qualifications of the guards. However, every guard currently licensed will be

grandfathered into the highest level for which they qualified prior to enactment of the

proposed legislation;

(4)

Provide for continuing education for all guards to help make sure the guard is properly

trained for the job they have been hired to do;

(5)

Require security guards to complete a minimum of 16 hours of training before serving

on a post of duty for the first time at their level of licensure;

(6)

Allow an employer to provide in-house training approved by the Private Investigator

Board, or allow employees to seek training from a school or facility approved by the

Board;

(7)

Allow non-resident security guards to obtain a special event permit to work in the state

for a limited period of time to provide guard services for special events.

FISCAL IMPLICATIONS

The Act, as amended under HB 1142, will require additional training for individuals who seek to

be licensed as Private Investigators or Private Patrol Operators.

The bill allows the Board to conduct national background checks on prospective licensees before

issuing a license to investigate, patrol or carry weapons.

It has been over 10 years since any major amendments have been made to the Private

Investigators and Polygraphers Act and that there have been many technological changes in the

way in which private patrol operators and private investigators perform their duties.

The Act, as amended, will create a three-tiered licensure program for security guards, associating

level of training and experience with each level of licensure.

1.

A Level One security guard will be an unarmed, entry-level guard trained to

perform basic guard duties;

2.

A Level Two security guard will be armed with a knight stick or other defense

mechanism, but not permitted to carry a firearm; and

3.

A Level Three security guard will be able to perform the duties and

responsibilities of a Level One and Level Two security guard, and carry a firearm.

Under the current law, the company that hires the security guards also owns the “guard cards."

Each time a security guard changed employers they also have to apply for and receive a new

security guard registration. The proposed legislation will create increased security guard mobility

and more guard flexibility within the profession.

Each private investigation company must maintain a $10,000 surety bond, unless the private

investigation company also provides personal protection or body guarding services. In those

instances, the private investigation company must also maintain a general liability policy.

House Bill 1142 – Page

3

Private patrol operator companies must maintain general liability insurance.

SIGNIFICANT ISSUES

Over the past few years, the board has become aware of incidents resulted in the death or injury of a

security guard or a citizen because of an improperly trained or unregistered security guards. HB 1142

will create an effective protocol for licensing and registering individuals as security guards and/or private

investigators.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL

The Regulation and Licensing Department will continue to issue all licenses pursuant to the provisions of

the current Private Investigators and Polygraphers Act.

CS/nt