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Key: (1) language to be deleted (2) new language

CHAPTER 140--H.F.No. 1208

An act

relating to state government; changing provisions for construction codes and licensing provisions; providing penalties and enforcement; modifying provisions relating to the limitation on certain actions; instructing the revisor to renumber certain statutory sections; appropriating money; providing appropriation reductions;

amending Minnesota Statutes 2006, sections 16B.04, subdivision 2; 16B.60, subdivisions 4, 7, 8, 11; 16B.61; 16B.615, subdivision 4; 16B.617; 16B.6175; 16B.63; 16B.64, by adding a subdivision; 16B.65; 16B.70; 16B.72; 16B.73; 16B.735; 16B.74, subdivisions 1, 2, by adding subdivisions; 16B.741; 16B.744; 16B.745, subdivisions 1, 4; 16B.747; 16B.748; 16B.76; 31.175; 103I.621, subdivision 3; 144.122; 144.99, subdivision 1; 175.16, subdivision 1; 178.01; 178.02; 178.03, subdivision 3; 178.041, subdivision 1; 183.38; 183.39, subdivision 1; 183.411, subdivision 2; 183.42; 183.45; 183.46; 183.465; 183.466; 183.48; 183.501; 183.505; 183.51; 183.54, subdivisions 1, 3; 183.545, by adding a subdivision; 183.56; 183.57, subdivisions 1, 2, 5, 6; 183.59; 183.60; 183.61, subdivisions 2, 4; 214.01, subdivision 3; 214.04, subdivisions 1, 3; 299F.011, subdivision 1; 325E.37, subdivision 6; 325E.58; 326.01, subdivisions 2, 3, 5, 6, 6a, 6b, 6c, 6e, 6f, 6g, 6j, 6k, 6l, 7, 8, by adding subdivisions; 326.242; 326.243; 326.244, subdivisions 1a, 2, 3, 4, 5, by adding a subdivision; 326.2441; 326.245; 326.248; 326.37; 326.38; 326.39; 326.40; 326.401; 326.405; 326.42; 326.46; 326.461, by adding subdivisions; 326.47; 326.48; 326.50; 326.57, subdivision 1; 326.58; 326.59; 326.60; 326.601; 326.61, subdivisions 1, 2, 3, 4; 326.62; 326.65; 326.83, subdivisions 6, 7, 11, 18, 19, 20; 326.84; 326.841; 326.842; 326.86; 326.87; 326.88; 326.89; 326.90, subdivision 1; 326.91, subdivision 1; 326.92; 326.921; 326.93; 326.94; 326.95, subdivision 2; 326.96; 326.97; 326.975, subdivision 1; 326.992; 327.20, subdivision 1; 327.205; 327.31, subdivisions 2, 3, 4, 7, 15, by adding a subdivision; 327.32, subdivision 8; 327.33, subdivisions 2, 6, 7; 327.34, subdivision 3; 327.35, subdivisions 1, 2; 327A.01, subdivision 2; 327B.01, subdivisions 4, 5, 7, 17, by adding subdivisions; 327B.04, subdivisions 1, 4, 6, 7, 8, by adding a subdivision; 327B.05, subdivision 1; 327B.10; 363A.40, subdivision 1; 462.357, subdivision 6a; 462A.07, subdivision 8; 471.465; 471.466; 471.467; 471.471; 541.051; proposing coding for new law in Minnesota Statutes, chapters 326; 327B; proposing coding for new law as Minnesota Statutes, chapter 326B; repealing Minnesota Statutes 2006, sections 16B.665; 16B.747, subdivision 4; 183.001; 183.02; 183.375, subdivisions 1, 2, 3, 4, 5, 6; 183.41, subdivisions 1, 2, 3, 4; 183.44, subdivisions 1, 2, 3; 183.52; 183.54, subdivision 2; 183.545, subdivision 9; 183.61, subdivisions 1, 3, 5, 6; 326.01, subdivisions 4, 6h, 9, 10, 11, 12, 13; 326.241; 326.242, subdivisions 4, 9, 9a, 9b, 9c, 9d, 9e, 9f, 9g, 9h, 9i, 9j, 9k, 10; 326.244, subdivision 6; 326.246; 326.2461; 326.247; 326.40, subdivision 4; 326.41; 326.44; 326.45; 326.47, subdivision 5; 326.51; 326.52; 326.521; 326.64; 326.83, subdivisions 3, 4, 12, 13; 326.85; 326.875; 326.91, subdivisions 2, 3, 4; 326.945; 326.975; 326.98; 327B.05, subdivisions 2, 3, 4, 5, 6; Minnesota Rules, parts 2809.0230; 2891.0010; 2891.0030; 3800.2650; 3800.3580; 3800.3590; 3800.3630; 3800.3750; 3800.3835; 4715.5600; 4715.5900; 4717.7000, subpart 1, item I; 5225.0880; 5225.8600, subparts 1, 2, 3, 4, 5, 6, 7, 8, 9; 5230.0010; 5230.0020; 5230.0040; 5230.0060, subpart 2; 5230.0100, subparts 1, 3, 4.

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

ARTICLE 1

REVISOR'S INSTRUCTION

Section 1.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin In Minnesota Rules, chapters 1300, 1301, 1305, 1306, 1307, 1309, 1311, 1315, 1346, 1350, 1360, and 7672, the revisor of statutes shall: new text end

new text begin (1) change the term "commissioner of administration" to "commissioner of labor and industry"; new text end

new text begin (2) change the term "Department of Administration" to "Department of Labor and Industry"; new text end

new text begin (3) change the term "Department of Administration's Building Codes and Standards Division" to "Department of Labor and Industry"; and new text end

new text begin (4) change the term "director of the Building Codes and Standards Division of the Department of Administration" to "individual appointed by the commissioner of labor and industry to administer the code." new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

ARTICLE 2

CONSTRUCTION CODES AND LICENSING

Section 1.

Minnesota Statutes 2006, section 299F.011, subdivision 1, is amended to read:

Subdivision 1.

new text begin State Fire Code rulemaking new text end authority.

The commissioner of deleted text begin public safety through the Division of Fire Marshal may promulgatedeleted text end new text begin labor and industry, consistent with the recommendations of the state fire marshal, shall adopt new text end a State Fire Code and make amendments thereto in accordance with the Administrative Procedure Act in chapter 14. The code and its amendments shall conform insofar as practicable to model fire codes generally accepted and in use throughout the United States, with consideration given to existing statewide specialty codes presently in use in the state of Minnesota. Statewide specialty codes and model codes with necessary modifications may be adopted by reference in accordance with section 14.07, subdivision 4.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 2.

new text begin [326B.01] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Scope. new text end

new text begin The definitions in this section apply to chapter 326B. new text end

new text begin Subd. 2. new text end

new text begin ASME. new text end

new text begin "ASME" means the American Society of Mechanical Engineers. new text end

new text begin Subd. 3. new text end

new text begin Commissioner. new text end

new text begin "Commissioner" means the commissioner of labor and industry or a duly designated representative of the commissioner who is either an employee of the Department of Labor and Industry or a person working under contract with the department. new text end

new text begin Subd. 4. new text end

new text begin Department. new text end

new text begin "Department" means the Department of Labor and Industry. new text end

new text begin Subd. 5. new text end

new text begin Day. new text end

new text begin "Day" means calendar day unless otherwise provided. new text end

new text begin Subd. 6. new text end

new text begin Individual. new text end

new text begin "Individual" means a human being. new text end

new text begin Subd. 7. new text end

new text begin Person. new text end

new text begin "Person" means any individual, limited liability company, corporation, partnership, incorporated or unincorporated association, sole proprietorship, joint stock company, or any other legal or commercial entity. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 3.

new text begin [326B.02] POWERS. new text end

new text begin Subdivision 1. new text end

new text begin Transfer of responsibilities. new text end

new text begin The responsibilities of the commissioner of administration relating to the state building code, sections 16B.59 to 16B.76; construction of low-cost manufactured home park storm shelters, section 327.205; manufactured homes, sections 327.31 to 327.36 and 327B.01 to 327B.12; and statutory warranties in connection with the sale of dwellings and home improvement work, chapter 327A, are transferred under section 15.039 to the commissioner of labor and industry as amended and recodified in this chapter. The responsibilities of the commissioner of health relating to the state plumbing code and licensing, sections 16B.61, 144.99 to 144.993, and 326.37 to 326.45, and water conditioning contractors and installers, sections 326.57 to 326.65, are transferred under section 15.039 to the commissioner of labor and industry as amended and recodified in this chapter except for responsibilities transferred to the Plumbing Board as expressly provided in this chapter. The responsibilities of the commissioner of commerce relating to residential contractors, residential remodelers, residential roofers, manufactured home installers, and the contractor's recovery fund under sections 45.027 to 45.23 and 326.83 to 326.992 are transferred under section 15.039 to the commissioner of labor and industry as amended and recodified in this chapter. The responsibilities of the Board of Electricity relating to the State Electrical Code and licensing, sections 16B.61 and 326.241 to 326.248, are transferred under section 15.039 to the commissioner of labor and industry as amended and recodified in this chapter except for responsibilities transferred to the Board of Electricity as expressly provided in this chapter. new text end

new text begin Subd. 2. new text end

new text begin Transfer of Authority. new text end

new text begin The commissioner of administration may not use the authority under section 16B.37 to modify the transfers of authority to the Plumbing Board, the Board of Electricity, or the Board of High Pressure Piping Systems under this chapter. new text end

new text begin Subd. 3. new text end

new text begin Definition of responsibilities. new text end

new text begin For purposes of subdivision 1, responsibilities include powers, duties, rights, obligations, and other authority imposed by law. new text end

new text begin Subd. 4. new text end

new text begin State fire marshal cooperation. new text end

new text begin The state fire marshal shall work with the commissioner to improve the delivery of services to the public through the coordination of services and utilization of technology. new text end

new text begin Subd. 5. new text end

new text begin General rulemaking authority. new text end

new text begin The commissioner may, under the rulemaking provisions of chapter 14 and as otherwise provided by this chapter, adopt, amend, suspend, and repeal rules relating to the commissioner's responsibilities under this chapter, except for rules for which the rulemaking authority is expressly transferred to the Plumbing Board, the Board of Electricity, or the Board of High Pressure Piping Systems. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 4.

new text begin [326B.04] DEPOSIT OF MONEY. new text end

new text begin Subdivision 1. new text end

new text begin Construction code fund. new text end

new text begin There is created in the state treasury a construction code fund as a special revenue fund for the purpose of administering this chapter, sections 327.31 to 327.36, and chapter 327B. All money collected under those sections, except penalties, is credited to the construction code fund unless otherwise specifically designated by law. Any interest or profit accruing from investment of these sums is credited to the construction code fund. All money collected in the construction code fund is appropriated to the commissioner to administer and enforce the provisions identified in this section. new text end

new text begin Unless otherwise provided by law, all penalties assessed under this chapter, section 327.35, and chapter 327B are credited to the assigned risk safety account established by section 79.253. new text end

new text begin Subd. 2. new text end

new text begin Deposits. new text end

new text begin All remaining balances as of June 30, 2007, in the state government special revenue fund and special revenue fund accounts maintained for the Building Codes and Standards Division, Board of Electricity, and plumbing and engineering unit are transferred to the construction code fund. Unless otherwise specifically designated by law: (1) all money collected under chapter 183 and sections 16B.59 to 16B.76; 144.122, paragraph (f); 181.723; 326.241 to 326.248; 326.37 to 326.521; 326.57 to 326.65; 326.83 to 326.992; 327.31 to 327.36; and 327B.01 to 327B.12, except penalties, is credited to the construction code fund; (2) all fees collected under section 45.23 in connection with continuing education for residential contractors, residential remodelers, and residential roofers are credited to the construction code fund; and (3) all penalties assessed under the sections set forth in clauses (1) and (2) and all penalties assessed under sections 144.99 to 144.993 in connection with any violation of sections 326.37 to 326.45 or 326.57 to 327.65 or the rules adopted under those sections are credited to the assigned risk safety account established by section 79.253. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 5.

new text begin [326B.06] BONDS. new text end

new text begin Bonds issued under this chapter are not state bonds or contracts for purposes of sections 8.05 and 16C.05, subdivision 2. new text end

Sec. 6.

new text begin [326B.075] COMMISSIONER NOT SUBJECT TO SUBPOENA. new text end

new text begin The commissioner shall not be subject to subpoena for purposes of providing expert testimony, except in an enforcement proceeding brought by the commissioner. new text end

Sec. 7.

new text begin APPOINTMENT AND FIRST MEETING OF BOARDS. new text end

new text begin The governor must make the appointments to the Board of Electricity, the Plumbing Board, and the Board of High Pressure Piping Systems no later than July 1, 2007. The commissioner of labor and industry must convene the first meeting of each board no later than September 1, 2007. new text end

ARTICLE 3

ENFORCEMENT

Section 1.

new text begin [326B.081] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Application. new text end

new text begin For purposes of sections 326B.081 to 326B.085, the terms defined in this section have the meanings given them. new text end

new text begin Subd. 2. new text end

new text begin Administrative order. new text end

new text begin "Administrative order" means an order issued under section 326B.082, subdivision 7. new text end

new text begin Subd. 3. new text end

new text begin Applicable law. new text end

new text begin "Applicable law" means the provisions of sections 326B.084 to 326B.998 and 327.31 to 327.36 and chapter 327B, and all rules, orders, stipulation agreements, settlements, compliance agreements, licenses, registrations, certificates, and permits adopted, issued, or enforced by the department under sections 326B.02 or 326B.084 to 326B.998 or 327.31 to 327.36 or chapter 327B. new text end

new text begin Subd. 4. new text end

new text begin Document or documents. new text end

new text begin "Document" or "documents" includes papers; books; records; memoranda; data; contracts; drawings; graphs; charts; photographs; digital, video, and audio recordings; records; accounts; files; statements; letters; e-mails; invoices; bills; notes; and calendars maintained in any form or manner. new text end

new text begin Subd. 5. new text end

new text begin Final. new text end

new text begin "Final" when used to describe any order issued under section 326B.082 means that: new text end

new text begin (1) no request for hearing in connection with the order was filed in the manner and within the time provided by section 326B.082; new text end

new text begin (2) all requests for hearing have been withdrawn; new text end

new text begin (3) an agreement that resolves the order has been signed by all the parties; or new text end

new text begin (4) after the filing of a request for hearing, an order has been issued by the commissioner, the Court of Appeals, or the Supreme Court, and all appeals have been pursued or forgone. new text end

new text begin Subd. 6. new text end

new text begin Licensing order. new text end

new text begin "Licensing order" means an order issued under section 326B.082, subdivision 12, paragraph (a). new text end

new text begin Subd. 7. new text end

new text begin Minimum qualifications. new text end

new text begin "Minimum qualifications" means the educational, experience, fee, examination, application, and other eligibility requirements that an applicant must meet in order to obtain a license, registration, certificate, or permit under the applicable law. For an applicant that is not an individual, the minimum qualifications include the requirement that an employee or other individual associated with the applicant hold a license. new text end

new text begin Subd. 8. new text end

new text begin Stop order. new text end

new text begin "Stop order" means an order issued under section 326B.082, subdivision 10. new text end

Sec. 2.

new text begin [326B.082] ENFORCEMENT. new text end

new text begin Subdivision 1. new text end

new text begin Remedies available. new text end

new text begin The commissioner may enforce all applicable law under this section. The commissioner may use any enforcement provision in this section, including the assessment of monetary penalties, against a person required to have a license, registration, certificate, or permit under the applicable law based on conduct that would provide grounds for action against a licensee, registrant, certificate holder, or permit holder under the applicable law. The use of an enforcement provision in this section shall not preclude the use of any other enforcement provision in this section or otherwise provided by law. new text end

new text begin Subd. 2. new text end

new text begin Access to information and property; subpoenas. new text end

new text begin (a) In order to carry out the purposes of the applicable law, the commissioner may: new text end

new text begin (1) administer oaths and affirmations, certify official acts, interview, question, take oral or written statements, and take depositions; new text end

new text begin (2) request, examine, take possession of, test, sample, measure, photograph, record, and copy any documents, apparatus, devices, equipment, or materials; new text end

new text begin (3) at a time and place indicated by the commissioner, request persons to appear before the commissioner to give testimony and produce documents, apparatus, devices, equipment, or materials; new text end

new text begin (4) issue subpoenas to compel persons to appear before the commissioner to give testimony and produce documents, apparatus, devices, equipment, or materials; and new text end

new text begin (5) with or without notice, enter without delay upon any property, public or private, for the purpose of taking any action authorized under this subdivision or the applicable law, including obtaining information, remedying violations, or conducting surveys, inspections, or investigations. new text end

new text begin (b) Persons requested by the commissioner to give testimony or produce documents, apparatus, devices, equipment, or materials shall respond within the time and in the manner specified by the commissioner. If no time to respond is specified in the request, then a response shall be submitted within 30 days of the commissioner's service of the request. new text end

new text begin (c) Upon the refusal or anticipated refusal of a property owner, lessee, property owner's representative, or lessee's representative to permit the commissioner's entry onto property as provided in paragraph (a), the commissioner may apply for an administrative inspection order in the Ramsey County District Court or, at the commissioner's discretion, in the district court in the county in which the property is located. The commissioner may anticipate that a property owner or lessee will refuse entry if the property owner, lessee, property owner's representative, or lessee's representative has refused to permit entry on a prior occasion or has informed the commissioner that entry will be refused. Upon showing of administrative probable cause by the commissioner, the district court shall issue an administrative inspection order that compels the property owner or lessee to permit the commissioner to enter the property for the purposes specified in paragraph (a). new text end

new text begin (d) Upon the application of the commissioner, a district court shall treat the failure of any person to obey a subpoena lawfully issued by the commissioner under this subdivision as a contempt of court. new text end

new text begin Subd. 3. new text end

new text begin Service. new text end

new text begin Unless otherwise specified, service of a document on a person under this section or section 326B.083 may be by mail, by personal service, or in accordance with any consent to service filed with the commissioner. Service by mail shall be accomplished in the manner provided in Minnesota Rules, part 1400.5550, subpart 2. Personal service shall be accomplished in the manner provided in Minnesota Rules, part 1400.5550, subpart 3. new text end

new text begin Subd. 4. new text end

new text begin Fax transmission. new text end

new text begin When this section or section 326B.083 permits a request for reconsideration or request for hearing to be served by fax on the commissioner, the fax shall not exceed 15 pages in length. The request shall be considered timely served if the fax is received by the commissioner, at the fax number identified by the commissioner in the order or notice of violation, no later than 4:30 p.m. central time on the last day permitted for faxing the request. Where the quality or authenticity of the faxed request is at issue, the commissioner may require the original request to be filed. Where the commissioner has not identified quality or authenticity of the faxed request as an issue and the request has been faxed in accordance with this subdivision, the person faxing the request does not need to file the original request with the commissioner. new text end

new text begin Subd. 5. new text end

new text begin Time computation. new text end

new text begin In computing any period of time prescribed or allowed by this section, the day of the act, event, or default from which the designated period of time begins to run shall not be included. The last day of the period so computed shall be included, unless it is a Saturday, Sunday, or legal holiday, in which event the period runs until the next day which is not a Saturday, Sunday, or legal holiday. new text end

new text begin Subd. 6. new text end

new text begin Notices of violation. new text end

new text begin (a) The commissioner may issue a notice of violation to any person who the commissioner determines has committed a violation of the applicable law. The notice of violation must state a summary of the facts that constitute the violation and the applicable law violated. The notice of violation may require the person to correct the violation. If correction is required, the notice of violation must state the deadline by which the violation must be corrected. new text end

new text begin (b) The commissioner shall issue the notice of violation by: new text end

new text begin (1) serving the notice of violation on the property owner or on the person who committed the violation; or new text end

new text begin (2) posting the notice of violation at the location where the violation occurred. new text end

new text begin (c) If the person to whom the commissioner has issued the notice of violation believes the notice was issued in error, then the person may request reconsideration of the parts of the notice that the person believes are in error. The request for reconsideration must be in writing and must be served on or faxed to the commissioner at the address or fax number specified in the notice of violation by the tenth day after the commissioner issued the notice of violation. The date on which a request for reconsideration is served by mail shall be the postmark date on the envelope in which the request for reconsideration is mailed. If the person does not serve or fax a written request for reconsideration or if the person's written request for reconsideration is not served on or faxed to the commissioner by the tenth day after the commissioner issued the notice of violation, the notice of violation shall become a final order of the commissioner and will not be subject to review by any court or agency. The request for reconsideration must: new text end

new text begin (1) specify which parts of the notice of violation the person believes are in error; new text end

new text begin (2) explain why the person believes the parts are in error; and new text end

new text begin (3) provide documentation to support the request for reconsideration. new text end

new text begin The commissioner shall respond in writing to requests for reconsideration made under this paragraph within 15 days after receiving the request. A request for reconsideration does not stay a requirement to correct a violation as set forth in the notice of violation. After reviewing the request for reconsideration, the commissioner may affirm, modify, or rescind the notice of violation. The commissioner's response to a request for reconsideration is final and shall not be reviewed by any court or agency. new text end

new text begin Subd. 7. new text end

new text begin Administrative orders; correction; assessment of monetary penalties. new text end

new text begin (a) The commissioner may issue an administrative order to any person who the commissioner determines has committed a violation of the applicable law. The commissioner shall issue the administrative order by serving the administrative order on the person. The administrative order may require the person to correct the violation, may require the person to cease and desist from committing the violation, and may assess monetary penalties. The commissioner shall follow the procedures in section 326B.083 when issuing administrative orders. Except as provided in paragraph (b), the commissioner may issue to each person a monetary penalty of up to $10,000 for each violation of applicable law committed by the person. The commissioner may order that part or all of the monetary penalty will be forgiven if the person to whom the order is issued demonstrates to the commissioner by the 31st day after the order is issued that the person has corrected the violation or has developed a correction plan acceptable to the commissioner. new text end

new text begin (b) The commissioner may issue an administrative order for failure to correct a violation by the deadline stated in a final administrative order issued under paragraph (a). Each day after the deadline during which the violation remains uncorrected is a separate violation for purposes of calculating the maximum monetary penalty amount. new text end

new text begin (c) Upon the application of the commissioner, a district court shall find the failure of any person to correct a violation as required by a final administrative order issued by the commissioner under this subdivision as a contempt of court. new text end

new text begin Subd. 8. new text end

new text begin Hearings related to administrative orders. new text end

new text begin (a) Within 30 days after the commissioner issues an administrative order or within 20 days after the commissioner issues the notice under section 326B.083, subdivision 3, paragraph (b), clause (3), the person to whom the administrative order or notice is issued may request an expedited hearing to review the commissioner's order or notice. The request for hearing must be in writing and must be served on or faxed to the commissioner at the address or fax number specified in the order or notice. If the person does not request a hearing or if the person's written request for hearing is not served on or faxed to the commissioner by the 30th day after the commissioner issues the administrative order or the 20th day after the commissioner issues the notice under section 326B.083, subdivision 3, paragraph (b), clause (3), the order will become a final order of the commissioner and will not be subject to review by any court or agency. The date on which a request for hearing is served by mail shall be the postmark date on the envelope in which the request for hearing is mailed. The hearing request must specifically state the reasons for seeking review of the order or notice. The person to whom the order or notice is issued and the commissioner are the parties to the expedited hearing. The commissioner must notify the person to whom the order or notice is issued of the time and place of the hearing at least 15 days before the hearing. The expedited hearing must be held within 45 days after a request for hearing has been served on the commissioner unless the parties agree to a later date. new text end

new text begin (b) All written arguments must be submitted within ten days following the close of the hearing. The hearing shall be conducted under Minnesota Rules, parts 1400.8510 to 1400.8612, as modified by this subdivision. The Office of Administrative Hearings may, in consultation with the agency, adopt rules specifically applicable to cases under this section. new text end

new text begin (c) The administrative law judge shall issue a report making findings of fact, conclusions of law, and a recommended order to the commissioner within 30 days following the close of the record. new text end

new text begin (d) If the administrative law judge makes a finding that the hearing was requested solely for purposes of delay or that the hearing request was frivolous, the commissioner may add to the amount of the penalty the costs charged to the department by the Office of Administrative Hearings for the hearing. new text end

new text begin (e) If a hearing has been held, the commissioner shall not issue a final order until at least five days after the date of the administrative law judge's report. Any person aggrieved by the administrative law judge's report may, within those five days, serve written comments to the commissioner on the report and the commissioner shall consider the comments. The commissioner's final order may be appealed in the manner provided in sections 14.63 to 14.69. new text end

new text begin Subd. 9. new text end

new text begin Injunctive relief. new text end

new text begin In addition to any other remedy provided by law, the commissioner may bring an action for injunctive relief in the Ramsey County District Court or, at the commissioner's discretion, in the district court in the county in which the commissioner has determined a violation of the applicable law has occurred or is about to occur to enjoin the violation. A temporary restraining order and other injunctive relief shall be granted by the district court if the court determines that a person has engaged in or is about to engage in an act, conduct, or practice constituting a violation of the applicable law. The commissioner shall not be required to show irreparable harm. new text end

new text begin Subd. 10. new text end

new text begin Stop orders. new text end

new text begin (a) If the commissioner determines based on an inspection or investigation that a person has violated or is about to violate the applicable law, the commissioner may issue to the person a stop order requiring the person to cease and desist from committing the violation. new text end

new text begin (b) If the commissioner determines that a condition exists on real property that violates the applicable law, the commissioner may issue a stop order to the owner or lessee of the real property to cease and desist from committing the violation and to correct the condition that is in violation. new text end

new text begin (c) The commissioner shall issue the stop work order by: new text end

new text begin (1) serving the order on the person who has committed or is about to commit the violation; new text end

new text begin (2) posting the order at the location where the violation was committed or is about to be committed or at the location where the violating condition exists; or new text end

new text begin (3) serving the order on any owner or lessee of the real property where the violating condition exists. new text end

new text begin (d) A stop order shall: new text end

new text begin (1) describe the act, conduct, or practice committed or about to be committed, or the condition, and include a reference to the applicable law that the act, conduct, practice, or condition violates or would violate; and new text end

new text begin (2) provide notice that any person aggrieved by the stop order may request a hearing as provided in paragraph (e). new text end

new text begin (e) Within 30 days after the commissioner issues a stop order, any person aggrieved by the order may request an expedited hearing to review the commissioner's action. The request for hearing must be made in writing and must be served on or faxed to the commissioner at the address or fax number specified in the order. If the person does not request a hearing or if the person's written request for hearing is not served on or faxed to the commissioner on or before the 30th day after the commissioner issued the stop order, the order will become a final order of the commissioner and will not be subject to review by any court or agency. The date on which a request for hearing is served by mail is the postmark date on the envelope in which the request for hearing is mailed. The hearing request must specifically state the reasons for seeking review of the order. The person who requested the hearing and the commissioner are the parties to the expedited hearing. The hearing shall be commenced within ten days after the commissioner receives the request for hearing. The hearing shall be conducted under Minnesota Rules, parts 1400.8510 to 1400.8612, as modified by this subdivision. The administrative law judge shall issue a report containing findings of fact, conclusions of law, and a recommended order within ten days after the conclusion of the hearing. Any party aggrieved by the administrative law judge's report shall have five days after the date of the administrative law judge's report to submit exceptions and argument to the commissioner. Within 15 days after receiving the administrative law judge's report, the commissioner shall issue an order vacating, modifying, or making permanent the stop order. The commissioner and the person requesting the hearing may by agreement lengthen any time periods described in this paragraph. The Office of Administrative Hearings may, in consultation with the agency, adopt rules specifically applicable to cases under this subdivision. new text end

new text begin (f) A stop order issued under this subdivision shall be in effect until it is modified or vacated by the commissioner or an appellate court. The administrative hearing provided by this subdivision and any appellate judicial review as provided in chapter 14 shall constitute the exclusive remedy for any person aggrieved by a stop order. new text end

new text begin (g) Upon the application of the commissioner, a district court shall find the failure of any person to comply with a final stop order lawfully issued by the commissioner under this subdivision as a contempt of court. new text end

new text begin Subd. 11. new text end

new text begin Licensing orders; grounds; reapplication. new text end

new text begin (a) The commissioner may deny an application for a permit, license, registration, or certificate if the applicant does not meet or fails to maintain the minimum qualifications for holding the permit, license, registration, or certificate, or has any unresolved violations or unpaid fees or monetary penalties related to the activity for which the permit, license, registration, or certificate has been applied for or was issued. new text end

new text begin (b) The commissioner may deny, suspend, limit, place conditions on, or revoke a person's permit, license, registration, or certificate, or censure the person holding the permit, license, registration, or certificate, if the commissioner finds that the person: new text end

new text begin (1) committed one or more violations of the applicable law; new text end

new text begin (2) submitted false or misleading information to the state in connection with activities for which the permit, license, registration, or certificate was issued, or in connection with the application for the permit, license, registration, or certificate; new text end

new text begin (3) allowed the alteration or use of the person's own permit, license, registration, or certificate by another person; new text end

new text begin (4) within the previous five years, was convicted of a crime in connection with activities for which the permit, license, registration, or certificate was issued; new text end

new text begin (5) violated a final administrative order issued under subdivision 7 or a final stop order issued under subdivision 10, or injunctive relief issued under subdivision 9; new text end

new text begin (6) failed to cooperate with a commissioner's request to give testimony, to produce documents, things, apparatus, devices, equipment, or materials, or to access property under subdivision 2; new text end

new text begin (7) retaliated in any manner against any employee or person who is questioned by, cooperates with, or provides information to the commissioner or an employee or agent authorized by the commissioner who seeks access to property or things under subdivision 2; new text end

new text begin (8) engaged in any fraudulent, deceptive, or dishonest act or practice; or new text end

new text begin (9) performed work in connection with the permit, license, registration, or certificate or conducted the person's affairs in a manner that demonstrates incompetence, untrustworthiness, or financial irresponsibility. new text end

new text begin (c) If the commissioner revokes a person's permit, license, registration, or certificate under paragraph (b), the person is prohibited from reapplying for the same type of permit, license, registration, or certificate for at least two years after the effective date of the revocation. The commissioner may, as a condition of reapplication, require the person to obtain a bond or comply with additional reasonable conditions the commissioner considers necessary to protect the public. new text end

new text begin (d) If a permit, license, registration, or certificate expires, or is surrendered, withdrawn, or terminated, or otherwise becomes ineffective, the commissioner may institute a proceeding under this subdivision within two years after the permit, license, registration, or certificate was last effective and enter a revocation or suspension order as of the last date on which the permit, license, registration, or certificate was in effect. new text end

new text begin Subd. 12. new text end

new text begin Issuance of licensing orders; hearings related to licensing orders. new text end

new text begin (a) If the commissioner determines that a permit, license, registration, or certificate should be conditioned, limited, suspended, revoked, or denied under subdivision 11, or that the permit holder, licensee, registrant, or certificate holder should be censured under subdivision 11, then the commissioner shall issue to the person an order denying, conditioning, limiting, suspending, or revoking the person's permit, license, registration, or certificate, or censuring the permit holder, licensee, registrant, or certificate holder. new text end

new text begin (b) Any order issued under paragraph (a) may include an assessment of monetary penalties and may require the person to cease and desist from committing the violation or committing the act, conduct, or practice set out in subdivision 11, paragraph (b). The monetary penalty may be up to $10,000 for each violation or act, conduct, or practice committed by the person. The procedures in section 326B.083 must be followed when issuing orders under paragraph (a). new text end

new text begin (c) The permit holder, licensee, registrant, certificate holder, or applicant to whom the commissioner issues an order under paragraph (a) shall have 30 days after service of the order to request a hearing. The request for hearing must be in writing and must be served on or faxed to the commissioner at the address or fax number specified in the order by the 30th day after service of the order. If the person does not request a hearing or if the person's written request for hearing is not served on or faxed to the commissioner by the 30th day after service of the order, the order shall become a final order of the commissioner and will not be subject to review by any court or agency. The date on which a request for hearing is served by mail shall be the postmark date on the envelope in which the request for hearing is mailed. If the person submits to the commissioner a timely request for hearing, a contested case hearing shall be held in accordance with chapter 14. new text end

new text begin (d) Paragraph (c) does not apply to summary suspension under subdivision 13. new text end

new text begin Subd. 13. new text end

new text begin Summary suspension. new text end

new text begin In any case where the commissioner has issued an order to revoke or suspend a license, registration, certificate, or permit under subdivision 12, the commissioner may summarily suspend the person's permit, license, registration, or certificate before the order becomes final. The commissioner shall issue a summary suspension order when the safety of life or property is threatened or to prevent the commission of fraudulent, deceptive, untrustworthy, or dishonest acts against the public. The summary suspension shall not affect the deadline for submitting a request for hearing under subdivision 12. If the commissioner summarily suspends a person's permit, license, registration, or certificate, a timely request for hearing submitted under subdivision 12 shall also be considered a timely request for hearing on continuation of the summary suspension. If the commissioner summarily suspends a person's permit, license, registration, or certificate under this subdivision and the person submits a timely request for a hearing, then a hearing on continuation of the summary suspension must be held within ten days after the commissioner receives the request for hearing unless the parties agree to a later date. new text end

new text begin Subd. 14. new text end

new text begin Plan for assessing penalties. new text end

new text begin The commissioner may prepare a plan for assessing penalties in orders issued under subdivision 7 or 12. The commissioner shall provide a 30-day period for public comment on any such plan. Penalties assessed by the commissioner in accordance with the plan shall be presumed reasonable. new text end

new text begin Subd. 15. new text end

new text begin Effect on other laws. new text end

new text begin Nothing in this section shall be construed to limit the application of other state or federal laws, including specifically but not exclusively section 270C.72, that require suspension of, revocation of, denial of, or refusal to renew a permit, license, registration, or certificate issued by the commissioner. new text end

new text begin Subd. 16. new text end

new text begin Misdemeanor penalties. new text end

new text begin Except as otherwise provided by law, a person who violates an applicable law is guilty of a misdemeanor. new text end

new text begin Subd. 17. new text end

new text begin Revocation and suspension of license. new text end

new text begin If a person fails to pay a penalty owed under this section or section 326B.083, the commissioner may revoke, suspend, or deny any or all licenses, permits, certificates, and registrations issued by the department. new text end

