1 SB246
2 215971-2
3 By Senators Givhan, Roberts and Chesteen
4 RFD: Fiscal Responsibility and Economic Development
5 First Read: 22-FEB-22
Page 0 1 215971-2:n:02/08/2022:AHP/cmg LSA2021-2560R1
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8 SYNOPSIS: Existing law provides the Home Builders
9 Licensure Board with authority to adopt residential
10 building codes and standards of practices for
11 residential home builders within this state and
12 allows county commissions and municipalities to
13 adopt building laws and codes within their
14 respective jurisdictions.
15 This bill would create the Alabama
16 Residential Building Code Advisory Council to
17 recommend an Alabama Residential Building Code to
18 be based upon the International Residential Code
19 and the residential chapters of the International
20 Energy Conservation Code to be adopted by the Home
21 Builders Licensure Board.
22 This bill would require counties and
23 municipalities that enforce residential building
24 laws or codes to comply with the minimum standards
25 set by the Alabama Residential Building Code.
26 This bill would require residential home
27 builders in this state to build, renovate, and
Page 1 1 repair residences in accordance with the minimum
2 standards set by the Alabama Residential Building
3 Code.
4 This bill would establish the Alabama
5 Residential Building Code Division within the Home
6 Builders Licensure Board and provide for the
7 authority and jurisdiction of the division.
8 This bill would establish the Alabama
9 Residential Building Code Fund for use by the
10 Alabama Residential Building Code Division for
11 purposes of administrative operations and
12 implementation of the Alabama Residential Building
13 Code and assisting local governments in the
14 implementation and enforcement of a local building
15 code.
16 This bill would allow the Alabama
17 Residential Building Code Division to provide funds
18 for grants designed to promote residential building
19 code enforcement operations among local
20 jurisdictions.
21 This bill would also create the Alabama
22 Commercial Energy Code Board and provide for its
23 composition and authority.
24
25 A BILL
26 TO BE ENTITLED
27 AN ACT
Page 2 1
2 Relating to home building and home improvement; to
3 amend Sections 27-2-39, 34-14A-1, 34-14A-2, 34-14A-7,
4 34-14A-12, 34-14A-20, 41-23-80, 41-23-81, 41-23-82, 41-23-84,
5 and 41-23-85, Code of Alabama 1975; to provide for the
6 adoption of the Alabama Residential Building Code for use in
7 construction, renovation, or repair of residences; to
8 establish the Alabama Residential Building Code Division
9 within the Home Builders Licensure Board; to establish the
10 Alabama Residential Building Code Fund for certain uses; to
11 provide for the issuance of grant funds in certain cases; and
12 to create the Alabama Commercial Energy Code Board and provide
13 for its composition and authority.
14 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
15 Section 1. Sections 27-2-39, 34-14A-1, 34-14A-2,
16 34-14A-7, 34-14A-12, and 34-14A-20, Code of Alabama 1975, are
17 amended to read as follows:
18 "§27-2-39.
19 "(a) There is created a fund in the State Treasury
20 designated the "Insurance Department Fund" to be used for the
21 operation of the Department of Insurance. Receipts deposited
22 into this fund shall be disbursed only by warrants of the
23 state Comptroller drawn upon the State Treasury on itemized
24 vouchers approved by the Commissioner of Insurance. No funds
25 shall be withdrawn or expended except as budgeted and allotted
26 according to Sections 41-4-80 to 41-4-96, inclusive, and
27 41-19-1 to 41-19-12, inclusive, and only in amounts as
Page 3 1 stipulated in the general appropriations act, other
2 appropriation acts, or this section. At the end of each fiscal
3 year, any unencumbered and unexpended balance of up to 25
4 percent of the amount appropriated for that fiscal year shall
5 not revert to the State General Fund under Section 41-4-93,
6 but shall carry over to the next fiscal year.
7 "(b) Notwithstanding any other provision of law, the
8 Commissioner of Insurance shall promptly pay all sums, fees,
9 taxes, licenses, renewals, and other miscellaneous charges
10 collected pursuant to Sections 10-4-111, 27-2-16, 27-3-29,
11 27-4-2, 27-7-7, 27-8-1, 27-8-5, 27-13-5, 27-13-24, 27-13-62,
12 27-21A-21, 27-34-6, 27-34-36, 27-34-47, and 27-39-6, and
13 27-39-7, other than those fines, penalties, and deposit
14 requirements collected pursuant to Section 27-3-29, and other
15 than those fees collected pursuant to Chapter 8A of Title 27
16 for deposit into the Insurance Agents and Brokers Continuing
17 Education Fund, into the State Treasury with 50 45 percent
18 credited to the State General Fund, five percent credited to
19 the Alabama Residential Building Code Fund, and 50 percent
20 credited to the Insurance Department Fund.
21 "§34-14A-1.
22 "In the interest of the public health, safety,
23 welfare, and consumer protection and to regulate the home
24 building and private residence construction industry, the
25 purpose of this chapter, and the intent of the Legislature in
26 passing it, is to provide for the licensure of those persons
27 who engage in home building, private residence construction,
Page 4 1 and home improvement industries, including remodeling, and to
2 provide home building standards establish an Alabama
3 Residential Building Code, and to provide guidance,
4 assistance, and support to local jurisdictions in adopting
5 residential building codes and establishing residential
6 permitting and inspection programs, and to support education
7 within the construction trades and construction inspections in
8 the State of Alabama. The Legislature recognizes that the home
9 building and home improvement construction industries are
10 significant industries. Home builders may pose significant
11 Significant harm to the public may result from the provision
12 of when unqualified, incompetent, or dishonest home builders
13 and remodelers provide inadequate, unsafe, or inferior
14 building services by unqualified, incompetent, or dishonest
15 home builders and remodelers. The Legislature finds it
16 necessary to regulate the residential home building and home
17 improvement industries.
18 "§34-14A-2.
