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03-11-1997 iris Nr► CITY OF EDGEWATER CONSTRUCTION REGULATION BOARD CONFERENCE ROOM, COMMUNITY DEVELOPMENT TUESDAY, MARCH 11, 1997 7:00 P.M. COMMUNITY DEVELOPMENT AGENDA 139 EAST PARK AVENUE CALL TO ORDER ROLL CALL APPROVAL OF MINUTES January 28, 1997 UNFINISHED BUSINESS None at this time NEW BUSINESS 1) Review the Report of Construction Industry Study Committee (Board Members please bring copy of report provided to you at the January 28, 1997 meeting) ADJOURN Pursuant to Chapter 286, F.S., if an individual decides to appeal any decision made with respect to any matter considered at a meeting or hearing, that individual will need a record of the proceedings and will need to insure that a verbatim record of the proceedings is made. :tle h: \tonya \crb \agenda \march11.97 ,...., FAKE '' DEPARTMENT OF BUSINESS & PROFESSIONAL REGULATION o .-� F 'O-'� !C d� Lawton Chiles,Governor Richard T.Farrell,Secretary COD WE't ' MEMORANDUM TO: Building Code Administrators FORM: Arnaldo L.Abreu, Chairman Electrical Contractors Licensing Board RE: Construction Industry Study Committee Recommendation: Merger of CILB and ECLB DATE: February 3, 1997 The December 1996 Construction Industry Study Committee report recommends merger of the Electrical Contractors Licensing Board and Construction Industry Licensing Board. The electrical and alarm industry would be represented by one member each. The Electrical Contractors Licensing Board opposes this merger. The Electrical Contractors Licensing Board currently regulates 8,250 licensed contractors in 17 different licensure categories, reviews approximately 1,000 examination applications and 200 continuing education courses each year, presides over 200 disciplinary cases annually, and approve legislative and rule changes to meet current industry standards. All this is accomplished while operating below our fiscal budget which currently contains a cash balance of approximately $1,500,000. The Electrical Contractors Licensing Board feels very strongly this recommendation will hurt the electrical and alarm industry. Since our industry is very technical, it would not be possible for only two members of the Construction Industry Licensing Board to handle the above described workload in an efficient, knowledgeable, and timely manner. More importantly, the State's ability to protect the health, safety, and welfare of the public will be seriously curtailed. I urge you to contact committee members of the Senate Regulated Industries and Business Regulation and Consumer Affairs and express your opposition to the merger. Let's make sure our voice is heard as we strive to protect the public safety and maintain our professional standards. DIVISION OF PROFESSIONS ELECTRICAL CONTRACTORS' LICENSING BOARD NORTHWOOD CENTRE 1940 NORTH MONROE STREET TALLAHASSEE,FLORIDA 32399-0771 Tckphooe(904)488-3109 TDD 1-800-955.8771 N.., r✓ STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION r. OF TH Sr._� I o� REPORT OF CONSTRUCTION INDUSTRY STUDY COMMITIEE Submitted By: Andrea Serraes, Chair Construction Industry Study Committee CONSTRUCTION INDUSTRY STUDY COMMITTEE COMPOSITION 3 Representatives of Residential Contractors Ms. Andrea Serraes 1300 53rd Street West Palm Beach, FL 33407 Mr. Ronnie Coppenbarger 8713 Phillips Highway Jacksonville, FL 32216 Mr. Robert E. Watts,Jr. Blue Ridge Construction 2708 A Power Mill Court Tallahassee,FL 32301 3 Representatives of;Conxr�t lrc a!tontraetoxs Mr. Saul Rentz 1 219 N.W. 10th Avenue Gainesville, FL 32601 Mr. Jay D. Zuckerman P. O. Box 30158 Palm Beach Gardens, FL 33420 Mr. William B. Parker,Vice President Biltmore Construction Co., Inc. 1055 Ponce de Leon Boulevard Belleair, FL 34616 S Reprrstnt*tirCs f S ,itt � at i Mr. Mike Blankenship P.O. Box 6052 Tallahassee, FL 32301 Mr. Michael J. Silvers Silvers Systems, Inc. 2430 30th Avenue North St. Petersburg, FL 33713-2920 Mr. Elliot Sokolow 1700 Banks Road Margate, FL 33063 Mr. Larry Campbell Campbell Plumbing 3216 15th Street East Bradenton, FL 34205 i 1 Mr. Robert Zrallack 2851 Rogers Road Fort Pierce, FL 34981 2 Representatives of Subcontractors Licensed nder Chapter 489,Part Mr. David Deberry 13463 N. Main Street Jacksonville, FL 32218 Mr. Jesse Colley 225 Carswell Avenue Holly Hill, FL 32117 1 � resentative of Mus«� al o e nje.. Y. o s<'a 3uitdru or Construction L ce s ng Off c al Mr. Jerry Sparks Building Official Construction Services&Permitting Post Office Box 2842 St. Petersburg, FL 33731 1Re'`reett :te<of°:Coup It<f' ttdii `o'r ........::P:..:. <:«:: ��.w..,..::::..�:::�. :v::.ice:::..:: Co:►struction L setts g iO. c Mr. William F. Brod,Jr. 100 Australian Avenue Room#317 West Palm Beach, FL 33406 I Rcpc`esen tat ve of ti r #E't:±#co it€o Mr. J.B. Clark Fla. Building&Construction Trades Council 2071 Cynthia Drive Tallahassee, FL 32303 2 Consime�rcpresettats Mr. Joe Aponte 10576 Sandy Run Jupiter, FL 33478 Robert Stroh, Ph.D. University of Florida Post Office Box 115703 Gainesville, FL 32611-5703 -ii- c `re ► \ \�� IL 11 11 1 1/11/1x11 ********* CtTRRF.NT REGI TE,ATOR Y RC1ATZT)STI Tw:rr1RE& AE TTAORITY SLIBLIaMiariEE Robert Stroh, Ph.D., Chair J.B. Clark Jesse Colley Andrea Serraes Elliot Sokolow Jerry Sparks Mike Blankenship, Chair Ronnie Coppenbarger William B. Parker David Deberry Saul Rentz Robert Zrallack 1: ;,tll:: < I' to > h � ® a 11 O teheltitti. ... William F. Brod, Jr., Chair Joe Aponte Larry Campbell