Sec. 3.

new text begin [326B.083] AMOUNT OF PENALTY; CONTENTS OF ADMINISTRATIVE AND LICENSING ORDERS. new text end

new text begin Subdivision 1. new text end

new text begin Amount of penalty; considerations. new text end

new text begin In determining the amount of a penalty assessed under section 326B.082, subdivision 7 or 12, the commissioner shall consider the factors described in section 14.045, subdivision 3. new text end

new text begin Subd. 2. new text end

new text begin Contents of administrative order and licensing order. new text end

new text begin (a) An administrative order and a licensing order must include: new text end

new text begin (1) a summary of the facts that constitute the violation or violations; new text end

new text begin (2) a reference to the applicable law that has been violated; and new text end

new text begin (3) a statement of the person's right to request a hearing. new text end

new text begin (b) An administrative order may include a requirement that the violation be corrected. If the order includes a requirement that the violation be corrected, then the order must include, in addition to any statements required under paragraphs (a) and (c), the deadline by which the violation must be corrected. new text end

new text begin (c) An administrative order or a licensing order may assess monetary penalties. If the order assesses monetary penalties, then the order must include, in addition to any statements required under paragraphs (a) and (b): new text end

new text begin (1) a statement of the amount of the monetary penalty imposed; new text end

new text begin (2) a statement that, when the order becomes final, the commissioner may file and enforce the unpaid portion of a penalty as a judgment in district court without further notice or additional proceedings; and new text end

new text begin (3) if the order is an administrative order, a statement of the amount of the penalty, if any, that will be forgiven if the person who is subject to the order demonstrates to the commissioner by the 31st day after the order is served that the person has corrected the violation or has developed a correction plan acceptable to the commissioner. new text end

new text begin Subd. 3. new text end

new text begin Penalty. new text end

new text begin (a) If an administrative order includes a penalty assessment, then the penalty is due and payable on the date the administrative order becomes final unless some or all of the penalty is forgivable. If a licensing order includes a penalty assessment, then the penalty is due and payable on the date the licensing order becomes final. new text end

new text begin (b) This paragraph applies if an administrative order includes a penalty assessment and all or a portion of the penalty is forgivable. new text end

new text begin (1) If any portion of the penalty is not forgivable, that portion of the penalty is due and payable ten days after the date the administrative order becomes final. new text end

new text begin (2) The commissioner shall forgive the forgivable portion of the penalty if the commissioner determines that the violation has been corrected within the time set by the order or the person to whom the order was issued has developed a correction plan acceptable to the commissioner within the time set by the order. new text end

new text begin (3) If the commissioner determines that the person to whom the order was issued has failed to correct the violation within the time set by the order or has failed to develop a correction plan acceptable to the commissioner within the time set by the order, then the forgivable portion of the penalty is due and payable ten days after the commissioner serves notice of the determination on the person or on the date the administrative order becomes final, whichever is later. new text end

new text begin (c) This paragraph applies if an administrative order or a licensing order includes a penalty assessment and if the person subject to the order has requested a hearing. The administrative law judge may not recommend a change in the amount of the penalty if the penalty was assessed in accordance with a plan prepared under section 326B.082, subdivision 14. If the commissioner has not prepared a plan under section 326B.082, subdivision 14, then the administrative law judge may not recommend a change in the amount of the penalty unless the administrative law judge determines that, based on the factors in section 14.045, subdivision 3, the amount of the penalty is unreasonable. new text end

new text begin (d) The assessment of a penalty does not preclude the use of other enforcement provisions, under which penalties are not assessed, in connection with the violation for which the penalty was assessed. new text end

Sec. 4.

new text begin [326B.084] FALSE INFORMATION. new text end

new text begin A person subject to any of the requirements in the applicable law may not make a false material statement, representation, or certification in; omit material information from; or alter, conceal, or fail to file or maintain a notice, application, record, report, plan, or other document required under the applicable law. new text end

Sec. 5.

new text begin [326B.085] RECOVERY OF LITIGATION COSTS AND EXPENSES. new text end

new text begin In any action brought by the commissioner for enforcement of an order issued under section 326B.082 for injunctive relief, or to compel performance pursuant to the applicable law, if the state finally prevails, the state, in addition to other penalties provided by law, may be allowed an amount determined by the court to be the reasonable value of all or part of the litigation expenses incurred by the state. In determining the amount of the litigation expenses to be allowed, the court shall give consideration to the economic circumstances of the defendant. new text end

Sec. 6.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin The revisor of statutes shall renumber Minnesota Statutes, section 299F.011, subdivision 1, as Minnesota Statutes, section 326B.02, subdivision 5. new text end

ARTICLE 4

BUILDING CODE

Section 1.

Minnesota Statutes 2006, section 16B.04, subdivision 2, is amended to read:

Subd. 2.

Powers and duties, general.

Subject to other provisions of this chapter, the commissioner is authorized to:

(1) supervise, control, review, and approve all state contracts and purchasing;

(2) provide agencies with supplies and equipment and operate all central store or supply rooms serving more than one agency;

(3) investigate and study the management and organization of agencies, and reorganize them when necessary to ensure their effective and efficient operation;

(4) manage and control state property, real and personal;

(5) maintain and operate all state buildings, as described in section 16B.24, subdivision 1;

(6) supervise, control, review, and approve all capital improvements to state buildings and the capitol building and grounds;

(7) provide central duplicating, printing, and mail facilities;

(8) oversee publication of official documents and provide for their sale;

(9) manage and operate parking facilities for state employees and a central motor pool for travel on state business;new text begin andnew text end

deleted text begin (10) establish and administer a State Building Code; and deleted text end

deleted text begin (11)deleted text end new text begin (10)new text end provide rental space within the capitol complex for a private day care center for children of state employees. The commissioner shall contract for services as provided in this chapter. The commissioner shall report back to the legislature by October 1, 1984, with the recommendation to implement the private day care operation.

Sec. 2.

Minnesota Statutes 2006, section 16B.60, subdivision 4, is amended to read:

Subd. 4.

Code.

"Code" means the State Building Code adopted by the commissioner new text begin of labor and industry in consultation with each industry board and the Construction Codes Advisory Council new text end in accordance with sections 16B.59 to 16B.75.

Sec. 3.

Minnesota Statutes 2006, section 16B.60, subdivision 7, is amended to read:

Subd. 7.

deleted text begin Physically disableddeleted text end new text begin Person with a disabilitynew text end .

deleted text begin "Physically disabled" means having sight disabilities, hearing disabilities, disabilities of incoordination, disabilities of aging, or other disabilities that significantly reduce mobility, flexibility, coordination, or perceptiveness. deleted text end new text begin "Person with a disability" or "persons with disabilities" includes people who have a vision disability, a hearing disability, a disability of coordination, a disability of aging, or any other disability that significantly reduces mobility, flexibility, coordination, or perceptiveness. new text end

Sec. 4.

Minnesota Statutes 2006, section 16B.60, subdivision 8, is amended to read:

Subd. 8.

Remodeling.

"Remodeling" means deliberate reconstruction of an existing public building in whole or in part in order to bring it deleted text begin up to date indeleted text end new text begin intonew text end conformity with present uses of the structure and to which other rules on the upgrading of health and safety provisions are applicable.

Sec. 5.

Minnesota Statutes 2006, section 16B.60, subdivision 11, is amended to read:

Subd. 11.

State licensed deleted text begin facilitiesdeleted text end new text begin facilitynew text end .

"State licensed deleted text begin facilitiesdeleted text end new text begin facilitynew text end " means a building and its grounds that are licensed by the state as a hospital, nursing home, supervised living facility, free-standing outpatient surgical center, deleted text begin ordeleted text end correctional facilitynew text begin , boarding care home, or residential hospicenew text end .

Sec. 6.

Minnesota Statutes 2006, section 16B.61, is amended to read:

16B.61 GENERAL POWERS OF COMMISSIONER new text begin OF LABOR AND INDUSTRYnew text end .

Subdivision 1.

Adoption of code.

Subject to sections 16B.59 to 16B.75, the commissioner shall by rule new text begin and in consultation with the Construction Codes Advisory Council new text end establish a code of standards for the construction, reconstruction, alteration, and repair of buildings, governing matters of structural materials, design and construction, fire protection, health, sanitation, and safety, including design and construction standards regarding heat loss control, illumination, and climate control. The code must also include duties and responsibilities for code administration, including procedures for administrative action, penalties, and suspension and revocation of certification. The code must conform insofar as practicable to model building codes generally accepted and in use throughout the United States, including a code for building conservation. In the preparation of the code, consideration must be given to the existing statewide specialty codes presently in use in the state. Model codes with necessary modifications and statewide specialty codes may be adopted by reference. The code must be based on the application of scientific principles, approved tests, and professional judgment. To the extent possible, the code must be adopted in terms of desired results instead of the means of achieving those results, avoiding wherever possible the incorporation of specifications of particular methods or materials. To that end the code must encourage the use of new methods and new materials. Except as otherwise provided in sections 16B.59 to 16B.75, the commissioner shall administer and enforce the provisions of those sections.

The commissioner shall develop rules addressing the plan review fee assessed to similar buildings without significant modifications including provisions for use of building systems as specified in the industrial/modular program specified in section 16B.75. Additional plan review fees associated with similar plans must be based on costs commensurate with the direct and indirect costs of the service.

Subd. 1a.

Administration by commissioner.

The commissioner shall administer and enforce the State Building Code as a municipality with respect to public buildings and state licensed facilities in the state. The commissioner shall establish appropriate permit, plan review, deleted text begin anddeleted text end inspection feesnew text begin , and surchargesnew text end for public buildings and state licensed facilities. deleted text begin Fees and surcharges for public buildings and state licensed facilities must be remitted to the commissioner, who shall deposit them in the state treasury for credit to the special revenue fund.deleted text end

Municipalities other than the state having an agreement with the commissioner for code administration and enforcement service for public buildings and state licensed facilities shall charge their customary fees, including surcharge, to be paid directly to the jurisdiction by the applicant seeking authorization to construct a public building or a state licensed facility. The commissioner shall sign an agreement with a municipality other than the state for plan review, code administration, and code enforcement service for public buildings and state licensed facilities in the jurisdiction if the building officials of the municipality meet the requirements of section 16B.65 and wish to provide those services and if the commissioner determines that the municipality has enough adequately trained and qualified building inspectors to provide those services for the construction project.

The commissioner may direct the state building official to assist a community that has been affected by a natural disaster with building evaluation and other activities related to building codes.

Administration and enforcement in a municipality under this section must apply any optional provisions of the State Building Code adopted by the municipality. A municipality adopting any optional code provision shall notify the state building official within 30 days of its adoption.

The commissioner shall administer and enforce the provisions of the code relating to elevators statewide, except as provided for under section 16B.747, subdivision 3.

Subd. 2.

Enforcement by certain bodies.

Under the direction and supervision of the commissioner, the provisions of the code relating to electrical installations deleted text begin shall be enforced by the State Board of Electricity, pursuant to the Minnesota Electrical Act, the provisions relating todeleted text end new text begin ,new text end plumbing deleted text begin shall be enforced by the commissioner of health, the provisions relating todeleted text end new text begin , boilers,new text end high pressure steam piping and appurtenances, new text begin and new text end ammonia new text begin refrigeration new text end pipingdeleted text begin , and bioprocess pipingdeleted text end shall be enforced by the Department of Labor and Industry. Fees for inspections conducted by the deleted text begin State Board of Electricitydeleted text end new text begin commissionernew text end shall be paid in accordance with the rules of the deleted text begin State Board of Electricitydeleted text end new text begin departmentnew text end . Under direction of the commissioner of public safety, the state fire marshal shall enforce the State Fire Code as provided in chapter 299F. The commissionerdeleted text begin , in consultation with the commissioner of labor and industry,deleted text end shall adopt amendments to the mechanical code portion of the State Building Code to implement standards for process piping.

Subd. 3.

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.

deleted text begin (e)deleted text end deleted text begin Child care facilities in churches; vertical access.deleted text end deleted text begin Until August 1, 1996, an organization providing child care in an existing church building which is exempt from taxation under section 272.02, subdivision 6, shall have five years from the date of initial licensure under chapter 245A to provide interior vertical access, such as an elevator, to persons with disabilities as required by the State Building Code. To obtain the extension, the organization providing child care must secure a $2,500 performance bond with the commissioner of human services to ensure that interior vertical access is achieved by the agreed upon date. deleted text end

deleted text begin (f)deleted text end new text begin (e)new text end Family and group family day care. Until the legislature enacts legislation specifying appropriate standards, the definition of deleted text begin Group R-3 occupancies indeleted text end new text begin dwellings constructed in accordance with the International Residential Code as adopted as part ofnew text end 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.

deleted text begin (g)deleted text end new text begin (f)new text end 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.

deleted text begin (h)deleted text end new text begin (g)new text end 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.

deleted text begin (i)deleted text end new text begin (h)new text end 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 326.371 provided that, where available, an energy audit is conducted on the relocated building.

deleted text begin (j)deleted text end new text begin (i)new text end 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 (k)deleted text end new text begin (j)new text end 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 begin (l)deleted text end new text begin (k)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 (m)deleted text end new text begin (l)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 326.47, subdivision 1. Permits for bioprocess piping shall be according to section 326.47 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.

Subd. 3a.

Recycling space.

The code must require suitable space for the separation, collection, and temporary storage of recyclable materials within or adjacent to new or significantly remodeled structures that contain 1,000 square feet or more. Residential structures with fewer than four dwelling units are exempt from this subdivision.

Subd. 4.

Review of plans for public buildings and state licensed facilities.

Construction or remodeling may not begin on any public building or state licensed facility until the plans and specifications have been approved by the commissioner or municipality under contractual agreement pursuant to subdivision 1a. The plans and specifications must be submitted for review, and within 30 days after receipt of the plans and specifications, the commissioner or municipality under contractual agreement shall notify the submitting authority of any corrections.

Subd. 5.

Accessibility.

(a) Public buildings. The code must provide for making public buildings constructed or remodeled after July 1, 1963, accessible to and usable by deleted text begin physically disableddeleted text end personsnew text begin with disabilitiesnew text end , although this does not require the remodeling of public buildings solely to provide accessibility and usability to deleted text begin the physically disableddeleted text end new text begin persons with disabilitiesnew text end when remodeling would not otherwise be undertaken.

(b) Leased space. No agency of the state may lease space for agency operations in a non-state-owned building unless the building satisfies the requirements of the State Building Code for accessibility by deleted text begin the physically disableddeleted text end new text begin persons with disabilitiesnew text end , or is eligible to display the state symbol of accessibility. This limitation applies to leases of 30 days or more for space of at least 1,000 square feet.

(c) Meetings or conferences. Meetings or conferences for the public or for state employees which are sponsored in whole or in part by a state agency must be held in buildings that meet the State Building Code requirements relating to accessibility for deleted text begin physically disableddeleted text end personsnew text begin with disabilitiesnew text end . This subdivision does not apply to any classes, seminars, or training programs offered by the Minnesota State Colleges and Universities or the University of Minnesota. Meetings or conferences intended for specific individuals none of whom need the accessibility features for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end specified in the State Building Code need not comply with this subdivision unless a deleted text begin disableddeleted text end personnew text begin with a disabilitynew text end gives reasonable advance notice of an intent to attend the meeting or conference. When sign language interpreters will be provided, meetings or conference sites must be chosen which allow hearing impaired participants to see their signing clearly.

(d) Exemptions. The commissioner may grant an exemption from the requirements of paragraphs (b) and (c) in advance if an agency has demonstrated that reasonable efforts were made to secure facilities which complied with those requirements and if the selected facilities are the best available for access for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end . Exemptions shall be granted using criteria developed by the commissioner in consultation with the Council on Disability.

(e) Symbol indicating access. The wheelchair symbol adopted by Rehabilitation International's Eleventh World Congress is the state symbol indicating buildings, facilities, and grounds which are accessible to and usable by deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end . In the interests of uniformity, this symbol is the sole symbol for display in or on all public or private buildings, facilities, and grounds which qualify for its use. The secretary of state shall obtain the symbol and keep it on file. No building, facility, or grounds may display the symbol unless it is in compliance with the rules adopted by the commissioner under subdivision 1. Before any rules are proposed for adoption under this paragraph, the commissioner shall consult with the Council on Disability. Rules adopted under this paragraph must be enforced in the same way as other accessibility rules of the State Building Code.

(f) Municipal enforcement. Municipalities which have not adopted the State Building Code may enforce the building code requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end by either entering into a joint powers agreement for enforcement with another municipality which has adopted the State Building Code; or contracting for enforcement with an individual certified under section 16B.65, subdivision 3, to enforce the State Building Code.

deleted text begin (g)deleted text end deleted text begin Equipment allowed.deleted text end deleted text begin The code must allow the use of vertical wheelchair lifts and inclined stairway wheelchair lifts in public buildings. An inclined stairway wheelchair lift must be equipped with light or sound signaling device for use during operation of the lift. The stairway or ramp shall be marked in a bright color that clearly indicates the outside edge of the lift when in operation. The code shall not require a guardrail between the lift and the stairway or ramp. Compliance with this provision by itself does not mean other disability accessibility requirements have been met. deleted text end

Subd. 6.

Energy efficiency.

The code must provide for building new low-income housing in accordance with energy efficiency standards adopted under subdivision 1. For purposes of this subdivision, low-income housing means residential housing built for low-income persons and families under a program of a housing and redevelopment authority, the Minnesota Housing Finance Agency, or another entity receiving money from the state to construct such housing.

Subd. 7.

Access for the hearing-impaired.

All rooms in the State Office Building and in the Capitol that are used by the house of representatives or the senate for legislative hearings, and the public galleries overlooking the house and senate chambers, must be fitted with assistive listening devices for the hearing-impaired. Each hearing room and the public galleries must have a sufficient number of receivers available so that hearing-impaired members of the public may participate in the committee hearings and public sessions of the house and senate.

Subd. 8.

Separate metering for electric service.

The standards concerning heat loss, illumination, and climate control adopted pursuant to subdivision 1, shall require that electrical service to individual dwelling units in buildings containing two or more units be separately metered, with individual metering readily accessible to the individual occupants. The standards authorized by this subdivision shall only apply to buildings constructed after the effective date of the amended standards. Buildings intended for occupancy primarily by persons who are 62 years of age or older or disabled, or which contain a majority of units not equipped with complete kitchen facilities, shall be exempt from the provisions of this subdivision.

Sec. 7.

Minnesota Statutes 2006, section 16B.615, subdivision 4, is amended to read:

Subd. 4.

Rules.

The commissioner deleted text begin of administrationdeleted text end shall adopt rules to implement this section. The rules may provide for a greater ratio of women's to men's facilities for certain types of occupancies than is required in subdivision 3, and may apply the required ratios to categories of occupancies other than those defined as places of public accommodation under subdivision 1.

Sec. 8.

Minnesota Statutes 2006, section 16B.617, is amended to read:

16B.617 ENERGY CODE RULES REMAIN IN EFFECT.

(a) Notwithstanding Laws 1999, chapter 135, section 9, Minnesota Rules, chapter 7670, does not expire on April 15, 2000, but remains in effect for residential buildings not covered by Minnesota Rules, chapter 7676. The provisions of Minnesota Rules, chapter 7670, that apply to category 1 buildings govern new, detached single one- and two-family R-3 occupancy residential buildings. All new, detached single one- and two-family R-3 occupancy buildings subject to Minnesota Rules, chapter 7670, submitting an application for a building permit after April 14, 2000, must meet the requirements for category 1 buildings, as set out in Minnesota Rules, chapter 7670.

(b) As an alternative to compliance with paragraph (a), compliance with Minnesota Rules, chapters 7672 and 7674, is optional for a contractor or owner.

deleted text begin (c) The Department of Administration, Building Codes and Standards Division (BCSD), shall issue a report to the legislature by December 1, 2001, addressing the cost benefit, as well as air quality, building durability, moisture, enforcement, enforceability, and liability regarding implementation of Minnesota Rules, chapters 7670, 7672, and 7674. The report must include a feasibility study of establishing new criteria for category 2 detached single one- and two-family R-3 occupancy buildings that are energy efficient, enforceable, and provide sufficient nonmechanical ventilation or permeability for a home to maintain good air quality, building durability, and adequate release of moisture. deleted text end

deleted text begin (d)deleted text end new text begin (c) new text end This section expires when the commissioner deleted text begin of deleted text end deleted text begin administrationdeleted text end adopts a new energy code in accordance with Laws 2002, chapter 317, section 4.

Sec. 9.

Minnesota Statutes 2006, section 16B.6175, is amended to read:

16B.6175 ENERGY CODE.

Notwithstanding section 16B.617, the commissioner deleted text begin of administrationdeleted text end , in consultation with the Construction Codes Advisory Council, shall explore and review the availability and appropriateness of any model energy codes related to the construction of single one- and two-family residential buildings. In consultation with the council, the commissioner shall take steps to adopt the chosen code with all necessary and appropriate amendments.

The commissioner may not adopt all or part of a model energy code relating to the construction of residential buildings without research and analysis that addresses, at a minimum, air quality, building durability, moisture, enforcement, enforceability cost benefit, and liability. The research and analysis must be completed in cooperation with practitioners in residential construction and building science and an affirmative recommendation by the Construction Codes Advisory Council.

Sec. 10.

Minnesota Statutes 2006, section 16B.63, is amended to read:

16B.63 STATE BUILDING OFFICIAL.

Subdivision 1.

Appointment.

The commissioner shall appoint a state building official who under the direction and supervision of the commissioner shall administer the code.

Subd. 2.

Qualifications.

To be eligible for appointment as state building official an individual must be competent in the field of administration and shall have the experience in building design, construction, and supervision which the commissioner considers necessary.

Subd. 3.

Powers and duties.

The state building official may, with the approval of the commissioner, employ personnel necessary to carry out the inspector's function under sections 16B.59 to 16B.75. The state building official shall distribute without charge deleted text begin one copydeleted text end new text begin a printed or electronic versionnew text end of the code to each municipality within the state. deleted text begin Additional copiesdeleted text end new text begin A printed or electronic version of the codenew text end shall be made available to municipalities and interested parties for a fee prescribed by the commissioner. The state building official shall perform other duties in administering the code assigned by the commissioner.

Subd. 4.

Accessibility specialists.

The state building official shall, with the approval of the commissioner, assign three department employees to assist municipalities in complying with section 16B.61, subdivision 5.

Subd. 5.

Interpretative authority.

To achieve uniform and consistent application of the State Building Code, the deleted text begin state building officialdeleted text end new text begin commissionernew text end has final interpretative authority applicable to all codes adopted as part of the State Building Code except for the Plumbing Code and the Electrical Code deleted text begin when enforced by the State Board of Electricitydeleted text end . A final interpretative committee composed of seven members, consisting of three building officials, two inspectors from the affected field, and two construction industry representatives, shall review requests for final interpretations relating to that fielddeleted text begin . A requestdeleted text end new text begin for which the commissioner has final interpretative authority. The Plumbing Board has final interpretative authority applicable to the State Plumbing Code and shall review requests for final interpretation made to the board that relate to the State Plumbing Code. The Board of Electricity has final interpretative authority applicable to the State Electrical Code and shall review requests for final interpretation made to the board that relate to the State Electrical Code. The Board of High Pressure Piping Systems has final interpretative authority applicable to the State High Pressure Piping Code and shall review requests for final interpretation made to the board that relate to the State High Pressure Piping Code. Except for requests for final interpretations that relate to the State Plumbing Code, the State Electrical Code, and the State High Pressure Piping Code, requests new text end for final interpretation must come from a local or state level building code board of appeals. The deleted text begin state building officialdeleted text end new text begin commissionernew text end must establish procedures for membership of the new text begin final new text end interpretative committees. The appropriate committee shall review the request and make a recommendation to the deleted text begin state building officialdeleted text end new text begin commissionernew text end for the final interpretation within 30 days of the request. The deleted text begin state building officialdeleted text end new text begin commissionernew text end must issue deleted text begin andeleted text end new text begin finalnew text end interpretation within ten business days deleted text begin fromdeleted text end new text begin after the receipt of new text end the recommendation from the deleted text begin reviewdeleted text end new text begin final interpretivenew text end committee. deleted text begin Adeleted text end new text begin The Plumbing Board, the Board of Electricity, or the Board of High Pressure Piping Systems shall review a request and issue a final interpretation within 30 days of the request. Any person aggrieved by anew text end final interpretation may deleted text begin be appealeddeleted text end new text begin appeal the interpretation new text end within 30 days of its issuance deleted text begin todeleted text end new text begin bynew text end the commissioner deleted text begin under section 16B.67deleted text end new text begin or the board in accordance with chapter 14new text end . The final interpretation must be published within ten business days of its issuance and made available to the public. Municipal building officials shall administer all final interpretations issued by the deleted text begin state building officialdeleted text end new text begin commissioner, the Plumbing Board, the Board of Electricity, or the Board of High Pressure Piping Systemsnew text end until the final interpretations are considered new text begin by the commissioner, the Plumbing Board, the Board of Electricity, or the Board of High Pressure Piping Systems new text end for adoption as part of the State Building Codenew text begin , State Plumbing Code, State Electrical Code, and the State High Pressure Piping Codenew text end .

Sec. 11.

Minnesota Statutes 2006, section 16B.64, is amended by adding a subdivision to read:

new text begin Subd. 8. new text end

new text begin Effective date of rules. new text end

new text begin A rule to adopt or amend the state's building code is effective 180 days after the filing of the rule with the secretary of state under section 14.16 or 14.26. The rule may provide for a different effective date if the commissioner or board proposing the rule finds that a different effective date is necessary to protect public health and safety after considering, among other things, the need for time for training of individuals to comply with and enforce the rule. new text end

Sec. 12.

Minnesota Statutes 2006, section 16B.65, is amended to read:

16B.65 BUILDING OFFICIALS.

Subdivision 1.

Designation.

deleted text begin By January 1, 2002,deleted text end Each municipality shall designate a building official to administer the code. A municipality may designate no more than one building official responsible for code administration defined by each certification category established in rule. Two or more municipalities may combine in the designation of a building official for the purpose of administering the provisions of the code within their communities. In those municipalities for which no building officials have been designated, the state building official may use whichever state employees are necessary to perform the duties of the building official until the municipality makes a temporary or permanent designation. All costs incurred by virtue of these services rendered by state employees must be borne by the involved municipality and receipts arising from these services must be paid deleted text begin into the state treasury and credited to the special revenue funddeleted text end new text begin to the commissionernew text end .

Subd. 2.

Qualifications.

A building official, to be eligible for designation, must be certified and have the experience in design, construction, and supervision which the commissioner deems necessary and must be generally informed on the quality and strength of building materials, accepted building construction requirements, and the nature of equipment and needs conducive to the safety, comfort, and convenience of building occupants. No person may be designated as a building official for a municipality unless the commissioner determines that the official is qualified as provided in subdivision 3.

Subd. 3.

Certification.

The commissioner shallnew text begin by rule establish certification criteria as proof of qualification pursuant to subdivision 2. The commissioner maynew text end :

(1) deleted text begin prepare and conductdeleted text end new text begin develop and administernew text end written and practical examinations to determine if a person is qualified pursuant to subdivision 2 to be a building official;

(2) accept documentation of successful completion of testing programs developed new text begin and administered new text end by nationally recognized testing agencies, as proof of qualification pursuant to subdivision 2; or

(3) determine qualifications by deleted text begin both clauses (1) and (2)deleted text end new text begin satisfactory completion of clause (2) and a mandatory training program developed or approved by the commissionernew text end .

Upon a determination of qualification under clause (1), (2), or deleted text begin both of themdeleted text end new text begin (3)new text end , the commissioner shall issue a certificate to the building official stating that the official is certified. Each person applying for examination and certification pursuant to this section shall pay a nonrefundable fee of $70. The commissioner or a designee may establish categories of certification that will recognize the varying complexities of code enforcement in the municipalities within the state. The commissioner shall provide educational programs designed to train and assist building officials in carrying out their responsibilities.

deleted text begin The Department of Employee Relations may, at the request of the commissioner, provide statewide testing services. deleted text end

Subd. 4.

Duties.

Building officials shall, in the municipality for which they are designated, be responsible for all aspects of code administration for which they are certified, including the issuance of all building permits and the inspection of all manufactured home installations. The commissioner may direct a municipality with a building official to perform services for another municipality, and in that event the municipality being served shall pay the municipality rendering the services the reasonable costs of the services. The costs may be subject to approval by the commissioner.

Subd. 5.

Oversight committee.

