Texas 2019 - 86th Regular

Texas House Bill HB4226 Latest Draft

Bill / Introduced Version Filed 03/12/2019

                            By: Nevárez H.B. No. 4226


 A BILL TO BE ENTITLED
 AN ACT
 relating to the creation of the Trades Board of the State of Texas;
 the licensure and regulation of plumbers, electricians, and air
 conditioning and refrigeration contractors; authorizing a fee.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Title 8, Occupations Code, is amended by adding
 Chapter 1306 to read as follows:
 CHAPTER 1306. REGULATION AND LICENSING OF PLUMBERS, ELECTRICIANS,
 AND AIR CONDITIONING AND REFRIGERATION CONTRACTORS
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 1306.001.  SHORT TITLE. This chapter may be cited as
 the Texas Trades Board Law.
 Sec. 1306.002.  DEFINITIONS. In this chapter:
 (1)  "Board" means the Trades Board for the State of
 Texas.
 (2)  "Executive director" means the executive director
 of the Trades Board for the State of Texas.
 Sec. 1306.003.  APPLICATION OF SUNSET ACT. The Trades Board
 for the State of Texas is subject to Chapter 325, Government Code
 (Texas Sunset Act). Unless continued in existence as provided by
 that chapter, the board is abolished and this chapter expires
 September 1, 2031.
 Sec. 1306.004.  NONAPPLICABILITY OF LAW GOVERNING
 CANCELLATION OF CERTAIN TRANSACTIONS. Except as otherwise provided
 by this section, Chapter 601, Business & Commerce Code, does not
 apply to a good or service provided by a license holder under this
 chapter if the transaction involving the good or service is
 initiated by the consumer. Chapter 601, Business & Commerce Code,
 does apply to a transaction that involves a breach of express
 warranty or a negligent installation in violation of a building
 code applicable to the good or service sold to the consumer.
 SUBCHAPTER B. TRADES BOARD OF THE STATE OF TEXAS
 Sec. 1306.10.  TRADES BOARD OF THE STATE OF TEXAS. (a) The
 Trades Board of the State Of Texas consists of nine members
 appointed by the governor with the advice and consent of the senate
 as follows:
 (1)  one member who has at least 10 years' practical
 experience and is licensed as a master plumber;
 (2)  one member who has at least five years' practical
 experience and is licensed as a journeyman plumber;
 (3)  one member who has at least five years' practical
 experience and is licensed as a plumbing inspector;
 (4)  one master electrician member;
 (5)  one journeyman electrician;
 (6)  one master sign electrician member;
 (7)  one must be a full-time licensed air conditioning
 and refrigeration contractor who holds a Class A license and
 practices in a municipality with a population of more than 250,000;
 (8)  one member must be a full-time licensed air
 conditioning and refrigeration contractor who holds a Class B
 license and practices in a municipality with a population of more
 than 250,000; and
 (9)  one member who holds a license of any
 classification under this chapter, is principally engaged in air
 conditioning and refrigeration contracting, and practices in a
 municipality with a population of not more than 25,000.
 (b)  Each member of the board must be a United States
 citizen.
 (c)  Appointments to the board shall be made without regard
 to the race, color, disability, sex, religion, age, or national
 origin of the appointee.
 Sec. 1306.11.  MEMBERSHIP AND EMPLOYEE RESTRICTIONS. (a)
 In this section, "Texas trade association" means a cooperative and
 voluntarily joined statewide association of business or
 professional competitors in this state designed to assist its
 members and its industry or profession in dealing with mutual
 business or professional problems and in promoting their common
 interest.
 (b)  A person may not be a member of the board and may not be a
 board employee employed in a "bona fide executive, administrative,
 or professional capacity," as that phrase is used for purposes of
 establishing an exemption to the overtime provisions of the federal
 Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.),
 and its subsequent amendments, if:
 (1)  the person is an officer, employee, or paid
 consultant of a Texas trade association in the field of building
 construction; or
 (2)  the person's spouse is an officer, manager, or paid
 consultant of a Texas trade association in the field of building
 construction.
 (c)  A person may not be a member of the board or act as the
 general counsel to the board or the agency if the person is required
 to register as a lobbyist under Chapter 305, Government Code,
 because of the person's activities for compensation on behalf of a
 profession related to the operation of the agency.
 Sec. 1306.12.  ISSUANCE OF COMMISSION. On presentation of
 the constitutional oath of office and a certificate of appointment,
 the secretary of state shall issue a commission to a board member as
 evidence of the person's authority to act as a board member.
