SB 397 — Revises provisions governing contractors. (BDR 54-304)

(ReprintedSenate withBill amendmentsNo. adopted on May 23, 2019) SECOND REPRINT S.B.

397397–Senator SENATEBrooks BILLCHAPTER.......... NO .

397–SENATOR BROOKS M ARCH 20, 2019 ____________ Referred to Committee on Commerce and Labor SUMMARY—Revises provisions governing contractors.

(BDR 54-304) FISCAL NOTE:

Effect on Local Government:

No.

Effect on the State:

Yes.

~ EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

Existing law generally requires a person to be licensed as a contractor to engage in the business of constructing, altering or repairing any structure or other engageimprExisting improvement.law also requires the State Contractors’ Board to adopt regulations for the classification and subclassification of contractors, and authorizes the Board to limit the field and scope of the operations of a licensed contractor to those in which the contractor is classified.

(NRS 624.020, 624.700) Existing law also requires the State Contractors’ Board to adopt regulations for the classification and subclassification of contractors, and authorizes the Board to limit the field and scope of the operations of a licensed contractor to those in which the contractor is classified.

(NRS 624.220) Section 4 of this bill authorizes a licensed contractor to perform work for which the contractor does not have a license in the applicable classification or subclassification if:

and (2) the work is not of a type performed by a plumbing, billelectrical, makerefrigeration conformingor changesair-conditioning relatingcontractor. to section 4.actor.

Sections 2, 3 and 5 of this *SB397_R2*bill –make 2conforming –changes THErelating SENATEto ANDsection ASSEMBLY,4. DO ENACT AS FOLLOWS:D IN Section 1.

EXPLANATION – Matter in bolded italics is new;

matter between brackets [omitted material] is material to be omitted.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1.

If it appears that any person has engaged in acts or practices which constitute a violation of this chapter or the violation of an - 80th Session (2019) – 2 – order issued pursuant to subsection 1, the Board may request the Attorney General, the district attorney of the county in which the alleged violation occurred or the district attorney of any other county in which that person maintains a place of business or resides to apply on behalf of the Board to the district court for an injunction restraining the person from acting in violation of this chapter.

3.violation of NRS 624.700, it is sufficient to allege that the personed did, upon a certain day and in a certain county of this State:

In seeking injunctive relief against any person for an alleged violation of NRS 624.700, it is sufficient to allege that the person did, upon a certain day and in a certain county of this State:

*SB397_R2* – 3 – Sec.

624.215business 1.includes the following branches:ssification, the contracting (a) General engineering contracting.

For the purpose of classification, the contracting business includes the following branches:

(a) General engineering contracting.

A general engineering contractor is a contractor whose principal contracting business is in connection with fixed works, including irrigation, drainage, water supply, water power, flood control, harbors, railroads, highways, tunnels, airports and airways, sewers and sewage disposal systems, bridges, inland waterways, pipelines for transmission of petroleum and other liquid or gaseous substances, refineries, chemical plants and industrial plants - 80th Session (2019) – 3 – requiring a specialized engineering knowledge and skill, power plants, piers and foundations and structures or work incidental thereto.

A general building contractor is a contractor whose principal contracting business is in connection with the construction or remodeling of buildings or structures for the support, shelter and enclosure of persons, animals, chattels or movable property of any kind, requiring in their construction the use of more than two unrelated building trades or crafts, upon which he or she is a prime contractor and where the construction or remodeling of a building is the primary purpose.

Unless he or she holds the appropriateappropriateilding is specialty license, a general building contractor may only contract to perform specialty contracting if he or she is a prime contractor on a project.

The Board is specifically prohibited from establishing classifications in such a manner as to determine or limitlimSec. craft jurisdictions.

*SB397_R2*4.t –jNRS 4624.220 –is Sec.hereby amended to read as follows:

4.

NRS 624.220 is hereby amended to read as follows:

The Board shall limit the field and scope of the operations of a licensed contractor by establishing a monetary limit on a contractor’s license, and the limit must be the maximum contract a licensed contractor may undertake on one or more construction contracts on a single construction site or subdivision site for a single - 80th Session (2019) – 4 – client.

A request submitted to the Board pursuant to this subsection must be in writing on a form prescribed by the Board and accompanied by such supporting documentation as the Board may require.

(b) Except as otherwise provided in this paragraph, a licensed contractor from performing work of a type for which the contractor does not have a license in the applicable classification or subclassification if the value of the work is less than $1,000, including labor and materials, and the work does not require a permit.which the contractor does not have a license in the applicable for classification or subclassification if the work is of a type performed by a plumbing, electrical, refrigeration or air- conditioning contractor.

A licensed contractor shall not perform work of a type for which the contractor does not have a license in the applicable classification or subclassification if the work is of a type *SB397_R2* – 5 – performed by a plumbing, electrical, refrigeration or air- conditioning contractor.

- 80th Session (2019) – 5 – (a) Acted as a contractor without an active license of the proper classification issued pursuant to this chapter, the Board or its designee, as appropriate, shall issue or authorize the issuance of a written administrative citation to the person.

If a written citation issued pursuant to this section includes an order to take action to correct a condition resulting from an act that constitutes a violation of this chapter or the regulations of the Board, the citation must state the time permitted for compliance, which must be not less than 15 business days after the date the person receives the citation, and specifically describe the action required to be taken.

*SB397_R2* – 6 – 6.