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SF 1371

as introduced - 89th Legislature (2015 - 2016) Posted on 03/19/2015 11:16am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to labor and industry; making housekeeping changes to the Construction
Codes and Licensing Division; removing obsolete, redundant, and unnecessary
laws and rules; making conforming changes; authorizing rulemaking; amending
Minnesota Statutes 2014, sections 326B.092, subdivisions 3, 7; 326B.094,
subdivisions 2, 3; 326B.098, by adding a subdivision; 326B.106, subdivisions
4, 7; 326B.109, subdivision 2; 326B.135, subdivision 4; 326B.139; 326B.164,
subdivision 8; 326B.184, subdivision 2; 326B.194; 326B.33, subdivisions 6, 15;
326B.37, subdivision 11; 326B.46, subdivisions 1b, 2; 326B.49, subdivision
3; 326B.56, subdivision 1; 326B.701, subdivision 3; 326B.811, subdivision
1; 326B.84; 326B.86, subdivision 1; 326B.921, subdivision 5; 326B.978, by
adding a subdivision; 326B.99, subdivision 2; proposing coding for new law in
Minnesota Statutes, chapter 326B; repealing Minnesota Statutes 2014, sections
16C.0745; 326B.091, subdivision 6; 326B.106, subdivision 10; 326B.169;
326B.181; 471.465; 471.466; 471.467; 471.468.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

CONSTRUCTION CODES AND LICENSING

Section 1.

new text begin [326B.0921] BOND REQUIREMENTS.
new text end

new text begin (a) All bonds that are required by this chapter must be in the form of a corporate
surety bond conditioned upon the faithful and lawful performance of all work contracted
for or performed in the state of Minnesota. The bond must be for the benefit of any person
injured or suffering financial loss by reason of the licensee's failure to comply with the
requirements of this chapter, the State Building Code, and all contracts entered into.
new text end

new text begin (b) The licensee must file the bond with the commissioner on the bond form
provided by the commissioner. The bond must be in lieu of all other license bonds to any
other political subdivision. The bond must be written by a corporate surety licensed
to do business in the state of Minnesota.
new text end

new text begin (c) The penal sum of the bond is cumulative and must be aggregated every two years
that the bond is in force. The aggregate liability shall be limited to the bond penalty shown
on the bond form for each two-year period that the bond remains in effect for any losses
that occur during each two-year period. The bond shall be effective continuously from
the date of issue but may be canceled as to future liability by the surety upon 30 days'
written notice mailed to the commissioner by certified mail. In the event the surety pays a
claim that reduces the penal sum of the bond, the surety must notify the commissioner
in writing of the payment of the claim and the reduced penal sum of the bond within 15
days of the payment of the claim.
new text end

new text begin (d) A licensee that is required to maintain a bond as a condition of licensure must
ensure that it has a valid bond filed with the commissioner at all times that its license is
active and that the required penal sum of the bond is maintained at all times.
new text end

Sec. 2.

Minnesota Statutes 2014, section 326B.094, subdivision 2, is amended to read:


Subd. 2.

Availability of renewal.

A licensee may apply to renew a license no later
than two years after the expiration of the license. If the department receives a complete
renewal application no later than two years after the expiration of the license, then the
department must approve or deny the renewal application within 60 days of receiving the
complete renewal application. If the department receives a renewal application more than
two years after the expiration of the license, the department must return the renewal license
fee to the applicant without approving or denying the application. If the licensee wishes
to obtain a valid license more than two years after expiration of the license, the licensee
must apply for a new license.new text begin This section does not apply to a holder of a certificate of
exemption issued under section 326B.805, subdivision 6, unlicensed individuals who
register with the department under section 326B.33, subdivision 12, or 326B.47, or a
mechanical contractor that files a bond with the department under section 326B.197.
new text end

Sec. 3.

Minnesota Statutes 2014, section 326B.098, is amended by adding a
subdivision to read:


new text begin Subd. 4. new text end

new text begin Courses submitted by the state. new text end

new text begin State agencies submitting courses for
review that are intended for licensees regulated by the department are not required to
pay the course approval fee. Courses must still be reviewed for appropriate credit in the
designated license discipline. The department will act as sponsor for courses submitted by
state agencies that are approved for continuing education.
new text end

Sec. 4.

Minnesota Statutes 2014, section 326B.164, subdivision 8, is amended to read:


Subd. 8.

Bond required.

As a condition of licensing, each contractor shall give and
maintain bond to the state in thenew text begin penalnew text end sum of $25,000deleted text begin , conditioned upon the faithful and
lawful performance of all work contracted for or performed by the contractor within the
state of Minnesota, and such bond shall be for the benefit of persons injured or suffering
financial loss by reason of failure of such performance. The bond shall be filed with
the commissioner and shall be in lieu of all other license bonds to any other political
subdivision. The bond shall be written by a corporate surety licensed to do business in the
state of Minnesota
deleted text end .new text begin The bond must comply with section 326B.0921.
new text end

Sec. 5.

Minnesota Statutes 2014, section 326B.184, subdivision 2, is amended to read:


Subd. 2.

Operating permits and fees; periodic inspections.

(a) No person may
operate an elevator without first obtaining an annual operating permit from the department
or a municipality authorized by subdivision 4 to issue annual operating permits. A $100
annual operating permit fee must be paid to the department for each annual operating
permit issued by the department, except that the original annual operating permit must
be included in the permit fee for the initial installation of the elevator. Annual operating
permits must be issued at 12-month intervals from the date of the initial annual operating
permit. For each subsequent year, an owner must be granted an annual operating permit
for the elevator upon the owner's or owner's agent's submission of a form prescribed by
the commissioner and payment of the $100 fee. Each form must include the location of
the elevator, the results of any periodic test required by the code, and any other criteria
established by rule. An annual operating permit may be revoked by the commissioner
upon an audit of the periodic testing results submitted with the application or a failure to
comply with elevator code requirements, inspections, or any other law related to elevators.
Except for an initial operating permit fee,new text begin elevators in residential dwellings,new text end hand-powered
manlifts and electric endless belt manlifts, and vertical reciprocating conveyors are not
subject to a subsequent operating permit fee.

(b) All elevators are subject to periodic inspections by the department or a
municipality authorized by subdivision 4 to perform periodic inspections, except that
hand-powered manlifts and electric endless belt manlifts are exempt from periodic
inspections. Periodic inspections by the department shall be performed at the following
intervals:

(1) a special purpose personnel elevator is subject to inspection not more than once
every five years;

(2) an elevator located within a house of worship that does not have attached school
facilities is subject to inspection not more than once every three years; and

(3) all other elevators are subject to inspection not more than once each year.

Sec. 6.

Minnesota Statutes 2014, section 326B.33, subdivision 6, is amended to read:


Subd. 6.

Bond.

Every Class A and Class B installer, as a condition of licensure,
shall give bond to the state in thenew text begin penalnew text end sum of $1,000 deleted text begin conditioned upon the faithful and
lawful performance of all work contracted for or entered upon by the installer within the
state of Minnesota, and such bond shall be for the benefit of persons injured or suffering
financial loss by reason of failure of such performance. Such bond shall be in lieu of all
other license bonds to any political subdivision of the state. Such bond shall be written
by a corporate surety licensed to do business in the state of Minnesota
deleted text end .new text begin The bond must
comply with section 326B.0921.
new text end

Sec. 7.

