2004 -- H 8067

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LC02469

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2004

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A N A C T

RELATING TO BUSINESSES AND PROFESSIONS -- LOCKSMITHS

     Introduced By: Representatives Montanaro, Moura, Kilmartin, and Landroche

     Date Introduced: February 24, 2004

     Referred To: House Labor

It is enacted by the General Assembly as follows:

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     SECTION 1. Title 5 of the General Laws entitled "Businesses and Professions" is hereby

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amended by adding thereto the following chapter:

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     CHAPTER 75

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LOCKSMITHS

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     5-75-1. Purpose. – In order to protect the public of this state from the abuse and misuse

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of locksmithing supplies, manuals, or equipment resulting in violation of public safety and

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security, locksmiths should be licensed and regulated in this state. Locksmiths operate in the

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public trust to secure and protect property and persons and have the knowledge and tools to

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bypass or neutralize security devices; locksmiths must be trained in the applicable regulations and

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laws pertinent to the profession, including but not limited to building and fire as well as training

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in proper installation and maintenance of security devices for the public well-being. The

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regulations or laws of this state currently do not protect its citizens from the unscrupulous use and

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abuse of the tools and knowledge of the locksmithing profession by the untrained person or

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persons who have criminal intent. Therefore, the regulation and licensing of locksmiths in this

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state is necessary.

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     5-75-2. Definitions. -- For purposes of this act, the following terms shall have the

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meanings indicated:

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     (1) "Building permit" means a permit issued by the appropriate authority regarding the

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regulation of building construction, remodeling, and other physical changes to property.

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     (2) "Certificate" means a document issued by the department as proof that a license or

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permit has been granted.

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     (3) "Certification" means the process whereby the department or any regulatory board

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issues a certificate on behalf of this state to a person signifying that he/she possesses the character

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and minimum skills to engage properly in the profession of locksmithing.

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     (4) "Codebook" means a compilation, in any form, of key codes.

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     (5) "Department" means the department of business regulation.

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     (6) "Emergency" means a life-threatening situation involving a person.

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     (7) "Hearing" means the process for discharge of contested cases as described in the

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Administrative Procedures Act.

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     (8) "Inspection" means a method of regulation whereby the division periodically

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examines the activities and premises of practitioners of an occupation or profession to ascertain if

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the practitioner is carrying out his profession or occupation in a manner consistent with the public

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health, safety and welfare.

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     (9) "Key duplication machine" means any device which is capable of copying or

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reproducing keys.

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     (10) "Licensure" means a method of regulation whereby this state, through the issuance

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of a license, authorizes a person possessing the character and minimum skills to engage in the

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practice of the locksmith profession or occupation, which is unlawful to practice without a

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license.

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     (11) "Locksmith" means a natural person who performs locksmith services to the public

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for any type of compensation and has received a license pursuant to this act.

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     (12) "Locksmithing tool" means any tool that is designed, or intended by the user to be

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used, to open a mechanical or electrical locking device by a means other than that which is

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intended by the manufacturer of such device for normal operation.

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     (13) "Locksmith license" means a license granted to a locksmith pursuant to section 5-75-

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8.

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     (14) "Locksmith services" means:

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     (i) Repairing, rebuilding, rekeying, repinning, servicing, adjusting or installing locks,

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mechanical or electronic security devices, safes, vaults or safe deposit boxes; or

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     (ii) Operating a mechanical or electrical security device, safe or vault by a means other

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than those intended by the manufacturer of such locking devices, safes or vaults.

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     (15) "Organization" means any entity other than a natural person, including but not

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limited to, a corporation, partnership, sole proprietorship or association.

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     (16) "Photo identification card" means a document with a photograph of the licensee on

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its face issued by the department as proof that a license has been granted.

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     (17) "Regulatory board" means the board of locksmiths.

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     (18) "Registration" means a method of regulation whereby any practitioner of a

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profession or occupation may be required to submit information concerning the location, nature,

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and operation of his/her practice.

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     (19) "Safe-opening tool" means any tool that is designed, or intended by the user to be

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used, to open a safe, safe deposit box or similar object by means other than that which is intended

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by the manufacturer of such safe, vault, safe deposit box or similar object for normal opening.

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     (20) "Director" means the director of the division of business regulation.

