Senator Curtis S. Bramble proposes the following substitute bill:


1     
LICENSURE CHANGES

2     
2017 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Mike Schultz

5     
Senate Sponsor: Curtis S. Bramble

6     

7     LONG TITLE
8     General Description:
9          This bill modifies the Utah Construction Trades Licensing Act (the act).
10     Highlighted Provisions:
11          This bill:
12          ▸     defines terms related to certain electrical contractors, plumbing contractors, and
13     prelicensure course providers under the act;
14          ▸     modifies the testing and work experience requirements for licensure as a specialty
15     contractor under the act;
16          ▸     modifies continuing education requirements for certain contractors; and
17          ▸     makes technical changes.
18     Money Appropriated in this Bill:
19          None
20     Other Special Clauses:
21          None
22     Utah Code Sections Affected:
23     AMENDS:
24          58-55-102, as last amended by Laws of Utah 2016, Chapter 268
25          58-55-301, as last amended by Laws of Utah 2010, Chapter 227

26          58-55-302, as last amended by Laws of Utah 2016, Chapters 238 and 268
27          58-55-302.5, as last amended by Laws of Utah 2016, Chapter 260
28     

29     Be it enacted by the Legislature of the state of Utah:
30          Section 1. Section 58-55-102 is amended to read:
31          58-55-102. Definitions.
32          In addition to the definitions in Section 58-1-102, as used in this chapter:
33          (1) (a) "Alarm business or company" means a person engaged in the sale, installation,
34     maintenance, alteration, repair, replacement, servicing, or monitoring of an alarm system,
35     except as provided in Subsection (1)(b).
36          (b) "Alarm business or company" does not include:
37          (i) a person engaged in the manufacture or sale of alarm systems unless:
38          (A) that person is also engaged in the installation, maintenance, alteration, repair,
39     replacement, servicing, or monitoring of alarm systems;
40          (B) the manufacture or sale occurs at a location other than a place of business
41     established by the person engaged in the manufacture or sale; or
42          (C) the manufacture or sale involves site visits at the place or intended place of
43     installation of an alarm system; or
44          (ii) an owner of an alarm system, or an employee of the owner of an alarm system who
45     is engaged in installation, maintenance, alteration, repair, replacement, servicing, or monitoring
46     of the alarm system owned by that owner.
47          (2) "Alarm company agent":
48          (a) except as provided in Subsection (2)(b), means any individual employed within this
49     state by an alarm business; and
50          (b) does not include an individual who:
51          (i) is not engaged in the sale, installation, maintenance, alteration, repair, replacement,
52     servicing, or monitoring of an alarm system; and
53          (ii) does not, during the normal course of the individual's employment with an alarm
54     business, use or have access to sensitive alarm system information.
55          (3) "Alarm system" means equipment and devices assembled for the purpose of:
56          (a) detecting and signaling unauthorized intrusion or entry into or onto certain

57     premises; or
58          (b) signaling a robbery or attempted robbery on protected premises.
59          (4) "Apprentice electrician" means a person licensed under this chapter as an
60     apprentice electrician who is learning the electrical trade under the immediate supervision of a
61     master electrician, residential master electrician, a journeyman electrician, or a residential
62     journeyman electrician.
63          (5) "Apprentice plumber" means a person licensed under this chapter as an apprentice
64     plumber who is learning the plumbing trade under the immediate supervision of a master
65     plumber, residential master plumber, journeyman plumber, or a residential journeyman
66     plumber.
67          (6) "Approved continuing education" means instruction provided through courses
68     under a program established under Subsection 58-55-302.5(2).
69          (7) (a) "Approved prelicensure course provider" means a provider that is approved by
70     the commission with the concurrence of the director, and that meets the requirements
71     established by rule by the commission with the concurrence of the director, to teach the
72     25-hour course described in Subsection 58-55-302(1)(e)(iii).
73          (b) "Approved prelicensure course provider" may only include a provider that, in
74     addition to any other locations, offers the 25-hour course described in Subsection
75     58-55-302(1)(e)(iii) at least six times each year in one or more counties other than Salt Lake
76     County, Utah County, Davis County, or Weber County.
77          [(7)] (8) "Board" means the Electrician Licensing Board, Alarm System Security and
78     Licensing Board, or Plumbers Licensing Board created in Section 58-55-201.
79          [(8)] (9) "Combustion system" means an assembly consisting of:
80          (a) piping and components with a means for conveying, either continuously or
81     intermittently, natural gas from the outlet of the natural gas provider's meter to the burner of the
82     appliance;
83          (b) the electric control and combustion air supply and venting systems, including air
84     ducts; and
85          (c) components intended to achieve control of quantity, flow, and pressure.
86          [(9)] (10) "Commission" means the Construction Services Commission created under
87     Section 58-55-103.

88          [(10)] (11) "Construction trade" means any trade or occupation involving:
89          (a) (i) construction, alteration, remodeling, repairing, wrecking or demolition, addition
90     to, or improvement of any building, highway, road, railroad, dam, bridge, structure, excavation
91     or other project, development, or improvement to other than personal property; and
92          (ii) constructing, remodeling, or repairing a manufactured home or mobile home as
93     defined in Section 15A-1-302; or
94          (b) installation or repair of a residential or commercial natural gas appliance or
95     combustion system.
96          [(11)] (12) "Construction trades instructor" means a person licensed under this chapter
97     to teach one or more construction trades in both a classroom and project environment, where a
98     project is intended for sale to or use by the public and is completed under the direction of the
99     instructor, who has no economic interest in the project.
100          [(12)] (13) (a) "Contractor" means any person who for compensation other than wages
101     as an employee undertakes any work in the construction, plumbing, or electrical trade for
102     which licensure is required under this chapter and includes:
103          (i) a person who builds any structure on the person's own property for the purpose of
104     sale or who builds any structure intended for public use on the person's own property;
105          (ii) any person who represents that the person is a contractor, or will perform a service
106     described in this Subsection [(12)] (13), by advertising on a website or social media, or any
107     other means;
108          (iii) any person engaged as a maintenance person, other than an employee, who
109     regularly engages in activities set forth under the definition of "construction trade";
110          (iv) any person engaged in, or offering to engage in, any construction trade for which
111     licensure is required under this chapter; or
112          (v) a construction manager, construction consultant, construction assistant, or any other
113     person who, for a fee:
114          (A) performs or offers to perform construction consulting;
115          (B) performs or offers to perform management of construction subcontractors;
116          (C) provides or offers to provide a list of subcontractors or suppliers; or
117          (D) provides or offers to provide management or counseling services on a construction
118     project.

