81R8958 YDB-D
By: Davis of Harris H.B. No. 1854
A BILL TO BE ENTITLED
AN ACT
relating to the registration of roofing contractors; providing
penalties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Title 8, Occupations Code, is amended by adding
Subchapter 1306 to read as follows:
CHAPTER 1306. ROOFING CONTRACTORS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 1306.001. DEFINITIONS. In this chapter:
(1) "Certificate" means a certificate of registration
issued under this chapter.
(2) "Commission" means the Texas Commission of
Licensing and Regulation.
(3) "Department" means the Texas Department of
Licensing and Regulation.
(4) "Roofing contracting" means performing or
offering to perform the installation, construction, maintenance,
service, repair, alteration, or modification of a roofing product
or equipment in roofs.
(5) "Roofing contractor" means a person who performs
roofing contracting for compensation.
Sec. 1306.002. EXEMPTIONS. (a) This chapter does not apply
to a person while the person performs roofing contracting:
(1) on new residential construction of a single-family
home, duplex, triplex, or fourplex;
(2) under the direct supervision of an individual
certificate holder;
(3) on property owned by the person and used as the
person's residence; or
(4) on a dwelling owned by a member of the person's
family.
(b) This chapter does not apply to a person who holds an
occupational license or other analogous authority issued by this
state and who performs roofing contracting work incidental to the
performance of work within the course and scope of the person's
license or other authority.
(c) This chapter does not apply to roofing contracting
performed for compensation that does not exceed a total amount of
$750.
[Sections 1306.003-1306.050 reserved for expansion]
SUBCHAPTER B. COMMISSION POWERS AND DUTIES
Sec. 1306.051. ENFORCEMENT; RULES. (a) The commission
shall enforce this chapter and may adopt rules relating to
enforcement requirements.
(b) The commission may contract with another state agency or
with a political subdivision of this state for the enforcement of
this chapter and the rules adopted by the commission under this
chapter.
Sec. 1306.052. FEES. The commission by rule shall set the
fees assessed to implement this chapter, including application
fees, registration fees, and renewal fees. The commission shall
set the fees in amounts reasonable and necessary to cover the costs
of implementing this chapter.
[Sections 1306.053-1306.100 reserved for expansion]
SUBCHAPTER C. REGISTRATION REQUIREMENTS
Sec. 1306.101. CERTIFICATE REQUIRED. (a) Unless exempted
from registration under Section 1306.002, a person may not perform
roofing contracting unless the person holds a certificate issued
under this chapter.
(b) A certificate is valid throughout this state, and the
holder is not required to hold a municipal license or certificate to
practice roofing contracting in any municipality in this state.
Sec. 1306.102. APPLICATION; ELIGIBILITY. (a) A
certificate application must be made on a form prescribed by the
commission.
(b) To be eligible for a certificate, an individual
applicant must:
(1) be at least 18 years of age; and
(2) meet any experience requirements prescribed by the
commission by rule.
(c) An individual's application must be accompanied by:
(1) proof of age of the applicant;
(2) a statement of the applicant's practical
experience, including the number of years of experience in roofing;
(3) the applicant's:
(A) state photo identification number, if any;
(B) sales tax number;
(C) Internal Revenue Service employer
identification number;
(D) telephone number and facsimile number;
(E) e-mail address; and
(F) mailing address and, if different from the
mailing address, the address where the applicant's business is
physically located; and
(4) the application fee.
(d) A business entity may be registered if the business
entity is owned by or employs an individual certificate holder who
will actively engage in roofing contracting on behalf of the
applicant. An application under this subsection must be
accompanied by:
(1) the applicant's:
(A) state identification number, if any;
(B) sales tax number;
(C) Internal Revenue Service employer
identification number;
(D) telephone number and facsimile number;
(E) e-mail address; and
(F) mailing address and, if different from the
mailing address, the address where the applicant's business is
physically located;
(2) the form of the business entity and name of each
owner of the applicant;
(3) the name, address, e-mail address, telephone
number, and facsimile number of the individual certificate holder
who owns or is employed by the business entity; and
(4) the application fee.
(e) The business name used by an applicant under this
section must be the same on all documents included with the
application.
(f) Each applicant must submit the evidence of insurance
coverage required by this chapter.
Sec. 1306.103. INSURANCE REQUIREMENTS. (a) A certificate
holder shall maintain comprehensive general liability insurance
coverage as provided by this section.