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     5-75-3. Board of locksmiths. -- (a) A regulatory board, the board of locksmiths, shall be

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established to administer a system of certification and licensure. The board of locksmiths shall

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consist of five (5) members, two (2) locksmiths and one (1) member of the general public to be

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appointed by the speaker of the house, and one (1) locksmith and one (1) member of the general

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public to be appointed by the president of the senate. Of the occupational members, all shall have

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at least five (5) years' experience in the locksmith industry and be currently engaged in that

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industry.

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     (b) The terms of the board members shall be three (3) years. Of those members first

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appointed two (2) shall be appointed to three (3) year terms. Two (2) for two (2) year terms, and

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one (1) for a one (1) year term. Any vacancy occurring, other than by expiration of terms, shall be

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filled for the unexpired term by appointing. No member shall serve more than two successive full

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terms.

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     (c) A "citizen member" of the board shall be a person who: (1) is not by training or

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experience a locksmith; (2) is not a spouse, parent, child, or sibling of a locksmith; and (3) has no

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direct or indirect financial interest, except as a consumer, in the locksmith profession.

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     (d) The board shall annually elect from its membership a chairman and vice-chairman.

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Three (3) members of the board shall constitute a quorum.

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     (e) The powers and duties of the board shall be as follows:

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     (i) To establish the qualification for certification or licensure to ensure competence and

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integrity to engage in the profession;

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     (ii) To examine, or cause to be examined, the qualifications of each applicant for

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certification or licensure including, when necessary, the preparation, administration and grading

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of examinations;

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     (iii) To certify or license qualified applicants regulated by this board;

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     (iv) To levy and collect fees for certification or licensure and renewal that are sufficient

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to cover all expenses for the administration and operation of the regulatory board.

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     (v) To promulgate regulations in accordance with the Administrative Procedures Act

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necessary to ensure continued competency, to prevent deceptive or misleading practices by

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practitioners, and to effectively administer the regulatory system established by this board;

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     (vi) To receive complaints concerning the conduct of any person whose activities are

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regulated by the board and to take appropriate disciplinary action if warranted;

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     (vii) To ensure that inspections are conducted relating to the operations in this trade to

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ensure competency and lawful compliance;

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     (viii) To revoke, suspend, or fail to renew a certificate or license for just causes, as

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enumerated in the regulations of the board;

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     (ix) To promulgate cannons of ethics under which the professional activities of person

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regulated shall be conducted.

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     5-75-4. Monetary penalty. -- Any person licensed or certified by the board who violates

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any regulation of the board shall be subject to a monetary penalty. If the board determines that a

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respondent has committed the violation complained of, the board shall determine the amount of

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the monetary penalty for the violation, which shall not exceed five hundred dollars ($500) for

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each violation. The penalty may be sued for and recovered, and recertification denied until paid.

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     5-75-5. Recovery of cost after grant of formal fact finding. -- After a formal fact-

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finding, where in a sanction is imposed to fine, suspend, revoke, or deny renewal of a certificate,

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the board may assess the certificate holder the cost of conducting such a fact-finding. The cost

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shall be limited to: (1) the reasonable hourly rate for the hearing officer; and (2) the actual cost of

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recording the proceedings.

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     5-75-6. Promulgation of regulations and standards. -- (a) The board shall promulgate

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regulations and standards for the training and licensing of locksmiths. The board shall examine

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and license locksmiths and may establish classifications of training and licensing.

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     (b) Locksmith competency standards and any changes thereto shall be established by

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board regulations, after a public hearing and consultation with licensed locksmiths who are

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knowledgeable regarding locksmithing services.

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     (c) The board or its designee is authorized to evaluate the competency of applicants for

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locksmith licenses. The board may either develop and administer an examination to evaluate

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competency, or rely on an examination developed and administered by a professional locksmith

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association such as the Associated Locksmiths of America's Proficiency Registration Program

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(PRP).

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     (d) The board may waive examination requirements for:

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     (i) Any person who has been issued a locksmith license within the previous three (3)

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years from another state, which the board has determined requires proof of competency standards

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equivalent to those established pursuant to this section as a prerequisite for granting its locksmiths

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license, if the license is applied for within three (3) months of the effective date of this act.