 Sec. 1306.13.  GROUNDS FOR REMOVAL. (a) It is a ground for
 removal from the board that a member:
 (1)  does not have at the time of taking office the
 qualifications required by this chapter;
 (2)  does not maintain during service on the board the
 qualifications required by this chapter;
 (3)  is ineligible for membership under Section
 1306.12;
 (4)  cannot, because of illness or disability,
 discharge the member's duties for a substantial part of the member's
 term; or
 (5)  is absent from more than half of the regularly
 scheduled board meetings that the member is eligible to attend
 during a calendar year without an excuse approved by a majority vote
 of the board.
 (b)  The validity of an action of the board is not affected by
 the fact that it is taken when a ground for removal of a board member
 exists.
 (c)  If the executive director has knowledge that a potential
 ground for removal exists, the executive director shall notify the
 presiding officer of the board of the potential ground. The
 presiding officer shall then notify the governor and the attorney
 general that a potential ground for removal exists. If the
 potential ground for removal involves the presiding officer, the
 executive director shall notify the next highest ranking officer of
 the board, who shall then notify the governor and the attorney
 general that a potential ground for removal exists.
 Sec. 1306.14.  OFFICERS. (a) The governor shall designate a
 member of the board as the presiding officer of the board to serve
 in that capacity at the pleasure of the governor.
 (b)  The board shall elect a secretary from its membership.
 Sec. 1306.15.  PER DIEM; REIMBURSEMENT. (a) A board member
 may not receive a fixed salary for service on the board.
 (b)  A board member is entitled to receive a per diem as set
 by the General Appropriations Act for each day the member engages in
 the business of the board.
 (c)  A board member may not receive reimbursement for travel
 expenses, including expenses for meals and lodging, other than
 transportation expenses. A member is entitled to reimbursement for
 transportation expenses as provided by the General Appropriations
 Act.
 Sec. 1306.16.  TRAINING. (a) A person who is appointed to
 and qualifies for office as a member of the board may not vote,
 deliberate, or be counted as a member in attendance at a meeting of
 the board until the person completes a training program that
 complies with this section.
 (b)  The training program must provide the person with
 information regarding:
 (1)  this chapter;
 (2)  the programs operated by the agency;
 (3)  the role and functions of the agency;
 (4)  the rules of the agency, with an emphasis on the
 rules that relate to disciplinary and investigatory authority;
 (5)  the current budget for the agency;
 (6)  the results of the most recent formal audit of the
 agency;
 (7)  the requirements of:
 (A)  the open meetings law, Chapter 551,
 Government Code;
 (B)  the public information law, Chapter 552,
 Government Code;
 (C)  the administrative procedure law, Chapter
 2001, Government Code; and
 (D)  other laws relating to public officials,
 including conflict-of-interest laws; and
 (8)  any applicable ethics policies adopted by the
 agency or the Texas Ethics Commission.
 (c)  A person appointed to the board is entitled to
 reimbursement, as provided by the General Appropriations Act, for
 the travel expenses incurred in attending the training program
 regardless of whether the attendance at the program occurs before
 or after the person qualifies for office.
 SUBCHAPTER C. BOARD POWERS AND DUTIES
 Sec. 1306.20.  GENERAL DUTIES OF BOARD. The board shall:
 (1)  administer this chapter and chapters 1301, 1302,
 and 1305 of this code;
 (2)  adopt and enforce rules necessary to administer
 this chapter and chapters 1301, 1302, and 1305 of this code; and
 (3)  keep a record of each proceeding conducted before
 and action taken by the board.
 Sec. 1306.21.  RULES RESTRICTING ADVERTISING OR COMPETITIVE
 BIDDING. (a) The board may not adopt a rule restricting advertising
 or competitive bidding by a person licensed under this chapter
 except to prohibit false, misleading, or deceptive practices by the
 person.
 (b)  The board may not include in its rules to prohibit
 false, misleading, or deceptive practices a rule that:
 (1)  restricts the person's use of any medium for
 advertising;
 (2)  restricts the person's personal appearance or use
 of the person's voice in an advertisement;
 (3)  relates to the size or duration of an
 advertisement by the person; or
 (4)  restricts the person's advertisement under a trade
 name.
 Sec. 1306.22.  FEES. The board shall set fees in amounts
 that are reasonable and necessary to cover the cost of
 administering this chapter or chapters 1301, 1302, and 1305 of this
 code.
