Florida Senate - 2025                             CS for SB 1262
       
       
        
       By the Committee on Regulated Industries; and Senator Burgess
       
       
       
       
       
       580-02613-25                                          20251262c1
    1                        A bill to be entitled                      
    2         An act relating to construction contracting; amending
    3         s. 489.115, F.S.; requiring that a portion of the 14
    4         classroom hours required for the contractor
    5         certificateholder’s or registrant’s continuing
    6         education relate to financial literacy and basic
    7         consumer protection principles; creating s. 489.1285,
    8         F.S.; requiring the Department of Business and
    9         Professional Regulation to create and adopt by a date
   10         certain a standardized disciplinary form for a certain
   11         purpose; requiring local construction regulation
   12         boards to use such standardized disciplinary form when
   13         reporting any disciplinary action to the department;
   14         requiring the department to record each submitted form
   15         in a specified automated information system; requiring
   16         each local construction regulation board to search the
   17         automated information system for recorded disciplinary
   18         forms before issuing a license or registration under
   19         part I of ch. 489, F.S.; requiring each local
   20         construction regulation board to submit a specified
   21         report by a date certain; amending s. 489.126, F.S.;
   22         requiring a contractor who has received money for the
   23         repair, restoration, addition, improvement, or
   24         construction of residential real property in excess of
   25         the value of the work to work without unreasonable
   26         delay to complete the project after a specified
   27         timeframe and to provide a schedule for completion of
   28         the project within a specified timeframe upon request;
   29         authorizing a contractor to collect additional
   30         compensation under certain circumstances; requiring a
   31         contractor to return a consumer’s deposit within a
   32         specified timeframe under certain circumstances;
   33         authorizing the contractor to retain a portion of such
   34         deposit under certain circumstances; providing for
   35         disciplinary action against a contractor under certain
   36         circumstances; amending s. 489.127, F.S.; providing
   37         penalties; amending s. 489.129, F.S.; requiring the
   38         local construction regulation board to submit a
   39         standardized disciplinary form under certain
   40         circumstances; amending ss. 489.119 and 489.131, F.S.;
   41         conforming cross-references; reenacting ss.
   42         489.517(4)(a) and 553.79(18), F.S., relating to
   43         continuing education for renewal of certificate or
   44         registration and permits, respectively, to incorporate
   45         the amendment made to s. 489.115, F.S., in references
   46         thereto; providing an effective date.
   47          
   48  Be It Enacted by the Legislature of the State of Florida:
   49  
   50         Section 1. Paragraph (b) of subsection (4) of section
   51  489.115, Florida Statutes, is amended to read:
   52         489.115 Certification and registration; endorsement;
   53  reciprocity; renewals; continuing education.—
   54         (4)
   55         (b)1. Each certificateholder or registrant shall provide
   56  proof, in a form established by rule of the board, that the
   57  certificateholder or registrant has completed at least 14
   58  classroom hours of at least 50 minutes each of continuing
   59  education courses during each biennium since the issuance or
   60  renewal of the certificate or registration. The board shall
   61  establish by rule that a portion of the required 14 hours must
   62  deal with the subject of workers’ compensation, business
   63  practices, workplace safety, financial literacy and basic
   64  consumer protection principles relating to construction fraud,
   65  construction contractual agreements, deposit and escrow
   66  requirements, homeowner rights, and, for applicable licensure
   67  categories, wind mitigation methodologies, and 1 hour of which
   68  must deal with laws and rules. The board shall by rule establish
   69  criteria for the approval of continuing education courses and
   70  providers, including requirements relating to the content of
   71  courses and standards for approval of providers, and may by rule
   72  establish criteria for accepting alternative nonclassroom
   73  continuing education on an hour-for-hour basis. The board shall
   74  prescribe by rule the continuing education, if any, which is
   75  required during the first biennium of initial licensure. A
   76  person who has been licensed for less than an entire biennium
   77  must not be required to complete the full 14 hours of continuing
   78  education.
   79         2. In addition, the board may approve specialized
   80  continuing education courses on compliance with the wind
   81  resistance provisions for one and two family dwellings contained
   82  in the Florida Building Code and any alternate methodologies for
   83  providing such wind resistance which have been approved for use
   84  by the Florida Building Commission. Division I
   85  certificateholders or registrants who demonstrate proficiency
   86  upon completion of such specialized courses may certify plans
   87  and specifications for one and two family dwellings to be in
   88  compliance with the code or alternate methodologies, as
   89  appropriate, except for dwellings located in floodways or
   90  coastal hazard areas as defined in ss. 60.3D and E of the
   91  National Flood Insurance Program.
   92         3. The board shall require, by rule adopted pursuant to ss.