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     (e) Any person applying for a license under this act who does not otherwise qualify shall

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serve an apprenticeship under a licensed locksmith or under the board for a period of two years

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and shall:

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     (i) Complete thirty two (32) hours of continuing education per year of board-approved

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classes; and

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     (ii) Identify himself/herself as an "apprentice locksmith" in all advertising.

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     5-75-7. Prohibited activities. -- (a) No person shall act as, or offer to act as, a locksmith

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unless he or she has a locksmith license which has not expired or been revoked or suspended.

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     (b) No organization shall provide or offer the services of a locksmith unless such services

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are, or can be, provided by an employee of such organization who has a locksmith license which

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has not expired or been revoked or suspended.

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     (c) It shall be unlawful and a misdemeanor for any person not licensed under the

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provisions of this act to advertise that he or she is in the locksmith business or to hold himself or

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herself out to the public as a locksmith.

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     (d) It shall be unlawful for any person to obtain ownership or possession of locksmithing

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tools, safe-opening tools, manuals or codebooks, either in person or through an intermediary, or

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through mail order or other remote-procurement method, unless he or she has a locksmith

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certificate which has not expired, or been revoked or suspended. It shall be unlawful for any

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organization to obtain ownership or possession of locksmithing tools, safe-opening tools, manuals

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or codebooks by means of an employee, officer or other person who violates this subsection.

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     (e) Nothing in this section shall prohibit the emergency opening services by members of

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police departments, fire departments, or other government agencies in their official line of duty,

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nor shall sales representatives who are not licensed be prohibited from making bona fide sales

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demonstrations to locksmiths.

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     (f) No apprentice locksmiths may have a registered locksmith working under his or her

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supervision.

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     (g) Nothing in this chapter shall prohibit the acquisition or use of any key duplication

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machine or key blanks.

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     (h) Nothing in this chapter shall prohibit the performance of servicing, installing,

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repairing, or rebuilding automotive locks by automotive service dealers, lock manufacturers, or

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manufacturers agents.

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     5-75-8. Licensure. -- (a) The board of locksmiths or its designee shall be authorized to

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issue locksmith licenses to all qualified individuals in accordance with regulations established by

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the board.

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     (b) Effective December 31, 2004, no locksmith shall do business in this state without

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having obtained the proper locksmith certificate from the board of locksmiths. The certificate

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shall not be transferred or assigned and is valid only with respect to the person to whom it is

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issued. No license shall be granted if the applicant has an unpardoned felony in his or her criminal

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record or has had any prior license to do business revoked for fraud, misrepresentation or any

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other act that would constitute a violation of this section.

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     (c) The terms of each license shall be no longer than three (3) years, with all licenses

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expiring on their anniversary unless renewed or revoked.

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     (d) Any individual shall have available his or her photo identification card at all times

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when providing locksmithing services.

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     (e) An organization shall display, at its normal place of business and in a manner easily

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readable by the general public, a certificate for the licensed locksmith.

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     (f) Any individual licensed or registered under this act must show in all advertising his or

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her certificate number.

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     (g) Any applicant for licensure who provides documentation that he or she has practiced

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as a locksmith for at least two (2) consecutive years immediately preceding his or her date of

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application and is still engaged in the trade shall be exempt from the examination requirements

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contained in this act and promulgated by the board if he or she applies to the board prior to June

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1, 2004.

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     (h) A nonresident of this state may be licensed as a locksmith by meeting one of the

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following requirements:

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     (i) Conforming to the provisions of this act and the regulations of the board; or

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     (ii) Holding a valid locksmith license in another state with which reciprocity has been

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established by the board.

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     (i) Nonresident applicants shall also file with the board an irrevocable consent that

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service of process upon the director of the department of business regulation is as valid and

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binding as service of process upon the applicant. The director shall notify or cause to be notified

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by certified mail, the nonresident licensee named in a service, at the licensee's address of record.

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     5-75-9. Qualifications of applicants. -- (a) An applicant for a locksmith license shall:

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     (i) Be at least eighteen (18) years of age;

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     (ii) Comply with the competency requirements established by the board;

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     (iii) Pay the application fee as established by department regulations; and

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     (iv) Comply with insurance requirements;

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     (b) A person shall not be refused a certificate to practice, pursue, or engage in this

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occupation solely because of a prior criminal conviction, unless the criminal conviction directly

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relates to this occupation. However, the regulatory board shall have the authority to refuse a

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license, certificate or registration if, based on all the information available, including the

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applicant's record of prior convictions, it finds that the applicant is unfit or unsuited to engage in

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the occupation.