Minnesota Statutes 2014, section 326B.33, subdivision 15, is amended to read:


Subd. 15.

Bond required.

As a condition of licensing, each contractor shall
give and maintain bond to the state in thenew text begin penalnew text end sum of $25,000 deleted text begin conditioned upon the
faithful and lawful performance of all work contracted for or performed by the contractor
within the state of Minnesota and such bond shall be for the benefit of persons injured or
suffering financial loss by reason of failure of such performance. The bond shall be filed
with the commissioner and shall be in lieu of all other license bonds to any other political
subdivision. Such bond shall be written by a corporate surety licensed to do business in
the state of Minnesota
deleted text end .new text begin The bond must comply with section 326B.0921.
new text end

Sec. 8.

Minnesota Statutes 2014, section 326B.37, subdivision 11, is amended to read:


Subd. 11.

Inspection of transitory project.

(a) For inspection of transitory projects
including, but not limited to, festivals, fairs, carnivals, circuses, shows, production sites,
and portable road construction plants, the inspection procedures and fees are as specified
in paragraphs (b) to (i).

(b) The fee for inspection of each generator or other source of supply is that specified
in subdivision 3. A like fee is required at each engagement or setup.

(c) In addition to the fee for generators or other sources of supply, there must be an
inspection of all installed feeders, circuits, and equipment at each engagement or setup at
the hourly rate specified in subdivision 10, with a one-hour minimum.

(d) An owner, operator, or appointed representative of a transitory enterprise
including, but not limited to, festivals, fairs, carnivals, circuses, production companies,
shows, portable road construction plants, and similar enterprises shall notify the
commissioner of its itinerary or schedule and make application for initial inspection
a minimum of 14 days before its first engagement or setup. An owner, operator, or
appointed representative of a transitory enterprise who fails to notify the commissioner 14
days before its first engagement or setup may be subject to the investigation fees specified
in subdivision 7. The owner, operator, or appointed representative shall request inspection
and pay the inspection fee for each subsequent engagement or setup at the time of the
initial inspection. For subsequent engagements or setups not listed on the itinerary or
schedule submitted to the commissioner and where the commissioner is not notified at
least 48 hours in advance, a charge of $100 may be made in addition to all required fees.

(e) Amusement rides, devices, concessions, attractions, or other units must be
inspected at their first appearance of the year. The inspection fee is $35 per unit with a
supply of up to 60 amperes and $40 per unit with a supply above 60 amperes.

(f) An additional fee at the hourly rate specified in subdivision 10 must be charged
for additional time spent by each inspector if equipment is not ready or available for
inspection at the time and date specified on the application for initial inspection or the
request for electrical inspection form.

(g) In addition to the fees specified in paragraphs deleted text begin (a) anddeleted text end (b)new text begin and (c)new text end , a fee of one
hour at the hourly rate specified in subdivision 10 must be charged for inspections required
to be performed on Saturdays, Sundays, holidays, or after regular business hours.

(h) The fee for reinspection of corrections or supplemental inspections where an
additional trip is necessary may be assessed as specified in subdivision 8.

(i) The commissioner shall retain the inspection fee when an owner, operator, or
appointed representative of a transitory enterprise fails to notify the commissioner at least
48 hours in advance of a scheduled inspection that is canceled.

Sec. 9.

Minnesota Statutes 2014, section 326B.46, subdivision 1b, is amended to read:


Subd. 1b.

Employment of master plumber or restricted master plumber.

(a)
Each contractor must designate a responsible licensed plumber, who shall be responsible
for the performance of all plumbing work in accordance with sections 326B.41 to 326B.49,
all rules adopted under these sections and sections 326B.50 to 326B.59, and all orders
issued under section 326B.082. A plumbing contractor's responsible individual must be
a master plumber. A restricted plumbing contractor's responsible individual must be a
master plumber or a restricted master plumber. A plumbing contractor license authorizes
the contractor to offer to perform and, through licensed and registered individuals,
to perform plumbing work in all areas of the state. A restricted plumbing contractor
license authorizes the contractor to offer to perform and, through licensed and registered
individuals, to perform plumbing work in all areas of the state except in cities and towns
with a population of more than 5,000 according to the last federal census.

(b) If the contractor is an individual or sole proprietorship, the responsible licensed
individual must be the individual, proprietor, or managing employee. If the contractor
is a partnership, the responsible licensed individual must be a general partner or
managing employee. If the contractor is a limited liability company, the responsible
licensed individual must be a chief manager or managing employee. If the contractor is a
corporation, the responsible licensed individual must be an officer or managing employee.
If the responsible licensed individual is a managing employee, the responsible licensed
individual must be actively engaged in performing plumbing work on behalf of the
contractor, and cannot be employed in any capacity as a plumber for any other contractor.
An individual may be the responsible licensed individual for only one contractor.

(c) All applications and renewals for contractor licenses shall include a verified
statement that the applicant or licensee has complied with this subdivision.

new text begin (d) Upon the departure or disqualification of a licensee's responsible licensed
individual because of death, disability, retirement, position change, or other reason, the
licensee must notify the commissioner within 15 business days. The licensee shall have 60
days from the departure of the responsible licensed individual to obtain a new responsible
licensed individual. Failure to secure a new responsible licensed individual within 60 days
will, with or without notice, result in the voluntary termination of the license.
new text end

Sec. 10.

Minnesota Statutes 2014, section 326B.46, subdivision 2, is amended to read:


Subd. 2.

Bond; insurance.

(a) The bond and insurance requirements of paragraphs
(b) and (c) apply to each person who performs or offers to perform plumbing work within
the state, including any person who offers to perform or performs sewer or water service
installation without a contractor's license. If the person performs or offers to perform any
plumbing work other than sewer or water service installation, then the person must meet
the requirements of paragraphs (b) and (c) as a condition of holding a contractor's license.

(b) Each person who performs or offers to perform plumbing work within the state
shall give and maintain bond to the state in the deleted text begin amountdeleted text end new text begin penal sumnew text end of at least $25,000
for (1) all plumbing work entered into within the state or (2) all plumbing work and
subsurface sewage treatment work entered into within the state. If the bond is for both
plumbing work and subsurface sewage treatment work, the bond must comply with the
requirements of this section and section 115.56, subdivision 2, paragraph (e). deleted text begin The bond
shall be for the benefit of persons injured or suffering financial loss by reason of failure
to comply with the requirements of the State Plumbing Code and, if the bond is for both
plumbing work and subsurface sewage treatment work, financial loss by reason of failure
to comply with the requirements of sections 115.55 and 115.56. The bond shall be filed
with the commissioner and shall be written by a corporate surety licensed to do business
in the state.
deleted text end new text begin The bond must comply with section 326B.0921.
new text end

(c) Each person who performs or offers to perform plumbing work within the
state shall have and maintain in effect public liability insurance, including products
liability insurance with limits of at least $50,000 per person and $100,000 per occurrence
and property damage insurance with limits of at least $10,000. The insurance shall be
written by an insurer licensed to do business in the state of Minnesota. Each person who
performs or offers to perform plumbing work within the state shall maintain on file
with the commissioner a certificate evidencing the insurance. In the event of a policy
cancellation, the insurer shall send written notice to the commissioner at the same time
that a cancellation request is received from or a notice is sent to the insured.