 Sec. 1306.23.  ADOPTION OF PLUMBING CODES. (a) The board
 shall adopt the following plumbing codes, as those codes existed on
 May 31, 2001:
 (1)  the Uniform Plumbing Code, as published by the
 International Association of Plumbing and Mechanical Officials;
 and
 (2)  the International Plumbing Code, as published by
 the International Code Council.
 (b)  The board by rule may adopt later editions of the
 plumbing codes listed in Subsection (a).
 (c)  Plumbing installed in an area not otherwise subject to
 regulation under this chapter by a person licensed under this
 chapter must be installed in accordance with a plumbing code
 adopted by the board under Subsection (a) or (b).
 (d)  In adopting a code for the design, installation, and
 maintenance of a plumbing system under this section, a municipality
 or an owner of a public water system may amend any provisions of the
 code to conform to local concerns that do not substantially vary
 from board rules or other rules of this state.
 (e)  Plumbing installed in compliance with a code adopted
 under Subsection (a), (b), or (d) must be inspected by a plumbing
 inspector. To perform the inspection, the political subdivision
 may contract with any plumbing inspector or qualified plumbing
 inspection business, as determined by the political subdivision,
 that is paid directly by the political subdivision.
 Sec. 1306.24.  GENERAL POWERS AND DUTIES PERTAINING TO
 ELECTRICIANS. (a) The executive director or the board, as
 appropriate, shall:
 (1)  by rule establish the financial responsibility
 requirements for electrical contractors; and
 (2)  after publication of the National Electrical Code
 by the National Fire Protection Association every three years,
 adopt the revised National Electrical Code as the electrical code
 for the state.
 (b)  The executive director or the board, as appropriate,
 may:
 (1)  establish reciprocity agreements with other
 states that have licensing requirements substantially equivalent
 to the requirements of this chapter or chapter 1305 of this code;
 and
 (2)  take other action as necessary to administer and
 enforce this chapter and chapter 1305 of this code.
 Sec. 1306.25.  RULES. (a) The board shall adopt rules for
 the licensing of electricians, sign electricians, electrical sign
 contractors, electrical contractors, journeyman industrial
 electricians, journeyman linemen, residential appliance
 installers, and residential appliance installation contractors as
 prescribed by this chapter.
 (b)  The executive director by rule shall prescribe
 descriptions of the types of activities that may be performed by
 each class of license holder under this chapter.
 (c)  The executive director by rule shall adopt standards of
 conduct requirements for license holders under this chapter.
 (d)  The board may adopt rules regarding the registration of
 apprenticeship training programs and to require registered
 programs to report the names of persons enrolled in the programs.
 Sec. 1306.26.  PERSONNEL. The department may employ
 personnel necessary to administer and enforce this chapter and
 chapters 1301, 1302, 1305 of this code.
 Sec. 1306.26.  SUBPOENA. (a) The board may request and, if
 necessary, compel by subpoena:
 (1)  the attendance of a witness for examination under
 oath; and
 (2)  the production for inspection and copying of
 records, documents, and other evidence relevant to the
 investigation of an alleged violation of this chapter.
 (b)  The board, acting through the attorney general, may
 bring an action to enforce a subpoena issued under Subsection (a)
 against a person who fails to comply with the subpoena.
 (c)  Venue for an action brought under Subsection (b) is in a
 district court in:
 (1)  Travis County; or
 (2)  any county in which the board may hold a hearing.
 (d)  The court shall order compliance with the subpoena if
 the court finds that good cause exists to issue the subpoena.
 Sec. 1306.27.  ADVISORY COMMITTEES. The board may appoint
 advisory committees as it considers necessary. An advisory
 committee shall serve without compensation or reimbursement and is
 subject to Section 2110.008, Government Code.
 Sec. 1306.28.  BOARD COMMITTEES. (a) The board may create
 committees to assist the board in exercising its powers and duties.
 (b)  The presiding officer of the board shall appoint the
 members of the committees. Except as provided by Subsection (c),
 each committee member must be a member of the board.
 (c)  The presiding officer may appoint only members of the
 agency staff to an enforcement committee that reviews complaints
 and license registration and reviews endorsement applications
 submitted by applicants who have a criminal conviction history
 affected by Chapter 53.
 Sec. 1306.29.  MEMORANDUM OF UNDERSTANDING. (a) The board
 and the Texas Department of Licensing and Regulation shall enter
 into a memorandum of understanding to improve services and
 coordinate the functions of each agency.
