The spotlight is on Katie Bally this week. Katie talks to Ron Davis, founder of GraybeardsRus, about the process of selling her business and her role with the Davis Marketing Group.
ESA commends the California Alarm Association (CAA) and its officers, members and counsel for securing a blanket exemption from SB 340, a bill that prevents automatic contract renewals. Because of their work, no alarm contract changes will be required.
SB 340 prevents automatic contract renewals and requires any business making an automatic renewal or continuous service offer to clearly and conspicuously disclose terms of the offer and obtain the consumer’s affirmative consent to the offer. The CAA argued that the Alarm Act statutes already govern the alarm industry. In addition, the Department of Consumer Affairs via the Bureau of Security and Investigative Services already regulates the industry. CAA also argued that automatic renewal policies in alarm contracts are necessary to protect the safety and well being of customers.
Based on these arguments, and the excellent relationship CAA and its lobbyist were able to maintain with the bill’s author, Senator Leland Yee, the state assembly placed an exemption in the bill for the alarm industry – one of only a handful of industries that received a blanket exemption from the provisions.
This is a significant victory because the legislature has now recognized that there are unique circumstances regarding alarm contracts and we will be able to cite the exemption in future legislative debates in other states.
ESA urges companies that have disputes with customers over the automatic renewal of contracts to resolve the issue to the satisfaction of the customer to avoid any potential consumer driven legislation in the future.
Download a copy of the final California bill and see Section 17605(d) for the alarm company operations exemption. ESA will continue to monitor and report on all 50 states as we expect this issue will arise elsewhere throughout the 2010 state legislative sessions.
The September 15 – October 15 State Legislative Report, researched and compiled by the ESA Government Relations department, is now available online. The report is located in the Members section under Government Relations at www.alarm.org. To access the report you will be required to log in using your member user login and password.
The report contains subject highlights of bills followed for the months of September-October:
Of particular interest this month: CA S 317, a bill that relates to the disposal of toxic substances and would amend the existing law that regulates the disposal of hazardous waste by the Department of Toxic Substances Control, as well as enact the Smoke Detector Collection Act with non-substantive provisions; IL H 4638, a bill that amends the Private Detective, Private Alarm, Private Security, Fingerprint Vendor, and Locksmith Act of 2004; concerns the qualifications for licensure as a private alarm contractor, provides that an applicant must have a minimum of 3 years experience during the 5 years immediately preceding the application; makes other changes concerning the experience requirements for licensure; and WI S 190, a bill that relates to renewals and extensions of business contracts, which was amended to provide changes to the definition of “business contract” to specify that a contract for the lease of business equipment is included only if “any of the business equipment is used primarily in Wisconsin” and which provides that the seller may send the reminder notice up to 60 days, rather than 45 days, before the deadline for the buyer to decline renewal or extension.
Questions or concerns regarding the information contained within the report should be directed to our Director of Government Relations, John Chwat at Gov.Info@alarm.org.
We ask that the information enclosed be treated as a member benefit and shared only within your organization.
In response to the Energy Independence and Security Act (EISA) of 2007, which would require electronic devices to meet efficiency standards designated for “active,” “off” and “standby” modes, ESA, the Security Industry Association (SIA), Honeywell, Tyco/ADT and leading environmental groups have brokered an agreement that will maximize security and efficiency.
This agreement is important because electronic security and life safety devices – such as video surveillance, intrusion detection and access control systems – must always remain in an ‘active’ mode at all times. Requiring these systems to also meet efficiency standards for “off” and “standby” modes, modes that are never used with security systems, can unnecessarily increase the cost of these systems, potentially making them less affordable for families, businesses and other end-users.
As a result of the agreement, ESA, SIA, Honeywell, Tyco/ADT and environmental groups including the American Council for an Energy-Efficient Economy, the Appliance Standards Awareness Project, the Alliance to Save Energy, and the Natural Resources Defense Council, have presented key members of Congress with proposed legislative language that would exempt security and life safety devices from the “off” and “standby” requirements.
Specifically, the legislative language was presented to the members and staff of the Senate Energy and Natural Resources Committee in the form of a consensus amendment that could be added to energy/climate change legislation being considered by the Senate. The measure would retain EISA’s “active” mode efficiency standards for security and life safety products and would make the “off” and “standby” exemptions reviewable by the U.S. secretary of energy in 2017.
Vermont and Pennsylvania Chapters gather for legislative briefings
The Electronic Security Association (ESA) held two separate legislative events in October, engaging members from Vermont and Pennsylvania in government affairs to help strengthen the industry.
On October 6, ESA and the Pennsylvania Burglar & Fire Alarm Association (PBFAA) hosted a Legislative Luncheon in Harrisburg, PA sponsored by GE Security. On hand to speak to attendees was State Representative Brendan Boyle.
Boyle discussed his introduction of HB 1544, the Electronic Life Safety and Security Systems Contractors Licensure Act and told attendees he believed the legislation provided an additional tool to public safety officials, aiding in protecting citizens of Pennsylvania.