Sec. 11.

Minnesota Statutes 2014, section 326B.49, subdivision 3, is amended to read:


Subd. 3.

Permits; fees.

(a) Before commencement of a plumbing installation to be
inspected by the commissioner, the plumbing contractor or registered plumbing employer
performing the plumbing work must submit to the commissioner an application for a
permit and the permit and inspection fees in paragraphs (b) to (f).

(b) The permit fee is $100.

(c) The residential inspection fee is $50 for each inspection trip.

(d) The public, commercial, and industrial inspection fees are as follows:

(1) for systems with water distribution, drain, waste, and vent system connection:

(i) $25 for each fixture, permanently connected appliance, floor drain, or other
appurtenance;

(ii) $25 for each water conditioning, water treatment, or water filtration system; and

(iii) $25 for each interceptor, separator, catch basin, or manhole;

(2) roof drains, $25 for each drain;

(3) building sewer service only, $100;

(4) building water service only, $100;

(5) building water distribution system only, no drainage system, $5 for each fixture
supplied;

(6) storm drainage system, a minimum fee of $25 for each drain opening, interceptor,
separator, or catch basin;

(7) manufactured home park or campground, $25 for each site;

(8) reinspection fee to verify corrections, regardless of the total fee submitted, $100
for each reinspection; and

(9) each $100 in fees paid covers one inspection trip.

(e) In addition to the fees in paragraph deleted text begin (c)deleted text end new text begin (d)new text end , the fee submitter must pay an hourly
rate of $80 during regular business hours, or $120 when inspections are requested to be
performed outside of normal work hours or on weekends and holidays, with a two-hour
minimum where the fee submitter requests inspections of installations as systems are
being installed.

(f) The fee submitter must pay a fee equal to two hours at the hourly rate of $80
when inspections scheduled by the submitter are not able to be completed because the
work is not complete.

Sec. 12.

Minnesota Statutes 2014, section 326B.56, subdivision 1, is amended to read:


Subdivision 1.

Bonds.

(a) As a condition of licensing, each water conditioning
contractor shall give and maintain a bond to the state as described in paragraph (b). No
applicant for a water conditioning contractor license who maintains the bond under
paragraph (b) shall be otherwise required to meet the bond requirements of any political
subdivision.

(b) Each bond given to the state under this subdivision shall be in the deleted text begin totaldeleted text end new text begin penalnew text end sum
of $3,000 deleted text begin conditioned upon the faithful and lawful performance of all water conditioning
installation or servicing done within the state. The bond shall be for the benefit of
persons suffering injuries or damages due to the work. The bond shall be filed with the
commissioner and shall be written by a corporate surety licensed to do business in this
state. The bond must remain in effect at all times while the application is pending and
while the license is in effect
deleted text end new text begin and must comply with section 326B.0921new text end .

Sec. 13.

Minnesota Statutes 2014, section 326B.701, subdivision 3, is amended to read:


Subd. 3.

Registration application.

(a) Persons required to register under this
section must submit electronically, in the manner prescribed by the commissioner, a
complete application according to paragraphs (b) to (d).

(b) A complete application must include all of the following information about any
individual who is registering as an individual or a sole proprietor, or who owns 25 percent
or more of a business entity being registered:

(1) the individual's full legal name and title at the applicant's business;

(2) the individual's business address and telephone number;

(3) the percentage of the applicant's business owned by the individual; and

(4) the individual's Social Security number.

(c) A complete application must also include the following information:

(1) the applicant's legal name; assumed name filed with the secretary of state, if any;
designated business address; physical address; telephone number; and e-mail address;

(2) the applicant's Minnesota tax identification number, if one is required or has
been issued;

(3) the applicant's federal employer identification number, if one is required or
has been issued;

(4) evidence of the active status of the applicant's business filings with the secretary
of state, if one is required or has been issued;

(5) whether the applicant has any employees at the time the application is filed;

(6) the names of all other persons with an ownership interest in the business entity
who are not identified in paragraph (b), and the percentage of the interest owned by each
person, except that the names of shareholders with less than ten percent ownership in a
publicly traded corporation need not be provided;

(7) information documenting compliance with workers' compensation and
unemployment insurance laws;

(8) a certification that the person signing the application has: reviewed it; determined
that the information provided is true and accurate; and determined that the person signing
is authorized to sign and file the application as an agent of the applicant. The name of the
person signing, entered on an electronic application, shall constitute a valid signature of
the agent on behalf of the applicant; and

(9) a signed authorization for the Department of Labor and Industry to verify the
information provided on or with the application.

(d) A registered person must notify the commissioner within 15 days after there is a
change in any of the information on the application as approved. This notification must be
provided electronically in the manner prescribed by the commissioner. However, if the
business entity structuredeleted text begin ,deleted text end new text begin ornew text end legal form of the business entitydeleted text begin , or business ownershipdeleted text end has
changed, the person must submit a new registration application and registration fee, if
any, for the new business entity.

(e) The registered person must remain registered while providing construction
services for another person. The provisions of sections 326B.091, 326B.094, 326B.095,
and 326B.097 apply to this section. A person with an expired registration shall not provide
construction services for another person if registration is required under this section.
Registration application and expiration time frames are as follows:

(1) all registrations issued on or before deleted text begin June 30deleted text end new text begin December 31new text end , 2015, expire on deleted text begin June
30
deleted text end new text begin December 31new text end , 2015;

(2) all registrations issued after deleted text begin June 30deleted text end new text begin December 31new text end , 2015, expire on the following
deleted text begin June 30deleted text end new text begin December 31new text end of each odd-numbered year; and

(3) a person may submit a registration or renewal application starting deleted text begin Aprildeleted text end new text begin Octobernew text end
1 of the year the registration expires. If a renewal application is submitted later than deleted text begin Maydeleted text end new text begin
December
new text end 1 of the expiration year, registration may expire before the department has
issued or denied the registration.

Sec. 14.

Minnesota Statutes 2014, section 326B.811, subdivision 1, is amended to read:


Subdivision 1.

Required.

A person who has entered into a written contract with
a residential new text begin building contractor, residential remodeler, or residential new text end roofer deleted text begin or a siding
contractor registered under section 326B.802, subdivision 15,
deleted text end to provide goods and
services to be paid by the insured from the proceeds of a property or casualty insurance
policy has the right to cancel the contract within 72 hours after the insured has been
notified by the insurer that the claim has been denied. Cancellation is evidenced by the
insured giving written notice of cancellation to the contractor at the address stated in the
contract. Notice of cancellation, if given by mail, is effective upon deposit in a mailbox,
properly addressed to the contractor and postage prepaid. Notice of cancellation need not
take a particular form and is sufficient if it indicates, by any form of written expression,
the intention of the insured not to be bound by the contract.

Sec. 15.

Minnesota Statutes 2014, section 326B.84, is amended to read:


326B.84 GROUNDS FOR SANCTIONS.


