HSB 189 (LSB 1690YC (5) 85)

HOUSE FILE _____

BY  (PROPOSED COMMITTEE ON STATE GOVERNMENT BILL BY CHAIRPERSON VANDER LINDEN)

A BILL FOR

An Act relating to the licensing of plumbing, mechanical, HVAC-refrigeration, sheet metal, or hydronic professionals and making penalties applicable.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 91C.1, Code 2013, is amended by adding the following new subsection:
   NEW SUBSECTION.  3.  A contractor licensed under chapter 105 shall be exempt from having to register in Iowa as a contractor under this chapter. The Iowa department of workforce development shall work with the Iowa department of public health to ensure that the workers’ compensation and unemployment insurance information provided on the contractor license application is valid. The labor commissioner shall not accept contractor registration applications from contractors who are required to be licensed under chapter 105.
    Sec. 2.  Section 105.2, subsections 1, 3, 6, 9, 10, 11, 12, and 17, Code 2013, are amended to read as follows:
   1.  “Apprentice” means any person, other than a helper, journeyperson, or master, who, as a principal occupation, is engaged in working as an employee of a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic systems contractor under the
 
direct supervision of either a master or a journeyperson and is progressing toward completion of an apprenticeship training program registered by the office of apprenticeship of the United States department of labor while learning and assisting in the design, installation, and repair of plumbing, HVAC, refrigeration,
 
sheet metal, or hydronic systems, as applicable.
   3.  “Contractor” means a person or entity that provides plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems services on a contractual basis and who is paid a predetermined amount under that contract for rendering those services.
   6.  “Helper” means a person engaged in general manual labor activities who provides assistance to an apprentice, journeyperson, or master while under the
 
direct supervision of a journeyperson or master.
   9.  “Journeyperson” means any person, other than a master, who, as a principal occupation, is engaged as an employee of, or otherwise working under the direction of, a master in the design, installation, and repair of plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems, as applicable.
   10.  “Master” means any person who works in the planning or superintending of the design, installation, or repair of plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems and is otherwise lawfully qualified to conduct the business of plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems, and who is familiar with the laws and rules governing the same.
   11.  “Mechanical professional” means a person engaged in the HVAC, refrigeration,
 
sheet metal, or hydronic industry.
   12.  “Mechanical systems” means HVAC, refrigeration,
 
sheet metal, and hydronic systems.
   17.  “Routine maintenance” means the maintenance, repair, or replacement of existing fixtures or parts of plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems in which no changes in original design are made. Fixtures or parts do not include smoke and fire dampers, or water, gas, or steam piping permanent repairs except for traps or strainers. “Routine maintenance” shall include emergency repairs, and the board shall define the term “emergency repairs” to include the repair of water pipes to prevent imminent damage to property. “Routine maintenance” does not include the replacement of furnaces, boilers, cooling appliances, or water heaters more than one hundred gallons in size.
    Sec. 3.  Section 105.2, Code 2013, is amended by adding the following new subsection:
   NEW SUBSECTION.  18.  “Sheet metal” means heating, ventilation, air conditioning, fume hood systems, and related ducted systems, or installation of equipment associated with any component of a sheet metal system, for purposes of pollution control. “Sheet metal” excludes refrigeration and electrical lines and all natural gas, propane, liquid propane, or other gas lines associated with any component of a sheet metal system.
    Sec. 4.  Section 105.3, subsection 2, paragraph a, unnumbered paragraph 1, Code 2013, is amended to read as follows:
   The board shall be comprised of eleven
 
nine members, appointed by the governor, as follows:
    Sec. 5.  Section 105.3, subsection 2, paragraph a, subparagraphs (1) and (2), Code 2013, are amended by striking the subparagraphs.
    Sec. 6.  Section 105.3, subsection 7, Code 2013, is amended to read as follows:
   7.  The board may maintain a membership in any national organization of state boards for the professions of plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic professionals, with all membership fees to be paid from funds appropriated to the board.
    Sec. 7.  Section 105.4, subsection 1, Code 2013, is amended to read as follows:
   1.  The board shall establish by rule a plumbing installation code governing the installation of plumbing in this state.

