House Study Bill 98 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON KAUFMANN) A BILL FOR An Act modifying provisions applicable to individuals licensed 1 by the plumbing and mechanical systems board, providing for 2 state inspections of certain plumbing and mechanical system 3 installations, making penalties applicable, and including 4 effective date provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 1364YC (3) 90 es/rn

H.F. _____ Section 1. Section 105.2, Code 2023, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 4A. “Farm” means land, buildings, and 3 structures used for agricultural purposes including but not 4 limited to the storage, handling, and drying of grain and the 5 care, feeding, and housing of livestock. 6 Sec. 2. Section 105.2, subsection 17, Code 2023, is amended 7 to read as follows: 8 17. “Routine maintenance” means the maintenance, repair, 9 or replacement of existing fixtures or parts of plumbing, 10 mechanical, HVAC, refrigeration, sheet metal, or hydronic 11 systems in which no changes in original design are made. 12 Fixtures or parts do not include smoke and fire dampers, or 13 water, gas, or steam piping permanent repairs except for traps 14 or strainers. “Routine maintenance” shall include emergency 15 repairs, and the board shall define the term “emergency repairs” 16 to include the repair of water pipes to prevent imminent 17 damage to property. “Routine maintenance” does not include the 18 replacement of furnaces, boilers, cooling appliances, or water 19 heaters more than one hundred gallons in size . 20 Sec. 3. Section 105.9, subsection 5, paragraph a, Code 2023, 21 is amended by striking the paragraph. 22 Sec. 4. Section 105.11, Code 2023, is amended by adding the 23 following new subsection: 24 NEW SUBSECTION . 15. Apply to a person performing any 25 installation on a farm, if the person is associated with the 26 farm as a holder of a legal or equitable interest, a relative 27 or employee of the holder, or an operator or manager of the 28 farm. The provisions of this chapter do not require such 29 person to be licensed. In addition, a permit is not required 30 for an installation on a farm, and an installation on a farm 31 is not required to be inspected. In order for a farm building 32 to qualify under this subsection, the farm building must not 33 be regularly open to the public as a place of business for the 34 retail sale of goods, wares, services, or merchandise. 35 -1- LSB 1364YC (3) 90 es/rn 1/ 12

H.F. _____ Sec. 5. Section 105.18, subsection 2, paragraph a, 1 subparagraph (1), Code 2023, is amended to read as follows: 2 (1) File an application, which application shall establish 3 that the person meets the minimum requirements adopted by the 4 board , including the receipt of a high school diploma or its 5 equivalent . 6 Sec. 6. Section 105.18, subsection 2, paragraph b, 7 subparagraph (1), subparagraph division (c), Code 2023, is 8 amended to read as follows: 9 (c) Provide the board with evidence of having completed 10 at least four years of practical experience as an apprentice. 11 Commencing January 1, 2010, the four years of practical 12 experience required by this subparagraph division must be the 13 completion of an apprenticeship training program registered by 14 the United States department of labor office of apprenticeship , 15 as evidenced by a certificate of completion from the department 16 of labor . 17 Sec. 7. NEW SECTION . 105.33 State inspection —— 18 applicability. 19 1. The inspection and enforcement provisions of this 20 chapter shall apply to the following: 21 a. All new installations of plumbing or mechanical 22 systems for commercial or industrial applications, including 23 installations both inside and outside of a building. 24 b. All new installations of plumbing or mechanical systems 25 that serve government-owned or government-leased facilities by 26 a person who is not an employee of any unit of state or local 27 government. 28 c. All new installations of plumbing or mechanical 29 systems for multi-family residential applications, including 30 installations for an apartment or building as those terms are 31 defined in section 499B.2. 32 d. All new installations of plumbing or mechanical systems 33 for single-family residential applications requiring new 34 plumbing or mechanical systems service equipment. 35 -2- LSB 1364YC (3) 90 es/rn 2/ 12

