MD
Maryland House Bill HB1162

Maryland 2025 Regular Session

Maryland House Bill HB1162 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
5- Underlining indicates amendments to bill.
6- Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7-amendment.
85 *hb1162*
96
107 HOUSE BILL 1162
118 C2 5lr3199
129
1310 By: Delegate Stein
1411 Introduced and read first time: February 6, 2025
1512 Assigned to: Economic Matters
16-Committee Report: Favorable with amendments
17-House action: Adopted
18-Read second time: March 6, 2025
1913
20-CHAPTER ______
14+A BILL ENTITLED
2115
2216 AN ACT concerning 1
2317
2418 Heating, Ventilation, Air–Conditioning, or Refrigeration Contractors – 2
2519 Equipment Sales 3
2620
2721 FOR the purpose of prohibiting a person from knowingly offering to sell or selling heating, 4
28-ventilation, air–conditioning, or refrigeration equipment to an individual that is does 5
29-not licensed hold a certain license issued by the Board of Heating, Ventilation, 6
30-Air–Conditioning, or Refrigeration Contractors except under certain circumstances; 7
31-requiring certain persons to collect certain information from or provide a certain 8
32-notice to purchasers of heating, ventilation, air–conditioning, or refrigeration 9
33-equipment at the time of sale; requiring certain sellers of heating, ventilation, 10
34-air–conditioning, or refrigeration equipment to submit a certain report to the Board 11
35-each fiscal year; and generally relating to heating, ventilation, air–conditioning, or 12
36-refrigeration contractors. 13
22+ventilation, air–conditioning, or refrigeration equipment to an individual that is not 5
23+licensed by the Board of Heating, Ventilation, Air–Conditioning, or Refrigeration 6
24+Contractors except under certain circumstances; requiring certain persons to collect 7
25+certain information from or provide a certain notice to purchasers of heating, 8
26+ventilation, air–conditioning, or refrigeration equipment at the time of sale; 9
27+requiring certain sellers of heating, ventilation, air–conditioning, or refrigeration 10
28+equipment to submit a certain report to the Board each fiscal year; and generally 11
29+relating to heating, ventilation, air–conditioning, or refrigeration contractors. 12
3730
38-BY repealing and reenacting, without amendments, 14
39- Article – Business Regulation 15
40-Section 9A–103, 9A–201, and 9A–301 16
41- Annotated Code of Maryland 17
42- (2024 Replacement Volume) 18
31+BY repealing and reenacting, without amendments, 13
32+ Article – Business Regulation 14
33+Section 9A–103, 9A–201, and 9A–301 15
34+ Annotated Code of Maryland 16
35+ (2024 Replacement Volume) 17
4336
44-BY adding to 19
45- Article – Business Regulation 20
46-Section 9A–501.1 21
47- Annotated Code of Maryland 22
48- (2024 Replacement Volume) 23 2 HOUSE BILL 1162
37+BY adding to 18
38+ Article – Business Regulation 19
39+Section 9A–501.1 20
40+ Annotated Code of Maryland 21
41+ (2024 Replacement Volume) 22
42+
43+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 23
44+That the Laws of Maryland read as follows: 24
45+
46+Article – Business Regulation 25
47+
48+9A–103. 26 2 HOUSE BILL 1162
4949
5050
5151
52-BY repealing and reenacting, with amendments, 1
53- Article – Business Regulation 2
54- Section 9A–505 3
55- Annotated Code of Maryland 4
56- (2024 Replacement Volume) 5
52+ This title does not limit the right of: 1
5753
58- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
59-That the Laws of Maryland read as follows: 7
54+ (1) an individual owner of a single–family dwelling while that owner is 2
55+practicing heating, ventilation, air–conditioning, or refrigeration services on or within a 3
56+building or structure owned by the individual; 4
6057
61-Article – Business Regulation 8
58+ (2) an individual who is building a single–family dwelling in which that 5
59+individual will reside while practicing heating, ventilation, air–conditioning, or 6
60+refrigeration services on or within that dwelling; 7
6261
63-9A–103. 9
62+ (3) an employee of a public utility company regulated by the Public Service 8
63+Commission, when engaged in: 9
6464
65- This title does not limit the right of: 10
