Senate Bill sb2016

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2004                                  SB 2016

    By Senator Diaz de la Portilla





    36-1739A-04                                         See HB 509

  1                      A bill to be entitled

  2         An act relating to home inspection services;

  3         creating s. 501.935, F.S.; providing for

  4         licensure of persons providing home inspection

  5         services; providing legislative intent and

  6         definitions; providing standards of practice;

  7         creating the Florida Home Inspection Advisory

  8         Council; providing licensure requirements,

  9         including grandfathering provisions; providing

10         exemptions; providing prohibited acts and

11         penalties; providing for complaints and

12         discipline; providing fees; requiring liability

13         insurance; exempting from duty to provide

14         repair cost estimates; providing for

15         reciprocity; providing continuing education

16         requirements; providing limitations; providing

17         for enforcement of violations; providing an

18         effective date.

19  

20  Be It Enacted by the Legislature of the State of Florida:

21  

22         Section 1.  Section 501.935, Florida Statutes, is

23  created to read:

24         501.935  Home inspection services; advisory council;

25  licensure requirements; exemptions; prohibited acts and

26  penalties; complaints and discipline; fees and insurance;

27  continuing education; reciprocity; limitations and

28  enforcement.--

29         (1)  INTENT.--It is the intent of this section to

30  require the licensing of home inspectors and to ensure that

31  consumers of home inspection services can rely on the

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1  competence of home inspectors, as determined by educational

 2  and experience requirements and testing.

 3         (2)  DEFINITIONS.--As used in this section, the term:

 4         (a)  "Department" means the Department of Business and

 5  Professional Regulation.

 6         (b)  "Home" means any residential real property, or

 7  manufactured or modular home, that is a single-family

 8  dwelling, duplex, triplex, quadruplex, condominium unit, or

 9  cooperative unit. The term does not include the common areas

10  of condominiums or cooperatives.

11         (c)  "Home inspector" means any person who provides or

12  offers to provide a home inspection for a fee or other

13  compensation.

14         (d)  "Home inspection" means a limited visual

15  examination of one or more of the readily accessible installed

16  systems and components of a home, including the structure,

17  electrical system, HVAC system, roof covering, plumbing

18  system, interior components, exterior components, and site

19  conditions that affect the structure, for the purposes of

20  providing a written professional opinion of the condition of

21  the home.

22         (3)  STANDARDS OF PRACTICE.--The department, in

23  consultation with the Florida Home Inspection Advisory

24  Council, shall adopt by rule pursuant to ss. 120.536(1) and

25  120.54 the minimum standards of practice for home inspectors,

26  which shall be based on nationally recognized industry

27  standards of practice for home inspectors.

28         (4)  FLORIDA HOME INSPECTION ADVISORY COUNCIL.--

29         (a)  The department shall appoint a Florida Home

30  Inspection Advisory Council to consist of eight members who

31  are home inspectors having a minimum of 5 years' experience

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1  each, one consumer member, and one nonvoting member from the

 2  staff of the department.

 3         (b)  The mission of the advisory council is to provide

 4  industry input to the department and assist the department in

 5  developing standards of practice and rules pursuant to this

 6  section.

 7         (c)  The advisory council shall assist the department

 8  in the review of complaints filed against home inspectors.

 9         (d)  The advisory council shall meet at least three

10  times each year.

11         (5)  EXEMPTIONS.--The following persons are not

12  required to comply with this section with regard to any

13  valuation condition, report, survey, evaluation, or estimate

14  rendered within the scope of practice authorized by such

15  license, except when such persons are operating within the

16  scope of this section:

17         (a)  A construction contractor licensed under chapter

18  489.

19         (b)  An architect licensed under chapter 481.

20         (c)  An engineer licensed under chapter 471.

21         (d)  A building code administrator, plans examiner, or

22  building code inspector licensed under part XII of chapter

23  468.

24         (e)  A certified real estate appraiser, licensed real

25  estate appraiser, or registered real estate appraiser licensed

26  under part II of chapter 475.

27         (f)  An inspector whose report is being provided to,

28  and is solely for the benefit of, the Federal Housing

29  Administration or the Veterans Administration.

30  

31  

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1         (g)  An inspector conducting inspections for

 2  wood-destroying organisms on behalf of a licensee under

 3  chapter 482.

 4         (h)  A firesafety inspector certified under s. 633.081.

 5         (i)  An insurance adjuster licensed under part VI of

 6  chapter 626.

 7         (j)  An officer appointed by the court.

 8         (6)  LICENSE CRITERIA.--

 9         (a)  A person may not provide or represent himself or

10  herself as able to perform a professional home inspection for

11  compensation unless the person is licensed in accordance with

12  this section.

13         (b)  A business entity may not provide or offer to

14  provide home inspection services unless each of the home

15  inspectors employed by the business entity is licensed in

16  accordance with this section.

17         (c)  A business entity may not use, in connection with

18  the name or signature of the business entity, the title "home

19  inspectors" to describe the business entity's services unless

20  each of the home inspectors employed by the business entity is

21  licensed in accordance with this section.

22         (7)  ELIGIBILITY.--To be eligible for a license as a

23  home inspector, an applicant must:

24         (a)  Be of good moral character.

25         (b)  Have successfully completed high school or its

26  equivalent.

27         (c)  Have completed a course of study of no less than

28  90 hours that covers all of the following components of a

29  home: structure, electrical system, HVAC system, roof

30  covering, plumbing system, interior components, exterior

31  components, and site conditions that affect the structure.

