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S.B. 255 Enrolled





Chief Sponsor: Gene Davis

House Sponsor: James A. Dunnigan

             7      LONG TITLE
             8      General Description:
             9          This bill modifies provisions of the Utah Construction Trades Licensing Act dealing
             10      with the definition of a crane operator and the penalties for unlawful conduct provisions
             11      of the act.
             12      Highlighted Provisions:
             13          This bill:
             14          .    modifies the definition of a crane operator as related to the description of the type of
             15      crane used on a commercial construction project for which the crane operator must
             16      be certified to operate;
             17          .    provides penalties for a violation of the crane operator's certification provision in
             18      the Utah Construction Trades Licensing Act; and
             19          .    makes certain technical changes.
             20      Monies Appropriated in this Bill:
             21          None
             22      Other Special Clauses:
             23          This bill takes effect on July 1, 2007.
             24      Utah Code Sections Affected:
             25      AMENDS:
             26          58-55-503, as last amended by Chapter 45, Laws of Utah 2004
             27          58-55-504 (Effective 07/01/07), as enacted by Chapter 124, Laws of Utah 2006
             29      Be it enacted by the Legislature of the state of Utah:

             30          Section 1. Section 58-55-503 is amended to read:
             31           58-55-503. Penalty for unlawful conduct -- Citations.
             32          (1) (a) (i) [Any] A person who violates Subsection 58-55-308 (2) [or], Subsection
             33      58-55-501 (1), (2), (3), (4), (5), (6), (7), (9), (10), (12), (14), or (15), or Subsection
             34      58-55-504 (2), or who fails to comply with a citation issued under this section after it is final, is
             35      guilty of a class A misdemeanor. [Any]
             36          (ii) As used in this section in reference to Subsection 58-55-504 (2), "person" means an
             37      individual and does not include a sole proprietorship, joint venture, corporation, limited
             38      liability company, association, or organization of any type.
             39          (b) A person who violates the provisions of Subsection 58-55-501 (8) may not be
             40      awarded and may not accept a contract for the performance of the work.
             41          (2) [Any] A person who violates the provisions of Subsection 58-55-501 (13) is guilty
             42      of an infraction unless the violator did so with the intent to deprive the person to whom money
             43      is to be paid of the money received, in which case the violator is guilty of theft, as classified in
             44      Section 76-6-412 .
             45          (3) Grounds for immediate suspension of the licensee's license by the division and the
             46      commission include the issuance of a citation for violation of Subsection 58-55-308 (2) [or],
             47      Section 58-55-501 , or Subsection 58-55-504 (2), or the failure by a licensee to make application
             48      to, report to, or notify the division with respect to any matter for which application,
             49      notification, or reporting is required under this chapter or rules adopted under this chapter,
             50      including applying to the division for a new license to engage in a new specialty classification
             51      or to do business under a new form of organization or business structure, filing with the
             52      division current financial statements, notifying the division concerning loss of insurance
             53      coverage, or change in qualifier.
             54          (4) (a) If upon inspection or investigation, the division concludes that a person has
             55      violated the provisions of Subsection 58-55-308 (2) or Subsections 58-55-501 (1), (2), (3), (9),
             56      (10), (12), (14), (19), (21), or Subsection 58-55-504 (2), or any rule or order issued with respect
             57      to these subsections, and that disciplinary action is appropriate, the director or the director's

             58      designee from within the division shall promptly issue a citation to the person according to this
             59      chapter and any pertinent rules, attempt to negotiate a stipulated settlement, or notify the person
             60      to appear before an adjudicative proceeding conducted under Title 63, Chapter 46b,
             61      Administrative Procedures Act.
             62          (i) [Any] A person who is in violation of the provisions of Subsection 58-55-308 (2)
             63      [or], Subsection 58-55-501 (1), (2), (3), (9), (10), (12), (14), (19), or (21), or Subsection
             64      58-55-504 (2), as evidenced by an uncontested citation, a stipulated settlement, or by a finding
             65      of violation in an adjudicative proceeding, may be assessed a fine pursuant to this Subsection
             66      (4) and may, in addition to or in lieu of, be ordered to cease and desist from violating
             67      Subsection 58-55-308 (2) [or], Subsection 58-55-501 (1), (2), (3), (9), (10), (12), (14), (19), or
             68      (21), or Subsection 58-55-504 (2).
             69          (ii) Except for a cease and desist order, the licensure sanctions cited in Section
             70      58-55-401 may not be assessed through a citation.
             71          (iii) (A) A person who receives a citation or is fined for violating Subsection
             72      58-55-501 (21) may also be issued a cease and desist order from engaging in work to be
             73      performed by a contractor licensed under this chapter unless the person meets the continuing
             74      education requirement within 30 days after receipt of the citation or fine.
             75          (B) The order, if issued, shall be removed upon the person's completion of the
             76      continuing education requirement.
             77          (C) This Subsection (4)(a)(iii) is repealed effective July 1, 2010.
             78          (b) (i) Each citation shall be in writing and describe with particularity the nature of the
             79      violation, including a reference to the provision of the chapter, rule, or order alleged to have
             80      been violated.
             81          (ii) The citation shall clearly state that the recipient must notify the division in writing
             82      within 20 calendar days of service of the citation if the recipient wishes to contest the citation
             83      at a hearing conducted under Title 63, Chapter 46b, Administrative Procedures Act.
             84          (iii) The citation shall clearly explain the consequences of failure to timely contest the
             85      citation or to make payment of any fines assessed by the citation within the time specified in