65+ (i) the development, construction, maintenance, or repair of electric 10
66+or gas facilities located in the State; or 11
6667
67- (1) an individual owner of a single–family dwelling while that owner is 11
68-practicing heating, ventilation, air–conditioning, or refrigeration services on or within a 12
69-building or structure owned by the individual; 13
68+ (ii) the construction, maintenance, or repair of electric or gas 12
69+appliances in the service area of the public utility; 13
7070
71- (2) an individual who is building a single–family dwelling in which that 14
72-individual will reside while practicing heating, ventilation, air–conditioning, or 15
73-refrigeration services on or within that dwelling; 16
71+ (4) subject to § 9A–403(a) of this title, an employee of the United States 14
72+government, the State government, a local government, or an independent agency while 15
73+that employee is practicing heating, ventilation, air–conditioning, or refrigeration services 16
74+on or within buildings or structures owned or solely occupied by the United States 17
75+government, the State government, a local government, or an independent agency; 18
7476
75- (3) an employee of a public utility company regulated by the Public Service 17
76-Commission, when engaged in: 18
77+ (5) an individual employed in the installation, maintenance, alteration, 19
78+repair, or replacement of self–contained appliances requiring not more than 225 volts or 25 20
79+amperes of electrical current; 21
7780
78- (i) the development, construction, maintenance, or repair of electric 19
79-or gas facilities located in the State; or 20
81+ (6) an individual possessing a master electrician’s license issued by the 22
82+State or any county, when engaged in the installation, alteration, service, repair, or 23
83+replacement of individually controlled electric resistance heat; 24
8084
81- (ii) the construction, maintenance, or repair of electric or gas 21
82-appliances in the service area of the public utility; 22
85+ (7) an individual possessing a master plumber’s license issued by the State, 25
86+Baltimore County, or the Washington Suburban Sanitary Commission when providing 26
87+heating, ventilation, air–conditioning, or refrigeration services on hydronic heating 27
88+systems; 28
8389
84- (4) subject to § 9A–403(a) of this title, an employee of the United States 23
85-government, the State government, a local government, or an independent agency while 24
86-that employee is practicing heating, ventilation, air–conditioning, or refrigeration services 25
87-on or within buildings or structures owned or solely occupied by the United States 26
88-government, the State government, a local government, or an independent agency; 27
90+ (8) an individual possessing a license to practice engineering when 29
91+providing heating, ventilation, air–conditioning, or refrigeration services in connection 30
92+with the practice of engineering; 31
8993
90- (5) an individual employed in the installation, maintenance, alteration, 28
91-repair, or replacement of self–contained appliances requiring not more than 225 volts or 25 29
92-amperes of electrical current; 30
93-
94- (6) an individual possessing a master electrician’s license issued by the 31
95-State or any county, when engaged in the installation, alteration, service, repair, or 32
96-replacement of individually controlled electric resistance heat; 33
94+ (9) an individual who installs, alters, remodels, maintains, or repairs oil 32
95+burners exclusively while employed by a supplier of home heating fuel; or 33
9796 HOUSE BILL 1162 3
9897
9998
100- (7) an individual possessing a master plumber’s license issued by the State, 1
101-Baltimore County, or the Washington Suburban Sanitary Commission when providing 2
102-heating, ventilation, air–conditioning, or refrigeration services on hydronic heating 3
103-systems; 4
99+ (10) an individual regularly employed by the owner of property, or the 1
100+owner’s agent, to engage in maintenance and repair work. 2
104101
105- (8) an individual possessing a license to practice engineering when 5
106-providing heating, ventilation, air–conditioning, or refrigeration services in connection 6