119          (b) "Contractor" does not include:
120          (i) an alarm company or alarm company agent; or
121          (ii) a material supplier who provides consulting to customers regarding the design and
122     installation of the material supplier's products.
123          [(13)] (14) (a) "Electrical trade" means the performance of any electrical work involved
124     in the installation, construction, alteration, change, repair, removal, or maintenance of facilities,
125     buildings, or appendages or appurtenances.
126          (b) "Electrical trade" does not include:
127          (i) transporting or handling electrical materials;
128          (ii) preparing clearance for raceways for wiring; or
129          (iii) work commonly done by unskilled labor on any installations under the exclusive
130     control of electrical utilities.
131          (c) For purposes of Subsection [(13)] (14)(b):
132          (i) no more than one unlicensed person may be so employed unless more than five
133     licensed electricians are employed by the shop; and
134          (ii) a shop may not employ unlicensed persons in excess of the five-to-one ratio
135     permitted by this Subsection [(13)] (14)(c).
136          [(14)] (15) "Elevator" means the same as that term is defined in Section 34A-7-202,
137     except that for purposes of this chapter it does not mean a stair chair, a vertical platform lift, or
138     an incline platform lift.
139          [(15)] (16) "Elevator contractor" means a sole proprietor, firm, or corporation licensed
140     under this chapter that is engaged in the business of erecting, constructing, installing, altering,
141     servicing, repairing, or maintaining an elevator.
142          [(16)] (17) "Elevator mechanic" means an individual who is licensed under this chapter
143     as an elevator mechanic and who is engaged in erecting, constructing, installing, altering,
144     servicing, repairing, or maintaining an elevator under the immediate supervision of an elevator
145     contractor.
146          [(17)] (18) "Employee" means an individual as defined by the division by rule giving
147     consideration to the definition adopted by the Internal Revenue Service and the Department of
148     Workforce Services.
149          [(18)] (19) "Engage in a construction trade" means to:

150          (a) engage in, represent oneself to be engaged in, or advertise oneself as being engaged
151     in a construction trade; or
152          (b) use the name "contractor" or "builder" or in any other way lead a reasonable person
153     to believe one is or will act as a contractor.
154          [(19)] (20) (a) "Financial responsibility" means a demonstration of a current and
155     expected future condition of financial solvency evidencing a reasonable expectation to the
156     division and the board that an applicant or licensee can successfully engage in business as a
157     contractor without jeopardy to the public health, safety, and welfare.
158          (b) Financial responsibility may be determined by an evaluation of the total history
159     concerning the licensee or applicant including past, present, and expected condition and record
160     of financial solvency and business conduct.
161          [(20)] (21) "Gas appliance" means any device that uses natural gas to produce light,
162     heat, power, steam, hot water, refrigeration, or air conditioning.
163          [(21)] (22) (a) "General building contractor" means a person licensed under this
164     chapter as a general building contractor qualified by education, training, experience, and
165     knowledge to perform or superintend construction of structures for the support, shelter, and
166     enclosure of persons, animals, chattels, or movable property of any kind or any of the
167     components of that construction except plumbing, electrical work, mechanical work, work
168     related to the operating integrity of an elevator, and manufactured housing installation, for
169     which the general building contractor shall employ the services of a contractor licensed in the
170     particular specialty, except that a general building contractor engaged in the construction of
171     single-family and multifamily residences up to four units may perform the mechanical work
172     and hire a licensed plumber or electrician as an employee.
173          (b) The division may by rule exclude general building contractors from engaging in the
174     performance of other construction specialties in which there is represented a substantial risk to
175     the public health, safety, and welfare, and for which a license is required unless that general
176     building contractor holds a valid license in that specialty classification.
177          (23) (a) "General electrical contractor" means a person licensed under this chapter as a
178     general electrical contractor qualified by education, training, experience, and knowledge to
179     perform the fabrication, construction, and installation of generators, transformers, conduits,
180     raceways, panels, switch gear, electrical wires, fixtures, appliances, or apparatus that uses

181     electrical energy.
182          (b) The scope of work of a general electrical contractor may be further defined by rules
183     made by the commission, with the concurrence of the director, in accordance with Title 63G,
184     Chapter 3, Utah Administrative Rulemaking Act.
185          [(22)] (24) (a) "General engineering contractor" means a person licensed under this
186     chapter as a general engineering contractor qualified by education, training, experience, and
187     knowledge to perform construction of fixed works in any of the following: irrigation, drainage,
188     water, power, water supply, flood control, inland waterways, harbors, railroads, highways,
189     tunnels, airports and runways, sewers and bridges, refineries, pipelines, chemical and industrial
190     plants requiring specialized engineering knowledge and skill, piers, and foundations, or any of
191     the components of those works.
192          (b) A general engineering contractor may not perform construction of structures built
193     primarily for the support, shelter, and enclosure of persons, animals, and chattels.
194          (25) (a) "General plumbing contractor" means a person licensed under this chapter as a
195     general plumbing contractor qualified by education, training, experience, and knowledge to
196     perform the fabrication or installation of material and fixtures to create and maintain sanitary
197     conditions in a building by providing permanent means for a supply of safe and pure water, a
198     means for the timely and complete removal from the premises of all used or contaminated
199     water, fluid and semi-fluid organic wastes and other impurities incidental to life and the
200     occupation of such premises, and a safe and adequate supply of gases for lighting, heating, and
201     industrial purposes.
202          (b) The scope of work of a general plumbing contractor may be further defined by rules
203     made by the commission, with the concurrence of the director, in accordance with Title 63G,
204     Chapter 3, Utah Administrative Rulemaking Act.
205          [(23)] (26) "Immediate supervision" means reasonable direction, oversight, inspection,
206     and evaluation of the work of a person:
207          (a) as the division specifies in rule;
208          (b) by, as applicable, a qualified electrician or plumber;
209          (c) as part of a planned program of training; and
210          (d) to ensure that the end result complies with applicable standards.
211          [(24)] (27) "Individual" means a natural person.

