82R8562 JAM-F
By: Williams S.B. No. 1274
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
Chapter 1307 to read as follows:
CHAPTER 1307. ROOFING CONTRACTORS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 1307.001. SHORT TITLE. This chapter may be cited as
the Roofing Contractor Registration Act.
Sec. 1307.002. 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) "Executive director" means the executive director
of the department.
(5) "Roofing contractor" means a person who performs
roofing services for compensation.
(6) "Roofing services" means performing or offering to
perform the installation, construction, maintenance, service,
repair, alteration, or modification of a roofing product or
equipment in roofs.
Sec. 1307.003. EXEMPTIONS. This chapter does not apply to:
(1) an actual owner of residential or farm property
who physically performs or has employees perform roofing services
on the owner's dwelling or on another structure located on the
person's residential or farm property;
(2) an authorized employee or representative of the
United States government, this state, or any county, municipality,
or other political subdivision of this state;
(3) a person who furnishes any fabricated or finished
product, material, or article of merchandise that is not
incorporated into or attached to real property by the person; or
(4) an employee of a roofing contractor who holds a
certificate issued under this chapter.
Sec. 1307.004. CONSTRUCTION OF CHAPTER. This chapter shall
be construed to be in addition to any required licensure of persons
in this state, and this chapter may not be construed as conflicting
with or affecting the authority of any state or local agency, board,
or department that administers or enforces any law or ordinance or
that establishes, administers, or enforces a policy, rule,
qualification, or standard for a trade or profession.
[Sections 1307.005-1307.050 reserved for expansion]
SUBCHAPTER B. POWERS AND DUTIES OF DEPARTMENT AND COMMISSION
Sec. 1307.051. GENERAL POWERS AND DUTIES. The department,
executive director, or commission, as appropriate, may take action
as necessary to administer and enforce this chapter.
Sec. 1307.052. RULES. The commission shall adopt rules for
registering roofing contractors and standards of conduct for
registrants under this chapter.
Sec. 1307.053. FEES. The commission shall establish and
collect reasonable and necessary fees in amounts sufficient to
cover the costs of administering this chapter.
Sec. 1307.054. CRIMINAL HISTORY BACKGROUND CHECK. The
department may obtain criminal history record information under
Subchapter F, Chapter 411, Government Code, for an applicant for a
certificate under this chapter.
Sec. 1307.055. VERIFICATION. On request, the department
shall verify a roofing contractor registration number to a city,
county, or other government enforcement official. The department
shall establish a verification system for certificates maintained
by the department.
[Sections 1307.056-1307.100 reserved for expansion]
SUBCHAPTER C. REGISTRATION REQUIREMENTS
Sec. 1307.101. REGISTRATION REQUIRED. (a) Except as
provided by Section 1307.003, a person may not perform or offer to
perform roofing services unless the person holds a certificate
issued under this chapter.
(b) A certificate:
(1) is valid only with respect to the person or company
named on the certificate; and
(2) authorizes the registrant to operate one roofing
contractor business for each certificate.
Sec. 1307.102. APPLICATION; ELIGIBILITY. An applicant for
a certificate under this chapter must:
(1) submit to the department a completed application
on a form prescribed by the executive director;
(2) submit to the department any other information
required by the executive director or by rule;
(3) demonstrate the applicant's honesty,
trustworthiness, and integrity;
(4) submit sufficient information and an
authorization for the department to obtain criminal history record
information;
(5) submit proof of general liability insurance in an
amount not less than $300,000;
(6) unless the applicant has elected not to obtain
workers' compensation coverage, as provided by Subchapter A,
Chapter 406, Labor Code, and provided notice under Section 406.004,
Labor Code, submit proof that the applicant maintains workers'
compensation coverage for the contractor's employees through an
insurance company authorized by the Texas Department of Insurance
to engage in the business of insurance in this state or through
self-insurance; and
(7) pay any required application fee.
Sec. 1307.103. REGISTRATION RENEWAL. (a) A certificate
issued under this chapter is valid for one year. The department may
adopt a system under which certificates expire at different times
during the year.
(b) The commission by rule shall adopt requirements to renew
a certificate issued under this chapter.
[Sections 1307.104-1307.150 reserved for expansion]
SUBCHAPTER D. PRACTICE BY CERTIFICATE HOLDER
Sec. 1307.151. DISPLAY OF CERTIFICATE INFORMATION. (a) A
roofing contractor shall display the contractor's business name and
the number of the certificate issued by the executive director on
each vehicle used by the contractor in providing roofing services.
(b) The information required to be displayed must be:
(1) printed in letters and numbers that are at least
two inches high and in a color that contrasts with the color of the
background surface; and
(2) permanently affixed in conspicuous places on both
sides of the vehicle.
(c) The commission may develop rules for the display of the
certificate number on contracts and other documents used to solicit
and conduct roofing services in this state.
