Florida Senate - 2006                      COMMITTEE AMENDMENT
    Bill No. SB 2472
                        Barcode 834700
                            CHAMBER ACTION
              Senate                               House
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 1           Comm: WD              .                    
       04/18/2006 03:37 PM         .                    
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11  The Committee on Regulated Industries (Aronberg) recommended
12  the following amendment:
13  
14         Senate Amendment (with title amendment) 
15         Delete everything after the enacting clause
16  
17  and insert:  
18         Section 1.  Subsection (7) of section 489.103, Florida
19  Statutes, is amended to read:
20         489.103  Exemptions.--This part does not apply to:
21         (7)  Owners of property when acting as their own
22  contractor and providing direct, onsite supervision themselves
23  of all work not performed by licensed contractors:,
24         (a)  When building or improving farm outbuildings or
25  one-family or two-family residences on such property for the
26  occupancy or use of such owners and not offered for sale or
27  lease, or building or improving commercial buildings, at a
28  cost not to exceed $75,000 $25,000, on such property for the
29  occupancy or use of such owners and not offered for sale or
30  lease. In an action brought under this part, proof of the sale
31  or lease, or offering for sale or lease, of any such structure
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Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 by the owner-builder within 1 year after completion of same 2 creates a presumption that the construction was undertaken for 3 purposes of sale or lease. 4 (b) When repairing or replacing wood shakes or asphalt 5 or fiberglass shingles on one-family, two-family, or 6 three-family residences for the occupancy or use of such owner 7 or tenant of the owner and not offered for sale within 1 year 8 after completion of the work and when the property has been 9 damaged by natural causes from an event recognized as an 10 emergency situation designated by executive order issued by 11 the Governor declaring the existence of a state of emergency 12 as a result and consequence of a serious threat posed to the 13 public health, safety, and property in this state. 14 15 This subsection does not exempt any person who is employed by 16 or has a contract with such owner and who acts in the capacity 17 of a contractor. The owner may not delegate the owner's 18 responsibility to directly supervise all work to any other 19 person unless that person is registered or certified under 20 this part and the work being performed is within the scope of 21 that person's license. For the purposes of this subsection, 22 the term "owners of property" includes the owner of a mobile 23 home situated on a leased lot. To qualify for exemption under 24 this subsection, an owner must personally appear and sign the 25 building permit application and must satisfy local permitting 26 agency requirements, if any, proving that the owner has a 27 complete understanding of the owner's obligations under the 28 law as specified in the disclosure statement in this section. 29 If any person violates the requirements of this subsection, 30 the local permitting agency shall withhold final approval, 31 revoke the permit, or pursue any action or remedy for 2 2:13 PM 04/17/06 s2472d-ri27-z9y
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 unlicensed activity against the owner and any person 2 performing work that requires licensure under the permit 3 issued. The local permitting agency shall provide the person 4 with a disclosure statement in substantially the following 5 form: 6 Disclosure Statement 7 State law requires construction to be done by licensed 8 contractors. You have applied for a permit under an exemption 9 to that law. The exemption allows you, as the owner of your 10 property, to act as your own contractor with certain 11 restrictions even though you do not have a license. You must 12 provide direct, onsite supervision of the construction 13 yourself. You may build or improve a one-family or two-family 14 residence or a farm outbuilding. You may also build or improve 15 a commercial building, provided your costs do not exceed 16 $75,000 $25,000. The building or residence must be for your 17 own use or occupancy. It may not be built or substantially 18 improved for sale or lease. If you sell or lease a building 19 you have built or substantially improved yourself within 1 20 year after the construction is complete, the law will presume 21 that you built or substantially improved it for sale or lease, 22 which is a violation of this exemption. You may not hire an 23 unlicensed person to act as your contractor or to supervise 24 people working on your building. It is your responsibility to 25 make sure that people employed by you have licenses required 26 by state law and by county or municipal licensing ordinances. 27 You may not delegate the responsibility for supervising work 28 to a licensed contractor who is not licensed to perform the 29 work being done. Any person working on your building who is 30 not licensed must work under your direct supervision and must 31 be employed by you, which means that you must deduct F.I.C.A. 3 2:13 PM 04/17/06 s2472d-ri27-z9y