 (b)  The memorandum of understanding must:
 (1)  require each agency to share:
 (A)  information technology to support the
 regulation and enforcement of occupational licenses; and
 (B)  information on regulatory practices for
 licensed occupations, including policy issues that affect the
 regulation of licensed occupations, standardization of complaint
 and enforcement techniques, and model licensing techniques;
 (2)  authorize enforcement officers from each agency to
 check licenses, registrations, or endorsements held by persons
 practicing occupations regulated by the other agency and report
 noncompliance to that agency; and
 (3)  state the circumstances when a joint investigation
 between the board and the Texas Department of Licensing and
 Regulation is appropriate.
 Sec. 1306.291.  POLICY ON TECHNOLOGICAL SOLUTIONS. The
 board shall develop and implement a policy requiring the executive
 director and agency employees to research and propose appropriate
 technological solutions to improve the agency's ability to perform
 its functions. The technological solutions must:
 (1)  ensure that the public is able to easily find
 information about the agency on the Internet;
 (2)  ensure that persons who want to use the agency's
 services are able to:
 (A)  interact with the agency through the
 Internet; and
 (B)  access any service that can be provided
 effectively through the Internet; and
 (3)  be cost-effective and developed through the
 agency's planning processes.
 Sec. 1306.292.  NEGOTIATED RULEMAKING AND ALTERNATIVE
 DISPUTE RESOLUTION. (a) The board shall develop and implement a
 policy to encourage the use of:
 (1)  negotiated rulemaking procedures under Chapter
 2008, Government Code, for the adoption of agency rules; and
 (2)  appropriate alternative dispute resolution
 procedures under Chapter 2009, Government Code, to assist in the
 resolution of internal and external disputes under the agency's
 jurisdiction.
 (b)  The agency's procedures relating to alternative dispute
 resolution must conform, to the extent possible, to any model
 guidelines issued by the State Office of Administrative Hearings
 for the use of alternative dispute resolution by state agencies.
 (c)  The board shall designate a trained person to:
 (1)  coordinate the implementation of the policy
 adopted under Subsection (a);
 (2)  serve as a resource for any training needed to
 implement the procedures for negotiated rulemaking or alternative
 dispute resolution; and
 (3)  collect data concerning the effectiveness of those
 procedures, as implemented by the agency.
 SUBCHAPTER D. CONSUMER INTEREST INFORMATION AND COMPLAINT
 PROCEDURES
 Sec. 1306.301.  CONSUMER INTEREST INFORMATION. (a) The
 board shall prepare information of consumer interest describing the
 regulatory functions of the board and the procedures by which
 consumer complaints are filed with and resolved by the board.
 (b)  The board shall make the information available to the
 public and appropriate state agencies.
 Sec. 1306.3015.  PUBLIC PARTICIPATION. The board shall
 develop and implement policies that provide the public with a
 reasonable opportunity to appear before the board and to speak on
 any issue under the jurisdiction of the agency.
 Sec. 1306.303.  COMPLAINTS. (a) The board may investigate
 an alleged violation of this chapter of chapters 1301, 1302, or 1305
 of this code by a person who:
 (1)  is licensed under this chapter or chapters 1301,
 1302, or 1305 of this code;
 (2)  is the owner of a company or contractor subject to
 this chapter or chapters 1301, 1302, or 1305 of this code; or
 (3)  performs plumbing, acts a electrician, or an air
 conditioning and refrigeration contractor without holding a
 license under this chapter or chapters 1301, 1302, or 1305.
 (b)  The board shall maintain a file on each written
 complaint filed with the board. The file must include:
 (1)  the name of the person who filed the complaint;
 (2)  the date the complaint is received by the agency;
 (3)  the subject matter of the complaint;
 (4)  the name of any municipality and the county in
 which the conduct that is the subject of the complaint occurred;
 (5)  the name of each person contacted in relation to
 the complaint;
 (6)  a summary of the results of the review or
 investigation of the complaint; and
 (7)  an explanation of the reason the file was closed,
 if the agency closed the file without taking action other than to
 investigate the complaint.
 (c)  The agency shall provide to the person filing the
 complaint and to each person who is a subject of the complaint a
 copy of the agency's policies and procedures relating to complaint
 investigation and resolution.
 (d)  The board, at least quarterly and until final
 disposition of the complaint, shall notify the person filing the
 complaint and each person who is a subject of the complaint of the
 status of the investigation unless the notice would jeopardize an
 undercover investigation.
 (e)  The board by rule shall assign priorities and prescribe
 investigative procedures for investigations of complaints based
 on:
 (1)  the severity of the conduct alleged in the
 complaint; and
 (2)  the degree of harm to public health, safety, or
 property.
 (f)  The board shall maintain information about complaints,
 including source, type, and geographical area, to identify and
 address regulatory problem areas and focus enforcement in those
 areas.
