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8.3 Provisional Contractor LicensingCITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE TIME 10/1/2012 4:00 P.M. ORIGINATING DEPARTMENT: FISCAL APPROVAL: AGENDA SECTION NO: 8 BY: DEVELOPMENT SERVICES BUILDING SERVICES FINAL APPROVAL: ITEM NO: Page 1 3 BY: Elvin DeVorss BY: ITEM: Ordinance No. 12- 10661 First reading of Ordinance No. 12-10661 amending Sections 8-171, 8-172, 8-172.1-Chart I, 8-177, 8- 178, 8-179, 8-180, 8-181, and 8-182-Chart III of Chapter 8, Article III of the Salina Code pertaining to the provisional contractor licensing requirements. BACKGROUND: On April 9, 2007, the City Commission passed Ordinance No. 06-10323, commonly known as the contractor licensing ordinance. This ordinance allowed a building contractor to obtain a provisional contractor license if the contractor met certain conditions. These conditions were similar to “grand- fathering” and made it possible to obtain a license without having to take and pass a test. However, there was a specified period of time, from May 1, 2007 to August 1, 2007, during which a contractor could make application for a provisional license. Since adoption, all language referencing provisional contractors remains in the code. Although Sec. 8-177 explains the conditions and clearly states the expiration date for a provisional license, it is confusing to the public when they read other code sections out of context and often conclude that a provisional contractor license is still an option for them. At the July 10, 2012 Building Advisory Board meeting, staff explained that the removal of the provisional contractor language would have a positive impact by clarifying the code and resulting in a better understanding of the options available pertaining to contractor licensing. The Board agreed by consensus that staff should proceed with this proposed code amendment. FISCAL NOTE: There would be no fiscal impact to the city by adopting this code amendment. CONFORMANCE WITH THE STRATEGIC PLAN: Goal #3 The City will provide the highest quality of services, consistent with governing body direction, available resources and staff commitment to quality. COMMISSION ACTION: Staff has identified the following options for the City Commission’s consideration: 1. Pass Ordinance No. 12-10661 amending Sections 8-171, 8-172, 8-172.1-Chart I, 8-177, 8-178, 8-179, 8-180, 8-181, and 8-182-Chart III of Chapter 8, Article III of the Salina Code pertaining to the provisional contractor licensing requirements on first reading. 2. Pass Ordinance No.12-10661 with modifications as directed by the City Commission. STAFF RECOMMENDATION: Staff recommends Option #1. Enclosures: Applicable Code Sections / Proposed Changes ARTICLE III. BUILDING CONTRACTOR AND SKILLED TRADE CONTRACTOR LICENSING1 DIVISION 1. DEFINITIONS Sec. 8-171. Definitions. Definitions shall be classified as follows: Delete the following: Provisionally Licensed Building Contractor. A person to whom a provisional building contractor license has been issued by the City of Salina. DIVISION 2. BUILDING CONTRACTOR LICENSE REQUIRED Sec. 8-172. Building contractor license required. Building Contractor license requirements shall be classified as follows: It shall be unlawful for any person to either perform, cause to perform, or obtain permits for the work described in Chart I – Column A unless such person: (1) Holds, either as an individual or business entity, the corresponding building contractor license listed in Chart I – Column B or provisional building contractor license listed in Chart I – Column C, subject to the exemptions set forth in Section 8-183; (2) Is an individual working as an employee of a licensed building contractor or a provisionally licensed building contractor; or (3) Is a registered craftsman, including the employees of the registered craftsman, (see Division IV regarding Registered Craftsman): (a) working under a subcontract between the registered craftsman and a licensed building contractor or a provisionally licensed building contractor; (b) obtaining permits and constructing fences more than six feet (6’) in height; or (c) obtaining permits and constructing retaining walls that are over 4 feet (1219 mm) in height measured from the bottom of the footing to the top of the wall or that support a surcharge or that impound Class I, II or III-A liquids. (Ord. No. 00-10005, § 1, 11-13-00; Ord. No. 02-10076, § 1, 4-22-02; Ord. No. 04-10208, § 1, 10-11-04; Ord. No. 06-10323, § 1, 4-2-07; Ord. No. 08-10469, § 1, 10-27-2008; Ord. No. 09-10509, § 1, 8-10-08) Editor’s Notes: Ord. 04-10208 adopted § 8-172, formerly § 8-508. Ord. No. 06-10323 adopted 8-172, formerly pertaining to registration classifications. Sec. 8-172.1 Chart I – Building Contractor Licenses. Chart I Building Contractor Licenses Column A Work Column B Licenses Column C Provisional License General & specialty contractor work on any buildings, structures and signs - but not swimming pools, fire alarm & communications systems, or fire sprinkler systems. Class A - General Contractor Provisional Class A - General Contractor General & specialty contractor work on any buildings not exceeding 3 stories or structures not exceeding 65 feet in height, nonstructural alterations or repairs to any buildings or structures and signs - but not swimming pools, fire alarm & Class B - General Contractor Provisional Class B - General Contractor 1 Editor’s Note: Ord. No. 04-10208 adopted Article III, formerly Articles IV and XVII. Ord No. 06-10323 adopted Article III, formerly license and registration requirements. Chart I Building Contractor Licenses Column A Work Column B Licenses Column C Provisional License communications systems, or fire sprinkler systems. General & specialty contractor work on one and two family residences and their accessory structures only and signs - but not swimming pools, fire alarm & communications systems, or fire sprinkler systems. Class C - General Contractor Provisional Class C General Contractor The property owner serving as general contractor on jobs requiring a permit and of a value not is excess of $99,000, supervising (a) licensed specialty or trades contractors for work requiring a specialty or trade license under this Article; and/or (b) owner’s employees or registered tradesman for work not requires a specialty or trade license under this Article. Class D - Contractor/Owner Not Applicable On-site forming and placing of concrete for building walls, columns and self-supporting floors or roofs and for retaining walls requiring building permits. Specialty Concrete Contractor Provisional Specialty Concrete Contractor Rough framing of structural and non-structural building components such as walls, floors and roofs using wood or metal. Specialty Framer or Erector Contractor Provisional Framer or Erector Contractor Installation, repair and replacement of roof coverings, including roof deck insulation and nonstructural roof decking. Specialty Roofing Contractor Provisional Specialty Roofing Contractor Placement of brick, stone, block and other masonry products for building walls, structural or veneer, and for retaining walls requiring building permits; and installation, repair, and replacement of masonry fireplaces, hearths, and chimneys. Specialty Masonry Contractor Provisional Specialty Masonry Contractor Installation, maintenance, alteration and repair of fire sprinkler/suppression systems and related fire protection equipment. Specialty Fire Sprinkler Contractor Provisional Specialty Fire Sprinkler Contractor Installation, maintenance, alteration and repair of fire alarm systems and related fire protection equipment. Specialty Fire Alarm and Communication Contractor Provisional Fire Alarm and Communication Contractor Demolition and removal of buildings and structures. Specialty Demolition Contractor Provisional Specialty Demolition Contractor Installation, alteration and repair of permanent signs. Specialty Sign Contractor Provisional Specialty Sign Contractor Construction of sidewalks, driveways, curbs and gutters located in any city right-of-way. Specialty Right-of- Way Concrete Contractor Provisional Specialty Right-of-Way Concrete Contractor Installation and repair of permanent in-ground or above- ground swimming pools as defined by city code. Specialty Swimming Pool Contractor Provisional Specialty Swimming Pool Contractor (Ord. No. 09-10509, § 1, 8-10-09; Ord. No. 10-10565 § 2, 9-27-10) Sec. 8-177. Qualifications for provisional building contractor license. (a) In recognition of the experience–based qualifications of currently registered building contractors, until August 1, 2007, a registered building contractor may qualify once for a provisional building contractor license for no more than one (1), non-renewable term to expire December 31, 2010. In order to qualify for a provisional building contractor license, an applicant building contractor shall designate a qualified individual who is both associated with the applicant as an owner, officer, director, or employee and active in the building decisions of the building contractor. (b) The requirements for issuance of a provisional building contractor license, as summarized on the following Chart III, are: (1) The applicant for a Class A license shall have been registered as a contractor with the City of Salina for not less than five years and within the previous three years must have obtained three building permits from the City of Salina for the type of work within the license classification for which the provisional license is sought; (2) The applicant for a Class B license shall have been registered as a contractor with the City of Salina for not less than three years and within the previous three years must have obtained three building permits from the City of Salina for the type of work within the license classification for which the provisional license is sought; (3) The applicant for a Class C license shall have been registered as a contractor with the City of Salina for not less than two years and within the previous two years must have obtained two building permits from the City of Salina for the type of work within the license classification for which the provisional license is sought; and (4) The applicant for a specialty contractor license shall have been registered as a contractor with the City of Salina for not less than two years and within the previous two years must have completed three jobs of the type of work within the license classification for which the provisional license is sought. (c) In lieu of the requirements set forth in (1)-(4) above, the applicant may submit evidence to the Building Official which demonstrates equivalent full-time experience in planning, supervising, and undertaking the type of construction for the classification for which licensure is being sought. Denials of license approval by the Building Official may be appealed to the Building Advisory Board. (Ord. No. 04-10208, § 1, 10-11-04; Ord. No. 05-10257, § 4, 3-7-05; Ord. No. 06-10323, § 1, 4-2-07) Editor’s Notes: Ord. No. 04-10208 adopted § 8-177, formerly §§ 8-113, 8-202, and 8-292. Former § 8-177 pertaining to administrative authority was replaced by § 8-73. Sec. 8-177 formally pertained to exemptions from contracting or trade licensing. Sec. 8-178. Designated qualified individual for provisionally licensed building contractor. The designated qualified individual for a provisionally licensed building contractor shall: (1) Be the legal representative for the licensee relative to the provisions of this Article; (2) Satisfy the requirements of this Article; and (3) Not be the provisionally qualified individual for more than one licensee, but may be the designated qualified individual for multiple provisional building contractor licenses for the same licensee only. (Ord. 00-10005; Ord. 00-10011, § 3, 11-13-00; Ord. 02-10076, § 1, 4-22-02; Ord. 04-10208, § 1, 10-11-04; Ord. 06-10323, § 1 4-2-07) Editor’s Notes: Ord. No. 04-10208 adopted 8-178 formerly 8-58 and 8-517. 