19 "As used in this chapter, the following terms shall
20 have the following meanings, respectively, unless the context
21 clearly indicates otherwise:
22 "(1) ADVERTISING. Engaging or offering to engage in
23 any acts or services as a residential home builder by the act
24 or practice of offering for sale professional services by
25 promoting those services through print, radio or television
26 media, on billboards, through social media, through
27 promotional sponsorships, on vehicles, by the placement of
Page 5 1 signs in front of ongoing or completed worksites, and by
2 displaying credentials, including licensure, to perform
3 residential homebuilding.
4 "(2) ALABAMA RESIDENTIAL BUILDING CODE. The code
5 adopted by the board, as amended by the board, and based on a
6 published edition of the International Residential Code, and
7 the residential chapters of a published edition of the
8 International Energy Conservation Code.
9 "(3) APPLICABLE RESIDENTIAL BUILDING CODE. The
10 Alabama Residential Building Code or a local residential
11 building code adopted by the county or municipality, pursuant
12 to this chapter, where the construction, renovation, or
13 repairs will take place.
14 "(1) ADVISORY COUNCIL. The Alabama Construction
15 Trade Advisory Council.
16 "(2)(4) BOARD. The Home Builders Licensure Board.
17 "(5) BUILDING INSPECTOR. Anyone who performs
18 inspections upon any structure governed by this chapter on
19 behalf of any local or state governing authority, or as a
20 private inspector as set forth in this chapter.
21 "(3)(6) COST OF THE UNDERTAKING. The total cost of
22 the materials, labor, supervision, overhead, and profit.
23 "(7) COUNCIL. The Alabama Residential Building Code
24 Advisory Council.
25 "(8) DIVISION. The Alabama Residential Building Code
26 Division.
Page 6 1 "(4)(9) HOMEOWNER. A person who owns and resides in
2 or intends to reside in a structure constructed or remodeled
3 by a licensee of the board, or who contracts with a licensee
4 for the purchase, construction, repair, improvement, or
5 reimprovement of a structure to be used as a residence.
6 "(5)(10) IMPROVEMENT. Any site-built addition or
7 enhancement attached to or detached from a residence or
8 structure for use and enjoyment by the homeowner.
9 "(6)(11) INACTIVE LICENSE. A license issued at the
10 request of a licensee, or a building official or a building
11 inspector, that is renewable, but that is not currently valid.
12 "(7)(12) LICENSE. Any license issued by the board
13 pursuant to this chapter.
14 "(8)(13) LICENSEE. A holder of any license issued
15 pursuant to this chapter.
16 "(9)(14) PERSON. Any natural person, limited or
17 general partnership, corporation, association, limited
18 liability company, or other legal entity, or any combination
19 thereof.
20 "(10)(15) QUALIFYING REPRESENTATIVE. The individual
21 designated by a general partnership, limited partnership,
22 corporation, limited liability company, or not-for-profit
23 organization applying for a license who either holds a license
24 individually or meets the experience and ability requirements
25 for licensure, and who is one of the following:
26 "a. A general partner in the case of any
27 partnership.
Page 7 1 "b. An officer in the case of a corporation.
2 "c. A member in the case of a member-managed limited
3 liability company.
4 "d. A manager in the case of a manager-managed
5 limited liability company.
6 "e. A natural person who is affiliated with one of
7 the member entities of the limited liability company and who,
8 as a natural person, has been identified and authorized
9 through the operating agreement to manage day-to-day
10 operations as it relates to operations of the limited
11 liability company for purposes of licensure.
12 "(11)(16) RESIDENCE. A single unit providing
13 complete independent residential living facilities for one or
14 more persons, including permanent provisions for living,
15 sleeping, eating, cooking, and sanitation.
16 "(12)(17) RESIDENTIAL HOME BUILDER. A person who
17 constructs a residence or structure for sale or who, for a
18 fixed price, commission, fee, or wage, undertakes or offers to
19 undertake the construction or superintending of the
20 construction, or who manages, supervises, assists, or provides
21 consultation to a homeowner regarding the construction or
22 superintending of the construction, of any residence or
23 structure that is not over three floors in height and that
24 does not have more than four residential units, or the repair,
25 improvement, or reimprovement thereof, to be used by another
26 as a residence when the cost of the undertaking exceeds ten
27 thousand dollars ($10,000). Notwithstanding the foregoing, the
Page 8 1 term includes a residential roofer when the cost of the
2 undertaking exceeds two thousand five hundred dollars
3 ($2,500). Nothing herein shall prevent any person from
4 performing these acts on his or her own residence or on his or
5 her other real estate holdings. Anyone who engages or offers
6 to engage in any acts described in this subdivision, through
7 advertising or otherwise, shall be deemed to have engaged in
8 the business of residential home building.
9 "(13)(18) RESIDENTIAL ROOFER. A person who installs
10 products or repairs surfaces on the external upper covering of
11 a residence or structure that seals, waterproofs, or
12 weatherproofs the residence or structure.
13 "(14)(19) STRUCTURE. A residence on a single lot,
14 including a site-built home, a condominium, a duplex, or
15 multi-unit residential building consisting of not more than
16 four residential units, or any improvement thereto.
17 "(15)(20) TRANSACTION. The act of entering into a
18 contract with a licensee to engage in the business of
19 residential home building.
20 "§34-14A-7.
21 "(a) Any residential home builder who desires to
22 receive a new or renewal license under this chapter shall make
23 and file with the board 30 days prior to the next meeting of
24 the board a written application on a form prescribed by the
25 board. Each applicant shall be a citizen of the United States
26 or, if not a citizen of the United States, a person who is
27 legally present in the United States with appropriate
Page 9 1 documentation from the federal government. Such application
2 shall be accompanied by the payment of the annual license fee
3 required by the board. After the board accepts the
4 application, the applicant may be examined by the board at its
5 next meeting. The board, in examining the applicant, shall
6 consider the following qualifications of the applicant:
7 "(1) Experience.
8 "(2) Ability.
9 "(3) Character.
10 "(4) Business-related financial condition.
11 "a. The board may require a financial statement on a
12 form prescribed by the board and a public records search
13 directly from a credit reporting agency.
14 "b. The board may require a positive net worth or
15 other evidence of business-related financial condition
16 sufficient to reasonably satisfy the board of the applicant's
17 financial responsibility.