Members also heard from PBFAA lobbyists John Malady and Jodie Stuck who updated the membership on the chapter’s current legislative efforts including several measures aimed to remove contractual limitations in the Home Improvement Consumer Protection Act.
“We would like to thank ESA and GE Security for hosting this event and look forward to other opportunities to update the membership on the various activities undertaken by the association at the national, state and local levels,” said PBFAA President Phil Kline.
After Pennsylvania, ESA headed North for a Legislative Breakfast in Vermont on October 13 with the Vermont Electronic Security Association (VESA). The breakfast was sponsored by Honeywell Security.
“Having national representation in Vermont typically ensures participation from even the least likely of participants,” said VESA President Angela White. “Our expectation is that it proves the worthiness of belonging to our state and national organization.”
Attendees heard from State Representative Heidi Scheuermann who spoke directly on her history and involvement with the chapter’s pending licensing legislation. “She provided guests with insight as to how the ’Sunrise Application’ worked through the Office of Professional Regulation and how the legislation would proceed with either a denial or approval from the Secretary of State’s Office,” White said.
Attendees also heard from ESA Standards Committee Chairman Rick Simpson of Vector Security. He was able to bring some clarification to the 2010 edition of NFPA72.
“Considering the communication issues that Vermont is currently facing with the pending bankruptcy of our major telecommunication provider, the influx of managed voice networks, and carriers with inferior services, we, as technicians, are scrambling daily to find adequate, reliable transmission mediums,” White said. “Rick lent an air of resolution while assuring his audience that our concerns are not being taken lightly.”
Federal Trade Commission “Red Flag” regulations go into full enforcement as of November 1, 2009. Arguably all alarm companies who provide PERS service, maintain credit card information for their subscribers, or send invoices for recurring periodic revenue, are covered by the regulations. According to the regulations you need to have a written plan to deal with potential identify theft.
The FTC has developed a handy do-it-yourself guide to help businesses comply with the new rules.
A complete overview of the regulations can also be found here:
http://www.ftc.gov/bcp/edu/pubs/business/idtheft/bus23.pdf
Meeting with friends for the good of our industry produces an energy that cannot be duplicated through conference calls. It’s also a lot of fun.
During the ESA 2010 Leadership Summit, ESA committees will meet to discuss important issues facing the security industry in 2010. The decisions made during these meetings affect the direction of the association and can influence the direction of the entire security industry. Even if you’re not currently on a committee, you’re welcome to attend the meetings.
In addition, we’ve planned an entire day of business and leadership training to enhance your skills and help develop best practices for your business and association. Through these seminars you can earn valuable CEUs.
If you haven’t registered for the 2010 Leadership Summit, please do so as quickly as possible – free registration ends December 14th and discounted hotel rooms are available on a limited basis. Click here to register. For registration assistance, contact Michelle Whitaker at (888)447-1689 or michellew@alarm.org.
Thank you to our 2010 Leadership Summit Sponsors:
Mark your calendar and start making plans to attend these exciting ESA events in 2010.
ESA Leadership Summit: Embracing the Future
Jan 12 – 14, 2010
Fort Worth, TX
This year, the annual Leadership Summit will be held in historic downtown Fort Worth. Featuring three full days of important meetings and networking, the summit will also include valuable seminars addressing industry trends and how chapters can generate non-dues revenue.
ESA has contracted a negotiated rate at the Fort Worth Renaissance hotel for $179 per night.
Registration for the summit is free when completed by Monday, December 14. Late registrations will be accepted through January 5 at a cost of $125. On-site registration will be available for $150. A cancellation fee of $125 will apply for cancellations after December 15.
AIREF Golf Classic
March 23
Las Vegas, NV
You know you love it – the annual AIREF Golf Classic in Las Vegas. Make sure you’re there to take part in a day of world class golfing with your industry colleagues and golf without guilt – because you’ll be supporting a great cause!
ESA Day on Capitol Hill
April 27 – 28
Washington, D.C.
The premiere lobbying event of the industry, Day on Capitol Hill offers ESA members an opportunity to sit down with their elected officials and lobby for programs and initiatives to benefit the electronic security industry and your business.
ESA has once again received a negotiated rate from St. Gregory Hotel & Suites. Attendees can receive accommodations at $240 per night. You may register at www.alarm.org beginning February 1, 2010.
Looking forward: 2010 ESA Summer Conference
June 14 – 18
Pittsburgh, PA
The ESA Summer Conference is where association leaders help shape the future of ESA and work to improve the business environment for the security industry. You can make a difference – join us for the 2010 ESA Summer Conference. Learn more about Pittsburgh, click here. To view the exciting Welcome to Pittsburgh 2010 video, click here.
Electronic Security Expo (ESX) – Where Leaders are Made
June 14 – 18
Electronic Security Expo experienced its second year of success and the excitement continues to build. Be sure to register early for 2010 ESX – Where Leaders are Made. Book your hotel rooms in advance to ensure discounted, convenient accommodations. Arrangements have been made with the following hotels:
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