H.F. _____ e. Existing installations of plumbing or mechanical systems 1 observed during inspection which constitute a hazard to the 2 property owner. Existing installations shall not be deemed 3 to constitute a hazard if the installation when originally 4 installed was installed in accordance with the applicable state 5 plumbing code or state mechanical code in force at the time of 6 installation and has been maintained in that condition. 7 f. All installations of plumbing or mechanical systems 8 performed at the request of a property owner. 9 2. The inspection and enforcement provisions of this 10 chapter shall not apply to routine maintenance. 11 Sec. 8. NEW SECTION . 105.34 Plumbing or mechanical 12 inspectors. 13 The board shall establish by rule standards for the 14 certification and decertification of plumbing and mechanical 15 inspectors employed by the state to enforce this chapter 16 and standards for the continuing education requirements for 17 plumbing and mechanical inspectors employed by the state to 18 enforce this chapter. The standards established by the board 19 shall conform to one of the following: 20 1. The standards applicable to a person seeking to be 21 licensed by the board as a master pursuant to section 105.18 in 22 the category being inspected. 23 2. The standards applicable to a person seeking to be 24 licensed by the board as a journeyperson pursuant to section 25 105.18 in the category being inspected. 26 3. The standards applicable to a plumbing or mechanical 27 inspector in the category being inspected who was appointed by 28 a political subdivision on or before January 1, 2024. 29 Sec. 9. NEW SECTION . 105.35 Request for permit and 30 inspection —— fees. 31 1. At or before commencement of any installation required 32 to be inspected by the board, the licensed contractor or 33 property owner making such installation shall submit to the 34 board a request for a permit and inspection. The board shall 35 -3- LSB 1364YC (3) 90 es/rn 3/ 12

H.F. _____ prescribe the methods by which the request may be submitted, 1 which shall include an electronic submission option or through 2 a form prescribed by the board that can be submitted either 3 through the mail or by a fax transmission. The board shall 4 also prescribe methods by which the permit and inspection fees 5 established pursuant to section 105.40 can be paid, which shall 6 include electronic methods of payment. If the board becomes 7 aware that a person has failed to file a necessary request for 8 inspection, the board shall send a written notification by 9 certified mail that the request must be filed within fourteen 10 days. Any person filing a late request for inspection shall 11 pay a delinquency fee in an amount to be determined by the 12 board. A person who fails to file a late request within 13 fourteen days from receipt of the notification shall be subject 14 to a civil penalty to be determined by the board by rule. 15 2. Notwithstanding subsection 1, the board may by rule 16 provide for the issuance of a single permit to a licensed 17 contractor or property owner to request multiple inspections. 18 The permit authorizes the licensed contractor or property owner 19 to perform new plumbing or mechanical system installations 20 specified in the permit. The board shall prescribe the methods 21 by which the request for multiple inspections may be submitted, 22 which shall include electronic submission or through a form 23 prescribed by the board that can be submitted either through 24 the mail or by a fax transmission. The board shall also 25 prescribe methods by which the permit and inspection fees 26 established pursuant to section 105.40 can be paid, which 27 shall include electronic methods of payment. The board may 28 perform inspections of each new plumbing or mechanical system 29 installation or any portion of the total number of new plumbing 30 or mechanical system installations made under each permit. The 31 board shall establish fees for such permits as provided in 32 section 105.40, which shall not exceed the total inspection 33 fees that would be required if each new installation performed 34 under the request for multiple inspections had been performed 35 -4- LSB 1364YC (3) 90 es/rn 4/ 12

H.F. _____ under individual requests for inspections as provided in 1 subsection 1. 2 Sec. 10. NEW SECTION . 105.36 Approval of installation upon 3 inspection —— opportunity to correct noncompliance. 4 1. If an inspector determines that an installation subject 5 to inspection under this chapter is in compliance with accepted 6 standards of construction for health safety and property 7 safety, based upon minimum standards established by the board 8 pursuant to section 105.39, subsection 3, the inspector shall 9 approve the installation. 10 2. If an inspector finds that any installation or portion of 11 an installation is not in compliance with accepted standards of 12 construction for health safety and property safety, based upon 13 minimum standards established by the board, the inspector shall 14 issue a correction order. A correction order made pursuant to 15 this section shall be served personally or by United States 16 mail only upon the licensed contractor or property owner 17 making the installation. The correction order shall order the 18 licensed contractor or property owner to make the installation 19 comply with the standards, noting specifically what changes 20 are required. The order shall specify a date, not more than 21 seventeen calendar days from the date of the order, when a new 22 inspection shall be made. When the installation is brought 23 into compliance to the satisfaction of the inspector, the 24 inspector shall approve the installation. 25 Sec. 11. NEW SECTION . 105.37 Inspections not required. 26 1. Nothing in this chapter shall be construed to require 27 the work of employees of municipal utilities, railroads, or 28 rural water associations or districts to be inspected while the 29 employees are acting within the scope of their employment. 30 2. The board may by rule exempt specified types of new 31 plumbing or mechanical system installations from state 32 inspection which are not described in section 105.33, 33 subsection 1, provided that a political subdivision conducting 34 inspections pursuant to section 105.38, subsection 1, shall not 35 -5- LSB 1364YC (3) 90 es/rn 5/ 12