18 "c. The board may require that business-related
19 judgments, judgment liens, and other perfected liens must be
20 satisfied and released.
21 "d. Any information obtained by the board pursuant
22 to this subsection relating to the financial condition of an
23 applicant shall not be public information.
24 "(5) Ability and willingness to serve the public and
25 conserve the public health and safety.
26 "(6) Any other pertinent information the board may
27 require.
Page 10 1 "(b)(1) If the board finds the applicant qualified
2 to engage in residential home building in Alabama, the
3 applicant shall be issued a license. An applicant rejected by
4 the board shall be given an opportunity to be reexamined after
5 a new application has been filed and an additional application
6 fee paid.
7 "(2) A record shall be made and preserved by the
8 board of each examination and the findings of the board
9 pertaining to the examination. A copy of the record shall be
10 made available to any applicant requesting it upon the payment
11 of a reasonable fee to the board.
12 "(c) The board, by rule, may require proof of and
13 maintenance of insurance as a qualification for licensure.
14 "(d) The board, by rule, may establish or adopt, or
15 both, education requirements and may approve, administer, or
16 financially support the program or programs providing
17 residential construction education.
18 "(e)(1) Each licensee shall notify the board within
19 10 days after notice of the institution of any criminal
20 prosecution against him or her. The notification shall be in
21 writing, by certified mail, and shall include a copy of the
22 specific charge made together with a copy of the indictment,
23 information, or complaint, affidavit, and warrant making the
24 charges.
25 "(2) Each licensee shall notify the board in writing
26 by certified mail within 10 days after he or she receives the
27 notice that any criminal verdict has been rendered against him
Page 11 1 or her, or that a criminal action pending against him or her
2 has been dismissed.
3 "(f) Each licensee shall utilize a valid written
4 contract when engaging in the business of residential home
5 building.
6 "(g) Each licensee shall include a valid license
7 number issued by the board on all valid written contracts and
8 in any advertising.
9 "(g)(h) When any residential home building to be
10 performed will comply with a program designed to enhance the
11 resiliency of the structure beyond the requirements of the
12 applicable building codes, the licensee shall disclose this
13 compliance to the homeowner in writing prior to the
14 commencement of the residential home building.
15 "(h)(1)(i)(1) Any licensee who desires to receive an
16 inactive license shall make and file with the board a written
17 application for an inactive license on a form prescribed by
18 the board prior to the expiration of his or her current
19 license. The application shall be accompanied by the payment
20 of the annual inactive license fee required by the board. No
21 act for which a license is required may be performed under an
22 inactive license. In the event a person holding a current
23 inactive license applies for a license, he or she may rely
24 upon his or her inactive license as evidence of the experience
25 and ability requirements for licensure under subdivisions (1)
26 and (2) of subsection (a).
Page 12 1 "(2) A person holding an expired license who seeks
2 to reactivate his or her license within three years of the
3 date of expiration shall be deemed to have satisfied the
4 experience and ability requirements for licensure if
5 application is made within the three-year time period and all
6 other licensing requirements pursuant to subsection (a) have
7 been met.
8 "(3) Any building official or building inspector who
9 desires to receive an inactive license shall make and file
10 with the board 30 days prior to the next meeting of the board
11 a written application for an inactive license on a form
12 prescribed by the board. After the board accepts the
13 application, the applicant may be examined by the board at its
14 next board meeting. The board, in examining the applicant,
15 shall consider the following qualifications of the applicant
16 as satisfying the experience and ability requirements for
17 licensure:
18 "a. That the building inspector is an employee of
19 the United States, the State of Alabama, or any municipality,
20 county, or other political subdivision and, by virtue of that
21 employment, is exempted or prohibited by law from holding a
22 license; and
23 "b. That the building inspector does any of the
24 following:
25 "1. Maintains current certification from the
26 Southern Building Code Congress International as one of the
27 following:
Page 13 1 "(i) Chief building official.
2 "(ii) Deputy building official.
3 "(iii) Building inspector.
4 "(iv) Housing inspector.
5 "(v) Design professional.
6 "(vi) Plan reviewer.
7 "2. Maintains current certification from the
8 International Code Council as one of the following:
9 "(i) Certified building official.
10 "(ii) Building inspector.
11 "(iii) Residential building inspector.
12 "(iv) Property maintenance and housing inspector.
13 "(v) Building plans examiner.
14 "(vi) Design professional.
15 "3. Possesses sufficient building qualifications and
16 experience to receive a license, as demonstrated by
17 satisfactory evidence presented to the board.
18 "(4) In the event a building official or building
19 inspector holding a current inactive license applies for a
20 license, he or she may rely upon his or her inactive license
21 as evidence of the experience and ability requirements for
22 licensure under subdivisions (1) and (2) of subsection (a).
23 "§34-14A-12.
24 "(a) The board may establish or adopt residential
25 building codes and standards of practice for residential home
26 builders within the state. A residential building code or
27 standard of practice adopted or established by the board does
Page 14 1 not supersede or otherwise exempt residential home builders
2 from a local building law or code adopted by the governing
3 body of a county or municipality or from a local or general
4 law.
5 "(a)(1) The board shall adopt the Alabama
6 Residential Building Code based on the International
7 Residential Building Code. The code shall be enforced by local
8 jurisdictions that have permitting and inspection programs for
9 residential construction, renovation, or repairs and adhered
10 to by residential home builders. The Alabama Residential
11 Building Code shall not supersede any local residential
12 building code adopted by any county or municipality in effect
13 at the time the local residential building code is adopted.
14 Provided however, any local building code adopted or amended
15 by any county or municipality after the effective date of this
16 act shall meet the minimum standards of the Alabama
17 Residential Building Code in effect at the time of the local
18 building code adoption or amendment.
19 "(2) This section shall be the sole statewide
20 statutory authority governing residential construction within
21 this state.
22 "(3) The Alabama Residential Building Code shall not
23 apply to any agricultural building except for any residence
24 contained therein.