(a) The commissioner shall establish a Code Administration Oversight Committee deleted text begin to evaluate, mediate, anddeleted text end new text begin that will, at the commissioner's request,new text end recommend to the commissioner deleted text begin any administrative action, penalty, suspension, or revocation with respectdeleted text end new text begin appropriate action pursuant to section 326B.82, in responsenew text end to deleted text begin complaints filed with ordeleted text end information received new text begin or obtained new text end by the commissioner deleted text begin alleging or indicating deleted text end new text begin that supports a finding that: (1) an individual has engaged in, or is about to engage in, new text end the unauthorized performance of deleted text begin officialdeleted text end new text begin thenew text end duties new text begin of a certified building official new text end or new text begin the new text end unauthorized use of the deleted text begin titledeleted text end certified building officialdeleted text begin ,deleted text end new text begin title; new text end or deleted text begin a violation ofdeleted text end new text begin (2) a certified building official has violated a new text end statute, rule, new text begin stipulation, agreement, settlement, compliance agreement, cease and desist agreement, new text end or order that the commissioner has new text begin adopted, new text end issuednew text begin ,new text end or deleted text begin is empowereddeleted text end new text begin has the authoritynew text end to enforcenew text begin and that is related to the duties of a certified building officialnew text end .

new text begin (b) new text end The committee deleted text begin consistsdeleted text end new text begin shall consistnew text end of new text begin six members. One member shall be the commissioner's designee and new text end five new text begin members shall be new text end certified building officialsdeleted text begin ,deleted text end new text begin who are appointed by the commissioner. new text end At least two of deleted text begin whomdeleted text end new text begin the appointed certified building officials new text end must be from nonmetropolitan counties. new text begin For the new text end committee members deleted text begin must be compensated according todeleted text end new text begin who are not state officials or employees, their compensation and removal from the oversight committee is governed by new text end section 15.059deleted text begin , subdivision 3deleted text end . The commissioner's designee shall deleted text begin act as an ex-officio member of the oversight committeedeleted text end new text begin serve as the chair of the oversight committee and shall not votenew text end . new text begin The terms of the appointed members of the oversight committee shall be four years. The terms of three of the appointed members shall be coterminous with the governor and the terms of the remaining two appointed members shall end on the first Monday in January one year after the terms of the other appointed members expire. An appointed member may be reappointed. The committee is not subject to the expiration provisions of section 15.059, subdivision 5.new text end

deleted text begin (b)deleted text end new text begin (c)new text end If the commissioner deleted text begin has a reasonable basis to believedeleted text end new text begin determinesnew text end that deleted text begin a persondeleted text end new text begin an individualnew text end has engaged in deleted text begin an act or practice constitutingdeleted text end the unauthorized performance of deleted text begin officialdeleted text end new text begin thenew text end dutiesdeleted text begin ,deleted text end new text begin of a certified building official ornew text end the unauthorized use of the deleted text begin titledeleted text end certified building officialnew text begin titlenew text end , or new text begin that new text end a deleted text begin violation ofdeleted text end new text begin certified building official has violatednew text end a statute, rule, new text begin stipulation, agreement, settlement, compliance agreement, cease and desist agreement, new text end or order that the commissioner has new text begin adopted, new text end issuednew text begin ,new text end or is deleted text begin empowereddeleted text end new text begin authorizednew text end to enforcenew text begin that is related to the duties of a certified building officialnew text end , the commissioner may deleted text begin proceed withdeleted text end new text begin takenew text end administrative actions deleted text begin or penalties as described in subdivision 5a or suspension or revocation as described in subdivision 5b.deleted text end new text begin against the individual pursuant to section 326B.082, subdivisions 7 and 11.new text end

deleted text begin Subd. 5a. deleted text end

deleted text begin Administrative action and penalties. deleted text end

deleted text begin The commissioner shall, by rule, establish a graduated schedule of administrative actions for violations of sections 16B.59 to 16B.75 and rules adopted under those sections. The schedule must be based on and reflect the culpability, frequency, and severity of the violator's actions. The commissioner may impose a penalty from the schedule on a certification holder for a violation of sections 16B.59 to 16B.75 and rules adopted under those sections. The penalty is in addition to any criminal penalty imposed for the same violation. Administrative monetary penalties imposed by the commissioner must be paid to the special revenue fund. deleted text end

Subd. 5b.

deleted text begin Suspension; revocation. deleted text end new text begin Grounds. new text end

deleted text begin Except as otherwise provided for by law, the commissioner may, upon notice and hearing, revoke or suspend or refuse to issue or reissue a building official certification if the applicant, building official, or certification holder: deleted text end new text begin In addition to the grounds set forth in section 326B.082, subdivision 11, the commissioner may deny, suspend, limit, place conditions on, or revoke a certificate, or may censure an applicant or individual holding a certificate, if the applicant or individual: new text end

(1) violates a provision of sections 16B.59 to 16B.75 or a rule adopted under those sections; new text begin ornew text end

(2) engages in fraud, deceit, or misrepresentation while performing the duties of a certified building officialdeleted text begin ;deleted text end new text begin .new text end

deleted text begin (3) makes a false statement in an application submitted to the commissioner or in a document required to be submitted to the commissioner; or deleted text end

deleted text begin (4) violates an order of the commissioner. deleted text end

deleted text begin Notice must be provided and the hearing conducted in accordance with the provisions of chapter 14 governing contested case proceedings.deleted text end Nothing in this subdivision limits or otherwise affects the authority of a municipality to dismiss or suspend a building official at its discretion, except as otherwise provided for by law.

new text begin Subd. 5c. new text end

new text begin Action against unlicensed persons. new text end

new text begin The commissioner may take any administrative action provided under section 326B.082, against an individual required to be certified under subdivision 3, based upon conduct that would provide grounds for action against a certificate holder under this section. new text end

Subd. 6.

Vacancies.

In the event that a designated building official position is vacant within a municipality, that municipality shall designate a certified building official to fill the vacancy as soon as possible. The commissioner must be notified of any vacancy or designation in writing within 15 days. If the municipality fails to designate a certified building official within 15 days of the occurrence of the vacancy, the state building official may provide state employees to serve that function as provided in subdivision 1 until the municipality makes a temporary or permanent designation. Municipalities must not issue permits without a designated certified building official.

Subd. 7.

Continuing education.

Subject to sections 16B.59 to 16B.75, the commissioner may by rule establish or approve continuing education programs for deleted text begin municipaldeleted text end new text begin certifiednew text end building officials dealing with matters of building code administration, inspection, and enforcement.

Each person certified as a building official for the state must satisfactorily complete applicable educational programs established or approved by the commissioner deleted text begin every three calendar yearsdeleted text end to retain certification.

deleted text begin Each person certified as a building official must submit in writing to the commissioner an application for renewal of certification within 60 days of the last day of the third calendar year following the last certificate issued. Each application for renewal must be accompanied by proof of satisfactory completion of minimum continuing education requirements and the certification renewal fee established by the commissioner. deleted text end

new text begin Subd. 8. new text end

new text begin Renewal. new text end

new text begin (a) Subject to sections 16B.59 to 16B.76, the commissioner of labor and industry may by rule adopt standards dealing with renewal requirements. new text end

new text begin (b) If the commissioner has not issued a notice of denial of application for a certificate holder and if the certificate holder has properly and timely filed a fully completed renewal application, then the certificate holder may continue to engage in building official activities whether or not the renewed certificate has been received. Applications must be made on a form approved by the commissioner. Each application for renewal must be fully completed, and be accompanied by proof of the satisfactory completion of minimum continuing education requirements and the certification renewal fee established by the commissioner. Applications are timely if received prior to the expiration of the most recently issued certificate. An application for renewal that does not contain all of the information requested is an incomplete application and will not be accepted. new text end

new text begin Subd. 9. new text end

new text begin Expiration. new text end

new text begin All certificates expire at 11:59:59 p.m. central time on the date of expiration if not properly renewed in accordance with subdivision 8, paragraph (b). new text end

new text begin Subd. 10. new text end

new text begin Failure to renew. new text end

new text begin An individual who has failed to make a timely application for renewal of a certificate is not certified and must not serve as the designated building official for any municipality until a renewed certificate has been issued by the commissioner. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 13.

Minnesota Statutes 2006, section 16B.70, is amended to read:

16B.70 SURCHARGE.

Subdivision 1.

Computation.

To defray the costs of administering sections 16B.59 to 16B.76, a surcharge is imposed on all permits issued by municipalities in connection with the construction of or addition or alteration to buildings and equipment or appurtenances after June 30, 1971. The commissioner may use any surplus in surcharge receipts to award grants for code research and development and education.

If the fee for the permit issued is fixed in amount the surcharge is equivalent to one-half mill (.0005) of the fee or 50 cents, whichever amount is greater. For all other permits, the surcharge is as follows:

(1) if the valuation of the structure, addition, or alteration is $1,000,000 or less, the surcharge is equivalent to one-half mill (.0005) of the valuation of the structure, addition, or alteration;

(2) if the valuation is greater than $1,000,000, the surcharge is $500 plus two-fifths mill (.0004) of the value between $1,000,000 and $2,000,000;

(3) if the valuation is greater than $2,000,000, the surcharge is $900 plus three-tenths mill (.0003) of the value between $2,000,000 and $3,000,000;

(4) if the valuation is greater than $3,000,000, the surcharge is $1,200 plus one-fifth mill (.0002) of the value between $3,000,000 and $4,000,000;

(5) if the valuation is greater than $4,000,000, the surcharge is $1,400 plus one-tenth mill (.0001) of the value between $4,000,000 and $5,000,000; and

(6) if the valuation exceeds $5,000,000, the surcharge is $1,500 plus one-twentieth mill (.00005) of the value that exceeds $5,000,000.

Subd. 2.

Collection and reports.

All permit surcharges must be collected by each municipality and a portion of them remitted to the state. Each municipality having a population greater than 20,000 people shall prepare and submit to the commissioner once a month a report of fees and surcharges on fees collected during the previous month but shall retain the greater of two percent or that amount collected up to $25 to apply against the administrative expenses the municipality incurs in collecting the surcharges. All other municipalities shall submit the report and surcharges on fees once a quarter but shall retain the greater of four percent or that amount collected up to $25 to apply against the administrative expenses the municipalities incur in collecting the surcharges. The report, which must be in a form prescribed by the commissioner, must be submitted together with a remittance covering the surcharges collected by the 15th day following the month or quarter in which the surcharges are collected. deleted text begin All money collected by the commissioner through surcharges and other fees prescribed by sections 16B.59 to 16B.75 shall be deposited in the state government special revenue fund and is appropriated to the commissioner for the purpose of administering and enforcing the State Building Code under sections 16B.59 to 16B.75.deleted text end

Subd. 3.

Revenue to equal costs.

Revenue received from the surcharge imposed in subdivision 1 should approximately equal the cost, including the overhead cost, of administering sections 16B.59 to 16B.75. By November 30 each year, the commissioner must report to the commissioner of finance and to the legislature on changes in the surcharge imposed in subdivision 1 needed to comply with this policy. In making this report, the commissioner must assume that the services associated with administering sections 16B.59 to 16B.75 will continue to be provided at the same level provided during the fiscal year in which the report is made.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 14.

Minnesota Statutes 2006, section 16B.72, is amended to read:

16B.72 REFERENDA ON STATE BUILDING CODE IN NONMETROPOLITAN COUNTIES.

Notwithstanding any other provision of law to the contrary, a county that is not a metropolitan county as defined by section 473.121, subdivision 4, may provide, by a vote of the majority of its electors residing outside of municipalities that have adopted the State Building Code before January 1, 1977, that no part of the State Building Code except the building requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end , the requirements for bleacher safety, and the requirements for elevator safety applies within its jurisdiction.

The county board may submit to the voters at a regular or special election the question of adopting the building code. The county board shall submit the question to the voters if it receives a petition for the question signed by a number of voters equal to at least five percent of those voting in the last general election. The question on the ballot must be stated substantially as follows:

"Shall the State Building Code be adopted in .......... County?"

If the majority of the votes cast on the proposition is in the negative, the State Building Code does not apply in the subject county, outside home rule charter or statutory cities or towns that adopted the building code before January 1, 1977, except the building requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end , the requirements for bleacher safety, and the requirements for elevator safety do apply.

Nothing in this section precludes a municipality or town that has not adopted the State Building Code from adopting and enforcing by ordinance or other legal means the State Building Code within its jurisdiction.

Sec. 15.

Minnesota Statutes 2006, section 16B.73, is amended to read:

16B.73 STATE BUILDING CODE IN MUNICIPALITIES UNDER 2,500; LOCAL OPTION.

The governing body of a municipality whose population is less than 2,500 may provide that the State Building Code, except the requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end , the requirements for bleacher safety, and the requirements for elevator safety, will not apply within the jurisdiction of the municipality, if the municipality is located in whole or in part within a county exempted from its application under section 16B.72. If more than one municipality has jurisdiction over an area, the State Building Code continues to apply unless all municipalities having jurisdiction over the area have provided that the State Building Code, except the requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end , the requirements for bleacher safety, and the requirements for elevator safety, does not apply within their respective jurisdictions. Nothing in this section precludes a municipality or town from adopting and enforcing by ordinance or other legal means the State Building Code within its jurisdiction.

Sec. 16.

Minnesota Statutes 2006, section 16B.735, is amended to read:

16B.735 ENFORCEMENT OF REQUIREMENTS FOR deleted text begin DISABLEDdeleted text end PERSONSnew text begin WITH DISABILITIESnew text end .

A statutory or home rule charter city that is not covered by the State Building Code because of action taken under section 16B.72 or 16B.73 is responsible for enforcement in the city of the State Building Code's requirements for deleted text begin disableddeleted text end personsnew text begin with disabilitiesnew text end . In all other areas where the State Building Code does not apply because of action taken under section 16B.72 or 16B.73, the county is responsible for enforcement of those requirements.

Sec. 17.

Minnesota Statutes 2006, section 16B.74, subdivision 1, is amended to read:

Subdivision 1.

Applicability.

deleted text begin As used indeleted text end new text begin For the purposes ofnew text end sections new text begin 16B.61, 16B.72, 16B.73, and new text end 16B.74 to the terms deleted text begin "passenger or freight elevator," "automatic operation" and "continuous pressure operation"deleted text end new text begin defined in this sectionnew text end shall have the deleted text begin followingdeleted text end meaningsnew text begin given themnew text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 18.

Minnesota Statutes 2006, section 16B.74, subdivision 2, is amended to read:

Subd. 2.

Passenger or freight elevator.

"Passenger or freight elevator" means all elevators except those that comply with the safety rules of the department deleted text begin of Administrationdeleted text end relating to construction and installation and that have automatic operation or continuous pressure operation.

Sec. 19.

Minnesota Statutes 2006, section 16B.74, is amended by adding a subdivision to read:

new text begin Subd. 7. new text end

new text begin Elevator inspection. new text end

new text begin "Elevator inspection" means an examination of elevator installations, repairs, alterations, removal, and construction for compliance with the State Building Code that may include witnessing tests performed on elevators by elevator personnel, performing tests on elevators, or an audit of records related to routine and periodic maintenance and testing, or any combination thereof when performed by the department or a municipality authorized to perform such inspections. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 20.

Minnesota Statutes 2006, section 16B.74, is amended by adding a subdivision to read:

new text begin Subd. 8. new text end

new text begin Elevator inspector. new text end

new text begin "Elevator inspector" means an individual who meets the requirements established pursuant to section 16B.748, clause (1), who is performing elevator inspections for the department or a municipality authorized to perform such inspections. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 21.

Minnesota Statutes 2006, section 16B.741, is amended to read:

16B.741 ELEVATOR deleted text begin AVAILABLE FORdeleted text end INSPECTIONnew text begin AND REPORTINGnew text end .

new text begin Subdivision 1. new text end

new text begin Elevator available for inspection. new text end

A persondeleted text begin , firm, entity, or corporationdeleted text end that owns or controls a building or other structure housing an elevator that is subject to inspection by the department, shall, upon request, provide access at a reasonable hour to the elevator for purposes of inspection.

new text begin Subd. 2. new text end

new text begin Persons required to report. new text end

new text begin The following persons shall report the information specified in subdivision 3 to the commissioner by January 1, 2008: new text end

new text begin (a) any person that, between August 1, 2005, and July 31, 2007, has provided service, alteration, repair, or maintenance to any elevator located in Minnesota; new text end

new text begin (b) any person that, between August 1, 2005, and July 31, 2007, has entered into an agreement to provide service, alteration, repair, or maintenance to any elevator located in Minnesota; new text end

new text begin (c) any person that owns or controls an elevator located in Minnesota that, between August 1, 2005, and July 31, 2007, has not received service, alteration, repair, or maintenance on the elevator; or new text end

new text begin (d) any person that owns or controls an elevator located in Minnesota that, between August 1, 2005, and July 31, 2007, has not entered into an agreement to receive service, alteration, repair, or maintenance on the elevator. new text end

new text begin Subd. 3. new text end

new text begin Elevator location, type, and installation date. new text end

new text begin On a form prescribed by the commissioner, the persons required to report pursuant to subdivision 2 shall provide the following: new text end

new text begin (a) the location of each elevator; new text end

new text begin (b) the type of each elevator; and new text end

new text begin (c) the date the elevator was installed. new text end

new text begin Subd. 4. new text end

new text begin Definition. new text end

new text begin As used in this section, "elevator" is as defined in section 16B.74, subdivision 5. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 22.

Minnesota Statutes 2006, section 16B.744, is amended to read:

16B.744 ELEVATORS, ENTRANCES SEALED.

It shall be the duty of the department deleted text begin of Administrationdeleted text end and the licensing authority of any municipality which adopts any such ordinance whenever it finds any such elevator under its jurisdiction in use in violation of any provision of sections 16B.74 to 16B.745 to seal the entrances of such elevator and attach a notice forbidding the use of such elevator until the provisions thereof are complied with.

Sec. 23.

Minnesota Statutes 2006, section 16B.745, subdivision 1, is amended to read:

Subdivision 1.

Removal of seal.

No person, firm, or corporation may remove any seal or notice forbidding the use of an elevator, except by authority of the department deleted text begin of Administrationdeleted text end or the licensing authority having jurisdiction over the elevator, or operate an elevator after a notice has been attached forbidding its use, unless the notice has been removed by authority of the department deleted text begin of Administrationdeleted text end or the licensing authority having jurisdiction over the elevator.

Sec. 24.

Minnesota Statutes 2006, section 16B.745, subdivision 4, is amended to read:

Subd. 4.

Penalties.

The commissioner deleted text begin of administrationdeleted text end shall administer sections 16B.74 to 16B.749. In addition to the remedies provided for violations of this chapter, the commissioner may impose a penalty of up to deleted text begin $1,000deleted text end new text begin $10,000new text end for a violation of any provision of sections 16B.74 to 16B.749.

Sec. 25.

Minnesota Statutes 2006, section 16B.747, is amended to read:

16B.747 FEES FOR LICENSURE AND deleted text begin INSPECTIONdeleted text end new text begin PERMITnew text end .

Subdivision 1.

Permits.

No persondeleted text begin , firm, or corporationdeleted text end may construct, install, alter, or remove an elevator without first filing an application for a permit with the department deleted text begin of Administrationdeleted text end or a municipality authorized by subdivision 3 to inspect elevators. deleted text begin Upon successfully completing inspection and the payment of the appropriate fee, the owner must be granted an operating permit for the elevator.deleted text end

new text begin Subd. 1a. new text end

new text begin Annual operating permit. new text end

new text begin No person may operate an elevator without first obtaining an annual operating permit from the department or a municipality authorized by subdivision 3 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. new text end

Subd. 2.

Contractor licenses.

The commissioner may establish criteria for the qualifications of elevator contractors and issue licenses based upon proof of the applicant's qualifications.

Subd. 3.

Permissive municipal regulation.

A municipality may conduct a system of elevator inspection in conformity with this chapter, State Building Code requirements, and adopted rules that includes the inspection of elevator installation, repair, alteration, and removal, construction, deleted text begin and thedeleted text end routine and periodic inspection and testing of existing elevatorsnew text begin , and the issuance of annual operating permitsnew text end . The municipality shall employ inspectors meeting the minimum requirements established by Minnesota Rules to perform the inspections and to witness the tests. A municipality may establish and retain its own fees for inspection of elevators and related devices in its jurisdiction. new text begin A municipality may establish and retain its own fees for issuance of annual operating permits for elevators in its jurisdiction. new text end A municipality may not adopt standards that do not conform to the uniform standards prescribed by the department.

If the commissioner determines that a municipality is not properly administering and enforcing the law, rules, and codes, the commissioner shall have the inspection, administration, and enforcement undertaken by a qualified inspector employed by the department.

deleted text begin Subd. 4. deleted text end

deleted text begin Deposit of fees. deleted text end

deleted text begin Fees received under this section must be deposited in the state treasury and credited to the special revenue fund. deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 26.

Minnesota Statutes 2006, section 16B.748, is amended to read:

16B.748 RULES.

The commissioner may adopt rules for the following purposes:

(1) to establish minimum qualifications for elevator inspectors that must include possession of a current elevator constructor electrician's license issued by the deleted text begin State Board of Electricitydeleted text end new text begin departmentnew text end and proof of successful completion of the national elevator industry education program examination or equivalent experience;

new text begin (2) to establish minimum qualifications for limited elevator inspectors; new text end

deleted text begin (2)deleted text end new text begin (3)new text end to establish criteria for the qualifications of elevator contractors;

deleted text begin (3)deleted text end new text begin (4)new text end to establish elevator standards under sections 16B.61, subdivisions 1 and 2, and 16B.64;

deleted text begin (4)deleted text end new text begin (5)new text end to establish procedures for appeals of decisions of the commissioner under chapter 14 and procedures allowing the commissioner, before issuing a decision, to seek advice from the elevator trade, building owners or managers, and others knowledgeable in the installation, construction, and repair of elevators; and

deleted text begin (5)deleted text end new text begin (6)new text end to establish requirements for the registration of all elevators.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment. new text end

Sec. 27.

Minnesota Statutes 2006, section 16B.76, is amended to read:

16B.76 CONSTRUCTION CODES ADVISORY COUNCIL.

Subdivision 1.

Membership.

(a) The Construction Codes Advisory Council consists of the following members:

(1) the commissioner deleted text begin of administrationdeleted text end or the commissioner's designee representing the department's deleted text begin Building Codes and Standards deleted text end new text begin Construction Codes and Licensing new text end Division;

deleted text begin (2) the commissioner of health or the commissioner's designee representing an Environmental Health Section of the department; deleted text end

deleted text begin (3)deleted text end new text begin (2)new text end the commissioner of public safety or the deleted text begin commissioner'sdeleted text end new text begin commissioner of public safety'snew text end designee representing the deleted text begin department'sdeleted text end new text begin Department of Public Safety's new text end State Fire Marshal Division;

deleted text begin (4) the commissioner of commerce or the commissioner's designee representing the department's State Energy Office; and deleted text end

deleted text begin (5)deleted text end new text begin (3)new text end one member deleted text begin representingdeleted text end new text begin , appointed by the commissioner, engaged in new text end each of the following occupations deleted text begin or entities, appointed by the commissioner of administrationdeleted text end new text begin or industriesnew text end :

(i) deleted text begin adeleted text end certified building deleted text begin officialdeleted text end new text begin officialsnew text end ;

(ii) deleted text begin adeleted text end fire deleted text begin service representativedeleted text end new text begin chiefs or fire marshalsnew text end ;

(iii) deleted text begin adeleted text end licensed deleted text begin architectdeleted text end new text begin architectsnew text end ;

(iv) deleted text begin adeleted text end licensed deleted text begin engineerdeleted text end new text begin professional engineersnew text end ;

(v) deleted text begin a building owners and managers representativedeleted text end new text begin commercial building owners and managersnew text end ;

(vi) deleted text begin adeleted text end new text begin thenew text end licensed residential building deleted text begin contractordeleted text end new text begin industrynew text end ;

(vii) deleted text begin adeleted text end new text begin thenew text end commercial building deleted text begin contractordeleted text end new text begin industrynew text end ;

(viii) deleted text begin adeleted text end new text begin thenew text end heating and ventilation deleted text begin contractordeleted text end new text begin industrynew text end ;

(ix) a new text begin member of the new text end Plumbing deleted text begin contractordeleted text end new text begin Boardnew text end ;

(x) a deleted text begin representative of a construction and building trades union; anddeleted text end new text begin member of the Board of Electricity;new text end

deleted text begin (xi) a local unit of government representative. deleted text end new text begin (xi) new text end new text begin a member of the Board of High Pressure Piping Systems; new text end

new text begin (xii) the boiler industry; new text end

new text begin (xiii) the manufactured housing industry; new text end

new text begin (xiv) public utility suppliers; new text end

new text begin (xv) the Minnesota Building and Construction Trades Council; and new text end

new text begin (xvi) local units of government. new text end

(b) new text begin The commissioner or the commissioner's designee representing the department's Construction Codes and Licensing Division shall serve as chair of the advisory council. new text end For members who are not state officials or employees, deleted text begin termsdeleted text end , compensationdeleted text begin ,deleted text end new text begin and new text end removaldeleted text begin , and the filling of vacanciesdeleted text end new text begin of members of the advisory councilnew text end are governed by section 15.059. deleted text begin The council shall select one of its members to serve as chair. deleted text end new text begin The terms of the members of the advisory council shall be four years. The terms of eight of the appointed members shall be coterminous with the governor and the terms of the remaining nine appointed members shall end on the first Monday in January one year after the terms of the other appointed members expire. An appointed member may be reappointed. Each council member shall appoint an alternate to serve in their absence. The committee is not subject to the expiration provision of section 15.059, subdivision 5.new text end

deleted text begin (c) The council expires June 30, 2003. deleted text end

Subd. 2.

Duties of council.

The council shall review laws, codes, rules, standards, and licensing requirements relating to building construction and may:

(1) recommend ways to eliminate inconsistencies, to streamline construction regulation and construction deleted text begin processesdeleted text end new text begin proceduresnew text end , and to improve procedures within and among jurisdictions;

(2) review and comment on current and proposed laws and rules to promote coordination and consistency;

(3) advise agencies on possible changes in rules to make them easier to understand and apply; and

(4) promote the coordination, within each jurisdiction, of the administration and enforcement of construction codes.

new text begin The council shall meet a minimum of four times each year. new text end The council shall report its findings and recommendations to the commissioner deleted text begin of administration and the head of any other affected agency by the end of each calendar yeardeleted text end . The council deleted text begin maydeleted text end new text begin shallnew text end recommend changes in laws or rules governing building construction. The council deleted text begin maydeleted text end new text begin shallnew text end establish subcommittees to facilitate its work. If the council establishes subcommittees, it shall include in their memberships representation from entities and organizations expressing an interest in membership. The commissioner deleted text begin of administrationdeleted text end shall maintain a list of interested entities and organizations.

Subd. 3.

Agency cooperation.

State agencies and local governmental units shall cooperate with the council and, so far as possible, provide information or assistance to it upon its request. The commissioner deleted text begin of administrationdeleted text end shall provide necessary staff and administrative support to the council.

Sec. 28.

Minnesota Statutes 2006, section 326.992, is amended to read:

326.992 BOND REQUIRED FOR CERTAIN CONTRACTORS.

(a) A person contracting to do gas, heating, ventilation, cooling, air conditioning, fuel burning, or refrigeration work must give bond to the state in the amount of $25,000 for all work entered into within the state. The bond must be for the benefit of persons suffering financial loss by reason of the contractor's failure to comply with the requirements of the State Mechanical Code. A bond given to the state must be filed with the commissioner deleted text begin of administrationdeleted text end and is in lieu of all other bonds to any political subdivision required for work covered by this section. The bond must be written by a corporate surety licensed to do business in the state.

(b) The commissioner deleted text begin of administrationdeleted text end may charge each person giving bond under this section an annual bond filing fee of $15. deleted text begin The money must be deposited in a special revenue fund and is appropriated to the commissioner to cover the cost of administering the bond program.deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 29.

Minnesota Statutes 2006, section 327.31, subdivision 2, is amended to read:

Subd. 2.

Authorized representative.

"Authorized representative" means any person, firm or corporation, or employee thereof, approved or hired by the commissionernew text begin of labor and industrynew text end to perform inspection services.

Sec. 30.

Minnesota Statutes 2006, section 327.31, subdivision 3, is amended to read:

Subd. 3.

Manufactured Home Building Code.

"Manufactured Home Building Code" means, for manufactured homes manufactured after July 1, 1972, and prior to June 15, 1976, the standards code promulgated by the American National Standards Institute and identified as ANSI A119.1, including all revisions thereof in effect on May 21, 1971, or the provisions of the National Fire Protection Association and identified as NFPA 501B, and further revisions adopted by the commissionernew text begin of labor and industrynew text end .

"Manufactured Home Building Code" means, for manufactured homes constructed after June 14, 1976, the manufactured home construction and safety standards promulgated by the United States Department of Housing and Urban Development which are in effect at the time of the manufactured home's manufacture.

Sec. 31.

Minnesota Statutes 2006, section 327.31, subdivision 4, is amended to read:

Subd. 4.

Commissioner.

"Commissioner" means the commissioner of deleted text begin administrationdeleted text end new text begin labor and industrynew text end .

Sec. 32.

Minnesota Statutes 2006, section 327.31, is amended by adding a subdivision to read:

new text begin Subd. 6a. new text end

new text begin Individual. new text end

new text begin "Individual" means a human being. new text end

Sec. 33.

Minnesota Statutes 2006, section 327.31, subdivision 7, is amended to read:

Subd. 7.

Person.

"Person" means deleted text begin a person, partnership, corporation or other legal entitydeleted text end new text begin any individual, limited liability company, corporation, partnership, incorporated or unincorporated association, sole proprietorship, joint stock company, or any other legal or commercial entitynew text end .

Sec. 34.

Minnesota Statutes 2006, section 327.31, subdivision 15, is amended to read:

Subd. 15.

Purchaser.

"Purchaser" means the first deleted text begin persondeleted text end new text begin individualnew text end purchasing a manufactured home in good faith for purposes other than resale.

Sec. 35.

Minnesota Statutes 2006, section 327.32, subdivision 8, is amended to read:

Subd. 8.

Evidence of compliance.

Each manufacturer, distributor, and dealer shall establish and maintain records, make reports, and provide information as the commissioner or the secretary may reasonably require to be able to determine whether the manufacturer, distributor, or dealer has acted or is acting in compliance with sections 327.31 to 327.35, and shall, upon request of a person duly designated by the commissioner or the secretary, permit that person to inspect appropriate books, papers, records, and documents relevant to determining whether that manufacturer, distributor, or dealer has acted or is acting in compliance with sections 327.31 to 327.35, and the National Manufactured Home Construction and Safety Standards Act of 1974, United States Code, title 42, section 5401, et seq., as amendednew text begin by the National Manufactured Housing Construction and Safety Standards Act, Title VI, Manufactured Housing Improvement Act of 2000new text end , or other applicable federal or state law.

Sec. 36.

Minnesota Statutes 2006, section 327.33, subdivision 2, is amended to read:

Subd. 2.

Fees.

The commissioner shall by rule establish reasonable fees for seals, installation seals and inspections which are sufficient to cover all costs incurred in the administration of sections 327.31 to 327.35. The commissioner shall also establish by rule a monitoring inspection fee in an amount that will comply with the secretary's fee distribution program. This monitoring inspection fee shall be an amount paid by the manufacturer for each manufactured home produced in Minnesota. The monitoring inspection fee shall be paid by the manufacturer to the secretary. The rules of the fee distribution program require the secretary to distribute the fees collected from all manufactured home manufacturers among states approved and conditionally approved based on the number of new manufactured homes whose first location after leaving the manufacturer is on the premises of a distributor, dealer or purchaser in that state. deleted text begin All money collected by the commissioner through fees prescribed by sections 327.31 to 327.36 shall be deposited in the state government special revenue fund and is appropriated to the commissioner for the purpose of administering and enforcing the Manufactured Home Building Code under sections 327.31 to 327.36.deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 37.

Minnesota Statutes 2006, section 327.33, subdivision 6, is amended to read:

Subd. 6.

Authorization as agency.

The commissioner shall apply to the secretary for approval of the commissioner as the administrative agency for the regulation of manufactured homes under the rules of the secretary. The commissioner may make rules for the administration and enforcement of department responsibilities as a state administrative agency including, but not limited to, rules for the handling of citizen's complaints. All money received for services provided by the commissioner or the department's authorized agents as a state administrative agency shall be deposited in the deleted text begin generaldeleted text end new text begin construction codenew text end fund. The commissioner is charged with the adoption, administration, and enforcement of the Manufactured Home Construction and Safety Standards, consistent with rules and regulations promulgated by the United States Department of Housing and Urban Development. The commissioner may adopt the rules, codes, and standards necessary to enforce the standards promulgated under this section. The commissioner is authorized to conduct hearings and presentations of views consistent with regulations adopted by the United States Department of Housing and Urban Development and to adopt rules in order to carry out this function.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 38.

Minnesota Statutes 2006, section 327.33, subdivision 7, is amended to read:

Subd. 7.

Employees.

The commissioner may appoint such employees within the Department of deleted text begin Administrationdeleted text end new text begin Labor and Industrynew text end as deemed necessary for the administration of sections 327.31 to 327.35.

Sec. 39.

Minnesota Statutes 2006, section 327.34, subdivision 3, is amended to read:

Subd. 3.

Removal of seals.