107-with the practice of engineering; 7
102+9A–201. 3
108103
109- (9) an individual who installs, alters, remodels, maintains, or repairs oil 8
110-burners exclusively while employed by a supplier of home heating fuel; or 9
104+ There is a State Board of Heating, Ventilation, Air–Conditioning, and Refrigeration 4
105+Contractors in the Department. 5
111106
112- (10) an individual regularly employed by the owner of property, or the 10
113-owner’s agent, to engage in maintenance and repair work. 11
107+9A–301. 6
114108
115-9A–201. 12
109+ Except as otherwise provided in this title, an individual shall be licensed by the 7
110+Board before the individual provides or assists in providing heating, ventilation, 8
111+air–conditioning, or refrigeration services in the State. 9
116112
117- There is a State Board of Heating, Ventilation, Air–Conditioning, and Refrigeration 13
118-Contractors in the Department. 14
113+9A–501.1. 10
119114
120-9A–301. 15
115+ (A) IN THIS SECTION, “SELLER” MEANS A PERSON THAT OWNS A BUSINESS 11
116+THAT HAS A GROSS ANNUAL REVEN UE OF $100,000 OR MORE FROM THE SALE OF 12
117+HEATING, VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT. 13
121118
122- Except as otherwise provided in this title, an individual shall be licensed by the 16
123-Board before the individual provides or assists in providing heating, ventilation, 17
124-air–conditioning, or refrigeration services in the State. 18
119+ (B) A PERSON MAY NOT KNOWINGLY SELL OR OFFER TO SELL HEATING, 14
120+VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQUIPMENT TO ANOTHER 15
121+PERSON, UNLESS THE INDIVIDUAL PURCHA SING THE EQUIPMENT : 16
125122
126-9A–501.1. 19
123+ (1) IS LICENSED BY OR EMPLOYS AN INDIVI DUAL LICENSED BY THE 17
124+BOARD TO PROVIDE OR ASSIST IN PROVIDI NG HEATING , VENTILATION, 18
125+AIR–CONDITIONING , OR REFRIGERATION SER VICES; OR 19
127126
128- (A) IN THIS SECTION, “SELLER” MEANS A PERSON THAT OWNS A BUSINESS 20
129-THAT HAS A GROSS ANN UAL REVENUE OF $100,000 OR MORE FROM THE SAL E OF 21
130-HEATING, VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT. 22
127+ (2) IS NOT REQUIRED TO BE L ICENSED UNDER § 9A–103 OF THIS 20
128+TITLE. 21
131129
132- (B) (1) THIS SUBSECTION DOES NOT APPLY TO A PERSO N WHO: 23
130+ (C) (1) A PERSON THAT SELLS HE ATING, VENTILATION, 22
131+AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT SHALL COLLECT THE NA ME 23
132+AND LICENSE NUMBER OF AN INDIVIDUAL WHO PURCHASES HEATING, 24
133+VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT AT THE TIME 25
134+OF SALE. 26
133135
134- (I) SELLS CONSTRUCTION M ATERIALS OTHER THAN 24
135-MATERIALS INVOLVED I N THE INSTALLATION O F HEATING , VENTILATION, 25
136-AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT; AND 26
137-
138- (II) DERIVES LESS THAN 25% OF THE PERSON ’S REVENUES 27
139-FROM THE SALE OF HEA TING, VENTILATION, AIR–CONDITIONING, OR 28
140-REFRIGERATION EQUIPM ENT. 29
141-
142- (2) A PERSON MAY NOT KNOWI NGLY SELL OR OFFER T O SELL 30
143-HEATING, VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT TO 31
144-ANOTHER PERSON , UNLESS THE INDIVIDUA L PURCHASING THE EQU IPMENT: 32
145- 4 HOUSE BILL 1162
136+ (2) IF A PERSON IS NOT ABLE TO COLLE CT THE NAME AND LICE NSE 27
137+NUMBER OF AN INDIVIDUAL WHO PURCHASED EQUIPMENT UNDER PARAGRAPH (1) 28
138+OF THIS SUBSECTION , THE PERSON SHALL PROVIDE A WRITTEN NO TICE TO THE 29
139+INDIVIDUAL WITH INFORMATION PRESCRIBED BY THE BOARD REGARDING THE 30
140+REQUIREM ENT THAT AN INDIVIDUAL BE LICENSED BY THE BOARD BEFORE 31
141+PROVIDING OR ASSIST ING IN PROVIDING HEATING , VENTILATION, 32
142+AIR–CONDITIONING , OR REFRIGERATION SER VICES IN THE STATE, INCLUDING THE 33 4 HOUSE BILL 1162
146143
147144
148- (1) (I) IS LICENSED BY HOLDS A MASTER LICEN SE, A MASTER 1
149-RESTRICTED LICENSE , OR A LIMITED LICENSE OR EMPLOYS AN INDIVI DUAL 2
150-LICENSED BY THE WHO HOLDS A MASTER L ICENSE, A MASTER RESTRICTED LICENSE, 3
151-OR A LIMITED LICENSE ISSUED BY THE BOARD TO PROVIDE OR A SSIST IN PROVIDING 4
152-HEATING, VENTILATION, AIR–CONDITIONING , OR REFRIGERATION SER VICES; 5
145+INSTALLATION OF HEATING, VENTILATION, AIR–CONDITIONING , OR 1
146+REFRIGERATION EQUIPMENT. 2
153147
154- (II) OPERATES A BUSINESS THAT RESELLS HEATING , 6
