Representative Mike Schultz proposes the following substitute bill:


1     
PROFESSIONAL LICENSING AMENDMENTS

2     
2019 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Mike Schultz

5     
Senate Sponsor: Daniel Hemmert

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions of the Division of Occupational and Professional
10     Licensing Act (the act).
11     Highlighted Provisions:
12          This bill:
13          ▸     modifies licensing by endorsement provisions of the act;
14          ▸     modifies testing, course work, experience, and continuing education requirements
15     for certain contractor licenses;
16          ▸     modifies direct supervision requirements and other licensing requirements for
17     apprentice plumbers and electricians; and
18          ▸     makes technical changes.
19     Money Appropriated in this Bill:
20          None
21     Other Special Clauses:
22          None
23     Utah Code Sections Affected:
24     AMENDS:
25          58-1-302, as last amended by Laws of Utah 2018, Chapter 198

26          58-55-102, as last amended by Laws of Utah 2018, Chapter 281
27          58-55-201, as last amended by Laws of Utah 2008, Chapter 215
28          58-55-302, as last amended by Laws of Utah 2017, Chapter 411
29          58-55-302.5, as last amended by Laws of Utah 2017, Chapters 363 and 411
30          58-55-305, as last amended by Laws of Utah 2018, Chapter 318
31     

32     Be it enacted by the Legislature of the state of Utah:
33          Section 1. Section 58-1-302 is amended to read:
34          58-1-302. License by endorsement.
35          [(1) As used in this section:]
36          [(a) "Domicile" means the place where an individual has a fixed permanent home.]
37          [(b) "Resident" means an individual who:]
38          [(i) has established a domicile in this state;]
39          [(ii) engages in a trade, profession, or occupation in this state, or who accepts
40     employment in other than seasonal work in this state, and who does not commute into the state;
41     and]
42          [(iii) holds an unexpired Utah driver license issued under Title 53, Chapter 3, Part 2,
43     Driver Licensing Act, or an unexpired Utah identification card issued under Title 53, Chapter
44     3, Part 8, Identification Card Act.]
45          [(2)] (1) Subject to Subsections [(3), (4), and (5)] (2), (3), and (4), the division may
46     issue a license without examination to a [resident] person who has been licensed in a state,
47     district, or territory of the United States or in a foreign country if:
48          (a) the division determines the education, experience, and examination requirements of
49     the state, district, or territory of the United States or the foreign country, at the time the license
50     was issued, were substantially equal to the current requirements of this state; or
51          (b) after being licensed outside of this state, the [resident] person has at least one year
52     of experience in the state, district, or territory of the United States where the license was issued,
53     and the division determines the [resident] person has the education, experience, and skills
54     necessary to demonstrate competency in the occupation or profession for which licensure is
55     sought.
56           [(3)] (2) The division, in consultation with the applicable licensing board, may make

57     rules in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
58     prescribing the requirements of Subsection [(2)] (1).
59          [(4)] (3) Before a resident may be issued a license under this section, the resident shall:
60          (a) pay a fee determined by the department under Section 63J-1-504; and
61          (b) produce satisfactory evidence of the resident's identity, qualifications, and good
62     standing in the occupation or profession for which licensure is sought.
63          [(5)] (4) In accordance with Section 58-1-107, licensure endorsement provisions in this
64     section may be supplemented or altered by licensure endorsement provisions or multistate
65     licensure compacts in specific chapters of this title.
66          Section 2. Section 58-55-102 is amended to read:
67          58-55-102. Definitions.
68          In addition to the definitions in Section 58-1-102, as used in this chapter:
69          (1) (a) "Alarm business or company" means a person engaged in the sale, installation,
70     maintenance, alteration, repair, replacement, servicing, or monitoring of an alarm system,
71     except as provided in Subsection (1)(b).
72          (b) "Alarm business or company" does not include:
73          (i) a person engaged in the manufacture or sale of alarm systems unless:
74          (A) that person is also engaged in the installation, maintenance, alteration, repair,
75     replacement, servicing, or monitoring of alarm systems;
76          (B) the manufacture or sale occurs at a location other than a place of business
77     established by the person engaged in the manufacture or sale; or
78          (C) the manufacture or sale involves site visits at the place or intended place of
79     installation of an alarm system; or
80          (ii) an owner of an alarm system, or an employee of the owner of an alarm system who
81     is engaged in installation, maintenance, alteration, repair, replacement, servicing, or monitoring
82     of the alarm system owned by that owner.
83          (2) "Alarm company agent":
84          (a) except as provided in Subsection (2)(b), means any individual employed within this
85     state by an alarm business; and
86          (b) does not include an individual who:
87          (i) is not engaged in the sale, installation, maintenance, alteration, repair, replacement,

88     servicing, or monitoring of an alarm system; and
89          (ii) does not, during the normal course of the individual's employment with an alarm
90     business, use or have access to sensitive alarm system information.
91          (3) "Alarm system" means equipment and devices assembled for the purpose of:
92          (a) detecting and signaling unauthorized intrusion or entry into or onto certain
93     premises; or
94          (b) signaling a robbery or attempted robbery on protected premises.
95          (4) "Apprentice electrician" means a person licensed under this chapter as an
96     apprentice electrician who is learning the electrical trade under the immediate supervision of a
97     master electrician, residential master electrician, a journeyman electrician, or a residential
98     journeyman electrician.
99          (5) "Apprentice plumber" means a person licensed under this chapter as an apprentice
100     plumber who is learning the plumbing trade under the immediate supervision of a master
101     plumber, residential master plumber, journeyman plumber, or a residential journeyman
102     plumber.
103          (6) "Approved continuing education" means instruction provided through courses
104     under a program established under Subsection 58-55-302.5(2).
105          (7) (a) "Approved prelicensure course provider" means a provider that is approved by
106     the commission with the concurrence of the director, and that meets the requirements
107     established by rule by the commission with the concurrence of the director, to teach the
108     25-hour course described in Subsection 58-55-302(1)(e)(iii).
109          (b) "Approved prelicensure course provider" may only include a provider that, in
110     addition to any other locations, offers the 25-hour course described in Subsection
111     58-55-302(1)(e)(iii) at least six times each year in one or more counties other than Salt Lake
112     County, Utah County, Davis County, or Weber County.
113          (8) "Board" means the Electrician Licensing Board, Alarm System Security and
114     Licensing Board, or Plumbers Licensing Board created in Section 58-55-201.
115          (9) "Combustion system" means an assembly consisting of:
116          (a) piping and components with a means for conveying, either continuously or
117     intermittently, natural gas from the outlet of the natural gas provider's meter to the burner of the
118     appliance;

119          (b) the electric control and combustion air supply and venting systems, including air
120     ducts; and
121          (c) components intended to achieve control of quantity, flow, and pressure.
122          (10) "Commission" means the Construction Services Commission created under
123     Section 58-55-103.
124          (11) "Construction trade" means any trade or occupation involving:
125          (a) (i) construction, alteration, remodeling, repairing, wrecking or demolition, addition
126     to, or improvement of any building, highway, road, railroad, dam, bridge, structure, excavation
127     or other project, development, or improvement to other than personal property; and
128          (ii) constructing, remodeling, or repairing a manufactured home or mobile home as
129     defined in Section 15A-1-302; or
130          (b) installation or repair of a residential or commercial natural gas appliance or
131     combustion system.
132          (12) "Construction trades instructor" means a person licensed under this chapter to
133     teach one or more construction trades in both a classroom and project environment, where a
134     project is intended for sale to or use by the public and is completed under the direction of the
135     instructor, who has no economic interest in the project.
136          (13) (a) "Contractor" means any person who for compensation other than wages as an
137     employee undertakes any work in the construction, plumbing, or electrical trade for which
138     licensure is required under this chapter and includes:
139          (i) a person who builds any structure on the person's own property for the purpose of
140     sale or who builds any structure intended for public use on the person's own property;
141          (ii) any person who represents that the person is a contractor, or will perform a service
142     described in this Subsection (13), by advertising on a website or social media, or any other
143     means;
144          (iii) any person engaged as a maintenance person, other than an employee, who
145     regularly engages in activities set forth under the definition of "construction trade";
146          (iv) any person engaged in, or offering to engage in, any construction trade for which
147     licensure is required under this chapter; or
148          (v) a construction manager, construction consultant, construction assistant, or any other
149     person who, for a fee:

