Download Zipped Introduced WordPerfect HB0232S01.ZIP
[Status][Bill Documents][Fiscal Note][Bills Directory]

First Substitute H.B. 232

Representative Darin G. Peterson proposes the following substitute bill:




Sponsor: Darin G. Peterson

             6      LONG TITLE
             7      General Description:
             8          This bill amends provisions related to water well drilling.
             9      Highlighted Provisions:
             10          This bill:
             11          .    amends the definition of "well drilling";
             12          .    amends well drilling licensing and construction provisions; and
             13          .    amends well drilling bonding provisions.
             14      Monies Appropriated in this Bill:
             15          None
             16      Other Special Clauses:
             17          None
             18      Utah Code Sections Affected:
             19      AMENDS:
             20          58-55-305, as last amended by Chapter 104, Laws of Utah 2003
             21          73-3-24, as last amended by Chapter 25, Laws of Utah 1987
             22          73-3-25, as last amended by Chapters 25 and 161, Laws of Utah 1987
             24      Be it enacted by the Legislature of the state of Utah:
             25          Section 1. Section 58-55-305 is amended to read:

             26           58-55-305. Exemptions from licensure.
             27          (1) In addition to the exemptions from licensure in Section 58-1-307 , the following
             28      persons may engage in acts or practices included within the practice of construction trades,
             29      subject to the stated circumstances and limitations, without being licensed under this chapter:
             30          (a) an authorized representative of the United States government or an authorized
             31      employee of the state or any of its political subdivisions when working on construction work of
             32      the state or the subdivision, and when acting within the terms of the person's trust, office, or
             33      employment;
             34          (b) a person engaged in construction or operation incidental to the construction and
             35      repair of irrigation and drainage ditches of regularly constituted irrigation districts, reclamation
             36      districts, and drainage districts or construction and repair relating to farming, dairying,
             37      agriculture, livestock or poultry raising, metal and coal mining, quarries, sand and gravel
             38      excavations, well drilling, as defined in Subsection 73-3-24 (3), hauling to and from
             39      construction sites, and lumbering;
             40          (c) public utilities operating under the rules of the Public Service Commission on
             41      construction work incidental to their own business;
             42          (d) sole owners of property engaged in building:
             43          (i) no more than one residential structure per year and no more than three residential
             44      structures per five years on their property for their own noncommercial, nonpublic use; except,
             45      a person other than the property owner or individuals described in Subsection (1)(e), who
             46      engages in building the structure must be licensed under this chapter if the person is otherwise
             47      required to be licensed under this chapter; or
             48          (ii) structures on their property for their own noncommercial, nonpublic use which are
             49      incidental to a residential structure on the property, including sheds, carports, or detached
             50      garages;
             51          (e) (i) a person engaged in construction or renovation of a residential building for
             52      noncommercial, nonpublic use if that person:
             53          (A) works without compensation other than token compensation that is not considered
             54      salary or wages; and
             55          (B) works under the direction of the property owner who engages in building the
             56      structure;

             57          (ii) for purposes of this Subsection (1)(e), "token compensation" means compensation
             58      paid by a sole owner of property exempted from licensure under Subsection (1)(d) to a person
             59      exempted from licensure under this Subsection (1)(e), that is:
             60          (A) minimal in value when compared with the fair market value of the services
             61      provided by the person;
             62          (B) not related to the fair market value of the services provided by the person; and
             63          (C) is incidental to providing of services by the person including paying for or
             64      providing meals or refreshment while services are being provided, or paying reasonable
             65      transportation costs incurred by the person in travel to the site of construction;
             66          (f) a person engaged in the sale or merchandising of personal property that by its design
             67      or manufacture may be attached, installed, or otherwise affixed to real property who has
             68      contracted with a person, firm, or corporation licensed under this chapter to install, affix, or
             69      attach that property;
             70          (g) a contractor submitting a bid on a federal aid highway project, if, before
             71      undertaking construction under that bid, the contractor is licensed under this chapter;
             72          (h) (i) a person engaged in the alteration, repair, remodeling, or addition to or
             73      improvement of a building with a contracted or agreed value of less than $1,000, including
             74      both labor and materials, and including all changes or additions to the contracted or agreed
             75      upon work;
             76          (ii) notwithstanding Subsection (1)(h)(i):
             77          (A) work in the plumbing and electrical trades must be performed by a licensed
             78      electrician or plumber except as otherwise provided in this section; and
             79          (B) installation, repair, or replacement of a residential or commercial gas appliance or a
             80      combustion system must be performed by a person who has received certification under
             81      Subsection 58-55-308 (2);
             82          (i) a person practicing a specialty contractor classification or construction trade which
             83      is not classified by rule by the director as significantly impacting the public's health, safety, and
             84      welfare;
             85          (j) owners and lessees of property and persons regularly employed for wages by owners
             86      or lessees of property or their agents for the purpose of maintaining the property, are exempt
             87      from this chapter when doing work upon the property;

