By: Carona  S.B. No. 1222
         (In the Senate - Filed March 6, 2007; March 14, 2007, read
  first time and referred to Committee on Business and Commerce;
  April 2, 2007, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 8, Nays 0; April 2, 2007,
  sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1222 By:  Janek
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the licensing and regulation of appliance installers
  and appliance installation contractors.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1305.002, Occupations Code, is amended
  by adding Subdivisions (1-b), (1-c), (1-d), (1-e), and (1-f) to
  read as follows:
               (1-b)  "Appliance" means equipment that:
                     (A)  is installed as a unit;
                     (B)  is directly connected to an electrical
  system; and
                     (C)  performs a specific function.
               (1-c)  "Appliance installation" means electrical work
  that is limited to the connection or disconnection of an appliance
  to an existing electrical system other than by inserting or
  removing a plug from an electrical outlet.
               (1-d)  "Appliance installation contracting" means the
  business of appliance installation.
               (1-e)  "Appliance installation contractor" means a
  business entity, other than an electrical contractor or electrical
  sign contractor, that is engaged in appliance installation
  contracting.
               (1-f)  "Appliance installer" means a person, other than
  a licensed electrician, who is licensed to perform appliance
  installation.
         SECTION 2.  Subsection (a), Section 1305.003, Occupations
  Code, is amended to read as follows:
         (a)  This chapter does not apply to:
               (1)  the installation of electrical equipment in a
  ship, watercraft other than a floating building, railway rolling
  stock, aircraft, motor vehicle, or recreational vehicle;
               (2)  the installation of electrical equipment
  underground in a mine and in self-propelled mobile surface mining
  machinery and its attendant electrical trailing cable;
               (3)  the installation of electrical equipment for
  generation, transformation, transmission, or distribution of power
  used exclusively to operate railway rolling stock or exclusively
  for signaling and communications purposes;
               (4)  the installation, maintenance, alteration, or
  repair of communications equipment provided by a
  telecommunications provider;
               (5)  the installation, maintenance, alteration, or
  repair of electrical equipment under the exclusive control of an
  electric utility, power generation company as defined by Sections
  31.002(1) and (10), Utilities Code, electric cooperative, or
  municipally owned utility and used for communications or metering,
  or for the generation, control, transformation, transmission, and
  distribution of electrical energy, and located:
                     (A)  in a building used exclusively by a utility
  or power generation company for those purposes;
                     (B)  outdoors on property owned or leased by the
  utility or power generation company;
                     (C)  on public highways, streets, roads, or other
  public rights-of-way; or
                     (D)  outdoors by established rights in vaults or
  on private property;
               (6)  work not specifically regulated by a municipal
  ordinance that is performed in or on a dwelling by a person who owns
  and resides in the dwelling;
               (7)  work involved in the manufacture of electrical
  equipment that includes the on-site and off-site manufacturing,
  commissioning, testing, calibrating, coordinating,
  troubleshooting, or evaluating of electrical equipment, the
  repairing or retrofitting of electrical equipment with components
  of the same ampacity, and the maintenance and servicing of
  electrical equipment within the equipment's enclosure that is
  performed by an authorized employee of an electrical equipment
  manufacturer and limited to the type of products manufactured by
  the manufacturer;
               (8)  electrical work if:
                     (A)  the work is performed by a person who does not
  engage in electrical work for the public;
                     (B)  the work is performed by a person regularly
  employed as a maintenance person or maintenance electrician for a
  business; and
                     (C)  the electrical work does not involve the
  installation of electrical equipment during new construction as
  defined by rules adopted under Chapter 151, Tax Code;
               (9)  the installation, maintenance, alteration, or
  repair of electrical equipment or associated wiring under the
  exclusive control of a gas utility and used for communications or
  metering or for the control, transmission, or distribution of
  natural gas;
               (10)  thoroughfare lighting, traffic signals,
  intelligent transportation systems, and telecommunications
  controlled by a governmental entity;
               (11)  electrical connections supplying heating,
  ventilation, and cooling and refrigeration equipment, including
  any required disconnect exclusively for the equipment, if the
  service is performed by a licensed air conditioning and
  refrigeration contractor under Chapter 1302;
               (12)  the design, installation, erection, repair, or
  alteration of Class 1, Class 2, or Class 3 remote control,
  signaling, or power-limited circuits, fire alarm circuits, optical
  fiber cables, or communications circuits, including raceways, as
  defined by the National Electrical Code;
               (13)  landscape irrigation installers, as necessary to
  perform the installation and maintenance of irrigation control
  systems, and landscapers, as necessary to perform the installation
  and maintenance of low-voltage exterior lighting and holiday
  lighting excluding any required power source;
               (14)  electrical work performed at a business that
  operates:
                     (A)  a chemical plant, petrochemical plant,
  refinery, natural gas plant, natural gas treating plant, pipeline,
  or oil and gas exploration and production operation by a person who
  works solely for and is employed by that business; or
                     (B)  a chemical plant, petrochemical plant