   93  120.536(1) and 120.54, a specified number of hours in
   94  specialized or advanced module courses, approved by the Florida
   95  Building Commission, on any portion of the Florida Building
   96  Code, adopted pursuant to part IV of chapter 553, relating to
   97  the contractor’s respective discipline.
   98         Section 2. Section 489.1285, Florida Statutes, is created
   99  to read:
  100         489.1285 Disciplinary forms.
  101         (1) The department shall create and adopt by rule a
  102  standardized disciplinary form to be used by each local
  103  construction regulation board to uniformly report a violation of
  104  this part to the department. The department shall create the
  105  standardized disciplinary form and publish a notice of proposed
  106  rule pursuant to s. 120.54(3)(a) by July 1, 2026.
  107         (2)(a) Upon adoption of the standardized disciplinary form
  108  by the department, each local construction regulation board
  109  shall use the form when reporting any disciplinary action to the
  110  department. The department shall record each submitted form in
  111  the automated information system created under s. 455.2286.
  112         (b) Each local construction regulation board shall search
  113  the automated information system for any recorded disciplinary
  114  forms before issuing a license or registration under this part.
  115         (3) By December 1, 2026, each local construction regulation
  116  board shall submit to the department a report regarding the
  117  board’s implementation of this section.
  118         Section 3. Present subsections (4), (5), and (6) of section
  119  489.126, Florida Statutes, are redesignated as subsections (5),
  120  (6), and (7), respectively, a new subsection (4) is added to
  121  that section, and paragraph (a) of subsection (3) of that
  122  section is amended, to read:
  123         489.126 Moneys received by contractors.—
  124         (3)(a) A contractor who receives money for repair,
  125  restoration, addition, improvement, or construction of
  126  residential real property in excess of the value of the work
  127  performed may not fail or refuse to perform any work for any 90
  128  day period or for any period that is mutually agreed upon and
  129  specified in the contract. After such period, and except where
  130  the contract expressly allows the contractor to continue his or
  131  her temporary suspension or delay of work, or where the owner
  132  has materially breached the contract, the contractor must work
  133  without unreasonable delay to complete the project and must
  134  provide, within 10 days after receipt of a written request, a
  135  schedule for completion. Nothing herein shall prevent the
  136  contractor from collecting additional compensation for
  137  demobilization, remobilization, acceleration, cost of materials,
  138  or any other cost, damage, or fee caused by the temporary
  139  suspension or delay if the temporary suspension or delay was
  140  caused by the owner, an act of God, a declaration of a state of
  141  emergency issued by the Governor which impacts construction of
  142  the project, or a governmental order and if the contract
  143  entitles the contractor to such compensation.
  144         (4)(a)If a consumer provides a deposit to a licensed
  145  contractor for a construction project and subsequently cancels
  146  the project, and the contract between the parties does not
  147  contain a provision relating to rescission of such contract, the
  148  contractor must return the deposit within 30 days after
  149  cancellation. The contractor may retain any portion of the
  150  deposit which has been spent on the project before the
  151  cancellation request, provided that a detailed statement of such
  152  expenditures is given to the consumer.
  153         (b)Failure by the contractor to return the balance of
  154  unused funds or to provide a statement of expenditures within
  155  the specified period will subject the contractor to disciplinary
  156  action, including such action described in s. 489.129(1).
  157         Section 4. Present subsections (3) through (6) of section
  158  489.127, Florida Statutes, are redesignated as subsections (4)
  159  through (7), respectively, and a new subsection (3) is added to
  160  that section, and subsection (1) of that section is republished
  161  to read:
  162         489.127 Prohibitions; penalties.—
  163         (1) No person shall:
  164         (a) Falsely hold himself or herself or a business
  165  organization out as a licensee, certificateholder, or
  166  registrant;
  167         (b) Falsely impersonate a certificateholder or registrant;
  168         (c) Present as his or her own the certificate or
  169  registration of another;
  170         (d) Knowingly give false or forged evidence to the board or
  171  a member thereof;
  172         (e) Use or attempt to use a certificate or registration
  173  that has been suspended or revoked;
  174         (f) Engage in the business or act in the capacity of a
  175  contractor or advertise himself or herself or a business
  176  organization as available to engage in the business or act in
  177  the capacity of a contractor without being duly registered or
  178  certified;
  179         (g) Operate a business organization engaged in contracting
  180  after 60 days following the termination of its only qualifying
  181  agent without designating another primary qualifying agent,
  182  except as provided in ss. 489.119 and 489.1195;
  183         (h) Commence or perform work for which a building permit is
  184  required pursuant to part IV of chapter 553 without such
  185  building permit being in effect; or
  186         (i) Willfully or deliberately disregard or violate any
  187  municipal or county ordinance relating to uncertified or
  188  unregistered contractors.
  189  
  190  For purposes of this subsection, a person or business
  191  organization operating on an inactive or suspended certificate