25 "(b)(1) Beginning January 1, 2027, a residential
26 home builder within this state who constructs, renovates, or
27 repairs a residence or structure, shall do so in accordance
Page 15 1 with the minimum standards set forth in the applicable
2 residential building code.
3 (2) For those residences subject to a mortgage, at
4 time of completion, the mortgagor shall submit to the lender
5 the permit, all inspection reports, and any required
6 certificate of occupancy as proof that the inspections
7 required by the applicable residential building code have been
8 conducted. Nothing herein shall impose any duty or obligation
9 upon a lender to obtain permits and inspection reports, impose
10 liability of any type upon a lender who does or does not
11 obtain permits or inspection reports, or limit the
12 enforceability of the lender's mortgage.
13 "(b)(c) The county commissions of the several
14 counties may adopt building laws and codes by ordinance which
15 shall apply in the unincorporated areas of the county. The
16 building laws and codes of the county commission shall not
17 apply within any municipal police jurisdiction, in which that
18 municipality is exercising its building laws or codes, without
19 the express consent of the governing body of that
20 municipality. The building laws and codes of the county
21 commission may apply within the corporate limits of any
22 municipality with the express consent of the governing body of
23 the municipality. The county commission may employ building
24 inspectors to see that its laws or codes are not violated and
25 that the plans and specifications for buildings are not in
26 conflict with the ordinances of the county and may exact fees
27 to be paid by the owners of the property inspected.
Page 16 1 "(c)(d) Utilizing the same authority and procedures
2 as municipalities pursuant to Sections 11-53A-20 to 11-53A-26,
3 inclusive, the county commission may condemn buildings, parts
4 of buildings, or structures dangerous to the public and
5 prohibit the use thereof and abate the same as a nuisance.
6 "(d)(e) The county commissions, municipalities, and
7 other public entities may enter into mutual agreements,
8 compacts, and contracts for the administration and enforcement
9 of their respective building laws and codes.
10 "(f) Nothing in this section shall be construed to
11 restrict the power of any county or municipality to adopt and
12 enforce local building laws or codes that either comply with
13 or exceed the minimum standards so long as adopted or amended
14 as set forth in this chapter.
15 "§34-14A-20.
16 "(a) The Alabama Construction Trade Academy Fund is
17 established in the State Treasury. The fund shall be comprised
18 of federal, state, and private funding through direct
19 budgetary funding and grants for the expansion of construction
20 trade education. To the extent practicable, monies in the fund
21 shall be used to leverage other forms of funding from private
22 sources. A percentage of matching funds, as established by the
23 advisory council, must come from private, non-governmental
24 sources. The board may not use more than 15 percent of the
25 monies in the fund for administrative and operational costs
26 incurred in the implementation and administration of this
27 section.
Page 17 1 "(b) The board, in cooperation with public and
2 private sector partners, shall establish a program to provide
3 funding mechanisms for tool grants, program incentives,
4 supplies, mobile facilities, and other programs to support the
5 development and continuation of construction trade education
6 programs in the state.
7 "(c) The board shall administer the program and
8 shall may apply for funds from federal grant programs and
9 other applicable funding sources authorized by law.
10 "(d)(1) The Alabama Construction Trade Advisory
11 Council is established. The advisory council shall consist of
12 the following members:
13 "a. One member appointed by and currently serving on
14 the Home Builders Licensure Board.
15 "b. One member appointed by and currently serving on
16 the State of Alabama Plumbers and Gas Fitters Examining Board.
17 "c. One member appointed by and currently serving on
18 the Licensing Board for General Contractors.
19 "d. One member appointed by and currently serving on
20 the State Board of Heating, Air Conditioning, and
21 Refrigeration Contractors.
22 "e. One member appointed by and currently serving on
23 the Alabama Board of Electrical Contractors.
24 "f. One appointee of the State Department of
25 Education who specializes in technical trade education.
26 "g. One appointee of the Alabama Community College
27 System who specializes in technical trade education.
Page 18 1 "(2) Members of the advisory council shall be
2 appointed for a period of one year. Membership on the advisory
3 council shall be without compensation, except for
4 reimbursement of necessary travel expenses as is paid to state
5 employees for attending meetings and other necessary events of
6 the advisory council. Any expenses paid to a member of the
7 advisory council shall be paid by the member's appointing
8 authority.
9 "(e) The advisory council shall make recommendations
10 to the board, and the board shall establish program
11 guidelines, promote the program statewide, evaluate
12 applications for funds, distribute funds, and monitor and
13 report the effect of the funding on the availability of
14 construction trade education. The board may adopt rules to
15 implement and administer this section.
16 "(f) The advisory council shall recommend and the
17 board shall establish monitoring and accountability mechanisms
18 for projects receiving funding. Not later than the fifth
19 legislative day of each regular legislative session, the board
20 shall file a report to the Legislature on the projects funded,
21 the geographic distribution of projects funded, the private
22 sector participation rates in funded projects, the
23 administrative costs of the program, and the outcomes of the
24 program, including the number of students and adult learners
25 trained by each project funded through the program.
26 "(g) The advisory council shall recommend and the
27 board shall create eligibility guidelines and provide project
Page 19 1 funding through an application process. Projects eligible for
2 funding include the following:
3 "(1) Mobile demonstration units that show the
4 various systems of a structure and how they interconnect.
5 "(2) Tool and supply grants for public and private
6 educational providers that provide construction trade
7 education.
8 "(3) Incentives for newly established construction
9 trade education courses, with priority given to carpentry
10 courses.
11 "(4) Adult education initiatives that provide
12 continued learning opportunities through mobile training
13 facilities or distance learning opportunities with priority
14 focus on those serving underserved areas and widely offered
15 trainings.
16 "(5) Any other proposal that in the opinion of the
17 board would address the need for construction trade education
18 in the state.
19 "(h) An applicant may be a nonprofit organization,
20 not-for-profit entity, public school system, two-year college,
21 university, or other governmental entity. An applicant for
22 funding shall do all of the following:
23 "(1) Demonstrate its capacity to successfully
24 implement the proposal.
25 "(2) Demonstrate how the proposal shall positively
26 impact construction trade education in the state.