             86      the citation.
             87          (c) Each citation issued under this section, or a copy of each citation, may be served
             88      upon [any] a person upon whom a summons may be served:
             89          (i) in accordance with the Utah Rules of Civil Procedure;
             90          (ii) personally or upon the person's agent by a division investigator or by [any] a person
             91      specially designated by the director; or
             92          (iii) by mail.
             93          (d) (i) If within 20 calendar days from the service of a citation, the person to whom the
             94      citation was issued fails to request a hearing to contest the citation, the citation becomes the
             95      final order of the division and is not subject to further agency review.
             96          (ii) The period to contest a citation may be extended by the division for cause.
             97          (e) The division may refuse to issue or renew, suspend, revoke, or place on probation
             98      the license of a licensee who fails to comply with a citation after it becomes final.
             99          (f) The failure of an applicant for licensure to comply with a citation after it becomes
             100      final is a ground for denial of license.
             101          (g) No citation may be issued under this section after the expiration of six months
             102      following the occurrence of any violation.
             103          (h) Fines shall be assessed by the director or the director's designee according to the
             104      following:
             105          (i) for a first offense handled pursuant to Subsection (4)(a), a fine of up to $1,000;
             106          (ii) for a second offense handled pursuant to Subsection (4)(a), a fine of up to $2,000;
             107      and
             108          (iii) for any subsequent offense handled pursuant to Subsection (4)(a), a fine of up to
             109      $2,000 for each day of continued offense.
             110          (i) (i) For purposes of issuing a final order under this section and assessing a fine under
             111      Subsection (4)(i), an offense constitutes a second or subsequent offense if:
             112          (A) the division previously issued a final order determining that a person committed a
             113      first or second offense in violation of Subsection 58-55-308 (2) [or], Subsection 58-55-501 (1),

             114      (2), (3), (9), (10), (12), (14), or (19), or Subsection 58-55-504 (2); or
             115          (B) (I) the division initiated an action for a first or second offense;
             116          (II) no final order has been issued by the division in the action initiated under
             117      Subsection (4)(i)(i)(B)(I);
             118          (III) the division determines during an investigation that occurred after the initiation of
             119      the action under Subsection (4)(i)(i)(B)(I) that the person committed a second or subsequent
             120      violation of the provisions of Subsection 58-55-308 (2) [or], Subsection 58-55-501 (1), (2), (3),
             121      (9), (10), (12), (14), or (19), or Subsection 58-55-504 (2); and
             122          (IV) after determining that the person committed a second or subsequent offense under
             123      Subsection (4)(i)(i)(B)(III), the division issues a final order on the action initiated under
             124      Subsection (4)(i)(i)(B)(I).
             125          (ii) In issuing a final order for a second or subsequent offense under Subsection
             126      (4)(i)(i), the division shall comply with the requirements of this section.
             127          (5) (a) [Any] A penalty imposed by the director under Subsection (4)(h) shall be
             128      deposited into the Commerce Service Fund. [Any]
             129          (b) A penalty which is not paid may be collected by the director by either referring the
             130      matter to a collection agency or bringing an action in the district court of the county in which
             131      the person against whom the penalty is imposed resides or in the county where the office of the
             132      director is located. [Any]
             133          (c) A county attorney or the attorney general of the state is to provide legal assistance
             134      and advice to the director in any action to collect the penalty.
             135          (d) In [any] an action brought to enforce the provisions of this section, reasonable
             136      attorney's fees and costs shall be awarded.
             137          Section 2. Section 58-55-504 (Effective 07/01/07) is amended to read:
             138           58-55-504 (Effective 07/01/07). Crane operators -- Required certification --
             139      Penalty for violation.
             140          (1) As used in this section:
             141          (a) "Commercial construction projects" means construction, alteration, repair,

             142      demolition, or excavation projects that do not involve:
             143          (i) single family detached housing;
             144          (ii) multifamily attached housing up to and including a fourplex; or
             145          (iii) commercial construction of not more than two stories above ground.
             146          (b) (i) "Crane operator" means an individual engaged in operating a crane, which for
             147      purposes of this section is a power-operated hoisting machine used in construction, demolition,
             148      or excavation work that has a power-operated winch, load-line, and boom moving laterally by
             149      the rotation of the machine on a carrier.
             150          (ii) It does not include operating a fork lift, digger derrick truck, aircraft, bucket truck,
             151      knuckle boom, side boom, mechanic's truck, or a vehicle or machine not using a
             152      power-operated winch and load-line.
             153          (2) (a) In order to operate a crane on commercial construction projects, an individual
             154      shall be certified as a crane operator by the National Commission for the Certification of Crane
             155      Operators or any other organization determined by the division to offer an equivalent testing
             156      and certification program that meets the requirements of the American Society of Mechanical
             157      Engineers ASME B 30.5 and the accreditation requirements of the National Commission for
             158      Certifying Agencies.
             159          (b) An individual who violates Subsection (2)(a) is guilty of a class A misdemeanor.
             160          (3) [A person] An individual engaged in construction or operation incidental to
             161      petroleum refining or electrical utility construction or maintenance is exempt from the crane
             162      operator certification requirement of Subsection (2)(a).
             163          [(4) An individual who violates Subsection (2) is guilty of a class A misdemeanor.]
             164          Section 3. Effective date.
             165          This bill takes effect on July 1, 2007.

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