155-VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT TO 7
156-INDIVIDUALS LICENSED BY THE BOARD; OR 8
148+ (D) A SELLER SHALL FILE A REPORT WITH THE BOARD WITHIN 1 MONTH 3
149+AFTER THE END OF EACH FISCAL YEAR THAT LISTS THE NAME AND LICENSE NUMBER 4
150+OF EACH INDIVIDUAL THAT PURCHASED HEATING, VENTILATION, 5
151+AIR–CONDITIONING , OR REFRIGERATION EQUIPMENT FROM THE SELLER DURI NG 6
152+THE PRECEDING FISCAL YEAR. 7
157153
158- (2) (III) IS NOT REQUIRED TO B E LICENSED UNDER § 9A–103 OF 9
159-THIS TITLE. 10
154+ (E) ON OR BEFORE JANUARY 1, 2026, THE BOARD SHALL ADOPT 8
155+REGULATIONS TO CARRY OUT THIS SECTION . 9
160156
161- (C) (B) (1) A PERSON THAT SELLS HE ATING, VENTILATION, 11
162-AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT SHALL COLLECT THE NAME 12
163-AND LICENSE NUMBER O F AN INDIVIDUAL WHO PURCHASES HEATING , 13
164-VENTILATION, AIR–CONDITIONING , OR REFRIGERATION EQUIPM ENT AT THE TIME 14
165-OF SALE. 15
166-
167- (2) IF A PERSON IS NOT AB LE TO COLLECT THE NA ME AND LICENSE 16
168-NUMBER OF AN INDIVID UAL WHO PURCHASED EQ UIPMENT UNDER PARAGR APH (1) 17
169-OF THIS SUBSECTION , THE PERSON SHALL , AT THE TIME OF SALE , PROVIDE A 18
170-WRITTEN NOTICE TO TH E INDIVIDUAL WITH PURCHASING THE EQUIP MENT THAT 19
171-CONTAINS INFORMATION PRESCRIB ED BY THE BOARD REGARDING THE 20
172-REQUIREMENT THAT AN INDIVIDUAL BE LICENS ED BY THE BOARD BEFORE 21
173-PROVIDING OR ASSISTI NG IN PROVIDING HEAT ING, VENTILATION, 22
174-AIR–CONDITIONING , OR REFRIGERATION SER VICES IN THE STATE, INCLUDING THE 23
175-INSTALLATION OF HEAT ING, VENTILATION, AIR–CONDITIONING , OR 24
176-REFRIGERATION EQUIPM ENT. 25
177-
178- (D) A SELLER SHALL FILE A REPORT WITH THE BOARD WITHIN 1 MONTH 26
179-AFTER THE END OF EAC H FISCAL YEAR THAT LISTS THE NAM E AND LICENSE NUMBER 27
180-OF EACH INDIVIDUAL T HAT PURCHASED HEATIN G, VENTILATION, 28
181-AIR–CONDITIONING , OR REFRIGERATION EQU IPMENT FROM THE SELL ER DURING 29
182-THE PRECEDING FISCAL YEAR. 30
183-
184- (E) (C) ON OR BEFORE JANUARY 1, 2026, THE BOARD SHALL ADOPT 31
185-REGULATIONS TO CARRY OUT THIS SECTION . 32
186-
187-9A–505. 33
188-
189- (a) (1) In this section, “officer” includes a superintendent, manager, or agent 34
190-of a corporation regardless of whether the corporation provides heating, ventilation, 35
191-air–conditioning, or refrigeration services. 36 HOUSE BILL 1162 5
192-
193-
194-
195- (2) Any person, including an officer, who violates § 9A–501, § 9A–502, § 1
196-9A–503, or § 9A–504 of this subtitle is guilty of a misdemeanor, and on conviction is subject 2
197-to a fine not exceeding $1,000 or imprisonment not exceeding 6 months or both and, on a 3
198-second or subsequent conviction, subject to a fine not exceeding $5,000 or imprisonment 4
199-not exceeding 2 years or both. 5
200-
201- (3) ANY PERSON, INCLUDING AN OFFICER , WHO VIOLATES § 9A–501.1 6
202-OF THIS SUBTITLE IS SUBJECT TO: 7
203-
204- (I) FOR A FIRST VIOLATION, A CIVIL PENALTY NOT EXCEEDING 8
205-$1,000; AND 9
206-
207- (II) FOR A SECOND OR SUBS EQUENT VIOLATION , A CIVIL 10
208-PENALTY NOT EXCEEDIN G $5,000. 11
209-
210- (b) Any person who violates any provision of § 9A–402 of this title is guilty of a 12
211-misdemeanor, and on conviction is subject to a fine not exceeding $1,000 or imprisonment 13
212-not exceeding 6 months or both. 14
213-
214- (c) (1) Except as otherwise provided by this title, the Board may impose on a 15
215-person who violates any provision of this title a penalty not exceeding $5,000 for each 16
216-violation. 17
217-
218- (2) In setting the amount of the penalty, the Board shall consider: 18
219-
220- (i) the seriousness of the violation; 19
221-
222- (ii) the harm caused by the violation; 20
223-
224- (iii) the good faith of the violator; 21
225-
226- (iv) any history of previous violations by the violator; and 22
227-
228- (v) any other relevant factors. 23
229-
230- (3) The Board shall pay any penalty collected under this subsection into 24
231-the General Fund of the State. 25
232-
233- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 26
234-October 1, 2025. 27
235-
157+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 10
158+October 1, 2025. 11