Page 20 1 "(3) Demonstrate private sector support through
2 matching funding.
3 "(4) Establish an advisory council consisting of at
4 least three active trade representatives from the construction
5 trade being funded.
6 "(5) For a period of not less than five years, agree
7 to comply with the following conditions:
8 "a. Offer the courses funded through this section
9 for a period of not less than five years.
10 "b. Comply with all data collection and reporting
11 requirements established by the board.
12 "(i) In determining which qualified projects to
13 fund, the board shall consider all of the following factors:
14 "(1) The level of private sector support for the
15 project.
16 "(2) The level of need in the area in which the
17 funding is directed.
18 "(3) The projected number of students that will be
19 served.
20 "(4) The degree to which the project will have a
21 positive impact on the availability of construction trade
22 education in the area to be served.
23 "(5) The degree to which the project will leverage
24 public and private sector funds.
25 "(j) The board shall establish program guidelines
26 that require matching funds on all funded projects. A minimum
27 of 10 percent of matching funds shall be provided by private,
Page 21 1 non-governmental sources. Total matching funds required may
2 not be required to exceed 25 percent of awarded state funds,
3 although additional consideration may be provided to projects
4 that exceed this amount.
5 "(k) In the event that a recipient of funding
6 provided by this section fails to provide the proposed project
7 in accordance with the guidelines set forth by the board, any
8 equipment, supplies, or materials acquired with the funding
9 shall be transferred to the Alabama Home Builders Foundation
10 for redistribution to public or private programs that provide
11 construction trade education to high school, postsecondary, or
12 adult learners supported by this section.
13 "(l) Any and all proceeds from the sale of
14 equipment, supplies, or materials acquired through academy
15 funding shall go into the fund."
16 Section 2. (a) The Alabama Residential Building Code
17 Division is established within the Home Builders Licensure
18 Board. The executive director of the board may employ staff as
19 necessary for this division pursuant to Section 34-14A-4. The
20 board and the division's statutory administration and
21 enforcement obligations pursuant to this chapter shall be
22 contingent upon the appropriation of funding.
23 (b) The division shall be responsible for taking
24 action upon any and all recommendations made by the Alabama
25 Residential Building Code Advisory Council and ratified by the
26 board for the furtherance of its statutory purpose.
Page 22 1 (c) The funds allocated to the Alabama Residential
2 Building Code Fund may be used by the division for purposes of
3 the administration and enforcement of the Alabama Residential
4 Building Code in those areas where a municipality or county
5 does not permit or license residential construction,
6 renovation, or repair, including, but not limited to, the
7 following:
8 (1) Hiring staff, including, but not limited to, the
9 following:
10 a. The division administrator.
11 b. Programs support personnel.
12 c. Administrative support personnel.
13 d. Any other personnel as identified by the board or
14 executive director to carry out the statutory purpose of the
15 division for the administration, implementation, and
16 enforcement of the Alabama Residential Building Code.
17 (2) Providing incentives to encourage local
18 residential building code adoption and enforcement, including,
19 but not limited to, assisting with the development of local
20 government cooperatives for the permitting, inspection, and
21 enforcement of a residential building code in the respective
22 jurisdiction.
23 (3) Providing standards and certification
24 requirements for private fee-based code inspectors, who would
25 perform the required inspections in those local jurisdictions
26 that have not implemented a residential building permit and
27 inspection program. For those structures located outside of
Page 23 1 any local jurisdiction that exercises its authority to adopt
2 and enforce a local building code, if the inspection has not
3 been conducted, construction may resume on the beginning of
4 the following third business day after a home builder has
5 requested an inspection. The board shall establish a process
6 of documentation, which may include a self-reporting form,
7 electronic verification, photographic/video verification, or
8 any other method the board may deem appropriate, that the
9 builder shall perform prior to resumption of construction of
10 those structures.
11 (d) The division may apply for funds from federal
12 grant programs and other applicable funding sources authorized
13 by law in order to support local adoption and implementation
14 of the Alabama Residential Building Code. The division may
15 also partner with other state agencies to receive and
16 distribute additional funds that may become available for this
17 purpose.
18 (e) The division shall work with the State Energy
19 Office to ensure that all applicable federal regulations
20 regarding the residential energy code are met.
21 Section 3. The Alabama Residential Building Code
22 Fund is established within the State Treasury for the use of
23 the division. Receipts deposited into the fund shall be
24 disbursed only by warrants of the state Comptroller drawn upon
25 the State Treasury on itemized vouchers approved by the
26 Executive Director of the board. No funds shall be withdrawn
27 or expended except as budgeted and allotted according to
Page 24 1 Sections 41-4-80 to 41-4-96, Code of Alabama 1975, inclusive,
2 and 41-19-1 to 41-19-12, Code of Alabama 1975, inclusive, and
3 only in amounts as stipulated in the general appropriations
4 act, other appropriation acts, or this section. At the end of
5 each fiscal year, any unencumbered balance of up to 25 percent
6 of the amount appropriated for that fiscal year shall not
7 revert to the State General Fund under Section 41-4-93, Code
8 of Alabama 1975, but shall carry over to the next fiscal year
9 within the Alabama Residential Building Code Fund, and any
10 unencumbered balance over 25 percent of the amount
11 appropriated for that fiscal year shall be transferred to the
12 Strengthen Alabama Homes Fund.
13 Section 4. (a) The Alabama Residential Building Code
14 Advisory Council is established. Upon the request of the Home
15 Builders Licensure Board, the council shall submit a proposed
16 minimum statewide residential building code to the board for
17 consideration. The board may adopt or amend the proposed
18 minimum statewide residential building code prior to adoption.
19 The proposed minimum statewide residential building code
20 submitted for consideration and adoption shall be based upon a
21 published edition of the Alabama Energy and Residential Code
22 as adopted and amended from the International Residential Code
23 (IRC) and the International Energy Conservation Code (IECC).