150          (A) performs or offers to perform construction consulting;
151          (B) performs or offers to perform management of construction subcontractors;
152          (C) provides or offers to provide a list of subcontractors or suppliers; or
153          (D) provides or offers to provide management or counseling services on a construction
154     project.
155          (b) "Contractor" does not include:
156          (i) an alarm company or alarm company agent; or
157          (ii) a material supplier who provides consulting to customers regarding the design and
158     installation of the material supplier's products.
159          (14) (a) "Electrical trade" means the performance of any electrical work involved in the
160     installation, construction, alteration, change, repair, removal, or maintenance of facilities,
161     buildings, or appendages or appurtenances.
162          (b) "Electrical trade" does not include:
163          (i) transporting or handling electrical materials;
164          (ii) preparing clearance for raceways for wiring; or
165          (iii) work commonly done by unskilled labor on any installations under the exclusive
166     control of electrical utilities.
167          (c) For purposes of Subsection (14)(b):
168          (i) no more than one unlicensed person may be so employed unless more than five
169     licensed electricians are employed by the shop; and
170          (ii) a shop may not employ unlicensed persons in excess of the five-to-one ratio
171     permitted by this Subsection (14)(c).
172          (15) "Elevator" means the same as that term is defined in Section 34A-7-202, except
173     that for purposes of this chapter it does not mean a stair chair, a vertical platform lift, or an
174     incline platform lift.
175          (16) "Elevator contractor" means a sole proprietor, firm, or corporation licensed under
176     this chapter that is engaged in the business of erecting, constructing, installing, altering,
177     servicing, repairing, or maintaining an elevator.
178          (17) "Elevator mechanic" means an individual who is licensed under this chapter as an
179     elevator mechanic and who is engaged in erecting, constructing, installing, altering, servicing,
180     repairing, or maintaining an elevator under the immediate supervision of an elevator contractor.

181          (18) "Employee" means an individual as defined by the division by rule giving
182     consideration to the definition adopted by the Internal Revenue Service and the Department of
183     Workforce Services.
184          (19) "Engage in a construction trade" means to:
185          (a) engage in, represent oneself to be engaged in, or advertise oneself as being engaged
186     in a construction trade; or
187          (b) use the name "contractor" or "builder" or in any other way lead a reasonable person
188     to believe one is or will act as a contractor.
189          (20) (a) "Financial responsibility" means a demonstration of a current and expected
190     future condition of financial solvency evidencing a reasonable expectation to the division and
191     the board that an applicant or licensee can successfully engage in business as a contractor
192     without jeopardy to the public health, safety, and welfare.
193          (b) Financial responsibility may be determined by an evaluation of the total history
194     concerning the licensee or applicant including past, present, and expected condition and record
195     of financial solvency and business conduct.
196          (21) "Gas appliance" means any device that uses natural gas to produce light, heat,
197     power, steam, hot water, refrigeration, or air conditioning.
198          (22) (a) "General building contractor" means a person licensed under this chapter as a
199     general building contractor qualified by education, training, experience, and knowledge to
200     perform or superintend construction of structures for the support, shelter, and enclosure of
201     persons, animals, chattels, or movable property of any kind or any of the components of that
202     construction except plumbing, electrical work, mechanical work, work related to the operating
203     integrity of an elevator, and manufactured housing installation, for which the general building
204     contractor shall employ the services of a contractor licensed in the particular specialty, except
205     that a general building contractor engaged in the construction of single-family and multifamily
206     residences up to four units may perform the mechanical work and hire a licensed plumber or
207     electrician as an employee.
208          (b) The division may by rule exclude general building contractors from engaging in the
209     performance of other construction specialties in which there is represented a substantial risk to
210     the public health, safety, and welfare, and for which a license is required unless that general
211     building contractor holds a valid license in that specialty classification.

212          (23) (a) "General electrical contractor" means a person licensed under this chapter as a
213     general electrical contractor qualified by education, training, experience, and knowledge to
214     perform the fabrication, construction, and installation of generators, transformers, conduits,
215     raceways, panels, switch gear, electrical wires, fixtures, appliances, or apparatus that uses
216     electrical energy.
217          (b) The scope of work of a general electrical contractor may be further defined by rules
218     made by the commission, with the concurrence of the director, in accordance with Title 63G,
219     Chapter 3, Utah Administrative Rulemaking Act.
220          (24) (a) "General engineering contractor" means a person licensed under this chapter as
221     a general engineering contractor qualified by education, training, experience, and knowledge to
222     perform construction of fixed works in any of the following: irrigation, drainage, water, power,
223     water supply, flood control, inland waterways, harbors, railroads, highways, tunnels, airports
224     and runways, sewers and bridges, refineries, pipelines, chemical and industrial plants requiring
225     specialized engineering knowledge and skill, piers, and foundations, or any of the components
226     of those works.
227          (b) A general engineering contractor may not perform construction of structures built
228     primarily for the support, shelter, and enclosure of persons, animals, and chattels.
229          (25) (a) "General plumbing contractor" means a person licensed under this chapter as a
230     general plumbing contractor qualified by education, training, experience, and knowledge to
231     perform the fabrication or installation of material and fixtures to create and maintain sanitary
232     conditions in a building by providing permanent means for a supply of safe and pure water, a
233     means for the timely and complete removal from the premises of all used or contaminated
234     water, fluid and semi-fluid organic wastes and other impurities incidental to life and the
235     occupation of such premises, and a safe and adequate supply of gases for lighting, heating, and
236     industrial purposes.
237          (b) The scope of work of a general plumbing contractor may be further defined by rules
238     made by the commission, with the concurrence of the director, in accordance with Title 63G,
239     Chapter 3, Utah Administrative Rulemaking Act.
240          (26) "Immediate supervision" means reasonable direction, oversight, inspection, and
241     evaluation of the work of a person:
242          (a) as the division specifies in rule;

243          (b) by, as applicable, a qualified electrician or plumber;
244          (c) as part of a planned program of training; and
245          (d) to ensure that the end result complies with applicable standards.
246          (27) "Individual" means a natural person.
247          (28) "Journeyman electrician" means a person licensed under this chapter as a
248     journeyman electrician having the qualifications, training, experience, and knowledge to wire,
249     install, and repair electrical apparatus and equipment for light, heat, power, and other purposes.
250          (29) "Journeyman plumber" means a person licensed under this chapter as a
251     journeyman plumber having the qualifications, training, experience, and technical knowledge
252     to engage in the plumbing trade.
253          (30) "Master electrician" means a person licensed under this chapter as a master
254     electrician having the qualifications, training, experience, and knowledge to properly plan,
255     layout, and supervise the wiring, installation, and repair of electrical apparatus and equipment
256     for light, heat, power, and other purposes.
257          (31) "Master plumber" means a person licensed under this chapter as a master plumber
258     having the qualifications, training, experience, and knowledge to properly plan and layout
259     projects and supervise persons in the plumbing trade.
260          (32) "Person" means a natural person, sole proprietorship, joint venture, corporation,
261     limited liability company, association, or organization of any type.
262          (33) (a) "Plumbing trade" means the performance of any mechanical work pertaining to
263     the installation, alteration, change, repair, removal, maintenance, or use in buildings, or within
264     three feet beyond the outside walls of buildings, of pipes, fixtures, and fittings for the:
265          (i) delivery of the water supply;
266          (ii) discharge of liquid and water carried waste;
267          (iii) building drainage system within the walls of the building; and
268          (iv) delivery of gases for lighting, heating, and industrial purposes.
269          (b) "Plumbing trade" includes work pertaining to the water supply, distribution pipes,
270     fixtures and fixture traps, soil, waste and vent pipes, the building drain and roof drains, and the
271     safe and adequate supply of gases, together with their devices, appurtenances, and connections
272     where installed within the outside walls of the building.
273          (34) [(a)] "Ratio of apprentices" means[, for the purpose of determining compliance