The commissioner may use any enforcement provision in section 326B.082 against
an applicant fornew text begin , qualifying person of,new text end or holder of a license or certificate of exemption,
if the applicant, licensee, certificate of exemption holder, qualifying person, or owner,
officer, member, managing employee, or affiliate of the applicant, licensee, or certificate
of exemption holder:

(1) has filed an application for licensure or a certificate of exemption which is
incomplete in any material respect or contains any statement which, in light of the
circumstances under which it is made, is false or misleading with respect to any material
fact;

(2) has engaged in a fraudulent, deceptive, or dishonest practice;

(3) is permanently or temporarily enjoined by any court of competent jurisdiction
from engaging in or continuing any conduct or practice involving any aspect of the business;

(4) has failed to reasonably supervise employees, agents, subcontractors, or
salespersons, or has performed negligently or in breach of contract, so as to cause injury
or harm to the public;

(5) has violated or failed to comply with any provision of sections 326B.802 to
326B.885, any rule or order under sections 326B.802 to 326B.885, or any other law, rule,
or order related to the duties and responsibilities entrusted to the commissioner;

(6) has been convicted of a violation of the State Building Code or has refused to
comply with a deleted text begin notice of violation or stopdeleted text end new text begin correctionnew text end order issued by a certified building
official, or in local jurisdictions that have not adopted the State Building Code has refused
to correct a violation of the State Building Code when the violation has been documented deleted text begin or
a notice of violation or stop order issued
deleted text end by a certified building official deleted text begin has been receiveddeleted text end ;

(7) has failed to use the proceeds of any payment made to the licensee for the
construction of, or any improvement to, residential real estate, as defined in section
326B.802, subdivision 13, for the payment of labor, skill, material, and machinery
contributed to the construction or improvement, knowing that the cost of any labor
performed, or skill, material, or machinery furnished for the improvement remains unpaid;

(8) has not furnished to the person making payment either a valid lien waiver as to
any unpaid labor performed, or skill, material, or machinery furnished for an improvement,
or a payment bond in the basic amount of the contract price for the improvement
conditioned for the prompt payment to any person or persons entitled to payment;

(9) has engaged in an act or practice that results in compensation to an aggrieved
owner or lessee from the contractor recovery fund pursuant to section 326B.89, unless:

(i) the applicant or licensee has repaid the fund twice the amount paid from the fund,
plus interest at the rate of 12 percent per year; and

(ii) the applicant or licensee has obtained a surety bond in the amount of at least
$40,000, issued by an insurer authorized to transact business in this state;

(10) has engaged in bad faith, unreasonable delays, or frivolous claims in defense
of a civil lawsuit or arbitration arising out of their activities as a licensee or certificate
of exemption holder under this chapter;

(11) has had a judgment entered against them for failure to make payments to
employees, subcontractors, or suppliers, that the licensee has failed to satisfy and all
appeals of the judgment have been exhausted or the period for appeal has expired;

(12) if unlicensed, has obtained a building permit by the fraudulent use of a fictitious
license number or the license number of another, or, if licensed, has knowingly allowed
an unlicensed person to use the licensee's license number for the purpose of fraudulently
obtaining a building permit; or has applied for or obtained a building permit for an
unlicensed person;

(13) has made use of a forged mechanic's lien waiver under chapter 514;

(14) has provided false, misleading, or incomplete information to the commissioner
or has refused to allow a reasonable inspection of records or premises;

(15) has engaged in an act or practice whether or not the act or practice directly
involves the business for which the person is licensed, that demonstrates that the applicant
or licensee is untrustworthy, financially irresponsible, or otherwise incompetent or
unqualified to act under the license granted by the commissioner; or

(16) has failed to comply with requests for information, documents, or other requests
from the department within the time specified in the request or, if no time is specified,
within 30 days of the mailing of the request by the department.

Sec. 16.

Minnesota Statutes 2014, section 326B.86, subdivision 1, is amended to read:


Subdivision 1.

Bond.

(a) Licensed manufactured home installers and licensed
residential roofers must deleted text begin postdeleted text end new text begin give and maintainnew text end a deleted text begin biennial suretydeleted text end bond deleted text begin in the name of the
licensee with the commissioner, conditioned that the applicant shall faithfully perform the
duties and in all things comply with all laws, ordinances, and rules pertaining to the license
or permit applied for and all contracts entered into. The biennial bond must be continuous
and maintained for so long as the licensee remains licensed. The aggregate liability of the
surety on the bond to any and all persons, regardless of the number of claims made against
the bond, may not exceed the amount of the bond. The bond may be canceled as to future
liability by the surety upon 30 days' written notice mailed to the commissioner by regular
mail.
deleted text end new text begin to the state. The bond must comply with section 326B.0921.
new text end

(b) A licensed residential roofer must post a bondnew text begin with a penal sumnew text end of at least $15,000.

(c) A licensed manufactured home installer must post a bondnew text begin with a penal sumnew text end
of at least $2,500.

Bonds issued under sections 326B.802 to 326B.885 are not state bonds or contracts
for purposes of sections 8.05 and 16C.05, subdivision 2.

Sec. 17.

Minnesota Statutes 2014, section 326B.921, subdivision 5, is amended to read:


Subd. 5.

Bond.

As a condition of licensing, each applicant for a high pressure piping
business license deleted text begin or renewaldeleted text end shall givenew text begin and maintain anew text end bond to the state in the total sum
of $15,000 conditioned upon the faithful and lawful performance of all work contracted
for or performed within the state. The bond shall run to and be for the benefit of persons
injured or suffering financial loss by reason of failure of payment or performance. Claims
and actions on the bond may be brought according to sections 574.26 to 574.38.

The term of the bond must be concurrent with the term of the high pressure
pipefitting business license and run without interruption from the date of the issuance of
the license to the end of the calendar year. All high pressure pipefitting business licenses
must be annually renewed on a calendar year basis.

The bond must be filed with the department and shall be in lieu of any other business
license bonds required by any political subdivision for high pressure pipefitting. The bond
must be written by a corporate surety licensed to do business in the state.

Sec. 18.

Minnesota Statutes 2014, section 326B.978, is amended by adding a
subdivision to read:


new text begin Subd. 4a. new text end

new text begin Continuing education. new text end

new text begin The commissioner may require continuing
education prior to the renewal of any license. Before requiring continuing education, the
commissioner shall adopt rules that specify the continuing education requirements.
new text end

Sec. 19.

Minnesota Statutes 2014, section 326B.99, subdivision 2, is amended to read:


Subd. 2.

Exemption.

Every boiler or pressure vessel as to which any insurance
company authorized to do business in this state has issued a policy of insurance, after the
inspection thereof, is exempt from inspection by the department made under sections
326B.93 to 326B.998, except the initial inspection by the department under section
deleted text begin 326B.96deleted text end new text begin 326B.958new text end , subdivision 1,new text begin paragraph (b),new text end as long as:

(1) the boiler or pressure vessel continues to be insured;

(2) the boiler or pressure vessel continues to be inspected in accordance with the
inspection schedule in sections 326B.958 and 326B.96; and

(3) the person owning or operating the boiler or pressure vessel has an unexpired
certificate of registration.

ARTICLE 2

OBSOLETE AND REDUNDANT STATUTES

Section 1.

Minnesota Statutes 2014, section 326B.092, subdivision 3, is amended to
read:


Subd. 3.

Late fee.

The department must receive a complete application for license
renewal deleted text begin by the renewal deadline but not more than 90 days before the renewal deadlinedeleted text end new text begin
prior to the license expiration date
new text end . If the department receives a renewal application after
the expiration of the license, then the renewal application must be accompanied by a late
fee equal to one-half of the license renewal fee; except that, for the purpose of calculating
the late fee only, the license renewal fee shall not include any contractor recovery fund fee
required by section 326B.89, subdivision 3.