Manufactured home seals remain the property of the Department of deleted text begin Administrationdeleted text end new text begin Labor and Industrynew text end and may be removed by the commissioner from any manufactured home which is in violation of the Manufactured Home Building Code.

Sec. 40.

Minnesota Statutes 2006, section 327.35, subdivision 1, is amended to read:

Subdivision 1.

deleted text begin Civildeleted text end new text begin Monetary new text end penalty.

new text begin Notwithstanding the penalty amount of section 326B.082, subdivisions 7 and 12, new text end any person who violates any provision of this section is liable to the state of Minnesota for a deleted text begin civildeleted text end new text begin monetary new text end penalty of not to exceed $1,000 for each deleted text begin offensedeleted text end new text begin violationnew text end . Each violation involving a separate manufactured home or involving a separate failure or refusal to allow or perform any act required by this section constitutes a separate deleted text begin offensedeleted text end new text begin violationnew text end , except that the maximum deleted text begin civildeleted text end new text begin monetary new text end penalties for any related series of violations occurring within one year from the date of the first violation may not exceed $1,000,000.

Sec. 41.

Minnesota Statutes 2006, section 327.35, subdivision 2, is amended to read:

Subd. 2.

Willful violations.

Any individual or a director, officer, or agent of a corporation who knowingly and willfully violates any provision of this section in a manner which threatens the health or safety of any purchaser shall be deleted text begin fined not more than $3,000 or imprisoned not more than one year, or bothdeleted text end new text begin guilty of a gross misdemeanornew text end .

Sec. 42.

Minnesota Statutes 2006, section 327B.01, subdivision 4, is amended to read:

Subd. 4.

Commissioner.

"Commissioner" means the commissioner of deleted text begin administrationdeleted text end new text begin labor and industrynew text end .

Sec. 43.

Minnesota Statutes 2006, section 327B.01, subdivision 5, is amended to read:

Subd. 5.

Consumer customer.

"Consumer customer" means any deleted text begin natural persondeleted text end new text begin individualnew text end who, primarily for personal, household or family purposes, buys, sells, or seeks to buy or sell, a manufactured home from, to or through a dealer or manufacturer.

Sec. 44.

Minnesota Statutes 2006, section 327B.01, subdivision 7, is amended to read:

Subd. 7.

Dealernew text begin or retailernew text end .

"Dealer" new text begin or "retailer" new text end means any person who engages in the business, either exclusively or in addition to any other occupation, of selling or brokering manufactured homes, new or used, or who offers to sell, solicit, broker or advertise the sale of manufactured homes, new or used.

Sec. 45.

Minnesota Statutes 2006, section 327B.01, is amended by adding a subdivision to read:

new text begin Subd. 10a. new text end

new text begin Individual. new text end

new text begin "Individual" means a human being. new text end

Sec. 46.

Minnesota Statutes 2006, section 327B.01, is amended by adding a subdivision to read:

new text begin Subd. 11a. new text end

new text begin Licensee. new text end

new text begin "Licensee" means a person who is licensed as a dealer, limited dealer, or manufacturer by the Department of Labor and Industry. new text end

Sec. 47.

Minnesota Statutes 2006, section 327B.01, is amended by adding a subdivision to read:

new text begin Subd. 11b. new text end

new text begin Limited dealer or limited retailer. new text end

new text begin "Limited dealer" or "limited retailer" means any person who is an owner of a manufactured home park authorized, as principal only, to engage in the sale, offering for sale, soliciting, or advertising the sale of used manufactured homes located in the owned manufactured home park, who is the title holder and engages in no more than ten sales annually. new text end

Sec. 48.

Minnesota Statutes 2006, section 327B.01, is amended by adding a subdivision to read:

new text begin Subd. 14a. new text end

new text begin Manufacturing facility. new text end

new text begin "Manufacturing facility" means the physical site where a manufacturer engages in the business of manufacture, assembly, or production of manufactured homes. new text end

Sec. 49.

Minnesota Statutes 2006, section 327B.01, is amended by adding a subdivision to read:

new text begin Subd. 16a. new text end

new text begin Owner. new text end

new text begin "Owner" means any person holding title to a manufactured home park or manufactured homes. new text end

Sec. 50.

Minnesota Statutes 2006, section 327B.01, subdivision 17, is amended to read:

Subd. 17.

Person.

"Person" means any individual, new text begin limited liability company, new text end corporation, firm, partnership, incorporated and unincorporated association, new text begin sole proprietorship, joint stock company, new text end or any other legal or commercial entity.

Sec. 51.

Minnesota Statutes 2006, section 327B.04, subdivision 1, is amended to read:

Subdivision 1.

License deleted text begin anddeleted text end new text begin ,new text end bondnew text begin , and liability insurancenew text end required.

No person shall act as a dealer in manufactured homes, new or used, without a license deleted text begin anddeleted text end new text begin ,new text end a surety bondnew text begin , and liability insurancenew text end as provided in this section. No person shall manufacture manufactured homes without a license deleted text begin anddeleted text end new text begin for each manufacturing facility shipping into or located within Minnesota's boundaries, new text end a surety bondnew text begin , and liability insurancenew text end as provided in this section. The licensing and bonding requirements of this section do not apply to any bank, savings bank, savings association, or credit union, chartered by either this state or the federal government, which acts as a dealer only by repossessing manufactured homes and then offering the homes for resale.

Sec. 52.

Minnesota Statutes 2006, section 327B.04, subdivision 4, is amended to read:

Subd. 4.

License prerequisites.

No application shall be granted nor license issued until the applicant proves to the commissioner that:

(a) the applicant has a permanent, established place of business at each licensed location. An "established place of business" means a permanent enclosed building other than a residence, or a commercial office space, either owned by the applicant or leased by the applicant for a term of at least one year, located in an area where zoning regulations allow commercial activity, and where the books, records and files necessary to conduct the business are kept and maintained. The owner of a licensed manufactured home park who resides in or adjacent to the park may use the residence as the established place of business required by this subdivision, unless prohibited by local zoning ordinance.

If a license is granted, the licensee may use unimproved lots and premises for sale, storage, and display of manufactured homes, if the licensee first notifies the commissioner in writing;

(b) if the applicant desires to sell, solicit or advertise the sale of new manufactured homes, it has a bona fide contract or franchise in effect with a manufacturer or distributor of the new manufactured home it proposes to deal in;

(c) the applicant has securednew text begin : (1)new text end a surety bond in the amount of $20,000 new text begin for the agency and each subagency location that bears the applicant's name and the name under which the applicant will be licensed and do business in this state. Each bond is new text end for the protection of consumer customers, new text begin and must be new text end executed by the applicant as principal and issued by a surety company admitted to do business in this state. deleted text begin Thedeleted text end new text begin Each new text end bond shall be exclusively for the purpose of reimbursing consumer customers and shall be conditioned upon the faithful compliance by the applicant with all of the laws and rules of this state pertaining to the applicant's business as a dealer or manufacturer, including sections 325D.44, 325F.67 and 325F.69, and upon the applicant's faithful performance of all its legal obligations to consumer customers; new text begin and (2) a certificate of liability insurance in the amount of $1,000,000 that provides coverage for the agency and each subagency location;new text end

(d) the applicant has established a trust account as required by section 327B.08, subdivision 3, unless the applicant states in writing its intention to limit its business to selling, offering for sale, soliciting or advertising the sale of new manufactured homes; and

(e) the applicant has provided evidence of having had at least two years' prior experience in the sale of manufactured homes, working for a licensed dealer.

Sec. 53.

Minnesota Statutes 2006, section 327B.04, subdivision 6, is amended to read:

Subd. 6.

Certificate of license.

For each license granted the commissioner shall issue a certificate which includes the name of the licensee, the name of the surety company and the amount of the surety bond, new text begin and the insurance underwriter and policy number, new text end the names and addresses of any related principal or subagencies, and a license number.

Sec. 54.

Minnesota Statutes 2006, section 327B.04, subdivision 7, is amended to read:

Subd. 7.

Fees; licenses; when granted.

Each application for a license or license renewal must be accompanied by a fee in an amount established by the commissioner by rule pursuant to section 327B.10. The fees shall be set in an amount which over the fiscal biennium will produce revenues approximately equal to the expenses which the commissioner expects to incur during that fiscal biennium while administering and enforcing sections 327B.01 to 327B.12. deleted text begin All money collected by the commissioner through fees prescribed in sections 327B.01 to 327B.12 shall be deposited in the state government special revenue fund and is appropriated to the commissioner for purposes of administering and enforcing the provisions of this chapter.deleted text end The commissioner shall grant or deny a license application or a renewal application within 60 days of its filing. If the license is granted, the commissioner shall license the applicant as a dealer or manufacturer for the remainder of the calendar year. Upon application by the licensee, the commissioner shall renew the license for a two year period, if:

(a) the renewal application satisfies the requirements of subdivisions 3 and 4;

(b) the renewal applicant has made all listings, registrations, notices and reports required by the commissioner during the preceding year; and

(c) the renewal applicant has paid all fees owed pursuant to sections 327B.01 to 327B.12 and all taxes, arrearages, and penalties owed to the state.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 55.

Minnesota Statutes 2006, section 327B.04, subdivision 8, is amended to read:

Subd. 8.

Limited dealer's license.

The commissioner shall issue a limited dealer's license to an owner of a manufactured home park authorizing the licensee as principal only to engage in the sale, offering for sale, soliciting, or advertising the sale of used manufactured homes located in the owned manufactured home park. The licensee must be the title holder of the homes and may engage in no more than ten sales annually. An owner may, upon payment of the applicable fee and compliance with this subdivision, obtain a separate license for each owned manufactured home park and is entitled to sell up to ten homes per license provided that only one limited dealer license may be issued for each park. The license shall be issued after:

(1) receipt of an application on forms provided by the commissioner containing the following information:

(i) the identity of the applicant;

(ii) the name under which the applicant will be licensed and do business in this state;

(iii) the name and address of the owned manufactured home park, including a copy of the park license, serving as the basis for the issuance of the license; deleted text begin anddeleted text end

(iv) the name, home, and business address of the applicant;

new text begin (v) the name, address, and telephone number of one individual that is designated by the applicant to receive all communications and cooperate with all inspections and investigations of the commissioner pertaining to the sale of manufactured homes in the manufactured home park owned by the applicant; new text end

new text begin (vi) whether the applicant or its designated individual has been convicted of a crime within the previous ten years that is either related directly to the business for which the license is sought or involved fraud, misrepresentation or misuse of funds, or has suffered a judgment in a civil action involving fraud, misrepresentation, or conversion within the previous five years or has had any government license or permit suspended or revoked as a result of an action brought by a federal or state governmental agency in this or any other state within the last five years; and new text end

new text begin (vii) the applicant's qualifications and business history, including whether the applicant or its designated individual has ever been adjudged bankrupt or insolvent, or has any unsatisfied court judgments outstanding against it or them; new text end

(2) payment of a $100 annual fee; and

(3) provision of a surety bond in the amount of $5,000. A separate surety bond must be provided for each limited license.

The applicant need not comply with section 327B.04, subdivision 4, paragraph (e). The holding of a limited dealer's license does not satisfy the requirement contained in section 327B.04, subdivision 4, paragraph (e), for the licensee or salespersons with respect to obtaining a dealer license. The commissioner may, upon application for a renewal of a license, require only a verification that copies of sales documents have been retained and payment of a $100 renewal fee. "Sales documents" mean only the safety feature disclosure form defined in section 327C.07, subdivision 3a, title of the home, financing agreements, and purchase agreements.

The license holder shall, upon request of the commissioner, make available for inspection during business hours sales documents required to be retained under this subdivision.

Sec. 56.

Minnesota Statutes 2006, section 327B.04, is amended by adding a subdivision to read:

new text begin Subd. 8a. new text end

new text begin Service. new text end

new text begin Service of a document on a limited dealer licensed under this section may be effected by mail to or by personal service on: (1) the licensee at the licensee's last known address; or (2) the individual designated by the licensee at that individual's last known address. new text end

Sec. 57.

new text begin [327B.042] NOTICE TO COMMISSIONER. new text end

new text begin Subdivision 1. new text end

new text begin Notification. new text end

new text begin A person licensed as a dealer, limited dealer, or manufacturer shall notify the commissioner of the occurrence of any of the events in subdivisions 2 to 5. new text end

new text begin Subd. 2. new text end

new text begin Change in application information. new text end

new text begin A licensee shall notify the commissioner in writing within ten days of the change of any change in information contained in the most recent license application on file with the commissioner, which shall include any change in the information pertaining to the individual designated under section 327B.04, subdivision 8, clause (1), item (vi). new text end

new text begin Subd. 3. new text end

new text begin Civil judgment. new text end

new text begin A licensee shall notify the commissioner in writing within ten days of any decision of a court regarding a proceeding in which the licensee was named as a defendant, and in which fraud, misrepresentation, or the conversion of funds was found to have been committed by the licensee. new text end

new text begin Subd. 4. new text end

new text begin Disciplinary action in another state. new text end

new text begin A licensee shall notify the commissioner in writing within ten days of the condition, reprimand, censure, limitation, suspension, or revocation of any other professional or occupational license, registration, permit, or certificate held by the licensee in this or any other state, or any other United States jurisdiction. new text end

new text begin Subd. 5. new text end

new text begin Criminal offense. new text end

new text begin A licensee shall notify the commissioner in writing within ten days if the licensee is found guilty of a felony, gross misdemeanor, misdemeanor, or any comparable offense related to manufactured home sales, improper business practices, fraud, misrepresentation, misuse of funds, or violation of the consumer laws in this or any other state, or any other United States jurisdiction. new text end

Sec. 58.

Minnesota Statutes 2006, section 327B.05, subdivision 1, is amended to read:

Subdivision 1.

Grounds.

new text begin In addition to the grounds in section 326B.082, subdivision 11, new text end the commissioner may by order deny, suspendnew text begin , limit, place conditions on,new text end or revoke deleted text begin anydeleted text end new text begin the application ornew text end license deleted text begin on finding (1) that the order is in the public interest and (2) that thedeleted text end new text begin of anynew text end applicant or licensee or any of its directors, officers, limited or general partners, controlling shareholdersnew text begin ,new text end or affiliatesnew text begin for any of the following groundsnew text end :

deleted text begin (a) has filed an application for a license or a license renewal which fails to disclose any material information or contains any statement which is false or misleading with respect to any material fact; deleted text end

deleted text begin (b)deleted text end new text begin (a)new text end has violated any of the provisions of sections 327B.01 to 327B.12 or any rule or order issued by the commissioner or any prior law providing for the licensing of manufactured home dealers or manufacturers;

deleted text begin (c)deleted text end new text begin (b)new text end has had a previous manufacturer or dealer license revoked in this or any other state;

deleted text begin (d)deleted text end new text begin (c)new text end has engaged in acts or omissions which have been adjudicated or amount to a violation of any of the provisions of section 325D.44, 325F.67 or 325F.69;

deleted text begin (e)deleted text end new text begin (d)new text end has sold or brokered the sale of a home containing a material violation of sections 327.31 to 327.35 about which the dealer knew or which should have been obvious to a reasonably prudent dealer;

deleted text begin (f)deleted text end new text begin (e)new text end has failed to make or provide all listings, notices and reports required by the commissioner;

deleted text begin (g)deleted text end new text begin (f)new text end has failed to pay a civil penalty assessed under subdivision 5 within ten days after the assessment becomes final;

deleted text begin (h)deleted text end new text begin (g)new text end has failed to pay to the commissioner or other responsible government agency all taxes, fees and arrearages due;

deleted text begin (i)deleted text end new text begin (h)new text end has failed to duly apply for license renewal;

deleted text begin (j)deleted text end new text begin (i)new text end has violated any applicable manufactured home building or safety code;

deleted text begin (k)deleted text end new text begin (j)new text end has failed or refused to honor any express or implied warranty as provided in section 327B.03;

deleted text begin (l)deleted text end new text begin (k)new text end has failed to continuously occupy a permanent, established place of business licensed under section 327B.04;

deleted text begin (m)deleted text end new text begin (l)new text end has, without first notifying the commissioner, sold a new and unused manufactured home other than the make of manufactured home described in a franchise or contract filed with the application for license or license renewal;

deleted text begin (n)deleted text end new text begin (m)new text end has wrongfully failed to deliver a certificate of title to a person entitled to it;

deleted text begin (o)deleted text end new text begin (n)new text end is insolvent or bankrupt;

deleted text begin (p)deleted text end new text begin (o)new text end holds an impaired or canceled bond;

deleted text begin (q)deleted text end new text begin (p)new text end has failed to notify the commissioner of bankruptcy proceedings within ten days after a petition in bankruptcy has been filed by or against the dealer or manufacturer;

deleted text begin (r)deleted text end new text begin (q)new text end has, within the previous ten years, been convicted of a crime that either related directly to the business of the dealer or manufacturer or involved fraud, misrepresentation or misuse of funds;

deleted text begin (s)deleted text end new text begin (r)new text end has suffered a judgment within the previous five years in a civil action involving fraud, misrepresentation or misuse of funds; or

deleted text begin (t)deleted text end new text begin (s)new text end has failed to reasonably supervise any employee or agent of the dealer or manufacturer, resulting in injury or harm to the public.

The commissioner may establish rules pursuant to section 327B.10 further specifying, defining or establishing standards of conduct for manufactured home dealers and manufacturers.

Sec. 59.

Minnesota Statutes 2006, section 327B.10, is amended to read:

327B.10 RULEMAKING AUTHORITY.

The commissioner may promulgate rules and issue orders reasonably necessary to implement and administer the provisions of sections 327B.01 to 327B.12. new text begin The commissioner shall adopt rules establishing and approving education programs for manufactured home installers. Each manufactured home installer must satisfactorily complete the continuing education requirements established by the commissioner in rule.new text end

Sec. 60.

new text begin INCORPORATING ADAPTABILITY DESIGN ELEMENTS; REPORT. new text end

new text begin The commissioner of labor and industry shall explore the possibility of incorporating the adaptability design elements in the State Building Code for the following International Residential Codes (IRC) and International Building Codes (IBC): new text end

new text begin (1) IRC-1; new text end

new text begin (2) IRC-2; new text end

new text begin (3) IRC-3; new text end

new text begin (4) IBC R-2; and new text end

new text begin (5) IBC R-3. new text end

new text begin The commissioner shall report back to the legislative committees having jurisdiction over these issues by January 15, 2008. new text end

Sec. 61.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin The revisor of statutes shall renumber each section of Minnesota Statutes listed in column A with the number listed in column B. The revisor shall also make necessary cross-reference changes consistent with the renumbering. new text end

new text begin Column A new text end new text begin Column B new text end
new text begin 16B.59 new text end new text begin 326B.101 new text end
new text begin 16B.60, subd. 1 new text end new text begin 326B.103, subd. 1 new text end
new text begin 16B.60, subd. 2 new text end new text begin 326B.103, subd. 4 new text end
new text begin 16B.60, subd. 3 new text end new text begin 326B.103, subd. 9 new text end
new text begin 16B.60, subd. 4 new text end new text begin 326B.103, subd. 5 new text end
new text begin 16B.60, subd. 5 new text end new text begin 326B.103, subd. 3 new text end
new text begin 16B.60, subd. 6 new text end new text begin 326B.103, subd. 11 new text end
new text begin 16B.60, subd. 7 new text end new text begin 326B.103, subd. 10 new text end
new text begin 16B.60, subd. 8 new text end new text begin 326B.103, subd. 12 new text end
new text begin 16B.60, subd. 9 new text end new text begin 326B.103, subd. 8 new text end
new text begin 16B.60, subd. 10 new text end new text begin 326B.103, subd. 7 new text end
new text begin 16B.60, subd. 11 new text end new text begin 326B.103, subd. 13 new text end
new text begin 16B.60, subd. 12 new text end new text begin 326B.103, subd. 6 new text end
new text begin 16B.60, subd. 13 new text end new text begin 326B.103, subd. 2 new text end
new text begin 16B.61 new text end new text begin 326B.106 new text end
new text begin 16B.615 new text end new text begin 326B.109 new text end
new text begin 16B.616 new text end new text begin 326B.112 new text end
new text begin 16B.617 new text end new text begin 326B.115 new text end
new text begin 16B.6175 new text end new text begin 326B.118 new text end
new text begin 16B.62 new text end new text begin 326B.121 new text end
new text begin 16B.625 new text end new text begin 326B.124 new text end
new text begin 16B.63 new text end new text begin 326B.127 new text end
new text begin 16B.64 new text end new text begin 326B.13 new text end
new text begin 16B.65 new text end new text begin 326B.133 new text end
new text begin 16B.66 new text end new text begin 326B.136 new text end
new text begin 16B.67 new text end new text begin 326B.139 new text end
new text begin 16B.68 new text end new text begin 326B.142 new text end
new text begin 16B.685 new text end new text begin 326B.145 new text end
new text begin 16B.70 new text end new text begin 326B.148 new text end
new text begin 16B.71 new text end new text begin 326B.151 new text end
new text begin 16B.72 new text end new text begin 326B.154 new text end
new text begin 16B.73 new text end new text begin 326B.157 new text end
new text begin 16B.735 new text end new text begin 326B.16 new text end
new text begin 16B.74 new text end new text begin 326B.163 new text end
new text begin 16B.741 new text end new text begin 326B.166 new text end
new text begin 16B.742 new text end new text begin 326B.169 new text end
new text begin 16B.743 new text end new text begin 326B.172 new text end
new text begin 16B.744 new text end new text begin 326B.175 new text end
new text begin 16B.745 new text end new text begin 326B.178 new text end
new text begin 16B.746 new text end new text begin 326B.181 new text end
new text begin 16B.747 new text end new text begin 326B.184 new text end
new text begin 16B.748 new text end new text begin 326B.187 new text end
new text begin 16B.749 new text end new text begin 326B.191 new text end
new text begin 16B.75 new text end new text begin 326B.194 new text end
new text begin 16B.76 new text end new text begin 326B.07 new text end
new text begin 326.992 new text end new text begin 326B.197 new text end

ARTICLE 5

ELECTRICAL

Section 1.

Minnesota Statutes 2006, section 326.01, subdivision 2, is amended to read:

Subd. 2.

Class A master electrician.

deleted text begin The termdeleted text end "Class A master electrician" means deleted text begin a persondeleted text end new text begin an individualnew text end having the necessary qualifications, training, experience, and technical knowledge to deleted text begin install, alter, repair, plan, lay out, and supervise the installing, altering, and repairing of electrical wiring, apparatus, and equipment for light, heat, power, and other purposesdeleted text end new text begin perform and supervise any electrical work, andnew text end who is licensed as deleted text begin suchdeleted text end new text begin a Class A master electriciannew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 2.

Minnesota Statutes 2006, section 326.01, subdivision 3, is amended to read:

Subd. 3.

Class A journeyman electrician.

deleted text begin The termdeleted text end "Class A journeyman electrician" means deleted text begin a persondeleted text end new text begin an individualnew text end having the necessary qualifications, training, experience, and technical knowledge to deleted text begin install, alter, repair, and supervise the installing, altering, or repairing of electrical wiring, apparatus, and equipment for light, heat, power, and other purposesdeleted text end new text begin perform and supervise any electrical work except for planning or laying out of electrical work, andnew text end who is licensed as deleted text begin suchdeleted text end new text begin a Class A journeyman electriciannew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 3.

Minnesota Statutes 2006, section 326.01, is amended by adding a subdivision to read:

new text begin Subd. 4a. new text end

new text begin Elevator constructor. new text end

new text begin "Elevator constructor" means an individual having the necessary qualifications, training, experience, and technical knowledge to wire for, install, maintain, and repair electrical wiring, apparatus, and equipment for elevators and escalators and who is licensed as an elevator constructor by the commissioner. new text end

Sec. 4.

Minnesota Statutes 2006, section 326.01, is amended by adding a subdivision to read:

new text begin Subd. 4b. new text end

new text begin Elevator contractor. new text end

new text begin "Elevator contractor" means a licensed contractor whose responsible licensed individual is a licensed master elevator constructor. An elevator contractor license does not itself qualify its holder to perform or supervise the electrical or elevator work authorized by holding any other personal license issued by the commissioner. new text end

Sec. 5.

Minnesota Statutes 2006, section 326.01, is amended by adding a subdivision to read:

new text begin Subd. 4c. new text end

new text begin Lineman. new text end

new text begin "Lineman" means an individual having the necessary qualifications, training, experience, and technical knowledge to construct and maintain transmission and distribution systems that are or will be owned or leased by an electrical utility, and who is licensed as a lineman by the commissioner. new text end

Sec. 6.

Minnesota Statutes 2006, section 326.01, is amended by adding a subdivision to read:

new text begin Subd. 4d. new text end

new text begin Maintenance electrician. new text end

new text begin "Maintenance electrician" means an individual having the necessary qualifications, training, experience, and technical knowledge to properly maintain and repair electrical wiring, apparatus, and equipment, who is licensed as a maintenance electrician by the commissioner or who is exempt from licensing by sections 326.241 to 326.248. new text end

Sec. 7.

Minnesota Statutes 2006, section 326.01, is amended by adding a subdivision to read:

new text begin Subd. 4e. new text end

new text begin Master elevator constructor. new text end

new text begin "Master elevator constructor" means an individual having the necessary qualifications, training, experience, and technical knowledge to properly plan, lay out, and supervise the installation, maintenance, and repair of wiring, apparatus, and equipment for elevators and escalators and who is licensed as a master elevator constructor by the commissioner. new text end

Sec. 8.

Minnesota Statutes 2006, section 326.01, subdivision 5, is amended to read:

Subd. 5.

Contractor.

deleted text begin The termdeleted text end "Contractor" means a persondeleted text begin , partnership, or corporation operating a business that undertakesdeleted text end new text begin who performsnew text end or offers to deleted text begin undertake to plan for, lay out, or install or to make additions, alterations, or repairs in the installation of electrical wiring, apparatus, or equipment for light, heat, power, and other purposesdeleted text end new text begin perform any electrical work,new text end with or without compensationnew text begin ,new text end who is licensed as deleted text begin suchdeleted text end new text begin a contractornew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end . A contractor's license does not of itself qualify its holder to perform or supervise the electrical work authorized by holding any class of electrician's or other personal electrical license.new text begin Contractor includes electrical contractors and technology system contractors.new text end

Sec. 9.

Minnesota Statutes 2006, section 326.01, subdivision 6, is amended to read:

Subd. 6.

Class B master electrician.

deleted text begin The termdeleted text end "Class B master electrician" means deleted text begin a persondeleted text end new text begin an individualnew text end having the necessary qualifications, training, experience, and technical knowledge to deleted text begin install, alter, repair, plan, lay out,deleted text end new text begin performnew text end and supervise deleted text begin the installing, altering, and repairing of electrical wiring, apparatus, and equipmentdeleted text end new text begin any electrical worknew text end for single phase systems of not over 200 ampere capacity for light, heat, power, and other purposes on any farm or in any single family dwelling located in any town or municipality which has a population of less than deleted text begin 2500deleted text end new text begin 2,500new text end inhabitantsnew text begin , andnew text end who is licensed as deleted text begin suchdeleted text end new text begin a Class B master electriciannew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 10.

Minnesota Statutes 2006, section 326.01, subdivision 6a, is amended to read:

Subd. 6a.

Class B journeyman electrician.

deleted text begin The termdeleted text end "Class B journeyman electrician" means deleted text begin a persondeleted text end new text begin an individualnew text end having the necessary qualifications, training, experience, and technical knowledge to install, alter, repair, and supervise the installing, altering, or repairing of electrical wiring, apparatus, and equipment for single phase systems of not more than 200 ampere capacity for light, heat, power, and other purposes on any farm or in any single family dwelling located in any town or municipality which has a population of less than deleted text begin 2500deleted text end new text begin 2,500new text end inhabitantsnew text begin , andnew text end who is licensed as deleted text begin suchdeleted text end new text begin a Class B journeyman electriciannew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 11.

Minnesota Statutes 2006, section 326.01, subdivision 6b, is amended to read:

Subd. 6b.

Class A installer.

deleted text begin The termdeleted text end "Class A installer" means deleted text begin a persondeleted text end new text begin an individualnew text end who has the necessary qualifications, training, experience, and technical knowledge to properly lay out and install electrical wiring, apparatus, and equipment for major electrical home appliances and such other electrical equipment as is determined by the deleted text begin state Board of Electricitydeleted text end new text begin commissionernew text end pursuant to section 326.242, subdivision 3, on the load side of the main service on farmsteads or in any town or municipality with less than 1,500 inhabitants, which is not contiguous to a city of the first class and does not contain an established business of a master electrician, and who is licensed as deleted text begin suchdeleted text end new text begin a Class A installernew text end by the deleted text begin state Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 12.

Minnesota Statutes 2006, section 326.01, subdivision 6c, is amended to read:

Subd. 6c.

Class B installer.

deleted text begin The termdeleted text end "Class B installer" means deleted text begin a persondeleted text end new text begin an individualnew text end who has the necessary qualifications, training, experience, and technical knowledge to properly lay out and install electrical wiring, apparatus, and equipment on center pivot irrigation booms on the load side of the main service on farmsteads, and install other electrical equipment determined by the deleted text begin state Board of Electricity.deleted text end new text begin commissioner, and who is licensed asnew text end a Class B installer deleted text begin must be licenseddeleted text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 13.

Minnesota Statutes 2006, section 326.01, subdivision 6e, is amended to read:

Subd. 6e.

Owner.

An owner is deleted text begin a natural persondeleted text end new text begin an individualnew text end who physically performs electrical work on premises the deleted text begin persondeleted text end new text begin individualnew text end owns and actually occupies as a residence or owns and will occupy as a residence upon completion ofnew text begin itsnew text end construction.

Sec. 14.

Minnesota Statutes 2006, section 326.01, subdivision 6f, is amended to read:

Subd. 6f.

Electrical work.

deleted text begin The termdeleted text end "Electrical work" means the installing, altering, repairing, planning, or laying out of electrical wiring, apparatus, or equipment fornew text begin electricalnew text end light, heat, power,new text begin technology circuits or systems,new text end or other purposes. The installing, deleted text begin alterationdeleted text end new text begin alteringnew text end , repairing, planning, or laying out of electrical wiring, apparatus, or equipment for new text begin electrical new text end light, heat, power,new text begin technology circuits or systems,new text end or other purposes includes, but is not limited to, the performance of any work deleted text begin governeddeleted text end new text begin regulatednew text end by the standards referred to in section 326.243.

Sec. 15.

Minnesota Statutes 2006, section 326.01, subdivision 6g, is amended to read:

Subd. 6g.

deleted text begin Personaldeleted text end new text begin Directnew text end supervision.

deleted text begin The term "personaldeleted text end new text begin "Directnew text end supervision" means deleted text begin that a person licensed to perform electrical work oversees and directs the electrical work performed by an unlicensed person such thatdeleted text end :

(1) deleted text begin the licensed person actually reviews the electrical work performed by the unlicensed persondeleted text end new text begin an unlicensed individual is being supervised by an individual licensed to perform the electrical work being supervisednew text end ;

(2)new text begin during the entire working day of the unlicensed individual, the licensed individual is physically present at the location where the unlicensed individual is performing electrical work and immediately available to the unlicensed individual;new text end

new text begin (3)new text end the licensed deleted text begin persondeleted text end new text begin individualnew text end is new text begin physically present and new text end immediately available to the unlicensed deleted text begin persondeleted text end new text begin individualnew text end at all times for assistance and direction;

new text begin (4) electronic supervision does not meet the requirement of physically present and immediately available; new text end

new text begin (5) the licensed individual shall review the electrical work performed by the unlicensed individual before the electrical work is operated;new text end and

deleted text begin (3)deleted text end new text begin (6)new text end the licensed deleted text begin persondeleted text end new text begin individualnew text end is able to and does determine that all electrical work performed by the unlicensed deleted text begin persondeleted text end new text begin individualnew text end is performed in compliance with section 326.243.

The licensed deleted text begin persondeleted text end new text begin individual new text end is responsible for the compliance with section 326.243 of all electrical work performed by the unlicensed deleted text begin persondeleted text end new text begin individualnew text end .

Sec. 16.

