Amend CSSB 259 by striking all below the enacting clause and
substituting the following:
SECTION 1. SHORT TITLE. This Act may be cited as the
"Roofing Contractors Licensing Law."
SECTION 2. DEFINITIONS. In this Act:
(1) "Advisory board" means the Roofing Contractors
Advisory Board.
(2) "Commercial roofing" means the exterior roof,
cover, or skin of the roof assembly consisting of membrane, metal
panels, sheets, shingles, tiles, slate, and other materials on any
building or structure other than buildings or structures listed in
Subdivision (8) of this section.
(3) "Commission" means the Texas Commission of
Licensing and Regulation.
(4) "Commissioner" means the commissioner of licensing
and regulation.
(5) "Mechanical integrity" means physical installation
of products, systems, or equipment in accordance with their
intended purpose and according to industry standards at least as
strict as the roofing manufacturers' specifications.
(6) "Person" means an individual, corporation,
organization, business trust, estate, trust, partnership,
association, and any other legal entity.
(7) "Qualifying party" means a person who possesses
all the necessary qualifications and who is a principal of a
company licensed under this Act.
(8) "Residential roofing" means any material applied
to the exterior roof framing (wood or steel) on single-family
homes, duplexes, or quadplexes.
(9) "Roofing contracting" means performing or offering
to perform the design, installation, construction, maintenance,
service, repair, alteration, or modification of a product or of
equipment in roofs.
(10) "Roofing contracting company" or "company" means
any person, corporation, partnership, association, or other entity
that performs roofing contracting.
SECTION 3. POWERS AND DUTIES OF COMMISSIONER. (a) The
commissioner shall adopt rules for the practice of roofing
contracting consistent with this Act. The standards prescribed by
rule must be substantially the same as the standards set forth in
the roofing manufacturers' standard requirements. The commissioner
shall enforce this Act and may adopt rules relating to enforcement
requirements.
(b) The commissioner may issue an emergency order as
necessary to enforce this Act if the commissioner determines that
an emergency exists or formerly existed requiring immediate
temporary action to protect the public health and safety or to
protect damaged property. The order may be issued without notice
and hearing or with such notice and hearing as the commissioner
considers practicable under the circumstances. If an emergency
order is issued under this subsection without a hearing, the
commissioner shall set the time and place for a hearing to affirm,
modify, or set aside the emergency order. The commission may issue
cease and desist orders.
(c) The commissioner shall prescribe application forms for
original and renewal licenses and the design of the licenses.
(d) The commissioner shall prescribe the method and content
of examinations administered under this Act and shall set
compliance requirements for the examinations. The examination
shall be offered at least quarterly at various locations around the
state as determined by the commission.
(e) The commissioner shall enforce insurance requirements
for persons licensed under this Act.
(f) The commission may employ the personnel necessary to
implement this Act. The commission shall contract with at least
two full-time roofing contractors to serve as test examiners.
(g) The commissioner may authorize necessary disbursements
to implement this Act, including office expenses, costs of
equipment, and other necessary facilities.
(h) The commission shall publish annually a directory of the
persons licensed under this Act. The commission may sell the
directory on payment of a reasonable fee set by the commission. The
fees collected under this subsection shall be appropriated to the
commission for use in the administration of this Act.
(i) The commission may contract with another state agency or
with a political subdivision of the state for the enforcement of
this Act and the rules adopted by the commissioner under this Act.
(j) The commissioner shall adopt rules that require a
license holder to obtain a permit from an approved landfill to
dispose of roofing materials. Rules adopted under this subsection
shall include a requirement that a license holder maintain a record
for each disposal of roofing materials by the license holder.
SECTION 4. ADVISORY BOARD. (a) The Roofing Contractors
Advisory Board is created to advise the commissioner in adopting
rules, method, and content of examination and enforcing and
administering this Act and to advise the commission in setting
fees.
(b) The advisory board is composed of six members appointed
by the commissioner who are experienced in the design,
installation, construction, maintenance, service, repair,
alteration, or modification of roofing systems. Members of the
advisory board shall hold office for staggered terms of six years,
with two terms expiring on February 1 of each odd-numbered year.
(c) The commissioner shall appoint the advisory board
members as follows:
(1) three members must be full-time licensed roofing
contractors as follows:
(A) one member must hold a commercial license;
(B) one member must hold a residential license;
and
(C) one member must hold a commercial and a
residential license; and
(2) three shall be public members.
(d) For the members appointed under Subsection (c)(1) of
this section, at least one member must practice in a municipality
with a population of 250,000 or more and at least one member must
practice in a municipality with a population of less than 250,000.