Sec. 2.

Minnesota Statutes 2014, section 326B.092, subdivision 7, is amended to read:


Subd. 7.

License fees and license renewal fees.

(a) The license fee for each
license is the base license fee plus any applicable board fee, continuing education fee, and
contractor recovery fund fee and additional assessment, as set forth in this subdivision.

(b) For purposes of this section, "license duration" means the number of years for
which the license is issued except thatdeleted text begin :
deleted text end

deleted text begin (1)deleted text end if the initial license is not issued for a whole number of years, the license duration
shall be rounded up to the next whole numberdeleted text begin ; anddeleted text end new text begin .
new text end

deleted text begin (2) if the department receives an application for license renewal after the renewal
deadline, license duration means the number of years for which the renewed license would
have been issued if the renewal application had been submitted on time and all other
requirements for renewal had been met.
deleted text end

(c) The base license fee shall depend on whether the license is classified as an entry
level, master, journeyman, or business license, and on the license duration. The base
license fee shall be:

License Classification
License Duration
1 Year
2 Years
3 Years
Entry level
$10
$20
$30
Journeyman
$20
$40
$60
Master
$40
$80
$120
Business
$90
$180
$270

(d) If there is a continuing education requirement for renewal of the license, then
a continuing education fee must be included in the renewal license fee. The continuing
education fee for all license classifications shall be: $10 if the renewal license duration is
one year; $20 if the renewal license duration is two years; and $30 if the renewal license
duration is three years.

(e) If the license is issued under sections 326B.31 to 326B.59 or 326B.90 to
326B.93, then a board fee must be included in the license fee and the renewal license fee.
The board fee for all license classifications shall be: $4 if the license duration is one year;
$8 if the license duration is two years; and $12 if the license duration is three years.

(f) If the application is for the renewal of a license issued under sections 326B.802
to 326B.885, then the contractor recovery fund fee required under section 326B.89,
subdivision 3, and any additional assessment required under section 326B.89, subdivision
16
, must be included in the license renewal fee.

Sec. 3.

Minnesota Statutes 2014, section 326B.094, subdivision 3, is amended to read:


Subd. 3.

Deadline for avoiding license expiration.

The department must receive
a complete application to renew a license no later than the deleted text begin renewal deadlinedeleted text end new text begin license
expiration date
new text end . If the department does not receive a complete application by the deleted text begin renewal
deadline
deleted text end new text begin license expiration datenew text end , the license may expire before the department has either
approved or denied the renewal application.

Sec. 4.

Minnesota Statutes 2014, section 326B.106, subdivision 4, is amended to read:


Subd. 4.

Special requirements.

(a) Space for commuter vans. The code must
require that any parking ramp or other parking facility constructed in accordance with the
code include an appropriate number of spaces suitable for the parking of motor vehicles
having a capacity of seven to 16 persons and which are principally used to provide
prearranged commuter transportation of employees to or from their place of employment
or to or from a transit stop authorized by a local transit authority.

(b) Smoke detection devices. The code must require that all dwellings, lodging
houses, apartment houses, and hotels as defined in section 299F.362 comply with the
provisions of section 299F.362.

(c) Doors in nursing homes and hospitals. The State Building Code may not
require that each door entering a sleeping or patient's room from a corridor in a nursing
home or hospital with an approved complete standard automatic fire extinguishing system
be constructed or maintained as self-closing or automatically closing.

(d) Child care facilities in churches; ground level exit. A licensed day care center
serving fewer than 30 preschool age persons and which is located in a belowground space
in a church building is exempt from the State Building Code requirement for a ground
level exit when the center has more than two stairways to the ground level and its exit.

(e) Family and group family day care. Until the legislature enacts legislation
specifying appropriate standards, the definition of dwellings constructed in accordance
with the International Residential Code as adopted as part of the State Building Code
applies to family and group family day care homes licensed by the Department of Human
Services under Minnesota Rules, chapter 9502.

(f) Enclosed stairways. No provision of the code or any appendix chapter of the
code may require stairways of existing multiple dwelling buildings of two stories or
less to be enclosed.

(g) Double cylinder dead bolt locks. No provision of the code or appendix chapter
of the code may prohibit double cylinder dead bolt locks in existing single-family homes,
townhouses, and first floor duplexes used exclusively as a residential dwelling. Any
recommendation or promotion of double cylinder dead bolt locks must include a warning
about their potential fire danger and procedures to minimize the danger.

(h) Relocated residential buildings. A residential building relocated within or
into a political subdivision of the state need not comply with the State Energy Code or
section 326B.439 provided that, where available, an energy audit is conducted on the
relocated building.

(i) Automatic garage door opening systems. The code must require all residential
buildings as defined in section 325F.82 to comply with the provisions of sections 325F.82
and 325F.83.

deleted text begin (j) Exit sign illumination. For a new building on which construction is begun
on or after October 1, 1993, or an existing building on which remodeling affecting 50
percent or more of the enclosed space is begun on or after October 1, 1993, the code must
prohibit the use of internally illuminated exit signs whose electrical consumption during
nonemergency operation exceeds 20 watts of resistive power. All other requirements in
the code for exit signs must be complied with.
deleted text end

deleted text begin (k)deleted text end new text begin (j)new text end Exterior wood decks, patios, and balconies. The code must permit the
decking surface and upper portions of exterior wood decks, patios, and balconies to be
constructed of (1) heartwood from species of wood having natural resistance to decay or
termites, including redwood and cedars, (2) grades of lumber which contain sapwood from
species of wood having natural resistance to decay or termites, including redwood and
cedars, or (3) treated wood. The species and grades of wood products used to construct the
decking surface and upper portions of exterior decks, patios, and balconies must be made
available to the building official on request before final construction approval.

deleted text begin (l)deleted text end new text begin (k)new text end Bioprocess piping and equipment. No permit fee for bioprocess piping may
be imposed by municipalities under the State Building Code, except as required under
section 326B.92 subdivision 1. Permits for bioprocess piping shall be according to section
326B.92 administered by the Department of Labor and Industry. All data regarding the
material production processes, including the bioprocess system's structural design and
layout, are nonpublic data as provided by section 13.7911.

deleted text begin (m)deleted text end new text begin (l)new text end Use of ungraded lumber. The code must allow the use of ungraded lumber
in geographic areas of the state where the code did not generally apply as of April 1, 2008,
to the same extent that ungraded lumber could be used in that area before April 1, 2008.

deleted text begin (n)deleted text end new text begin (m)new text end Window cleaning safety. The code must require the installation of dedicated
anchorages for the purpose of suspended window cleaning on (1) new buildings four
stories or greater; and (2) buildings four stories or greater, only on those areas undergoing
reconstruction, alteration, or repair that includes the exposure of primary structural
components of the roof.

The commissioner may waive all or a portion of the requirements of this paragraph
related to reconstruction, alteration, or repair, if the installation of dedicated anchorages
would not result in significant safety improvements due to limits on the size of the project,
or other factors as determined by the commissioner.

Sec. 5.

Minnesota Statutes 2014, section 326B.106, subdivision 7, is amended to read:


Subd. 7.

