Florida Senate - 2006                      COMMITTEE AMENDMENT
    Bill No. CS for SB 2590
                        Barcode 083764
                            CHAMBER ACTION
              Senate                               House
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 1           Comm: WD              .                    
       04/20/2006 09:48 AM         .                    
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11  The Committee on Judiciary (Baker) recommended the following
12  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. CS for SB 2590 Barcode 083764 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 16 employed by or has a contract with such owner and who acts in 17 the capacity of a contractor. The owner may not delegate the 18 owner's responsibility to directly supervise all work to any 19 other person unless that person is registered or certified 20 under this part and the work being performed is within the 21 scope of that person's license. For the purposes of this 22 subsection, the term "owners of property" includes the owner 23 of a mobile home situated on a leased lot. To qualify for 24 exemption under this subsection, an owner must personally 25 appear and sign the building permit application and must 26 satisfy local permitting agency requirements, if any, proving 27 that the owner has a complete understanding of the owner's 28 obligations under the law as specified in the disclosure 29 statement in this section. If any person violates the 30 requirements of this subsection, the local permitting agency 31 shall withhold final approval, revoke the permit, or pursue 2 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 any action or remedy for unlicensed activity against the owner 2 and any person performing work that requires licensure under 3 the permit issued. The local permitting agency shall provide 4 the person with a disclosure statement in substantially the 5 following form: 6 7 Disclosure Statement 8 9 State law requires construction to be done by licensed 10 contractors. You have applied for a permit under an exemption 11 to that law. The exemption allows you, as the owner of your 12 property, to act as your own contractor with certain 13 restrictions even though you do not have a license. You must 14 provide direct, onsite supervision of the construction 15 yourself. You may build or improve a one-family or two-family 16 residence or a farm outbuilding. You may also build or improve 17 a commercial building, provided your costs do not exceed 18 $75,000 $25,000. The building or residence must be for your 19 own use or occupancy. It may not be built or substantially 20 improved for sale or lease. If you sell or lease a building 21 you have built or substantially improved yourself within 1 22 year after the construction is complete, the law will presume 23 that you built or substantially improved it for sale or lease, 24 which is a violation of this exemption. You may not hire an 25 unlicensed person to act as your contractor or to supervise 26 people working on your building. It is your responsibility to 27 make sure that people employed by you have licenses required 28 by state law and by county or municipal licensing ordinances. 29 You may not delegate the responsibility for supervising work 30 to a licensed contractor who is not licensed to perform the 31 work being done. Any person working on your building who is 3 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 not licensed must work under your direct supervision and must 2 be employed by you, which means that you must deduct F.I.C.A. 3 and withholding tax and provide workers' compensation for that 4 employee, all as prescribed by law. Your construction must 5 comply with all applicable laws, ordinances, building codes, 6 and zoning regulations. 7 Section 2. Subsection (6) of section 489.503, Florida 8 Statutes, is amended, and subsection (21) is added to that 9 section, to read: 10 489.503 Exemptions.--This part does not apply to: 11 (6) An owner of property making application for 12 permit, supervising, and doing the work in connection with the 13 construction, maintenance, repair, and alteration of and 14 addition to a single-family or duplex residence for his or her 15 own use and occupancy and not intended for sale or an owner of 16 property when acting as his or her own electrical contractor 17 and providing all material supervision himself or herself, 18 when building or improving a farm outbuilding or a 19 single-family or duplex residence on such property for the 20 occupancy or use of such owner and not offered for sale or 21 lease, or building or improving a commercial building with 22 aggregate construction costs of under $75,000 $25,000 on such 23 property for the occupancy or use of such owner and not 24 offered for sale or lease. In an action brought under this 25 subsection, proof of the sale or lease, or offering for sale 26 or lease, of more than one such structure by the owner-builder 27 within 1 year after completion of same is prima facie evidence 28 that the construction was undertaken for purposes of sale or 29 lease. This subsection does not exempt any person who is 30 employed by such owner and who acts in the capacity of a 31 contractor. For the purpose of this subsection, the term 4 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 "owner of property" includes the owner of a mobile home 2 situated on a leased lot. To qualify for exemption under this 3 subsection, an owner shall personally appear and sign the 4 building permit application and must satisfy local permitting 5 agency requirements, if any, proving that the owner has a 6 complete understanding of the owner's obligations under the 7 law as specified in the disclosure statement in this section. 