                                  4

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1         (d)  Pass an examination that is psychometrically valid

 2  and meets the standards of the Council on Licensure,

 3  Enforcement, and Regulation, as determined by the department.

 4         (8)  GRANDFATHERING.--For the first year after the

 5  enactment of this section, to be eligible for a license as a

 6  home inspector, an applicant must:

 7         (a)  Be of good moral character.

 8         (b)  Have successfully completed high school or its

 9  equivalent.

10         (c)  Have been engaged in the practice of home

11  inspection for compensation for not fewer than 3 years prior

12  to the effective date of this section.

13         (d)  Have performed not fewer than 250 home inspections

14  for compensation.

15         (e)  Have passed a psychometrically valid examination

16  that meets the standards in the Council on Licensure,

17  Enforcement, and Regulation publication "A Resource Brief on

18  Licensure Examinations," as determined by the department.

19         (9)  PROHIBITED ACTS; PENALTIES.--

20         (a)  A home inspector, a company that employs a home

21  inspector, or a company that is controlled by a company that

22  also has a financial interest in a company employing a home

23  inspector may not:

24         1.  Perform or offer to perform, prior to closing, for

25  any additional fee, any repairs to a home on which the

26  inspector or the inspector's company has prepared a home

27  inspection report. This paragraph does not apply to a home

28  warranty company that is affiliated with or retains a home

29  inspector to perform repairs pursuant to a claim made under a

30  home warranty contract.

31  

                                  5

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1         2.  Inspect for a fee any property in which the

 2  inspector or the inspector's company has any financial or

 3  transfer interest.

 4         3.  Offer or deliver any compensation, inducement, or

 5  reward to the owner of the inspected property, or any broker

 6  or agent therefor, for the referral of any business to the

 7  inspector or the inspection company.

 8         4.  Accept an engagement to make an omission or prepare

 9  a report in which the inspection itself, or the fee payable

10  for the inspection, is contingent upon either the conclusions

11  in the report, preestablished findings, or the close of

12  escrow.

13         (b)  Any person who violates any provision of this

14  subsection commits a misdemeanor of the second degree,

15  punishable as provided in s. 775.082 or s. 775.083.

16         (10)  COMPLAINTS; DISCIPLINE.--

17         (a)  Complaints concerning a home inspector subject to

18  the provisions of this section shall be referred to the

19  department.

20         (b)  In lieu of investigation, the department may place

21  in a registry a copy of a complaint received by the department

22  against a licensed home inspector, the inspector's response to

23  the complaint, and a copy of any records of the department

24  concerning the complaint.

25         (c)  The department shall provide to the home inspector

26  a copy of the complaint no later than 30 days after the date

27  the complaint is received by the department alleging that the

28  inspector has engaged in conduct that is grounds for

29  discipline.

30         (d)  After receiving a copy of the complaint, the home

31  inspector may place in a registry a statement within 30 days

                                  6

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1  that describes the inspector's view of the correctness or

 2  relevance of any of the information contained in the

 3  complaint.

 4         (e)  The department shall make the complaint and the

 5  home inspector's response to the complaint available to the

 6  public.

 7         (f)  The department shall remove all complaints against

 8  and other information concerning a home inspector from the

 9  registry if, for a period of 2 years from the date of the most

10  recent complaint filed in the registry, no further complaints

11  have been filed against the inspector.

12         (g)  Unworthy or frivolous complaints shall be

13  discarded and shall not be retained.

14         (h)  The department may make investigations or conduct

15  hearings pursuant to chapter 120 to determine whether a

16  violation of this section has occurred.

17         (i)  The department may refuse to grant a home

18  inspector license or may suspend or revoke a home inspector

19  license upon proof to the satisfaction of the department that

20  the applicant or licensee has participated in an unfair

21  business practice relating to the provision of home inspection

22  services.

23         (11)  FEES.--The department shall by rule establish the

24  fees for licensure, renewal of licensure, and other services

25  provided by the department under this section. Fees

26  established under this subsection may not exceed amounts

27  sufficient to defray the administrative costs to the state

28  under this section and shall be comparable to those charged

29  for other similar, regulated professions.

30  

31  

                                  7

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2004                                  SB 2016
    36-1739A-04                                         See HB 509




 1         (12)  INSURANCE.--A licensed home inspector must

 2  maintain a commercial general liability insurance policy in an

 3  amount of not less that $300,000.

 4         (13)  REPAIR COST ESTIMATES.--Home inspectors are not

 5  required to provide estimates related to the cost of repair of

 6  an inspected property.

 7         (14)  RECIPROCITY.--The department shall issue a home

 8  inspector license to any person who holds a valid license,

 9  certificate, or registration issued by another state,

10  territory, or possession of the United States or the District

11  of Columbia that has standards and licensing requirements

12  substantially equivalent to or exceeding those of this state,

13  as determined by the Florida Home Inspection Advisory Council,

14  upon payment of the fee imposed and submission of the written

15  application provided by the department.

16         (15)  CONTINUING EDUCATION REQUIREMENTS.--A licensed

17  home inspector must complete at least 14 hours of continuing

18  education approved by the department during each calendar year

19  in order to maintain his or her license.

20         (16)  STATUTE OF LIMITATIONS.--Chapter 95 governs when

21  an action to enforce an obligation, duty, or right arising

22  under this section must be commenced.

23         (17)  ENFORCEMENT OF VIOLATIONS.--Any violation of this

24  section constitutes a deceptive and unfair trade practice,

25  punishable as provided in part II of this chapter.

26         Section 2.  This act shall take effect July 1, 2004.

27  

28  

29  

30  

31  

                                  8

CODING: Words stricken are deletions; words underlined are additions.