212          [(25)] (28) "Journeyman electrician" means a person licensed under this chapter as a
213     journeyman electrician having the qualifications, training, experience, and knowledge to wire,
214     install, and repair electrical apparatus and equipment for light, heat, power, and other purposes.
215          [(26)] (29) "Journeyman plumber" means a person licensed under this chapter as a
216     journeyman plumber having the qualifications, training, experience, and technical knowledge
217     to engage in the plumbing trade.
218          [(27)] (30) "Master electrician" means a person licensed under this chapter as a master
219     electrician having the qualifications, training, experience, and knowledge to properly plan,
220     layout, and supervise the wiring, installation, and repair of electrical apparatus and equipment
221     for light, heat, power, and other purposes.
222          [(28)] (31) "Master plumber" means a person licensed under this chapter as a master
223     plumber having the qualifications, training, experience, and knowledge to properly plan and
224     layout projects and supervise persons in the plumbing trade.
225          [(29)] (32) "Person" means a natural person, sole proprietorship, joint venture,
226     corporation, limited liability company, association, or organization of any type.
227          [(30)] (33) (a) "Plumbing trade" means the performance of any mechanical work
228     pertaining to the installation, alteration, change, repair, removal, maintenance, or use in
229     buildings, or within three feet beyond the outside walls of buildings, of pipes, fixtures, and
230     fittings for the:
231          (i) delivery of the water supply;
232          (ii) discharge of liquid and water carried waste; [or]
233          (iii) [the] building drainage system within the walls of the building[.]; and
234          (iv) delivery of gases for lighting, heating, and industrial purposes.
235          (b) "Plumbing trade" includes work pertaining to the water supply, distribution pipes,
236     fixtures and fixture traps, soil, waste and vent pipes, [and] the building drain and roof drains,
237     and the safe and adequate supply of gases, together with their devices, appurtenances, and
238     connections where installed within the outside walls of the building.
239          [(31)] (34) (a) "Ratio of apprentices" means, for the purpose of determining
240     compliance with the requirements for planned programs of training and electrician apprentice
241     licensing applications, the shop ratio of apprentice electricians to journeyman or master
242     electricians shall be one journeyman or master electrician to one apprentice on industrial and

243     commercial work, and one journeyman or master electrician to three apprentices on residential
244     work.
245          (b) On-the-job training shall be under circumstances in which the ratio of apprentices
246     to supervisors is in accordance with a ratio of one-to-one on nonresidential work and up to
247     three apprentices to one supervisor on residential projects.
248          [(32)] (35) "Residential and small commercial contractor" means a person licensed
249     under this chapter as a residential and small commercial contractor qualified by education,
250     training, experience, and knowledge to perform or superintend the construction of
251     single-family residences, multifamily residences up to four units, and commercial construction
252     of not more than three stories above ground and not more than 20,000 square feet, or any of the
253     components of that construction except plumbing, electrical work, mechanical work, and
254     manufactured housing installation, for which the residential and small commercial contractor
255     shall employ the services of a contractor licensed in the particular specialty, except that a
256     residential and small commercial contractor engaged in the construction of single-family and
257     multifamily residences up to four units may perform the mechanical work and hire a licensed
258     plumber or electrician as an employee.
259          [(33)] (36) "Residential building," as it relates to the license classification of residential
260     journeyman plumber and residential master plumber, means a single or multiple family
261     dwelling of up to four units.
262          (37) (a) "Residential electrical contractor" means a person licensed under this chapter
263     as a residential electrical contractor qualified by education, training, experience, and
264     knowledge to perform the fabrication, construction, and installation of services, disconnecting
265     means, grounding devices, panels, conductors, load centers, lighting and plug circuits,
266     appliances, and fixtures in a residential unit.
267          (b) The scope of work of a residential electrical contractor may be further defined by
268     rules made by the commission, with the concurrence of the director, in accordance with Title
269     63G, Chapter 3, Utah Administrative Rulemaking Act.
270          [(34)] (38) "Residential journeyman electrician" means a person licensed under this
271     chapter as a residential journeyman electrician having the qualifications, training, experience,
272     and knowledge to wire, install, and repair electrical apparatus and equipment for light, heat,
273     power, and other purposes on buildings using primarily nonmetallic sheath cable.

274          [(35)] (39) "Residential journeyman plumber" means a person licensed under this
275     chapter as a residential journeyman plumber having the qualifications, training, experience, and
276     knowledge to engage in the plumbing trade as limited to the plumbing of residential buildings.
277          [(36)] (40) "Residential master electrician" means a person licensed under this chapter
278     as a residential master electrician having the qualifications, training, experience, and
279     knowledge to properly plan, layout, and supervise the wiring, installation, and repair of
280     electrical apparatus and equipment for light, heat, power, and other purposes on residential
281     projects.
282          [(37)] (41) "Residential master plumber" means a person licensed under this chapter as
283     a residential master plumber having the qualifications, training, experience, and knowledge to
284     properly plan and layout projects and supervise persons in the plumbing trade as limited to the
285     plumbing of residential buildings.
286          (42) (a) "Residential plumbing contractor" means a person licensed under this chapter
287     as a general plumbing contractor qualified by education, training, experience, and knowledge to
288     perform the fabrication or installation of material and fixtures to create and maintain sanitary
289     conditions in residential buildings by providing permanent means for a supply of safe and pure
290     water, a means for the timely and complete removal from the premises of all used or
291     contaminated water, fluid and semi-fluid organic wastes and other impurities incidental to life
292     and the occupation of such premises, and a safe and adequate supply of gases for lighting,
293     heating, and industrial purposes.
294          (b) The scope of work of a residential plumbing contractor may be further defined by
295     rules made by the commission, with the concurrence of the director, in accordance with Title
296     63G, Chapter 3, Utah Administrative Rulemaking Act.
297          [(38)] (43) "Residential project," as it relates to an electrician or electrical contractor,
298     means buildings primarily wired with nonmetallic sheathed cable, in accordance with standard
299     rules and regulations governing this work, including the National Electrical Code, and in which
300     the voltage does not exceed 250 volts line to line and 125 volts to ground.
301          [(39)] (44) "Sensitive alarm system information" means:
302          (a) a pass code or other code used in the operation of an alarm system;
303          (b) information on the location of alarm system components at the premises of a
304     customer of the alarm business providing the alarm system;