Michael J. Silvers Robert E. Watts, Jr. Jay D. Zuckerman -iii- r + INTRODUCTION During the 1996 session, the Legislature of the State of Florida passed CS/HB 793, Section 15 of which established a Construction Industry Study Committee to review statutes relating to the - licensing and regulation of construction, electrical, and alarm system contracting and recommend changes in statute, process and procedure which will more efficiently accomplish the goals as set forth in Section 489.101, Florida Statutes. Specifically, the statute creating the Study Committee asked that the following issues be addressed: current regulatory board structure and authority; examination and licensure processes and procedures; regulatory and disciplinary jurisdiction and procedures; and revenue and budgeting issues. The 18-member Study Committee was appointed by Secretary Richard T. Farrell on June 21, 1996, with 15 members representing various segments of the contracting community, one representative of construction labor unions, and two consumer members. The Committee held six . public meetings over the course of a five-month period. In order to accomplish its tasks, the Committee established three subcommittees: Current Regulatory Board Structure and Authority, Licensure and Examination, and Regulatory and Disciplinary Functions. The Study Committee is pleased to offer its recommendations to the Governor, the Legislature, the Secretary of Business and Professional Regulation, local governments, persons licensed under Chapter 489, Florida Statutes, related professions and industries, and the public of Florida. The Committee recognizes that many of its recommendations will require statutory changes; however, some of them can be accomplished by existing regulatory Boards or the Department of Business and Professional Regulation. The members of the Study Committee would be pleased to work with all parties to develop and enact legislative proposals, make rule changes, and implement changes to existing policies and processes which will accomplish the recommendations enclosed. -iv- STATEMENT OF PURPOSE The Construction Industry Study Committee began its deliberations with unanimous concern about the regulatory system in the state for the construction industry and a unanimous sense of - purpose to make improvements to that system. The Committee shared a purpose of trying to improve the protection of the health, safety, and welfare of the public while also trying to ensure that the regulatory system does not burden licensees and the construction industry with unnecessary regulation which impedes compliance or raises the cost of doing business. At its first meeting, the Committee approved by a unanimous vote a recommendation to adopt a uniform, single tier licensing system in the State of Florida. The state would license all contractors currently licensed under Chapter 489, Florida Statutes. This uniform, single tier licensing system would supplant the bifurcated system currently in place in which the state licenses certified contractors and local jurisdictions license registered contractors. The Committee believes that uniform licensure at a state level would enhance public protection and simplify the system for both construction licensees and the public. Standards for the licensure of individuals would be uniform across the state, and the public would have greater assurance of the standards and a single place to turn when questions or issues arise. The single tier of licensure would also make it easier for licensees to work in multiple jurisdictions. The Committee also agreed unanimously that local governments and the state should work together to ensure that compliance with the laws is achieved. The enforcement of codes and the enforcement of select violations should occur at a local level, while discipline against a licensee's license should occur at the state level. The goal of the Committee's recommendations is also to ensure that the disciplinary system in place is uniform across the state. The Committee believes that protection of the public will be enhanced if standards for licensees can be raised and regulated on a state-wide basis. Compliance will be enhanced if the state and local governments can share responsibility and work cooperatively to enforce a uniform set of laws and rules. Uniform state-wide licensure and an enforcement and compliance system with shared responsibility between the state and local governments is the common purpose which guided the Committee's deliberations and is embedded in its recommendations. -v- RECOMMENDATIONS OF THE CONSTRUCTION INDUSTRY STUDY COMMITTEE LICENSING AND EXAMINATION PROCESSES AND PROCEDURES • Single-Tier Licensure - Establish a uniform, single tier licensing system which provides for the following: • The state licensing board(s) will determine licensure, examination and competency standards; • Existing registered contractors may remain as registered contractors and may renew licenses indefinitely for the local jurisdictions in which they held licenses previously; • Effective one year after date of enactment, all local jurisdictions will cease issuing new licenses; • A uniform system of disciplinary guidelines shall be established; • The local jurisdictions may investigate complaints against contractors; and adhering to the established disciplinary guidelines and procedures, may hold disciplinary proceedings; • The state licensing