The Senate Industry and Business Committee voted 5-0 to give a due-pass recommendation on House Bill 1045 at a committee hearing. The measure would authorize the North Dakota Private Investigative and Security Board to charge an application fee for non-live online classroom training for apprentice security officers and to impose renewal and late fees for nonlicensed officers and agency owners with at least a 10% ownership interest.

John Shorey, executive director of the North Dakota Private Investigative and Security Board, told the committee the bill would add two subsections to North Dakota Century Code section 40-33-16. Shorey said the board adopted an administrative rule after the COVID‑19 pandemic allowing non-live remote or online apprentice training through an already board‑certified security trainer (North Dakota Administrative Code 93-02-02.1-17), and that rule took effect Oct. 1, 2022. "As of today's date, there have been no applications for the training but the Board anticipates several applications coming in soon," Shorey said.

Shorey explained the board expects staff time and expenses to review applications and therefore proposes an initial application fee not to exceed $60 for non-live online apprentice courses, with no renewal fee for those courses; if an already approved course is substantively changed, a new application and fee would be required. He also described a separate proposal to require corporate officers and other nonlicensed officers who are listed as part of an agency licensing application to submit a renewal application with a renewal fee not to exceed $60 and a $20 late renewal fee. "The Board believes since they're processing these renewal applications currently with no fees assessed to cover Board staff time and expenses, that it'd be appropriate for a renewal application fee which may not exceed $60 to be required along with a $20 late renewal fee," Shorey said.

Shorey reviewed the apprenticeship pathway for private security staff: companies must provide 12 hours of training or on-the-job training for new entrants; after about 1,000 hours of work plus 32 additional hours of training an individual can become a registered security officer and, if appropriate, pursue armed certification; working an additional roughly 3,000 hours with 80 more classroom hours enables advancement to a commissioned security level and eligibility to pursue licensing to operate an agency. He said the parallel pathway for private investigators requires about 2,000 hours of work to qualify for licensing.

Senator Klein moved for a due-pass recommendation on House Bill 1045; Senator Castle seconded the motion. The committee recorded aye votes from Senator Klein, Senator Kessel, Chairman Barta, Vice Chair Behm and Senator Engage, producing a 5-0 due-pass vote. After the vote the committee closed the hearing on the bill.

Why it matters: Shorey told the committee that the Private Investigative and Security Board does not receive annual state appropriations and relies on licensing and certification fees to fund operations. The board said the proposed fees are intended to cover administrative costs associated with reviewing applications and processing renewals.

Next steps: With a due-pass recommendation, the bill will move forward in the legislative process for further consideration by the Senate. The committee record does not show an enacted effective date; legislative action beyond the committee hearing was not recorded in the transcript.