 Sec. 1306.304.  INVESTIGATION OF COMPLAINTS. (a) The
 enforcement committee or an employee designated by the enforcement
 committee may investigate an alleged violation of this chapter,
 chapter 1301, 1302, or 1305 of this code or a board rule that is
 reported to the board.
 (b)  The enforcement committee shall determine whether a
 person has committed the violation and shall recommend appropriate
 sanctions to the board or, if the enforcement committee determines
 that the complaint is without merit, dismissal of the complaint.
 (c)  The board shall conduct joint investigations with the
 Texas Department of Licensing and Regulation as circumstances
 require.
 (d)  Unless a threat to health or safety exists, the board
 may choose to not investigate a complaint in which the person filing
 the complaint and the person who is the subject of the complaint are
 engaged in litigation related to the subject matter of the
 complaint until the outcome of the litigation is finally determined
 if the board determines the complaint process is being abused.
 SUBCHAPTER E. ADMINISTRATIVE PENALTY
 Sec. 1306.401.  IMPOSITION OF PENALTY. The board may impose
 an administrative penalty on a person who violates this chapter,
 chapter 1301, 1302, or 1305 of this code or a rule or order adopted
 under this chapter.
 Sec. 1306.402.  AMOUNT OF PENALTY. (a) The amount of an
 administrative penalty may not exceed $5,000 for each violation.
 Each day a violation continues or occurs is a separate violation for
 purposes of imposing a penalty.
 (b)  The amount of the penalty shall be based on:
 (1)  the seriousness of the violation, including:
 (A)  the nature, circumstance, extent, and
 gravity of any prohibited act; and
 (B)  the hazard or potential hazard created to the
 health, safety, or economic welfare of the public;
 (2)  the economic harm to property or the environment
 caused by the violation;
 (3)  the history of previous violations;
 (4)  the amount necessary to deter a future violation;
 (5)  efforts made to correct the violation; and
 (6)  any other matter that justice may require.
 (c)  The board by rule or through procedures adopted by the
 board and published in the Texas Register shall develop a
 standardized penalty schedule based on the criteria listed in
 Subsection (b).
 Sec. 1306.403.  REPORT AND NOTICE OF VIOLATION AND PENALTY.
 (a) If the enforcement committee determines that a violation
 occurred, the enforcement committee may issue to the board a report
 stating:
 (1)  the facts on which the determination is based; and
 (2)  the committee's recommendation on the imposition
 of the penalty, including a recommendation on the amount of the
 penalty.
 (b)  Not later than the 14th day after the date the report is
 issued, the enforcement committee shall give written notice of the
 report to the person.
 (c)  The notice must:
 (1)  include a brief summary of the alleged violation;
 (2)  state the amount of the recommended penalty; and
 (3)  inform the person of the person's right to a
 hearing on the occurrence of the violation, the amount of the
 penalty, or both.
 Sec. 1306.404.  PENALTY TO BE PAID OR HEARING REQUESTED. (a)
 Not later than the 20th day after the date the person receives the
 notice, the person in writing may:
 (1)  accept the determination and recommended penalty
 of the enforcement committee; or
 (2)  make a request for a hearing on the occurrence of
 the violation, the amount of the penalty, or both.
 (b)  If the person accepts the determination and recommended
 penalty of the enforcement committee, the board by order shall
 approve the determination and impose the recommended penalty.
 (c)  Failure to request a hearing or accept the determination
 and recommended penalty within the time provided by this section
 waives the right to a hearing under this chapter.
 (d)  If the board determines without a hearing that the
 person committed a violation and a penalty is to be imposed, the
 board shall:
 (1)  provide written notice to the person of the board's
 findings; and
 (2)  enter an order requiring the person to pay the
 recommended penalty.
 Sec. 1306.405.  HEARING. (a) If the person requests a
 hearing, the enforcement committee shall set a hearing and give
 written notice of the hearing to the person. An administrative law
 judge of the State Office of Administrative Hearings shall hold the
 hearing.
 (b)  The administrative law judge shall make findings of fact
 and conclusions of law and promptly issue to the board a proposal
 for a decision about the occurrence of the violation and the amount
 of a proposed penalty.
 Sec. 1306.406.  DECISION BY BOARD. (a) Based on the
 findings of fact, conclusions of law, and proposal for a decision,
 the board by order may:
 (1)  find that a violation occurred and impose a
 penalty; or
 (2)  find that a violation did not occur.