The board shall adopt the most current version of the uniform plumbing code and the international mechanical code, as the state plumbing code and the state mechanical code, to govern the installation of plumbing and mechanical systems in this state. The board shall adopt the current version of each code within six months of its being released. However, the board and local jurisdictions may adopt standards that are more restrictive. Local jurisdictions shall have until December 31, 2014, to comply with the state plumbing code and state mechanical code.
    Sec. 8.  Section 105.9, subsections 6, 7, and 8, Code 2013, are amended by striking the subsections.
    Sec. 9.  Section 105.10, subsections 1 and 2, Code 2013, are amended to read as follows:
   1.  Except as provided in section 105.11, a person shall not operate as a contractor or install or repair plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems without obtaining a license issued by the board, or install or repair medical gas piping systems without obtaining a valid certification approved by the board.
   2.  Except as provided in section 105.11, a person shall not engage in the business of designing, installing, or repairing plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic systems unless at all times a licensed master, who shall be responsible for the proper designing, installing, and repairing of the HVAC, refrigeration,
 
sheet metal, or hydronic system, is employed by the person and is actively in charge of the plumbing,
 
mechanical, HVAC, refrigeration,
 
sheet metal, or hydronic work of the person. An individual who performs such work pursuant to a business operated as a sole proprietorship shall be a licensed master in the applicable discipline.
    Sec. 10.  Section 105.10, subsection 3, Code 2013, is amended by striking the subsection and inserting in lieu thereof the following:
   3.  An individual holding a master mechanical license shall not be required to get a mechanical, HVAC-refrigeration, sheet metal, or hydronic license in order to design, install, or repair the work defined in this chapter as mechanical, HVAC-refrigeration, sheet metal, or hydronic work. An individual holding a journey mechanical license shall not be required to get a mechanical, HVAC-refrigeration, sheet metal, or hydronic license in order to install and repair the work defined in this chapter as mechanical, HVAC-refrigeration, sheet metal, or hydronic work. An individual holding a master or journey mechanical license shall also not be required to obtain a special, restricted license that is designated as a sublicense of the mechanical, HVAC-refrigeration, sheet metal, or hydronic licenses.
    Sec. 11.  Section 105.11, subsections 1, 7, and 10, Code 2013, are amended to read as follows:
   1.  Apply to a person licensed as an engineer pursuant to chapter 542B, licensed as a manufactured home retailer or certified as a manufactured home installer pursuant to chapter 103A, registered as an architect pursuant to chapter 544A, or licensed as a landscape architect pursuant to chapter 544B who provides consultations or develops plans or other work concerning plumbing, HVAC, refrigeration,
 
sheet metal, or hydronic work and who is exclusively engaged in the practice of the person’s profession.
   7.  Require a helper engaged in general manual labor activities while providing assistance to an apprentice, journeyperson, or master to obtain a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic license. Experience as a helper shall not be considered as practical experience for a journeyperson license.
   10.  Apply to the employees of manufacturers, manufacturer representatives, or wholesale suppliers who provide consultation or develop plans concerning plumbing, HVAC, refrigeration,
 
sheet metal, or hydronic work, or who assist a person licensed under this chapter in the installation of mechanical or plumbing systems.
    Sec. 12.  Section 105.12, subsection 1, Code 2013, is amended to read as follows:
   1.  A contracting, plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic license shall be in the form of a certificate under the seal of the department, signed by the director of public health, and shall be issued in the name of the board. The license number shall be noted on the face of the license.
    Sec. 13.  Section 105.15, Code 2013, is amended to read as follows:
   105.15  Registry of licenses.
   The name, location, license number, and date of issuance of the license of each person to whom a license has been issued shall be entered in a registry kept in the office of the department to be known as the plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic registry. The registry may be electronic and shall be open to public inspection; however. However, the licensee’s home address, home telephone number, and other personal information as determined by rule shall be confidential.
    Sec. 14.  Section 105.16, Code 2013, is amended to read as follows:
   105.16  Change of residence.
   If a person licensed to practice as a contractor or a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional under this chapter changes the person’s residence or place of practice, the person shall so notify the board.
    Sec. 15.  Section 105.17, Code 2013, is amended to read as follows:
   105.17  Preemption of local licensing requirements.
   1.  The provisions of this chapter regarding the licensing of plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, and hydronic professionals and contractors shall supersede and preempt all plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, hydronic, and contracting licensing provisions of all governmental subdivisions.
   a.  A governmental subdivision that issues licenses on July 1, 2008, shall continue to issue licenses until June 30, 2009. On July 1, 2009, all plumbing and mechanical licensing provisions promulgated by any governmental subdivision shall be null and void, except reciprocal licenses as provided in section 105.21, and of no further force and effect.
   b.  On and after July 1, 2008, a governmental subdivision shall not prohibit a contractor or a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional licensed pursuant to this chapter from performing services for which that person is licensed pursuant to this chapter or enforce any plumbing and mechanical licensing provisions promulgated by the governmental subdivision against a person licensed pursuant to this chapter.
   2.  Nothing in this chapter shall prohibit a governmental subdivision from assessing and collecting permit fees or inspection fees related to work performed by plumbers and mechanical
 