274     with the requirements for planned programs of training and electrician apprentice licensing
275     applications, the shop ratio of apprentice electricians to journeyman or master electricians shall
276     be one journeyman or master electrician to one apprentice on industrial and commercial work,
277     and one journeyman or master electrician to three apprentices on residential work. (b)
278     On-the-job training shall be under circumstances in which the ratio of apprentices to
279     supervisors is in accordance with a ratio of one-to-one on nonresidential work and up to three
280     apprentices to one supervisor on residential projects.] the number of licensed plumber
281     apprentices or licensed electrician apprentices that are allowed to be under the immediate
282     supervision of a licensed supervisor as established by the provisions of this chapter and by
283     rules made by the commission, with the concurrence of the director, in accordance with Title
284     63G, Chapter 3, Utah Administrative Rulemaking Act.
285          (35) "Residential and small commercial contractor" means a person licensed under this
286     chapter as a residential and small commercial contractor qualified by education, training,
287     experience, and knowledge to perform or superintend the construction of single-family
288     residences, multifamily residences up to four units, and commercial construction of not more
289     than three stories above ground and not more than 20,000 square feet, or any of the components
290     of that construction except plumbing, electrical work, mechanical work, and manufactured
291     housing installation, for which the residential and small commercial contractor shall employ
292     the services of a contractor licensed in the particular specialty, except that a residential and
293     small commercial contractor engaged in the construction of single-family and multifamily
294     residences up to four units may perform the mechanical work and hire a licensed plumber or
295     electrician as an employee.
296          (36) "Residential building," as it relates to the license classification of residential
297     journeyman plumber and residential master plumber, means a single or multiple family
298     dwelling of up to four units.
299          (37) (a) "Residential electrical contractor" means a person licensed under this chapter
300     as a residential electrical contractor qualified by education, training, experience, and
301     knowledge to perform the fabrication, construction, and installation of services, disconnecting
302     means, grounding devices, panels, conductors, load centers, lighting and plug circuits,
303     appliances, and fixtures in a residential unit.
304          (b) The scope of work of a residential electrical contractor may be further defined by

305     rules made by the commission, with the concurrence of the director, in accordance with Title
306     63G, Chapter 3, Utah Administrative Rulemaking Act.
307          (38) "Residential journeyman electrician" means a person licensed under this chapter
308     as a residential journeyman electrician having the qualifications, training, experience, and
309     knowledge to wire, install, and repair electrical apparatus and equipment for light, heat, power,
310     and other purposes on buildings using primarily nonmetallic sheath cable.
311          (39) "Residential journeyman plumber" means a person licensed under this chapter as a
312     residential journeyman plumber having the qualifications, training, experience, and knowledge
313     to engage in the plumbing trade as limited to the plumbing of residential buildings.
314          (40) "Residential master electrician" means a person licensed under this chapter as a
315     residential master electrician having the qualifications, training, experience, and knowledge to
316     properly plan, layout, and supervise the wiring, installation, and repair of electrical apparatus
317     and equipment for light, heat, power, and other purposes on residential projects.
318          (41) "Residential master plumber" means a person licensed under this chapter as a
319     residential master plumber having the qualifications, training, experience, and knowledge to
320     properly plan and layout projects and supervise persons in the plumbing trade as limited to the
321     plumbing of residential buildings.
322          (42) (a) "Residential plumbing contractor" means a person licensed under this chapter
323     as a residential plumbing contractor qualified by education, training, experience, and
324     knowledge to perform the fabrication or installation of material and fixtures to create and
325     maintain sanitary conditions in residential buildings by providing permanent means for a
326     supply of safe and pure water, a means for the timely and complete removal from the premises
327     of all used or contaminated water, fluid and semi-fluid organic wastes and other impurities
328     incidental to life and the occupation of such premises, and a safe and adequate supply of gases
329     for lighting, heating, and industrial purposes.
330          (b) The scope of work of a residential plumbing contractor may be further defined by
331     rules made by the commission, with the concurrence of the director, in accordance with Title
332     63G, Chapter 3, Utah Administrative Rulemaking Act.
333          (43) "Residential project," as it relates to an electrician or electrical contractor, means
334     buildings primarily wired with nonmetallic sheathed cable, in accordance with standard rules
335     and regulations governing this work, including the National Electrical Code, and in which the

336     voltage does not exceed 250 volts line to line and 125 volts to ground.
337          (44) "Sensitive alarm system information" means:
338          (a) a pass code or other code used in the operation of an alarm system;
339          (b) information on the location of alarm system components at the premises of a
340     customer of the alarm business providing the alarm system;
341          (c) information that would allow the circumvention, bypass, deactivation, or other
342     compromise of an alarm system of a customer of the alarm business providing the alarm
343     system; and
344          (d) any other similar information that the division by rule determines to be information
345     that an individual employed by an alarm business should use or have access to only if the
346     individual is licensed as provided in this chapter.
347          (45) (a) "Specialty contractor" means a person licensed under this chapter under a
348     specialty contractor classification established by rule, who is qualified by education, training,
349     experience, and knowledge to perform those construction trades and crafts requiring
350     specialized skill, the regulation of which are determined by the division to be in the best
351     interest of the public health, safety, and welfare.
352          (b) A specialty contractor may perform work in crafts or trades other than those in
353     which the specialty contractor is licensed if they are incidental to the performance of the
354     specialty contractor's licensed craft or trade.
355          (46) "Unincorporated entity" means an entity that is not:
356          (a) an individual;
357          (b) a corporation; or
358          (c) publicly traded.
359          (47) "Unlawful conduct" means the same as that term is defined in Sections 58-1-501
360     and 58-55-501.
361          (48) "Unprofessional conduct" means the same as that term is defined in Sections
362     58-1-501 and 58-55-502 and as may be further defined by rule.
363          (49) "Wages" means amounts due to an employee for labor or services whether the
364     amount is fixed or ascertained on a time, task, piece, commission, or other basis for calculating
365     the amount.
366          Section 3. Section 58-55-201 is amended to read:

367          58-55-201. Boards created -- Duties.
368          (1) There is created a Plumbers Licensing Board, an Alarm System Security and
369     Licensing Board, and an Electricians Licensing Board. Members of the boards shall be
370     selected to provide representation as follows:
371          (a) The Plumbers Licensing Board consists of five members as follows:
372          (i) two members shall be licensed from among the license classifications of master or
373     journeyman plumber;
374          (ii) two members shall be licensed plumbing contractors; and
375          (iii) one member shall be from the public at large with no history of involvement in the
376     construction trades.
377          (b) (i) The Alarm System Security and Licensing Board consists of five members as
378     follows:
379          (A) three individuals who are officers or owners of a licensed alarm business;
380          (B) one individual from among nominees of the Utah Peace Officers Association; and
381          (C) one individual representing the general public.
382          (ii) The Alarm System Security and Licensing Board shall designate one of its
383     members on a permanent or rotating basis to:
384          (A) assist the division in reviewing complaints concerning the unlawful or
385     unprofessional conduct of a licensee; and
386          (B) advise the division in its investigation of these complaints.
387          (iii) A board member who has, under this Subsection (1)(b)(iii), reviewed a complaint
388     or advised in its investigation is disqualified from participating with the board when the board
389     serves as a presiding officer in an adjudicative proceeding concerning the complaint.
390          (c) The Electricians Licensing Board consists of five members as follows:
391          (i) two members shall be licensed from among the license classifications of master or
392     journeyman electrician, of whom one shall represent a union organization and one shall be
393     selected having no union affiliation;
394          (ii) two shall be licensed electrical contractors of whom one shall represent a union
395     organization and one shall be selected having no union affiliation; and
396          (iii) one member shall be from the public at large with no history of involvement in the
397     construction trades or union affiliation.