305          (c) information that would allow the circumvention, bypass, deactivation, or other
306     compromise of an alarm system of a customer of the alarm business providing the alarm
307     system; and
308          (d) any other similar information that the division by rule determines to be information
309     that an individual employed by an alarm business should use or have access to only if the
310     individual is licensed as provided in this chapter.
311          [(40)] (45) (a) "Specialty contractor" means a person licensed under this chapter under
312     a specialty contractor classification established by rule, who is qualified by education, training,
313     experience, and knowledge to perform those construction trades and crafts requiring
314     specialized skill, the regulation of which are determined by the division to be in the best
315     interest of the public health, safety, and welfare.
316          (b) A specialty contractor may perform work in crafts or trades other than those in
317     which the specialty contractor is licensed if they are incidental to the performance of the
318     specialty contractor's licensed craft or trade.
319          [(41)] (46) "Unincorporated entity" means an entity that is not:
320          (a) an individual;
321          (b) a corporation; or
322          (c) publicly traded.
323          [(42)] (47) "Unlawful conduct" means the same as that term is defined in Sections
324     58-1-501 and 58-55-501.
325          [(43)] (48) "Unprofessional conduct" means the same as that term is defined in
326     Sections 58-1-501 and 58-55-502 and as may be further defined by rule.
327          [(44)] (49) "Wages" means amounts due to an employee for labor or services whether
328     the amount is fixed or ascertained on a time, task, piece, commission, or other basis for
329     calculating the amount.
330          Section 2. Section 58-55-301 is amended to read:
331          58-55-301. License required -- License classifications.
332          (1) (a) A person engaged in the construction trades licensed under this chapter, as a
333     contractor regulated under this chapter, as an alarm business or company, or as an alarm
334     company agent, shall become licensed under this chapter before engaging in that trade or
335     contracting activity in this state unless specifically exempted from licensure under Section

336     58-1-307 or 58-55-305.
337          (b) The license issued under this chapter and the business license issued by the local
338     jurisdiction in which the licensee has its principal place of business shall be the only licenses
339     required for the licensee to engage in a trade licensed by this chapter, within the state.
340          (c) Neither the state nor any of its political subdivisions may require of a licensee any
341     additional business licenses, registrations, certifications, contributions, donations, or anything
342     else established for the purpose of qualifying a licensee under this chapter to do business in that
343     local jurisdiction, except for contract prequalification procedures required by state agencies, or
344     the payment of any fee for the license, registration, or certification established as a condition to
345     do business in that local jurisdiction.
346          (2) The division shall issue licenses under this chapter to qualified persons in the
347     following classifications:
348          (a) general engineering contractor;
349          (b) general building contractor;
350          (c) residential and small commercial contractor;
351          (d) elevator contractor;
352          (e) general plumbing contractor;
353          (f) residential plumbing contractor;
354          (g) general electrical contractor;
355          (h) residential electrical contractor;
356          [(e)] (i) specialty contractor;
357          [(f)] (j) master plumber;
358          [(g)] (k) residential master plumber;
359          [(h)] (l) journeyman plumber;
360          [(i)] (m) apprentice plumber;
361          [(j)] (n) residential journeyman plumber;
362          [(k)] (o) master electrician;
363          [(l)] (p) residential master electrician;
364          [(m)] (q) journeyman electrician;
365          [(n)] (r) residential journeyman electrician;
366          [(o)] (s) apprentice electrician;

367          [(p)] (t) construction trades instructor:
368          (i) general engineering classification;
369          (ii) general building classification;
370          (iii) electrical classification;
371          (iv) plumbing classification; and
372          (v) mechanical classification;
373          [(q)] (u) alarm company;
374          [(r)] (v) alarm company agent; and
375          [(s)] (w) elevator mechanic.
376          (3) (a) An applicant may apply for a license in one or more classification or specialty
377     contractor subclassification.
378          (b) A license shall be granted in each classification or subclassification for which the
379     applicant qualifies.
380          (c) A separate application and fee must be submitted for each license classification or
381     subclassification.
382          Section 3. Section 58-55-302 is amended to read:
383          58-55-302. Qualifications for licensure.
384          (1) Each applicant for a license under this chapter shall:
385          (a) submit an application prescribed by the division;
386          (b) pay a fee as determined by the department under Section 63J-1-504;
387          (c) (i) meet the examination requirements established by rule by the commission with
388     the concurrence of the director, except [for the classifications of apprentice plumber and
389     apprentice electrician for whom no examination is required] that no examination, other than an
390     examination as part of a 25-hour course described in Subsection (1)(e)(iii), is required for
391     licensure as an apprentice electrician, apprentice plumber, or specialty contractor; or
392          (ii) if required in Section 58-55-304, the individual qualifier must pass the required
393     examination if the applicant is a business entity;
394          (d) if an apprentice, identify the proposed supervisor of the apprenticeship;
395          (e) if an applicant for a contractor's license:
396          (i) produce satisfactory evidence of financial responsibility, except for a construction
397     trades instructor for whom evidence of financial responsibility is not required;

398          (ii) produce satisfactory evidence of:
399          (A) except as provided in Subsection (2)(a), and except that no employment experience
400     is required for licensure as a specialty contractor, two years full-time paid employment
401     experience in the construction industry, which [experience, unless more specifically described
402     in this section,] employment experience may be related to any contracting classification unless
403     more specifically described in this section; and
404          (B) knowledge of the principles of the conduct of business as a contractor, reasonably
405     necessary for the protection of the public health, safety, and welfare;
406          (iii) except as otherwise provided by rule by the commission with the concurrence of
407     the director, complete a [20-hour] 25-hour course established by rule by the commission with
408     the concurrence of the director, which is taught by an approved prelicensure course provider,
409     and which course may include:
410          (A) construction business practices;
411          (B) bookkeeping fundamentals;
412          (C) mechanics lien fundamentals; [and]
413          (D) other aspects of business and construction principles considered important by the
414     commission with the concurrence of the director; and
415          (E) for no additional fee, an examination at the end of the 25-hour course;
416          (iv) (A) be a licensed master electrician if an applicant for an electrical contractor's
417     license or a licensed master residential electrician if an applicant for a residential electrical
418     contractor's license;
419          (B) be a licensed master plumber if an applicant for a plumbing contractor's license or
420     a licensed master residential plumber if an applicant for a residential plumbing contractor's
421     license; or
422          (C) be a licensed elevator mechanic and produce satisfactory evidence of three years
423     experience as an elevator mechanic if an applicant for an elevator contractor's license; and
424          (v) when the applicant is an unincorporated entity, provide a list of the one or more
425     individuals who hold an ownership interest in the applicant as of the day on which the
426     application is filed that includes for each individual:
427          (A) the individual's name, address, birth date, and social security number; and
428          (B) whether the individual will engage in a construction trade; and