8-178 pertained to local amendments to the UPC. 8-178 formally pertained to insurance requirements for contractor licensing and registration. Sec. 8-179. Status of provisional building contractor and qualified individual. (a) The provisional building contractor license holder shall have all rights and responsibilities of a building contractor license holder of the same classification for so long as the provisional building contractor license remains in effect. (b) If the originally designated qualified individual for a provisional building contractor licensee becomes no longer associated with the licensee for any reason (the “date of disassociation”) the provisional building contractor license shall terminate and be of no further force or effect. The licensee shall immediately notify the city clerk in writing of the date of disassociation. The licensee shall not be allowed to substitute any other person as the designated qualified individual unless that individual is qualified in accordance with Section 8-175.1. No further permits or inspections shall be granted to the licensee from the date of disassociation until the licensee has designated a qualified individual in accordance with Section 8-173. If the licensee has not designated a qualified individual in accordance with Section 8-173 within thirty days after the date of disassociation, work on all permits previously issued to the licensee shall be suspended until the licensee has designated a qualified individual in accordance with Section 8-173. (Ord. No. 00-10011, § 3, 11-13-00; Ord. No. 06-10323, § 1, 4-2-07) Editor’s Notes: Ord. 04-10208 adopted 8-179, formerly 8-51 and 8-510. Former 8-179 pertained to local amendments to the UPC was replaced with 8-74 – 8-118. Sec. 8-179 formally pertained to license application being required. Sec. 8-180. Conversion of provisional building contractor license to building contractor license. The holder of a provisional building contractor license shall qualify for a building contractor license of the same classification if the qualified individual originally designated by the provisionally licensed building contractor completes the number of hours of continuing education related to the license classification as outlined in the following Chart III at any time during the term of the provisional license. The building official shall promulgate the regulations necessary to administer compliance with those continuing education requirements. Code 1966; Ord. 84-9012; Ord. 99-9953, § 1, 10-18-99; Ord. 01-10019, § 1, 1-22-01; Ord. 04-10208, § 1, 10-11-04; Ord. 06-10323, § 1, 4-2-07) Editor’s Notes: Ord. 04-10208 adopted 8-180, formerly 8-209.1 and 8-293. Former 8-180 pertained to local amendments to the UPC was replaced with 8-74 – 8-118. Sec. 8-181. Change in status of designated qualified individual. If the originally designated qualified individual who completed the continuing education requirements to qualify the provisional licensee as a licensed building contractor becomes no longer associated with the business entity for any reason (the “date of disassociation”), the same rules shall apply to that licensee as apply to any other building contractor licensee under Section 8-176. (Code 1966; Ord. 00-10005, § 1, 11-13-00; Ord. 00-10011, § 3, 11-13-00; Ord. 04-10208, § 1, 10-11-04; Ord. 06-10323, § 1, 4-2-07) Editor’s Notes: Ord. 04-10208 adopted 8-181 formerly 8-1, 8-53, 8-139, 8-208, and 8-513. 8-181 pertained to local amendments to the UPC was replaced with 8-74 – 8-118. 8-181 formally pertained to license fees. Sec. 8-182. Chart III – Requirements for provisional license and conversion to license. The following Chart III summarizes by category of building contractor license listed in Column A both the requirements for a provisional license in Column B and the continuing education required to convert a provisional building contractor license to the same category of building contractor license. Chart III Requirements for Provisional License and Conversion to Regular License Column A – Contractor Categories Column B – Requirements for Provisional License Column C-Continuing Education required of qualified individual to convert provisional license to same category of building contractor license Class A - General Contractor Registered contractor 5 years, 3 permits within 3 previous years 36 hours in 3 years Class B - General Contractor Registered contractor 3 years, 3 permits within 3 previous years 36 hours in 3 years Class C - General Contractor Registered contractor 2 years, 2 permits within 2 previous years 36 hours in 3 years Class D - Contractor/Owner N/A N/A Specialty Concrete Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Framer or Erector Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Roofing Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Masonry Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Fire Sprinkler Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Fire Alarm and Communication Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Demolition Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Sign Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Right-of-Way Concrete Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years Specialty Swimming Pool Contractor Currently registered with 2 years experience & 3 jobs completed 9 hours in 3 years (Code 1966; Ord. 00-10005, § 1, 11-13-00; Ord. 00-10011, § 3, 11-13-00; Ord. 01-10064, § 1, 11-19-01; Ord. 04-10208, § 1, 10-11-04) Editor’s Notes: Ord. 04-10208 adopted 8-182 formerly 8-2, 8-54, 8-59, 8-140, 8-141, 8-155, and 8-512. Former 8-182 pertained to local amendments to the UPC was replaced with §§ 8-74 – 8-118.