398          (2) The duties, functions, and responsibilities of each board include the following:
399          (a) recommending to the commission appropriate rules;
400          (b) recommending to the commission policy and budgetary matters;
401          (c) approving and establishing a passing score for applicant examinations;
402          (d) overseeing the screening of applicants for licensing, renewal, reinstatement, and
403     relicensure;
404          (e) assisting the commission in establishing standards of supervision for students or
405     persons in training to become qualified to obtain a license in the occupation or profession it
406     represents; and
407          (f) acting as presiding officer in conducting hearings associated with the adjudicative
408     proceedings and in issuing recommended orders when so authorized by the commission.
409          (3) The division in collaboration with the Plumbers Licensing Board and the
410     Electricians Licensing Board shall provide a preliminary report on or before October 1, 2019,
411     and a final written report on or before June 1, 2020, to the Business and Labor Interim
412     Committee and the Occupational and Professional Licensure Review Committee that provides
413     recommendations for consistent educational and training standards for plumber and electrician
414     apprentice programs in the state, including recommendations for education and training
415     provided by all providers, including institutions of higher education and technical colleges.
416          Section 4. Section 58-55-302 is amended to read:
417          58-55-302. Qualifications for licensure.
418          (1) Each applicant for a license under this chapter shall:
419          (a) submit an application prescribed by the division;
420          (b) pay a fee as determined by the department under Section 63J-1-504;
421          (c) [(i)] meet the examination requirements established by this section and by rule by
422     the commission with the concurrence of the director, [except that no examination, other than an
423     examination as part of a 25-hour course described in Subsection (1)(e)(iii), is required for
424     licensure as an apprentice electrician, apprentice plumber, or specialty contractor; or] which
425     requirements include:
426          (i) for licensure as an apprentice electrician, apprentice plumber, or specialty
427     contractor, no division-administered examination is required;
428          (ii) for licensure as a general building contractor, general engineering contractor,

429     residential and small commercial contractor, general plumbing contractor, residential plumbing
430     contractor, general electrical contractor, or residential electrical contractor, the only required
431     division-administered examination is a division-administered examination that covers
432     information from the 25-hour course described in Subsection (1)(e)(iii), which course may
433     have been previously completed as part of applying for any other license under this chapter,
434     and the five-hour business law course described in Subsection (1)(e)(iv); and
435          [(ii)] (iii) if required in Section 58-55-304, [the] an individual qualifier must pass the
436     required division-administered examination if the applicant is a business entity;
437          (d) if an apprentice, identify the proposed supervisor of the apprenticeship;
438          (e) if an applicant for a contractor's license:
439          (i) produce satisfactory evidence of financial responsibility, except for a construction
440     trades instructor for whom evidence of financial responsibility is not required;
441          (ii) produce satisfactory evidence of:
442          (A) except as provided in Subsection (2)(a), and except that no employment experience
443     is required for licensure as a specialty contractor, two years full-time paid employment
444     experience in the construction industry, which employment experience [may be related to any
445     contracting classification unless more specifically described in this section], unless more
446     specifically described in this section, may be related to any contracting classification and does
447     not have to include supervisory experience; and
448          (B) knowledge of the principles of the conduct of business as a contractor, reasonably
449     necessary for the protection of the public health, safety, and welfare;
450          (iii) except as otherwise provided by rule by the commission with the concurrence of
451     the director, complete a 25-hour course established by rule by the commission with the
452     concurrence of the director, which is taught by an approved prelicensure course provider, and
453     which course may include:
454          (A) construction business practices;
455          (B) bookkeeping fundamentals;
456          (C) mechanics lien fundamentals;
457          (D) other aspects of business and construction principles considered important by the
458     commission with the concurrence of the director; and
459          (E) for no additional fee, [an] a provider-administered examination at the end of the

460     25-hour course;
461          (iv) complete a five-hour business and law course established by rule by the
462     commission with the concurrence of the director, which is taught by an approved prelicensure
463     course provider, if an applicant for licensure as a general building contractor, general
464     engineering contractor, residential and small commercial contractor, general plumbing
465     contractor, residential plumbing contractor, general electrical contractor, or residential
466     electrical contractor;
467          [(iv)] (v) (A) be a licensed master electrician if an applicant for an electrical
468     contractor's license or a licensed master residential electrician if an applicant for a residential
469     electrical contractor's license;
470          (B) be a licensed master plumber if an applicant for a plumbing contractor's license or
471     a licensed master residential plumber if an applicant for a residential plumbing contractor's
472     license; or
473          (C) be a licensed elevator mechanic and produce satisfactory evidence of three years
474     experience as an elevator mechanic if an applicant for an elevator contractor's license; and
475          [(v)] (vi) when the applicant is an unincorporated entity, provide a list of the one or
476     more individuals who hold an ownership interest in the applicant as of the day on which the
477     application is filed that includes for each individual:
478          (A) the individual's name, address, birth date, and social security number; and
479          (B) whether the individual will engage in a construction trade; and
480          (f) if an applicant for a construction trades instructor license, satisfy any additional
481     requirements established by rule.
482          (2) (a) If the applicant for a contractor's license described in Subsection (1) is a
483     building inspector, the applicant may satisfy Subsection (1)(e)(ii)(A) by producing satisfactory
484     evidence of two years full-time paid employment experience as a building inspector, which
485     shall include at least one year full-time experience as a licensed combination inspector.
486          (b) After approval of an applicant for a contractor's license by the applicable board and
487     the division, the applicant shall file the following with the division before the division issues
488     the license:
489          (i) proof of workers' compensation insurance which covers employees of the applicant
490     in accordance with applicable Utah law;

491          (ii) proof of public liability insurance in coverage amounts and form established by rule
492     except for a construction trades instructor for whom public liability insurance is not required;
493     and
494          (iii) proof of registration as required by applicable law with the:
495          (A) Department of Commerce;
496          (B) Division of Corporations and Commercial Code;
497          (C) Unemployment Insurance Division in the Department of Workforce Services, for
498     purposes of Title 35A, Chapter 4, Employment Security Act;
499          (D) State Tax Commission; and
500          (E) Internal Revenue Service.
501          (3) In addition to the general requirements for each applicant in Subsection (1),
502     applicants shall comply with the following requirements to be licensed in the following
503     classifications:
504          (a) (i) A master plumber shall produce satisfactory evidence that the applicant:
505          (A) has been a licensed journeyman plumber for at least two years and had two years of
506     supervisory experience as a licensed journeyman plumber in accordance with division rule;
507          (B) has received at least an associate of applied science degree or similar degree
508     following the completion of a course of study approved by the division and had one year of
509     supervisory experience as a licensed journeyman plumber in accordance with division rule; or
510          (C) meets the qualifications [determined by the division in collaboration with the board
511     to be equivalent to Subsection (3)(a)(i)(A) or (B).] for expedited licensure as established by
512     rules made by the commission, with the concurrence of the director, in accordance with Title
513     63G, Chapter 3, Utah Administrative Rulemaking Act, that clearly demonstrate the applicant
514     has the knowledge and skills to be a licensed master plumber.
515          (ii) An individual holding a valid Utah license as a journeyman plumber, based on at
516     least four years of practical experience as a licensed apprentice under the supervision of a
517     licensed journeyman plumber and four years as a licensed journeyman plumber, in effect
518     immediately prior to May 5, 2008, is on and after May 5, 2008, considered to hold a current
519     master plumber license under this chapter, and satisfies the requirements of this Subsection
520     (3)(a) for the purpose of renewal or reinstatement of that license under Section 58-55-303.
521          (iii) An individual holding a valid plumbing contractor's license or residential

522     plumbing contractor's license, in effect immediately prior to May 5, 2008, is on or after May 5,
523     2008:
524          (A) considered to hold a current master plumber license under this chapter if licensed
525     as a plumbing contractor and a journeyman plumber, and satisfies the requirements of this
526     Subsection (3)(a) for purposes of renewal or reinstatement of that license under Section
527     58-55-303; and
528          (B) considered to hold a current residential master plumber license under this chapter if
529     licensed as a residential plumbing contractor and a residential journeyman plumber, and
530     satisfies the requirements of this Subsection (3)(a) for purposes of renewal or reinstatement of
531     that license under Section 58-55-303.
532          (b) A master residential plumber applicant shall produce satisfactory evidence that the
533     applicant:
534          (i) has been a licensed residential journeyman plumber for at least two years and had
535     two years of supervisory experience as a licensed residential journeyman plumber in
536     accordance with division rule; or
537          (ii) [meets the qualifications determined by the division in collaboration with the board
538     to be equivalent to Subsection (3)(b)(i).] meets the qualifications for expedited licensure as
539     established by rules made by the commission, with the concurrence of the director, in
540     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, that clearly
541     demonstrate the applicant has the knowledge and skills to be a licensed master residential
542     plumber.
543          (c) A journeyman plumber applicant shall produce satisfactory evidence of:
544          (i) successful completion of the equivalent of at least four years of full-time training
545     and instruction as a licensed apprentice plumber under supervision of a licensed master
546     plumber or journeyman plumber and in accordance with a planned program of training
547     approved by the division;
548          (ii) at least eight years of full-time experience approved by the division in collaboration
549     with the Plumbers Licensing Board; or
550          (iii) [satisfactory evidence of meeting the qualifications determined by the board to be
551     equivalent to Subsection (3)(c)(i) or (c)(ii).] meeting the qualifications for expedited licensure
552     as established by rules made by the commission, with the concurrence of the director, in