Minnesota Statutes 2006, section 326.01, subdivision 6j, is amended to read:

Subd. 6j.

Residential dwelling.

A "residential dwelling" is deleted text begin an individual dwelling ofdeleted text end new text begin a single dwelling unit that is contained innew text end a one-family, two-family, or multifamily dwelling as defined in the National Electrical Code pursuant to section 326.243deleted text begin , including its garage or accessory buildingdeleted text end .new text begin A residential dwelling includes a garage and accessory building that can only be used by the residents of the single dwelling unit.new text end

Sec. 17.

Minnesota Statutes 2006, section 326.01, subdivision 6k, is amended to read:

Subd. 6k.

Power limited technician.

deleted text begin The termdeleted text end "Power limited technician" means deleted text begin a persondeleted text end new text begin an individualnew text end having the necessary qualifications, training, experience, and technical knowledge to install, alter, repair, plan, lay out, and supervise the installing, altering, and repairing of electrical wiring, apparatus, and equipment for technology circuits or systemsnew text begin , andnew text end who is licensed as deleted text begin suchdeleted text end new text begin a power limited techniciannew text end by the deleted text begin Board of Electricitydeleted text end new text begin commissionernew text end .

Sec. 18.

Minnesota Statutes 2006, section 326.01, subdivision 6l, is amended to read:

Subd. 6l.

Technology circuits or systems.

"Technology circuits or systems" means class 2 or class 3 circuits or systems for, but not limited to, remote control, signaling, control, alarm, and audio signal, including associated components as covered by the National Electrical Code, articles 640, 645, new text begin 650, new text end 725, 760, 770, and 780, and which are isolated from circuits or systems other than class 2 or class 3 by a demarcation and are not process control circuits or systems; antenna and communication circuits or systems as covered by chapter 8 of the National Electrical Code; and circuitry and equipment for indoor lighting and outdoor landscape lighting systems that are supplied by the secondary circuit of an isolating power supply operating at 30 volts or less as covered by the National Electrical Code, article 411. The planning, laying out, installing, altering, and repairing of technology circuits or systems must be performed in accordance with the applicable requirements of the National Electrical Code pursuant to section 326.243.

Sec. 19.

new text begin [326.2415] BOARD OF ELECTRICITY. new text end

new text begin Subdivision 1. new text end

new text begin Composition. new text end

new text begin (a) The Board of Electricity shall consist of 12 members. Eleven members shall be appointed by the governor with the advice and consent of the senate and shall be voting members. Appointments of members by the governor shall be made in accordance with section 15.066. If the senate votes to refuse to consent to an appointment of a member made by the governor, the governor shall appoint a new member with the advice and consent of the senate. One member shall be the commissioner of labor and industry or the commissioner's designee, who shall be a voting member. Of the 11 appointed members, the composition shall be as follows: new text end

new text begin (1) one member shall be an electrical inspector; new text end

new text begin (2) two members shall be representatives of the electrical suppliers in rural areas; new text end

new text begin (3) two members shall be master electricians, who shall be contractors; new text end

new text begin (4) two members shall be journeyman electricians; new text end

new text begin (5) one member shall be a registered consulting electrical engineer; new text end

new text begin (6) two members shall be power limited technicians, who shall be technology system contractors primarily engaged in the business of installing technology circuit or systems; and new text end

new text begin (7) one member shall be a public member as defined by section 214.02. new text end

new text begin The electrical inspector shall be appointed to a term to end December 31, 2011. One of the rural electrical suppliers shall be appointed for a term to end December 31, 2011. The other rural electrical supplier shall be appointed for a term to end December 31, 2010. The consulting electrical engineer shall be appointed for a term to end December 31, 2011. One of the master electrician contractors shall be appointed for a term to end December 31, 2011. The other master electrician contractor shall be appointed for a term to end December 31, 2010. One of the journeyman electricians shall be appointed for a term to end December 31, 2011. The other journeyman electrician shall be appointed for a term to end December 31, 2010. One of the power limited technicians shall be appointed for a term to end December 31, 2011. The other power limited technician shall be appointed for a term to end December 31, 2010. The public member shall be appointed for a term to end December 31, 2010. new text end

new text begin (b) The consulting electrical engineer must possess a current Minnesota professional engineering license and maintain the license for the duration of the term on the board. All other appointed members, except for the public member and the representatives of electrical suppliers in rural areas, must possess a current electrical license issued by the Department of Labor and Industry and maintain that license for the duration of their terms. All appointed members must be residents of Minnesota at the time of and throughout the member's appointment. The term of any appointed member that does not maintain membership qualification status shall end on the date of the status change and the governor shall appoint a new member. It is the responsibility of the member to notify the board of their status change. new text end

new text begin (c) For appointed members, except the initial terms designated in paragraph (a), each term shall be three years with the terms ending on December 31. Members appointed by the governor shall be limited to three consecutive terms. The governor shall, all or in part, reappoint the current members or appoint replacement members with the advice and consent of the senate. Midterm vacancies shall be filled for the remaining portion of the term. Vacancies occurring with less than six months time remaining in the term shall be filled for the existing term and the following three-year term. Members may serve until their successors are appointed but in no case later than July 1 in a year in which the term expires unless reappointed. new text end

new text begin Subd. 2. new text end

new text begin Powers; duties; administrative support. new text end

new text begin (a) The board shall have the power to: new text end

new text begin (1) elect its chair, vice-chair, and secretary; new text end

new text begin (2) adopt bylaws that specify the duties of its officers, the meeting dates of the board, and containing such other provisions as may be useful and necessary for the efficient conduct of the business of the board; new text end

new text begin (3) the Minnesota Electrical Code shall be the most current edition of the National Electrical Code upon its adoption by the board and any amendments thereto as adopted by the board. The board shall adopt the most current edition of the National Electrical Code and any amendments thereto pursuant to chapter 14 and as provided in subdivision 6, paragraphs (b) and (c); new text end

new text begin (4) review requests for final interpretations and issue final interpretations as provided in section 16B.63, subdivision 5; new text end

new text begin (5) adopt rules that regulate the licensure or registration of electrical businesses, electrical contractors, master electricians, journeyman electricians, Class A installer, Class B installer, power limited technicians, and other persons who perform electrical work except for those individuals licensed under section 326.02, subdivisions 2 and 3. The board shall adopt these rules pursuant to chapter 14 and as provided in subdivision 6, paragraphs (d) and (e); new text end

new text begin (6) adopt rules that regulate continuing education for individuals licensed or registered as electrical businesses, electrical contractors, master electricians, journeyman electricians, Class A installer, Class B installer, power limited technicians, and other persons who perform electrical work. The board shall adopt these rules pursuant to chapter 14 and as provided in subdivision 6, paragraph (e); new text end

new text begin (7) advise the commissioner regarding educational requirements for electrical inspectors; new text end

new text begin (8) refer complaints or other communications to the commissioner, whether oral or in writing, as provided in subdivision 8 that alleges or implies a violation of a statute, rule, or order that the commissioner has the authority to enforce pertaining to code compliance, licensure, registration, or an offering to perform or performance of unlicensed electrical services; new text end

new text begin (9) approve per diem and expenses deemed necessary for its members as provided in subdivision 3; new text end

new text begin (10) approve license reciprocity agreements; new text end

new text begin (11) select from its members individuals to serve on any other state advisory council, board, or committee; and new text end

new text begin (12) recommend the fees for licenses and certifications. new text end

new text begin Except for the powers granted to the Plumbing Board, Board of Electricity, and the Board of High Pressure Piping Systems, the commissioner of labor and industry shall administer and enforce the provisions of this chapter and any rules promulgated pursuant thereto. new text end

new text begin (b) The board shall comply with section 15.0597, subdivisions 2 and 4. new text end

new text begin (c) The commissioner shall coordinate the board's rulemaking and recommendations with the recommendations and rulemaking conducted by all of the other boards created pursuant to chapter 326B. The commissioner shall provide staff support to the board. The support includes professional, legal, technical, and clerical staff necessary to perform rulemaking and other duties assigned to the board. The commissioner of labor and industry shall supply necessary office space and supplies to assist the board in its duties new text end

new text begin Subd. 3. new text end

new text begin Compensation. new text end

new text begin (a) Members of the board may be compensated at the rate of $55 a day spent on board activities, when authorized by the board, plus expenses in the same manner and amount as authorized by the commissioner's plan adopted under section 43A.18, subdivision 2. Members who, as a result of time spent attending board meetings, incur child care expenses that would not otherwise have been incurred, may be reimbursed for those expenses upon board authorization. new text end

new text begin (b) Members who are state employees or employees of the political subdivisions of the state must not receive the daily payment for activities that occur during working hours for which they are compensated by the state or political subdivision. However, a state or political subdivision employee may receive the daily payment if the employee uses vacation time or compensatory time accumulated in accordance with a collective bargaining agreement or compensation plan for board activities. Members who are state employees or employees of the political subdivisions of the state may receive the expenses provided for in this subdivision unless the expenses are reimbursed by another source. Members who are state employees or employees of political subdivisions of the state may be reimbursed for child care expenses only for time spent on board activities that are outside their working hours. new text end

new text begin (c) The board shall adopt internal standards prescribing what constitutes a day spent on board activities for purposes of making daily payments under this subdivision. new text end

new text begin Subd. 4. new text end

new text begin Removal; vacancies. new text end

new text begin (a) An appointed member of the board may be removed by the governor at any time (1) for cause, after notice and hearing, or (2) after missing three consecutive meetings. The chair of the board shall inform the governor of an appointed member missing the three consecutive meetings. After the second consecutive missed meeting and before the next meeting, the secretary of the board shall notify the appointed member in writing that the member may be removed for missing the next meeting. In the case of a vacancy on the board, the governor shall, with the advice and consent of the Senate, appoint a person to fill the vacancy for the remainder of the unexpired term. new text end

new text begin (b) Vacancies shall be filled pursuant to section 15.097, subdivisions 5 and 6. new text end

new text begin Subd. 5. new text end

new text begin Membership vacancies within three months of appointment. new text end

new text begin Notwithstanding any law to the contrary, when a membership on the board becomes vacant within three months after being filled through the appointments process, the governor may, upon notification to the Office of Secretary of State, choose a new member from the applications on hand and need not repeat the process. new text end

new text begin Subd. 6. new text end

new text begin Officers, quorum, voting. new text end

new text begin (a) The board shall elect annually from its members a chair, vice-chair, and secretary. A quorum of the board shall consist of a majority of members of the board qualified to vote on the matter in question. All questions concerning the manner in which a meeting is conducted or called that is not covered by statute shall be determined by Robert's Rules of Order (revised) unless otherwise specified by the bylaws. new text end

new text begin (b) Each electrical code amendment considered by the board that receives an affirmative two-thirds or more majority vote of all of the voting members of the board shall be included in the next electrical code rulemaking proceeding initiated by the board. If an electrical code amendment considered, or reconsidered, by the board receives less than a two-thirds majority vote of all of the voting members of the board, the electrical code amendment shall not be included in the next electrical code rulemaking proceeding initiated by the board. new text end

new text begin (c) The board may reconsider electrical code amendments during an active electrical code rulemaking proceeding in which the amendment previously failed to receive a two-thirds majority vote or more of all of the voting members of the board only if new or updated information that affects the electrical code amendment is presented to the board. The board may also reconsider failed electrical code amendments in subsequent electrical code rulemaking proceedings. new text end

new text begin (d) Each proposed rule and rule amendment considered by the board pursuant to the rulemaking authority specified in subdivision 2, paragraph (a), clauses (5) and (6), that receives an affirmative majority vote of all of the voting members of the board shall be included in the next rulemaking proceeding initiated by the board. If a proposed rule or rule amendment considered, or reconsidered, by the board receives less than an affirmative majority vote of all of the voting members of the board, the proposed rule or rule amendment shall not be included in the next rulemaking proceeding initiated by the board. new text end

new text begin (e) The board may reconsider proposed rule or rule amendment during an active rulemaking proceeding in which the amendment previously failed to receive an affirmative majority vote of all of the voting members of the board only if new or updated information that affects the proposed rule or rule amendment is presented to the board. The board may also reconsider failed proposed rule or rule amendment in subsequent rulemaking proceedings. new text end

new text begin Subd. 7. new text end

new text begin Board meetings. new text end

new text begin (a) The board shall hold meetings at such times as the board shall specify. Notice and conduct of all meetings shall be pursuant to chapter 13D and in a manner as the bylaws may provide. new text end

new text begin (b) If compliance with section 13D.02 is impractical, the board may conduct a meeting of its members by telephone or other electronic means so long as the following conditions are met: new text end

new text begin (1) all members of the board participating in the meeting, wherever their physical location, can hear one another and can hear all discussion and testimony; new text end

new text begin (2) members of the public present at the regular meeting location of the board can hear clearly all discussion and testimony and all votes of members of the board and, if needed, receive those services required by sections 15.44 and 15.441; new text end

new text begin (3) at least one member of the board is physically present at the regular meeting location; and new text end

new text begin (4) all votes are conducted by roll call, so each member's vote on each issue can be identified and recorded. new text end

new text begin Each member of the board participating in a meeting by telephone or other electronic means is considered present at the meeting for purposes of determining a quorum and participating in all proceedings. new text end

new text begin If telephone or other electronic means is used to conduct a regular, special, or emergency meeting, the board, to the extent practical, shall allow a person to monitor the meeting electronically from a remote location. The board may require the person making such a connection to pay for documented costs that the board incurs as a result of the additional connection. new text end

new text begin If telephone or other electronic means is used to conduct a regular, special, or emergency meeting, the board shall provide notice of the regular meeting location, of the fact that some members may participate by telephone or other electronic means, and that a person may monitor the meeting electronically from a remote location. Any person monitoring the meeting electronically from a remote location may be required to pay documented costs incurred by the board as a result of the additional connection. The timing and method of providing notice is governed by section 13D.04. new text end

new text begin Subd. 8. new text end

new text begin Complaints. new text end

new text begin (a) The board shall promptly forward to the commissioner the substance of any complaint or communication it receives, whether in writing or oral, that alleges or implies a violation of a statute, rule, or order that the commissioner has the authority to enforce pertaining to the license or registration of any person authorized by the department to provide electrical work, the performance or offering to perform electrical work requiring licensure or registration, or electrical code compliance. Each complaint or communication that is forwarded to the commissioner shall be submitted on a form provided by the commissioner. new text end

new text begin (b) The commissioner shall advise the board of the status of the complaint within 90 days after the board's written submission is received, or within 90 days after the board is provided with a written request for additional information or documentation from the commissioner or the commissioner's designee, whichever is later. The commissioner shall advise the board of the disposition of a complaint referred by the board within 180 days after the board's written submission is received. The commissioner shall annually report to the board a summary of the actions taken in response to complaints referred by the board. new text end

new text begin Subd. 9. new text end

new text begin Data Practices Act. new text end

new text begin The board is subject to chapter 13, the Minnesota Government Data Practices Act, and shall protect from unlawful disclosure data classified as not public. new text end

new text begin Subd. 10. new text end

new text begin Official records. new text end

new text begin The board shall make and preserve all records necessary to a full and accurate knowledge of its official activities in accordance with section 15.17. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 20.

Minnesota Statutes 2006, section 326.242, is amended to read:

326.242 LICENSES.

Subdivision 1.

Master electrician.

Except as otherwise provided by law, no deleted text begin persondeleted text end new text begin individualnew text end shall deleted text begin install, alter, repair, plan, lay out, or supervise the installing, altering, or repairing of electrical wiring, apparatus, or equipment for light, heat, power, or other purposesdeleted text end new text begin perform or supervise electrical worknew text end unless the deleted text begin persondeleted text end new text begin individualnew text end is: (a) licensed by the deleted text begin boarddeleted text end new text begin commissionernew text end as a master electriciannew text begin ;new text end and (b)(i) the electrical work is for a licensed contractor and the deleted text begin persondeleted text end new text begin individualnew text end is an employee, partner, or officer of, or is the licensed contractor, or (ii) the electrical work is performed for the deleted text begin person'sdeleted text end new text begin individual'snew text end employer on deleted text begin electricdeleted text end new text begin electricalnew text end wiring, apparatus, equipment, or facilitiesnew text begin that arenew text end owned or leased by the employer deleted text begin which isdeleted text end new text begin and that arenew text end located within the limits of property deleted text begin which isdeleted text end new text begin operated, maintained, and eithernew text end owned or leased deleted text begin and operated and maintaineddeleted text end by the employer.

(1) An applicant for a Class A master deleted text begin electrician'sdeleted text end new text begin electriciannew text end license shall (a) be a graduate of a four-year electrical course deleted text begin indeleted text end new text begin offered bynew text end an accredited college or university; or (b) shall have had at least one deleted text begin year'sdeleted text end new text begin year ofnew text end experience, acceptable to the deleted text begin boarddeleted text end new text begin commissionernew text end , as a licensed journeyman; or (c) shall have had at least five years' experience, acceptable to the deleted text begin boarddeleted text end new text begin commissionernew text end , in planning for, laying out, supervising and installing wiring, apparatus, or equipment for electrical light, heat and power.

(2) As of August 1, 1985, no new Class B master deleted text begin electrician'sdeleted text end new text begin electriciannew text end licenses shall be issued. An individual who has a Class B master deleted text begin electrician'sdeleted text end new text begin electriciannew text end license as of August 1, 1985new text begin ,new text end may retainnew text begin and renewnew text end the license and exercise the privileges it grants, which include electrical work limited to single phase systems, not over 200 amperes in capacity, on farmsteads or single-family dwellings located in towns or municipalities with fewer than 2,500 inhabitants.

Subd. 2.

Journeyman electrician.

(a) Except as otherwise provided by law, no deleted text begin persondeleted text end new text begin individualnew text end shall deleted text begin install, alter, repair, or supervise the installing, altering, or repairing of electrical wiring, apparatus, or equipment for light, heat, power, or other purposesdeleted text end new text begin perform and supervise any electrical work except for planning or laying out of electrical work new text end unless:

(1) the deleted text begin persondeleted text end new text begin individualnew text end is licensed by the deleted text begin boarddeleted text end new text begin commissionernew text end as a journeyman electrician; and

(2) the electrical work is:

(i) for a contractor and the deleted text begin persondeleted text end new text begin individualnew text end is an employee, partner, or officer of the licensed contractor; or

(ii) performed under the supervision of a master electrician also employed by the deleted text begin person'sdeleted text end new text begin individual'snew text end employer on electrical wiring, apparatus, equipment, or facilitiesnew text begin that arenew text end owned or leased by the employernew text begin andnew text end that deleted text begin isdeleted text end new text begin arenew text end located within the limits of propertynew text begin operated, maintained, and eithernew text end owned or leaseddeleted text begin , operated, and maintaineddeleted text end by the employer.

(b) An applicant for a Class A journeyman deleted text begin electrician'sdeleted text end new text begin electriciannew text end license shall have had at least four years of experience, acceptable to the deleted text begin boarddeleted text end new text begin commissionernew text end , in wiring for, installing, and repairing electrical wiring, apparatus, or equipment, provided however, that the deleted text begin boarddeleted text end new text begin commissionernew text end may by rule deleted text begin provide for the allowance ofdeleted text end new text begin allownew text end one year of experience credit fornew text begin thenew text end successful completion of a two-year post high school electrical course approved by the deleted text begin boarddeleted text end new text begin commissionernew text end .

(c) As of August 1, 1985, no new Class B journeyman deleted text begin electrician'sdeleted text end new text begin electriciannew text end licenses shall be issued. An individual who holds a Class B journeyman deleted text begin electrician'sdeleted text end new text begin electriciannew text end license as of August 1, 1985new text begin ,new text end may retainnew text begin and renewnew text end the license and exercise the privileges it grants, which include electrical work limited to single phase systems, not over 200 amperes in capacity, on farmsteads or on single-family dwellings located in towns or municipalities with fewer than 2,500 inhabitants.

Subd. 3.

Class A installer.

Notwithstanding the provisions of subdivisions 1, 2, and 6, any deleted text begin persondeleted text end new text begin individualnew text end holding a Class A installer license may lay out and install and supervise the laying out and installing of electrical wiring, apparatus, or equipment for major electrical home appliances on the load side of the main service on farmsteads and in any town or municipality with fewer than 1,500 inhabitants, which is not contiguous to a city of the first class and does not contain an established business of a contractor.new text begin As of December 1, 2007, no new Class A installer licenses shall be issued. An individual who holds a Class A installer license as of December 1, 2007, may retain and renew the license and exercise the privileges it grants.new text end

Subd. 3a.

Class B installer.

Notwithstanding the provisions of subdivisions 1, 2 and 6, any deleted text begin persondeleted text end new text begin individualnew text end holding a Class B installer license may lay out and install electrical wiring, apparatus and equipment on center pivot irrigation booms on the load side of the main service on farmsteads, and install such other electrical equipment as is deleted text begin determineddeleted text end new text begin approvednew text end by the deleted text begin boarddeleted text end new text begin commissionernew text end .

Subd. 3b.

Coursework or experience.

An applicant for a Class A or B installer license shall have completed a post high school course in electricity deleted text begin acceptable todeleted text end new text begin approved bynew text end the deleted text begin boarddeleted text end new text begin commissionernew text end or shall have had at least one deleted text begin year'sdeleted text end new text begin year ofnew text end experience, deleted text begin acceptable todeleted text end new text begin approved bynew text end the deleted text begin boarddeleted text end new text begin commissioner,new text end in electrical wiring.

Subd. 3c.

Bond.

Everynew text begin Class A and Class Bnew text end installer, as a condition of licensure, shall give bond to the state in the sum of $1,000 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.

Subd. 3d.

Power limited technician.

(a) Except as otherwise provided by law, no deleted text begin persondeleted text end new text begin individualnew text end shall install, alter, repair, plan, lay out, or supervise the installing, altering, deleted text begin ordeleted text end repairingnew text begin , planning, or laying outnew text end of electrical wiring, apparatus, or equipment for technology circuits or systems unless:

(1) the deleted text begin persondeleted text end new text begin individualnew text end is licensed by the deleted text begin boarddeleted text end new text begin commissionernew text end as a power limited technician; and

(2) the electrical work is:

(i) for a licensed contractor and the deleted text begin persondeleted text end new text begin individualnew text end is an employee, partner, or officer of, or is the licensed contractor; or

(ii) performed under the new text begin direct new text end supervision of a master electrician or power limited technician also employed by the deleted text begin person'sdeleted text end new text begin individual'snew text end employer on technology circuits, systems, apparatus, equipment, or facilitiesnew text begin that arenew text end owned or leased by the employernew text begin andnew text end that are located within the limits of propertynew text begin operated, maintained, and eithernew text end owned or leaseddeleted text begin , operated, and maintaineddeleted text end by the employer.

(b) An applicant for a power limited technician's license shall (1) be a graduate of a four-year electrical course deleted text begin indeleted text end new text begin offered bynew text end an accredited college or university; or (2) have had at least 36 months' experience, acceptable to the board, in planning for, laying out, supervising, deleted text begin anddeleted text end installingnew text begin , altering, and repairingnew text end wiring, apparatus, or equipment for power limited systems, provided however, that the board may by rule provide for the allowance of up to 12 months (2,000 hours) of experience credit for successful completion of a two-year post high school electrical course or other technical training approved by the board.

deleted text begin (c) The board may initially set experience requirements without rulemaking, but must adopt rules before July 1, 2004. deleted text end

deleted text begin (d)deleted text end new text begin (c) new text end Licensees must attain deleted text begin eightdeleted text end new text begin 16new text end hours of continuing education acceptable to the board every renewal period.

deleted text begin (e) A person who has submitted an application by June 30, 2003, to take the alarm and communications examination administered by the board, and who has achieved a minimal score of 70 percent on the examination by September 30, 2003, may obtain a power limited technician license without further examination by submitting an application and a license fee of $30. deleted text end

deleted text begin (f)deleted text end new text begin (d)new text end A company holding an alarm and communication license as of June 30, 2003, may designate one deleted text begin persondeleted text end new text begin individualnew text end who may obtain a power limited technician license without passing an examination administered by the deleted text begin boarddeleted text end new text begin commissionernew text end by submitting an application and license fee of $30.

deleted text begin (g)deleted text end new text begin (e) new text end A person who has submitted an application by deleted text begin September 30, 2005deleted text end new text begin December 30, 2007new text end , to take the power limited technician examination administered by the deleted text begin boarddeleted text end new text begin department new text end is not required to meet the qualifications set forth in paragraph (b).

deleted text begin Subd. 4. deleted text end

deleted text begin Special electrician. deleted text end

deleted text begin Notwithstanding the provisions of subdivisions 1, 2, 6, and 7, the board may by rule provide for the issuance of special electrician licenses empowering the licensee to engage in a limited class or classes of electrical work, which class or classes shall be specified on the license certificate. Each licensee shall have had at least two years of experience, acceptable to the board, in each such limited class of work for which the licensee is licensed. deleted text end

Subd. 5.

Unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end .

(a) An unlicensed deleted text begin persondeleted text end new text begin individual means an individual who has not been licensed by the department to perform specific electrical work. An unlicensed individualnew text end shall not perform electrical work new text begin required to be performed by a licensed individual new text end unless new text begin the individual has first registered with the department as an unlicensed individual. Thereafter, an unlicensed individual shall not perform electrical work required to be performed by a licensed individual unless new text end the work is performed under the deleted text begin personaldeleted text end new text begin directnew text end supervision of deleted text begin a persondeleted text end new text begin an individual new text end actually licensed to perform such work deleted text begin anddeleted text end new text begin .new text end The licensed deleted text begin electriciandeleted text end new text begin individualnew text end and unlicensed deleted text begin persons aredeleted text end new text begin individual must be new text end employed by the same employer. Licensed deleted text begin personsdeleted text end new text begin individuals new text end shall not permit unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end to perform electrical work except under the deleted text begin personaldeleted text end new text begin directnew text end supervision of deleted text begin a persondeleted text end new text begin an individual new text end actually licensed to perform such work. Unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end shall not supervise the performance of electrical work or make assignments of electrical work to unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end . Except for technology circuit or system work, licensed deleted text begin personsdeleted text end new text begin individualsnew text end shall supervise no more than two unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end . For technology circuit or system work, licensed deleted text begin personsdeleted text end new text begin individualsnew text end shall supervise no more than three unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end .

(b) Notwithstanding any other provision of this section, no deleted text begin persondeleted text end new text begin individualnew text end other than a master electrician or power limited technician shall plan or lay out electrical wiring, apparatus, or equipment for light, heat, power, or other purposes, except circuits or systems exempted from personal licensing by subdivision 12, paragraph (b).

(c) Contractors employing unlicensed deleted text begin persons performingdeleted text end new text begin individuals to performnew text end electrical work shall maintain records establishing compliance with this subdivisiondeleted text begin , whichdeleted text end new text begin thatnew text end shall deleted text begin designatedeleted text end new text begin identifynew text end all unlicensed deleted text begin personsdeleted text end new text begin individualsnew text end performing electrical work, except for deleted text begin personsdeleted text end new text begin individualsnew text end working on circuits or systems exempted from personal licensing by subdivision 12, paragraph (b), and shall permit the deleted text begin boarddeleted text end new text begin departmentnew text end to examine and copy all such records deleted text begin as provided for in section 326.244, subdivision 6deleted text end .

new text begin (d) When a licensed individual supervises the electrical work of an unlicensed individual, the licensed individual is responsible for ensuring that the electrical work complies with the Minnesota Electrical Act and all rules adopted under the act. new text end

new text begin Subd. 5a. new text end

new text begin Registration of unlicensed individuals. new text end

new text begin Unlicensed individuals performing electrical work for a contractor or employer shall register with the department in the manner prescribed by the commissioner. Experience credit for electrical work performed in Minnesota after January 1, 2008, by an applicant for a license identified in this section shall not be granted where the applicant has not registered with or is not licensed by the department. new text end

Subd. 6.

Contractor's license required.

Except as otherwise provided by law, no deleted text begin persondeleted text end new text begin individualnew text end other than an employee, partner, or officer of a licensed contractor, as defined by section deleted text begin 326.01deleted text end new text begin 326B.31new text end , subdivision deleted text begin 5deleted text end new text begin 12new text end , shall deleted text begin undertakedeleted text end new text begin performnew text end or offer to deleted text begin undertake to plan for, lay out, supervise or install or to make additions, alterations, or repairs in the installation of electrical wiring, apparatus, and equipment for light, heat, power, and other purposesdeleted text end new text begin perform electrical worknew text end with or without compensation unless the deleted text begin persondeleted text end new text begin individualnew text end obtains a contractor's license. A contractor's license does not of itself qualify its holder to perform or supervise the electrical work authorized by holding any class of personal deleted text begin electricaldeleted text end license.

Subd. 6a.

Bond required.

new text begin As a condition of licensing, new text end each contractor shall give and maintain bond to the state in the deleted text begin penaldeleted text end sum of deleted text begin $5,000deleted text end new text begin $25,000new text end conditioned upon the faithful and lawful performance of all work deleted text begin entered upondeleted text end new text begin contracted for or performednew text end 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 deleted text begin boarddeleted text end new text begin commissionernew text end and shall be in lieu of all other license bonds to anynew text begin othernew text end political subdivision. Such bond shall be written by a corporate surety licensed to do business in the state of Minnesota.

Subd. 6b.

Insurance required.

Each contractor shall have and maintain in effect general liability insurance, which includes premises and operations insurance and products and completed operations insurance, with limits of at least $100,000 per occurrence, $300,000 aggregate limit for bodily injury, and property damage insurance with limits of at least deleted text begin $25,000deleted text end new text begin $50,000new text end or a policy with a single limit for bodily injury and property damage of $300,000 per occurrence and $300,000 aggregate limits. Such insurance shall be written by an insurer licensed to do business in the state of Minnesota and each contractor shall maintain on file with the deleted text begin boarddeleted text end new text begin commissionernew text end a certificate evidencing such insurance which provides that such insurance shall not be canceled without the insurer first giving 15 days written notice to the deleted text begin boarddeleted text end new text begin commissionernew text end of such cancellation.

Subd. 6c.

Employment of master electrician or power limited technician.

(a) deleted text begin No contractor shall engage in business of electrical contracting unless the contractor employs a licensed Class A master or Class Bdeleted text end new text begin Each contractor must designate a responsiblenew text end master electriciandeleted text begin ,deleted text end or power limited technician, who shall be responsible for the performance of all electrical work in accordance with the requirements of sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end or any rule or order adopted or issued under these sections. The classes of work deleted text begin for which thedeleted text end new text begin that anew text end licensed contractor is authorizednew text begin to performnew text end shall be limited to deleted text begin those for which such Class A master electrician, Class B master electrician, or power limited technician employed by the contractordeleted text end new text begin the classes of work that the responsible master electrician or power limited electriciannew text end is licensednew text begin to performnew text end .

(b) When a contractor's license is held by an individual,new text begin sole proprietorship,new text end partnership, limited liability company, or corporation and the individual,new text begin proprietor,new text end one of the partners, one of the members, or an officer of the corporation, respectively, is not the responsible master electrician or power limited technician deleted text begin of recorddeleted text end , all requests for inspection shall be signed by the responsible master electrician or power limited technician deleted text begin of recorddeleted text end . deleted text begin The designated responsible master electrician or power limited technician of record shall be employed by the individual, partnership, limited liability company, or corporation which is applying for a contractor's license and shall not be employed in any capacity as a licensed electrician or licensed technician by any other contractor or employer designated in subdivision 12.deleted text end new text begin If the contractor is an individual or a 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 licensed 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 electrical work on behalf of the contractor, and cannot be employed in any capacity as an electrician or technician by any other contractor or employer designated in subdivision 12. An individual may be the responsible licensed individual for only one contractor or employer.new text end

(c) All applicationsnew text begin and renewalsnew text end for deleted text begin contractor'sdeleted text end new text begin contractornew text end licenses deleted text begin and all renewalsdeleted text end shall include a verified statement that the applicant or licensee has complied with this subdivision.

Subd. 7.

Examination.