Sec. 1307.152. USE OF CERTIFICATE. (a) A roofing
contractor's certificate number:
(1) must be valid and in good standing at the time of
soliciting a project and during subsequent job performance;
(2) must be provided when applying for a permit issued
by the state or any political subdivision of the state for
commercial or residential roofing services or projects; and
(3) may not be shared or used by any other individual
or business entity, except that a business entity or other group may
be granted a single roofing registration certificate number for use
by designated roofing contractors acting as agents for the business
entity if:
(A) the application for registration contains
sufficient information on each member, partner, officer, and agent
of the entity; and
(B) the department issued a single certificate
number to those persons as a single business entity.
(b) At the time of any change to the name, address, business
entity, or legal service agent of a roofing contractor, the
contractor shall notify the department.
Sec. 1307.153. COMPLIANCE WITH PERMIT REQUIREMENTS. A
roofing contractor shall comply with state laws and local
ordinances and regulations relating to standards and permits for
roofing services and projects.
Sec. 1307.154. OBTAINING A CERTIFICATE UNDER ANOTHER NAME
PROHIBITED. (a) A person may not attempt to obtain a certificate
under any other name during any period during which the person's
roofing contractor registration is suspended or revoked.
(b) Subsection (a) applies to any member, partner, officer,
or agent of a business entity or other group whose certificate is
suspended or revoked.
Sec. 1307.155. INSURANCE CLAIMS FOR RESIDENTIAL ROOFING
GOODS AND SERVICES; PAYMENT OR REBATE OF INSURANCE DEDUCTIBLE. A
registered roofing contractor providing residential roofing
services to be paid by an insured from the proceeds of a property or
casualty insurance policy may not advertise or promise to pay or
rebate all or part of any applicable insurance deductible.
[Sections 1307.156-1307.200 reserved for expansion]
SUBCHAPTER E. ENFORCEMENT
Sec. 1307.201. DENIAL OF LICENSE; ADMINISTRATIVE
SANCTIONS. The department may deny an application for a
certificate or impose an administrative sanction under Section
51.353 if the applicant or, if the applicant is not an individual, a
partner, principal, officer, or general manager of the applicant
has:
(1) before the date of the application, a criminal
conviction or has pleaded guilty or no contest to an offense for:
(A) a felony; or
(B) a misdemeanor punishable by confinement in
jail or by a fine in an amount that exceeds $500;
(2) violated this chapter or a rule or order of the
commission or executive director, including an order for sanctions
or administrative penalties; or
(3) knowingly submitted false or incomplete
information on the application.
Sec. 1307.202. INVESTIGATION OF COMPLAINTS. (a) The
department shall investigate any complaint filed with the
department alleging that a person has:
(1) violated this chapter or a rule adopted under this
chapter;
(2) abandoned a roofing contract without legal excuse
after a deposit of money or other consideration has been paid;
(3) misused money or property entrusted to a roofing
contractor;
(4) engaged in any fraudulent or deceptive act or
practice or misrepresentation as a roofing contractor;
(5) made a false or misleading statement in an
application for a certificate or certificate renewal;
(6) been convicted of an offense that prohibits the
person from registering as a roofing contractor or affects the
ability of the person to act as a roofing contractor;
(7) performed roofing services without a valid
certificate under this chapter; or
(8) performed roofing services without obtaining a
permit required by a state or local authority.
(b) A complaint must be filed in a manner prescribed by the
department.
Sec. 1307.203. ADMINISTRATIVE PENALTY. (a) The commission
or executive director may impose an administrative penalty on a
person under Subchapter F, Chapter 51, regardless of whether the
person holds a certificate under this chapter, if the person
violates:
(1) this chapter or a rule adopted under this chapter;
or
(2) a rule or order of the executive director or
commission.
(b) An administrative penalty may not be imposed unless the
person charged with a violation is provided the opportunity for a
hearing.
Sec. 1307.204. CEASE AND DESIST ORDER; INJUNCTION; CIVIL
PENALTY. (a) The executive director may issue a cease and desist
order as necessary to enforce this chapter if the executive
director determines that the action is necessary to prevent a
violation of this chapter and to protect public health and safety.
(b) The attorney general or executive director may
institute an action for an injunction or a civil penalty under this
chapter as provided by Section 51.352.
Sec. 1307.205. SANCTIONS. The department may impose
sanctions as provided by Section 51.353.
Sec. 1307.206. CRIMINAL PENALTY. (a) A person commits an
offense if the person:
(1) violates the registration requirements of this
chapter; or
(2) performs roofing services without a certificate
required by this chapter.
(b) An offense under this section is a Class C misdemeanor.
SECTION 2. Not later than March 31, 2012, the Texas
Commission of Licensing and Regulation and the Texas Department of
Licensing and Regulation, as appropriate, shall adopt rules and
forms necessary to implement Chapter 1307, Occupations Code, as
added by this Act.
SECTION 3. (a) Except as provided by Subsection (b) of this
section, this Act takes effect September 1, 2011.
(b) Section 1307.101, Occupations Code, and Subchapters D
and E, Chapter 1307, Occupations Code, as added by this Act, take
effect September 1, 2012.