553     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, that clearly
554     demonstrate the applicant has the knowledge and skills to be a licensed journeyman plumber.
555          (d) A residential journeyman plumber shall produce satisfactory evidence of:
556          (i) completion of the equivalent of at least three years of full-time training and
557     instruction as a licensed apprentice plumber under the supervision of a licensed residential
558     master plumber, licensed residential journeyman plumber, or licensed journeyman plumber in
559     accordance with a planned program of training approved by the division;
560          (ii) completion of at least six years of full-time experience in a maintenance or repair
561     trade involving substantial plumbing work; or
562          (iii) [meeting the qualifications determined by the board to be equivalent to Subsection
563     (3)(d)(i) or (d)(ii).] meeting the qualifications for expedited licensure as established by rules
564     made by the commission, with the concurrence of the director, in accordance with Title 63G,
565     Chapter 3, Utah Administrative Rulemaking Act, that clearly demonstrate the applicant has the
566     knowledge and skills to be a licensed residential journeyman plumber.
567          (e) The conduct of licensed apprentice plumbers and their licensed supervisors shall be
568     in accordance with the following:
569          (i) while engaging in the trade of plumbing, a licensed apprentice plumber shall be
570     under the immediate supervision of a licensed master plumber, licensed residential master
571     plumber, licensed journeyman plumber, or [a] licensed residential journeyman plumber; [and]
572          (ii) beginning in a licensed apprentice plumber's fourth year of training, a licensed
573     apprentice plumber [in the fourth through tenth year of training] may work without supervision
574     for a period not to exceed eight hours in any 24-hour period[, but if the apprentice does not
575     become a licensed journeyman plumber or licensed residential journeyman plumber by the end
576     of the tenth year of apprenticeship, this nonsupervision provision no longer applies.]; and
577          (iii) rules made by the commission, with the concurrence of the director, in accordance
578     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, regarding the ratio of
579     apprentices allowed under the immediate supervision of a licensed supervisor, including the
580     ratio of apprentices in their fourth year of training or later that are allowed to be under the
581     immediate supervision of a licensed supervisor.
582          (f) A master electrician applicant shall produce satisfactory evidence that the applicant:
583          (i) is a graduate electrical engineer of an accredited college or university approved by

584     the division and has one year of practical electrical experience as a licensed apprentice
585     electrician;
586          (ii) is a graduate of an electrical trade school, having received an associate of applied
587     sciences degree following successful completion of a course of study approved by the division,
588     and has two years of practical experience as a licensed journeyman electrician;
589          (iii) has four years of practical experience as a journeyman electrician; or
590          (iv) [meets the qualifications determined by the board to be equivalent to Subsection
591     (3)(f)(i), (ii), or (iii).] meets the qualifications for expedited licensure as established by rules
592     made by the commission, with the concurrence of the director, in accordance with Title 63G,
593     Chapter 3, Utah Administrative Rulemaking Act, that clearly demonstrate the applicant has the
594     knowledge and skills to be a licensed master electrician.
595          (g) A master residential electrician applicant shall produce satisfactory evidence that
596     the applicant:
597          (i) has at least two years of practical experience as a residential journeyman electrician;
598     or
599          (ii) [meets the qualifications determined by the board to be equivalent to this practical
600     experience.] meets the qualifications for expedited licensure as established by rules made by
601     the commission, with the concurrence of the director, in accordance with Title 63G, Chapter 3,
602     Utah Administrative Rulemaking Act, that clearly demonstrate the applicant has the knowledge
603     and skills to be a master residential electrician.
604          (h) A journeyman electrician applicant shall produce satisfactory evidence that the
605     applicant:
606          (i) has successfully completed at least four years of full-time training and instruction as
607     a licensed apprentice electrician under the supervision of a master electrician or journeyman
608     electrician and in accordance with a planned training program approved by the division;
609          (ii) has at least eight years of full-time experience approved by the division in
610     collaboration with the Electricians Licensing Board; or
611          (iii) [meets the qualifications determined by the board to be equivalent to Subsection
612     (3)(h)(i) or (ii).] meets the qualifications for expedited licensure as established by rules made
613     by the commission, with the concurrence of the director, in accordance with Title 63G, Chapter
614     3, Utah Administrative Rulemaking Act, that clearly demonstrate the applicant has the

615     knowledge and skills to be a licensed journeyman electrician.
616          (i) A residential journeyman electrician applicant shall produce satisfactory evidence
617     that the applicant:
618          (i) has successfully completed two years of training in an electrical training program
619     approved by the division;
620          (ii) has four years of practical experience in wiring, installing, and repairing electrical
621     apparatus and equipment for light, heat, and power under the supervision of a licensed master,
622     journeyman, residential master, or residential journeyman electrician; or
623          (iii) [meets the qualifications determined by the division and applicable board to be
624     equivalent to Subsection (3)(i)(i) or (ii).] meets the qualifications for expedited licensure as
625     established by rules made by the commission, with the concurrence of the director, in
626     accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, that clearly
627     demonstrate the applicant has the knowledge and skills to be a licensed residential journeyman
628     electrician.
629          (j) The conduct of licensed apprentice electricians and their licensed supervisors shall
630     be in accordance with the following:
631          (i) A licensed apprentice electrician shall be under the immediate supervision of a
632     licensed master, journeyman, residential master, or residential journeyman electrician[. An
633     apprentice in the fourth year of training];
634          (ii) beginning in a licensed apprentice electrician's fourth year of training, a licensed
635     apprentice electrician may work without supervision for a period not to exceed eight hours in
636     any 24-hour period[.];
637          [(ii) A licensed master, journeyman, residential master, or residential journeyman
638     electrician may have under immediate supervision on a residential project up to three licensed
639     apprentice electricians.]
640          [(iii) A licensed master or journeyman electrician may have under immediate
641     supervision on nonresidential projects only one licensed apprentice electrician.]
642          (iii) rules made by the commission, with the concurrence of the director, in accordance
643     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, regarding the ratio of
644     apprentices allowed under the immediate supervision of a licensed supervisor, including the
645     ratio of apprentices in their fourth year of training or later that are allowed to be under the

646     immediate supervision of a licensed supervisor; and
647          (iv) a licensed supervisor may have up to three licensed apprentice electricians on a
648     residential project, or more if established by rules made by the commission, in concurrence
649     with the director, in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
650     Act.
651          (k) An alarm company applicant shall:
652          (i) have a qualifying agent who is an officer, director, partner, proprietor, or manager of
653     the applicant who:
654          (A) demonstrates 6,000 hours of experience in the alarm company business;
655          (B) demonstrates 2,000 hours of experience as a manager or administrator in the alarm
656     company business or in a construction business; and
657          (C) passes an examination component established by rule by the commission with the
658     concurrence of the director;
659          (ii) if a corporation, provide:
660          (A) the names, addresses, dates of birth, social security numbers, and fingerprint cards
661     of all corporate officers, directors, and those responsible management personnel employed
662     within the state or having direct responsibility for managing operations of the applicant within
663     the state; and
664          (B) the names, addresses, dates of birth, social security numbers, and fingerprint cards
665     of all shareholders owning 5% or more of the outstanding shares of the corporation, except this
666     shall not be required if the stock is publicly listed and traded;
667          (iii) if a limited liability company, provide:
668          (A) the names, addresses, dates of birth, social security numbers, and fingerprint cards
669     of all company officers, and those responsible management personnel employed within the
670     state or having direct responsibility for managing operations of the applicant within the state;
671     and
672          (B) the names, addresses, dates of birth, social security numbers, and fingerprint cards
673     of all individuals owning 5% or more of the equity of the company;
674          (iv) if a partnership, provide the names, addresses, dates of birth, social security
675     numbers, and fingerprint cards of all general partners, and those responsible management
676     personnel employed within the state or having direct responsibility for managing operations of