Window fall prevention device code.

The commissioner of labor and
industry shall adopt rules for window fall prevention devices as part of the State Building
Code. Window fall prevention devices include, but are not limited to, safety screens,
hardware, guards, and other devices that comply with the standards established by the
commissioner of labor and industry. The rules shall require compliance with standards
for window fall prevention devices developed by ASTM International, contained in the
International Building Code as the model language with amendments deemed necessary to
coordinate with the other adopted building codes in Minnesota. The rules shall establish a
scope that includes the applicable building occupancies, and the types, locations, and sizes
of windows that will require the installation of fall devices. deleted text begin The rules will be effective July
1, 2009. The commissioner shall report to the legislature on the status of the rulemaking
on or before February 15, 2008.
deleted text end

Sec. 6.

Minnesota Statutes 2014, section 326B.109, subdivision 2, is amended to read:


Subd. 2.

Application.

This section applies only to a place of public accommodation
for which construction, or alterations exceeding 50 percent of the estimated replacement
value of the existing facility, deleted text begin begins after July 1, 1995deleted text end new text begin occursnew text end .

Sec. 7.

Minnesota Statutes 2014, section 326B.135, subdivision 4, is amended to read:


Subd. 4.

Effective date.

deleted text begin Effective January 1, 2008,deleted text end All construction inspectors
deleted text begin hired on or after January 1, 2008,deleted text end shall, within one year of hire, be in compliance with the
competency criteria established according to subdivision 1.

Sec. 8.

Minnesota Statutes 2014, section 326B.139, is amended to read:


326B.139 APPEALS.

A person aggrieved by the final decision of any local or state level board of appeals as
to the application of the code, including any rules adopted under deleted text begin sections 471.465 todeleted text end new text begin sectionnew text end
471.469, may, within 180 days of the decision, appeal to the commissioner. Appellant
shall submit a nonrefundable fee of $70, payable to the commissioner, with the request for
appeal. An appeal must be heard as a contested case under chapter 14. The commissioner
shall submit written findings to the parties. The party not prevailing shall pay the costs of
the contested case hearing, including fees charged by the Office of Administrative Hearings
and the expense of transcript preparation. Costs under this section do not include attorney
fees. Any person aggrieved by a ruling of the commissioner may appeal in accordance with
chapter 14. For the purpose of this section "any person aggrieved" includes the Council on
Disability. No fee or costs shall be required when the council on disability is the appellant.

Sec. 9.

Minnesota Statutes 2014, section 326B.194, is amended to read:


326B.194 INTERSTATE COMPACT ON INDUSTRIALIZED/MODULAR
BUILDINGS.

The state of Minnesota ratifies and approves the deleted text begin following compact:deleted text end new text begin Interstate
Industrialized Buildings Commission's Interstate Compact as amended by Laws 1990,
chapter 458, section 2; Laws 1995, chapter 254, article 4, section 1; and Laws 2007,
chapter 140, article 4, section 61, and article 13, section 4, on industrialized/modular
buildings and incorporates the compact by reference. The commissioner must make a
copy of the compact available to the public.
new text end

deleted text begin INTERSTATE COMPACT ON INDUSTRIALIZED/MODULAR BUILDINGS
deleted text end

deleted text begin ARTICLE I
deleted text end

deleted text begin FINDINGS AND DECLARATIONS OF POLICY
deleted text end

deleted text begin (1) The compacting states find that:
deleted text end

deleted text begin (a) Industrialized/modular buildings are constructed in factories in the various states
and are a growing segment of the nation's affordable housing and commercial building
stock.
deleted text end

deleted text begin (b) The regulation of industrialized/modular buildings varies from state to state and
locality to locality, which creates confusion and burdens state and local building officials
and the industrialized/modular building industry.
deleted text end

deleted text begin (c) Regulation by multiple jurisdictions imposes additional costs, which are
ultimately borne by the owners and users of industrialized/modular buildings, restricts
market access and discourages the development and incorporation of new technologies.
deleted text end

deleted text begin (2) It is the policy of each of the compacting states to:
deleted text end

deleted text begin (a) Provide the states which regulate the design and construction of
industrialized/modular buildings with a program to coordinate and uniformly adopt and
administer the states' rules and regulations for such buildings, all in a manner to assure
interstate reciprocity.
deleted text end

deleted text begin (b) Provide to the United States Congress assurances that would preclude the need
for a voluntary preemptive federal regulatory system for modular housing, as outlined
in Section 572 of the Housing and Community Development Act of 1987, including
development of model standards for modular housing construction, such that design and
performance will insure quality, durability and safety; will be in accordance with life-cycle
cost-effective energy conservation standards; all to promote the lowest total construction
and operating costs over the life of such housing.
deleted text end

deleted text begin ARTICLE II
deleted text end

deleted text begin DEFINITIONS
deleted text end

deleted text begin As used in this compact, unless the context clearly requires otherwise:
deleted text end

deleted text begin (1) "Commission" means the Interstate Industrialized/Modular Buildings
Commission.
deleted text end

deleted text begin (2) "Industrialized/modular building" means any building which is of closed
construction, i.e. constructed in such a manner that concealed parts or processes of
manufacture cannot be inspected at the site, without disassembly, damage or destruction,
and which is made or assembled in manufacturing facilities, off the building site, for
installation, or assembly and installation, on the building site. "Industrialized/modular
building" includes, but is not limited to, modular housing which is factory-built
single-family and multifamily housing (including closed wall panelized housing) and
other modular, nonresidential buildings. "Industrialized/modular building" does not
include any structure subject to the requirements of the National Manufactured Home
Construction and Safety Standards Act of 1974.
deleted text end

deleted text begin (3) "Interim reciprocal agreement" means a formal reciprocity agreement
between a noncompacting state wherein the noncompacting state agrees that labels
evidencing compliance with the model rules and regulations for industrialized/modular
buildings, as authorized in Article VIII, section (9), shall be accepted by the state and
its subdivisions to permit installation and use of industrialized/modular buildings.
Further, the noncompacting state agrees that by legislation or regulation, and appropriate
enforcement by uniform administrative procedures, the noncompacting state requires all
industrialized/modular building manufacturers within that state to comply with the model
rules and regulations for industrialized/modular buildings.
deleted text end

deleted text begin (4) "State" means a state of the United States, territory or possession of the United
States, the District of Columbia, or the Commonwealth of Puerto Rico.
deleted text end

deleted text begin (5) "Uniform administrative procedures" means the procedures adopted by the
commission (after consideration of any recommendations from the rules development
committee) which state and local officials, and other parties, in one state, will utilize
to assure state and local officials, and other parties, in other states, of the substantial
compliance of industrialized/modular building construction with the construction standard
of requirements of such other states; to assess the adequacy of building systems; and to
verify and assure the competency and performance of evaluation and inspection agencies.
deleted text end

deleted text begin (6) "Model rules and regulations for industrialized/modular buildings" means
the construction standards adopted by the commission (after consideration of any
recommendations from the rules development committee) which govern the design,
manufacture, handling, storage, delivery and installation of industrialized/modular
buildings and building components. The construction standards and any amendments
thereof shall conform insofar as practicable to model building codes and referenced
standards generally accepted and in use throughout the United States.
deleted text end