plumbing, mechanical, HVAC-refrigeration, sheet metal, or hydronic professionals.
    Sec. 16.  Section 105.18, subsection 2, unnumbered paragraph 1, Code 2013, is amended to read as follows:
   The board shall issue separate
 
master and contractor licenses for plumbing, HVAC, refrigeration
 
mechanical, HVAC-refrigeration, sheet metal, and hydronic professionals and for contractors. The board shall issue apprentice and journeyperson licenses for plumbing, mechanical, HVAC-refrigeration, sheet metal, and hydronic professionals. A plumbing license shall allow an individual to perform work defined as plumbing. A mechanical license shall allow an individual to perform work defined as HVAC, refrigeration, sheet metal, and hydronic. An HVAC-refrigeration license shall allow an individual to perform work defined as HVAC and refrigeration. A hydronic license shall allow an individual to perform work defined as hydronic. A sheet metal license shall allow an individual to perform work defined as sheet metal. The board shall issue the separate licenses as follows:
    Sec. 17.  Section 105.18, subsection 2, paragraph a, subparagraph (2), Code 2013, is amended to read as follows:
   (2)  Certify that the person will work under the
 
direct supervision of a licensed journeyperson or master in the applicable discipline
 
who is licensed to do the type of work that the apprentice is performing.

For the purposes of this chapter, direct supervision means that the supervising journeyperson or master is on the same job site as the apprentice.
    Sec. 18.  Section 105.18, subsection 2, paragraph d, subparagraph (1), Code 2013, is amended to read as follows:
   (1)  File an application and pay application fees as established by the board, which application shall provide the person’s state contractor registration number
 
proof of workers’ compensation insurance coverage and unemployment insurance compliance and establish that the person meets the minimum requirements adopted by the board.
    Sec. 19.  Section 105.18, subsection 3, paragraph b, Code 2013, is amended to read as follows:
   b.  Special, restricted license. The board may by rule provide for the issuance of special plumbing and mechanical professional licenses authorizing the licensee to engage in a limited class or classes of plumbing or mechanical professional work, which class or classes shall be specified on the license. Each licensee shall have experience, acceptable to the board, in each such limited class for which the person is licensed. The board shall designate each special, restricted license to be a sublicense of either a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic license.

A special, restricted license may be a sublicense of multiple types of licenses. An individual holding a master or journeyperson, plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic license shall not be required to obtain any special, restricted license which is a sublicense of the license that the individual holds. Special plumbing and mechanical professional licenses shall be issued to employees of a rate-regulated gas or electric public utility who conduct the repair of appliances. “Repair of appliances” means the repair or replacement of mechanical connections between the appliance shutoff valve and the appliance and repair of or replacement of parts to the appliance. Such special, restricted license shall require certification pursuant to industry-accredited certification standards.
    Sec. 20.  Section 105.18, subsection 3, paragraph d, Code 2013, is amended to read as follows:
   d.  An individual that holds either a master or journeyperson HVAC license or a master or journeyperson refrigeration
 
mechanical license or a master or journeyperson HVAC-refrigeration license shall be exempt from having to obtain a special electrician’s license pursuant to chapter 103 in order to perform disconnect and reconnect of existing air conditioning and refrigeration systems.
    Sec. 21.  Section 105.18, subsections 4 and 5, Code 2013, are amended by striking the subsections.
    Sec. 22.  Section 105.21, Code 2013, is amended to read as follows:
   105.21  Reciprocal licenses.
   The board may license without examination a nonresident applicant who is licensed under plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional licensing statutes of another state having similar licensing requirements as those set forth in this chapter and the rules adopted under this chapter if the other state grants the same reciprocal licensing privileges to residents of Iowa who have obtained Iowa plumbing or mechanical professional licenses under this chapter. The board shall adopt the necessary rules, not inconsistent with the law, for carrying out the reciprocal relations with other states which are authorized by this chapter.
    Sec. 23.  Section 105.22, unnumbered paragraph 1, Code 2013, is amended to read as follows:
   A license to practice as a contractor or as a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional may be revoked or suspended, or an application for licensure may be denied pursuant to procedures established pursuant to chapter 272C by the board, or the licensee may be otherwise disciplined in accordance with that chapter, when the licensee commits any of the following acts or offenses:
    Sec. 24.  Section 105.25, Code 2013, is amended to read as follows:
   105.25  Advertising —— violations —— penalties.
   1.  Only a person who is duly licensed pursuant to this chapter may advertise the fact that the person is licensed as a contractor or as a plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional by the state of Iowa.
   2.  All written advertisements distributed in this state by a person who is engaged in the business of designing, installing, or repairing plumbing, HVAC, refrigeration,
 