For the purposes of this subsection, "population" means the
population according to the most recent federal decennial census.
(e) The commissioner shall designate one member of the
advisory board to serve as chairman. The commissioner or the
commissioner's designee shall serve as an ex officio, nonvoting
member of the advisory board. On the resignation, death,
suspension, or incapacity of any member, the commissioner shall
fill the vacancy for the remainder of the unexpired term with an
individual who represents the same category with which the
predecessor was identified.
(f) The advisory board shall meet at least every six months
and may meet at other times at the call of the chairman. The
advisory board shall meet at a place designated by the board within
the State of Texas. A decision of the advisory board is not
effective unless it receives the affirmative vote of at least a
majority of the members present.
(g) The advisory board members serve without compensation.
SECTION 5. LICENSE REQUIRED. (a) Unless the person is
exempted under Section 14 of this Act, a person or company may not
perform roofing contracting without a license under this Act.
(b) A roofing contracting company that is not exempt under
this Act must employ a license holder, or license holders, whose
license is assigned to that company.
(c) A representative of the commission or a municipal
official may issue a citation to a person who performs roofing
contracting without a license issued under this Act.
(d) A license issued under this Act is valid throughout the
state, and the holder and persons under the holder's supervision
are not required to hold a municipal license to practice roofing
contracting in any municipality within this state.
SECTION 6. ROOFING CONTRACTOR LICENSES. (a) The roofing
contracting company shall be the license holder and shall comply
with all the requirements of this Act, with a principal of the
company being the qualifying party meeting all the requirements of
this Act. Roofing contractor licenses are of the following three
classes and entitle the licensee to perform the following services,
respectively:
(1) a Class I license entitles the licensee to perform
commercial and residential roofing services;
(2) a Class II license entitles the licensee to
perform only commercial roofing services; and
(3) a Class III license entitles the licensee to
perform only residential roofing services.
(b) The commissioner shall prescribe separate examinations
for each class of license. For Class I licenses, the commissioner
shall prescribe separate examinations for commercial and
residential services.
(c) The qualifying party that applies for a roofing
contractor license must be at least 18 years old and must present
to the commissioner satisfactory evidence of at least 36 months of
practical experience in the preceding five years.
(d) The application must be made on a form prescribed by the
commissioner and must specify the class of license the applicant
seeks. The application must be sworn to and verified and must be
accompanied by:
(1) evidence of the insurance coverage required under
this Act;
(2) a statement of the applicant's practical
experience; and
(3) the examination fee.
(e) The commissioner shall issue a roofing contractor
license to a company which has a qualifying party who possesses the
required qualifications, passes the appropriate examinations, and
pays the examination fee and the original license fee required by
this Act. An applicant who fails an examination is eligible for
reexamination.
(f) A license issued under this Act is valid for a one-year
period from the date of issuance.
(g) With the advice of the advisory board, the commissioner
shall adopt rules relating to the use, display, and advertisement
of a licensee's license.
SECTION 7. NOTICE OF EXAMINATION RESULTS. (a) Not later
than the 45th day after the date on which an examination is
administered under this Act, the commissioner shall notify each
examinee of the results of the examination. However, if an
examination is graded or reviewed by a national testing service,
the commissioner shall notify examinees of the results of the
examination not later than the 14th day after the date on which the
commissioner receives the results from the testing service.
(b) If requested in writing by a person who fails the
examination, the commissioner shall furnish the person with the
results of the person's performance on the examination.
SECTION 8. INSURANCE REQUIREMENT. (a) A licensed contractor
shall maintain general liability insurance coverage in the
following amounts:
(1) for a Class I license, $250,000 per occurrence,
with a minimum total aggregate of $500,000;
(2) for a Class II license, $250,000 per occurrence,
with a minimum total aggregate of $500,000; and
(3) for a Class III license, $100,000 minimum total
aggregate.
(b) Insurance must be obtained from an admitted company or
an eligible surplus lines insurer, as defined in Article 1.14-2,
Insurance Code.
(c) A license applicant or holder shall furnish to the
commission a certificate of insurance. The license holder's name,
business name, and address must be shown as it appears on the
license. The certificate form to be submitted shall be the form
furnished by the commission. Each certificate of insurance shall
reflect all assumed names used by the license holder and registered
with this agency. Neither binders nor interim certificates of less
than 60 days will be accepted.
(d) The certificate of insurance shall state that the
insurance carrier shall notify the commission not later than the
30th day before the cancellation or nonrenewal by the insurance
carrier and not later than the 10th day following nonrenewal or
cancellation by the insured.