In addition to the new text begin other new text end requirements deleted text begin imposed hereindeleted text end new text begin described in this sectionnew text end and except as deleted text begin herein otherwisedeleted text end providednew text begin in subdivision 11new text end , as a precondition to issuance of a personal license, each applicant must pass a written or oral examination deleted text begin givendeleted text end new text begin developed and administerednew text end by the deleted text begin boarddeleted text end new text begin commissionernew text end to deleted text begin insuredeleted text end new text begin ensurenew text end the competence of each applicant for license. An oral examination shall be administered only to an applicant who furnishes a written statement from a certified teacher or other professional, trained in the area of reading disabilities stating that the applicant has a specific reading disability which would prevent the applicant from performing satisfactorily on a written test. The oral examination shall be structured so that an applicant who passes the examination will not impair the applicant's own safety or that of others while acting as a licensed deleted text begin persondeleted text end new text begin individualnew text end . No deleted text begin persondeleted text end new text begin individualnew text end failing an examination may retake it for six months thereafter, but within such six months the deleted text begin persondeleted text end new text begin individualnew text end may take an examination for a lesser grade of license. Any deleted text begin licenseedeleted text end new text begin individualnew text end failing to renew anew text begin personalnew text end license for two years or more after its expirationnew text begin , and any licensee whose personal license is revoked under this chapter,new text end shall be required to retake the examination before being issued a new license.new text begin An individual whose personal license is revoked under any other chapter is not required to retake the examination before being issued a new license, unless the personal license was revoked two years or more before the commissioner received the completed application for a new license. A licensee whose personal license is suspended for any reason is not required to retake the examination before the personal license is reinstated, unless the personal license has not been reinstated within two years after the suspension began.new text end

An applicant for a personal license shall submit to the deleted text begin boarddeleted text end new text begin commissionernew text end an application and examination fee at the time of application. Upon approval of the application, the deleted text begin boarddeleted text end new text begin commissionernew text end shall schedule the applicant for the next available examination, which shall be held within 60 days. The applicant shall be allowed one opportunity to reschedule an examination without being required to submit another application and examination fee. Additionally, an applicant who fails an examination, or whose application deleted text begin has been disapproved, mustdeleted text end new text begin was not approved, shallnew text end submit another application and examination fee.

Subd. 8.

License and renewal feesnew text begin ; expirationnew text end .

deleted text begin All licenses issued hereunder shall expire in a manner as provided by the board. deleted text end new text begin (a) Unless revoked or suspended under this chapter, all licenses issued or renewed under this section expire on the date specified in this subdivision. Master licenses expire March 1 of each odd-numbered year after issuance or renewal. Electrical contractor licenses expire March 1 of each even-numbered year after issuance or renewal. Technology system contractor licenses expire August 1 of each even-numbered year after issuance or renewal. All other personal licenses expire two years from the date of original issuance and every two years thereafter. new text end

new text begin (b)new text end Feesdeleted text begin , as set by the board, shall be payabledeleted text end fornew text begin application andnew text end examination,new text begin and for the originalnew text end issuance andnew text begin each subsequentnew text end renewal deleted text begin of the followingdeleted text end new text begin , arenew text end :

(1) Fornew text begin each personal license application andnew text end examination:new text begin $35;new text end

deleted text begin Class A Master. deleted text end

deleted text begin Class B Master. deleted text end

deleted text begin Class A Journeyman, Class B Journeyman, Installer, Power Limited Technician, or Special Electrician. deleted text end

(2) Fornew text begin originalnew text end issuance deleted text begin of original licensedeleted text end andnew text begin each subsequentnew text end renewalnew text begin ofnew text end :

Class A Masterdeleted text begin .deleted text end new text begin or master elevator constructor: $40 per yearnew text end new text begin ;new text end

Class B Masterdeleted text begin .deleted text end new text begin : $25 per yearnew text end new text begin ;new text end

Power Limited Techniciandeleted text begin .deleted text end new text begin : $15 per yearnew text end new text begin ;new text end

Class A Journeyman, Class B Journeyman, Installer, deleted text begin or Specialdeleted text end new text begin Elevator Constructor, Lineman, or Maintenance new text end Electriciandeleted text begin .deleted text end new text begin : $15 per yearnew text end new text begin ;new text end

deleted text begin Electricaldeleted text end contractordeleted text begin .deleted text end new text begin : $100 per year;new text end

deleted text begin Technology Systems Contractordeleted text end new text begin Unlicensed individual registration: $15 per yearnew text end .

new text begin (c) If any new license is issued in accordance with this subdivision for less than two years, the fee for the license shall be prorated on an annual basis. new text end

new text begin (d) A license fee may not be refunded after a license is issued or renewed. However, if the fee paid for a license was not prorated in accordance with this subdivision, the amount of the overpayment shall be refunded. new text end

new text begin (e) Any contractor who seeks reissuance of a license after it has been revoked or suspended under this chapter shall submit a reissuance fee of $100 before the license is reinstated. new text end

new text begin (f) The fee for the issuance of each duplicate license is $15. new text end

deleted text begin (3)deleted text end new text begin (g)new text end An individual or contractor who fails to renew a license before 30 days after the expiration of the license must submit a late fee equal to one year's license fee in addition to the full renewal fee. Fees for renewed licenses are not prorated. An individual or contractor that fails to renew a license by the expiration date is unlicensed until the license is renewed.

deleted text begin Subd. 9. deleted text end

deleted text begin Denial, suspension, and revocation of licenses. deleted text end

deleted text begin The board may by order deny, suspend, revoke, or refuse to renew a license, or may censure a licensee if the board finds (1) in its discretion that the order is in the public interest and (2) that, based upon a preponderance of the evidence presented, the applicant or licensee: deleted text end

deleted text begin (a) has filed an application for a license 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; deleted text end

deleted text begin (b) has engaged in any fraudulent, deceptive, or dishonest act or practice; deleted text end

deleted text begin (c) has been convicted within the past five years of a misdemeanor involving a violation of sections 326.241 to 326.248; deleted text end

deleted text begin (d) has violated or failed to comply with sections 326.241 to 326.248 or any rule or order adopted or issued under these sections; or deleted text end

deleted text begin (e) has, in the conduct of the applicant's or licensee's affairs, including, but not limited to, the performance of electrical work, been shown to be incompetent or untrustworthy. deleted text end

deleted text begin If a licensee engages in conduct that is proven by a preponderance of the evidence to be a basis for discipline pursuant to paragraphs (a) to (e), the conduct shall constitute a violation of this subdivision. The board may take action under this subdivision or any other law authorizing action against a licensee regardless of whether the underlying conduct was willful. deleted text end

deleted text begin The board may adopt rules further specifying and defining actions, conduct, and omissions that constitute fraudulent, deceptive, dishonest, or prohibited practices, and establishing standards of conduct for applicants and licensees. deleted text end

deleted text begin Subd. 9a. deleted text end

deleted text begin Civil penalties. deleted text end

deleted text begin Whenever a preponderance of the evidence presented proves that a person has violated or failed to comply with sections 326.241 to 326.248 or any rule or order adopted or issued under these sections, the board may impose a civil penalty upon the person in an amount not to exceed $10,000 per violation. deleted text end

deleted text begin Subd. 9b. deleted text end

deleted text begin Orders for hearing. deleted text end

deleted text begin The complaint committee may, on behalf of the board, issue an order requiring a licensee or an applicant for a license to appear at a hearing on the issue of whether the license should be revoked or suspended, the licensee censured, the application denied, or a civil penalty imposed. The order shall be calculated to give reasonable notice of the time and place for hearing, and shall state the reasons for the entry of the order. All hearings shall be conducted in accordance with chapter 14. After the hearing, the board shall enter an order making a disposition of the matter as the facts require. If the licensee or applicant fails to appear at a hearing of which that person has been duly notified, the person is in default and the proceeding may be determined against that person upon consideration of the order for hearing, the allegations of which may be deemed to be true. deleted text end

deleted text begin Subd. 9c. deleted text end

deleted text begin Temporary suspension. deleted text end

deleted text begin (a) The complaint committee may, on behalf of the board and in the public interest, temporarily suspend a license pending final determination of an order for hearing. The complaint committee shall not issue a temporary suspension order until an investigation of the facts has been conducted pursuant to section 214.10 by the attorney general. The complaint committee shall issue a temporary suspension order only when the safety of life or property is threatened or to prevent the commission of fraudulent, deceptive, or dishonest acts against the public. Service of the temporary suspension order is effective if the order is served on the licensee or counsel of record personally or by first class mail to the most recent address provided to the board for the licensee or the counsel of record. deleted text end

deleted text begin (b) If a license is suspended pending final determination of an order for hearing, a hearing on the merits shall be held within 45 days of the issuance of the order of temporary suspension. The administrative law judge shall issue a report within 30 days after closing of the contested case hearing record. The board shall issue a final order within 30 days after receipt of that report and any exceptions. deleted text end

deleted text begin (c) If the licensee requests a hearing in writing within ten days of service of the order, the board shall hold a hearing before its own members on the sole issue of whether there is a reasonable basis to continue, modify, or vacate the temporary suspension. The board shall hold the hearing within five working days of the licensee's request for hearing. Evidence presented by the complaint committee or licensee shall be in affidavit form only. The licensee or counsel of record for the licensee may appear for oral argument. Within five working days after the hearing, the board shall issue its order either continuing or vacating the temporary suspension. deleted text end

deleted text begin Subd. 9d. deleted text end

deleted text begin Cease and desist order. deleted text end

deleted text begin (a) Whenever it appears to the complaint committee that any person has engaged or is about to engage in any act or practice constituting a violation of sections 326.241 to 326.248, any other law authorizing the issuance of a cease and desist order, or any rule or order adopted or issued under these sections, the complaint committee may, on behalf of the board, issue and cause to be served upon the person an order requiring the person to cease and desist from violating sections 326.241 to 326.248 or any rule or order adopted or issued under these sections. The complaint committee shall not issue a cease and desist order until an investigation of the facts has been conducted pursuant to section 214.10 by the attorney general. The order shall be calculated to give reasonable notice of the right of the person to request a hearing and shall state the reasons for the entry of the order. If no hearing is requested of the board within 15 days of service of the order, the order shall become final and shall remain in effect until it is modified or vacated by the board and shall not be reviewable by a court. deleted text end

deleted text begin (b) A hearing shall be held not later than 30 days from the date of the board's receipt of a written hearing request, unless otherwise agreed by the person requesting the hearing and the complaint committee. Within 30 days of receipt of the administrative law judge's report and any exceptions, the board shall issue a final order modifying, vacating, or making permanent the cease and desist order as the facts require. The final order remains in effect until modified or vacated by the board. deleted text end

deleted text begin Subd. 9e. deleted text end

deleted text begin Costs of proceeding. deleted text end

deleted text begin The board may impose a fee to reimburse the board for all or part of the cost of the proceedings resulting in disciplinary action or the imposition of civil penalties or the issuance of a cease and desist order. Such fees include, but are not limited to, the amount paid by the board for services from the office of administrative hearings, attorney fees, court reporters, witnesses, reproduction of records, board members' per diem compensation, board staff time, and expense incurred by board members and staff. deleted text end

deleted text begin Subd. 9f. deleted text end

deleted text begin District court action; injunctive relief and civil penalties. deleted text end

deleted text begin (a) Whenever it appears to the board, or the complaint committee if authorized by the board, that any person has engaged or is about to engage in any act or practice constituting a violation of sections 326.241 to 326.248 or any rule or order adopted or issued under these sections, the board, or the complaint committee if authorized by the board, may bring an action in the name of the board in the Ramsey County District Court or the district court of any other county in which venue is proper. deleted text end

deleted text begin (b) The action may be brought to enjoin the acts or practices and to enforce compliance with sections 326.241 to 326.248, any other law authorizing a civil or injunctive action, or any rule or order adopted or issued under these sections and for a civil penalty not to exceed $10,000 for each separate violation of sections 326.241 to 326.248, any other law authorizing a civil or injunctive action, or any rule or order adopted or issued under these sections. deleted text end

deleted text begin (c) A temporary restraining order and other temporary injunctive relief shall be granted in the proceeding whenever it appears that any person has engaged in or is about to engage in any act, conduct, or practice constituting violation of sections 326.241 to 326.248, any other law authorizing a civil or injunctive action, or any rule or order adopted or issued under these sections. The board shall not be required to show irreparable harm. deleted text end

deleted text begin Subd. 9g. deleted text end

deleted text begin Other remedies. deleted text end

deleted text begin The issuance of a cease and desist order or injunctive relief under this section does not relieve a person from criminal prosecution by any competent authority or from disciplinary action by the board and does not prevent the board from exercising any other authority granted to it. deleted text end

deleted text begin Subd. 9h. deleted text end

deleted text begin Powers additional. deleted text end

deleted text begin The powers contained in subdivisions 9 to 9g are in addition to all other powers of the board. deleted text end

deleted text begin Subd. 9i. deleted text end

deleted text begin Cooperation required. deleted text end

deleted text begin A person who is the subject of an investigation, or who is questioned in connection with an investigation, by or on behalf of the board or its complaint committee shall cooperate fully with the investigation. Cooperation includes, but is not limited to: deleted text end

deleted text begin (1) responding fully and promptly to questions raised by or on behalf of the board or its complaint committee relating to the subject of the investigation; deleted text end

deleted text begin (2) providing copies of records in the person's possession related to the matter under investigation as requested by the board, its complaint committee, or the attorney general within the time limit set by the board, its complaint committee, or the attorney general; deleted text end

deleted text begin (3) assisting the board, its complaint committee, or the attorney general in its investigation; and deleted text end

deleted text begin (4) appearing at conferences or hearings scheduled by the board or its complaint committee. deleted text end

deleted text begin Subd. 9j. deleted text end

deleted text begin Disciplinary proceedings closed. deleted text end

deleted text begin Proceedings held before the board or its complaint committee under chapter 214 or subdivisions 9 to 9d are exempt from the requirements of section 13D.01. deleted text end

deleted text begin Subd. 9k. deleted text end

deleted text begin Conflicts of law. deleted text end

deleted text begin If there is a conflict between sections 326.241 to 326.248 and chapter 214, sections 326.241 to 326.248 shall control. deleted text end

deleted text begin Subd. 10. deleted text end

deleted text begin Continuation of business by estates. deleted text end

deleted text begin Upon the death of a master who is a contractor, the board may permit the decedent's representative to carry on the business of the decedent for a period not in excess of six months, for the purpose of completing work under contract or otherwise to comply with sections 326.241 to 326.248. The representative shall give such bond as the board may require conditioned upon the faithful and lawful performance of such work 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 written by a corporate surety licensed to do business in the state of Minnesota. Such representative shall also comply with all public liability and property damage insurance requirements imposed by this chapter upon a licensed contractor. deleted text end

Subd. 11.

Reciprocity.

deleted text begin To the extent that any other state which provides for the licensing of electricians provides for similar action the board may grant licenses, without examination, of the same grade and class to an electrician who has been licensed by such other state for at least one year, upon payment by the applicant of the required fee and upon the board being furnished with proof that the required fee and upon the board being furnished with proof that the qualifications of the applicant are equal to the qualifications of holders of similar licenses in Minnesota. deleted text end new text begin The commissioner may enter into reciprocity agreements for personal licenses with another state if approved by the board. Once approved by the board, the commissioner may issue a personal license without requiring the applicant to pass an examination provided the applicant: new text end

new text begin (a) submits an application under section 326.242; new text end

new text begin (b) pays the fee required under section 326.242; and new text end

new text begin (c) holds a valid comparable license in the state participating in the agreement. new text end

new text begin Agreements are subject to the following: new text end

new text begin (1) The parties to the agreement must administer a statewide licensing program that includes examination and qualifying experience or training comparable to Minnesota's. new text end

new text begin (2) The experience and training requirements under which an individual applicant qualified for examination in the qualifying state must be deemed equal to or greater than required for an applicant making application in Minnesota at the time the applicant acquired the license in the qualifying state. new text end

new text begin (3) The applicant must have acquired the license in the qualifying state through an examination deemed equivalent to the same class of license examination in Minnesota. A lesser class of license may be granted where the applicant has acquired a greater class of license in the qualifying state and the applicant otherwise meets the conditions of this subdivision. new text end

new text begin (4) At the time of application, the applicant must hold a valid license in the qualifying state and have held the license continuously for at least one year before making application in Minnesota. new text end

new text begin (5) An applicant is not eligible for a license under this subdivision if the applicant has failed the same or greater class of license examination in Minnesota, or if the applicant's license of the same or greater class has been revoked or suspended. new text end

new text begin (6) An applicant who has failed to renew a personal license for two years or more after its expiration is not eligible for a license under this subdivision. new text end

Subd. 12.

Exemptions from licensing.

(a)new text begin An individual who isnew text end a maintenance electrician deleted text begin who is supervised by the responsible master electrician for a contractor who has contracted with the maintenance electrician's employer to provide services for which a contractor's license is required or by a master electrician or an electrical engineer registered with the board and who is an employee of an employer and is engaged in the maintenance, and repair of electrical equipment, apparatus, and facilities owned or leased by the employer, and performed within the limits of property which is owned or leased and operated and maintained by said employer, shalldeleted text end new text begin isnew text end not deleted text begin bedeleted text end required to hold or obtain a license under sections deleted text begin 326.241 to 326.248.deleted text end new text begin 326B.31 to 326B.399 if:new text end

new text begin (1) the individual is engaged in the maintenance and repair of electrical equipment, apparatus, and facilities that are owned or leased by the individual's employer and that are located within the limits of property operated, maintained, and either owned or leased by the individual's employer; new text end

new text begin (2) the individual is supervised by: new text end

new text begin (i) the responsible master electrician for a contractor who has contracted with the individual's employer to provide services for which a contractor's license is required; or new text end

new text begin (ii) a licensed master electrician, a licensed maintenance electrician, an electrical engineer, or, if the maintenance and repair work is limited to technology circuit and system work, a licensed power limited technician; and new text end

new text begin (3) the individual's employer has filed with the commissioner a certificate of responsible person, signed by the responsible master electrician of the contractor, the licensed master electrician, the licensed maintenance electrician, the electrical engineer, or the licensed power limited technician, and stating that the person signing the certificate is responsible for ensuring that the maintenance and repair work performed by the employer's employees complies with the Minnesota Electrical Act and the rules adopted under that act. new text end

(b) Employees of a licensed electrical or technology systems contractor or other employer where provided with supervision by a master electrician in accordance with subdivision 1, or power limited technician in accordance with subdivision 3d, paragraph (a), clause (1), are not required to hold a license under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end for the planning, laying out, installing, altering, and repairing of technology circuits or systems except planning, laying out, or installing:

(1) in other than residential dwellings, class 2 or class 3 remote control circuits that control circuits or systems other than class 2 or class 3, except circuits that interconnect these systems through communication, alarm, and security systems are exempted from this paragraph;

(2) class 2 or class 3 circuits in electrical cabinets, enclosures, or devices containing physically unprotected circuits other than class 2 or class 3; or

(3) technology circuits and systems in hazardous classified locations as covered by chapter 5 of the National Electrical Code.

(c) Companies and their employees that plan, lay out, install, alter, or repair class 2 and class 3 remote control wiring associated with plug or cord and plug connected appliances other than security or fire alarm systems installed in a residential dwelling are not required to hold a license under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

(d) Heating, ventilating, air conditioning, and refrigeration contractors and their employees are not required to hold or obtain a license under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end when performing heating, ventilating, air conditioning, or refrigeration work as described in section 326.245.

(e) Employees of any deleted text begin electricdeleted text end new text begin electricalnew text end , communications, or railway utility, cable communications company as defined in section 238.02, or a telephone company as defined under section 237.01 or its employees, or of any independent contractor performing work on behalf of any such utility, cable communications company, or telephone company, shall not be required to hold a license under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end :

(1) while performing work on installations, materials, or equipment which are owned or leased, and operated and maintained by such utility, cable communications company, or telephone company in the exercise of its utility, antenna, or telephone function, and which

(i) are used exclusively for the generation, transformation, distribution, transmission, or metering of electric current, or the operation of railway signals, or the transmission of intelligence and do not have as a principal function the consumption or use of electric current or provided service by or for the benefit of any person other than such utility, cable communications company, or telephone company, and

(ii) are generally accessible only to employees of such utility, cable communications company, or telephone company or persons acting under its control or direction, and

(iii) are not on the load side of the service point or point of entrance for communication systems;

(2) while performing work on installations, materials, or equipment which are a part of the street lighting operations of such utility; or

(3) while installing or performing work on outdoor area lights which are directly connected to a utility's distribution system and located upon the utility's distribution poles, and which are generally accessible only to employees of such utility or persons acting under its control or direction.

(f) An owner shall not be required to hold or obtain a license under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective December 1, 2007, except that the amendments to subdivision 8 are effective July 1, 2007, and the amendments to subdivision 11 are effective retroactively from January 1, 2007. new text end

Sec. 21.

Minnesota Statutes 2006, section 326.243, is amended to read:

326.243 SAFETY STANDARDS.

All electrical wiring, apparatus and equipment for deleted text begin electricdeleted text end new text begin electricalnew text end light, heat and power, technology circuits or systems shall comply with the rules of the department deleted text begin of Commerce or the Department of Labor and Industry, as applicable,deleted text end new text begin and the boardnew text end and be installed in conformity with accepted standards of construction for safety to life and property. For the purposes of this chapter, the rules and safety standards stated at the time the work is done in the then most deleted text begin recently publisheddeleted text end new text begin currentnew text end edition of the National Electrical Code as adopted by the National Fire Protection Association, Inc. and approved by the American National Standards Institute, and the National Electrical Safety Code as published by the Institute of Electrical and Electronics Engineers, Inc. and approved by the American National Standards Institute, shall be prima facie evidence of accepted standards of construction for safety to life and property; provided further, that in the event a Minnesota Building Code is formulated pursuant to section 16B.61, containing approved methods of electrical construction for safety to life and property, compliance with said methods of electrical construction of said Minnesota Building Code shall also constitute compliance with this section, and provided further, that nothing herein contained shall prohibit any political subdivision from making and enforcing more stringent requirements than set forth herein and such requirements shall be complied with by all licensed electricians working within the jurisdiction of such political subdivisions.

Sec. 22.

Minnesota Statutes 2006, section 326.244, subdivision 1a, is amended to read:

Subd. 1a.

Technology systems.

(a) The installation of the technology circuits or systems described in paragraph (b), except:

(1) minor work performed by a contractor;

(2) work performed by a heating, ventilating, or air conditioning contractor as described in section 326.245; and

(3) work performed by cable company employees when installing cable communications systems or telephone company employees when installing telephone systems,

must be inspected as provided in this section for compliance with the applicable provisions of the National Electrical Code and the applicable provisions of the National Electrical Safety Code, as those codes were approved by the American National Standards Institute.

(b) The inspection requirements in paragraph (a) apply to:

(1) deleted text begin remote control circuits controllingdeleted text end class 2 or class 3 remote control circuits that control circuits or systems other than class 2 or class 3deleted text begin and indoor lightingdeleted text end , except circuits that interconnect these systems exempted by section 326.242, subdivision 12, paragraph (b), other than fire alarm; class 2 or class 3 circuits in electrical cabinets, enclosures, or devices containing physically unprotected circuits other than class 2 or class 3; or technology circuits and systems in hazardous classified locations as covered by chapter 5 of the National Electrical Code;

(2) fire alarm systems, other than in one- or two-family dwellings, as defined in articles 100 and 760 of the National Electrical Code;

(3) technology circuits and systems contained within critical care areas of health care facilities as defined by the safety standards identified in section 326.243, including, but not limited to, anesthesia and resuscitative alarm and alerting systems, medical monitoring, and nurse call systems; deleted text begin anddeleted text end

(4) physical security systems within detention facilitiesdeleted text begin .deleted text end new text begin ; andnew text end

new text begin (5) circuitry and equipment for indoor lighting systems as defined in article 411 of the National Electrical Code. new text end

(c) For the purposes of this subdivision "minor work" means the adjustment or repair and replacement of worn or defective parts of a technology circuit or system. Minor work may be inspected under this section at the request of the owner of the property or the person doing the work.

(d) Notwithstanding this subdivision, if an electrical inspector observes that a contractor, employer, or owner has not complied with accepted standards when the work was performed, as provided in the most recent editions of the National Electrical Code and the National Electrical Safety Code as approved by the American National Standards Institute, the inspector may order the contractor, employer, or owner who has performed the work to file a request for electrical inspection, pay an inspection fee, and make any necessary repairs to comply with applicable standards and require that the work be inspected.

Sec. 23.

Minnesota Statutes 2006, section 326.244, is amended by adding a subdivision to read:

new text begin Subd. 1b. new text end

new text begin Licenses; bond. new text end

new text begin All inspectors shall hold licenses as master or journeyman electricians under this chapter. All inspectors under contract with the department to provide electrical inspection services shall give bond in the amount of $1,000, conditioned upon the faithful performance of their duties. new text end

Sec. 24.

Minnesota Statutes 2006, section 326.244, subdivision 2, is amended to read:

Subd. 2.

Procedure.

(a) At or before commencement of any installation required to be inspected by the deleted text begin boarddeleted text end new text begin commissionernew text end , the contractor, installer, special electrician, or owner making the installation shall submit to the deleted text begin boarddeleted text end new text begin commissionernew text end a request for inspection, in a form prescribed by the deleted text begin boarddeleted text end new text begin commissionernew text end , together with the fees required for the installation.

(b) The fees required are a handling fee and an inspection fee. The handling fee shall be set by the deleted text begin boarddeleted text end new text begin commissionernew text end in an amount sufficient to pay the cost of printing and handling the form requesting an inspection. The inspection fee shall be set by the deleted text begin boarddeleted text end new text begin commissionernew text end in an amount sufficient to pay the actual costs of the inspection and the deleted text begin board'sdeleted text end new text begin commissioner'snew text end costs in administering the inspection. All fees shall be set pursuant to the procedure of sections 14.001 to 14.69.

(c) If the inspector finds that the installation is not in compliance with accepted standards of construction for safety to life and property as required by section 326.243, the inspector shall by written order condemn the installation or noncomplying portion thereof, or order service to the installation disconnected, and shall send a copy of the order to the deleted text begin boarddeleted text end new text begin commissionernew text end . If the installation or the noncomplying part will seriously and proximately endanger human life and property, the order of the inspector, when approved by the inspector's superior, shall require immediate condemnation or disconnection. In all other cases, the order of the inspector shall permit a reasonable opportunity for the installation to be brought into compliance with accepted standards of construction for safety to life and property prior to the effective time established for condemnation or disconnection.

(d) Copies of each condemnation or disconnection order shall be served personally or by mail upon the property owner, and the contractor, installer, or special electrician making the installation, and other persons as the deleted text begin boarddeleted text end new text begin commissionernew text end by rule may direct. An aggrieved party may appeal any condemnation or disconnection order by filing with the deleted text begin boarddeleted text end new text begin commissionernew text end a notice of appeal within ten days after (1) service upon the aggrieved party of the condemnation or disconnection order, if this service is required, or (2) filing of the order with the deleted text begin boarddeleted text end new text begin commissionernew text end , whichever is later. The appeal shall proceed and the order of the inspector shall have the effect the order, by its terms, and the rules of the deleted text begin boarddeleted text end new text begin commissionernew text end provides. The deleted text begin boarddeleted text end new text begin commissionernew text end shall adopt rules providing procedures for the conduct of appeals, including provisions for the stay of enforcement of the order of the inspector pending such appeal when justified by the circumstances.

Sec. 25.

Minnesota Statutes 2006, section 326.244, subdivision 3, is amended to read:

Subd. 3.

Duty of electrical utility.

No electrical installation subject to inspection by the deleted text begin boarddeleted text end new text begin commissionernew text end shall be newly connected or reconnected for use until there is filed with the electrical utility supplying power a certificate of the property owner or licensed electrician, directing the work that inspection has been requested and that the conditions of the installation are safe for energization, provided further, that in all cases where an order of condemnation or disconnection has been issued against the installation or any part thereof, prior to connection or reconnection there shall also first be filed with the electrical utility supplying the power a copy of an order of the inspector or the deleted text begin boarddeleted text end new text begin commissionernew text end dismissing such prior order of condemnation or disconnection or approving the installation as being in compliance with accepted standards of construction for safety to life and property. With respect to transient projects, the aforesaid certificate shall also contain a certification that the request for inspection has been or will be filed with the deleted text begin boarddeleted text end new text begin commissionernew text end so as to be received by it at least five days prior to the date and time energization of the installation by the utility is to occur, and that the request for inspection states such date and time, and it shall be the responsibility of the deleted text begin boarddeleted text end new text begin commissionernew text end to have inspection of such transient project occur prior to the date and time at which the request states energization is to occur.

Sec. 26.

Minnesota Statutes 2006, section 326.244, subdivision 4, is amended to read:

Subd. 4.

Powers of political subdivisions.

Any political subdivision or the University of Minnesota may make provision for inspection of electrical installations within its jurisdiction, in which case it shall keep on file with the deleted text begin boarddeleted text end new text begin commissionernew text end copies of its current inspection ordinances and codes. No political subdivision or the University of Minnesota shall require any individual, partnership, corporation or other business association holding a license from the deleted text begin boarddeleted text end new text begin commissionernew text end under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end to pay any license or registration fee, provided however, that any such political subdivision or the University of Minnesota may provide by ordinance a requirement that each individual, partnership, corporation or other business association doing electrical work within the jurisdiction of such political subdivision or the University of Minnesota have on file with said political subdivision a copy of the current license issued by the deleted text begin boarddeleted text end new text begin commissionernew text end or such other evidence of such license as may be provided by the deleted text begin boarddeleted text end new text begin commissionernew text end .

Each electrical inspector of any political subdivision or the University of Minnesota shall be a licensed master or journeyman electrician under section 326.242, subdivision 1, paragraph (1), or 2, paragraph (b), and shall not otherwise engage or be employed in the sale, installing, altering, or repairing of electrical wiring, apparatus, or equipment for light, heat, power, and other purposes and shall have no financial interest in any concern engaged in any such business.

Sec. 27.

Minnesota Statutes 2006, section 326.244, subdivision 5, is amended to read:

Subd. 5.

Exemptions from inspections.

Installations, materials, or equipment shall not be subject to inspection under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end :

(1) when owned or leased, operated and maintained by any employer whose maintenance electricians are exempt from licensing under sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end , while performing electrical maintenance work only as defined by board rule;

(2) when owned or leased, and operated and maintained by any deleted text begin electricdeleted text end new text begin electricalnew text end , communications, or railway utility, cable communications company as defined in section 238.02, or telephone company as defined under section 237.01, in the exercise of its utility, antenna, or telephone function; and

(i) are used exclusively for the generations, transformation, distribution, transmission, or metering of electric current, or the operation of railway signals, or the transmission of intelligence, and do not have as a principal function the consumption or use of electric current by or for the benefit of any person other than such utility, cable communications company, or telephone company; and

(ii) are generally accessible only to employees of such utility, cable communications company, or telephone company or persons acting under its control or direction; and

(iii) are not on the load side of the service point or point of entrance for communication systems;

(3) when used in the street lighting operations of an deleted text begin electricdeleted text end new text begin electricalnew text end utility;

(4) when used as outdoor area lights which are owned and operated by an deleted text begin electricdeleted text end new text begin electricalnew text end utility and which are connected directly to its distribution system and located upon the utility's distribution poles, and which are generally accessible only to employees of such utility or persons acting under its control or direction;

(5) when the installation, material, and equipment are in facilities subject to the jurisdiction of the federal Mine Safety and Health Act; or

(6) when the installation, material, and equipment is part of an elevator installation for which the elevator contractor, licensed under section 326.242, is required to obtain a permit from the authority having jurisdiction as provided by section 16B.747, and the inspection has been or will be performed by an elevator inspector certified deleted text begin by the Department of Administrationdeleted text end and licensed by the deleted text begin Board of Electricitydeleted text end new text begin departmentnew text end . This exemption shall apply only to installations, material, and equipment permitted or required to be connected on the load side of the disconnecting means required for elevator equipment under National deleted text begin Electricdeleted text end new text begin Electricalnew text end Code Article 620, and elevator communications and alarm systems within the machine room, car, hoistway, or elevator lobby.

Sec. 28.