 (b)  The notice of the board's order given to the person must
 include a statement of the right of the person to judicial review of
 the order.
 Sec. 1306.407.  OPTIONS FOLLOWING DECISION: PAY OR APPEAL.
 (a) Not later than the 30th day after the date the board's order
 becomes final, the person shall:
 (1)  pay the penalty; or
 (2)  file a petition for judicial review contesting the
 occurrence of the violation, the amount of the penalty, or both.
 (b)  Failure by the person to pay the penalty is grounds for
 the board to refuse to renew the person's license or registration
 and to refuse to issue a new license or registration to the person.
 Sec. 1306.408.  STAY OF ENFORCEMENT OF PENALTY. (a) Within
 the 30-day period prescribed by Section 1306.707, a person who
 files a petition for judicial review may:
 (1)  stay enforcement of the penalty by:
 (A)  paying the penalty to the court for placement
 in an escrow account; or
 (B)  giving the court a supersedeas bond approved
 by the court that:
 (i)  is for the amount of the penalty; and
 (ii)  is effective until all judicial review
 of the board's order is final; or
 (2)  request the court to stay enforcement of the
 penalty by:
 (A)  filing with the court a sworn affidavit of
 the person stating that the person is financially unable to pay the
 penalty and is financially unable to give the supersedeas bond; and
 (B)  sending a copy of the affidavit to the
 enforcement committee by certified mail.
 (b)  If the enforcement committee receives a copy of an
 affidavit under Subsection (a)(2), the executive director may file
 with the court, not later than the fifth day after the date the copy
 is received, a contest to the affidavit.
 (c)  The court shall hold a hearing on the facts alleged in
 the affidavit as soon as practicable and shall stay the enforcement
 of the penalty on finding that the alleged facts are true. The
 person who files an affidavit has the burden of proving that the
 person is financially unable to pay the penalty and to give a
 supersedeas bond.
 Sec. 1306.409.  DECISION BY COURT. (a) If the court
 sustains the finding that a violation occurred, the court may
 uphold or reduce the amount of the penalty and order the person to
 pay the full or reduced amount of the penalty.
 (b)  If the court does not sustain the finding that a
 violation occurred, the court shall order that a penalty is not
 owed.
 Sec. 1306.410.  REMITTANCE OF PENALTY AND INTEREST. (a) If
 the person paid the penalty and if the amount of the penalty is
 reduced or the penalty is not upheld by the court, the court shall
 order, when the court's judgment becomes final, that the
 appropriate amount plus accrued interest be remitted to the person.
 (b)  The interest accrues at the rate charged on loans to
 depository institutions by the New York Federal Reserve Bank.
 (c)  The interest shall be paid for the period beginning on
 the date the penalty is paid and ending on the date the penalty is
 remitted.
 Sec. 1306.411.  RELEASE OF BOND. (a) If the person gave a
 supersedeas bond and the penalty is not upheld by the court, the
 court shall order, when the court's judgment becomes final, the
 release of the bond.
 (b)  If the person gave a supersedeas bond and the amount of
 the penalty is reduced, the court shall order the release of the
 bond after the person pays the reduced amount.
 Sec. 1306.412.  COLLECTION OF PENALTY. (a) If the person
 does not pay the penalty and the enforcement of the penalty is not
 stayed, the penalty may be collected.
 (b)  The attorney general may sue to collect the penalty.
 Sec. 1306.413.  ADMINISTRATIVE PROCEDURE. A proceeding to
 impose the penalty is considered to be a contested case under
 Chapter 2001, Government Code.
 SUBCHAPTER F . EXECUTIVE DIRECTOR AND OTHER BOARD PERSONNEL
 Sec. 1306.501.  EXECUTIVE DIRECTOR AND STAFF. (a) The board
 shall employ an executive director as the executive head of the
 agency.
 (b)  The board may employ personnel as necessary to
 administer this chapter, chapter 1301, 1302 or 1305 of this code.
 The board may determine the compensation and duties of its
 employees and the terms of their employment.
 Sec. 1306.502.  CAREER LADDER PROGRAM; PERFORMANCE
 EVALUATIONS. (a) The presiding officer of the board or the
 presiding officer's designee shall develop an intra-agency career
 ladder program. The program must require intra-agency posting of
 each nonentry level position at least 10 days before the date of any
 public posting.
 (b)  The presiding officer of the board or the presiding
 officer's designee shall develop a system of annual performance
 evaluations based on measurable job tasks. All merit pay for board
 employees must be based on the system established under this
 subsection.