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 and withholding tax and provide workers' compensation for that 2 employee, all as prescribed by law. Your construction must 3 comply with all applicable laws, ordinances, building codes, 4 and zoning regulations. 5 Section 2. Subsection (6) of section 489.503, Florida 6 Statutes, is amended to read: 7 489.503 Exemptions.--This part does not apply to: 8 (6) An owner of property making application for 9 permit, supervising, and doing the work in connection with the 10 construction, maintenance, repair, and alteration of and 11 addition to a single-family or duplex residence for his or her 12 own use and occupancy and not intended for sale or an owner of 13 property when acting as his or her own electrical contractor 14 and providing all material supervision himself or herself, 15 when building or improving a farm outbuilding or a 16 single-family or duplex residence on such property for the 17 occupancy or use of such owner and not offered for sale or 18 lease, or building or improving a commercial building with 19 aggregate construction costs of under $75,000 $25,000 on such 20 property for the occupancy or use of such owner and not 21 offered for sale or lease. In an action brought under this 22 subsection, proof of the sale or lease, or offering for sale 23 or lease, of more than one such structure by the owner-builder 24 within 1 year after completion of same is prima facie evidence 25 that the construction was undertaken for purposes of sale or 26 lease. This subsection does not exempt any person who is 27 employed by such owner and who acts in the capacity of a 28 contractor. For the purpose of this subsection, the term 29 "owner of property" includes the owner of a mobile home 30 situated on a leased lot. To qualify for exemption under this 31 subsection, an owner shall personally appear and sign the 4 2:13 PM 04/17/06 s2472d-ri27-z9y
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 building permit application and must satisfy local permitting 2 agency requirements, if any, proving that the owner has a 3 complete understanding of the owner's obligations under the 4 law as specified in the disclosure statement in this section. 5 If any person violates the requirements of this subsection, 6 the local permitting agency shall withhold final approval, 7 revoke the permit, or pursue any action or remedy for 8 unlicensed activity against the owner and any person 9 performing work that requires licensure under the permit 10 issued. The local permitting agency shall provide the owner 11 with a disclosure statement in substantially the following 12 form: 13 Disclosure Statement 14 State law requires electrical contracting to be done by 15 licensed electrical contractors. You have applied for a permit 16 under an exemption to that law. The exemption allows you, as 17 the owner of your property, to act as your own electrical 18 contractor even though you do not have a license. You may 19 install electrical wiring for a farm outbuilding or a 20 single-family or duplex residence. You may install electrical 21 wiring in a commercial building the aggregate construction 22 costs of which are under $75,000 $25,000. The home or building 23 must be for your own use and occupancy. It may not be built 24 for sale or lease. If you sell or lease more than one building 25 you have wired yourself within 1 year after the construction 26 is complete, the law will presume that you built it for sale 27 or lease, which is a violation of this exemption. You may not 28 hire an unlicensed person as your electrical contractor. Your 29 construction shall be done according to building codes and 30 zoning regulations. It is your responsibility to make sure 31 that people employed by you have licenses required by state 5 2:13 PM 04/17/06 s2472d-ri27-z9y
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 law and by county or municipal licensing ordinances. 2 Section 3. Paragraph (b) of subsection (1) of section 3 489.128, Florida Statutes, is amended to read: 4 489.128 Contracts entered into by unlicensed 5 contractors unenforceable.-- 6 (1) As a matter of public policy, contracts entered 7 into on or after October 1, 1990, by an unlicensed contractor 8 shall be unenforceable in law or in equity by the unlicensed 9 contractor. 10 (b) For purposes of this section, an individual or 11 business organization may shall not be considered unlicensed 12 for failing to have an occupational license certificate issued 13 under the authority of chapter 205. A business organization 14 may shall not be considered unlicensed for failing to have a 15 certificate of authority as required by ss. 489.119 and 16 489.127. For purposes of this section, a business organization 17 entering into the contract may not be considered unlicensed 18 if, before the date established by paragraph (c), an 19 individual possessing a license required by this part 20 concerning the scope of the work to be performed under the 21 contract had submitted an application for a certificate of 22 authority designating that individual as a qualifying agent 23 for the business organization entering into the contract, and 24 the application was not acted upon by the department or 25 applicable board within the applicable time limitations 26 imposed by s. 120.60. 27 Section 4. Section 3 is intended to be remedial in 28 nature and to clarify existing law. Section 3 applies 29 retroactively to all actions, including any action on a lien 30 or bond claim, initiated on or after, or pending as of, July 31 1, 2006. If the retroactivity of any provision of section 3 or 6 2:13 PM 04/17/06 s2472d-ri27-z9y
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. SB 2472 Barcode 834700 1 its retroactive application to any person or circumstance is 2 held invalid, the invalidity does not affect the retroactivity 3 or retroactive application of other provisions of section 3. 4 Section 5. This act shall take effect July 1, 2006. 5 6 7 ================ T I T L E A M E N D M E N T =============== 8 And the title is amended as follows: 9 Delete everything before the enacting clause 10 11 and insert: 12 A bill to be entitled 13 An act relating to contracting exemptions; 14 amending ss. 489.103 and 489.503, F.S.; 15 revising exemptions for certain owners of 16 property from certain contracting provisions; 17 increasing maximum construction costs allowed 18 for exemption; requiring owners of property to 19 satisfy certain local permitting agency 20 requirements; providing for penalties; 21 providing an exemption for owners of property 22 damaged by certain natural causes; amending s. 23 489.128, F.S.; providing that a business 24 organization entering into a construction 25 contract is not deemed unlicensed under certain 26 conditions; providing for retroactive 27 application; providing an effective date. 28 29 30 31 7 2:13 PM 04/17/06 s2472d-ri27-z9y