(b) An applicant for a certificate must provide as part of
the application:
(1) a certificate of insurance or other documentary
evidence of a general liability insurance policy issued by a
property and casualty insurer authorized by the Texas Department of
Insurance to engage in the business of insurance in this state,
countersigned by an insurance agent licensed in this state; or
(2) a certificate of insurance for surplus lines
coverage obtained under Chapter 981, Insurance Code, through a
licensed surplus lines agent resident in this state.
(c) The general liability insurance policy must be
conditioned to pay on behalf of the certificate holder damages that
the certificate holder becomes legally obligated to pay because of
bodily injury, property damage, or personal injury caused by an
event involving the principal, or an officer, agent, or employee of
the principal, in the conduct of any activity or service for which
the certificate holder is registered under this chapter.
(d) The insurance policy must:
(1) include products liability and completed
operations coverage; and
(2) contain minimum limits of:
(A) $500,000 for each occurrence for death or
bodily injury; and
(B) $500,000 for each occurrence for property
damage.
(e) On renewal of the certificate, each certificate holder
shall provide to the department a document issued by the person's
insurer that states the following:
(1) the name of the insurer;
(2) the policy number;
(3) the limits of coverage under the policy;
(4) the name of each insured under the policy;
(5) the policy term;
(6) any cancellation clause applicable to the
coverage; and
(7) a signature from the insurer or an agent for that
insurer.
(f) An insurance policy used to satisfy the requirements of
this section must provide that the insurer must send notice to the
department in the manner prescribed by the commission not later
than the 10th day after the date on which:
(1) the insurance policy is canceled before the policy
expiration date; or
(2) the minimum coverage limits required by this
section are reduced.
Sec. 1306.104. CERTIFICATE ISSUANCE; USE OF CERTIFICATE
NUMBER. (a) The commission shall issue a certificate to a person
who qualifies for a certificate under this chapter.
(b) Each roofing contractor who holds a certificate under
this chapter shall display the certificate number on each contract,
letterhead, advertisement, or motor vehicle used by the certificate
holder in providing roofing contracting services in this state.
Sec. 1306.105. TERM. A certificate is valid for one year
from the date of issuance.
Sec. 1306.106. RENEWAL; CONTINUING EDUCATION. (a) To
renew a certificate, a certificate holder must complete at least
eight hours of continuing education annually.
(b) The commission shall recognize, prepare, or administer
continuing education programs for certificate holders.
[Sections 1306.107-1306.150 reserved for expansion]
SUBCHAPTER D. ENFORCEMENT
Sec. 1306.151. DENIAL, SUSPENSION, OR REVOCATION OF
CERTIFICATE. (a) A violation of this chapter, a rule adopted under
this chapter, or an order issued under this chapter is a ground for
the denial, suspension, or revocation of a certificate and a ground
for the imposition of an administrative penalty under Subchapter F,
Chapter 51.
(b) A conviction of a crime an essential element of which is
misstatement, fraud, or dishonesty, or of a felony, is a ground for
denial, suspension, or revocation of a certificate.
(c) A proceeding for the denial, suspension, or revocation
of a certificate or an appeal from that proceeding is subject to
Chapter 2001, Government Code.
(d) The department may reissue a certificate that has been
revoked under this section if the certificate holder applies in
writing to the commission and shows good cause to justify
reissuance.
Sec. 1306.152. ENFORCEMENT OF CONTRACTS. (a) A person
required to register under this chapter who performs roofing
contracting without holding a certificate issued under this chapter
may not collect a fee or otherwise enforce a contract for the
roofing service performed. To enforce a contract for the
performance of roofing contracting, the person performing the
service must present proof that the person held a certificate at the
time the contract was signed and the work was performed.
(b) The commission shall adopt rules relating to the manner
in which proof may be presented under this section.
Sec. 1306.153. OFFENSE; CRIMINAL PENALTY. (a) A person
commits an offense if the person engages in roofing contracting
without holding a certificate required under this chapter.
(b) An offense under this section is a Class C misdemeanor.
SECTION 2. The Texas Commission of Licensing and Regulation
shall adopt rules as required by Chapter 1306, Occupations Code, as
added by this Act, not later than January 1, 2010.
SECTION 3. Notwithstanding Section 1306.101, Occupations
Code, as added by this Act, a person is not required to hold a
certificate of registration to engage in roofing contracting for
compensation in this state until March 1, 2010.
SECTION 4. (a) Except as provided by Subsection (b) of this
section, this Act takes effect September 1, 2009.
(b) Section 1306.101, Occupations Code, and Subchapter D,
Chapter 106, Occupations Code, take effect March 1, 2010.