SENATE BILL No. 1232

 

 

May 13, 2004, Introduced by Senator KUIPERS and referred to the Committee on Economic Development, Small Business and Regulatory Reform.

 

 

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1984 PA 192, entitled                                             

                                                                                

    "Forbes mechanical contractors act,"                                        

                                                                                

    by amending sections 6 and 10 (MCL 338.976 and 338.980), section            

                                                                                

    10 as amended by 1997 PA 119.                                               

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 6.  (1) Upon the filing of an application on a form                    

                                                                                

2   prescribed by the department and payment of the examination fee             

                                                                                

3   prescribed in section 10, the department shall conduct                      

                                                                                

4   examinations to establish the qualifications and competency of              

                                                                                

5   applicants seeking licensing for the category for which the                 

                                                                                

6   application is  made  submitted and  , except as otherwise                  

                                                                                

7   provided,  shall issue licenses to those who pass the                       

                                                                                

8   examinations and pay the initial issuance fee, except as                    

                                                                                

9   otherwise provided for in this act.  An applicant who seeks                 

                                                                                

10  licensure in more than 1 work classification  as set forth                  

                                                                                


                                                                                

1   listed in subsection (3) on a single application shall only be              

                                                                                

2   required to pay 1 examination fee and 1 initial issuance fee as             

                                                                                

3   provided in section 10.  A person applying for a license under              

                                                                                

4   this act shall also pay the amount required to be paid under the            

                                                                                

5   construction lien act,  Act No. 497 of the Public Acts of 1980,             

                                                                                

6   being sections 570.1101 to 570.1305 of the Michigan Compiled                

                                                                                

7   Laws  1980 PA 497, MCL 570.1101 to 570.1305, which amount shall             

                                                                                

8   be paid to the department  of licensing and regulation  for                 

                                                                                

9   deposit in the homeowner construction lien recovery fund.  A                

                                                                                

10  person  shall  is not  be  required to pay more than $50.00 in an           

                                                                                

11  assessment period under  the construction lien  that act,  Act              

                                                                                

12  No. 497 of the Public Acts of 1980,  regardless of the number of            

                                                                                

13  licenses applied for or held.                                               

                                                                                

14      (2) An applicant  shall  is not  be  considered eligible for                

                                                                                

15  examination unless the applicant is of good moral character, as             

                                                                                

16  defined in  Act No. 381 of the Public Acts of 1974, being                   

                                                                                

17  sections 338.41 to 338.47 of the Michigan Compiled Laws  1974 PA            

                                                                                

18  381, MCL 338.41 to 338.47, and has a minimum of 3 years of                  

                                                                                

19  experience  ,  or an equivalent of that experience  that is                 

                                                                                

20  acceptable to the board, upon proper showing to the department,             

                                                                                

21  in 1 or more of the work classifications  set forth  listed in              

                                                                                

22  subsection (3).                                                             

                                                                                

23      (3) A contractor's license obtained  by licensure or                        

                                                                                

24  examination  shall be classified and limited as 1 or more of the            

                                                                                

25  following:                                                                  

                                                                                

26      (a) Hydronic heating and cooling and process piping.                        

                                                                                

27      (b) HVAC equipment.                                                         


                                                                                

1       (c) Ductwork.                                                               

                                                                                

2       (d) Refrigeration.                                                          

                                                                                

3       (e) Limited service, heating or refrigeration.                              

                                                                                

4       (f) Unlimited service, heating or refrigeration.                            

                                                                                

5       (g) Fire suppression.                                                       

                                                                                

6       (h) Specialty.                                                              

                                                                                

7       Sec. 10.  (1) The examination fee for a contractor's license                

                                                                                

8   is $25.00.  Except as otherwise provided in  subsection (2)                 

                                                                                

9   subsections (2) and (4), the initial and per-year fee for the               

                                                                                

10  issuance of a contractor's license is $75.00.                               