429          (f) if an applicant for a construction trades instructor license, satisfy any additional
430     requirements established by rule.
431          (2) (a) If the applicant for a contractor's license described in Subsection (1) is a
432     building inspector, the applicant may satisfy Subsection (1)(e)(ii)(A) by producing satisfactory
433     evidence of two years full-time paid employment experience as a building inspector, which
434     shall include at least one year full-time experience as a licensed combination inspector.
435          (b) After approval of an applicant for a contractor's license by the applicable board and
436     the division, the applicant shall file the following with the division before the division issues
437     the license:
438          (i) proof of workers' compensation insurance which covers employees of the applicant
439     in accordance with applicable Utah law;
440          (ii) proof of public liability insurance in coverage amounts and form established by rule
441     except for a construction trades instructor for whom public liability insurance is not required;
442     and
443          (iii) proof of registration as required by applicable law with the:
444          (A) Department of Commerce;
445          (B) Division of Corporations and Commercial Code;
446          (C) Unemployment Insurance Division in the Department of Workforce Services, for
447     purposes of Title 35A, Chapter 4, Employment Security Act;
448          (D) State Tax Commission; and
449          (E) Internal Revenue Service.
450          (3) In addition to the general requirements for each applicant in Subsection (1),
451     applicants shall comply with the following requirements to be licensed in the following
452     classifications:
453          (a) (i) A master plumber shall produce satisfactory evidence that the applicant:
454          (A) has been a licensed journeyman plumber for at least two years and had two years of
455     supervisory experience as a licensed journeyman plumber in accordance with division rule;
456          (B) has received at least an associate of applied science degree or similar degree
457     following the completion of a course of study approved by the division and had one year of
458     supervisory experience as a licensed journeyman plumber in accordance with division rule; or
459          (C) meets the qualifications determined by the division in collaboration with the board

460     to be equivalent to Subsection (3)(a)(i)(A) or (B).
461          (ii) An individual holding a valid Utah license as a journeyman plumber, based on at
462     least four years of practical experience as a licensed apprentice under the supervision of a
463     licensed journeyman plumber and four years as a licensed journeyman plumber, in effect
464     immediately prior to May 5, 2008, is on and after May 5, 2008, considered to hold a current
465     master plumber license under this chapter, and satisfies the requirements of this Subsection
466     (3)(a) for the purpose of renewal or reinstatement of that license under Section 58-55-303.
467          (iii) An individual holding a valid plumbing contractor's license or residential
468     plumbing contractor's license, in effect immediately prior to May 5, 2008, is on or after May 5,
469     2008:
470          (A) considered to hold a current master plumber license under this chapter if licensed
471     as a plumbing contractor and a journeyman plumber, and satisfies the requirements of this
472     Subsection (3)(a) for purposes of renewal or reinstatement of that license under Section
473     58-55-303; and
474          (B) considered to hold a current residential master plumber license under this chapter if
475     licensed as a residential plumbing contractor and a residential journeyman plumber, and
476     satisfies the requirements of this Subsection (3)(a) for purposes of renewal or reinstatement of
477     that license under Section 58-55-303.
478          (b) A master residential plumber applicant shall produce satisfactory evidence that the
479     applicant:
480          (i) has been a licensed residential journeyman plumber for at least two years and had
481     two years of supervisory experience as a licensed residential journeyman plumber in
482     accordance with division rule; or
483          (ii) meets the qualifications determined by the division in collaboration with the board
484     to be equivalent to Subsection (3)(b)(i).
485          (c) A journeyman plumber applicant shall produce satisfactory evidence of:
486          (i) successful completion of the equivalent of at least four years of full-time training
487     and instruction as a licensed apprentice plumber under supervision of a licensed master
488     plumber or journeyman plumber and in accordance with a planned program of training
489     approved by the division;
490          (ii) at least eight years of full-time experience approved by the division in collaboration

491     with the Plumbers Licensing Board; or
492          (iii) satisfactory evidence of meeting the qualifications determined by the board to be
493     equivalent to Subsection (3)(c)(i) or (c)(ii).
494          (d) A residential journeyman plumber shall produce satisfactory evidence of:
495          (i) completion of the equivalent of at least three years of full-time training and
496     instruction as a licensed apprentice plumber under the supervision of a licensed residential
497     master plumber, licensed residential journeyman plumber, or licensed journeyman plumber in
498     accordance with a planned program of training approved by the division;
499          (ii) completion of at least six years of full-time experience in a maintenance or repair
500     trade involving substantial plumbing work; or
501          (iii) meeting the qualifications determined by the board to be equivalent to Subsection
502     (3)(d)(i) or (d)(ii).
503          (e) The conduct of licensed apprentice plumbers and their licensed supervisors shall be
504     in accordance with the following:
505          (i) while engaging in the trade of plumbing, a licensed apprentice plumber shall be
506     under the immediate supervision of a licensed master plumber, licensed residential master
507     plumber, licensed journeyman plumber, or a licensed residential journeyman plumber; and
508          (ii) a licensed apprentice plumber in the fourth through tenth year of training may work
509     without supervision for a period not to exceed eight hours in any 24-hour period, but if the
510     apprentice does not become a licensed journeyman plumber or licensed residential journeyman
511     plumber by the end of the tenth year of apprenticeship, this nonsupervision provision no longer
512     applies.
513          (f) A master electrician applicant shall produce satisfactory evidence that the applicant:
514          (i) is a graduate electrical engineer of an accredited college or university approved by
515     the division and has one year of practical electrical experience as a licensed apprentice
516     electrician;
517          (ii) is a graduate of an electrical trade school, having received an associate of applied
518     sciences degree following successful completion of a course of study approved by the division,
519     and has two years of practical experience as a licensed journeyman electrician;
520          (iii) has four years of practical experience as a journeyman electrician; or
521          (iv) meets the qualifications determined by the board to be equivalent to Subsection