(e) A license holder whose proof of insurance expires shall
be notified by the commission that the holder has an insurance
violation. Failure to furnish the required proof shall be grounds
for revocation of the license in accordance with Article 9100,
Revised Statutes.
(f) A surety bond shall be posted with the commission by
each licensee in the following amounts:
(1) $35,000 for a Class I license;
(2) $25,000 for a Class II license; and
(3) $10,000 for a Class III license.
SECTION 9. CONTINUING EDUCATION PROGRAMS. The commissioner
shall recognize, prepare, or administer continuing education
programs for licensees. The Roofing Contractors Association of
Texas shall be an education provider and shall be the approval
agent of continuing education credits in these programs.
Participation in the programs is mandatory. Each licensee shall be
required to complete eight hours of continuing education per
license year.
SECTION 10. LICENSE BY RECIPROCITY. The commissioner may
waive any license requirement for an applicant or for the
qualifying party of an applicant with a valid license from another
state with which this state has a reciprocity agreement. A
reciprocity agreement with another state may only be recognized
under this section if the other state has licensing requirements
that the commissioner determines are substantially equivalent to
the requirements of this Act. The commissioner may not waive a
license requirement under this section for an applicant or
qualifying party of an applicant that does not maintain insurance
coverage and does not post a surety bond of the same type and
amount as required by Section 8 of this Act. The insurance
coverage and surety bond must apply to work performed in this
state.
SECTION 11. TEMPORARY LICENSE. (a) In the event the
qualifying party becomes incapacitated and unable to serve in the
normal capacity of principal of a company or is no longer available
due to the dissolution of a partnership or corporation, a temporary
license may be issued to another principal of the company, who then
becomes the qualifying party for a period extending 30 days beyond
the date of the next examination, not to exceed six months. The
temporary license is not renewable, but a second temporary license
may be issued if the company's qualifying party becomes unavailable
in circumstances that make the company again eligible to receive a
temporary license. The temporary license shall be of the same
class and endorsement as the license being replaced.
(b) The commissioner may issue a temporary license under the
conditions provided by Subsection (a) of this section to an
applicant who applies to the commissioner on a form prescribed by
the commissioner and pays the required fees.
SECTION 12. DENIAL, SUSPENSION, OR REVOCATION OF LICENSE.
(a) A violation of this Act or a rule adopted under this Act is a
ground for the denial, suspension, or revocation of a license
issued under this Act as well as a ground for the imposition of
administrative penalties as provided by Article 9100, Revised
Statutes. The failure to provide proper installation consistent
with the manufacturer's specifications or consistent with commonly
accepted roofing practices, proper service, and mechanical
integrity under this Act constitutes a violation of this Act. An
intentional or knowing misrepresentation of necessary services,
services to be provided, or services that have been provided
constitutes a violation of this Act and a ground for the suspension
or revocation of a license issued under this Act.
(b) Proceedings for the denial, suspension, or revocation of
a license and appeals from those proceedings are governed by
Chapter 2001, Government Code. The imposition of administrative
penalties is governed by Article 9100, Revised Statutes.
SECTION 13. CONSUMER COMPLAINT INVESTIGATION. (a) The
commissioner shall prepare information of consumer interest
describing the functions performed by the commissioner under this
Act and the rights of consumers as affected by this Act. The
information must describe the procedure by which a consumer
complaint is filed with and resolved by the commissioner. The
commissioner shall make the information available to the general
public.
(b) The commissioner shall investigate consumer complaints
filed with the commissioner. If the commissioner determines after
investigation that a licensee has violated this Act or a rule
adopted under this Act, the commissioner may take appropriate
action under Section 12 of this Act.
SECTION 14. EXEMPTIONS. (a) This Act does not apply:
(1) to a person who performs roofing contracting on
property owned by the person;
(2) to a person or firm that is registered as a
manufacturer, retailer, or installer and regulated pursuant to the
Texas Manufactured Housing Standards Act (Article 5221f, Vernon's
Texas Civil Statutes) and that engages in roofing contracting for
manufactured homes in the installation of manufactured homes or in
providing retailer or manufacturer warranty services free of
charge;
(3) to new residential construction of single-family
homes, duplexes, or quadplexes;
(4) to a person who performs roofing contracting if:
(A) the person is a maintenance person or
maintenance engineer who is a regular bona fide employee of the
property owner, the property lessee, or the management company
managing the property where the roofing contracting work is being
performed;
(B) the work is performed in connection with the
business in which the person is employed; and
(C) the person and the person's employee
referred to in Paragraph (A) of this subdivision do not engage in
the occupation of roofing contracting for the general public;
(5) to a person who performs roofing contracting on a
dwelling owned by a member of the person's family;
(6) to a person that performs roofing contracting
without a license under this Act but receives a signed disclosure
statement from the owner of the property that states explicitly
that the owner understands that the person performing roofing
contracting on the owner's property is not a license holder under
this Act;
(7) to roofing contracting that is performed on
property that is primarily for agricultural use;
(8) to roofing contracting that is performed on
property that is a portable building or a garage that is not
connected to a dwelling; or
(9) to a person who holds a license or other
credential under the laws of this state who performs roofing
contracting that is incidental to work performed by the person in
the ordinary scope of the person's work under the license or
credential.
