By Gallegos S.B. No. 761 75R7041 T A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the regulation of Wall & Ceiling contractors; providing 1-3 penalties. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. DEFINITIONS. In this Act: 1-6 (1) "Board" means the Texas State Wall & Ceiling 1-7 Contractors Advisory Board. 1-8 (2) "Commission" means the Texas Commission of 1-9 Licensing and Regulation. 1-10 (3) "Commissioner" means the commissioner of licensing 1-11 and regulation. 1-12 (4) "Department" means the Texas Department of 1-13 Licensing and Regulation. 1-14 (5) "Exterior cold-formed metal framing system" means 1-15 the skill and expertise to install curtainwall or load-bearing, 1-16 exterior wall framed with light gage metal. 1-17 (6) "Interior light-gage framing system" means the 1-18 skill and expertise to install interior walls and ceilings framed 1-19 with light gage metal. 1-20 (7) "Drywalling" means the skill and expertise to 1-21 install interior and exterior gypsum board products. 1-22 (8) "Acoustical ceilings" means the skill and 1-23 expertise to install suspended acoustical ceiling systems. 1-24 (9) "Wall & Ceiling contractor" means a person who 2-1 engages in installing light-gage framing, drywall, and acoustical 2-2 ceilings. 2-3 (10) "Person" means an individual, corporation. 2-4 SECTION 2. WALL & CEILING CONTRACTORS ADVISORY BOARD. 2-5 (a) The Wall & Ceiling Contractors Advisory Board is established 2-6 as an advisory board to the department. The board is composed of 2-7 six members appointed by the commissioner. A member holds office 2-8 for a term of two years, with three members terms expiring on 2-9 February 1 each year. The commissioner shall designate a member to 2-10 serve as the board's presiding officer. 2-11 (b) Three of the members appointed under Subsection (a) of 2-12 this section must be Wall & Ceiling contractors eligible for a 2-13 certificate of registration under this Act who each have at least 2-14 10 years experience in the Wall & Ceiling industry. The remaining 2-15 three members of the board shall represent the general public but 2-16 must be familiar with the Wall & Ceiling industry, including 2-17 persons who work as architects, as general contractors, and in the 2-18 field of insurance. 2-19 (c) The commissioner may remove a member of the board for 2-20 inefficiency or neglect of duty in office. If a vacancy occurs on 2-21 the board, the commissioner shall appoint a member who represents 2-22 the same interests as the former member to serve for the unexpired 2-23 term. 2-24 (d) The board shall meet at least twice each year at the 2-25 call of the presiding officer at a place designated by the 2-26 presiding officer. A decision of the board is not valid unless 2-27 supported by a majority of the members present at the meeting at 3-1 which the decision is made. 3-2 (e) The board shall advise the commissioner in adopting 3-3 rules, setting fees or establishing registration renewal 3-4 requirements, and enforcing and administering this Act. 3-5 (f) A member is not entitled to compensation. Reimbursement 3-6 of members for expenses incurred for service on the board is 3-7 subject to Section 4, Article 5252-33, Revised Statutes. 3-8 SECTION 3. ISSUANCE OF CERTIFICATE OF REGISTRATION; RULES. 3-9 (a) The commissions shall issue a certificate of registration to 3-10 an applicant for registration as a Wall & Ceiling contractor who 3-11 possesses the qualifications for a certificate of registration 3-12 required by this Act or a rule adopted under this Act. 3-13 (b) The commissioner shall: 3-14 (1) adopt rules relating to issuing a certificate of 3-15 registration under this Act, and 3-16 (2) prescribe all forms required under this Act. 3-17 (c) A certificate of registration issued under this Act is 3-18 valid for one year from the date of issuance. 3-19 SECTION 4. REGISTRATION REQUIREMENTS. (a) To qualify for a 3-20 certificate of registration under this Act, a person must apply on 3-21 a form prescribed by the commissioner and pay any application and 3-22 registration fees required by the commission. The applicant must 3-23 show evidence of financial responsibility by posting a bond in an 3-24 amount prescribed by the commissioner. 3-25 (b) An applicant under this Act shall provide proof that the 3-26 person is covered by insurance by presenting a copy of the person's 3-27 certificate of workers' compensation coverage or an equivalent 4-1 certificate and proof of the person's general liability insurance 4-2 coverage. Proof of insurance coverage under this section must 4-3 include: 4-4 (1) the policy number and name of the insurer; 4-5 (2) the amounts of coverage; 4-6 (3) the effective date and expiration date of the 4-7 coverage; 4-8 (4) the coverage; and 4-9 (5) any signature of the insurance agent providing 4-10 cancellation clause applicable to the coverage. 4-11 (c) An application under this section must be notarized and 4-12 contain the applicant's state identification number, if any, sales 4-13 tax number, and Internal Revenue Service employer identification 4-14 number. 4-15 (d) The business section must be the application. 