board(s) will act as an appellate body for such disciplinary proceedings; • This proposal applies only to those contractors currently licensed under Chapter 489, Parts I and II, Florida Statutes. • Initial Licensure: • Require applicants to provide a credit report which complies with Board rule. • Delete the$10,000 net worth financial responsibility requirement and require that applicants provide a current, compiled financial statement prepared by an accountant. • Bonding Requirement - Broaden the bonding requirement for licensure under Chapter 489, Florida Statutes, to encompass the violations addressed in Section 489.141(1)(a), Florida Statutes, with bond made payable to the Recovery Fund. • Financially Responsible Officer - Eliminate the Financially Responsible Officer license and develop an adequate system for licensing of businesses. • Reciprocity - Support the concept of reciprocity from state to state for licenses authorized by Chapter 489, Florida Statutes. -Page 1- f 1 *409 irfr • Occupational License: • Differentiate between "Occupational License" and competency certificate. • Amend appropriate Florida Statutes (Chapter 205, Florida Statutes) to _ delete the reference to "license" from the term "occupational-license" and replace with occupational "certificate" or some other reference. REGULATORY B.1 SX t r0. AND AU O 'Y • Construction Industry Licensing Board/Electrical Contractors Licensing Board - w Composition - Merge the Construction Industry Licensing Board (CILB) and the \` Electrical Contractors Licensing Board (ECLB) into one Board composed of 15 c members- 1 general contractor, 1 building contractor, 1 residential contractor, 7 sub- trades or specialty contractors identified in Division II of the CILB, 1 electrical contractor, 1 alarm contractor, 1 building official and 2 consumer members. Minority Position-Opposed to merger of CJLB and ECLB for the following • reasons: The ECLB is fiscally sound, and the Board has processed its caseload in a timely manner with very few problems. • CILB Board Office Location - Relocate Board office to Tallahassee. (Takes into consideration, the proposed merger of CILB and ECLB). • CILB/ECLB Meeting Frequency - Reduce the length and frequency of Board meetings when possible. • Privatization-.Privatize any and all ministerial functions of Department of Business and Professional Regulation which will lead to increased efficiency, lower costs or improved service or capability to the State of Florida with the exception of those functions related to receiving of complaints, complaint analysis, determination of legal sufficiency and any other activities related to the police powers of Department of Business and Professional Regulation. • Continuing Education - Support continuation of continuing education and request enhancement of the program; specifically, more emphasis on core courses and quality - of providers. • Computer Based Testing- Endorse the concept of computer based testing. -Page 2- c REGULATORY AND 13IS IP.1 I AItY JURISTIC IONAND FUNCTIONS • Uniform Disciplinary Model- Establish a uniform disciplinary model which provides for the following: • Local governments may discipline all construction licensees for violations defined by Rules 61G4-19.001, F.A.C., 61G6-11.001, F.A.C., and knowing violations of the building code. Penalties shall be limited to notices of non-compliance; suspension of permitting privileges; imposition of fines in compliance with guidelines established by the state licensing board(s) or a commission appointed by either the Department of Business and Professional Regulation or the Governor; and probation for permitting privileges. • The enforcement authority of the local government must meet the accreditation requirements for uniform discipline established by the state _ licensing board(s) or a commission appointed by either the Department of Business and Professional Regulation or the Governor. If it doesn't meet the accreditation requirements, the local government shall file a complaint for the state to investigate. • Local governments may establish their own enforcement authority. The Department of Business & Professional Regulation and the state licensing board(s) shall assume disciplinary responsibility in the absence of a local authority. The state shall retain the authority to open a case in any jurisdiction at any time. • Governments opting to discipline contractors in accordance with the accreditation requirements would receive a percentage of the state licensure revenue and retain all fines collected and investigative costs imposed. • Contractors disciplined by a local authority will have the right to appeal to the state licensing board(s); and, if appealed, all penalties except those related to local permitting privileges will be suspended until action by the state licensing board(s). If appealed, the state licensing board(s) shall retain final authority to modify, amend, or dismiss any locally imposed disciplinary action at its sole discretion. • If, during the investigation of a case, a local entity discovers potential violations which are outside the scope of its jurisdiction as defined in paragraph one above, the case shall be remanded to the state licensing board(s) for further action. -Page 3- r iur • Accreditation Requirements - The state licensing board(s) or the Commission established to develop accreditation requirements should consider the following elements