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     (c) The form of application, certificate, photo identification card, and method to obtain

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and renew photographs shall be established by the department regulations and administered by

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the board or its designee.

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     5-75-10. Employee requirements. -- All employees of a locksmith who perform

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locksmithing services as defined by section 5-72-2 of this act shall be registered with the board.

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The holder of a locksmith certificate issued under this act may employ, in the conduct of the

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organization's business, employees under the following provisions:

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     (a) No person shall be a registered employee of a licensed locksmith who:

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     (i) Is not a citizen or legal resident alien;

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     (ii) Has been determined by the board to be unfit by reason of conviction of a felony or

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misdemeanor offense in this or in another state or convicted of any crime related to the practice of

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locksmithing. The board shall promulgate rules for procedures by which those circumstances

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shall be determined and that afford the applicant due process of law;

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     (iii) Has had an employee registration refused, denied, suspended, or revoked under this

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chapter;

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     (iv) No person may be employed by a licensed locksmith until he or she has executed and

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furnished to the employer, on forms approved by the board, a verified statement to be known as

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"Employee's Statement" containing:

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     (1) The person's full name, date of birth and residence address;

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     (2) The name of the country of which the person is a citizen; and, if the person is not a

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citizen of the United States, proof that the person is a legal resident alien;

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     (3) The business or occupation engaged in for the five (5) years immediately before the

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date of the execution of the statement, the place in which the business or occupation was engaged,

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and the names of employers, if any;

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     (4) A statement the person has not had a license or employee registration refused,

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revoked, or suspended under this chapter;

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     (5) Any conviction for a felony as it relates to 5-75-9 of this chapter; and

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     (6) Any other information, as may be required by the department, to show the good

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character, competency, and integrity of the person executing the statement.

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     (b) Each licensed locksmith shall submit to the department, with the applicable fees, on

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fingerprint cards furnished by the department, two (2) complete sets of fingerprints that are

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verified to be those of the applicant. If an applicant's fingerprint cards are returned to the

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department as unclassifiable by the screening agency, the agency has thirty (30) days after

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notification is sent by the department, to resubmit such fingerprints taken by a different

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technician.

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     (c) Upon receipt of the verified fingerprint cards, the department shall cause the

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fingerprints to be compared with fingerprints of criminals now or hereafter filed with the

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department. The department may also cause the fingerprints to be checked against the fingerprints

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of criminals now or hereafter filed in the records or other official fingerprint files within or

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without this state. The department shall notify the submitting licensed locksmith within ten (10)

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days upon the invoking of a procedure to deny registration.

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     (d) Within five (5) days of the receipt of the application materials, the department shall

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institute an investigation for a criminal record by checking the applicant's name with immediately

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available criminal history information systems.

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     (e) Each licensed locksmith shall maintain a record of each registered employee. The

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record shall contain the following information:

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     (i) A photograph taken within ten (10) days of the date that the employee begins

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employment with the licensed agency, which shall be replaced with a current photograph every

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three (3) calendar years;

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     (ii) The employee's statement specified in this section; and

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     (iii) A record of all board-approved classes taken by the employee together with the

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dates. Each employee must take a minimum of sixteen (16) hours of continuing education per

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year.

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     (f) A duly authorized representative of the board shall be allowed complete access to all

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records required to be kept under this section upon three (3) days advance notice in writing

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provided to the licensed locksmith.

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     5-75-11. Expiration and renewal. -- (a) Any license granted pursuant to this chapter

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shall expire at the end of its term unless it is renewed pursuant to regulations established by the

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department or revoked.

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     (b) All individuals licensed under this act must complete a minimum of sixteen (16)

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hours of continuing education per year of classes approved by the board in order to renew his or

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her licensed and must provide documentation thereof.

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     (c) An affirmative vote of a majority of those serving on the board who are qualified shall

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be required before any action to suspend or revoke a license, or to impose a sanction on a

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licensee. A board member shall disqualify himself or herself and withdraw from any case in

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which he or she cannot afford fair and impartial consideration. However, an affirmative vote of a

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majority of a quorum of the regulatory board shall be sufficient for summary suspension pursuant

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to specific statutory authority.