Minnesota Statutes 2006, section 326.2441, is amended to read:

326.2441 INSPECTION FEE SCHEDULE.

Subdivision 1.

Schedule.

State electrical inspection fees shall be deleted text begin paid according todeleted text end new text begin calculated in accordance withnew text end subdivisions 2 to deleted text begin 13deleted text end new text begin 15new text end .

Subd. 2.

Fee for each separate inspection.

The minimum fee for each separate inspection of an installation, replacement, alteration, or repair is deleted text begin $20.deleted text end new text begin $35. Except as otherwise provided in this section, the maximum number of separate inspections allowed without payment of an additional fee is the whole number resulting from dividing by 35 the total fee calculated in accordance with this section. Where additional separate inspections are necessary, additional fees are required to result in a value equal to the total number of separate inspections multiplied by 35. The fee for any inspections needed after a "final inspection" is performed shall be calculated without consideration of any fee paid before the final inspection.new text end

Subd. 3.

Fee for services, generators, other power supply sourcesnew text begin , or feeders to separate structuresnew text end .

The inspection fee for the installation, addition, alteration, or repair of each service, change of service, temporary service, generator, other power supply source, or feeder to a separate structure is:

(1) 0 ampere to and including 400 ampere capacity, deleted text begin $25deleted text end new text begin $35new text end ;

(2) 401 ampere to and including 800 ampere capacity, deleted text begin $50deleted text end new text begin $60new text end ; and

(3) ampere capacity above 800, deleted text begin $75deleted text end new text begin $100new text end .

Where multiple disconnects are grouped at a single location and are supplied by a single set of supply conductors the cumulative rating of the overcurrent devices shall be used to determine the supply ampere capacity.

Subd. 4.

Fee for circuits, feeders, feeder taps, or new text begin sets of transformer secondary new text end conductors.

The inspection fee for the installation, addition, alteration, or repair of each circuit, feeder, feeder tap, or set of transformer secondary conductors, including the equipment served, is:

(1) 0 ampere to and including 200 ampere capacity, deleted text begin $5deleted text end new text begin $6new text end ; and

(2) ampere capacity above 200, deleted text begin $10deleted text end new text begin $15new text end .

new text begin Where existing feeders and circuits are reconnected to overcurrent devices installed as part of the replacement of an existing disconnect, switchboard, motor control center, or panelboard, the inspection fee for each circuit or feeder is $2. new text end

Subd. 5.

deleted text begin Limitations to fees of subdivisions 3 and 4deleted text end new text begin Inspection fee for dwellingsnew text end .

(a) The new text begin inspection new text end fee for a one-family dwelling and each dwelling unit of a two-family dwelling deleted text begin with a supply of up to 500 amperes where a combination of ten or more sources of supply, feeders, or circuits are installed, added, altered, repaired, or extended is $80. deleted text end new text begin is the following:new text end

new text begin (1) the fee for each service or other source of power as provided in subdivision 3; new text end

new text begin (2) $100 for up to 30 feeders and circuits; and new text end

new text begin (3) for each additional feeder or circuit, the fee as provided in subdivision 4. new text end

This fee applies to each separate installation for new dwellings and deleted text begin additions, alterations, or repairs to existing dwellings and includes not more than two inspections.deleted text end new text begin where 15 or more feeders or circuits are installed or extended in connection with any addition, alteration, or repair to existing dwellings. Where existing feeders and circuits are reconnected to overcurrent devices installed as part of the replacement of an existing panelboard, the fee for each reconnected feeder or circuit is $2. The maximum number of separate inspections shall be determined in accordance with subdivision 2. new text end The fee for additional inspections or other installations is that specified in subdivisions 2 deleted text begin todeleted text end new text begin ,new text end 4new text begin , 6, and 8new text end . The installer may submit fees for additional inspections when filing the request for electrical inspection.new text begin The fee for each detached accessory structure directly associated with a dwelling unit shall be calculated in accordance with subdivisions 3 and 4. When included on the same request for electrical inspection form, inspection fees for detached accessory structures directly associated with the dwelling unit may be combined with the dwelling unit fees to determine the maximum number of separate inspections in accordance with subdivision 2.new text end

(b) The new text begin inspection new text end fee for each dwelling unit of a multifamily dwelling with three deleted text begin to 12deleted text end new text begin or morenew text end dwelling units is deleted text begin $50 and the fee for each additional dwelling unit is $25.deleted text end new text begin $70 for a combination of up to 20 feeders and circuits and $6 for each additional feeder or circuit. This fee applies to each separate installation for each new dwelling unit and where ten or more feeders or circuits are installed or extended in connection with any addition, alteration, or repair to existing dwelling units. Where existing feeders or circuits are reconnected to overcurrent devices installed as part of the replacement of an existing panelboard, the fee for each reconnected feeder or circuit is $2. The maximum number of separate inspections for each dwelling unit shall be determined in accordance with subdivision 2. The fee for additional inspections or for inspection of other installations is that specified in subdivisions 2, 4, 6, and 8. new text end These fees include only inspection of the wiring within individual dwelling units and the final feeder to that unitdeleted text begin . This limitation is subject to the following conditions:deleted text end

deleted text begin (1)deleted text end new text begin wherenew text end the multifamily dwelling is provided with common service equipment and each dwelling unit is supplied by a separate feedernew text begin or feeders extended from common service or distribution equipmentnew text end . The fee for multifamily dwelling services or other power source supplies and all other circuits is that specified in subdivisions 2 to 4deleted text begin ; anddeleted text end new text begin .new text end

deleted text begin (2) this limitation applies only to new installations for multifamily dwellings where the majority of the individual dwelling units are available for inspection during each inspection trip. deleted text end

(c) A separate request for electrical inspection form must be filed for each dwelling unit that is supplied with an individual set of service entrance conductors. These fees are the one-family dwelling rate specified in paragraph (a).

Subd. 6.

Additions to fees of subdivisions 3 to 5.

(a) The fee for the electrical supply for each manufactured home park lot is deleted text begin $25deleted text end new text begin $35new text end . This fee includes the service or feeder conductors up to and including the service equipment or disconnecting means. The fee for feeders and circuits that extend from the service or disconnecting means is that specified in subdivision 4.

(b) The fee for each recreational vehicle site electrical supply equipment is deleted text begin $5deleted text end new text begin $6 for each circuit originating within the equipmentnew text end . The fee for recreational vehicle park services, feeders, and circuits is that specified in subdivisions 3 and 4.

(c) The fee for each street, parking lot, or outdoor area lighting standard deleted text begin is $1,deleted text end and deleted text begin the fee fordeleted text end each traffic signal standard is $5. Circuits originating within the standard or traffic signal controller shall not be used when deleted text begin computingdeleted text end new text begin calculatingnew text end the feenew text begin for each standardnew text end .

(d) The fee for transformers for light, heat, and power is deleted text begin $10deleted text end new text begin $15new text end for transformers rated up to ten kilovolt-amperes and deleted text begin $20deleted text end new text begin $30 new text end for transformers rated in excess of ten kilovolt-amperes.new text begin The previous sentence does not apply to Class 1 transformers or power supplies for Class 1 power-limited circuits or to Class 2 or Class 3 transformers or power supplies.new text end

(e) The fee for transformers and electronic power supplies for electric signs and outline lighting is $5 per unit.

(f) The fee for deleted text begin alarm, communication, remote control, and signaling deleted text end new text begin technology new text end circuits or systems, and circuits of less than 50 volts, is deleted text begin 50deleted text end new text begin 75new text end cents for each system device or apparatus.

(g) The fee for each separate inspection of the bonding for a swimming pool, spa, fountain, an equipotential plane for an agricultural confinement area, or similar installation deleted text begin shall be $20deleted text end new text begin is $35new text end . Bonding conductors and connections require an inspection before being concealed.

(h) The fee for all wiring installed on center pivot irrigation booms is deleted text begin $40deleted text end new text begin $35 plus $5 for each electrical drive unitnew text end .

(i) The fee for retrofit modifications to existing lighting fixtures is 25 cents per deleted text begin lighting fixturedeleted text end new text begin luminairenew text end .

new text begin (j) When a separate inspection of a concrete-encased grounding electrode is performed, the fee is $35. new text end

new text begin (k) The fees required by subdivisions 3 and 4 are doubled for installations over 600 volts. new text end

Subd. 7.

Investigation fees: work without a request for electrical inspection.

(a) Whenever any work for which a request for electrical inspection is required deleted text begin by the boarddeleted text end has begun without the request for electrical inspection form being filed with the deleted text begin boarddeleted text end new text begin commissionernew text end , a special investigation shall be made before a request for electrical inspection form is accepted deleted text begin by the boarddeleted text end .

(b) An investigation fee, in addition to the full fee required by subdivisions 1 to 6, shall be paid before an inspection is made. The investigation fee is two times the deleted text begin hourly ratedeleted text end new text begin minimum feenew text end specified in subdivision deleted text begin 10deleted text end new text begin 2new text end or the inspection fee required by subdivisions 1 to 6, whichever is greater, not to exceed $1,000. The payment of the investigation fee does not exempt any person from compliance with all other provisions of the deleted text begin boarddeleted text end new text begin departmentnew text end rules or statutes nor from any penalty prescribed by law.

Subd. 8.

Reinspection fee.

new text begin Notwithstanding the provisions of subdivisions 2 and 5, new text end when reinspection is necessary to determine whether unsafe conditions new text begin identified during a final inspection new text end have been corrected and the conditions are not the subject of an appeal pending before the deleted text begin boarddeleted text end new text begin commissionernew text end or any court, a reinspection fee of deleted text begin $20 may deleted text end new text begin $35 shall new text end be assessed in writing by the inspector.

Subd. 9.

Supplemental fee.

When inspections scheduled by the installer are preempted, obstructed, prevented, or otherwise not able to be completed as scheduled due to circumstances beyond the control of the inspector, a supplemental inspection fee of deleted text begin $20 may deleted text end new text begin $35 shall new text end be assessed in writing by the inspector.

Subd. 10.

Special inspection.

For inspections not covered in this section, or for requested special inspections or services, the fee deleted text begin shall be $30deleted text end new text begin is $80new text end per hour, including travel time, plus deleted text begin 31 centsdeleted text end new text begin the standard mileage ratenew text end per mile traveled, plus the reasonable cost of equipment or material consumed. This provision is applicable to inspection of empty conduits and other jobs as may be determined by the deleted text begin boarddeleted text end new text begin commissionernew text end . This fee may also be assessed when installations are not accessible by roadway and require alternate forms of transportationdeleted text begin .deleted text end new text begin or are located in the Northwest Angle, or when inspections are performed outside of Minnesota. For purposes of this subdivision, the standard mileage rate is the standard mileage rate effective at the time of travel, as established by the Internal Revenue Service for computing the deductible costs of operating an automobile for business expense purposes.new text end

Subd. 11.

Inspection of transitory projects.

(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 deleted text begin two-hourdeleted text end new text begin one-hournew text end 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 deleted text begin boarddeleted text end new text begin commissionernew text end 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 deleted text begin boarddeleted text end new text begin commissionernew text end 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 deleted text begin boarddeleted text end new text begin commissionernew text end and where the deleted text begin boarddeleted text end new text begin commissionernew text end 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 deleted text begin $20deleted text end new text begin $35new text end per unit with a supply of up to 60 amperes and deleted text begin $30deleted text end new text begin $40new text end 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 (a) and (b), a fee of deleted text begin two hoursdeleted text end new text begin one hournew text end 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 deleted text begin board maydeleted text end new text begin commissioner shall new text end retain the inspection fee when an owner, operator, or appointed representative of a transitory enterprise fails to notify the deleted text begin boarddeleted text end new text begin commissionernew text end at least 48 hours in advance of a scheduled inspection that is canceled.

new text begin Subd. 11a. new text end

new text begin Negotiated fee. new text end

new text begin When the fee calculated in accordance with subdivisions 2 to 11 results in a total fee that unreasonably exceeds the cost of inspection, the commissioner may negotiate a fee that more reasonably offsets the cost of inspection. new text end

Subd. 12.

Handling fee.

The handling fee to pay the cost of printing and handling of thenew text begin papernew text end form requesting an new text begin electrical new text end inspection is new text begin up to new text end $1.

Subd. 13.

National Electrical Code used for interpretation of provisions.

For purposes of interpretation of this section and Minnesota Rules, chapter 3800, the most recently adopted edition of the National Electrical Code shall be prima facie evidence of the definitions, interpretations, and scope of words and terms used.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 29.

Minnesota Statutes 2006, section 326.245, is amended to read:

326.245 MANUFACTURED ELECTRICAL PARTS; EXEMPTION.

Subdivision 1.

Manufacturers.

Electrical components, apparatus, or appliances being manufactured within the limits of property which is owned or leased by a manufacturer and such manufacturer's production employees are not covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

Subd. 2.

Electrical appliance units.

Installation, alteration, or repair of electrical appliance units are not covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end . For the purposes of this section, "electrical appliance units" means all electrical and fossil fuel appliances that use electricity including, but not limited to, furnaces, water heaters, stoves, clothes washers, dryers, and dishwashers. The installation of electrical wiring to an electrical appliance unit is covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

Subd. 3.

Other units.

Planning, laying out, and installation of heating, ventilating, air conditioning, or refrigeration units are not covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end . For purposes of this section, heating, ventilating, air conditioning, or refrigeration units include, but are not limited to, air conditioning units, air conditioning evaporators, air conditioning condensers, air conditioning and refrigeration chillers, boilers, furnaces, air handling units, rooftop units, humidifiers, ice makers, and supermarket, ice arena, and bar/restaurant equipment. The installation of electrical wiring to the unit is covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

Subd. 4.

Other equipment.

Planning, laying out, alteration, replacement, or repair of heating, ventilating, air conditioning, or refrigeration equipment, and associated devices, controls, and wiring including wiring in or on the equipment, are not covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end when the work is performed by an employee of a heating, ventilating, air conditioning, or refrigeration contractor provided that the employee performing the work has received a certificate of completion from a heating, ventilating, air conditioning, or refrigeration apprenticeship program approved by the state of Minnesota or any class of personal deleted text begin electricaldeleted text end license issued by the deleted text begin boarddeleted text end new text begin commissionernew text end . Employees registered in an approved heating, ventilating, air conditioning, or refrigeration program may design, plan, alter, replace, or repair heating, ventilating, air conditioning, or refrigeration equipment, devices, and controls including wiring in or on the equipment, under the direction of an employee who has a certificate of completion from an approved program or any class of personal deleted text begin electricaldeleted text end license issued by the deleted text begin boarddeleted text end new text begin commissionernew text end . The installation of electrical wiring to the unit is covered by sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399new text end .

Sec. 30.

Minnesota Statutes 2006, section 326.248, is amended to read:

326.248 CITATION.

Sections deleted text begin 326.241 to 326.248deleted text end new text begin 326B.31 to 326B.399 new text end shall be known as the Minnesota Electrical Act.

Sec. 31.

new text begin [326B.31] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Scope. new text end

new text begin For purposes of sections 326B.31 to 326B.399, the terms defined in this section have the meanings given them. new text end

new text begin Subd. 2. new text end

new text begin Class A electrical contractor. new text end

new text begin "Class A electrical contractor" means a licensed contractor whose responsible licensed individual is a licensed Class A master electrician. new text end

new text begin Subd. 7. new text end

new text begin Class B electrical contractor. new text end

new text begin "Class B electrical contractor" means a licensed contractor whose responsible licensed individual is a licensed Class B master electrician. new text end

new text begin Subd. 23. new text end

new text begin Personal license. new text end

new text begin "Personal license" means any license issued by the commissioner under section 326B.33 or the rules adopted under section 326B.33, except a contractor's license. new text end

new text begin Subd. 27. new text end

new text begin Responsible licensed individual. new text end

new text begin A contractor's "responsible licensed individual" means the licensed Class A master electrician, Class B master electrician, master elevator constructor, or power limited technician designated in writing by the contractor in the contractor's license application, or in another manner acceptable to the commissioner, as the individual responsible for the contractor's compliance with sections 326B.31 to 326B.399 and all rules and orders adopted or issued under these sections. The terms "licensed responsible individual" and "licensed responsible master electrician or power limited technician" are synonymous. new text end

new text begin Subd. 32. new text end

new text begin Technology system contractor. new text end

new text begin "Technology system contractor" means a licensed contractor whose responsible licensed individual is a licensed power limited technician. new text end

Sec. 32.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin The revisor of statutes shall renumber each section of Minnesota Statutes listed in column A with the number listed in column B. The revisor shall also make necessary cross-reference changes consistent with the renumbering. new text end

new text begin Column A new text end new text begin Column B new text end
new text begin 326.01, subd. 2 new text end new text begin 326B.31, subd. 6 new text end
new text begin 326.01, subd. 3 new text end new text begin 326B.31, subd. 5 new text end
new text begin 326.01, subd. 4 new text end new text begin 326B.31, subd. 28 new text end
new text begin 326.01, subd. 5 new text end new text begin 326B.31, subd. 12 new text end
new text begin 326.01, subd. 6 new text end new text begin 326B.31, subd. 10 new text end
new text begin 326.01, subd. 6a new text end new text begin 326B.31, subd. 9 new text end
new text begin 326.01, subd. 6b new text end new text begin 326B.31, subd. 4 new text end
new text begin 326.01, subd. 6c new text end new text begin 326B.31, subd. 8 new text end
new text begin 326.01, subd. 6e new text end new text begin 326B.31, subd. 22 new text end
new text begin 326.01, subd. 6f new text end new text begin 326B.31, subd. 15 new text end
new text begin 326.01, subd. 6g new text end new text begin 326B.31, subd. 14 new text end
new text begin 326.01, subd. 6i new text end new text begin 326B.31, subd. 13 new text end
new text begin 326.01, subd. 6j new text end new text begin 326B.31, subd. 26 new text end
new text begin 326.01, subd. 6k new text end new text begin 326B.31, subd. 24 new text end
new text begin 326.01, subd. 6l new text end new text begin 326B.31, subd. 31 new text end
new text begin 326.01, subd. 6m new text end new text begin 326B.31, subd. 25 new text end
new text begin 326.2415 new text end new text begin 326B.32 new text end
new text begin 326.242 new text end new text begin 326B.33 new text end
new text begin 326.2421 new text end new text begin 326B.34 new text end
new text begin 326.243 new text end new text begin 326B.35 new text end
new text begin 326.244 new text end new text begin 326B.36 new text end
new text begin 326.2441 new text end new text begin 326B.37 new text end
new text begin 326.245 new text end new text begin 326B.38 new text end
new text begin 326.247 new text end new text begin 326B.39 new text end
new text begin 326.248 new text end new text begin 326B.399 new text end

Sec. 33.

new text begin REPEALER. new text end

new text begin Minnesota Statutes 2006, sections 326.01, subdivision 4; 326.241; and 326.247, new text end new text begin are repealed. new text end

ARTICLE 6

PLUMBING

Section 1.

Minnesota Statutes 2006, section 325E.37, subdivision 6, is amended to read:

Subd. 6.

Scope; limitations.

(a) This section applies to a sales representative who, during some part of the period of the sales representative agreement:

(1) is a resident of Minnesota or maintains that person's principal place of business in Minnesota; or

(2) whose geographical territory specified in the sales representative agreement includes part or all of Minnesota.

(b) To be effective, any demand for arbitration under subdivision 5 must be made in writing and delivered to the principal on or before one year after the effective date of the termination of the agreement.

new text begin (c) A provision in any contract between a sales representative dealing in plumbing equipment or supplies and a principal purporting to waive any provision of this act, whether by express waiver or by a provision stipulating that the contract is subject to the laws of another state, shall be void. new text end

Sec. 2.

Minnesota Statutes 2006, section 326.01, subdivision 7, is amended to read:

Subd. 7.

Journeyman plumber.

A "journeyman plumber" is deleted text begin any persondeleted text end new text begin an individualnew text end , other than a master plumber, who, as a principal occupation, is engaged as an employee of, or new text begin is new text end otherwise working under the direction of, a master plumber in the practical installation of plumbing.

Sec. 3.

Minnesota Statutes 2006, section 326.01, subdivision 8, is amended to read:

Subd. 8.

Master plumber.

A "master plumber" is deleted text begin any persondeleted text end new text begin an individual who isnew text end skilled in the planning, superintending, and the practical installation of plumbing deleted text begin anddeleted text end new text begin , who isnew text end otherwise lawfully qualified to contract for plumbing and installations and to conduct the business of plumbing and who is familiar with the laws and rules governing the same.

Sec. 4.

Minnesota Statutes 2006, section 326.37, is amended to read:

326.37 RULES; new text begin AGREEMENTS WITH MUNICIPALITIES; new text end CAPACITY STANDARDS; LICENSE EXEMPTION.

Subdivision 1.

Rules.

The deleted text begin state commissioner of healthdeleted text end new text begin Plumbing Boardnew text end may, by rule, prescribe minimum standards which shall be uniformdeleted text begin ,deleted text end and which deleted text begin standardsdeleted text end shall deleted text begin thereafterdeleted text end be effective for all new plumbing installations, including additions, extensions, alterations, and replacements connected with any water or sewage disposal system owned or operated by or for any municipality, institution, factory, office building, hotel, apartment building, or any other place of business regardless of location or the population of the city or town in whichnew text begin the installation is to benew text end located. Notwithstanding the provisions of Minnesota Rules, part 4715.3130, as they apply to review of plans and specifications, the commissioner may allow plumbing construction, alteration, or extension to proceed without approval of the plans or specifications by the commissioner.

The commissioner shall administer the provisions of sections deleted text begin 326.37deleted text end new text begin 326.361new text end to and for such purposes may employ plumbing inspectors and other assistants.

new text begin Subd. 1a. new text end

new text begin Agreements with municipalities. new text end

new text begin The commissioner may enter into an agreement with a municipality, in which the municipality agrees to perform plan and specification reviews required to be performed by the commissioner under Minnesota Rules, part 4715.3130, if: new text end

new text begin (a) the municipality has adopted: new text end

new text begin (1) the plumbing code; new text end

new text begin (2) an ordinance that requires plumbing plans and specifications to be submitted to, reviewed, and approved by the municipality, except as provided in paragraph (h); new text end

new text begin (3) an ordinance that authorizes the municipality to perform inspections required by the plumbing code; and new text end

new text begin (4) an ordinance that authorizes the municipality to enforce the plumbing code in its entirety, except as provided in paragraph (p); new text end

new text begin (b) the municipality agrees to review plumbing plans and specifications for all construction for which the plumbing code requires the review of plumbing plans and specifications, except as provided in paragraph (n); new text end

new text begin (c) the municipality agrees that, when it reviews plumbing plans and specifications under paragraph (b), the review will: new text end

new text begin (1) reflect the degree to which the plans and specifications affect the public health and conform to the provisions of the plumbing code; new text end

new text begin (2) ensure that there is no physical connection between water supply systems that are safe for domestic use and those that are unsafe for domestic use; and new text end

new text begin (3) ensure that there is no apparatus through which unsafe water may be discharged or drawn into a safe water supply system; new text end

new text begin (d) the municipality agrees to perform all inspections required by the plumbing code in connection with projects for which the municipality reviews plumbing plans and specifications under paragraph (b); new text end

new text begin (e) the commissioner determines that the individuals who will conduct the inspections and the plumbing plan and specification reviews for the municipality do not have any conflict of interest in conducting the inspections and the plan and specification reviews; new text end

new text begin (f) individuals who will conduct the plumbing plan and specification reviews for the municipality are: new text end

new text begin (1) licensed master plumbers; new text end

new text begin (2) licensed professional engineers; or new text end

new text begin (3) individuals who are working under the supervision of a licensed professional engineer or licensed master plumber and who are licensed master or journeyman plumbers or hold a postsecondary degree in engineering; new text end

new text begin (g) individuals who will conduct the plumbing plan and specification reviews for the municipality have passed a competency assessment required by the commissioner to assess the individual's competency at reviewing plumbing plans and specifications; new text end

new text begin (h) individuals who will conduct the plumbing inspections for the municipality are licensed master or journeyman plumbers, or inspectors meeting the competency requirements established in rules adopted under section 16B.655; new text end

new text begin (i) the municipality agrees to enforce in its entirety the plumbing code on all projects, except as provided in paragraph (p); new text end

new text begin (j) the municipality agrees to keep official records of all documents received, including plans, specifications, surveys, and plot plans, and of all plan reviews, permits and certificates issued, reports of inspections, and notices issued in connection with plumbing inspections and the review of plumbing plans and specifications; new text end

new text begin (k) the municipality agrees to maintain the records described in paragraph (j) in the official records of the municipality for the period required for the retention of public records under section 138.17, and shall make these records readily available for review at the request of the commissioner; new text end

new text begin (l) the municipality and the commissioner agree that if at any time during the agreement the municipality does not have in effect the plumbing code or any of ordinances described in item (a), or if the commissioner determines that the municipality is not properly administering and enforcing the plumbing code or is otherwise not complying with the agreement: new text end

new text begin (1) the commissioner may, effective 14 days after the municipality's receipt of written notice, terminate the agreement; new text end

new text begin (2) the municipality may challenge the termination in a contested case before the commissioner pursuant to the Administrative Procedure Act; and new text end

new text begin (3) while any challenge is pending under item (2), the commissioner shall perform plan and specification reviews within the municipality under Minnesota Rules, part 4715.3130; new text end

new text begin (m) the municipality and the commissioner agree that the municipality may terminate the agreement with or without cause on 90 days' written notice to the commissioner; new text end

new text begin (n) the municipality and the commissioner agree that the municipality shall forward to the state for review all plumbing plans and specifications for the following types of projects within the municipality: new text end

new text begin (1) hospitals, nursing homes, supervised living facilities, and similar health-care-related facilities regulated by the Minnesota Department of Health; new text end

new text begin (2) buildings owned by the federal or state government; and new text end

new text begin (3) projects of a special nature for which department review is requested by either the municipality or the state; new text end

new text begin (o) where the municipality forwards to the state for review plumbing plans and specifications, as provided in paragraph (n), the municipality shall not collect any fee for plan review, and the commissioner shall collect all applicable fees for plan review; and new text end

new text begin (p) no municipality shall revoke, suspend, or place restrictions on any plumbing license issued by the state. new text end

new text begin Subd. 1b. new text end

new text begin Existing agreements with municipalities. new text end

new text begin Any agreement between the commissioner and a municipality in which the municipality has agreed to perform plan and specification reviews required to be performed by the commissioner under Minnesota Rules, part 4715.3130, that is in effect on the effective date of subdivision 1a, shall remain in effect and shall not be required to be in compliance with subdivision 1a. If any agreement to perform plan and specification reviews required to be performed by the commissioner under Minnesota Rules, part 4715.3130, in effect on the effective date of subdivision 1a is later terminated by operation of the terms of the agreement or by either the commissioner or the municipality, or expires, then any new agreement between the commissioner and the municipality to perform plan and specification reviews required to be performed by the commissioner under Minnesota Rules, part 4715.3130, shall comply with subdivision 1a. new text end

Subd. 2.

Standards for capacity.

deleted text begin By January 1, 1993,deleted text end All new floor-mounted water closets in areas under jurisdiction of the deleted text begin Statedeleted text end plumbing code may not have a flush volume of more than 1.6 gallons. The water closets must meet the standards deleted text begin of the commissioner anddeleted text end new text begin in the plumbing code and the standards ofnew text end the American National Standards Institute.

Subd. 3.

Exemption.

