HB 1367

1
A bill to be entitled
2An act relating to contracting exemptions; amending ss.
3489.103 and 489.503, F.S.; revising exemptions for certain
4owners of property from certain contracting provisions;
5increasing maximum construction costs allowed for
6exemption; requiring owners of property to satisfy certain
7local permitting agency requirements; providing for
8penalties; providing an exemption for owners of property
9damaged by certain natural causes; providing an effective
10date.
11
12Be It Enacted by the Legislature of the State of Florida:
13
14     Section 1.  Subsection (7) of section 489.103, Florida
15Statutes, is amended to read:
16     489.103  Exemptions.--This part does not apply to:
17     (7)  Owners of property when acting as their own contractor
18and providing direct, onsite supervision themselves of all work
19not performed by licensed contractors:,
20     (a)  When building or improving farm outbuildings or one-
21family or two-family residences on such property for the
22occupancy or use of such owners and not offered for sale or
23lease, or building or improving commercial buildings, at a cost
24not to exceed $75,000 $25,000, on such property for the
25occupancy or use of such owners and not offered for sale or
26lease. In an action brought under this part, proof of the sale
27or lease, or offering for sale or lease, of any such structure
28by the owner-builder within 1 year after completion of same
29creates a presumption that the construction was undertaken for
30purposes of sale or lease.
31     (b)  When repairing or replacing wood shakes or asphalt or
32fiberglass shingles on one-family, two-family, or three-family
33residences for the occupancy or use of such owner or tenant of
34the owner and not offered for sale within 1 year after
35completion of the work and when the property has been damaged by
36natural causes from an event recognized as an emergency
37situation designated by executive order issued by the Governor
38declaring the existence of a state of emergency as a result and
39consequence of a serious threat posed to the public health,
40safety, and property in this state.
41
42This subsection does not exempt any person who is employed by or
43has a contract with such owner and who acts in the capacity of a
44contractor. The owner may not delegate the owner's
45responsibility to directly supervise all work to any other
46person unless that person is registered or certified under this
47part and the work being performed is within the scope of that
48person's license. For the purposes of this subsection, the term
49"owners of property" includes the owner of a mobile home
50situated on a leased lot. To qualify for exemption under this
51subsection, an owner must personally appear and sign the
52building permit application and must satisfy local permitting
53agency requirements, if any, proving that the owner has a
54complete understanding of the owner's obligations under the law
55as specified in the disclosure statement in this section. If any
56person violates the requirements of this subsection, the local
57permitting agency shall withhold final approval, revoke the
58permit, or pursue any action or remedy for unlicensed activity
59against the owner and any person performing work that requires
60licensure under the permit issued. The local permitting agency
61shall provide the person with a disclosure statement in
62substantially the following form:
63
64
Disclosure Statement
65
66     State law requires construction to be done by licensed
67contractors. You have applied for a permit under an exemption to
68that law. The exemption allows you, as the owner of your
69property, to act as your own contractor with certain
70restrictions even though you do not have a license. You must
71provide direct, onsite supervision of the construction yourself.
72You may build or improve a one-family or two-family residence or
73a farm outbuilding. You may also build or improve a commercial
74building, provided your costs do not exceed $75,000 $25,000. The
75building or residence must be for your own use or occupancy. It
76may not be built or substantially improved for sale or lease. If
77you sell or lease a building you have built or substantially
78improved yourself within 1 year after the construction is
79complete, the law will presume that you built or substantially
80improved it for sale or lease, which is a violation of this
81exemption. You may not hire an unlicensed person to act as your
82contractor or to supervise people working on your building. It
83is your responsibility to make sure that people employed by you
84have licenses required by state law and by county or municipal
85licensing ordinances. You may not delegate the responsibility
86for supervising work to a licensed contractor who is not
87licensed to perform the work being done. Any person working on
88your building who is not licensed must work under your direct
89supervision and must be employed by you, which means that you
90must deduct F.I.C.A. and withholding tax and provide workers'
91compensation for that employee, all as prescribed by law. Your
92construction must comply with all applicable laws, ordinances,
93building codes, and zoning regulations.
94     Section 2.  Subsection (6) of section 489.503, Florida
95Statutes, is amended to read:
96     489.503  Exemptions.--This part does not apply to:
97     (6)  An owner of property making application for permit,
98supervising, and doing the work in connection with the
99construction, maintenance, repair, and alteration of and
100addition to a single-family or duplex residence for his or her
101own use and occupancy and not intended for sale or an owner of
102property when acting as his or her own electrical contractor and
103providing all material supervision himself or herself, when
104building or improving a farm outbuilding or a single-family or
105duplex residence on such property for the occupancy or use of
106such owner and not offered for sale or lease, or building or
107improving a commercial building with aggregate construction
108costs of under $75,000 $25,000 on such property for the
109occupancy or use of such owner and not offered for sale or
110lease. In an action brought under this subsection, proof of the
111sale or lease, or offering for sale or lease, of more than one
112such structure by the owner-builder within 1 year after
113completion of same is prima facie evidence that the construction
114was undertaken for purposes of sale or lease. This subsection
115does not exempt any person who is employed by such owner and who
116acts in the capacity of a contractor. For the purpose of this
117subsection, the term "owner of property" includes the owner of a
118mobile home situated on a leased lot. To qualify for exemption
119under this subsection, an owner shall personally appear and sign
120the building permit application and must satisfy local
121permitting agency requirements, if any, proving that the owner
122has a complete understanding of the owner's obligations under
123the law as specified in the disclosure statement in this
124section. If any person violates the requirements of this
125subsection, the local permitting agency shall withhold final
126approval, revoke the permit, or pursue any action or remedy for
127unlicensed activity against the owner and any person performing
128work that requires licensure under the permit issued. The local
129permitting agency shall provide the owner with a disclosure
130statement in substantially the following form:
131
132
Disclosure Statement
133
134     State law requires electrical contracting to be done by
135licensed electrical contractors. You have applied for a permit
136under an exemption to that law. The exemption allows you, as the
137owner of your property, to act as your own electrical contractor
138even though you do not have a license. You may install
139electrical wiring for a farm outbuilding or a single-family or
140duplex residence. You may install electrical wiring in a
141commercial building the aggregate construction costs of which
142are under $75,000 $25,000. The home or building must be for your
143own use and occupancy. It may not be built for sale or lease. If
144you sell or lease more than one building you have wired yourself
145within 1 year after the construction is complete, the law will
146presume that you built it for sale or lease, which is a
147violation of this exemption. You may not hire an unlicensed
148person as your electrical contractor. Your construction shall be
149done according to building codes and zoning regulations. It is
150your responsibility to make sure that people employed by you
151have licenses required by state law and by county or municipal
152licensing ordinances.
153     Section 3.  This act shall take effect July 1, 2006.


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