24 Subsequent recommendations for adoptions or amendments to the
25 Alabama Residential Building Code shall be based upon
26 published editions of the IRC and IECC. Consideration shall
27 also be given to provisions for sealed roof decks and related
Page 25 1 roof construction standards contained in either the Coastal
2 Construction Code Supplement or the Inland Construction Code
3 Supplement as well as standards related to energy efficiency
4 pertaining to residential construction. The council shall make
5 recommendations with respect to all matters pertaining to the
6 implementation of the Alabama Residential Building Code. When
7 adopted by the board, recommendations of the council shall be
8 administered by the division.
9 (b)(1) The council shall consist of 13 members
10 appointed as provided plus the Commissioner of Insurance or
11 his or her designee, the State Fire Marshal or his or her
12 designee, the Director of the Emergency Management Agency or
13 his or her designee, and the Executive Director of the Home
14 Builders Licensure Board or his or her designee. Thirteen
15 members shall be appointed as follows:
16 a. One member shall be appointed by the Home
17 Builders Licensure Board.
18 b. One member shall be appointed by the State Board
19 of Heating, Air Conditioning, and Refrigeration Contractors.
20 c. One member shall be appointed by the Governor to
21 represent the private, investor-owned, electric utility
22 industry.
23 d. One member shall be appointed by the Lieutenant
24 Governor to represent the natural gas industry.
25 e. One member shall be appointed by the American
26 Council of Engineering Companies of Alabama.
Page 26 1 f. One member shall be appointed by the Alabama
2 League of Municipalities.
3 g. One member shall be appointed by the Association
4 of County Commissions of Alabama.
5 h. One member shall be appointed by the Alabama
6 Council of the American Institute of Architects.
7 i. One member shall be appointed by the Home
8 Builders Association of Alabama.
9 j. One member shall be appointed by the Code
10 Officials Association of Alabama.
11 k. One member shall be appointed by the Commissioner
12 of Insurance to represent the property and casualty insurance
13 industry.
14 l. One member shall be appointed by the State of
15 Alabama Plumbers and Gas Fitters Examining Board.
16 m. One member shall be appointed by the Alabama
17 Rural Electric Association of Cooperatives to represent the
18 rural electric cooperative industry.
19 (2) The membership of the council shall be inclusive
20 and reflect the racial, gender, geographic, cultural, and
21 economic diversity of the state.
22 (3) Each of the appointed members of the council
23 shall be appointed for a five-year term, the term to begin on
24 September 30, 2022, and may be reappointed for a second
25 five-year term pursuant to the appointing authority.
26 (c)(1) The first meeting of the council shall be
27 called by the executive director of the board no later than
Page 27 1 November 1, 2022. The executive director shall preside until a
2 chair and a vice chair are selected by the council. The
3 council shall elect annually from its own members a chair, a
4 vice chair, and other officers as it may deem desirable.
5 (2) The council shall hold meetings as requested by
6 the board for consideration of code updates. Meetings shall be
7 held at a time and place as designated or specified in its
8 rules.
9 (3) A majority of the members of the council shall
10 constitute a quorum at all of its meetings, and adoption or
11 resolution of any business shall require the concurrence of a
12 majority of all the members of the council. An agenda for the
13 meetings in sufficient detail to indicate the terms on which
14 final action is contemplated shall be submitted by the
15 administrator to the chair, vice chair, and council members
16 prior to the meeting.
17 (4) All meetings of the council shall be held in
18 accordance with the Alabama Open Meetings Act, Chapter 25A of
19 Title 36.
20 (d) The administrator of the division shall serve as
21 ex officio secretary of the council, keep a record of the
22 proceedings of all council meetings, and shall perform such
23 other duties as may be directed by the council.
24 (e) The council may establish committees among its
25 membership, as it deems necessary, to assist in the conduct of
26 its business.
Page 28 1 (f) At the direction of the board, the council shall
2 do the following:
3 (1) Propose to the board for consideration of
4 adoption of an Alabama Residential Building Code.
5 (2) Evaluate, assess, advise, and counsel the
6 division and the units of local government on the Alabama
7 Residential Building Code and the impact of the code upon the
8 economy and the environment.
9 (3) Solicit and enlist the cooperation of all
10 appropriate private-sector and community-based organizations
11 to implement this section.
12 (4) Make continuing studies, evaluations, and
13 surveys, upon the request of the board, of the needs and
14 impacts of the Alabama Residential Building Code to the units
15 of local government, industry, and consumers as may result
16 from its studies.
17 (5) Submit to the board, on an annual basis, a
18 written report covering the activities of the council to
19 include annual data of residential construction and permitting
20 and inspection activity.
21 (6) Adopt rules for the conduct of the council
22 meetings, procedures, and execution of the purpose, functions,
23 powers, and duties delegated to it by this section.
24 (7) Conduct a program of public information in order
25 to inform the units of local government, residential home
26 builders, and the residents of the state on the importance of
27 the residential building code.
Page 29 1 (8) Recommend to the board qualifications and
2 certification for third party fee-based code inspectors.
3 Section 5. Neither the council or any municipal,
4 county, or state governing entity or agency may enact or adopt
5 an ordinance, rule, bylaw, order, building code, or other
6 legal device that restricts a consumer's ability to elect to
7 install, by the consumer's choice and for a fee, a residential
8 fire sprinkler system in any residence. The board, any
9 municipal, county, or state governing entity or agency may not
10 enact or adopt an ordinance, rule, bylaw, order, building
11 code, or other legal device that would require the
12 installation of a residential fire sprinkler system in any
13 residence. A municipality that enacted or adopted any
14 ordinance, rule, bylaw, order, building code, or other legal
15 device on or before March 9, 2010, relating to the
16 installation of a residential fire sprinkler system may
17 continue to enforce or amend such ordinance, rule, bylaw,
18 order, building code, or other legal device.
19 Section 6. Sections 41-23-80, 41-23-81, 41-23-82,
20 41-23-84, and 41-23-85, Code of Alabama 1975, are amended to
21 read as follows:
22 "§41-23-80.
23 "The Legislature finds that the development,
24 management, efficient consumption, and conservation of
25 residential energy resources are of prime importance
26 throughout this state and this nation. It is also important to
27 ensure the protection of the economic and environmental values
Page 30 1 of Alabama's citizens residents. It is the intent of the
2 Legislature to do each of the following pursuant to this
3 article:
4 "(1) Encourage the conservation and efficient use of
5 residential energy resources within this state's counties and
6 municipalities.