H.F. _____ be prohibited from requiring inspection of any new plumbing 1 or mechanical system installation exempt by rule from state 2 inspection pursuant to this subsection. 3 Sec. 12. NEW SECTION . 105.38 Inspection by political 4 subdivisions. 5 1. State inspection in the applicable discipline shall not 6 apply within the jurisdiction of any political subdivision 7 which provides plumbing or mechanical system inspection 8 services for the inspection of installations specified in 9 section 105.33, subsection 1. 10 2. A political subdivision providing inspection services 11 pursuant to subsection 1 may require the inspection of plumbing 12 or mechanical system installations which are not described in 13 section 105.33, subsection 1, in addition to the installations 14 described in section 105.33, subsection 1. 15 3. A political subdivision that performs inspections may 16 set appropriate permit fees to pay for such inspections. 17 4. A political subdivision may choose to discontinue 18 performing its own inspections and permit the board to have 19 jurisdiction over inspections in the political subdivision. 20 If a political subdivision seeks to discontinue its own 21 inspections, the political subdivision shall notify the board 22 in a timely manner. 23 5. A political subdivision shall report to the board in a 24 timely manner the name of every person who is believed to be 25 practicing as a plumbing or mechanical professional without 26 a license issued pursuant to this chapter. The board shall 27 investigate each report received and submit the investigation 28 results to the political subdivision in a timely manner. 29 6. A political subdivision shall not perform inspection 30 services pursuant to subsection 1 on a farm or farm residence. 31 Sec. 13. NEW SECTION . 105.39 State inspection —— 32 procedures. 33 1. An inspection shall be made within three business days 34 of the submission of a request for an inspection as provided 35 -6- LSB 1364YC (3) 90 es/rn 6/ 12

H.F. _____ in section 105.35. When necessary, plumbing and mechanical 1 systems may be connected by the licensed installer prior to 2 inspection but the installation shall remain subject to any 3 appropriate restrictions or limitations as determined by the 4 board. 5 2. Where plumbing or mechanical systems or parts are 6 to be concealed, the inspector must be notified within a 7 reasonable time, as determined by the board, to complete 8 rough-in inspections prior to concealment, exclusive of 9 Saturdays, Sundays, and holidays. If plumbing or mechanical 10 systems or parts are concealed before rough-in inspections 11 without adequate notice having been given to the inspector, 12 as determined by the board, the person responsible for having 13 enclosed the system or part shall be responsible for all costs 14 resulting from uncovering and replacing the cover material. 15 3. State inspection procedures and policies shall be 16 established by the board in accordance with the provisions of 17 the state plumbing code and state mechanical code adopted by 18 the board. 19 4. Except when an inspection reveals that an installation or 20 portion of an installation is not in compliance with accepted 21 standards of construction for health safety and property 22 safety, based upon minimum standards established by the board, 23 an inspector shall not add to, modify, or amend a construction 24 plan as originally approved by the board in the course of 25 conducting an inspection. 26 5. Management and supervision of inspectors, including 27 hiring decisions, disciplinary action, promotions, and work 28 schedules are the responsibility of the board acting in 29 accordance with applicable law and pursuant to any applicable 30 collective bargaining agreement. The board shall determine 31 work territories, regions, or districts for inspectors 32 and continuing education and ongoing training requirements 33 applicable to inspectors. An inspector subject to disciplinary 34 action pursuant to this subsection shall be entitled to an 35 -7- LSB 1364YC (3) 90 es/rn 7/ 12