677     the applicant within the state;
678          (v) if a proprietorship, provide the names, addresses, dates of birth, social security
679     numbers, and fingerprint cards of the proprietor, and those responsible management personnel
680     employed within the state or having direct responsibility for managing operations of the
681     applicant within the state;
682          (vi) if a trust, provide the names, addresses, dates of birth, social security numbers, and
683     fingerprint cards of the trustee, and those responsible management personnel employed within
684     the state or having direct responsibility for managing operations of the applicant within the
685     state;
686          (vii) be of good moral character in that officers, directors, shareholders described in
687     Subsection (3)(k)(ii)(B), partners, proprietors, trustees, and responsible management personnel
688     have not been convicted of a felony, a misdemeanor involving moral turpitude, or any other
689     crime that when considered with the duties and responsibilities of an alarm company is
690     considered by the board to indicate that the best interests of the public are served by granting
691     the applicant a license;
692          (viii) document that none of the applicant's officers, directors, shareholders described
693     in Subsection (3)(k)(ii)(B), partners, proprietors, trustees, and responsible management
694     personnel have been declared by any court of competent jurisdiction incompetent by reason of
695     mental defect or disease and not been restored;
696          (ix) document that none of the applicant's officers, directors, shareholders described in
697     Subsection (3)(k)(ii)(B), partners, proprietors, and responsible management personnel are
698     currently suffering from habitual drunkenness or from drug addiction or dependence;
699          (x) file and maintain with the division evidence of:
700          (A) comprehensive general liability insurance in form and in amounts to be established
701     by rule by the commission with the concurrence of the director;
702          (B) workers' compensation insurance that covers employees of the applicant in
703     accordance with applicable Utah law; and
704          (C) registration as is required by applicable law with the:
705          (I) Division of Corporations and Commercial Code;
706          (II) Unemployment Insurance Division in the Department of Workforce Services, for
707     purposes of Title 35A, Chapter 4, Employment Security Act;

708          (III) State Tax Commission; and
709          (IV) Internal Revenue Service; and
710          (xi) meet with the division and board.
711          (l) Each applicant for licensure as an alarm company agent shall:
712          (i) submit an application in a form prescribed by the division accompanied by
713     fingerprint cards;
714          (ii) pay a fee determined by the department under Section 63J-1-504;
715          (iii) be of good moral character in that the applicant has not been convicted of a felony,
716     a misdemeanor involving moral turpitude, or any other crime that when considered with the
717     duties and responsibilities of an alarm company agent is considered by the board to indicate
718     that the best interests of the public are served by granting the applicant a license;
719          (iv) not have been declared by any court of competent jurisdiction incompetent by
720     reason of mental defect or disease and not been restored;
721          (v) not be currently suffering from habitual drunkenness or from drug addiction or
722     dependence; and
723          (vi) meet with the division and board if requested by the division or the board.
724          (m) (i) Each applicant for licensure as an elevator mechanic shall:
725          (A) provide documentation of experience and education credits of not less than three
726     years work experience in the elevator industry, in construction, maintenance, or service and
727     repair; and
728          (B) satisfactorily complete a written examination administered by the division
729     established by rule under Section 58-1-203; or
730          (C) provide certificates of completion of an apprenticeship program for elevator
731     mechanics, having standards substantially equal to those of this chapter and registered with the
732     United States Department of Labor Bureau Apprenticeship and Training or a state
733     apprenticeship council.
734          (ii) (A) If an elevator contractor licensed under this chapter cannot find a licensed
735     elevator mechanic to perform the work of erecting, constructing, installing, altering, servicing,
736     repairing, or maintaining an elevator, the contractor may:
737          (I) notify the division of the unavailability of licensed personnel; and
738          (II) request the division issue a temporary elevator mechanic license to an individual

739     certified by the contractor as having an acceptable combination of documented experience and
740     education to perform the work described in this Subsection (3)(m)(ii)(A).
741          (B) (I) The division may issue a temporary elevator mechanic license to an individual
742     certified under Subsection (3)(m)(ii)(A)(II) upon application by the individual, accompanied by
743     the appropriate fee as determined by the department under Section 63J-1-504.
744          (II) The division shall specify the time period for which the license is valid and may
745     renew the license for an additional time period upon its determination that a shortage of
746     licensed elevator mechanics continues to exist.
747          (4) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
748     division may make rules establishing when Federal Bureau of Investigation records shall be
749     checked for applicants as an alarm company or alarm company agent.
750          (5) To determine if an applicant meets the qualifications of Subsections (3)(k)(vii) and
751     (3)(l)(iii), the division shall provide an appropriate number of copies of fingerprint cards to the
752     Department of Public Safety with the division's request to:
753          (a) conduct a search of records of the Department of Public Safety for criminal history
754     information relating to each applicant for licensure as an alarm company or alarm company
755     agent and each applicant's officers, directors, shareholders described in Subsection
756     (3)(k)(ii)(B), partners, proprietors, and responsible management personnel; and
757          (b) forward to the Federal Bureau of Investigation a fingerprint card of each applicant
758     requiring a check of records of the Federal Bureau of Investigation for criminal history
759     information under this section.
760          (6) The Department of Public Safety shall send to the division:
761          (a) a written record of criminal history, or certification of no criminal history record, as
762     contained in the records of the Department of Public Safety in a timely manner after receipt of
763     a fingerprint card from the division and a request for review of Department of Public Safety
764     records; and
765          (b) the results of the Federal Bureau of Investigation review concerning an applicant in
766     a timely manner after receipt of information from the Federal Bureau of Investigation.
767          (7) (a) The division shall charge each applicant for licensure as an alarm company or
768     alarm company agent a fee, in accordance with Section 63J-1-504, equal to the cost of
769     performing the records reviews under this section.

770          (b) The division shall pay the Department of Public Safety the costs of all records
771     reviews, and the Department of Public Safety shall pay the Federal Bureau of Investigation the
772     costs of records reviews under this section.
773          (8) Information obtained by the division from the reviews of criminal history records of
774     the Department of Public Safety and the Federal Bureau of Investigation shall be used or
775     disseminated by the division only for the purpose of determining if an applicant for licensure as
776     an alarm company or alarm company agent is qualified for licensure.
777          (9) (a) An application for licensure under this chapter shall be denied if:
778          (i) the applicant has had a previous license, which was issued under this chapter,
779     suspended or revoked within two years before the date of the applicant's application;
780          (ii) (A) the applicant is a partnership, corporation, or limited liability company; and
781          (B) any corporate officer, director, shareholder holding 25% or more of the stock in the
782     applicant, partner, member, agent acting as a qualifier, or any person occupying a similar
783     status, performing similar functions, or directly or indirectly controlling the applicant has
784     served in any similar capacity with any person or entity which has had a previous license,
785     which was issued under this chapter, suspended or revoked within two years before the date of
786     the applicant's application;
787          (iii) (A) the applicant is an individual or sole proprietorship; and
788          (B) any owner or agent acting as a qualifier has served in any capacity listed in
789     Subsection (9)(a)(ii)(B) in any entity which has had a previous license, which was issued under
790     this chapter, suspended or revoked within two years before the date of the applicant's
791     application; or
792          (iv) (A) the applicant includes an individual who was an owner, director, or officer of
793     an unincorporated entity at the time the entity's license under this chapter was revoked; and
794          (B) the application for licensure is filed within 60 months after the revocation of the
795     unincorporated entity's license.
796          (b) An application for licensure under this chapter shall be reviewed by the appropriate
797     licensing board prior to approval if:
798          (i) the applicant has had a previous license, which was issued under this chapter,
799     suspended or revoked more than two years before the date of the applicant's application;
800          (ii) (A) the applicant is a partnership, corporation, or limited liability company; and