7 "(2) Provide a governmental environment that will
8 promote an initiative for the implementation of the Alabama
9 Energy and Residential Codes Alabama Commercial Energy Code by
10 the units of local government.
11 "(3) Advise and assist the units of local government
12 in adopting the Alabama Energy and Residential Codes Alabama
13 Commercial Energy Code and implementing those code provisions
14 within their boundaries.
15 "(4) Promote the identification of energy management
16 technologies available for residential commercial uses, and to
17 disseminate information to the units of local government about
18 such technologies and their uses.
19 "(5) Promote the acceptance and adoption of those
20 energy management technologies for use in all energy-consuming
21 residential commercial facilities throughout this state.
22 "(6) Provide a process for the adoption of modern
23 building and energy codes by the State of Alabama.
24 "(7) Provide a process by which the State of Alabama
25 shall adopt required commercial codes in compliance with
26 federal law.
27 "§41-23-81.
Page 31 1 "The following terms shall have the meanings
2 respectively prescribed for them, except when the context
3 otherwise requires:
4 "(1) ALABAMA ENERGY AND RESIDENTIAL CODES ALABAMA
5 COMMERCIAL ENERGY CODE. The codes adopted by the board, as
6 amended by the board, and based on the 2006 Edition of the
7 International Energy Conservation Code, and ANSI/ASHRAE/IESNA
8 Standard 90.1-2007 for commercial buildings, and the 2006
9 International Residential Code published by the International
10 Code Council, or any subsequent editions, changes, or
11 recompilations thereof, or any other code which the board
12 officially adopts.
13 "(2) BOARD. The Alabama Energy and Residential Codes
14 Commercial Energy Code Board created by this article.
15 "(3) DEPARTMENT. The Alabama Department of Economic
16 and Community Affairs.
17 "(4) DIVISION. The Energy Division of the Alabama
18 Department of Economic and Community Affairs.
19 "(5) UNIT OF LOCAL GOVERNMENT. Any county or
20 municipality within the State of Alabama.
21 "§41-23-82.
22 "(a) The Alabama Energy and Residential Codes
23 Commercial Energy Code Board is established.
24 "(b) The board shall consist of 15 13 members
25 appointed by the Governor and two additional members, numbered
26 16 14 and 17 15, appointed by the Chair of the Permanent Joint
27 Legislative Committee on Energy Policy. The members appointed
Page 32 1 by the Governor shall be legal residents of the state, and
2 shall be selected on the basis of their representation of the
3 following organizations, industries, entities, and
4 professions:
5 "(1) One member shall represent the Home Builders
6 Association.
7 "(2)(1) One member shall represent the Board of
8 General Contractors.
9 "(3)(2) One member shall represent the State Board
10 of Heating, Air Conditioning, and Refrigeration.
11 "(4)(3) One member shall represent the private,
12 investor-owned, electric utility industry.
13 "(5)(4) One member shall represent the rural
14 electric cooperative industry.
15 "(6)(5) One member shall represent the natural gas
16 industry.
17 "(7)(6) One member shall be a licensed professional
18 engineer.
19 "(8)(7) One member shall represent municipalities.
20 "(9)(8) One member shall represent county
21 governments.
22 "(10)(9) One member shall represent the Alabama
23 Council, American Institute of Architects.
24 "(11)(10) One member shall represent the Alabama
25 Liquefied Petroleum Gas Board.
Page 33 1 "(12)(11) One member shall represent the
2 International Code Council (ICC) Alabama Chapter, Code
3 Officials Association of Alabama.
4 "(13) One member shall represent the Home Builders
5 Licensure Board.
6 "(14)(12) One member shall represent the Alabama
7 Joint Fire Council.
8 "(15)(13) One member shall represent the Property
9 and Casualty Insurance Industry.
10 "(16)(14) One member shall be a Senate member of the
11 Permanent Joint Legislative Committee on Energy Policy
12 selected by the chair of the committee.
13 "(17)(15) One member shall be a House of
14 Representatives member of the Permanent Joint Legislative
15 Committee on Energy Policy selected by the chair of the
16 committee.
17 "(c) Each member appointed by the Governor shall be
18 selected from a list of three candidates provided to the
19 Governor by the division from each entity listed above. Board
20 appointees shall be selected on the basis of their interest in
21 problems concerning residential commercial energy resources,
22 consumption, and conservation, and without regard to political
23 affiliation. Appointments shall be of such a nature as to aid
24 the work of the board and to inspire the highest degree of
25 coordination and cooperation. All members of the board shall
26 be deemed members at-large charged with the responsibility of
27 serving the best interests of the board, the division, the
Page 34 1 units of local government, and the state. No member shall act
2 as the representative of any particular region, United States
3 congressional district in Alabama, or state Senate or
4 legislative district in Alabama.
5 "(d) The board shall exercise authority with respect
6 to all matters pertaining to the acceptance, adoption, and
7 implementation of the Alabama Energy and Residential Codes
8 Commercial Energy Code by the State of Alabama. Decisions of
9 the board shall be administered by the chief of the division
10 with the assistance of such other officers and department
11 employees as are deemed necessary to carry out the purpose,
12 functions, duties, and activities of the board.
13 "(e) The membership of the board shall be inclusive
14 and should reflect the racial, gender, geographic,
15 urban/rural, and economic diversity of the state.
16 "(f) This article shall not apply to the erection or
17 construction of a farm structure. The term farm structure, for
18 the purposes of this act, means a structure that is
19 constructed on a farm, other than a residence or a structure
20 attached to it, for use on the farm including, but not limited
21 to, barns, sheds, and poultry houses. A farm structure does
22 not include a structure originally qualifying as a farm
23 structure but later converted to another use.
24 "§41-23-84.