deleted text begin ARTICLE III
deleted text end

deleted text begin CREATION OF COMMISSION
deleted text end

deleted text begin The compacting states hereby create the Interstate Industrialized/Modular Buildings
Commission, hereinafter called commission. Said commission shall be a body corporate
of each compacting state and an agency thereof. The commission shall have all the powers
and duties set forth herein and such additional powers as may be conferred upon it by
subsequent action of the respective legislatures of the compacting states.
deleted text end

deleted text begin ARTICLE IV
deleted text end

deleted text begin SELECTION OF COMMISSIONERS
deleted text end

deleted text begin The commission shall be selected as follows. As each state becomes a compacting
state, one resident shall be appointed as commissioner. The commissioner shall be
selected by the governor of the compacting state, being designated from the state agency
charged with regulating industrialized/modular buildings or, if such state agency does not
exist, being designated from among those building officials with the most appropriate
responsibilities in the state. The commissioner may designate another official as an
alternate to act on behalf of the commissioner at commission meetings which the
commissioner is unable to attend.
deleted text end

deleted text begin Each state commissioner shall be appointed, suspended, or removed and shall
serve subject to and in accordance with the laws of the state which said commissioner
represents; and each vacancy occurring shall be filled in accordance with the laws of the
state wherein the vacancy exists.
deleted text end

deleted text begin For every three state commissioners that have been appointed in the manner
described, those state commissioners shall select one additional commissioner who shall be
a representative of manufacturers of residential- or commercial-use industrialized/modular
buildings. For every six state commissioners that have been appointed in the manner
described, the state commissioners shall select one additional commissioner who shall
be a representative of consumers of industrialized/modular buildings. In the event states
withdraw from the compact or, for any other reason, the number of state commissioners is
reduced, the state commissioners shall remove the last added representative commissioner
as necessary to maintain the ratio of state commissioners to representative commissioners
described herein.
deleted text end

deleted text begin Upon a majority vote of the state commissioners, the state commissioners may
remove, fill a vacancy created by, or replace any representative commissioner, provided
that any replacement is made from the same representative group and the ratio described
herein is maintained. Unless provided otherwise, the representative commissioners have
the same authority and responsibility as the state commissioners.
deleted text end

deleted text begin In addition, the commission may have as a member one commissioner representing
the United States government if federal law authorizes such representation. Such
commissioner shall not vote on matters before the commission. Such commissioner shall
be appointed by the President of the United States, or in such other manner as may be
provided by Congress.
deleted text end

deleted text begin ARTICLE V
deleted text end

deleted text begin VOTING
deleted text end

deleted text begin Each commissioner (except the commissioner representing the United States
government) shall be entitled to one vote on the commission. A majority of the
commissioners shall constitute a quorum for the transaction of business. Any business
transacted at any meeting of the commission must be by affirmative vote of a majority of
the quorum present and voting.
deleted text end

deleted text begin ARTICLE VI
deleted text end

deleted text begin ORGANIZATION AND MANAGEMENT
deleted text end

deleted text begin The commission shall elect annually, from among its members, a chairman, a vice
chairman and a treasurer. The commission shall also select a secretariat, which shall
provide an individual who shall serve as secretary of the commission. The commission
shall fix and determine the duties and compensation of the secretariat. The commissioners
shall serve without compensation, but shall be reimbursed for their actual and necessary
expenses from the funds of the commission.
deleted text end

deleted text begin The commission shall adopt a seal.
deleted text end

deleted text begin The commission shall adopt bylaws, rules, and regulations for the conduct of
its business, and shall have the power to amend and rescind these bylaws, rules, and
regulations.
deleted text end

deleted text begin The commission shall establish and maintain an office at the same location as the
office maintained by the secretariat for the transaction of its business and may meet at any
time, but in any event must meet at least once a year. The chairman may call additional
meetings and upon the request of a majority of the commissioners of three or more of the
compacting states shall call an additional meeting.
deleted text end

deleted text begin The commission annually shall make the governor and legislature of each
compacting state a report covering its activities for the preceding year. Any donation or
grant accepted by the commission or services borrowed shall be reported in the annual
report of the commission and shall include the nature, amount and conditions, if any, of
the donation, gift, grant or services borrowed and the identity of the donor or lender. The
commission may make additional reports as it may deem desirable.
deleted text end

deleted text begin ARTICLE VII
deleted text end

deleted text begin COMMITTEES
deleted text end

deleted text begin The commission will establish such committees as it deems necessary, including,
but not limited to, the following:
deleted text end

deleted text begin (1) An executive committee which functions when the full commission is not
meeting, as provided in the bylaws of the commission. The executive committee will
ensure that proper procedures are followed in implementing the commission's programs
and in carrying out the activities of the compact. The executive committee shall be elected
by vote of the commission. It shall be comprised of at least three and no more than nine
commissioners, selected from the state commissioners and one member of the industry
commissioners and one member of the consumer commissioners.
deleted text end

deleted text begin (2) A rules development committee appointed by the commission. The committee
shall be consensus-based and consist of not less than seven nor more than 21 members.
Committee members will include state building regulatory officials; manufacturers of
industrialized/modular buildings; private, third-party inspection agencies; and consumers.
This committee may recommend procedures which state and local officials, and other
parties, in one state, may utilize to assure state and local officials, and other parties, in
other states, of the substantial compliance of industrialized/modular building construction
with the construction standard requirements of such other states; to assess the adequacy
of building systems; and to verify and assure the competency and performance of
evaluation and inspection agencies. This committee may also recommend construction
standards for the design, manufacture, handling, storage, delivery and installation of
industrialized/modular buildings and building components. The committee will submit
its recommendations to the commission, for the commission's consideration in adopting
and amending the uniform administrative procedures and the model rules and regulations
for industrialized/modular buildings. The committee may also review the regulatory
programs of the compacting states to determine whether those programs are consistent
with the uniform administrative procedures or the model rules and regulations for
industrialized/modular buildings and may make recommendations concerning the states'
programs to the commission. In carrying out its functions, the rules committee may
conduct public hearings and otherwise solicit public input and comment.
deleted text end

deleted text begin (3) Any other advisory, coordinating or technical committees, membership on
which may include private persons, public officials, associations or organizations. Such
committees may consider any matter of concern to the commission.
deleted text end

deleted text begin (4) Such additional committees as the commission's bylaws may provide.
deleted text end

deleted text begin ARTICLE VIII
deleted text end

deleted text begin POWER AND AUTHORITY
deleted text end

deleted text begin In addition to the powers conferred elsewhere in this compact, the commission
shall have power to:
deleted text end

deleted text begin (1) Collect, analyze and disseminate information relating to industrialized/modular
buildings.
deleted text end

deleted text begin (2) Undertake studies of existing laws, codes, rules and regulations, and
administrative practices of the states relating to industrialized/modular buildings.
deleted text end

deleted text begin (3) Assist and support committees and organizations which promulgate, maintain
and update model codes or recommendations for uniform administrative procedures or
model rules and regulations for industrialized/modular buildings.
deleted text end

deleted text begin (4) Adopt and amend uniform administrative procedures and model rules and
regulations for industrialized/modular buildings.
deleted text end