             88          (k) (i) a person engaged in minor plumbing work incidental to the replacement or
             89      repair of a fixture or an appliance in a residential or small commercial building, or structure
             90      used for agricultural use, as defined in Section 58-56-4 , provided that no modification is made
             91      to:
             92          (A) existing culinary water, soil, waste, or vent piping; or
             93          (B) a gas appliance or combustion system;
             94          (ii) except as provided in Subsection (1)(e), installation for the first time of a fixture or
             95      an appliance is not included in the exemption provided under Subsection (1)(k)(i);
             96          (l) a person who ordinarily would be subject to the plumber licensure requirements
             97      under this chapter when installing or repairing a water conditioner or other water treatment
             98      apparatus if the conditioner or apparatus:
             99          (i) meets the appropriate state construction codes or local plumbing standards; and
             100          (ii) is installed or repaired under the direction of a person authorized to do the work
             101      under an appropriate specialty contractor license;
             102          (m) a person who ordinarily would be subject to the electrician licensure requirements
             103      under this chapter when employed by or under contract with:
             104          (i) railroad corporations, telephone corporations or their corporate affiliates, elevator
             105      contractors or constructors, or street railway systems; or
             106          (ii) public service corporations, rural electrification associations, or municipal utilities
             107      who generate, distribute, or sell electrical energy for light, heat, or power;
             108          (n) a person involved in minor electrical work incidental to a mechanical or service
             109      installation; and
             110          (o) a student participating in construction trade education and training programs
             111      approved by the commission with the concurrence of the director under the condition that:
             112          (i) all work intended as a part of a finished product on which there would normally be
             113      an inspection by a building inspector is, in fact, inspected and found acceptable by a licensed
             114      building inspector; and
             115          (ii) a licensed contractor obtains the necessary building permits.
             116          (2) (a) A compliance agency as defined in Subsection 58-56-3 (4) that issues a building
             117      permit to any person requesting a permit as a sole owner of property referred to in Subsection
             118      (1)(d) shall notify the division, in writing or through electronic transmission, of the issuance of

             119      the permit.
             120          (b) The division shall evaluate the effectiveness of the notification requirement under
             121      Subsection (2)(a) and report its findings, including any recommendations for modification to or
             122      termination of the requirement, to the Legislature's Business and Labor Interim Committee
             123      prior to the 2008 General Session.
             124          Section 2. Section 73-3-24 is amended to read:
             125           73-3-24. Definitions.
             126          As used in this chapter:
             127          (1) "Well" means an excavation or opening into the ground made by digging, boring,
             128      drilling, jetting, driving, or any other artificial method for utilizing or monitoring underground
             129      waters.
             130          (2) "Well driller" means any person that constructs a well for compensation or
             131      otherwise.
             132          (3) "Well drilling" means the act of drilling, constructing, repairing, [or] renovating,
             133      deepening, cleaning, developing, or abandoning a well[, including all incidental work].
             134          Section 3. Section 73-3-25 is amended to read:
             135           73-3-25. Wells driller's license -- Bond -- Revocation or suspension for
             136      noncompliance.
             137          (1) (a) Every person that constructs a well in the state shall obtain a license from the
             138      state engineer.
             139          (b) The state engineer shall enact rules defining the form, the expiration date, and the
             140      renewal cycle of the application for a license.
             141          (c) [All well] Well drillers' licenses [expire on the 31st day of December following
             142      their issuance and] are not transferable. The state engineer shall enact rules for well
             143      construction according to the procedures and requirements of Title 63, Chapter 46a, Utah
             144      Administrative Rulemaking Act.
             145          (2) (a) (i) [No] A person [may construct] who constructs a well in this state [without]
             146      must first [obtaining] obtain a license as provided in this section.
             147          (ii) [No] Before a well driller's license will be issued [without], the applicant [filing a
             148      $5,000 penal] must file a well driller bond with the state engineer.
             149          (iii) The bond shall be made payable to the Office of the State Engineer.
             150          (iv) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act,

             151      the state engineer may make rules to set the amount, form, and general administrative
             152      requirements of a well driller bond. Proper compliance with the provisions of this section and
             153      the rules enacted under the authority of this section are required to obtain or renew a license.
             154          (b) (i) Well drillers shall comply with the rules enacted by the state engineer under this
             155      chapter.
             156          (ii) If the state engineer determines, following an investigation, that the licensee has
             157      failed to comply with these rules, the state engineer may revoke or suspend the license, and
             158      exact the bond and deposit the money as a nonlapsing dedicated credit.
             159          (iii) The state engineer may expend the funds to investigate or correct any deficiencies
             160      which could adversely affect the public interest resulting from noncompliance with the rules
             161      promulgated under this chapter by any well driller.
             162          (iv) The state engineer may refuse to issue a license to a well driller if it appears that
             163      there has been a violation of the rules or a failure to comply with Section 73-3-22 .

[Bill Documents][Bills Directory]