8 If any person violates the requirements of this subsection, 9 the local permitting agency shall withhold final approval, 10 revoke the permit, or pursue any action or remedy for 11 unlicensed activity against the owner and any person 12 performing work that requires licensure under the permit 13 issued. The local permitting agency shall provide the owner 14 with a disclosure statement in substantially the following 15 form: 16 17 Disclosure Statement 18 19 State law requires electrical contracting to be done by 20 licensed electrical contractors. You have applied for a permit 21 under an exemption to that law. The exemption allows you, as 22 the owner of your property, to act as your own electrical 23 contractor even though you do not have a license. You may 24 install electrical wiring for a farm outbuilding or a 25 single-family or duplex residence. You may install electrical 26 wiring in a commercial building the aggregate construction 27 costs of which are under $75,000 $25,000. The home or building 28 must be for your own use and occupancy. It may not be built 29 for sale or lease. If you sell or lease more than one building 30 you have wired yourself within 1 year after the construction 31 is complete, the law will presume that you built it for sale 5 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 or lease, which is a violation of this exemption. You may not 2 hire an unlicensed person as your electrical contractor. Your 3 construction shall be done according to building codes and 4 zoning regulations. It is your responsibility to make sure 5 that people employed by you have licenses required by state 6 law and by county or municipal licensing ordinances. 7 (21) Inspections, audits, or quality-assurance 8 services performed by a nationally recognized testing 9 laboratory that the Occupational Safety and Health 10 Administration has recognized as meeting the requirements of 11 29 C.F.R. s. 1910.7. 12 Section 3. Paragraphs (a) and (b) of subsection (1) of 13 section 489.128, Florida Statutes, is amended to read: 14 489.128 Contracts entered into by unlicensed 15 contractors unenforceable.-- 16 (1) As a matter of public policy, contracts entered 17 into on or after October 1, 1990, by an unlicensed contractor 18 shall be unenforceable in law or in equity by the unlicensed 19 contractor. 20 (a) For purposes of this section, an individual is 21 unlicensed if the individual does not have a license required 22 by this part concerning the scope of the work to be performed 23 under the contract. A business organization is unlicensed if 24 the business organization does not have a primary or secondary 25 qualifying agent in accordance with this part concerning the 26 scope of the work to be performed under the contract. For 27 purposes of this section, if no state or local license is 28 required for the scope of work to be performed under the 29 contract, the individual performing that work shall not be 30 considered unlicensed. 31 (b) For purposes of this section, an individual or 6 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 business organization may shall not be considered unlicensed 2 for failing to have an occupational license certificate issued 3 under the authority of chapter 205. A business organization 4 may shall not be considered unlicensed for failing to have a 5 certificate of authority as required by ss. 489.119 and 6 489.127. For purposes of this section, a business organization 7 entering into the contract may not be considered unlicensed 8 if, before the date established by paragraph (c), an 9 individual possessing a license required by this part 10 concerning the scope of the work to be performed under the 11 contract had submitted an application for a certificate of 12 authority designating that individual as a qualifying agent 13 for the business organization entering into the contract, and 14 the application was not acted upon by the department or 15 applicable board within the applicable time limitations 16 imposed by s. 120.60. 17 Section 4. Subsection (29) is added to section 18 489.505, Florida Statutes, to read: 19 489.505 Definitions.--As used in this part: 20 (29) "Nationally recognized testing laboratory" means 21 an organization that the Occupational Safety and Health 22 Administration has legally recognized to be in compliance with 23 29 C.F.R. s. 1910.7 and that provides quality assurance, 24 product testing, or certification services. 25 Section 5. Paragraph (a) of subsection (1) of section 26 489.532, Florida Statutes, is amended to read: 27 489.532 Contracts entered into by unlicensed 28 contractors unenforceable.-- 29 (1) As a matter of public policy, contracts entered 30 into on or after October 1, 1990, by an unlicensed contractor 31 shall be unenforceable in law or in equity by the unlicensed 7 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 contractor. 2 (a) For purposes of this section, an individual is 3 unlicensed if the individual does not have a license required 4 by this part concerning the scope of the work to be performed 5 under the contract. A business organization is unlicensed if 6 the business organization does not have a primary or secondary 7 qualifying agent in accordance with this part concerning the 8 scope of the work to be performed under the contract. For 9 purposes of this section, if no state or local license is 10 required for the scope of work to be performed under the 11 contract, the individual performing that work shall not be 12 considered unlicensed. 13 Section 6. Sections 3 and 5 of this act are intended 14 to be remedial in nature and to clarify existing law. Those 15 sections apply retroactively to all actions, including any 16 action on a lien or bond claim, initiated on or after, or 17 pending as of, July 1, 2006. If the retroactivity of any 18 provision of section 3 or section 5 or the retroactive 19 application of any provision of section 3 or section 5 is held 20 invalid, the invalidity does not affect the retroactivity or 21 the retroactive application of other provisions of section 3 22 or section 5. 23 Section 7. This act shall take effect July 1, 2006. 24 25 26 ================ T I T L E A M E N D M E N T =============== 27 And the title is amended as follows: 28 Delete everything before the enacting clause 29 30 and insert: 31 A bill to be entitled 8 12:48 PM 04/18/06 s2590c1d-ju20-k0g
Florida Senate - 2006 COMMITTEE AMENDMENT Bill No. CS for SB 2590 Barcode 083764 1 An act relating to contracting; amending ss. 2 489.103 and 489.503, F.S.; revising exemptions 3 for certain owners of property from certain 4 contracting provisions; increasing maximum 5 construction costs allowed for exemption; 6 requiring owners of property to satisfy certain 7 local permitting agency requirements; providing 8 for penalties; providing an exemption for 9 owners of property damaged by certain natural 10 causes; amending s. 489.505; defining a term; 11 amending ss. 489.128 and 489.532, F.S.; 12 providing that a business organization or an 13 individual entering into a construction 14 contract is not deemed unlicensed under certain 15 conditions; providing for retroactive 16 application; providing an effective date. 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 9 12:48 PM 04/18/06 s2590c1d-ju20-k0g