 Sec. 1306.503.  EQUAL EMPLOYMENT OPPORTUNITY POLICY. (a)
 The executive director or the executive director's designee shall
 prepare and maintain a written policy statement that implements a
 program of equal employment opportunity to ensure that all
 personnel decisions are made without regard to race, color,
 disability, sex, religion, age, or national origin.
 (b)  The policy statement must include:
 (1)  personnel policies, including policies relating
 to recruitment, evaluation, selection, training, and promotion of
 personnel, that show the intent of the agency to avoid the unlawful
 employment practices described by Chapter 21, Labor Code; and
 (2)  an analysis of the extent to which the composition
 of the agency's personnel is in accordance with state and federal
 law and a description of reasonable methods to achieve compliance
 with state and federal law.
 (c)  The policy statement must:
 (1)  be updated annually;
 (2)  be reviewed by the state Commission on Human
 Rights for compliance with Subsection (b)(1); and
 (3)  be filed with the governor's office.
 Sec. 1306.504.  STANDARDS OF CONDUCT. The executive
 director or the executive director's designee shall provide to
 members of the board and to agency employees, as often as necessary,
 information regarding the requirements for office or employment
 under this chapter, including information regarding a person's
 responsibilities under applicable laws relating to standards of
 conduct for state officers or employees.
 Sec. 1306.505.  SEPARATION OF RESPONSIBILITIES. The board
 shall develop and implement policies that clearly separate the
 policy-making responsibilities of the board and the management
 responsibilities of the executive director and the staff of the
 agency.
 SECTION 2.  Sections 1301.002(1) and (1-b), Occupations
 Code, is amended to read as follows:
 1301.002.  DEFINITIONS. In this chapter:
 (1)  "Board" means the [Texas State Board of Plumbing
 Examiners] Trades Board for the State of Texas.
 (1-b) "Executive director" means the executive director
 of the [Texas State Board of Plumbing Examiners] Trades Board for
 the State of Texas.
 SECTION 3.  Section 1301.003, Occupations Code, is repealed.
 SECTION 4.  Subchapters C and E of Chapter 1301, Occupations
 Code, are repealed.
 SECTION 5.  Section 1301.201, Occupations Code, is repealed.
 SECTION 6.  Sections 1301.204, 1301.205, 1301.207, 1301.208
 Occupations Code, are repealed.
 SECTION 7.  Sections 1302.002(1), Occupations Code, is
 amended to read as follows:
 Sec. 1302.002.  DEFINITIONS. In this chapter:
 (1)  "[Advisory b]Board" means the [air conditioning
 and refrigeration contractors advisory board] Trades Board for the
 State of Texas.
 SECTION 8.  Sections 1302.101, Occupations Code, is amended
 to read as follows:
 Sec. 1302.101.  GENERAL POWERS AND DUTIES. (a) The
 [commission] board shall adopt rules for the practice of air
 conditioning and refrigeration contracting that are at least as
 strict as the standards provided by:
 (1)  the Uniform Mechanical Code; and
 (2)  the International Mechanical Code.
 (b)  The executive director shall prescribe the design of an
 original and a renewal license.
 (c)  The [commission] board shall maintain a record of the
 commission's proceedings under this chapter.
 (d)  The executive director may authorize disbursements
 necessary to implement this chapter, including disbursements for
 office expenses, equipment costs, and other necessary facilities.
 (e)  The department or board may examine any criminal
 conviction, guilty plea, or deferred adjudication of an applicant
 for issuance or renewal of a license, including by obtaining any
 criminal history record information permitted by law.
 SECTION 9.  Sections 1302.1011, Occupations Code, is amended
 to read as follows:
 Sec. 1302.1011.  RULES. The [commission] board shall adopt
 rules:
 (1)  providing for the licensing, certification, and
 registration of persons under this chapter, including requirements
 for the issuance and renewal of a contractor license, a technician
 certification, and a technician registration;
 (2)  establishing fees necessary for the
 administration of this chapter, including fees for issuance and
 renewal of a contractor license, a technician certification, and a
 technician registration; and
 (3)  implementing the requirements of this chapter as
 applicable to persons, entities, and activities regulated under
 this chapter.
 SECTION 10.  Subsection 1302.102 (a), Occupations Code, is
 amended to read as follows:
 Sec. 1302.102.  INSURANCE REQUIREMENTS. (a) The
 [commission] board by rule shall set insurance requirements for a
 license holder under this chapter.
 SECTION 11.  Sections 1302.103, Occupations Code, is amended
 to read as follows:
 Sec. 1302.103.  RULES REGARDING USE AND DISPLAY OF LICENSE.