801          (B) any corporate officer, director, shareholder holding 25% or more of the stock in the
802     applicant, partner, member, agent acting as a qualifier, or any person occupying a similar
803     status, performing similar functions, or directly or indirectly controlling the applicant has
804     served in any similar capacity with any person or entity which has had a previous license,
805     which was issued under this chapter, suspended or revoked more than two years before the date
806     of the applicant's application; or
807          (iii) (A) the applicant is an individual or sole proprietorship; and
808          (B) any owner or agent acting as a qualifier has served in any capacity listed in
809     Subsection (9)(b)(ii)(B) in any entity which has had a previous license, which was issued under
810     this chapter, suspended or revoked more than two years before the date of the applicant's
811     application.
812          (10) (a) (i) A licensee that is an unincorporated entity shall file an ownership status
813     report with the division every 30 days after the day on which the license is issued if the licensee
814     has more than five owners who are individuals who:
815          (A) own an interest in the contractor that is an unincorporated entity;
816          (B) own, directly or indirectly, less than an 8% interest, as defined by rule made by the
817     division in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, in the
818     unincorporated entity; and
819          (C) engage, or will engage, in a construction trade in the state as owners of the
820     contractor described in Subsection (10)(a)(i)(A).
821          (ii) If the licensee has five or fewer owners described in Subsection (10)(a)(i), the
822     licensee shall provide the ownership status report with an application for renewal of licensure.
823          (b) An ownership status report required under this Subsection (10) shall:
824          (i) specify each addition or deletion of an owner:
825          (A) for the first ownership status report, after the day on which the unincorporated
826     entity is licensed under this chapter; and
827          (B) for a subsequent ownership status report, after the day on which the previous
828     ownership status report is filed;
829          (ii) be in a format prescribed by the division that includes for each owner, regardless of
830     the owner's percentage ownership in the unincorporated entity, the information described in
831     Subsection(1)(e)[(v)](vi);

832          (iii) list the name of:
833          (A) each officer or manager of the unincorporated entity; and
834          (B) each other individual involved in the operation, supervision, or management of the
835     unincorporated entity; and
836          (iv) be accompanied by a fee set by the division in accordance with Section 63J-1-504
837     if the ownership status report indicates there is a change described in Subsection (10)(b)(i).
838          (c) The division may, at any time, audit an ownership status report under this
839     Subsection (10):
840          (i) to determine if financial responsibility has been demonstrated or maintained as
841     required under Section 58-55-306; and
842          (ii) to determine compliance with Subsection 58-55-501(24), (25), or (27) or
843     Subsection 58-55-502(8) or (9).
844          (11) (a) An unincorporated entity that provides labor to an entity licensed under this
845     chapter by providing an individual who owns an interest in the unincorporated entity to engage
846     in a construction trade in Utah shall file with the division:
847          (i) before the individual who owns an interest in the unincorporated entity engages in a
848     construction trade in Utah, a current list of the one or more individuals who hold an ownership
849     interest in the unincorporated entity that includes for each individual:
850          (A) the individual's name, address, birth date, and social security number; and
851          (B) whether the individual will engage in a construction trade; and
852          (ii) every 30 days after the day on which the unincorporated entity provides the list
853     described in Subsection (11)(a)(i), an ownership status report containing the information that
854     would be required under Subsection (10) if the unincorporated entity were a licensed
855     contractor.
856          (b) When filing an ownership list described in Subsection (11)(a)(i) or an ownership
857     status report described in Subsection (11)(a)(ii), an unincorporated entity shall pay a fee set by
858     the division in accordance with Section 63J-1-504.
859          (12) This chapter may not be interpreted to create or support an express or implied
860     independent contractor relationship between an unincorporated entity described in Subsection
861     (10) or (11) and the owners of the unincorporated entity for any purpose, including income tax
862     withholding.

863          (13) A social security number provided under Subsection (1)(e)[(v)](vi) is a private
864     record under Subsection 63G-2-302(1)(i).
865          Section 5. Section 58-55-302.5 is amended to read:
866          58-55-302.5. Continuing education requirements for contractor licensees --
867     Continuing education courses.
868          (1) (a) Each contractor licensee under a license issued under this chapter shall complete
869     six hours of approved continuing education during each two-year renewal cycle established by
870     rule under Subsection 58-55-303(1).
871          (b) Each contractor licensee who has a renewal cycle that ends on or after January 1,
872     2020, shall complete one hour of approved continuing education on energy conservation as part
873     of the six required hours.
874          (2) (a) The commission shall, with the concurrence of the division, establish by rule a
875     program of approved continuing education for contractor licensees.
876          (b) Except as provided in Subsection (2)(e), beginning on or after June 1, 2015, only
877     courses offered by any of the following may be included in the program of approved continuing
878     education for contractor licensees:
879          (i) the Associated General Contractors of Utah;
880          (ii) Associated Builders and Contractors, Utah Chapter;
881          (iii) the Home Builders Association of Utah;
882          (iv) the National Electrical Contractors Association Intermountain Chapter;
883          (v) the Utah Plumbing & Heating Contractors Association;
884          (vi) the Independent Electrical Contractors of Utah;
885          (vii) the Rocky Mountain Gas Association;
886          (viii) the Utah Mechanical Contractors Association;
887          (ix) the Sheet Metal Contractors Association;
888          (x) the Intermountain Electrical Association;
889          (xi) the Builders Bid Service of Utah; or
890          (xii) Utah Roofing Contractors Association.
891          (c) An approved continuing education program for a contractor licensee may include a
892     course approved by an entity described in Subsections (2)(b)(i) through (2)(b)(iii).
893          (d) (i) Except as provided in Subsections (2)(d)(ii) and (iii), an entity listed in

894     Subsections (2)(b)(iv) through (2)(b)(xii) may only offer and market continuing education
895     courses to a licensee who is a member of the entity.
896          (ii) An entity described in Subsection (2)(b)(iv), (vi), or (x) may offer and market a
897     continuing education course that the entity offers to satisfy the continuing education
898     requirement described in Subsection 58-55-302.7(2)(a) to a contractor in the electrical trade.
899          (iii) An entity described in Subsection (2)(b)(v) or (viii) may offer and market a
900     continuing education course that the entity offers to satisfy the continuing education
901     requirement described in Subsection 58-55-302.7(2)(b) to a contractor in the plumbing trade.
902          (e) On or after June 1, 2015, an approved continuing education program for a
903     contractor licensee may include a course offered and taught by:
904          (i) a state executive branch agency;
905          (ii) the workers' compensation insurance carrier that provides workers' compensation
906     insurance under Section 31A-22-1001; or
907          (iii) a nationally or regionally accredited college or university that has a physical
908     campus in the state.
909          (f) On or after June 1, 2017, for a contractor licensee that is licensed in the specialty
910     contractor classification of HVAC contractor, at least three of the six hours described in
911     Subsection (1) shall include continuing education directly related to the installation, repair, or
912     replacement of a heating, ventilation, or air conditioning system.
913          (3) The division may contract with a person to establish and maintain a continuing
914     education registry to include:
915          (a) a list of courses that the division has approved for inclusion in the program of
916     approved continuing education; and
917          (b) a list of courses that:
918          (i) a contractor licensee has completed under the program of approved continuing
919     education; and
920          (ii) the licensee may access to monitor the licensee's compliance with the continuing
921     education requirement established under Subsection (1).
922          (4) The division may charge a fee, as established by the division under Section
923     63J-1-504, to administer the requirements of this section.
924          Section 6. Section 58-55-305 is amended to read:

925          58-55-305. Exemptions from licensure.
926          (1) In addition to the exemptions from licensure in Section 58-1-307, the following
927     persons may engage in acts or practices included within the practice of construction trades,
928     subject to the stated circumstances and limitations, without being licensed under this chapter:
929          (a) an authorized representative of the United States government or an authorized
930     employee of the state or any of its political subdivisions when working on construction work of
931     the state or the subdivision, and when acting within the terms of the person's trust, office, or
932     employment;
933          (b) a person engaged in construction or operation incidental to the construction and
934     repair of irrigation and drainage ditches of regularly constituted irrigation districts, reclamation
935     districts, and drainage districts or construction and repair relating to farming, dairying,
936     agriculture, livestock or poultry raising, metal and coal mining, quarries, sand and gravel
937     excavations, well drilling, as defined in Section 73-3-25, hauling to and from construction
938     sites, and lumbering;
939          (c) public utilities operating under the rules of the Public Service Commission on work
940     incidental to their own business;
941          (d) sole owners of property engaged in building:
942          (i) no more than one residential structure per year and no more than three residential
943     structures per five years on their property for their own noncommercial, nonpublic use; except,
944     a person other than the property owner or individuals described in Subsection (1)(e), who
945     engages in building the structure must be licensed under this chapter if the person is otherwise
946     required to be licensed under this chapter; or
947          (ii) structures on their property for their own noncommercial, nonpublic use which are
948     incidental to a residential structure on the property, including sheds, carports, or detached
949     garages;
950          (e) (i) a person engaged in construction or renovation of a residential building for
951     noncommercial, nonpublic use if that person:
952          (A) works without compensation other than token compensation that is not considered
953     salary or wages; and
954          (B) works under the direction of the property owner who engages in building the
955     structure; and

956          (ii) as used in this Subsection (1)(e), "token compensation" means compensation paid
957     by a sole owner of property exempted from licensure under Subsection (1)(d) to a person
958     exempted from licensure under this Subsection (1)(e), that is:
959          (A) minimal in value when compared with the fair market value of the services
960     provided by the person;
961          (B) not related to the fair market value of the services provided by the person; and
962          (C) is incidental to the providing of services by the person including paying for or
963     providing meals or refreshment while services are being provided, or paying reasonable
964     transportation costs incurred by the person in travel to the site of construction;
965          (f) a person engaged in the sale or merchandising of personal property that by its design
966     or manufacture may be attached, installed, or otherwise affixed to real property who has
967     contracted with a person, firm, or corporation licensed under this chapter to install, affix, or
968     attach that property;
969          (g) a contractor submitting a bid on a federal aid highway project, if, before
970     undertaking construction under that bid, the contractor is licensed under this chapter;
971          (h) (i) subject to Subsection 58-1-401(2) and Sections 58-55-501 and 58-55-502, a
972     person engaged in the alteration, repair, remodeling, or addition to or improvement of a
973     building with a contracted or agreed value of less than $3,000, including both labor and
974     materials, and including all changes or additions to the contracted or agreed upon work; and
975          (ii) notwithstanding Subsection (1)(h)(i) and except as otherwise provided in this
976     section:
977          (A) work in the plumbing and electrical trades on a Subsection (1)(h)(i) project within
978     any six month period of time:
979          (I) must be performed by a licensed electrical or plumbing contractor, if the project
980     involves an electrical or plumbing system; and
981          (II) may be performed by a licensed journeyman electrician or plumber or an individual
982     referred to in Subsection (1)(h)(ii)(A)(I), if the project involves a component of the system
983     such as a faucet, toilet, fixture, device, outlet, or electrical switch;
984          (B) installation, repair, or replacement of a residential or commercial gas appliance or a
985     combustion system on a Subsection (1)(h)(i) project must be performed by a person who has
986     received certification under Subsection 58-55-308(2) except as otherwise provided in

987     Subsection 58-55-308(2)(d) or 58-55-308(3);
988          (C) installation, repair, or replacement of water-based fire protection systems on a
989     Subsection (1)(h)(i) project must be performed by a licensed fire suppression systems
990     contractor or a licensed journeyman plumber;
991          (D) work as an alarm business or company or as an alarm company agent shall be
992     performed by a licensed alarm business or company or a licensed alarm company agent, except
993     as otherwise provided in this chapter;
994          (E) installation, repair, or replacement of an alarm system on a Subsection (1)(h)(i)
995     project must be performed by a licensed alarm business or company or a licensed alarm
996     company agent;
997          (F) installation, repair, or replacement of a heating, ventilation, or air conditioning
998     system (HVAC) on a Subsection (1)(h)(i) project must be performed by an HVAC contractor
999     licensed by the division;
1000          (G) installation, repair, or replacement of a radon mitigation system or a soil
1001     depressurization system must be performed by a licensed contractor; and
1002          (H) if the total value of the project is greater than $1,000, the person shall file with the
1003     division a one-time affirmation, subject to periodic reaffirmation as established by division
1004     rule, that the person has:
1005          (I) public liability insurance in coverage amounts and form established by division
1006     rule; and
1007          (II) if applicable, workers compensation insurance which would cover an employee of
1008     the person if that employee worked on the construction project;
1009          (i) a person practicing a specialty contractor classification or construction trade which
1010     the director does not classify by administrative rule as significantly impacting the public's
1011     health, safety, and welfare;
1012          (j) owners and lessees of property and persons regularly employed for wages by owners
1013     or lessees of property or their agents for the purpose of maintaining the property, are exempt
1014     from this chapter when doing work upon the property;
1015          (k) (i) a person engaged in minor plumbing work that is incidental, as defined by the
1016     division by rule, to the replacement or repair of a fixture or an appliance in a residential or
1017     small commercial building, or structure used for agricultural use, as defined in Section

1018     15A-1-202, provided that no modification is made to:
1019          (A) existing culinary water, soil, waste, or vent piping; or
1020          (B) a gas appliance or combustion system; and
1021          (ii) except as provided in Subsection (1)(e), installation for the first time of a fixture or
1022     an appliance is not included in the exemption provided under Subsection (1)(k)(i);
1023          (l) a person who ordinarily would be subject to the plumber licensure requirements
1024     under this chapter when installing or repairing a water conditioner or other water treatment
1025     apparatus if the conditioner or apparatus:
1026          (i) meets the appropriate state construction codes or local plumbing standards; and
1027          (ii) is installed or repaired under the direction of a person authorized to do the work
1028     under an appropriate specialty contractor license;
1029          (m) a person who ordinarily would be subject to the electrician licensure requirements
1030     under this chapter when employed by:
1031          (i) railroad corporations, telephone corporations or their corporate affiliates, elevator
1032     contractors or constructors, or street railway systems; or
1033          (ii) public service corporations, rural electrification associations, or municipal utilities
1034     who generate, distribute, or sell electrical energy for light, heat, or power;
1035          (n) a person involved in minor electrical work incidental to a mechanical or service
1036     installation, including the outdoor installation of an above-ground, prebuilt hot tub;
1037          (o) a person who ordinarily would be subject to the electrician licensure requirements
1038     under this chapter but who during calendar years 2009, 2010, or 2011 was issued a specialty
1039     contractor license for the electrical work associated with the installation, repair, or maintenance
1040     of solar energy panels, may continue the limited electrical work for solar energy panels under a
1041     specialty contractor license;
1042          (p) a student participating in construction trade education and training programs
1043     approved by the commission with the concurrence of the director under the condition that:
1044          (i) all work intended as a part of a finished product on which there would normally be
1045     an inspection by a building inspector is, in fact, inspected and found acceptable by a licensed
1046     building inspector; and
1047          (ii) a licensed contractor obtains the necessary building permits;
1048          (q) a delivery person when replacing any of the following existing equipment with a

1049     new gas appliance, provided there is an existing gas shutoff valve at the appliance:
1050          (i) gas range;
1051          (ii) gas dryer;
1052          (iii) outdoor gas barbeque; or
1053          (iv) outdoor gas patio heater;
1054          (r) a person performing maintenance on an elevator as defined in Subsection
1055     58-55-102[(14)](15), if the maintenance is not related to the operating integrity of the elevator;
1056     and
1057          (s) an apprentice or helper of an elevator mechanic licensed under this chapter when
1058     working under the general direction of the licensed elevator mechanic.
1059          (2) A compliance agency as defined in Section 15A-1-202 that issues a building permit
1060     to a person requesting a permit as a sole owner of property referred to in Subsection (1)(d) shall
1061     notify the division, in writing or through electronic transmission, of the issuance of the permit.