4-16 (e) The applicant shall provide the applicant's telephone 4-17 number and mailing address. The applicant shall also provide the 4-18 address where the applicant is physically located if different from 4-19 name used by an applicant under this same on all documents included 4-20 with the mailing address. 4-21 (f) If the applicant is a partnership or corporation, the 4-22 application must include: 4-23 (1) the name of each owner of the applicant firm; and 4-24 (2) the name and signature of the individual who filed 4-25 the application for the firm. 4-26 SECTION 5. FEES. The commission by rule shall set 8 4-27 application and registration fees under this Act. 5-1 SECTION 6. REGISTRATION RENEWAL; CONTINUING EDUCATION. 5-2 (a) A person holding a certificate of registration may renew the 5-3 certificate by: 5-4 (1) completing the renewal application form prescribed 5-5 by the commissioner; 5-6 (2) paying the renewal fee set by the commission; 5-7 (3) providing a new bond or a continuation certificate 5-8 for the existing bond that satisfies the requirements of Section 5-9 4(a) of this Act regarding evidence of financial responsibility; 5-10 (4) providing proof that the person satisfies the 5-11 workers' compensation insurance and liability insurance coverage 5-12 requirements under Section 4(b) of this Act; and 5-13 (5) providing proof that the person has satisfied the 5-14 continuing education and other renewal requirements adopted by the 5-15 commissioner. 5-16 (b) To renew a certificate of registration under this 5-17 section, the person must present evidence that the person has 5-18 successfully completed not less than 10 hours of classroom study in 5-19 subjects required by the commissioner during the 12 months 5-20 preceding the date of the renewal. 5-21 (c) A holder of a certificate of registration under this Act 5-22 who fails to renew the certificate before the date the registration 5-23 expires must pay a late fee set by the commission in addition to 5-24 the other renewal requirements of this section. 5-25 SECTION 7. COMMISSIONER AND DEPARTMENT DUTIES; INSPECTIONS. 5-26 (a) The commissioner shall enforce this Act. 5-27 (b) The department shall investigate allegations of 6-1 violations of this Act. The department may enter any place of 6-2 business or other establishment at which alleged illegal activity 6-3 occurs during reasonable business hours and without advance notice. 6-4 SECTION 8. SUSPENSION, REVOCATION, AND RENEWAL OF 6-5 REGISTRATION; REISSUANCE. (a) After a hearing, the commissioner 6-6 shall suspend or revoke a certificate of registration on a finding 6-7 that a person: 6-8 (1) made a material misstatement in an application for 6-9 a certificate of registration; 6-10 (2) wilfully disregarded or violated this Act or a 6-11 rule adopted under this Act; 6-12 (3) wilfully aided or abetted another in the violation 6-13 of this Act or a rule adopted under this Act; 6-14 (4) was convicted for a crime an essential element of 6-15 which is misstatement, fraud, or dishonesty, or a felony; or 6-16 (5) engaged in dishonorable or unethical conduct 6-17 likely to deceive, defraud, or harm the public. 6-18 (b) The commissioner may reissue a certificate of 6-19 registration to a person whose certificate of registration has been 6-20 revoked if the person shows good cause to registration. 6-21 SECTION 9. PROHIBITED ACTS. (a) A person may not engage in 6-22 providing and installing light-gage framing, drywall, and 6-23 acoustical ceilings for compensation unless the person holds a Wall 6-24 & Ceiling contractor certificate of registration under this Act. 6-25 (b) A person may not bid on or accept a prime contract to 6-26 engage in providing and installing light-gage framing, drywall, and 6-27 acoustical ceilings unless the person is registered as a Wall & 7-1 Ceiling contractor under this Act. 7-2 SECTION 10. OFFENSE: ADMINISTRATIVE PENALTY. (a) A person 7-3 commits an offense if the person knowingly or intentionally acts as 7-4 a Wall & Ceiling contractor without a certificate of registration 7-5 under this Act. An offense under this subsection is a Class A 7-6 misdemeanor. 7-7 (b) this Act applies in writing to the department and 7-8 justify reissuing the certificate of 7-9 A person who violates this Act or a rule adopted under is subject 7-10 to an administrative penalty assessed by the commission as provided 7-11 by Section 17, Article 9100, Revised Statutes. 7-12 SECTION 11. TRANSITION. In making the initial appointments 7-13 to the Wall & Ceiling Contractors Advisory Board, the commissioner 7-14 shall designate three members for terms expiring on February 1, 7-15 1998, and three members for terms expiring on February 1, 1999. 7-16 SECTION 12. EFFECTIVE DATE. (a) Except as provided by 7-17 Subsection (b) of this section this Act takes effect September 1, 7-18 1997, by Sections 9 and 10 of this Act take effect March 1, 1998. 7-19 SECTION 13. EMERGENCY. The importance of this legislation 7-20 and the crowded condition of the calendars in both houses create an 7-21 emergency and an imperative public necessity that the 7-22 constitutional rule requiring bills to be read on three several 7-23 days in each house be suspended, and this rule is hereby suspended.