                                                                                

11      (2)  Beginning January 1, 1998, an  An initial or renewal                   

                                                                                

12  contractor's license issued under this act expires on August 31             

                                                                                

13  , 2001.  Beginning January 1, 1998, the board shall charge a               

                                                                                

14  license fee of $200.00 for the years 1998 through 2000 as well as           

                                                                                

15  a pro rata license fee of $44.00 representing the time between              

                                                                                

16  January 1, 2001 and August 31, 2001.  The applicant's license               

                                                                                

17  expires  every third year after August 31, 2001 and is renewable            

                                                                                

18  not later than October 31 upon application and payment of the               

                                                                                

19  $200.00  license fee.   In the case of  For a person applying              

                                                                                

20  for an initial or reinstatement contractor's license at a time              

                                                                                

21  other than between August 31 and October 31 of the year in which            

                                                                                

22  the department issues renewal licenses, the department shall                

                                                                                

23  compute and charge the license fee on a yearly pro rata basis               

                                                                                

24  beginning in the year of the application until the last year of             

                                                                                

25  the 3-year license cycle.  All licenses not renewed are void and            

                                                                                

26  may be reinstated only upon application for reinstatement and the           

                                                                                

27  payment of the license fee.  A person who renews his or her                 


                                                                                

1   license within 3 years after the license is voided pursuant to              

                                                                                

2   this section is not subject to reexamination for the license.               

                                                                                

3       (3) Beginning on the effective date of the amendatory act                   

                                                                                

4   that added subsection (5), the department shall issue an initial            

                                                                                

5   or renewal license not later than 6 months after the applicant              

                                                                                

6   files a completed application.  If the application is considered            

                                                                                

7   incomplete by the department, the department shall notify the               

                                                                                

8   applicant in writing within 10 days after receipt of the                    

                                                                                

9   incomplete application, describing the deficiency and requesting            

                                                                                

10  the additional information.  The 6-month period is tolled upon              

                                                                                

11  notification by the department of a deficiency until the date the           

                                                                                

12  requested information is received by the department.                        

                                                                                

13      (4) If the department fails to issue or deny a license within               

                                                                                

14  the time required by this section, the department shall return              

                                                                                

15  the license fee and shall reduce the license fee for the                    

                                                                                

16  applicant's next renewal application, if any, by 15%.  The                  

                                                                                

17  department shall not discriminate against an applicant in the               

                                                                                

18  processing of the application based upon the fact that the                  

                                                                                

19  application fee was refunded or discounted under this                       

                                                                                

20  subsection.                                                                 

                                                                                

21      (5) Beginning January 31, 2005, the director of the                         

                                                                                

22  department shall submit a report by January 31 of each year to              

                                                                                

23  the standing committees and appropriations subcommittees of the             

                                                                                

24  senate and house of representatives concerned with occupational             

                                                                                

25  issues.  The director shall include all of the following                    

                                                                                

26  information in the report concerning the preceding calendar                 

                                                                                

27  year:                                                                       


                                                                                

1       (a) The number of initial and renewal applications the                      

                                                                                

2   department received and completed within the 6-month time period            

                                                                                

3   described in subsection (3).                                                

                                                                                

4       (b) The number of applications requiring a request for                      

                                                                                

5   additional information.                                                     

                                                                                

6       (c) The average time for an applicant to respond to a request               

                                                                                

7   for additional information.                                                 

                                                                                

8       (d) The number of applications rejected in general                          

                                                                                

9   categories.                                                                 

                                                                                

10      (e) The amount of money returned to licensees under                         

                                                                                

11  subsection (4).                                                             

                                                                                

12      (f) The number of applications not issued within the 6-month                

                                                                                

13  period.                                                                     

                                                                                

14      (g) The average processing time for initial and renewal                     

                                                                                

15  applications granted after the 6-month period.                              

                                                                                

16      (6)  (3)  All fees and money received by the department for                 

                                                                                

17  the licensing of persons under this act, and any other income               

                                                                                

18  received under this act, shall be paid into the state                       

                                                                                

19  construction code fund created by section 22 of the                         

                                                                                

20  Stille-DeRossett-Hale single state construction code act,  of               

                                                                                

21  1972,  1972 PA 230, MCL 125.1522.                                           

                                                                                

22      (7)  (4)  The department shall annually submit to the members               

                                                                                

23  of the legislature a comprehensive report detailing the                     

                                                                                

24  expenditure of additional money resulting from the 1989                     

                                                                                

25  amendatory act that increased the fees contained in this                    

                                                                                

26  section.