BOILER WORKER LICENSING

Senate Bill 1234 as passed by the Senate

Sponsor:  Sen. Nancy Cassis

Senate Committee:  Economic Development, Small Business, and Regulatory Reform

House Committee:  Commerce

Complete to 6-29-04

A SUMMARY OF SENATE BILL 1234 AS REPORTED FROM HOUSE COMMITTEE

The bill would amend the Boiler Act (MCL 408.745a) to require the Department of Labor and Economic Growth to do the following:

-- Issue an initial or renewal license or permit within 90 days after an applicant filed a "completed application" (as defined in the bill).

-- Notify the applicant in writing, or make information electronically available, within 30 days after receiving an incomplete application, describing the deficiency and requesting additional information.

-- Refund the license or permit fee and reduce the fee for the applicant's next renewal application, if any, by 15 percent if the Department missed the deadline.

-- Report to the Legislature by December 1 each year, beginning in 2005, regarding the number of applications received and completed within the 90-day time period; the number denied; the number of applicants not issued a license within the 90-day period; and the amount of money returned to applicants.

The bill would apply to licenses to install or repair boilers and permits for the installation or repair of boilers.

FISCAL IMPACT:

The bill would allow for a return of the original license fee and a 15% fee reduction on the next renewal application if the department fails to issue or deny a license within the specified time period.  In FY 2002-03 the Department collected approximately $186,000 from initial and renewal licenses under the Board of Boiler Rules, rules promulgated according to the Administrative Procedures Act of 1969.  Department staff state that they currently operate within the timeframes of this bill so the fiscal impact should be minimal.  It is estimated that there could be additional information technology, computer database costs since there is a new reporting requirement to report on information not currently gathered.

                                                                                           Legislative Analyst:   Chris Couch

                                                                                                  Fiscal Analyst:   Steve Stauff

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.