H.F. _____ appeal pursuant to section 105.41 and judicial review pursuant 1 to section 17A.19. 2 6. The board shall establish an internet-based licensure 3 verification database for access by a state or local inspector 4 for verification of licensee status. The database shall 5 include the name of every person licensed under this chapter 6 and a corresponding licensure number. Inspectors shall be 7 authorized to request the name and license number of any person 8 working at a job site subject to inspection for verification 9 of licensee status. Licensees under this chapter shall be 10 required to carry a copy of their current license and photo 11 identification at all times when employed on a job site for 12 compliance with this subsection. 13 Sec. 14. NEW SECTION . 105.40 State permits and inspections 14 —— fees. 15 1. All state plumbing and mechanical system inspection fees 16 shall be due and payable to the board at or before commencement 17 of the installation and shall be forwarded with the request for 18 inspection. Inspection fees provided in this section shall 19 not apply within the jurisdiction of any political subdivision 20 if the political subdivision provides plumbing or mechanical 21 system inspection services for the inspection of installations 22 pursuant to section 105.38, subsection l. 23 2. The board shall establish the fees for permits and 24 inspections required under this chapter. 25 Sec. 15. NEW SECTION . 105.41 State inspection —— complaints 26 —— appeals. 27 1. Any person may file a complaint with the board alleging 28 a violation of this chapter or rules adopted by the board. The 29 name of a person who files a complaint with the board shall 30 remain confidential and shall not be subject to discovery, 31 subpoena, or other means of legal compulsion for its release 32 to a person other than board employees or agents involved in 33 the investigation of the complaint. The board shall establish 34 procedures for the disposition of complaints received in 35 -8- LSB 1364YC (3) 90 es/rn 8/ 12

H.F. _____ accordance with this subsection. 1 2. a. Any person aggrieved by an order of an inspector or 2 the board may appeal the order by filing a written notice of 3 appeal with the board within ten days after the date the order 4 was served upon the aggrieved person. 5 b. Upon receipt of a notice of appeal filed pursuant to 6 subsection 1, the board shall notify all interested parties 7 who may join in the hearing and give testimony on their own 8 behalf. The board shall set the hearing date not more than 9 fourteen days after receipt of the notice of appeal unless 10 otherwise agreed by the interested parties and the board. The 11 chairperson or executive secretary of the board may designate a 12 hearing officer from among the board members to hear the appeal 13 or may set the matter for hearing before the full board at its 14 next regular meeting. A majority of the board shall make the 15 decision on appeals. 16 Sec. 16. EFFECTIVE DATE. This Act takes effect July 1, 17 2025. 18 EXPLANATION 19 The inclusion of this explanation does not constitute agreement with 20 the explanation’s substance by the members of the general assembly. 21 This bill modifies provisions in Code chapter 105, which 22 provides for the licensure and regulation of plumbers, 23 mechanical professionals, and contractors by the plumbing and 24 mechanical systems board. 25 The bill defines a “farm” to refer to land, buildings, 26 and structures used for agricultural purposes including but 27 not limited to the storage, handling, and drying of grain 28 and the care, feeding, and housing of livestock. The bill 29 modifies the definition of “routine maintenance” to remove a 30 provision stating that the term includes emergency repairs. 31 Additionally, the bill modifies the definition of “routine 32 maintenance” to provide that the term does not include the 33 replacement of furnaces, boilers, cooling appliances, or water 34 heaters, regardless of size. 35 -9- LSB 1364YC (3) 90 es/rn 9/ 12