522     (3)(f)(i), (ii), or (iii).
523          (g) A master residential electrician applicant shall produce satisfactory evidence that
524     the applicant:
525          (i) has at least two years of practical experience as a residential journeyman electrician;
526     or
527          (ii) meets the qualifications determined by the board to be equivalent to this practical
528     experience.
529          (h) A journeyman electrician applicant shall produce satisfactory evidence that the
530     applicant:
531          (i) has successfully completed at least four years of full-time training and instruction as
532     a licensed apprentice electrician under the supervision of a master electrician or journeyman
533     electrician and in accordance with a planned training program approved by the division;
534          (ii) has at least eight years of full-time experience approved by the division in
535     collaboration with the Electricians Licensing Board; or
536          (iii) meets the qualifications determined by the board to be equivalent to Subsection
537     (3)(h)(i) or (ii).
538          (i) A residential journeyman electrician applicant shall produce satisfactory evidence
539     that the applicant:
540          (i) has successfully completed two years of training in an electrical training program
541     approved by the division;
542          (ii) has four years of practical experience in wiring, installing, and repairing electrical
543     apparatus and equipment for light, heat, and power under the supervision of a licensed master,
544     journeyman, residential master, or residential journeyman electrician; or
545          (iii) meets the qualifications determined by the division and applicable board to be
546     equivalent to Subsection (3)(i)(i) or (ii).
547          (j) The conduct of licensed apprentice electricians and their licensed supervisors shall
548     be in accordance with the following:
549          (i) A licensed apprentice electrician shall be under the immediate supervision of a
550     licensed master, journeyman, residential master, or residential journeyman electrician. An
551     apprentice in the fourth year of training may work without supervision for a period not to
552     exceed eight hours in any 24-hour period.

553          (ii) A licensed master, journeyman, residential master, or residential journeyman
554     electrician may have under immediate supervision on a residential project up to three licensed
555     apprentice electricians.
556          (iii) A licensed master or journeyman electrician may have under immediate
557     supervision on nonresidential projects only one licensed apprentice electrician.
558          (k) An alarm company applicant shall:
559          (i) have a qualifying agent who is an officer, director, partner, proprietor, or manager of
560     the applicant who:
561          (A) demonstrates 6,000 hours of experience in the alarm company business;
562          (B) demonstrates 2,000 hours of experience as a manager or administrator in the alarm
563     company business or in a construction business; and
564          (C) passes an examination component established by rule by the commission with the
565     concurrence of the director;
566          (ii) if a corporation, provide:
567          (A) the names, addresses, dates of birth, social security numbers, and fingerprint cards
568     of all corporate officers, directors, and those responsible management personnel employed
569     within the state or having direct responsibility for managing operations of the applicant within
570     the state; and
571          (B) the names, addresses, dates of birth, social security numbers, and fingerprint cards
572     of all shareholders owning 5% or more of the outstanding shares of the corporation, except this
573     shall not be required if the stock is publicly listed and traded;
574          (iii) if a limited liability company, provide:
575          (A) the names, addresses, dates of birth, social security numbers, and fingerprint cards
576     of all company officers, and those responsible management personnel employed within the
577     state or having direct responsibility for managing operations of the applicant within the state;
578     and
579          (B) the names, addresses, dates of birth, social security numbers, and fingerprint cards
580     of all individuals owning 5% or more of the equity of the company;
581          (iv) if a partnership, provide the names, addresses, dates of birth, social security
582     numbers, and fingerprint cards of all general partners, and those responsible management
583     personnel employed within the state or having direct responsibility for managing operations of

584     the applicant within the state;
585          (v) if a proprietorship, provide the names, addresses, dates of birth, social security
586     numbers, and fingerprint cards of the proprietor, and those responsible management personnel
587     employed within the state or having direct responsibility for managing operations of the
588     applicant within the state;
589          (vi) if a trust, provide the names, addresses, dates of birth, social security numbers, and
590     fingerprint cards of the trustee, and those responsible management personnel employed within
591     the state or having direct responsibility for managing operations of the applicant within the
592     state;
593          (vii) be of good moral character in that officers, directors, shareholders described in
594     Subsection (3)(k)(ii)(B), partners, proprietors, trustees, and responsible management personnel
595     have not been convicted of a felony, a misdemeanor involving moral turpitude, or any other
596     crime that when considered with the duties and responsibilities of an alarm company is
597     considered by the board to indicate that the best interests of the public are served by granting
598     the applicant a license;
599          (viii) document that none of the applicant's officers, directors, shareholders described
600     in Subsection (3)(k)(ii)(B), partners, proprietors, trustees, and responsible management
601     personnel have been declared by any court of competent jurisdiction incompetent by reason of
602     mental defect or disease and not been restored;
603          (ix) document that none of the applicant's officers, directors, shareholders described in
604     Subsection (3)(k)(ii)(B), partners, proprietors, and responsible management personnel are
605     currently suffering from habitual drunkenness or from drug addiction or dependence;
606          (x) file and maintain with the division evidence of:
607          (A) comprehensive general liability insurance in form and in amounts to be established
608     by rule by the commission with the concurrence of the director;
609          (B) workers' compensation insurance that covers employees of the applicant in
610     accordance with applicable Utah law; and
611          (C) registration as is required by applicable law with the:
612          (I) Division of Corporations and Commercial Code;
613          (II) Unemployment Insurance Division in the Department of Workforce Services, for
614     purposes of Title 35A, Chapter 4, Employment Security Act;

