Bill Text: MI HB5833 | 2009-2010 | 95th Legislature | Engrossed
Bill Title: Liens; construction; state plumbing act; revise to reflect abolition of homeowner construction lien recovery fund. Amends secs. 21, 43 & 47 of 2002 PA 733 (MCL 338.3531 et seq.). TIE BAR WITH: HB 5830'10
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2010-08-24 - Assigned Pa 150'10 With Immediate Effect [HB5833 Detail]
Download: Michigan-2009-HB5833-Engrossed.html
HB-5833, As Passed House, June 16, 2010
HOUSE BILL No. 5833
February 17, 2010, Introduced by Rep. Durhal and referred to the Committee on Appropriations.
A bill to amend 2002 PA 733, entitled
"State plumbing act,"
by amending sections 21, 43, and 47 (MCL 338.3531, 338.3553, and
338.3557).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 21. (1) To qualify for a plumbing contractor license, the
applicant must either hold a master plumber license or employ the
holder of a master plumber license as his or her representative.
Only an owner of a sole proprietorship or partnership, or an
officer of a corporation or limited liability company, may apply
for licensure as a plumbing contractor.
(2) The department shall issue a plumbing contractor's license
to a person who does all of the following:
(a) Files a completed application on a form provided by the
department that includes the following information:
(i) A statement listing the complete address of each place
where the applicant has resided and has been engaged in business
during the last 5 years including the length of residences and
types of businesses engaged in or employments.
(ii) The name of the applicant, the name of the business, and
the location of the place for which the license is desired.
(iii) The name of the business owner or president of the
corporation and the name of the applicant, if different from the
name of the business owner or president, and his or her title.
(iv) The name, residence address, and license number of the
licensed master plumber who represents the person.
(b) Pays the examination fee prescribed in section 31 and
passes an examination provided for by the board and the department.
(c) Pays the license fee prescribed in section 31.
(3) A licensed plumbing contractor may operate 1 or more
branch
offices in this state bearing the same firm name provided if
a licensed master plumber is in charge and has the responsibility
of supervision at each branch.
(4)
When If a license is issued to a plumbing contractor
represented by a master plumber, the plumbing contractor and the
master plumber are jointly and severally responsible for exercising
the supervision or control of the plumbing operations necessary to
secure full compliance with this act, the rules promulgated under
this act, and all other laws and rules related to the installation
of plumbing.
(5) Both a person other than a plumbing contractor and the
master plumber are jointly and severally responsible for exercising
the supervision or control of the plumbing operations necessary to
secure full compliance with this act, the rules promulgated under
this act, and all other laws and rules related to the installation
of plumbing.
(6) If a plumbing contractor is represented by a licensed
master plumber who ceases to represent the plumbing contractor, the
plumbing contractor has 30 days thereafter in which to designate
another licensed master plumber as the representative of the
plumbing contractor. The plumbing contractor shall notify the
department in writing of the change.
(7)
A person applying for a plumbing contractor license shall
also
pay any amount required to be paid under the construction lien
act,
1980 PA 497, MCL 570.1101 to 570.1305, which amount shall be
paid
to the department for deposit in the homeowner construction
lien
recovery fund. An assessment imposed upon a master plumber is
considered
sufficient to fulfill any assessment obligation that may
exist
for a plumbing contractor.
(8)
A person who, on the effective date of this act, is
licensed
as a master plumber under former 1929 PA 266 or employing
a
licensed master plumber shall, upon payment of the plumbing
contractor
license fee and upon furnishing the department with
satisfactory
evidence of having been engaged in a business as a
master
plumber for a minimum of 3 out of the 5 years immediately
preceding
the effective date of this act, be granted a plumbing
contractor
license without examination if the person applies within
6
months after the effective date of this act.
(7) (9)
A licensed plumbing contractor
shall display in a
conspicuous place at the entrance of the place of business a sign
bearing the company name and the name of the licensed master
plumber and license number in letters not less than 3 inches high.
Sec. 43. (1) The department may investigate the activities of
a
person licensed or registered under this act which that are
related to the person's licensure or registration as a plumbing
contractor, master plumber, journey plumber, or apprentice plumber
for activities that include, but are not limited to, the grounds
described in subsection (2)(a) through (f). The department may hold
hearings pursuant to the administrative procedures act of 1969,
1969 PA 306, MCL 24.201 to 24.328, and shall report its findings to
the board.
(2) After an administrative hearing, the board shall proceed
under section 47 against a person if the board finds that 1 or more
of the following grounds for board action exist:
(a) The practice of fraud or deceit in obtaining a license or
registration under this act.
(b) The practice of fraud or deceit in the performance of work
for which a license or registration is required under this act.
(c) An act of gross negligence.
(d) False advertising.
(e) An act that demonstrates incompetence.
(f) A violation of this act or a rule promulgated under this
act.
(3)
Notwithstanding section 47, the board upon recommendation
of
the department shall suspend or revoke the license of a person
whose
failure to pay a lien claimant results in a payment being
made
from the homeowner construction lien recovery fund pursuant to
the
construction lien act, 1980 PA 497, MCL 570.1101 to 570.1305.
The
license shall not be renewed and a new license shall not be
issued
until that person has made full restitution to the fund,
including
the costs of litigation and interest at the rate set by
section
6013 of the revised judicature act of 1961, 1961 PA 236,
MCL
600.6013.
(3) (4)
Activity regulated under this act
shall not be
performed by a person whose license or registration has been
suspended or revoked or whose license or registration has expired.
Sec. 47. (1) After finding the existence of a violation
described in section 43 and after an opportunity for a hearing, the
board,
except as otherwise provided in section 43(3) and section
45, shall impose 1 or more of the following sanctions for a
violation:
(a) Suspension of the license or registration.
(b) Denial of the license or registration.
(c) Denial of renewal of a license or registration.
(d) Censure.
(e) Probation.
(f) Revocation of the license or registration.
(g) Restitution.
(2) If restitution is required to be made under this section,
the license or registration of the person required to make
restitution may be suspended until restitution is made.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No.____ or House Bill No. 5830(request no.
04360'09 *) of the 95th Legislature is enacted into law.