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     5-75-12. Licensed locksmith requirements. – (a) No licensed locksmith may employ

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any person who performs locksmithing services under this chapter, unless the locksmith:

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     (i) Submits to the board the name, address, date of birth, and such other information

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sufficient to identify the individual, as the board shall require by rule, including fingerprint cards

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and fees;

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     (ii) Exercises due diligence to ensure that the person is qualified under the requirements

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of the act to be a registered employee of a licensed locksmith; and

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     (iii) Maintains a separate roster of the names of all employees hired and all employees

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whose employment was terminated within the previous month and submits the roster to the board

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on of before the tenth (10th) of the month. Rosters are to be maintained by the locksmith for a

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period of at least twenty-four (24) months. The locksmith is not required to submit a roster for

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any month during which no new employees were hired and the employment of no employee was

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terminated. Failure to maintain and submit the specified rosters is grounds for discipline under

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this chapter. The board may by rule prescribe further record requirements.

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     (b) Failure of a locksmith to notify the board when a new employee is hired and failure to

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submit fingerprint cards and fees required before scheduling the person for work shall result in a

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fine in an amount up to two hundred dollars ($200) or other disciplinary action being imposed

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against the locksmith.

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     (c) If information is discovered affecting the registration of a person whose fingerprints

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were submitted under this section, the board shall so notify the locksmith who submitted the

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fingerprints on behalf of that person.

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     (d) Every locksmith shall furnish an employee identification card to each of its registered

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employees, the form of which shall be designated by the board. The employee identification card

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shall contain a recent photograph of the employee, the employee's name, the name and license

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number of the licensed locksmith, the employee's personal description, the signature of the

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employee, the date of issuance, and an employee identification card number which shall be the

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licensed locksmith's license number followed by a unique suffix for each employee.

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     (e) No employer shall issue an employee identification card to any person who is not

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employed by the employer in accordance with this section or shall falsely state or represent that a

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person is or has been in his or her employ. It is unlawful for an applicant for registered

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employment to file with the board the fingerprints of a person other than himself or herself, or for

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a licensed locksmith to fail to exercise diligence in resubmitting replacement fingerprints for

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those employees who have had original fingerprint submissions returned as unclassifiable.

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     (f) Every employer shall make a reasonable effort to obtain the identification card of

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every employee who terminates employment with him or her.

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     5-75-13. List of locksmiths. -- The board shall maintain a list of the names and addresses

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of all locksmiths licensed under this chapter. Such lists shall also be mailed by the board to any

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person upon request and payment of the required fee.

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     5-75-14. Insurance. -- A locksmith shall maintain an insurance policy sufficient for the

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purpose of paying claims or judgments for damages which may occur as a result of negligence of

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said locksmith or his employees.

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     5-75-15. Customer identification. -- (a) Any licensed locksmith who knowingly and

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willfully opens any residential or commercial establishment for another by any method, whether

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or not for compensation, shall make a reasonable attempt to obtain correct information regarding

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the street address of the resident or commercial establishment and the signature of the person for

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whom the residence or commercial establishment was opened on a work order form and the

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following information regarding the person requesting entry to the resident or commercial

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property: name, address, telephone number, date of birth, and driver's license or identification

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number. A copy of each work order shall be retained for one (1) year. It shall include the name

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and license number of the locksmith performing the service and shall be open for inspection by

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any peace officer or by the board during business hours or submitted to the department upon

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request.

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     (b) Any licensed locksmith who opens a motor vehicle or personal property registered

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under the vehicle code for another by any method, whether or not for compensation, shall attempt

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to obtain information regarding the name, address, telephone number, and driver's license

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number, and the identification of the person requesting entrance, and the registration or

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identification number of the vehicle or personal property, registered under the vehicle code for

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which entrance is requested. Such information, together with the date the service was performed

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and the signature of the person requesting entrance, shall be set forth on a work order. A copy of

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each work order form shall be retained for one (1) year and include the name and license number

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of the locksmith performing the service and shall be open for inspection by any peace officer or

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by the board during business hours or submitted to the board upon request.

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     SECTION 2. This act shall take effect upon passage.

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LC02469

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO BUSINESSES AND PROFESSIONS -- LOCKSMITHS

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     This act would establish provisions for the regulation of locksmiths.

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     This act would take effect upon passage.

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LC02469

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