  192  or registration is not duly certified or registered and is
  193  considered unlicensed. A business tax receipt issued under the
  194  authority of chapter 205 is not a license for purposes of this
  195  part.
  196         (3) A person who violates paragraph (1)(a), paragraph
  197  (1)(b), or paragraph (1)(c) and takes money from a consumer who
  198  reasonably relied on such falsification commits:
  199         (a) A felony of the third degree, punishable as provided in
  200  s. 775.082, s. 775.083, or s. 775.084, if the total money
  201  exchanged is more than $1,000 but less than $20,000.
  202         (b) A felony of the second degree, punishable as provided
  203  in s. 775.082, s. 775.083, or s. 775.084, if the total money
  204  exchanged is $20,000 or more but less than $200,000.
  205         (c) A felony of the first degree, punishable as provided in
  206  s. 775.082, s. 775.083, or s. 775.084, if the total money
  207  exchanged is $200,000 or more.
  208         (d)A felony of the third degree, punishable as provided in
  209  s. 775.082 or s. 775.083, if such person is unlicensed and
  210  commits the violation during a state of emergency declared by
  211  executive order of the Governor.
  212         Section 5. Subsection (13) is added to section 489.129,
  213  Florida Statutes, to read:
  214         489.129 Disciplinary proceedings.—
  215         (13) The local construction regulation board shall submit a
  216  standardized disciplinary form pursuant to s. 489.1285 for any
  217  disciplinary action taken against any certificateholder or
  218  registrant, including, but not limited to, placement on
  219  probation or reprimand of the licensee; revocation, suspension,
  220  or denial of issuance or renewal of the certificate or
  221  registration; an order of payment of financial restitution to a
  222  consumer for financial harm directly related to a violation of a
  223  provision of this part; imposition of an administrative fine; an
  224  order to take continuing education courses; or assessment of
  225  costs associated with investigation and prosecution.
  226         Section 6. Paragraph (f) of subsection (5) of section
  227  489.119, Florida Statutes, is amended to read:
  228         489.119 Business organizations; qualifying agents.—
  229         (5)
  230         (f) In addition to any other penalty prescribed by law, a
  231  local government may impose a civil fine pursuant to s.
  232  489.127(6) s. 489.127(5) against a person who is not certified
  233  or registered under this part if the person:
  234         1. Claims to be licensed in any offer of services, business
  235  proposal, bid, contract, or advertisement, but does not possess
  236  a valid competency-based license issued by a local government in
  237  this state to perform the specified construction services; or
  238         2. Claims to be insured in any offer of services, business
  239  proposal, bid, contract, or advertisement, but whose performance
  240  of the subject work is not covered by a general liability or
  241  workers’ compensation insurance policy.
  242         Section 7. Paragraph (c) of subsection (6) of section
  243  489.131, Florida Statutes, is amended to read:
  244         489.131 Applicability.—
  245         (6)
  246         (c) Each local board or agency that licenses contractors
  247  must transmit quarterly to the board a report of any
  248  disciplinary action taken against contractors and of any
  249  administrative or disciplinary action taken against unlicensed
  250  persons for engaging in the business or acting in the capacity
  251  of a contractor including any cease and desist orders issued
  252  pursuant to s. 489.113(2)(b) and any fine issued pursuant to s.
  253  489.127(6) s. 489.127(5).
  254         Section 8. For the purpose of incorporating the amendment
  255  made by this act to section 489.115, Florida Statutes, in a
  256  reference thereto, paragraph (a) of subsection (4) of section
  257  489.517, Florida Statutes, is reenacted to read:
  258         489.517 Renewal of certificate or registration; continuing
  259  education.—
  260         (4)(a) If a certificateholder or registrant holds a license
  261  under both this part and part I and is required to have
  262  continuing education courses under s. 489.115(4)(b)1., the
  263  certificateholder or registrant may apply those course hours for
  264  workers’ compensation, workplace safety, and business practices
  265  obtained under part I to the requirements under this part.
  266         Section 9. For the purpose of incorporating the amendment
  267  made by this act to section 489.115, Florida Statutes, in a
  268  reference thereto, subsection (18) of section 553.79, Florida
  269  Statutes, is reenacted to read:
  270         553.79 Permits; applications; issuance; inspections.—
  271         (18) Certifications by contractors authorized under the
  272  provisions of s. 489.115(4)(b) shall be considered equivalent to
  273  sealed plans and specifications by a person licensed under
  274  chapter 471 or chapter 481 by local enforcement agencies for
  275  plans review for permitting purposes relating to compliance with
  276  the wind resistance provisions of the code or alternate
  277  methodologies approved by the commission for one and two family
  278  dwellings. Local enforcement agencies may rely upon such
  279  certification by contractors that the plans and specifications
  280  submitted conform to the requirements of the code for wind
  281  resistance. Upon good cause shown, local government code
  282  enforcement agencies may accept or reject plans sealed by
  283  persons licensed under chapter 471, chapter 481, or chapter 489.
  284  A truss-placement plan is not required to be signed and sealed
  285  by an engineer or architect unless prepared by an engineer or
  286  architect or specifically required by the Florida Building Code.
  287         Section 10. This act shall take effect July 1, 2025.