SLS 22RS-483 ORIGINAL 2022 Regular Session SENATE CONCURRENT RESOL UTION NO. 4 BY SENATOR CATHEY FEES/LICENSES/PERMITS. Repeals administrative licensing requirements relative to residential specialty classifications. 1 A CONCURRENT RESOL UTION 2 To repeal Louisiana State Licensing Board for Contractors rules (LAC 46:XXIX.503 and 3 505), which generally require any corporation, partnership, individual, or contractor 4 undertaking certain construction of residential buildings or structures to obtain a 5 specialty classification license or subcontract-labor-only license, and to direct the 6 office of the state register to print the notice of the repeal in the Louisiana 7 Administrative Code. 8 WHEREAS, LAC 46:XXIX.503 requires a corporation, partnership, individual, or 9 contractor to obtain a specialty classification license to undertake or oversee the construction 10 of each of the following works on residential buildings and structures, when the value of 11 work performed exceeds seven thousand five hundred dollars, including labor and materials: 12 1. Residential Pile Driving 13 2. Residential Foundations 14 3. Residential Framing 15 4. Residential Roofing 16 5. Residential Masonry/Stucco; and 17 WHEREAS, licensure for each of the aforementioned specialty classifications 18 requires the applicant to do all of the following: Page 1 of 3 SCR NO. 4 SLS 22RS-483 ORIGINAL 1 1. Successfully complete the business and law examination. 2 2. Successfully complete the trade examination for the respective specialty 3 classification. 4 3. Provide proof of current general liability and workers' compensation insurance 5 coverage as prescribed by the board; and 6 WHEREAS, a contractor seeking to obtain a specialty classification license is 7 required, in addition to all other application and licensing requirements, to do the following: 8 1. Designate a qualifying party to successfully pass both the open-book business and 9 law examination and respective trade examination. 10 2. Provide proof of current general liability and workers' compensation insurance 11 coverage as prescribed by the board; and 12 WHEREAS, LAC 46:XXIX.505 authorizes a subcontractor who provides "labor 13 only" and works under the direct supervision of a licensed residential building contractor to 14 obtain a subcontract-labor-only specialty classification license in lieu of the specialty 15 classification license required in LAC 46:XXIX.505; and 16 WHEREAS, a subcontractor seeking to obtain a subcontract-labor-only specialty 17 classification license may be exempt from the trade examination requirement, if the 18 subcontractor does all of the following: 19 1. Completes and submits a residential application as prescribed by the board. 20 2. Submits an affidavit executed by a licensed residential building contractor attesting 21 to the subcontractor's quality of work and character. 22 3. Completes the business and law examination. 23 4. Provides proof of current general liability and workers' compensation insurance 24 coverage as prescribed by the board; and 25 WHEREAS, some citizens of this state believe the construction industry is one of the 26 few remaining industries affording opportunities for workers to learn a trade and earn a 27 living without the expense of a higher education; and 28 WHEREAS, generally, stakeholders are concerned that specialty classification 29 licensing requirements of the board serve to adversely affect the self-employed contractor 30 and subcontractor, and thus the rules should be repealed; and Page 2 of 3 SCR NO. 4 SLS 22RS-483 ORIGINAL 1 WHEREAS, R.S. 49:969 authorizes the legislature, by concurrent resolution, to 2 suspend, amend, or repeal any rule adopted by a state department, agency, board, or 3 commission. 4 THEREFORE, BE IT RESOLVED by the Legislature of Louisiana that LAC 5 46:XXIX.503 and 505 are hereby repealed in their entirety. 6 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the 7 office of the state register and the Louisiana State Licensing Board for Contractors. 8 BE IT FURTHER RESOLVED that the office of the state register is hereby directed 9 to have the repeal of LAC 46:XXIX.503 and 505 printed and incorporated into the Louisiana 10 Administrative Code and to transmit a copy of the revised rules to the Louisiana State 11 Licensing Board for Contractors. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Leonore Heavey. DIGEST SCR 4 Original 2022 Regular Session Cathey Repeals Louisiana State Licensing Board for Contractors rules (LAC 46:XXIX.503 and 505), that require any corporation, partnership, individual, or contractor undertaking certain construction of residential buildings or structures to obtain a specialty classification license or subcontract-labor-only license. Page 3 of 3