EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb1162* HOUSE BILL 1162 C2 5lr3199 By: Delegate Stein Introduced and read first time: February 6, 2025 Assigned to: Economic Matters A BILL ENTITLED AN ACT concerning 1 Heating, Ventilation, Air–Conditioning, or Refrigeration Contractors – 2 Equipment Sales 3 FOR the purpose of prohibiting a person from knowingly offering to sell or selling heating, 4 ventilation, air–conditioning, or refrigeration equipment to an individual that is not 5 licensed by the Board of Heating, Ventilation, Air–Conditioning, or Refrigeration 6 Contractors except under certain circumstances; requiring certain persons to collect 7 certain information from or provide a certain notice to purchasers of heating, 8 ventilation, air–conditioning, or refrigeration equipment at the time of sale; 9 requiring certain sellers of heating, ventilation, air–conditioning, or refrigeration 10 equipment to submit a certain report to the Board each fiscal year; and generally 11 relating to heating, ventilation, air–conditioning, or refrigeration contractors. 12 BY repealing and reenacting, without amendments, 13 Article – Business Regulation 14 Section 9A–103, 9A–201, and 9A–301 15 Annotated Code of Maryland 16 (2024 Replacement Volume) 17 BY adding to 18 Article – Business Regulation 19 Section 9A–501.1 20 Annotated Code of Maryland 21 (2024 Replacement Volume) 22 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 23 That the Laws of Maryland read as follows: 24 Article – Business Regulation 25 9A–103. 26 2 HOUSE BILL 1162 This title does not limit the right of: 1 (1) an individual owner of a single–family dwelling while that owner is 2 practicing heating, ventilation, air–conditioning, or refrigeration services on or within a 3 building or structure owned by the individual; 4 (2) an individual who is building a single–family dwelling in which that 5 individual will reside while practicing heating, ventilation, air–conditioning, or 6 refrigeration services on or within that dwelling; 7 (3) an employee of a public utility company regulated by the Public Service 8 Commission, when engaged in: 9 (i) the development, construction, maintenance, or repair of electric 10 or gas facilities located in the State; or 11 (ii) the construction, maintenance, or repair of electric or gas 12 appliances in the service area of the public utility; 13 (4) subject to § 9A–403(a) of this title, an employee of the United States 14 government, the State government, a local government, or an independent agency while 15 that employee is practicing heating, ventilation, air–conditioning, or refrigeration services 16 on or within buildings or structures owned or solely occupied by the United States 17 government, the State government, a local government, or an independent agency; 18 (5) an individual employed in the installation, maintenance, alteration, 19 repair, or replacement of self–contained appliances requiring not more than 225 volts or 25 20 amperes of electrical current; 21 (6) an individual possessing a master electrician’s license issued by the 22 State or any county, when engaged in the installation, alteration, service, repair, or 23 replacement of individually controlled electric resistance heat; 24 (7) an individual possessing a master plumber’s license issued by the State, 25 Baltimore County, or the Washington Suburban Sanitary Commission when providing 26 heating, ventilation, air–conditioning, or refrigeration services on hydronic heating 27 systems; 28 (8) an individual possessing a license to practice engineering when 29 providing heating, ventilation, air–conditioning, or refrigeration services in connection 30 with the practice of engineering; 31 (9) an individual who installs, alters, remodels, maintains, or repairs oil 32 burners exclusively while employed by a supplier of home heating fuel; or 33 HOUSE BILL 1162 3 (10) an individual regularly employed by the owner of property, or the 1 owner’s agent, to engage in maintenance and repair work. 2 9A–201. 3 There is a State Board of Heating, Ventilation, Air–Conditioning, and Refrigeration 4 Contractors in the Department. 5 9A–301. 6 Except as otherwise provided in this title, an individual shall be licensed by the 7 Board before the individual provides or assists in providing heating, ventilation, 8 air–conditioning, or refrigeration services in the State. 9 9A–501.1. 10 (A) IN THIS SECTION, “SELLER” MEANS A PERSON THAT OWNS A BUSINESS 11 THAT HAS A GROSS ANNUAL REVEN UE OF $100,000 OR MORE FROM THE SALE OF 12 HEATING, VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT. 13 (B) A PERSON MAY NOT KNOWINGLY SELL OR OFFER TO SELL HEATING, 14 VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQUIPMENT TO ANOTHER 15 PERSON, UNLESS THE INDIVIDUAL PURCHA SING THE EQUIPMENT : 16 (1) IS LICENSED BY OR EMPLOYS AN INDIVI DUAL LICENSED BY THE 17 BOARD TO PROVIDE OR ASSIST IN PROVIDI NG HEATING , VENTILATION, 18 AIR–CONDITIONING , OR REFRIGERATION SER VICES; OR 19 (2) IS NOT REQUIRED TO BE L ICENSED UNDER § 9A–103 OF THIS 20 TITLE. 21 (C) (1) A PERSON THAT SELLS HE ATING, VENTILATION, 22 AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT SHALL COLLECT THE NA ME 23 AND LICENSE NUMBER OF AN INDIVIDUAL WHO PURCHASES HEATING, 24 VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT AT THE TIME 25 OF SALE. 26 (2) IF A PERSON IS NOT ABLE TO COLLE CT THE NAME AND LICE NSE 27 NUMBER OF AN INDIVIDUAL WHO PURCHASED EQUIPMENT UNDER PARAGRAPH (1) 28 OF THIS SUBSECTION , THE PERSON SHALL PROVIDE A WRITTEN NO TICE TO THE 29 INDIVIDUAL WITH INFORMATION PRESCRIBED BY THE BOARD REGARDING THE 30 REQUIREM ENT THAT AN INDIVIDUAL BE LICENSED BY THE BOARD BEFORE 31 PROVIDING OR ASSIST ING IN PROVIDING HEATING , VENTILATION, 32 AIR–CONDITIONING , OR REFRIGERATION SER VICES IN THE STATE, INCLUDING THE 33 4 HOUSE BILL 1162 INSTALLATION OF HEATING, VENTILATION, AIR–CONDITIONING , OR 1 REFRIGERATION EQUIPMENT. 2 (D) A SELLER SHALL FILE A REPORT WITH THE BOARD WITHIN 1 MONTH 3 AFTER THE END OF EACH FISCAL YEAR THAT LISTS THE NAME AND LICENSE NUMBER 4 OF EACH INDIVIDUAL THAT PURCHASED HEATING, VENTILATION, 5 AIR–CONDITIONING , OR REFRIGERATION EQUIPMENT FROM THE SELLER DURI NG 6 THE PRECEDING FISCAL YEAR. 7 (E) ON OR BEFORE JANUARY 1, 2026, THE BOARD SHALL ADOPT 8 REGULATIONS TO CARRY OUT THIS SECTION . 9 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 10 October 1, 2025. 11