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“New York City May be Next in Line to Require Alarm Permits!”

by Alan Glasser

If you have been in the alarm or electronic security business in New York City for any length of time, then you are aware that, for the most part, there hasn’t been any licensing of alarm or electronic security businesses. There was a NYC Department of Consumer Affairs Home Improvement Contractor’s License required before NYS DOS enacted the NYS license of “Business of Installing, Servicing or Maintaining Security or Fire Alarm Systems - Article 6-D General Business Law.” That license is recognized by New York City for businesses installing burglar alarms, closed circuit television (CCTV), and access control systems – but not for fire alarm systems. NYC requires the installation of fire alarm systems to be installed by NYC licensed master electricians.                                                                                             

New York City does not require (not at this time…but read on!) the issuance of a permit for the installation of, or the use of, any burglar alarm system, closed circuit television system (CCTV), or access control systems. Commercial fire alarms require extensive approved plans, filing fees, and inspections (perhaps an article for another time). Residential fire alarms (like adding a smoke detector or two to a residential burglar alarm system is a whole other grey area (again perhaps an article for another time). 

However, the leaves on the trees are beginning to rustle like at the beginning of a storm!  

In 2008 in conjunction with NYC’s adoption of the International Fire Code, the Fire Department of the City of New York promulgated and adopted several new rules relative to FDNY Approved Central Stations and the retransmission of central station monitored fire alarms to the FDNY. Prior to 2008 the definition of "retransmission" was the retransmission of fire alarms generated from fire alarm systems which had been filed with the NYC Building Department, and inspected and approved by the FDNY. The interpretation of these new rules by the legal department of the FDNY could have major ramifications for alarm companies. 

At a meeting between FDNY Approved Central Stations and the FDNY, the FDNY indicated that it was the intent of the FDNY Legal and Finance Departments to bill FDNY Approved Central Stations not only for every retransmission from approved systems, but also bill for each residential retransmission (smoke detector dispatch), including one and two family residences monitored by each FDNY Approved Central Station. 

The New York Fire Alarm Association (of which I am a past Executive Director) formed a Central Station Committee which met several times with the Fire Department to explain the problems with FDNY’s "traffic formula," and problems that may be encountered in the implementation of these new rules. Many of these problems have not yet been resolved. 

The FDNY is still in the discussion stage regarding procedures to be developed regarding NYC residences. 

One of the possibilities discussed is a "permit" program such as the one used in Nassau County, NY. 

Alarm companies should be aware, some type of permit and/or fee may be assessed in the near future for any systems (including residences) or monitored devices (such as smoke detectors and CO Detectors) requiring retransmission to the FDNY. 

How the FDNY will implement this “permit” program is not clear yet. 

Will the FDNY administer the “permit” program and issue “permits” directly to the end user of fire alarm systems? 

Will the FDNY require the approved FDNY Central Stations to administer the “permit” program directly to their monitored customers and collect the data and fees for the FDNY? 

Will the FDNY require the approved FDNY Central Stations, who provide wholesale monitoring services for others, to administer the “permit” program via the alarm dealer who will have to get all of the data and “permit” fees from their (alarm dealer’s) customer (the end user)? 

And what about all the non – FDNY Approved central stations all around the United States that monitor burglar and fire alarms in New York City? How is the FDNY going to administer the “permit” program for all of those thousands, perhaps hundreds of thousands, of monitored residential fire alarm systems in NYC? 

So let’s see here… The end user (customer) gives the information and permit fee to the alarm installing company who maintains it in their data base. The alarm installing company gives the data and permit fee to the FDNY Approved Central Station who maintains it in their data base (what if you are not using an “approved” central station?). The FDNY Approved Central Station gives the data and the permit fee to the FDNY. The FDNY enters the data into their data base and puts the money into their bank for operating expenses… The next year it starts all over again to renew the yearly permit… Seems to me the FDNY should just get the money and data directly! 

In my opinion, being a long time alarm company owner, and lifelong resident of New York City, the FDNY should not even consider implementing a “permit” program requiring the participation of the alarm industry to: gather data for the issuance of a permit; collect the fees associated with a “permit” program; maintain a current data base with customer information and perhaps being required to update that information on an annual basis. The FDNY should be issuing the “permits”; collecting the data; collecting the money. Perhaps like almost every other city agency. 

The alarm industry is not a collection agent for the FDNY or the City of New York. Sure we collect sales taxes, income taxes, Medicaid taxes, etc., but we don’t collect (as far as I know) “permit” fees, maintain data bases of permit holders, and be required to update information on an annual basis and provide that information to a city agency every year. 

The alarm industry must take action now, while the FDNY is formulating its plan, and not after any rules take affect that may cause an unjust burden, physically and financially, on the alarm industry. 

I don’t mind being a NYS resident and having a “permitted” residential fire alarm system in my home. 

A FDNY residential fire alarm system “permit” properly filed and referenced to a duly licensed, New York State, Department of State, Division of Licensing Services, “Business of Installing, Servicing or Maintaining Security or Fire Alarm Systems - Article 6-D General Business Law” licensee (you do want LICENSED alarm companies installing life safety systems, don’t you?), submitted and paid for by the end user (sure the alarm company can help fill out the paperwork) is in my opinion, a fair and equable solution. 

I do mind being a member of the alarm industry and becoming a collection agency and maintain a data base for the City of New York. 

Taking action now will also set the stage when the NYPD decides to generate some revenue by requiring permits for burglar alarm systems. What!? The leaves on the trees are beginning to rustle like at the beginning of a storm! Go on line and read stories about other cites (like Oakland, CA) and the fees associated with alarm systems. 

From Security Systems News, By Daniel Gelinas - 12.22.2009: 

“OAKLAND, Calif.—In a perhaps trendsetting move that has taken industry reps by surprise, the city of Oakland, Calif., has done away with its old, successful false alarm ordinance, voted in a new ordinance designed solely by the Oakland Police Department’s False Alarm Reduction Unit and Fiscal Services Division… requires alarm companies to administer the permitting process, collect new registration fees and renewals, and deliver all proceeds to the city…Due to industry efforts, the municipality has delayed enforcement of the annual renewal processing requirement until Jan. 15 to give industry representatives a chance to work with the city and get the ordinance changed.” 

Is this what YOU want? Be a collection agency for the City of New York? I don’t think so! 

That’s why it is so important to be a member of MBFAA! When the MBFAA approaches the NYC government (and other municipalities) to protect your business, can we count you in? 

WE ARE STRONGER TOGETHER THAN SEPARATE.

 

"Be a part of it" the MBFAA

 Alan Glasser,

Executive Director, MBFAA

…and Thank You!


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