615          (III) State Tax Commission; and
616          (IV) Internal Revenue Service; and
617          (xi) meet with the division and board.
618          (l) Each applicant for licensure as an alarm company agent shall:
619          (i) submit an application in a form prescribed by the division accompanied by
620     fingerprint cards;
621          (ii) pay a fee determined by the department under Section 63J-1-504;
622          (iii) be of good moral character in that the applicant has not been convicted of a felony,
623     a misdemeanor involving moral turpitude, or any other crime that when considered with the
624     duties and responsibilities of an alarm company agent is considered by the board to indicate
625     that the best interests of the public are served by granting the applicant a license;
626          (iv) not have been declared by any court of competent jurisdiction incompetent by
627     reason of mental defect or disease and not been restored;
628          (v) not be currently suffering from habitual drunkenness or from drug addiction or
629     dependence; and
630          (vi) meet with the division and board if requested by the division or the board.
631          (m) (i) Each applicant for licensure as an elevator mechanic shall:
632          (A) provide documentation of experience and education credits of not less than three
633     years work experience in the elevator industry, in construction, maintenance, or service and
634     repair; and
635          (B) satisfactorily complete a written examination administered by the division
636     established by rule under Section 58-1-203; or
637          (C) provide certificates of completion of an apprenticeship program for elevator
638     mechanics, having standards substantially equal to those of this chapter and registered with the
639     United States Department of Labor Bureau Apprenticeship and Training or a state
640     apprenticeship council.
641          (ii) (A) If an elevator contractor licensed under this chapter cannot find a licensed
642     elevator mechanic to perform the work of erecting, constructing, installing, altering, servicing,
643     repairing, or maintaining an elevator, the contractor may:
644          (I) notify the division of the unavailability of licensed personnel; and
645          (II) request the division issue a temporary elevator mechanic license to an individual

646     certified by the contractor as having an acceptable combination of documented experience and
647     education to perform the work described in this Subsection (3)(m)(ii)(A).
648          (B) (I) The division may issue a temporary elevator mechanic license to an individual
649     certified under Subsection (3)(m)(ii)(A)(II) upon application by the individual, accompanied by
650     the appropriate fee as determined by the department under Section 63J-1-504.
651          (II) The division shall specify the time period for which the license is valid and may
652     renew the license for an additional time period upon its determination that a shortage of
653     licensed elevator mechanics continues to exist.
654          (4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
655     division may make rules establishing when Federal Bureau of Investigation records shall be
656     checked for applicants as an alarm company or alarm company agent.
657          (5) To determine if an applicant meets the qualifications of Subsections (3)(k)(vii) and
658     (3)(l)(iii), the division shall provide an appropriate number of copies of fingerprint cards to the
659     Department of Public Safety with the division's request to:
660          (a) conduct a search of records of the Department of Public Safety for criminal history
661     information relating to each applicant for licensure as an alarm company or alarm company
662     agent and each applicant's officers, directors, shareholders described in Subsection
663     (3)(k)(ii)(B), partners, proprietors, and responsible management personnel; and
664          (b) forward to the Federal Bureau of Investigation a fingerprint card of each applicant
665     requiring a check of records of the Federal Bureau of Investigation for criminal history
666     information under this section.
667          (6) The Department of Public Safety shall send to the division:
668          (a) a written record of criminal history, or certification of no criminal history record, as
669     contained in the records of the Department of Public Safety in a timely manner after receipt of
670     a fingerprint card from the division and a request for review of Department of Public Safety
671     records; and
672          (b) the results of the Federal Bureau of Investigation review concerning an applicant in
673     a timely manner after receipt of information from the Federal Bureau of Investigation.
674          (7) (a) The division shall charge each applicant for licensure as an alarm company or
675     alarm company agent a fee, in accordance with Section 63J-1-504, equal to the cost of
676     performing the records reviews under this section.

677          (b) The division shall pay the Department of Public Safety the costs of all records
678     reviews, and the Department of Public Safety shall pay the Federal Bureau of Investigation the
679     costs of records reviews under this section.
680          (8) Information obtained by the division from the reviews of criminal history records of
681     the Department of Public Safety and the Federal Bureau of Investigation shall be used or
682     disseminated by the division only for the purpose of determining if an applicant for licensure as
683     an alarm company or alarm company agent is qualified for licensure.
684          (9) (a) An application for licensure under this chapter shall be denied if:
685          (i) the applicant has had a previous license, which was issued under this chapter,
686     suspended or revoked within two years before the date of the applicant's application;
687          (ii) (A) the applicant is a partnership, corporation, or limited liability company; and
688          (B) any corporate officer, director, shareholder holding 25% or more of the stock in the
689     applicant, partner, member, agent acting as a qualifier, or any person occupying a similar
690     status, performing similar functions, or directly or indirectly controlling the applicant has
691     served in any similar capacity with any person or entity which has had a previous license,
692     which was issued under this chapter, suspended or revoked within two years before the date of
693     the applicant's application;
694          (iii) (A) the applicant is an individual or sole proprietorship; and
695          (B) any owner or agent acting as a qualifier has served in any capacity listed in
696     Subsection (9)(a)(ii)(B) in any entity which has had a previous license, which was issued under
697     this chapter, suspended or revoked within two years before the date of the applicant's
698     application; or
699          (iv) (A) the applicant includes an individual who was an owner, director, or officer of
700     an unincorporated entity at the time the entity's license under this chapter was revoked; and
701          (B) the application for licensure is filed within 60 months after the revocation of the
702     unincorporated entity's license.
703          (b) An application for licensure under this chapter shall be reviewed by the appropriate
704     licensing board prior to approval if:
705          (i) the applicant has had a previous license, which was issued under this chapter,
706     suspended or revoked more than two years before the date of the applicant's application;
707          (ii) (A) the applicant is a partnership, corporation, or limited liability company; and

708          (B) any corporate officer, director, shareholder holding 25% or more of the stock in the
709     applicant, partner, member, agent acting as a qualifier, or any person occupying a similar
710     status, performing similar functions, or directly or indirectly controlling the applicant has
711     served in any similar capacity with any person or entity which has had a previous license,
712     which was issued under this chapter, suspended or revoked more than two years before the date
713     of the applicant's application; or
714          (iii) (A) the applicant is an individual or sole proprietorship; and
715          (B) any owner or agent acting as a qualifier has served in any capacity listed in
716     Subsection (9)(b)(ii)(B) in any entity which has had a previous license, which was issued under
717     this chapter, suspended or revoked more than two years before the date of the applicant's
718     application.
719          (10) (a) (i) A licensee that is an unincorporated entity shall file an ownership status
720     report with the division every 30 days after the day on which the license is issued if the licensee
721     has more than five owners who are individuals who:
722          (A) own an interest in the contractor that is an unincorporated entity;
723          (B) own, directly or indirectly, less than an 8% interest, as defined by rule made by the
724     division in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, in the
725     unincorporated entity; and
726          (C) engage, or will engage, in a construction trade in the state as owners of the
727     contractor described in Subsection (10)(a)(i)(A).
728          (ii) If the licensee has five or fewer owners described in Subsection (10)(a)(i), the
729     licensee shall provide the ownership status report with an application for renewal of licensure.
730          (b) An ownership status report required under this Subsection (10) shall:
731          (i) specify each addition or deletion of an owner:
732          (A) for the first ownership status report, after the day on which the unincorporated
733     entity is licensed under this chapter; and
734          (B) for a subsequent ownership status report, after the day on which the previous
735     ownership status report is filed;
736          (ii) be in a format prescribed by the division that includes for each owner, regardless of
737     the owner's percentage ownership in the unincorporated entity, the information described in
738     Subsection(1)(e)(v);