(b) This Act shall in no way restrict the practice of
architecture or engineering by persons duly licensed in Texas to
practice these professions. This Act does not affect any provision
or requirement of Chapter 478, Acts of the 45th Legislature,
Regular Session, 1937 (Article 249a, Vernon's Texas Civil
Statutes), or The Texas Engineering Practice Act (Article 3271a,
Vernon's Texas Civil Statutes).
SECTION 15. ENFORCEMENT OF CONTRACTS. (a) A person who
performs roofing contracting without holding the appropriate
license under this Act may not collect a fee or otherwise enforce a
contract for the services performed unless the person performing
the roofing contracting is subject to the exemptions as outlined in
Section 14 of this Act. To enforce a contract for the performance
of roofing contracting, the person performing the services must
present proof that the person or the person's company held a
license under this Act at the time the contract was signed and the
work is performed or must present a signed disclosure statement
from the homeowner as prescribed by Section 14(a)(6) of this Act.
(b) The commissioner shall adopt rules relating to the
manner in which proof may be presented under this section.
SECTION 16. OFFENSE; PENALTY. Except as provided in Section
18 of this Act, a person commits an offense if the person is a
qualifying party and knowingly or intentionally engages in roofing
contracting without a license issued under this Act. An offense
under this section is a Class B misdemeanor.
SECTION 17. CERTAIN ADVERTISING PROHIBITED. A person may not
advertise to the public that the person is engaged in the business
of roofing contracting unless the person holds a license issued
under this Act. A violation of this section constitutes engaging
in roofing contracting without a license for purposes of Section 16
of this Act.
SECTION 18. MUNICIPAL REGULATION. A municipality may by
ordinance adopt and enforce standards for roofing contractors that
are consistent with the standards established under this Act. A
municipality may not impose a licensing or registration fee on a
roofing contractor licensed under this Act. The municipality may
report a violation of this Act to the commission. If the
municipality elects to report the violation, it shall do so not
later than the 10th day after the date on which it discovers the
violation of this Act. Conviction of an offense under the
municipal ordinance is a ground for the denial, suspension, or
revocation of a license issued under this Act.
SECTION 19. EXEMPTION FROM EXAMINATION FOR CERTIFIED
CONTRACTORS. (a) A person who is a certified roofing contractor in
good standing as tested and approved by the Roofing Contractors
Association of Texas on the effective date of this Act is entitled
or, if the person is a qualifying party of a company, the person's
company is entitled to receive a license without examination if the
contractor applies to the commissioner for the license not later
than September 1, 1998, and:
(1) registers with the commission and pays the
required licensing fee;
(2) shows evidence of insurance coverage required
under Section 8 of this Act; and
(3) submits a copy of the contractor's certification
that has been attested to by the president and the executive
director of the Roofing Contractors Association of Texas.
(b) The class of a license issued under this section shall
be based on the classification of certification that is currently
held by the contractor and shall correspond as follows:
(1) a certified commercial and residential roofing
contractor shall receive a Class I license;
(2) a certified commercial roofing contractor shall
receive a Class II license; and
(3) a certified residential roofing contractor shall
receive a Class III license.
(c) A roofing contractor who is issued a license under this
section is subject to all other provisions of this Act, including
provisions for the renewal of the roofing contractor license.
SECTION 20. TERMS OF INITIAL BOARD MEMBERS. In making the
initial appointments to the advisory board, the commissioner shall
designate two members for terms expiring on February 1, 1999, two
members for terms expiring on February 1, 2001, and two members for
terms expiring on February 1, 2003.
SECTION 21. EFFECTIVE DATE. (a) Except as provided by
Subsection (b) of this section, this Act takes effect September 1,
1997.
(b) Sections 5 and 16 of this Act take effect September 1,
1998.
SECTION 22. EMERGENCY. The importance of this legislation
and the crowded condition of the calendars in both houses create an
emergency and an imperative public necessity that the
constitutional rule requiring bills to be read on three several
days in each house be suspended, and this rule is hereby
suspended.