25 "(a) The first meeting of the board shall be called
26 by the chief of the division as soon as is practicable after
27 July 31, 1995. The division chief shall preside until a chair
Page 35 1 and a vice chair are selected by the board. The board shall
2 elect annually from its own members a chair, a vice chair, and
3 such other officers as it may deem desirable, and shall adopt
4 rules for its organization in the conduct of its business.
5 "(b) The board shall hold a regular meeting at least
6 once during each calendar year at a time and place as
7 designated or specified in its rules. Special or additional
8 meetings may be held on a call of the chair, upon a call
9 signed by at least seven members, or upon a call by the
10 division chief.
11 "(c) A majority of the members of the board shall
12 constitute a quorum at all its meetings, and adoption or
13 resolution of any business shall require the concurrence of a
14 majority of all the members of the board. An agenda for the
15 meetings in sufficient detail to indicate the terms on which
16 final action is contemplated shall be mailed provided by the
17 division chief to the chair, vice chair, and board members at
18 least 30 days prior to the meeting.
19 "(d) The division chief shall serve as ex officio
20 secretary of the board, shall keep a record of the proceedings
21 of all board meetings, and perform such other duties as may be
22 delegated by the board. The division chief shall not receive
23 any additional compensation for the performance of those
24 duties on the board or pursuant to this article.
25 "(e) The board may establish committees among its
26 membership, as it deems necessary, to assist in the conduct of
27 its business. Subcommittees shall include representation from
Page 36 1 suppliers or others interested in the subject matter assigned
2 to the subcommittees, or both.
3 "(f) All meetings of the board shall be held in
4 accordance with the Alabama Open Meetings Act, Chapter 25A of
5 Title 36.
6 "§41-23-85.
7 "(a) The board shall exercise authority with respect
8 to all matters pertaining to the acceptance and adoption, and
9 implementation of the Alabama Energy and Residential Codes
10 Commercial Energy Code by the State of Alabama. In so doing,
11 the board may perform any of the following functions:
12 "(1) Review, amend, and adopt the Alabama Energy and
13 Residential Codes Commercial Energy Code. The board shall
14 consider updates and changes to the codes referenced herein no
15 less than two years after the date of publication of the most
16 recent version of the codes.
17 "(2) Evaluate, assess, advise, and counsel the
18 division and the units of local government, on residential
19 energy codes and the impact of those codes upon the economy
20 and the environment.
21 "(3) Solicit and enlist the cooperation of all
22 appropriate private-sector and community-based organizations
23 to implement the purpose of this article.
24 "(4) Make recommendations to the division for the
25 enactment of additional legislation as it deems necessary
26 which proposes to further enhance the capabilities of the
27 state and the units of local government in accepting,
Page 37 1 adopting, and implementing the Alabama Energy and Residential
2 Codes Commercial Energy Code, and in meeting the need for
3 increasing residential energy resources and conservation due
4 to trends in residential population and the change in
5 technical requirements of the economy.
6 "(5) Make continuing studies, on its own initiative
7 or upon the request of the division, of the residential energy
8 resources, conservation, and consumption needs throughout the
9 state, and issue those reports to the division and to the
10 units of local government as may result from its studies.
11 "(6) Submit to the chief of the division, on an
12 annual basis, a written report covering the activities of the
13 board.
14 "(7) Make rules and regulations for the conduct of
15 its board meetings, procedures, and execution of the purpose,
16 functions, powers, and duties delegated to it by this article.
17 "(8) Conduct a program of public information in
18 order to inform the units of local government and the citizens
19 residents of the state on the importance of residential and
20 commercial energy codes, conservation, and consumption.
21 "(9) Identify any and all resources needed or
22 required for the board to implement the purpose, functions,
23 powers, and duties of this article.
24 "(b) The division shall be responsible for taking
25 action upon any and all recommendations to which the board may
26 from time to time submit.
Page 38 1 "(c)(1) Except as provided in this section, any code
2 adopted by any state or county entity or agency after March 9,
3 2010, shall not conflict with the codes adopted by the board.
4 A county entity or agency may elect to amend the Alabama
5 Energy and Residential Codes Commercial Energy Code as local
6 conditions require, but shall not make any amendment to
7 mandate residential fire sprinklers or to provisions which are
8 mandated or required by any federal law or federal regulation.
9 "(2) As of March 9, 2010, any municipality which
10 does not have a code in effect adopted pursuant to Section
11 11-45-8 shall not adopt any energy or residential code other
12 than the Alabama Energy and Residential Codes adopted by the
13 board or any newer versions thereof. Provided, however, a
14 municipality may elect to amend the Alabama Energy and
15 Residential Codes Commercial Energy Code as local conditions
16 require, but shall not make any amendment to mandate
17 residential fire sprinklers or to provisions which are
18 mandated or required by any federal law or federal regulation.
19 "(3) Except as provided in subsection (d), nothing
20 contained in this article shall apply to any municipality with
21 a code adopted pursuant to Section 11-45-8 in effect as of
22 March 9, 2010, nor shall it prevent any such municipality from
23 making any changes or amendments to existing codes after March
24 9, 2010. Provided, however, that a municipality shall not make
25 any amendment to provisions which are mandated by any federal
26 law or federal regulation.
Page 39 1 "(d) A municipal, county, or state governing entity
2 or agency may not enact an ordinance, rule, bylaw, order,
3 building code, or other legal device that would restrict a
4 consumer's ability to elect to install, by the consumer's
5 choice and for a fee, a residential fire sprinkler system in
6 any new or existing one-family or two-family dwelling. A
7 municipal, county, or state governing entity or agency may not
8 enact an ordinance, rule, bylaw, order, building code, or
9 other legal device that would require the installation of a
10 residential fire sprinkler system in any new or existing
11 one-family or two-family dwelling. Provided, however, all
12 municipalities governed by subdivision (3) of subsection (c)
13 which have enacted any ordinance, rule, bylaw, order, building
14 code, or other legal device as of March 9, 2010, relating to
15 the installation of a residential fire sprinkler system may
16 continue to enforce or amend such ordinance, rule, bylaw,
17 order, building code, or other legal device."
18 Section 7. This act shall become effective on July
19 1, 2022, following its passage and approval by the Governor,
20 or its otherwise becoming law.
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