 The [commission] board, with the advice of the advisory board,
 shall adopt rules relating to the use, display, and advertisement
 of a license.
 SECTION 12.  Subchapter E, Chapter 1302 Occupations Code, is
 repealed.
 SECTION 13.  Section 1302.261, Occupations Code, is amended
 to read as follows:
 Sec. 1302.261.  TEMPORARY LICENSE. The [commission] board
 by rule may provide for the issuance of a temporary air conditioning
 and refrigeration contracting license to an applicant who:
 (1)  submits to the executive director an application
 on a form prescribed by the executive director; and
 (2)  pays the required fees.
 SECTION 14.  Subsection 1302.506(b), Occupations Code, is
 amended to read as follows:
 (b)  The [commission] board shall adopt rules providing for
 the issuance of a temporary registration under this section,
 including the qualifications and fee required for the registration.
 SECTION 15.  Section 1305.002 (1), Occupations Code, is
 amended to read as follows:
 Sec. 1305.002.  DEFINITIONS. In this chapter:
 (1)  "[Advisory b]Board" means the [Electrical Safety
 and Licensing Advisory Board] Trades Board for the State of Texas.
 SECTION 16.  Subchapters B, Chapter 1302 Occupations Code,
 is repealed.
 SECTION 17.  Section 1305.101, Occupations Code, is amended
 to read as follows:
 Sec. 1305.101.  GENERAL POWERS AND DUTIES. (a) The
 executive director or [commission]board, as appropriate, shall:
 (1)  by rule establish the financial responsibility
 requirements for electrical contractors; and
 (2)  after publication of the National Electrical Code
 by the National Fire Protection Association every three years,
 adopt the revised National Electrical Code as the electrical code
 for the state.
 (b)  The executive director or [commissioner] board, as
 appropriate, may:
 (1)  establish reciprocity agreements with other
 states that have licensing requirements substantially equivalent
 to the requirements of this chapter; and
 (2)  take other action as necessary to administer and
 enforce this chapter.
 SECTION 18.  Section 1305.102, Occupations Code, is amended
 to read as follows:
 Sec. 1305.102.  RULES. (a) The [commission]board shall
 adopt rules for the licensing of electricians, sign electricians,
 electrical sign contractors, electrical contractors, journeyman
 industrial electricians, journeyman linemen, residential appliance
 installers, and residential appliance installation contractors as
 prescribed by this chapter.
 (b)  The executive director by rule shall prescribe
 descriptions of the types of activities that may be performed by
 each class of license holder under this chapter.
 (c)  The executive director by rule shall adopt standards of
 conduct requirements for license holders under this chapter.
 (d)  The [commission]board may adopt rules regarding the
 registration of apprenticeship training programs and to require
 registered programs to report the names of persons enrolled in the
 programs.
 SECTION 19.  Section 1305.103, Occupations Code, is amended
 to read as follows:
 Sec. 1305.103.  FEES. The [commission]board shall establish
 and collect reasonable and necessary fees in amounts sufficient to
 cover the costs of administering this chapter.
 SECTION 20.  Subsection 1305.161(d), Occupations Code, is
 amended to read as follows:
 (d)  The [commission]board by rule shall set the fee,
 establish the qualifications, and provide for the issuance of a
 temporary apprentice license under this section.
 SECTION 21.  Section 1305.1615, Occupations Code, is amended
 to read as follows:
 Sec. 1305.1615.  EMERGENCY ELECTRICIAN LICENSE. (a) The
 [commission]board by rule shall establish criteria and procedures
 for the issuance of an emergency electrician license following a
 disaster, as that term is defined by Section 418.004, Government
 Code, to a person licensed as an electrician in another state of the
 United States.
 (b)  An emergency license issued under this section expires
 on the 90th day after the date of issuance.
 (c)  The [commission]board, with the advice of the advisory
 board, may adopt rules that provide for the extension of an
 emergency license issued under this section.
 SECTION 22.  Subsection 1305.1615(c), Occupations Code, is
 amended to read as follows:
 (c)  The [commission]board shall adopt rules necessary to
 implement this section.
 SECTION 23.  Not later than March 1, 2020, the Trades Board
 of Texas shall adopt rules as required by this Act.
 SECTION 24.  The Texas Department of Licensing and
 Regulation shall assist the Trades Board for the State of Texas for
 one year after the effective date of this Act. The Trades Board of
 the State of Texas may hold its meetings at the present location of
 the Texas State Board of Plumbing Examiners.
 SECTION 25.  This Act takes effect September 1, 2019.