sheet metal, or hydronic systems shall include the listing of at least one master
 
the contractor license number, as applicable. A master plumbing, HVAC, refrigeration, or hydronic professional shall not allow the master’s license number to be used in connection with the advertising for more than one person engaged in the business of designing, installing, or repairing plumbing, HVAC, refrigeration, or hydronic systems.
   3.  A person who fraudulently claims to be a licensed contractor or a licensed plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional pursuant to this chapter, either in writing, cards, signs, circulars, advertisements, or other communications, is guilty of a simple misdemeanor.
   4.  A person who fraudulently lists a contractor or a master plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic license number in connection with that person’s advertising or falsely displays a contractor or a master plumbing, HVAC, refrigeration,
 
mechanical, HVAC-refrigeration, sheet metal, or hydronic professional license number is guilty of a simple misdemeanor. In order to be entitled to use a license number of a master plumbing, HVAC, refrigeration, or hydronic professional, the master plumbing, HVAC, refrigeration, or hydronic professional must be employed by the person in whose name the business of designing, installing, or repairing plumbing or mechanical systems is being conducted.
    Sec. 25.  Section 105.29, Code 2013, is amended to read as follows:
   105.29  Report of violators.
   Every licensee and every member of the board shall report to the board the name of every person who is practicing as a contractor or as a plumber or
 
plumbing, mechanical, HVAC-refrigeration, sheet metal, or hydronic professional without a license issued pursuant to this chapter pursuant to the knowledge or reasonable belief of the person making the report. The opening of an office or place of business for the purpose of providing any services for which a license is required by this chapter, the announcing to the public in any way the intention to provide any such service, the use of any professional designation, or the use of any sign, card, circular, device, vehicle, or advertisement, as a provider of any such services shall be prima facie evidence of engaging in the practice of a contractor or a plumber or
 
plumbing, mechanical, HVAC-refrigeration, sheet metal, or hydronic professional.
    Sec. 26.  NEW SECTION.  105.31  Licenses.
   1.  License expiration.
   a.  All licenses currently in effect shall expire on December 31, 2014. Licenses set to expire after that date, when renewed under the provisions of paragraph “c”, shall be renewed at a reduced rate to reflect the portion of the three-year period paid for under the previous license. 
   b.  Any license that is currently set to expire before December 31, 2014, shall remain in effect, at no additional charge or fee, until December 31, 2014.
   c.  A license issued on or after January 1, 2015, will expire on the same date every three years. A person issued a license during a three-year licensing cycle shall be charged a fee prorated in quarterly increments.
   2.  License reissue.

   a.  A licensee holding an HVAC license or a refrigeration license shall be issued an HVAC-refrigeration license.
   b.  A licensee holding both an HVAC license and a hydronic license shall be issued a mechanical license.
   c.  A licensee holding both a refrigeration license and a hydronic license shall be issued a mechanical license.
   d.  A licensee holding an HVAC license or a refrigeration license may take the hydronic test before December 31, 2014, in order to be issued a mechanical license.
EXPLANATION
   This bill redefines plumbing, HVAC, refrigeration, or hydronic systems professionals as plumbing, mechanical, HVAC-refrigeration, sheet metal, or hydronic professionals. The bill provides the following:
   a. A licensee holding an HVAC license or refrigeration license shall be issued an HVAC-refrigeration license.
   b. A licensee holding an HVAC license and a hydronic license shall be issued a mechanical license.
   c. A licensee holding a refrigeration license and a hydronic license shall be issued a mechanical license.
   d. A licensee holding an HVAC license or a refrigeration license may take the hydronic test and be issued a mechanical license.
   The bill exempts these professionals from the contractor registration requirements of Code chapter 91C. The Iowa department of workforce development is to work with the Iowa department of public health to ensure that the workers’ compensation and unemployment insurance information provided on the contractor license application is valid.
   The bill provides that all licenses currently in effect expire on December 31, 2014. Licenses set to expire after that date may be renewed at a reduced rate. Licenses that are currently set to expire before December 31, 2014, shall remain in effect, at no additional charge, until December 31, 2014.
   The bill provides that all licenses issued on or after January 1, 2015, will expire on the same date every three years. Licenses issued during a three-year licensing cycle shall have the fee prorated in quarterly increments.
   In addition to the administrative penalties set out in Code chapter 272C, relating to licensees, Code chapter 105 makes it a simple misdemeanor for a person to claim to be a mechanical, HVAC, refrigeration, sheet metal, or hydronic contractor or professional. A simple misdemeanor is punishable by confinement for no more than 30 days or a fine of at least $65 but not more than $625 or both.