H.F. _____ The bill strikes Code section 105.9, subsection 5, paragraph 1 “a”, which requires the plumbing and mechanical systems board 2 to submit a report including certain financial information to 3 the general assembly within 60 days of the end of a fiscal year 4 and potentially adjust its fee schedules based on the financial 5 information in the report. 6 The bill establishes that the provisions of Code chapter 7 105 shall not apply to a person performing an installation on 8 a farm, if the person is associated with the farm as a holder 9 of legal or equitable interest, a relative or employee of the 10 holder, or an operator or manager. 11 Current law provides that in order to be licensed by the 12 board as an apprentice, a person shall file an application that 13 establishes that the person meets the minimum requirements 14 adopted by the board. The bill provides that such minimum 15 requirements to be established in an application include the 16 receipt of a high school diploma or its equivalent. 17 Current law provides that in order to be licensed by the 18 board as a journeyperson, a person shall provide evidence 19 of completing at least four years of practical experience 20 as an apprentice through an apprenticeship training program 21 registered by the United States department of labor. The 22 bill provides that such requirement must be evidenced by a 23 certificate of completion from the department of labor. 24 The bill adds provisions in Code chapter 105 which provide 25 for state inspection of certain plumbing or mechanical system 26 installations described in new Code section 105.33. The bill 27 provides that state inspection shall not apply to routine 28 maintenance. 29 The bill requires the board to establish standards for the 30 certification and decertification of plumbing and mechanical 31 inspectors appointed by the state or a political subdivision 32 to enforce the inspection provisions of the bill. The bill 33 provides that those standards shall conform to the standards 34 applicable to a person seeking to be licensed as a master or 35 -10- LSB 1364YC (3) 90 es/rn 10/ 12

H.F. _____ a journeyperson, or the standards applicable to a plumbing or 1 mechanical inspector appointed by a political subdivision. 2 The bill establishes procedural requirements for a licensed 3 contractor or property owner making an installation to request 4 a permit and an inspection and allows the board to adopt rules 5 providing for the issuance of permits to a licensed contractor 6 or property owner for multiple inspections, as described in the 7 bill. 8 The bill provides that if an inspector determines that 9 an installation is in compliance with the accepted standards 10 of construction for health safety and property safety, based 11 on minimum standards established by the board, the inspector 12 shall approve the installation. If an inspector finds that an 13 inspection or portion thereof is not in compliance with such 14 standards, the inspector shall issue a correction order which 15 orders the licensed contractor or property owner to make the 16 installation comply with the standards and provides a date 17 when a new inspection shall be made. When the installation 18 is brought into compliance, the inspector shall approve the 19 installation. 20 The bill specifies that nothing in the bill shall be 21 construed to require the work of employees of municipal 22 utilities, railroads, or rural water associations or districts 23 to be inspected while acting within the scope of their 24 employment. The board may by rule exempt specified types of 25 new installations from the state inspection requirements, 26 provided that a political subdivision conducting inspections 27 shall not be prohibited from requiring inspection of such 28 installations. 29 The bill provides that state inspection shall not apply 30 within the jurisdiction of any political subdivision which 31 provides inspection services for installations subject to state 32 inspection. A political subdivision may require inspections 33 of installations not subject to state inspection, in addition 34 to installations subject to state inspection. Code section 35 -11- LSB 1364YC (3) 90 es/rn 11/ 12

H.F. _____ 105.38 also includes provisions regarding the discontinuance 1 of inspections by political subdivisions, the suspension or 2 revocation of inspections by political subdivisions, and 3 permit fees established by political subdivisions to pay for 4 inspections. The bill requires that a political subdivision 5 shall report to the board the name of every person who is 6 practicing as a plumbing or mechanical professional without 7 a license. Additionally, the bill excludes farms and farm 8 residences from inspections by a political subdivision. 9 The bill establishes certain state inspection procedural 10 requirements, including provisions relating to inspection 11 timing, installation concealment, state inspection procedures 12 and policies, construction plan modification, inspector 13 supervision, and the licensure verification database, as 14 described in the bill. 15 The bill requires the board to establish fees for permits and 16 inspections. Inspection fees are to be paid to the board at 17 or before the commencement of an inspection and included with 18 the request for inspection. Inspection fees shall not apply 19 to inspections within political subdivisions which provide for 20 inspections. 21 The bill authorizes any person to file a confidential 22 complaint with the board alleging a violation of the bill or 23 any rule adopted by the board and allows any person aggrieved 24 by an order of an inspector or the board to appeal the order by 25 filing a written notice of appeal with the board within 10 days 26 after the order was served. The bill also provides certain 27 procedural requirements for such an appeal, as described in the 28 bill. 29 Pursuant to current law, the board may impose a civil penalty 30 up to $5,000 per offense upon a person who violates the bill, 31 following notice and an opportunity for a hearing. 32 The bill takes effect July 1, 2025. 33 -12- LSB 1364YC (3) 90 es/rn 12/ 12