H.F. 392 Section 1. Section 105.2, subsections 8 and 16, Code 2011, 1 are amended to read as follows: 2 8. “Hydronic” means a heating or cooling system that 3 transfers heating or cooling by circulating fluid through 4 a closed system, including boilers, pressure vessels, 5 refrigerated equipment in connection with chilled water 6 systems, all steam piping, hot or chilled water piping together 7 with all control devices and accessories, installed as part of, 8 or in connection with, any comfort heating or comfort cooling 9 system or appliance using a liquid, water, or steam as the 10 heating or cooling media. “Hydronic” includes all low-pressure 11 and high-pressure systems and all natural, propane, liquid 12 propane, or other gas lines associated with any component of 13 a hydronic system. 14 16. “Refrigeration” means any system of refrigeration 15 regardless of the level of power, if such refrigeration is 16 intended to be used for the purpose of food processing and 17 product preservation and is not also intended to be used 18 for comfort systems. “Refrigeration” includes all natural, 19 propane, liquid propane, or other gas lines associated with any 20 component of refrigeration. 21 Sec. 2. Section 105.5, subsection 1, Code 2011, is amended 22 to read as follows: 23 1. Any person desiring to take an examination for a license 24 issued pursuant to this chapter shall make application to 25 the board in accordance with the rules of the board. The 26 application form shall be no longer than two pages in length. 27 The board may require that a recent photograph of the applicant 28 be attached to the application. 29 Sec. 3. Section 105.9, subsection 2, Code 2011, is amended 30 to read as follows: 31 2. The board shall set the license fees and renewal fees for 32 all licenses issued pursuant to this chapter , by rule , based 33 upon the costs of sustaining the board and the actual costs of 34 licensing . 35 -1- LSB 1260HV (2) 84 jr/sc 1/ 6

H.F. 392 Sec. 4. Section 105.9, subsection 5, Code 2011, is amended 1 to read as follows: 2 5. a. Commencing July 2009, and every biennium year 3 thereafter, the board shall review its revenue, including 4 amounts generated from license fees set pursuant to this 5 chapter , and its expenses for purposes of reevaluating its 6 fee structures. The board shall establish a reduced rate for 7 combined licenses. 8 b. The fee for each license after the initial master license 9 is purchased is one-half of the cost of the initial master 10 license. 11 Sec. 5. Section 105.9, Code 2011, is amended by adding the 12 following new subsections: 13 NEW SUBSECTION . 6. The fee for an apprentice and a 14 journeyman license is fifty dollars. 15 NEW SUBSECTION . 7. The fee for a master license is one 16 hundred twenty-five dollars. 17 Sec. 6. Section 105.10, Code 2011, is amended by adding the 18 following new subsection: 19 NEW SUBSECTION . 6. All licenses issued under this chapter 20 shall be issued for a three-year period. 21 Sec. 7. Section 105.11, subsections 3 and 7, Code 2011, are 22 amended to read as follows: 23 3. Prohibit an owner of property from performing work on the 24 owner’s principal residence, if such residence is an existing 25 dwelling rather than new construction and is not larger than a 26 single-family dwelling, or farm property, excluding commercial 27 or industrial installations or installations in public use 28 buildings or facilities, or require such owner to be licensed 29 under this chapter . In order to qualify for inapplicability 30 pursuant to this subsection , a residence shall qualify for the 31 homestead tax exemption residential property, if the property 32 is not income-producing property . 33 7. Require a helper engaged in general manual labor 34 activities while providing assistance to an apprentice, 35 -2- LSB 1260HV (2) 84 jr/sc 2/ 6

H.F. 392 a journeyperson , or master to obtain a plumbing, HVAC, 1 refrigeration, or hydronic license. Experience as a helper 2 shall not be considered as practical experience for a 3 journeyperson license. 4 Sec. 8. Section 105.11, Code 2011, is amended by adding the 5 following new subsection: 6 NEW SUBSECTION . 14. Apply to a person who is performing 7 work on a volunteer, non-paid basis or assisting a property 8 owner performing non-paid work on the owner’s residential 9 property. 10 Sec. 9. Section 105.18, subsection 2, paragraph b, 11 subparagraph (1), subparagraph division (c), Code 2011, is 12 amended by striking the subparagraph division. 13 Sec. 10. Section 105.18, subsection 2, paragraph c, Code 14 2011, is amended to read as follows: 15 c. Master license. In order to be licensed by the board as 16 a master, a person shall do all of the following: 17 (1) File an application and pay application fees as 18 established by the board , which application shall establish 19 that the person meets the minimum educational and experience 20 requirements adopted by the board . 21 (2) Pass the state master licensing examination for the 22 applicable discipline. 23 (3) Provide evidence to the board that the person has 24 previously been a licensed journeyperson or master in the 25 applicable discipline worked in the planning or superintending 26 of the design, installation, or repair of plumbing, HVAC, 27 refrigeration, or hydronics, and who is familiar with the laws 28 and rules governing the profession . 29 Sec. 11. Section 105.20, subsection 6, Code 2011, is amended 30 to read as follows: 31 6. a. The board shall establish continuing education 32 requirements pursuant to section 272C.2 . The basic continuing 33 education requirement for renewal of a license shall be the 34 completion, during the immediately preceding license term, of 35 -3- LSB 1260HV (2) 84 jr/sc 3/ 6