739          (iii) list the name of:
740          (A) each officer or manager of the unincorporated entity; and
741          (B) each other individual involved in the operation, supervision, or management of the
742     unincorporated entity; and
743          (iv) be accompanied by a fee set by the division in accordance with Section 63J-1-504
744     if the ownership status report indicates there is a change described in Subsection (10)(b)(i).
745          (c) The division may, at any time, audit an ownership status report under this
746     Subsection (10):
747          (i) to determine if financial responsibility has been demonstrated or maintained as
748     required under Section 58-55-306; and
749          (ii) to determine compliance with Subsection 58-55-501(24), (25), or (27) or
750     Subsection 58-55-502(8) or (9).
751          (11) (a) An unincorporated entity that provides labor to an entity licensed under this
752     chapter by providing an individual who owns an interest in the unincorporated entity to engage
753     in a construction trade in Utah shall file with the division:
754          (i) before the individual who owns an interest in the unincorporated entity engages in a
755     construction trade in Utah, a current list of the one or more individuals who hold an ownership
756     interest in the unincorporated entity that includes for each individual:
757          (A) the individual's name, address, birth date, and social security number; and
758          (B) whether the individual will engage in a construction trade; and
759          (ii) every 30 days after the day on which the unincorporated entity provides the list
760     described in Subsection (11)(a)(i), an ownership status report containing the information that
761     would be required under Subsection (10) if the unincorporated entity were a licensed
762     contractor.
763          (b) When filing an ownership list described in Subsection (11)(a)(i) or an ownership
764     status report described in Subsection (11)(a)(ii), an unincorporated entity shall pay a fee set by
765     the division in accordance with Section 63J-1-504.
766          (12) This chapter may not be interpreted to create or support an express or implied
767     independent contractor relationship between an unincorporated entity described in Subsection
768     (10) or (11) and the owners of the unincorporated entity for any purpose, including income tax
769     withholding.

770          (13) A social security number provided under Subsection (1)(e)(v) is a private record
771     under Subsection 63G-2-302(1)(i).
772          Section 4. Section 58-55-302.5 is amended to read:
773          58-55-302.5. Continuing education requirements for contractor licensees --
774     Continuing education courses.
775          (1) Each contractor licensee under a license issued under this chapter shall complete
776     six hours of approved continuing education during each two-year renewal cycle established by
777     rule under Subsection 58-55-303(1).
778          (2) (a) The commission shall, with the concurrence of the division, establish by rule a
779     program of approved continuing education for contractor licensees.
780          (b) Except as provided in Subsection (2)(e), beginning on or after June 1, 2015, only
781     courses offered by any of the following may be included in the program of approved continuing
782     education for contractor licensees:
783          (i) the Associated General Contractors of Utah;
784          (ii) Associated Builders and Contractors, Utah Chapter;
785          (iii) the Home Builders Association of Utah;
786          (iv) the National Electrical Contractors Association Intermountain Chapter;
787          (v) the Utah Plumbing & Heating Contractors Association;
788          (vi) the Independent Electrical Contractors of Utah;
789          (vii) the Rocky Mountain Gas Association;
790          (viii) the Utah Mechanical Contractors Association;
791          (ix) the Sheet Metal Contractors Association;
792          (x) the Intermountain Electrical Association;
793          (xi) the Builders Bid Service of Utah; or
794          (xii) Utah Roofing Contractors Association.
795          (c) An approved continuing education program for a contractor licensee may include a
796     course approved by an entity described in Subsections (2)(b)(i) through (2)(b)(iii).
797          (d) (i) Except as provided in Subsections (2)(d)(ii) and (iii), an entity listed in
798     Subsections (2)(b)(iv) through (2)(b)(xii) may only offer and market continuing education
799     courses to a licensee who is a member of the entity.
800          (ii) An entity described in Subsection (2)(b)(iv), (vi), or (x) may offer and market a

801     continuing education course that the entity offers to satisfy the continuing education
802     requirement described in Subsection 58-55-302.7(2)(a) to a contractor in the electrical trade.
803          (iii) An entity described in Subsection (2)(b)(v) or (viii) may offer and market a
804     continuing education course that the entity offers to satisfy the continuing education
805     requirement described in Subsection 58-55-302.7(2)(b) to a contractor in the plumbing trade.
806          (e) On or after June 1, 2015, an approved continuing education program for a
807     contractor licensee may include a course offered and taught by:
808          (i) a state executive branch agency;
809          (ii) the Workers' Compensation Fund created in Section 31A-33-102; or
810          (iii) a nationally or regionally accredited college or university that has a physical
811     campus in the state.
812          (f) On or after June 1, 2017, for a contractor licensee that is licensed in the specialty
813     contractor classification of HVAC contractor, at least three of the six hours described in
814     Subsection (1) shall include continuing education directly related to the installation, repair, or
815     replacement of a heating, ventilation, or air conditioning system.
816          (3) The division may contract with a person to establish and maintain a continuing
817     education registry to include:
818          (a) a list of courses that the division has approved for inclusion in the program of
819     approved continuing education; and
820          (b) a list of courses that:
821          (i) a contractor licensee has completed under the program of approved continuing
822     education; and
823          (ii) the licensee may access to monitor the licensee's compliance with the continuing
824     education requirement established under Subsection (1).
825          (4) The division may charge a fee, as established by the division under Section
826     63J-1-504, to administer the requirements of this section.