  refinery, natural gas plant, or natural gas treatment plant by a
  person who under a contract of at least 12 months' duration performs
  electrical work for that plant and:
                           (i)  the electrical work is not performed
  during new construction as defined by rules adopted under Chapter
  151, Tax Code; or
                           (ii)  the person is not working for a
  contractor that has a principal place of business in another state
  or territory of the United States or a foreign country;
               (15)  the installation, maintenance, alteration, or
  repair of elevators, escalators, or related equipment, excluding
  any required power source, regulated under Chapter 754, Health and
  Safety Code;
               (16)  the installation, maintenance, alteration, or
  repair of equipment or network facilities provided or utilized by a
  cable operator, as that term is defined by 47 U.S.C. Section 522, as
  amended;
               (17)  the location, design, construction, extension,
  maintenance, and installation of on-site sewage disposal systems in
  accordance with Chapter 366, Health and Safety Code, or an on-site
  sewage facility installer licensed under Chapter 37, Water Code;
               (18)  electrical work performed on a building,
  structure, or equipment in agricultural use as defined by Section
  11.002, Water Code, other than the processing of an agricultural
  commodity;
               (19)  the installation, maintenance, alteration, or
  repair of well pumps and equipment in accordance with Chapter 1902;
  [and]
               (20)  electrical work required for the construction and
  assembly of HUD-code manufactured housing or modular housing and
  building units, other than the installation of service entrance
  conductors, that is performed by a licensed manufacturer or
  installer under Chapter 1201 or 1202, as applicable, if work
  performed is within the scope of the license as defined by
  applicable statutes and administrative rules; and
               (21)  the maintenance or repair of an appliance by an
  appliance dealer or manufacturer or a person authorized by an
  appliance dealer or manufacturer using only components of the same
  type and ampacity as the original components.
         SECTION 3.  Subsection (a), Section 1305.102, Occupations
  Code, is amended to read as follows:
         (a)  The executive director shall adopt rules for the
  licensing of electricians, sign electricians, electrical sign
  contractors, [and] electrical contractors, appliance installers,
  and appliance installation contractors as prescribed by this
  chapter.
         SECTION 4.  Section 1305.15l, Occupations Code, is amended
  to read as follows:
         Sec. 1305.151.  LICENSE REQUIRED.  Except as provided by
  Section 1305.003, a person or business may not perform or offer to
  perform electrical work or appliance installation unless the person
  or business holds an appropriate license issued or recognized under
  this chapter.
         SECTION 5.  Subchapter D, Chapter 1305, Occupations Code, is
  amended by adding Sections 1305.1617 and 1305.1618 to read as
  follows:
         Sec. 1305.1617.  APPLIANCE INSTALLER.  An applicant for a
  license as an appliance installer must pass an appliance installer
  examination administered under this chapter.
         Sec. 1305.1618.  APPLIANCE INSTALLATION CONTRACTOR.  
  (a)  An applicant for a license as an appliance installation
  contractor must:
               (1)  be licensed under this chapter as an appliance
  installer or employ a person licensed under this chapter as an
  appliance installer;
               (2)  establish proof of financial responsibility in the
  manner prescribed by the executive director; and
               (3)  maintain workers' compensation coverage for the
  contractor's employees through an insurance company authorized to
  engage in the business of insurance in this state or through
  self-insurance, or elect not to obtain workers' compensation
  coverage, as provided by Subchapter A, Chapter 406, Labor Code.
         (b)  A person who holds an appliance installer's license
  issued or recognized under this chapter may only be assigned to a
  single appliance installation contractor, unless the appliance
  installer owns more than 50 percent of the appliance installation
  contracting business.
         SECTION 6.  Subsection (a), Section 1305.166, Occupations
  Code, is amended to read as follows:
         (a)  An electrical contractor, [and] electrical sign
  contractor, and appliance installation contractor shall display
  the contractor's business name and the number of the license issued
  by the executive director on each vehicle owned by the contractor.
         SECTION 7.  Subsection (a), Section 1305.201, Occupations
  Code, is amended to read as follows:
         (a)  This chapter does not prohibit a municipality or region
  from regulating electricians or appliance installers by:
               (1)  enacting an ordinance requiring inspections;
               (2)  offering examinations;
               (3)  issuing municipal or regional licenses; or
               (4)  collecting permit fees for municipal or regional
  licenses and examinations from electricians and appliance
  installers for work performed in the municipality or region.
         SECTION 8.  (a) The Texas Department of Licensing and
  Regulation shall issue an appliance installer license without
  examination to a qualified applicant under this section who:
               (1)  applies for a license under this section not later
  than June 1, 2008;
               (2)  submits to the department information required by
  rules adopted under this section;
               (3)  meets the experience requirement in Subsection (b)
  of this section; and
               (4)  pays the application fee.
         (b)  An applicant for a license under this section is
  required to have completed at least 4,000 hours of electrical work
  or appliance installation under the supervision of a master
  electrician or an owner or supervisor of an appliance installation
  contractor.
         SECTION 9.  (a)  Except as provided by Subsection (b) of
  this section, this Act takes effect September 1, 2007.
         (b)  The change in law made by this Act by the amendment of
  Section 1305.151, Occupations Code, takes effect March 1, 2008.
 
  * * * * *