H.F. 392 the number of classroom hours of instruction required by the 1 board in courses or seminars which have been approved by the 2 board. The board shall require at least eight classroom hours 3 of instruction during each three-year licensing term. 4 b. A licensee shall have a thirty-day grace period if the 5 required education is unavailable within fifty miles of the 6 licensee’s residence. 7 Sec. 12. NEW SECTION . 105.31 License refund. 8 The board shall return three million dollars to the 9 individuals who paid the fees on a pro rata basis based on the 10 initial cost of the license. 11 Sec. 13. Section 272C.2, Code 2011, is amended by adding the 12 following new subsection: 13 NEW SUBSECTION . 6. Each licensing board shall submit a 14 report to the general assembly within sixty days following 15 the end of each fiscal year. The reports shall include a 16 balance sheet projection extending no less than three years. 17 If the revenue projection exceeds expense projections by more 18 than ten percent, each board shall adjust their fee schedules 19 accordingly, so that projected revenues are no more than ten 20 percent higher than projected expenses. The revised fees shall 21 be implemented no later than January 1 of the current fiscal 22 year in which the report is submitted. 23 Sec. 14. Section 331.301, subsection 6, Code 2011, is 24 amended to read as follows: 25 6. a. A county shall not set standards and requirements 26 which are lower or less stringent than those imposed by state 27 law, but may set standards and requirements which are higher or 28 more stringent than those imposed by state law, unless a state 29 law provides otherwise. 30 b. A county may not impose any fee for plumbing, HVAC, 31 refrigeration, or hydronic systems work. 32 Sec. 15. Section 364.3, subsection 3, Code 2011, is amended 33 to read as follows: 34 3. a. A city may not set standards and requirements which 35 -4- LSB 1260HV (2) 84 jr/sc 4/ 6

H.F. 392 are lower or less stringent than those imposed by state law, 1 but may set standards and requirements which are higher or more 2 stringent than those imposed by state law, unless a state law 3 provides otherwise. 4 b. A city may not impose any fee for plumbing, HVAC, 5 refrigeration, or hydronic systems work. 6 EXPLANATION 7 This bill revises the Iowa plumber, mechanical professional, 8 and contractor licensing Act (Code chapter 105). 9 The bill revises the definition of the term “refrigeration” 10 to include all natural, propane, liquid propane, or other gas 11 lines associated with any component of refrigeration. The 12 bill amends the definition of “hydronic” to strike the word 13 “comfort” modifying “heating” and “cooling”. 14 The bill provides that the application for a license under 15 Code chapter 105 can be no longer than two pages. 16 The bill sets out license fees. The fee for an apprentice 17 and a journeyman license is $50. The fee for a master license 18 is $125. The fee for each license after the initial master 19 license is one-half of the cost of the initial master license. 20 All licenses are issued for a three-year period. The licensing 21 board is required to rebate $3 million to those licensees who 22 have paid the fees. The bill strikes the requirement that the 23 licensing board set license and renewal fees based on the costs 24 of sustaining the board and the actual costs of licensing. 25 The bill allows the owner of any residential property to 26 perform work on that property without a license, as long as 27 that property is not income producing. The bill also exempts 28 a person performing work on a volunteer, non-paid basis or 29 assisting a property owner performing non-paid work on the 30 owner’s residential property. 31 The bill eliminates a requirement that a journeyperson have 32 four years of experience as an apprentice. 33 The bill changes the requirements for a master license, 34 eliminating educational and experience requirements. The 35 -5- LSB 1260HV (2) 84 jr/sc 5/ 6

H.F. 392 applicant for a master license must show that the applicant 1 has worked in the planning or superintending of the design, 2 installation, or repair of plumbing, HVAC, refrigeration, or 3 hydronics, and is familiar with the laws and rules governing 4 the profession. 5 The bill provides that a city or a county may not impose 6 any fee for plumbing, HVAC, refrigeration, or hydronic systems 7 work. 8 The bill requires that all Iowa licensing boards submit 9 a report to the general assembly each fiscal year which 10 includes a three-year balance sheet projection. If the revenue 11 projection exceeds expense projections by more than 10 percent, 12 each board shall adjust their fee schedules accordingly, so 13 that projected revenues are no more than 10 percent higher than 14 projected expenses. 15 -6- LSB 1260HV (2) 84 jr/sc 6/ 6