Bill Text: OR HB4094 | 2012 | Regular Session | Introduced


Bill Title: Relating to construction contractor insurance coverage; declaring an emergency.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2012-03-05 - In committee upon adjournment. [HB4094 Detail]

Download: Oregon-2012-HB4094-Introduced.html


     76th OREGON LEGISLATIVE ASSEMBLY--2012 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 171

                         House Bill 4094

Sponsored by Representative CONGER (Presession filed.)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Replaces requirement that person licensed by Construction
Contractors Board as exempt commercial contractor procure
workers' compensation coverage with requirement that person make
statement verifying workers' compensation coverage. Allows person
alternative of stating that person has procured and will maintain
personal health insurance and personal disability insurance and
that to best knowledge of person all other owners, partners,
corporate officers or limited liability company managers or
members of construction contractor have procured and will
maintain personal health insurance and personal disability
insurance.
  Makes person knowingly providing false statement regarding
insurance coverage subject to penalty of $6,250 fine, one year's
imprisonment, or both.
  Requires subject person holding license on effective date of
Act to make initial filing of statement by July 1, 2012.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to construction contractor insurance coverage; creating
  new provisions; amending ORS 701.035; and declaring an
  emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 701.035 is amended to read:
  701.035. (1) An applicant must qualify as an independent
contractor under ORS 670.600 to be eligible for a license with
the Construction Contractors Board.
  (2) The board shall establish two classes of independent
contractor:
  (a) The nonexempt class is composed of the following entities:
  (A) Sole proprietorships, partnerships, corporations, limited
liability companies with one or more employees; and
  (B) Partnerships, corporations and limited liability companies
with more than two partners, corporate officers or members, if
any of the partners, corporate officers or members are not part
of the same family and related as parents, spouses, sisters,
brothers, daughters or sons, daughters-in-law or sons-in-law or
grandchildren.
  (b) The exempt class is composed of all sole proprietorships,
partnerships, corporations and limited liability companies that
do not qualify as nonexempt.
  (3) If a person who is licensed as exempt under subsection
(2)(b) of this section hires one or more employees or falls into
any of the categories set out in subsection (2)(a)(B) of this
section, the person is subject to penalties under ORS 701.992 for
improper licensing. If a person who is licensed as exempt under
subsection (2)(b) of this section hires one or more employees,
the person is also subject to licensing sanctions under ORS
701.098.  The person must reapply to the board in the correct
class.
  (4) The decision of the board that a person is an independent
contractor applies only when the person is performing work of the
nature described in ORS 701.021.
  (5) A person that is within the exempt class described in
subsection (2)(b) of this section and is licensed as a commercial
contractor shall   { - procure and maintain - }   { + verify
under oath, subject to the criminal penalties for false swearing
provided under ORS 162.075, that:
  (a) The person has procured  + }workers' compensation insurance
as authorized by ORS 656.128  { - . - }  { + ; or
  (b)(A) The person has procured and shall maintain personal
health insurance and personal disability insurance; and
  (B) To the best of the person's knowledge, all other owners,
partners, corporate officers or limited liability company
managers or members for the construction contractor have procured
and will be maintaining personal health insurance and personal
disability insurance. + }
  SECTION 2.  { + A person described in ORS 701.035 (5) that
holds a license as a commercial construction contractor on the
effective date of this 2012 Act shall file an initial statement
under ORS 701.035 (5) on or before July 1, 2012. Prior to July 1,
2012, the Construction Contractors Board may not impose a
sanction against a person for failure to file a statement under
ORS 701.035 (5) if the person is maintaining workers'
compensation coverage. + }
  SECTION 3.  { + This 2012 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2012 Act takes effect on its
passage. + }
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