NDT C.S.H.B. 2135 75(R)BILL ANALYSIS
LICENSING & ADMINISTRATIVE PROCEDURES
C.S.H.B. 2135
By: Garcia
4-17-97
Committee Report (Substituted)
BACKGROUND
Many drywall and acoustical contractors have lost revenues for the State
of Texas due to nonpayment of appropriate taxes. Many also provide
inadequate safety protection for their employees while protecting the
property owners who hire them from accident liability. Furthermore, many
of these contractors have not been in compliance with Municipal Building
Codes with regard to life-saving fire safety requirements.
PURPOSE
CSHB 2135 would: 1) help the State identify drywall and acoustical
contractors who are not paying appropriate taxes and adequately protecting
their employees; 2) assure that registered contractors are in compliance
with state requirements; 3) assure that contractors have general
liability, property and casualty insurance under state requirements, which
would eliminate risk to the owner, architect and general contractor.
RULEMAKING AUTHORITY
It is the opinion of the committee that this bill delegates additional
rulemaking authority to the Texas Department of Licensing and Regulation
in SECTION 1 of the bill.
SECTION BY SECTION ANALYSIS
SECTION 1: Amends Chapter 20, Title 132, Revised Statutes by adding
Article 9025 to read as follows:
(Sec. 1) Definitions in the Act
(Sec. 2) Provides for a Drywall and Acoustical Advisory Board made up of
contractors and members of the general public. Its purpose is to advise
the Commission and the Commissioner of the Texas Department of
Licensing and Regulation in the adopting of rules, the setting of fees,
the establishment of registration requirements, and the enforcing and
administering of this Act.
(Sec. 3) States that the Commission shall issue certificates of
registration to applicant wall and ceiling contractors who meet the
necessary qualifications.
(Sec. 4) States the requirements for obtaining contractor registration
under this act. An applicant must provide listed pertinent information
and must also provide proof of general liability insurance and proof
of worker's compensation coverage. An applicant must also provide
proof that all state-owed taxes have been paid.
(Sec. 5) Authorizes the Commission to set the application and
registration fees under this Act.
(Sec. 6) Sets forth the requirements for renewals of registration
certificates under this act.
(Sec.7) Sets forth the powers of the commissioner to enforce this article
and the investigative powers of the Department of Licensing and
Regulation.
(Sec. 8) Authorizes the procedures by which the Department of Licensing
and Regulation may suspend, revoke, renew or reissue registration under
this Act.
(Sec. 9) Prohibits a corporation, partnership or an individual from
engaging in drywall or acoustical application for compensation unless
they hold a registration.
(Sec. 10) Sets the administrative penalties for violation of this Act.
SECTION 2: Effective date September 1, 1997. Term expiration dates for
initial members of the Advisory Board. Effective September 1, 1997,
with the exception of Sections 9 and 10 of this Act, which are
effective March 1, 1998.
SECTION 3: Emergency Clause
COMPARISON OF ORIGINAL TO SUBSTITUTE
SECTION 1:
Sec. 1: 1) Changes the definition in (6) from that of "Drywall" to that
of "Drywalling."
2) Adds the definition of "Exterior cold-forming metal framing
system."
3) Amends the definition of "Wall and Ceiling Contractor" in order to
clarify it.
4) Adds the definition of "Wall and Ceiling Contracting."
Sec. 2: 1) Changes the name of board to the "Texas State Wall and
Ceiling Contractors Advisory Board."
2) In subsection (b), adds that the three board members who must be
wall and ceiling contractors must represent the residential, multi
family, and the commercial sectors. The restrictions on the
occupations of the the board members who are not contractors are
removed.
3) Adds language clarification for subsection (c)
4) Amends subsection (d) to specify that the location of board
meetings must be within the state and that the location for such
meetings are now designated by the board rather than the presiding
officer.
5) Adds clarification language for subsection (f)
Sec. 3: 1) Removes one-year length of validation for certificates of
registration.
2) Now gives the commissioner the power to adopt rules relating to
the issuing of certificates and to prescribe all required forms under
the article.
Sec. 4: 1) Removes the requirement that an applicant post a bond in an
amount prescribed by the commissioner.
2) Adds that the business name used by an applicant under this
section must be the same on all of the application's documents
3) Clarification language to include corporations and partnerships
along with other business entities under the requirements of the
subsection (f).
4) Adds the requirement that an applicant must verify that all state
owed taxes have been paid.
Sec. 5: 1) New section states that the commission by rule shall set
application and registration fees under the article.
Sec. 6 1) Removes continuing education provisions in the original bill.
Sec. 7 1) New section sets forth investigative powers of the
commissioner and the department of licensing and regulation.
Sec. 8 1) Adds that the commissioner may reissue a certificate of
registration, after it has been revoked, only a hearing is requested
by the applicant in writing and good cause for reissuance exists.
Sec. 9 1) New section states that a person who is not registered as a
wall and ceiling contractor may not engage in wall and ceiling
contracting.
Sec. 10 1) Changes penalty from a Class A to a Class C misdemeanor.
SECTION 2:
1) Removes the deadline for the commissioner's initial appointments
to the board. Pushes forward dates for board member's expiring terms
from 2/1/98 and 2/1/99 to 2/1/99 and 2/1/2000.