QUESTION:
Ken
I have read you email for many years and have enjoyed them. I do have question whether you have covered the requirement to work in the alarm business in the state of New York?
I just received a letter from the state of New York that states that I will not be able to work in New York installing or servicing alarms because I do not have a NY address. I have held a license in the state for many years (before the law went effect) and at lest a third of my business comes from NY. Please let me know if you have covered this.
Ron
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ANSWER:
New York has long required that alarm dealers be licensed in New York. Now the law in New York is that alarm dealers with offices out of New York who are licensed in New York must have a secondary office location in New York.
The law is more complicated than simply having a New York address. You must have a New York office where your license is conspicuously displayed, provide the name of a person in charge, all records and papers for New York transactions must be maintained in the New York office and all personnel files, including finger prints, of all employees doing any work in New York must also be maintained in the New York office.
You can read the law on my web site at http://www.kirschenbaumesq.com/alarmlicreq-ny1.htm.
I've already gotten calls asking if anything can be done about this law. Not likely. Other states already require licenses and offices within the state. States have a right to regulate businesses conducted within the state, particularly security companies, and requiring that there be a local office where files are maintained is not that unreasonable.
Some of you with little business in New York will choose to give up your license. Some may decide to work here without a license. The penalty if you don't comply with the new law can be $10,000. Too steep a penalty to risk it.
I am providing a solution. My office will be your New York local office and we will maintain your New York files as required. We have presently priced this service at $120 per month, payable one year in advance, plus one time charge of $10 per file, plus incidental expenses such as postage. Legal services are not included.
Keep in mind that New York's licensing division does have Field Inspectors and you should anticipate that out of state license holders are going to have their secondary New York offices visited and checked. You are required to notify the licensing division within 5 days of opening your secondary New York office.
Don't shoot the messenger !!