deleted text begin (5) Make recommendations to compacting states for the purpose of bringing such
states' laws, codes, rules and regulations and administrative practices into conformance
with the uniform administrative procedures or the model rules and regulations for
industrialized/modular buildings, provided that such recommendations shall be made to
the appropriate state agency with due consideration for the desirability of uniformity
while also giving appropriate consideration to special circumstances which may justify
variations necessary to meet unique local conditions.
deleted text end

deleted text begin (6) Assist and support the compacting states with monitoring of plan review
programs and inspection programs, which will assure that the compacting states have the
benefit of uniform industrialized/modular building plan review and inspection programs.
deleted text end

deleted text begin (7) Assist and support organizations which train state and local government and
other program personnel in the use of uniform industrialized/modular building plan
review and inspection programs.
deleted text end

deleted text begin (8) Encourage and promote coordination of state regulatory action relating to
manufacturers, public or private inspection programs.
deleted text end

deleted text begin (9) Create and sell labels to be affixed to industrialized/modular building units,
constructed in or regulated by compacting states, where such labels will evidence
compliance with the model rules and regulations for industrialized/modular buildings,
enforced in accordance with the uniform administrative procedures. The commission may
use receipts from the sale of labels to help defray the operating expenses of the commission.
deleted text end

deleted text begin (10) Assist and support compacting states' investigations into and resolutions of
consumer complaints which relate to industrialized/modular buildings constructed in one
compacting state and sited in another compacting state.
deleted text end

deleted text begin (11) Borrow, accept or contract for the services of personnel from any state or the
United States or any subdivision or agency thereof, from any interstate agency, or from
any institution, association, person, firm or corporation.
deleted text end

deleted text begin (12) Accept for any of its purposes and functions under this compact any and all
donations, and grants of money, equipment, supplies, materials and services (conditional
or otherwise) from any state or the United States or any subdivision or agency thereof,
from any interstate agency, or from any institution, person, firm or corporation, and may
receive, utilize and dispose of the same.
deleted text end

deleted text begin (13) Establish and maintain such facilities as may be necessary for the transacting of
its business. The commission may acquire, hold, and convey real and personal property
and any interest therein.
deleted text end

deleted text begin (14) Enter into contracts and agreements, including but not limited to, interim
reciprocal agreements with noncompacting states.
deleted text end

deleted text begin ARTICLE IX
deleted text end

deleted text begin FINANCE
deleted text end

deleted text begin The commission shall submit to the governor or designated officer or officers of each
compacting state a budget of its estimated expenditures for such period as may be required
by the laws of that state for presentation to the legislature thereof.
deleted text end

deleted text begin Each of the commission's budgets of estimated expenditures shall contain specific
recommendations of the amounts to be appropriated by each of the compacting states.
The total amount of appropriations requested under any such budget shall be apportioned
among the compacting states as follows: one-half in equal shares; one-fourth among the
compacting states in accordance with the ratio of their populations to the total population
of the compacting states, based on the last decennial federal census; and one-fourth among
the compacting states in accordance with the ratio of industrialized/modular building units
manufactured in each state to the total of all units manufactured in all of the compacting
states.
deleted text end

deleted text begin The commission shall not pledge the credit of any compacting state. The commission
may meet any of its obligations in whole or in part with funds available to it by donations,
grants, or sale of labels: provided that the commission takes specific action setting aside
such funds prior to incurring any obligation to be met in whole or in part in such manner.
Except where the commission makes use of funds available to it by donations, grants or
sale of labels, the commission shall not incur any obligation prior to the allotment of funds
by the compacting states adequate to meet the same.
deleted text end

deleted text begin The commission shall keep accurate accounts of all receipts and disbursements.
The receipts and disbursements of the commission shall be subject to the audit and
accounting procedures established under its bylaws. All receipts and disbursements of
funds handled by the commission shall be audited yearly by a certified or licensed public
accountant and the report of the audit shall be included in and become part of the annual
report of the commission.
deleted text end

deleted text begin The accounts of the commission shall be open at any reasonable time for inspection
by duly constituted officers of the compacting states and any person authorized by the
commission.
deleted text end

deleted text begin Nothing contained in this article shall be construed to prevent commission
compliance relating to audit or inspection of accounts by or on behalf of any government
contributing to the support of the commission.
deleted text end

deleted text begin ARTICLE X
deleted text end

deleted text begin ENTRY INTO FORCE AND WITHDRAWAL
deleted text end

deleted text begin This compact shall enter into force when enacted into law by any three states.
Thereafter, this compact shall become effective as to any other state upon its enactment
thereof. The commission shall arrange for notification of all compacting states whenever
there is a new enactment of the compact.
deleted text end

deleted text begin Any compacting state may withdraw from this compact by enacting a statute
repealing the same. No withdrawal shall affect any liability already incurred by or
chargeable to a compacting state prior to the time of such withdrawal.
deleted text end

deleted text begin ARTICLE XI
deleted text end

deleted text begin RECIPROCITY
deleted text end

deleted text begin If the commission determines that the standards for industrialized/modular buildings
prescribed by statute, rule or regulation of compacting state are at least equal to the
commission's model rules and regulations for industrialized/modular buildings, and
that such state standards are enforced by the compacting state in accordance with the
uniform administrative procedures, industrialized/modular buildings approved by such a
compacting state shall be deemed to have been approved by all the compacting states for
placement in those states in accordance with procedures prescribed by the commission.
deleted text end

deleted text begin ARTICLE XII
deleted text end

deleted text begin EFFECT ON OTHER LAWS AND JURISDICTION
deleted text end

deleted text begin Nothing in this compact shall be construed to:
deleted text end

deleted text begin (1) Withdraw or limit the jurisdiction of any state or local court or administrative
officer or body with respect to any person, corporation or other entity or subject matter,
except to the extent that such jurisdiction pursuant to this compact, is expressly conferred
upon another agency or body.
deleted text end

deleted text begin (2) Supersede or limit the jurisdiction of any court of the United States.
deleted text end

deleted text begin ARTICLE XIII
deleted text end

deleted text begin CONSTRUCTION AND SEVERABILITY
deleted text end

deleted text begin This compact shall be liberally construed so as to effectuate the purposes thereof.
The provisions of this compact shall be severable and if any phrase, clause, sentence
or provision of this compact is declared to be contrary to the constitution of any state
or of the United States or the applicability thereof to any government, agency, person
or circumstances is held invalid, the validity of the remainder of this compact and the
applicability thereof to any government, agency, person or circumstance shall not be
affected thereby. If this compact shall be held contrary to the constitution of any state
participating therein, the compact shall remain in full force and effect as to the remaining
party states and in full force and effect as to the state affected as to all severable matters.
deleted text end

Sec. 10. new text begin REPEALER.
new text end

new text begin Subdivision 1. new text end

new text begin Construction codes and licensing. new text end

new text begin Minnesota Statutes 2014,
sections 326B.091, subdivision 6; 326B.106, subdivision 10; 326B.169; and 326B.181,
new text end new text begin
are repealed.
new text end

new text begin Subd. 2. new text end

new text begin Municipal rights, powers, duties. new text end

new text begin Minnesota Statutes 2014, sections
471.465; 471.466; 471.467; and 471.468,
new text end new text begin are repealed.
new text end

new text begin Subd. 3. new text end

new text begin State procurement. new text end

new text begin Minnesota Statutes 2014, section 16C.0745, new text end new text begin is
repealed.
new text end