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| SPONSOR: | Smith | DATE TYPED: | 3/04/99 | HB | |||
| SHORT TITLE: | "Contractor" Defined | SB | 554/aSFC | ||||
| ANALYST: | Valenzuela | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY99 | FY2000 | FY99 | FY2000 | ||
| $ 0.0 | |||||
(Parenthesis ( ) Indicate Expenditure Decreases)
Duplicates/Conflicts with/Companion to/Relates to
SOURCES OF INFORMATION
LFC Files
Regulation and Licensing Department bill analysis
SUMMARY
Synopsis of SFC Amendment
The Senate Finance Committee (SFC) amendment to Senate Bill 554 clarifies that property owners of a commercial building could make repairs that are not subject to inspection or building codes, and cost less than $5,000.
Synopsis of Bill
Senate Bill 554 would amend the Construction Industries Licensing Act by adding a new paragraph to the subsection which identifies those individuals or entities NOT considered a licensed contractor. The new language exempts persons who make improvements, in a single project, to commercial property of less than $5,000 from being classified as a contractor. Senate Bill 554 also clarifies the work as maintenance and repair work such as painting or carpeting.
Significant Issues
Enactment of this bill would allow persons to make short-term depreciable improvements to commercial property without having to apply for and obtain a contractor's license. According to the Construction Industries Division, the existing statute allows 17 exemptions from being licensed as a contractor.
FISCAL IMPLICATIONS
Senate Bill 554 does not contain an appropriation. Enactment would have a minor impact on the Construction Industries Division.
ADMINISTRATIVE IMPLICATIONS
Enactment of Senate Bill 554 would have a minor impact on the Construction Industries Division.
POSSIBLE QUESTIONS
1. To those whom this bill would apply, are they required currently to obtain a contractor's license to complete these minor repairs?
MV/njw