as guidelines in establishing accreditation criteria: • The local government shall establish a governing body with the authority to discipline licensees. This governing body shall be organized separately from the building department of the local government and shall include, whenever practical, representation by a person or persons licensed under Chapter 489, Florida Statutes. • If a local government chooses to discipline licensees, the local governing body shall provide due process protections in any disciplinary action to all licensees which are consistent with the Florida and United States Constitutions. These due process protections shall include: notice of charges against a licensee by personal service, certified mail, or notice by publication; notice of any action against the licensee, notice of an opportunity for the complainant and the licensee to present evidence and testimony on his/her behalf; and maintenance and retention of pertinent records, evidence, and testimony in any disciplinary action. • The violations for which licensees can be disciplined by a local government authority shall be specified in either statute or the rules of the state licensing board(s). The fines for the violations shall also be specified by statute or rule and shall be uniform across the State. • Orders imposing discipline by a local governing body shall include the following: a clear identification of the statute or rule violated; a clear statement of the factual basis for the charges; evidence that notice of the charges and notice of an opportunity to appear were given; findings of fact by the disciplinary authority; conclusions of law which demonstrate a violation of statute or rule; a statement of the penalty and any reasonable investigative and legal costs imposed; and a clear statement informing the licensee of the right to appeal the disciplinary action. • The accreditation process shall include an accreditation review process. Accredited local governing bodies shall be reviewed periodically to ensure - compliance with uniform standards. The accreditation review process shall be supported by sufficient resources and authority to ensure that local governing bodies are complying with minimum standards. • The accreditation committee shall develop guidelines for an alternative dispute resolution procedure which shall be adopted for use by both the local regulatory authority as well as the state licensing board(s). -Page 4- c s • Building Code Enforcement-The Construction Industry Study Committee supports a uniform building code. • Qualifying Agent/Qualified Business - The business and the qualifying agent shall be held liable for application of Chapter 489, Florida Statutes. • Confidentiality: • Retain confidentiality provisions now in place and extend them to include local disciplinary authorities. • Amend Section 455.225, Florida Statutes, relating to disciplinary procedures and confidentiality of complaints to clarify that it applies to licensees only. • Access to Information - Continue facilitating public access to information in the Department of Business and Professional Regulation through the Internet; continue streamlining and expediting the complaint process; and provide adequate funding for resources within DBPR's annual budget to expedite the complaint process. CONSTRV T'I(}NAND: ST titiO ' a]8' lit • Amend Section 489.140, Florida Statutes, to eliminate Board-ordered restitution as a means to access the Construction Industry Recovery Fund. Civil judgments shall be the only basis for accessing the Fund. JOURNEVIVIAWLICVISUtt ..... .......................................................................... • Reciprocity: • Mandatory reciprocity by local jurisdictions that have journeyman licensure requirements and who meet minimum standards. • Mandatory reciprocity and adoption of minimum standards by local jurisdictions that have electrical, plumbing/pipefitting, mechanical and HVAC journeyman licensure requirements. Minimum standards shall include: 70% passing score on Block examination or equivalent examination approved by the state licensing board(s); 75% passing score subsequent to October 1, 1997, on Block examination or equivalent examination approved by the state licensing board(s); -Page 5- Nero Completion of an approved apprenticeship program (registered with FDLES) and four (4) years verifiable practical experience; or Six (6) years verifiable practical experience; Journeyman shall not have had suspension or revocation of license in last five (5) years. • Registration Fee - Local governments' reciprocity registration fee shall not exceed $25.00. CJNZICENSED AcrivrrY • Amend Sections 489.127 and 489.531, Florida Statutes, to increase penalties for unlicensed activity from a first degree misdemeanor(maximum of 1 year in prison or $1,000 fine) to a third degree felony(maximum of 5 years in prison or $5,000 fine). The following will be subject to a third degree felony: work valued at more than $1,000; second offense regardless of the value; any work during the existence of a state of emergency. The following will not be subject to a third degree felony: - work valued at less that $1,000 (no penalty- handyman exemption); work willfully performed out of the geographical scope of one's license(This is proposed to be a first degree misdemeanor); - any work outside the licensee's scope of license(This is proposed to be a first degree misdemeanor). -Page 6-