No license new text begin or registration new text end authorized by deleted text begin this sectiondeleted text end new text begin sections 326.361 to 326.44new text end shall be required of any deleted text begin contractor or employeedeleted text end new text begin individualnew text end engaged in new text begin or employed by a person engaged in new text end the work or business of pipe laying outside of buildings if such deleted text begin persondeleted text end new text begin individual or employernew text end is engaged in a business or trade which has traditionally performed such work within the state prior to January 1, 1994.

new text begin Subd. 4. new text end

new text begin Air admittance valves and water-free urinals prohibited. new text end

new text begin (a) Mechanical devices and fittings with internal moving parts are prohibited from installation in plumbing venting systems. new text end

new text begin (b) All urinals covered under the jurisdiction of the state plumbing code must have a water flush device with a volume of not more than one gallon per use. new text end

Sec. 5.

new text begin [326.3705] PLUMBING BOARD. new text end

new text begin Subdivision 1. new text end

new text begin Composition. new text end

new text begin (a) The plumbing board shall consist of 14 members. Twelve members shall be appointed by the governor with the advice and consent of the senate and shall be voting members. Appointments of members by the governor shall be made in accordance with section 15.066. If the senate votes to refuse to consent to an appointment of a member made by the governor, the governor shall appoint a new member with the advice and consent of the senate. One member shall be the commissioner of labor and industry or the commissioner of labor and industry's designee, who shall be a voting member. One member shall be the commissioner of health or the commissioner of health's designee, who shall not be a voting member. Of the 12 appointed members, the composition shall be as follows: new text end

new text begin (1) two members shall be municipal plumbing inspectors, one from the metropolitan area and one from greater Minnesota; new text end

new text begin (2) one member shall be a licensed professional engineer specializing in plumbing designs or systems; new text end

new text begin (3) two members shall be commercial/industrial plumbing contractors, one from the metropolitan area and one from greater Minnesota; new text end

new text begin (4) one member shall be a residential plumbing contractor; new text end

new text begin (5) two members shall be commercial/industrial journeymen, one from the metropolitan area and one from greater Minnesota; new text end

new text begin (6) one member shall be a residential plumbing journeyman; new text end

new text begin (7) one member shall be a water conditioning contractor; new text end

new text begin (8) one member shall be a municipal public water supply system operator or superintendent; and new text end

new text begin (9) one member shall be a public member as defined by section 214.02. new text end

new text begin One of the municipal plumbing inspectors shall be appointed for an initial term to end on December 31, 2010. The other municipal plumbing inspector shall be appointed for an initial term to end on December 31, 2011. The professional engineer shall be appointed for an initial term to end on December 31, 2011. One of the commercial/industrial plumbing contractors shall be appointed for an initial term to end on December 31, 2010. The other commercial/industrial plumbing contractor shall be appointed for an initial term to end on December 31, 2011. The residential plumbing contractor shall be appointed for an initial term to end on December 31, 2010. One of the commercial/industrial plumbing journeymen shall be appointed for an initial term to end on December 31, 2011. The other commercial/industrial plumbing journeyman shall be appointed for an initial term to end on December 31, 2010. The residential plumbing journeyman shall be appointed for an initial term to end on December 31, 2011. The water conditioning contractor shall be appointed for an initial term to end on December 31, 2011. The municipal public water supply system operator or superintendent shall be appointed for an initial term to end on December 31, 2010. The public member shall be appointed for a term to end December 31, 2010. new text end

new text begin (b) The licensed professional engineer must possess a current Minnesota professional engineering license and maintain the license for the duration of their term. All other appointed members, except for the water conditioning contractor and the municipal public water supply system operator or superintendent, must possess a current plumbing license issued by the Department of Labor and Industry and maintain that license for the duration of their term. The water conditioning contractor must be licensed as a water conditioning contractor by the Department of Labor and Industry and maintain the license for the duration of the term on the board. All appointed members must be residents of Minnesota at the time of and throughout the member's appointment. The term of any appointed member that does not maintain membership qualification status shall end on the date of the status change and the governor shall appoint a new member. It is the responsibility of the member to notify the board of the member's status change. new text end

new text begin (c) For appointed members, except the initial terms designated in paragraph (a), each term shall be three years with the terms ending on December 31. Members appointed by the governor shall be limited to three consecutive terms. The governor shall, all or in part, reappoint the current members or appoint replacement members with the advice and consent of the senate. Midterm vacancies shall be filled for the remaining portion of the term. Vacancies occurring with less than six months time remaining in the term shall be filled for the existing term and the following three-year term. Members may serve until their successors are appointed but in no case later than July 1 in a year in which the term expires unless reappointed. new text end

new text begin Subd. 2. new text end

new text begin Powers; duties; administrative support. new text end

new text begin (a) The board shall have the power to: new text end

new text begin (1) elect its chair, vice-chair, and secretary; new text end

new text begin (2) adopt bylaws that specify the duties of its officers, the meeting dates of the board, and containing such other provisions as may be useful and necessary for the efficient conduct of the business of the board; new text end

new text begin (3) adopt the plumbing code that must be followed in this state and any plumbing code amendments thereto. The board shall adopt the plumbing code and any amendments thereto pursuant to chapter 14 and as provided in subdivision 6, paragraphs (b), (c), and (d); new text end

new text begin (4) review requests for final interpretations and issue final interpretations as provided in section 16B.63, subdivision 5; new text end

new text begin (5) except for rules regulating continuing education, adopt rules that regulate the licensure or registration of plumbing contractors, journeymen, apprentices, master plumbers, restricted master plumbers, and restricted journeymen and other persons engaged in the design, installation, and alteration of plumbing systems, except for those individuals licensed under sections 326.02, subdivisions 2 and 3. The board shall adopt these rules pursuant to chapter 14 and as provided in subdivision 6, paragraphs (e) and (f); new text end

new text begin (6) advise the commissioner regarding educational requirements for plumbing inspectors; new text end

new text begin (7) refer complaints or other communications to the commissioner, whether oral or written, as provided in subdivision 7, that alleges or implies a violation of a statute, rule, or order that the commissioner has the authority to enforce pertaining to code compliance, licensure, or an offering to perform or performance of unlicensed plumbing services; new text end

new text begin (8) approve per diem and expenses deemed necessary for its members as provided in subdivision 3; new text end

new text begin (9) approve license reciprocity agreements; new text end

new text begin (10) select from its members individuals to serve on any other state advisory council, board, or committee; and new text end

new text begin (11) recommend the fees for licenses and certifications. new text end

new text begin Except for the powers granted to the Plumbing Board, the Board of Electricity, and the Board of High Pressure Piping Systems, the commissioner of labor and industry shall administer and enforce the provisions of this chapter and any rules promulgated pursuant thereto. new text end

new text begin (b) The board shall comply with section 15.0597, subdivisions 2 and 4. new text end

new text begin (c) The commissioner shall coordinate the board's rulemaking and recommendations with the recommendations and rulemaking conducted by the other boards created pursuant to chapter 326B. The commissioner shall provide staff support to the board. The support includes professional, legal, technical, and clerical staff necessary to perform rulemaking and other duties assigned to the board. The commissioner of labor and industry shall supply necessary office space and supplies to assist the board in its duties. new text end

new text begin Subd. 3. new text end

new text begin Compensation. new text end

new text begin (a) Members of the board may be compensated at a rate of $55 a day spent on board activities, when authorized by the board, plus expenses in the same manner and amount as authorized by the commissioner's plan adopted under section 43A.18, subdivision 2. Members who, as a result of time spent attending board meetings, incur child care expenses that would not otherwise have been incurred, may be reimbursed for those expenses upon board authorization. new text end

new text begin (b) Members who are state employees or employees of the political subdivisions of the state must not receive the daily payment for activities that occur during working hours for which they are compensated by the state or political subdivision. However, a state or political subdivision employee may receive the daily payment if the employee uses vacation time or compensatory time accumulated in accordance with a collective bargaining agreement or compensation plan for board activities. Members who are state employees or employees of the political subdivisions of the state may receive the expenses provided for in this subdivision unless the expenses are reimbursed by another source. Members who are state employees or employees of political subdivisions of the state may be reimbursed for child care expenses only for time spent on board activities that are outside their working hours. new text end

new text begin (c) The board shall adopt internal standards prescribing what constitutes a day spent on board activities for purposes of making daily payments under this subdivision. new text end

new text begin Subd. 4. new text end

new text begin Removal; vacancies. new text end

new text begin (a) An appointed member of the board may be removed by the governor at any time (1) for cause, after notice and hearing, or (2) after missing three consecutive meetings. The chair of the board shall inform the governor of an appointed member missing the three consecutive meetings. After the second consecutive missed meeting and before the next meeting, the secretary of the board shall notify the appointed member in writing that the member may be removed for missing the next meeting. In the case of a vacancy on the board, the governor shall, with the advice and consent of the senate, appoint a person to fill the vacancy for the remainder of the unexpired term. new text end

new text begin (b) Vacancies shall be filled pursuant to section 15.0597, subdivisions 5 and 6. new text end

new text begin Subd. 5. new text end

new text begin Membership vacancies within three months of appointment. new text end

new text begin Notwithstanding any law to the contrary, when a membership on the board becomes vacant within three months after being filled through the appointments process, the governor may, upon notification to the office of secretary of state, choose a new member from the applications on hand and need not repeat the process. new text end

new text begin Subd. 6. new text end

new text begin Officers, quorum, voting. new text end

new text begin (a) The board shall elect annually from its members a chair, vice-chair, and secretary. A quorum of the board shall consist of a majority of members of the board qualified to vote on the matter in question. All questions concerning the manner in which a meeting is conducted or called that is not covered by statute shall be determined by Robert's Rules of Order (revised) unless otherwise specified by the bylaws. new text end

new text begin (b) Except as provided in paragraph (c), each plumbing code amendment considered by the board that receives an affirmative two-thirds or more majority vote of all of the voting members of the board shall be included in the next plumbing code rulemaking proceeding initiated by the board. If a plumbing code amendment considered, or reconsidered, by the board receives less than a two-thirds majority vote of all the voting members of the board, the plumbing code amendment shall not be included in the next plumbing code rulemaking proceeding initiated by the board. new text end

new text begin (c) If the plumbing code amendment considered by the board is to replace the Minnesota Plumbing Code with a model plumbing code, then the amendment may only be included in the next plumbing code rulemaking proceeding if it receives an affirmative two-thirds or more majority vote of all the voting members of the board. new text end

new text begin (d) The board may reconsider plumbing code amendments during an active plumbing code rulemaking proceeding in which the amendment previously failed to receive a two-thirds majority vote or more of all the voting members of the board only if new or updated information that affects the plumbing code amendment is presented to the board. The board may also reconsider failed plumbing code amendments in subsequent plumbing code rulemaking proceedings. new text end

new text begin (e) Each proposed rule and rule amendment considered by the board pursuant to the rulemaking authority specified in subdivision 2, paragraph (a), clause (5), that receives an affirmative majority vote of all the voting members of the board shall be included in the next rulemaking proceeding initiated by the board. If a proposed rule or rule amendment considered, or reconsidered, by the board receives less than an affirmative majority vote of all the voting members of the board, the proposed rule or rule amendment shall not be included in the next rulemaking proceeding initiated by the board. new text end

new text begin (f) The board may reconsider proposed rules or rule amendments during an active rulemaking proceeding in which the amendment previously failed to receive an affirmative majority vote of all the voting members of the board only if new or updated information that affects the proposed rule or rule amendment is presented to the board. The board may also reconsider failed proposed rules or rule amendments in subsequent rulemaking proceedings. new text end

new text begin Subd. 6a. new text end

new text begin Board meetings. new text end

new text begin (a) The board shall hold meetings at such times as the board shall specify. Notice and conduct of all meetings shall be pursuant to chapter 13D and in such a manner as the bylaws may provide. new text end

new text begin (b) If compliance with section 13D.02 is impractical, the board may conduct a meeting of its members by telephone or other electronic means so long as the following conditions are met: new text end

new text begin (1) all members of the board participating in the meeting, wherever their physical location, can hear one another and can hear all discussion and testimony; new text end

new text begin (2) members of the public present at the regular meeting location of the board can hear clearly all discussion and testimony and all votes of members of the board and, if needed, receive those services required by sections 15.44 and 15.441; new text end

new text begin (3) at least one member of the board is physically present at the regular meeting location; and new text end

new text begin (4) all votes are conducted by roll call, so each member's vote on each issue can be identified and recorded. new text end

new text begin Each member of the board participating in a meeting by telephone or other electronic means is considered present at the meeting for purposes of determining a quorum and participating in all proceedings. new text end

new text begin If telephone or other electronic means is used to conduct a regular, special, or emergency meeting, the board, to the extent practical, shall allow a person to monitor the meeting electronically from a remote location. The board may require the person making such a connection to pay for documented costs that the board incurs as a result of the additional connection. new text end

new text begin If telephone or other electronic means is used to conduct a regular, special, or emergency meeting, the board shall provide notice of the regular meeting location, of the fact that some members may participate by telephone or other electronic means, and that a person may monitor the meeting electronically from a remote location. Any person monitoring the meeting electronically from a remote location may be required to pay documented costs incurred by the board as a result of the additional connection. The timing and method of providing notice is governed by section 13D.04. new text end

new text begin Subd. 7. new text end

new text begin Complaints. new text end

new text begin (a) The board shall promptly forward to the commissioner the substance of any complaint or communication it receives, whether written or oral, that alleges or implies a violation of a statute, rule, or order that the commissioner has the authority to enforce pertaining to the license or registration of any person authorized by the department to provide plumbing services, the performance or offering to perform plumbing services requiring licensure by an unlicensed person, or plumbing code compliance. Each complaint or communication that is forwarded to the commissioner shall be submitted on a form provided by the commissioner. new text end

new text begin (b) The commissioner shall advise the board of the status of the complaint within 90 days after the board's written submission is received, or within 90 days after the board is provided with a written request for additional information or documentation from the commissioner or the commissioner's designee, whichever is later. The commissioner shall advise the board of the disposition of a complaint referred by the board within 180 days after the board's written submission is received. The commissioner shall annually report to the board a summary of the actions taken in response to complaints referred by the board. new text end

new text begin Subd. 8. new text end

new text begin Data Practices Act. new text end

new text begin The board is subject to chapter 13, the Minnesota Government Data Practices Act, and shall protect from unlawful disclosure data classified as not public. new text end

new text begin Subd. 9. new text end

new text begin Official records. new text end

new text begin The board shall make and preserve all records necessary to a full and accurate knowledge of its official activities in accordance with section 15.17. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 6.

Minnesota Statutes 2006, section 326.38, is amended to read:

326.38 LOCAL REGULATIONS.

deleted text begin Any city having a system of waterworks or sewerage, or any town in which reside over 5,000 people exclusive of any statutory cities located therein, or the metropolitan airports commission,deleted text end new text begin Any of the following entitiesnew text end may, by ordinance, adopt local regulations providing for plumbing permits, deleted text begin bonds,deleted text end approval of plansnew text begin and specificationsnew text end , and inspections of plumbing, which regulations are not in conflict with the plumbing deleted text begin standards on the same subject prescribed by the state commissioner of health.deleted text end new text begin code: any city having a system of waterworks or sewerage, regardless of population; any town having a population of 5,000 or more according to the last federal census, exclusive of any statutory cities located therein; and the Metropolitan Airports Commission.new text end No deleted text begin city or such towndeleted text end new text begin such entitynew text end shall prohibit plumbers licensed by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end from engaging in or working at the businessnew text begin of plumbingnew text end , except cities and statutory cities which, prior to April 21, 1933, by ordinance required the licensing of plumbers. new text begin No such entity shall require any person who engages in the business of plumbing to post a bond as a prerequisite for engaging in the business of plumbing, except the bond to the state required under section 326.40 and except any performance bond required under a contract with the person for the performance of plumbing work for the entity. No such entity shall require any person who engages in the business of plumbing to maintain public liability insurance as a prerequisite for engaging in the business of plumbing, except the insurance required under section 326.40 and except any public liability insurance required under a contract with the person for the performance of plumbing work for the entity. No city or town may require a license for persons performing building sewer or water service installation who have completed pipe laying training as prescribed by the commissioner of labor and industry. new text end Any city by ordinance may prescribe regulations, reasonable standards, and inspections and grant permits to any persondeleted text begin , firm, or corporationdeleted text end engaged in the business of installing water softeners, who is not licensed as a master plumber or journeyman plumber by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end , to connect water softening and water filtering equipment to private residence water distribution systems, where provision has been previously made therefor and openings left for that purpose or by use of cold water connections to a domestic water heater; where it is not necessary to rearrange, make any extension or alteration of, or addition to any pipe, fixture or plumbing connected with the water system except to connect the water softener, and provided the connections so made comply with minimum standards prescribed by the deleted text begin statedeleted text end deleted text begin commissionerdeleted text end deleted text begin of healthdeleted text end new text begin Plumbing Boardnew text end .

Sec. 7.

Minnesota Statutes 2006, section 326.39, is amended to read:

326.39 VIOLATIONS TO BE REPORTED TO deleted text begin STATEdeleted text end COMMISSIONER deleted text begin OF HEALTHdeleted text end .

Such local authority as may be designated by any such ordinance for the issuance of such plumbing permits and approval of such plans shall report to the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end persistent or willful violation of the same and any incompetence of a licensed plumber observed by the local authority.

Sec. 8.

Minnesota Statutes 2006, section 326.40, is amended to read:

326.40 LICENSING, BOND AND INSURANCE.

Subdivision 1.

License requireddeleted text begin ; master and journeyman plumbersdeleted text end .

deleted text begin In any city now or hereafter having 5,000 or more population, according to the last federal census, and having a system of waterworks or sewerage,deleted text end new text begin (a) new text end No persondeleted text begin , firm, or corporationdeleted text end shall engage in or work at the business of a master plumber deleted text begin ordeleted text end new text begin , restricted master plumber,new text end journeyman plumbernew text begin , and restricted journeyman plumbernew text end unless licensed to do so by the state commissioner deleted text begin of healthdeleted text end . new text begin A license is not required for individuals performing building sewer or water service installation who have completed pipe laying training as prescribed by the commissioner of labor and industry.new text end A master plumber may also work as a journeyman plumbernew text begin , a restricted journeyman plumber, and a restricted master plumber. A journeyman plumber may also work as a restricted journeyman plumbernew text end . Anyone not so licensed may do plumbing work which complies with the provisions of the minimum deleted text begin standarddeleted text end new text begin standardsnew text end prescribed by the deleted text begin state commissioner of healthdeleted text end new text begin Plumbing Board new text end on premises or that part of premises owned and actually occupied by the worker as a residence, unless otherwise forbidden to do so by a local ordinance.

deleted text begin In any such citydeleted text end new text begin (b) new text end No persondeleted text begin , firm, or corporationdeleted text end shall engage in the business of new text begin planning, superintending, or new text end installing plumbing deleted text begin nordeleted text end new text begin or shallnew text end install plumbing in connection with the dealing in and selling of plumbing material and supplies unless at all times a licensed master plumber,new text begin or in cities and towns with a population of fewer than 5,000 according to the federal census, a restricted master plumber,new text end who shall be responsible for proper installation, is in charge of the plumbing work of the person, firm, or corporation.

deleted text begin The Department of Health shall prescribe rules, not inconsistent herewith, for the examination and licensing of plumbers. deleted text end

Subd. 2.

Bond; insurance.

Any person contracting to do plumbing work must give bond to the state in the amount of $25,000 for all work entered into within the state. 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 new text begin State new text end Plumbing Code. deleted text begin Adeleted text end new text begin Thenew text end bond deleted text begin given to the statedeleted text end shall be filed with the commissionerdeleted text begin of healthdeleted text end and deleted text begin shall be in lieu of all other bonds to any political subdivision required for plumbing work. The bonddeleted text end shall be written by a corporate surety licensed to do business in the state.

In addition, each applicant for a master plumber license or renewal thereof, deleted text begin maydeleted text end new text begin shallnew text end provide evidence of 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 and each licensed master plumber shall maintain on file with the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end a certificate evidencing the insurance providing that the insurance shall not be canceled without the insurer first giving 15 days written notice to the commissioner. The term of the insurance shall be concurrent with the term of the license. deleted text begin The certificate shall be in lieu of all other certificates required by any political subdivision for licensing purposes.deleted text end

Subd. 3.

Bond and insurance exemption.

new text begin If new text end a master plumber deleted text begin who is an employee of a master plumber or who is an employee engaged within the limits of property owned, leased and operated, or maintained by the employer, in the maintenance and repair of plumbing equipment, apparatus, or facilities owned or leased by the employer,deleted text end new text begin who is in compliance with the bond and insurance requirements of subdivision 2 employs another master plumber, the employee master plumber new text end shall not be required to meet the bond and insurance requirements of subdivision 2.new text begin A master plumber who is an employee working on the maintenance and repair of plumbing equipment, apparatus, or facilities owned or leased by their employer and which is within the limits of property owned or leased, and operated or maintained by their employer, shall not be required to meet the bond and insurance requirements of subdivision 2.new text end

deleted text begin Subd. 4. deleted text end

deleted text begin Alternative compliance. deleted text end

deleted text begin Compliance with the local bond requirements of a locale within which work is to be performed shall be deemed to satisfy the bond and insurance requirements of subdivision 2, provided the local ordinance requires at least a $25,000 bond. deleted text end

Subd. 5.

Fee.

deleted text begin The state commissioner of health may chargedeleted text end Each person giving bond new text begin to the state under subdivision 2 shall pay the department new text end an annual bond deleted text begin filingdeleted text end new text begin registrationnew text end fee deleted text begin commensurate with the cost of administering the bond and insurance requirements of subdivision 2deleted text end new text begin of $40new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective December 1, 2007, except that the amendments to subdivision 5 are effective July 1, 2007. new text end

Sec. 9.

Minnesota Statutes 2006, section 326.401, is amended to read:

326.401 PLUMBER'S APPRENTICES.

Subdivision 1.

Registration.

deleted text begin Adeleted text end new text begin Allnew text end plumber's deleted text begin apprenticedeleted text end new text begin apprenticesnew text end must be registerednew text begin . To be a registered plumber's apprentice, an individual must either:new text end

new text begin (1) be an individual employed in the trade of plumbing under an apprenticeship agreement approved by the department under Minnesota Rules, part 5200.0300; or new text end

new text begin (2) be an unlicensed individual registerednew text end with the commissioner deleted text begin of health on a registration application form supplied by the commissioner showing the date of beginning training, age, schooling, previous experience, employer, and other information required by the commissioner.deleted text end new text begin under subdivision 3. A plumber's apprentice is authorized to assist in the installation of plumbing only while under the direct supervision of a master, restricted master, journeyman, or restricted journeyman plumber. The master, restricted master, journeyman, or restricted journeyman plumber is responsible for ensuring that all plumbing work performed by the plumber's apprentice complies with the plumbing code. new text end

Subd. 2.

Journeyman exam.

A plumber's apprentice who has completed four years of practical plumbing experience is eligible to take the journeyman plumbing examination. Up to 24 months of practical plumbing experience prior to deleted text begin registration as an apprenticedeleted text end new text begin becoming a plumber's apprentice new text end may be applied to the four-year experience requirement. However, none of this practical plumbing experience may be applied if the deleted text begin persondeleted text end new text begin individualnew text end did not have any practical plumbing experience in the 12-month period immediately prior to deleted text begin registrationdeleted text end new text begin becoming a plumber's apprenticenew text end . The deleted text begin commissionerdeleted text end new text begin Plumbing Boardnew text end may adopt rules to evaluate whether the deleted text begin person'sdeleted text end new text begin individual'snew text end past practical plumbing experience is applicable in preparing for the journeyman's examination. If two years after completing the training the deleted text begin persondeleted text end new text begin individualnew text end has not taken the examination, the four years of experience shall be forfeited.

The commissioner may allow an extension of the two-year period for taking the exam for cases of hardship or other appropriate circumstances.

Subd. 3.

new text begin Registration, rules, applications, renewals, and new text end fees.

deleted text begin The Department of Health may assess fees to pay for the administration of the apprentice registration program. deleted text end new text begin An unlicensed individual may register by completing and submitting to the commissioner a registration form provided by the commissioner. A completed registration form must state the date the individual began training, the individual's age, schooling, previous experience, and employer, and other information required by the commissioner. The board may prescribe rules, not inconsistent with this section, for the registration of unlicensed individuals. Each applicant for initial registration as a plumber's apprentice shall pay the department an application fee of $25. Applications for initial registration may be submitted at any time. Registration must be renewed annually and shall be for the period from July 1 of each year to June 30 of the following year. Applications for renewal registration must be received by the commissioner by June 30 of each registration period on forms provided by the commissioner, and must be accompanied by a fee of $25. An application for renewal registration received on or after July 1 in any year but no more than three months after expiration of the previously issued registration must pay the past due renewal fee plus a late fee of $25. No applications for renewal registration will be accepted more than three months after expiration of the previously issued registration. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 10.

new text begin [326.402] RESTRICTED PLUMBER LICENSE. new text end

new text begin Subdivision 1. new text end

new text begin Licensure. new text end

new text begin The commissioner of labor and industry shall grant a restricted journeyman or restricted master plumber license to an individual if: new text end

new text begin (1) the individual completes an application with information required by the commissioner of labor and industry; new text end

new text begin (2) the completed application is accompanied by a fee of $30; new text end

new text begin (3) the commissioner of labor and industry receives the completed application and fee before January 1, 2008; new text end

new text begin (4) the completed application demonstrates that the applicant has had at least two years for a restricted journeyman plumber license or four years for a restricted master plumber license of practical plumbing experience in the plumbing trade prior to the application; and new text end

new text begin (5) during the entire time for which the applicant is claiming experience in contracting for plumbing work under clause (4), the applicant was in compliance with all applicable bond requirements of section 326.40. new text end

new text begin Subd. 2. new text end

new text begin Use of license. new text end

new text begin A restricted master plumber and restricted journeyman plumber may engage in the plumbing trade in all areas of the state except in cities and towns with a population of more than 5,000 according to the federal census. new text end

new text begin Subd. 3. new text end

new text begin Application period. new text end

new text begin Applications for restricted master plumber and restricted journeyman plumber licenses must be submitted to the commissioner prior to January 1, 2008. new text end

new text begin Subd. 4. new text end

new text begin Renewal; use period for license. new text end

new text begin A restricted master plumber and restricted journeyman plumber license must be renewed annually for as long as that licensee engages in the plumbing trade. Failure to renew a restricted master plumber and restricted journeyman plumber license within 12 months after the expiration date will result in permanent forfeiture of the restricted master plumber and restricted journeyman plumber license. new text end

new text begin Subd. 5. new text end

new text begin Prohibition of transference. new text end

new text begin A restricted master plumber and restricted journeyman plumber license may not be transferred or sold to any other person. new text end

new text begin Subd. 6. new text end

new text begin Bond; insurance. new text end

new text begin A restricted master or a restricted journeyman plumber licensee is subject to the bond and insurance requirements of section 326.40, subdivision 2, unless the exemption provided by section 326.40, subdivision 3, applies. new text end

new text begin Subd. 7. new text end

new text begin Fee. new text end

new text begin The annual fee for the restricted master plumber and restricted journeyman plumber licenses is the same fee as for a master or journeyman plumber license, respectively. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 11.

Minnesota Statutes 2006, section 326.405, is amended to read:

326.405 RECIPROCITY WITH OTHER STATES.

deleted text begin The commissioner of health may license without examination, upon payment of the required fee, nonresident applicants who are licensed under the laws of a state having standards for licensing plumbers which the commissioner determines are substantially equivalent to the standards of this state if the other state grants similar privileges to Minnesota residents duly licensed in this state. deleted text end new text begin The commissioner may enter into reciprocity agreements for personal licenses with another state if approved by the board. Once approved by the board, the commissioner may issue a plumber's license without requiring the applicant to pass an examination provided the applicant: new text end

new text begin (a) submits an application under section 326.42; new text end

new text begin (b) pays the fee required under section 326.42; and new text end

new text begin (c) holds a valid comparable license in the state participating in the agreement. new text end

new text begin Agreements are subject to the following: new text end

new text begin (1) The parties to the agreement must administer a statewide licensing program that includes examination and qualifying experience or training comparable to Minnesota's. new text end

new text begin (2) The experience and training requirements under which an individual applicant qualified for examination in the qualifying state must be deemed equal to or greater than required for an applicant making application in Minnesota at the time the applicant acquired the license in the qualifying state. new text end

new text begin (3) The applicant must have acquired the license in the qualifying state through an examination deemed equivalent to the same class of license examination in Minnesota. A lesser class of license may be granted where the applicant has acquired a greater class of license in the qualifying state and the applicant otherwise meets the conditions of this subdivision. new text end

new text begin (4) At the time of application, the applicant must hold a valid license in the qualifying state and have held the license continuously for at least one year before making application in Minnesota. new text end

new text begin (5) An applicant is not eligible for a license under this subdivision if the applicant has failed the same or greater class of license examination in Minnesota, or if the applicant's license of the same or greater class has been revoked or suspended. new text end

new text begin (6) An applicant who has failed to renew a plumber's license for two years or more after its expiration is not eligible for a license under this subdivision. new text end

Sec. 12.

Minnesota Statutes 2006, section 326.42, is amended to read:

326.42 APPLICATIONS, FEES.

Subdivision 1.

Application.

Applications for plumber's license shall be made to the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end , with fee. Unless the applicant is entitled to a renewal, the applicant shall be licensed by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end only after passing a satisfactory examination new text begin developed and administerednew text end by the deleted text begin examinersdeleted text end new text begin commissioner, based upon rules adopted by the Plumbing Board,new text end showing fitness. Examination fees for both journeyman and master plumbers shall be deleted text begin in an amount prescribed by the state commissioner of health pursuant to section 144.122deleted text end new text begin $50 for each examinationnew text end . Upon being notified deleted text begin thatdeleted text end of having successfully passed the examination for original license the applicant shall submit an application, with the license fee herein provided. deleted text begin License fees shall be in an amount prescribed by the state commissioner of health pursuant to section 144.122. Licenses shall expire and be renewed as prescribed by the commissioner pursuant to section 144.122.deleted text end new text begin The license fee for each initial and renewal master plumber's license shall be $120. The license fee for each initial and renewal journeyman plumber's license shall be $55. The commissioner may by rule prescribe for the expiration and renewal of licenses. Any licensee who does not renew a license within two years after the license expires is no longer eligible for renewal. Such an individual must retake and pass the examination before a new license will be issued. A journeyman or master plumber who submits a license renewal application after the time specified in rule but within two years after the license expired must pay all past due renewal fees plus a late fee of $25.new text end

Subd. 2.

Feesnew text begin for plan reviews and auditsnew text end .

Plumbing system plans and specifications that are submitted to the commissioner for review shall be accompanied by the appropriate plan examination fees. If the commissioner determines, upon review of the plans, that inadequate fees were paid, the necessary additional fees shall be paid prior to plan approval. The commissioner shall charge the following fees for plan reviews and audits of plumbing installations for public, commercial, and industrial buildings:

(1) systems with both water distribution and drain, waste, and vent systems and having:

(i) 25 or fewer drainage fixture units, $150;

(ii) 26 to 50 drainage fixture units, $250;

(iii) 51 to 150 drainage fixture units, $350;

(iv) 151 to 249 drainage fixture units, $500;

(v) 250 or more drainage fixture units, $3 per drainage fixture unit to a maximum of $4,000; and

(vi) interceptors, separators, or catch basins, $70 per interceptor, separator, or catch basin design;

(2) building sewer service only, $150;

(3) building water service only, $150;

(4) building water distribution system only, no drainage system, $5 per supply fixture unit or $150, whichever is greater;

(5) storm drainage system, a minimum fee of $150 or:

(i) $50 per drain opening, up to a maximum of $500; and

(ii) $70 per interceptor, separator, or catch basin design;

(6) manufactured home park or campground, one to 25 sites, $300;

(7) manufactured home park or campground, 26 to 50 sites, $350;

(8) manufactured home park or campground, 51 to 125 sites, $400;

(9) manufactured home park or campground, more than 125 sites, $500;

(10) accelerated review, double the regular fee, one-half to be refunded if no response from the commissioner within 15 business days; and

(11) revision to previously reviewed or incomplete plans:

(i) review of plans for which new text begin the new text end commissioner has issued two or more requests for additional information, per review, $100 or ten percent of the original fee, whichever is greater;

(ii) proposer-requested revision with no increase in project scope, $50 or ten percent of original fee, whichever is greater; and

(iii) proposer-requested revision with an increase in project scope, $50 plus the difference between the original project fee and the revised project fee.

new text begin Subd. 3. new text end

new text begin Inspection fees. new text end

new text begin The commissioner shall charge the following fees for inspections under sections 326.361 to 326.44: new text end

new text begin Residential inspection fee (each visit) new text end new text begin $50 new text end
new text begin Public, commercial, and industrial inspections new text end new text begin Inspection fee new text end
new text begin 25 or fewer drainage fixture units new text end new text begin $300 new text end
new text begin 26 to 50 drainage fixture units new text end new text begin $900 new text end
new text begin 51 to 150 drainage fixture units new text end new text begin $1,200 new text end
new text begin 151 to 249 drainage fixture units new text end new text begin $1,500 new text end
new text begin 250 or more drainage fixture units new text end new text begin $1,800 new text end
new text begin Callback fee (each visit) new text end new text begin $100 new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 13.

new text begin [326B.41] PURPOSE. new text end

new text begin The purpose of sections 326B.41 to 326B.49 is to promote the public health and safety through properly designed, acceptably installed, and adequately maintained plumbing systems. new text end

Sec. 14.

new text begin [326B.42] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Words, terms, and phrases. new text end

new text begin For purposes of sections 326B.41 to 326B.49, the terms defined in this section have the meanings given to them. new text end

new text begin Subd. 2. new text end

new text begin Direct supervision. new text end

new text begin The term "direct supervision," with respect to direct supervision of a plumber's apprentice by a master, restricted master, journeyman, or restricted journeyman plumber, means that: new text end

new text begin (1) at all times while the plumber's apprentice is performing plumbing work, the supervising plumber is present at the location where the plumber's apprentice is working; new text end

new text begin (2) the supervising plumber is physically present and immediately available to the plumber's apprentice at all times for assistance and direction; new text end

new text begin (3) any form of electronic supervision does not meet the requirement of physically present; new text end

new text begin (4) the supervising plumber actually reviews the plumbing work performed by the plumber's apprentice before the plumbing is operated; and new text end

new text begin (5) the supervising plumber is able to and does determine that all plumbing work performed by the plumber's apprentice is performed in compliance with the plumbing code. new text end

new text begin Subd. 3. new text end

new text begin Municipality. new text end

new text begin The term "municipality" shall have the meaning given to it in section 16B.60, subdivision 3. new text end

new text begin Subd. 4. new text end

new text begin Plumbing code. new text end

new text begin "Plumbing code" means Minnesota Rules, chapter 4715. new text end

Sec. 15.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin The revisor of statutes shall renumber each section of Minnesota Statutes listed in column A with the number listed in column B. The revisor shall also make necessary cross-referenced changes consistent with the renumbering. new text end

new text begin Column A new text end new text begin Column B new text end
new text begin 326.01, subd. 7 new text end new text begin 326B.42, subd. 3 new text end
new text begin 326.01, subd. 8 new text end new text begin 326B.42, subd. 4 new text end
new text begin 326.01, subd. 9 new text end new text begin 326B.42, subd. 7 new text end
new text begin 326.37 new text end new text begin 326B.43 new text end
new text begin 326.38 new text end new text begin 326B.44 new text end
new text begin 326.39 new text end new text begin 326B.45 new text end
new text begin 326.40 new text end new text begin 326B.46 new text end
new text begin 326.401 new text end new text begin 326B.47 new text end
new text begin 326.405 new text end new text begin 326B.48 new text end
new text begin 326.42 new text end new text begin 326B.49 new text end

Sec. 16.

new text begin REPEALER. new text end

new text begin Minnesota Statutes 2006, section 326.01, subdivision 9, new text end new text begin is repealed. new text end

ARTICLE 7

WATER CONDITIONING CONTRACTORS AND INSTALLERS

Section 1.

Minnesota Statutes 2006, section 326.57, subdivision 1, is amended to read:

Subdivision 1.

Rulemaking by commissionerdeleted text begin of healthdeleted text end .

The deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end shall, by rule, prescribe minimum standards which shall be uniform, and which standards shall thereafter be effective for all new water conditioning servicing and water conditioning installations, including additions, extensions, alterations, and replacements connected with any water or sewage disposal system owned or operated by or for any municipality, institution, factory, office building, hotel, apartment building or any other place of business, regardless of location or the population of the city, county or town in which located. deleted text begin Such rules, upon approval of the attorney general and their legal publication, shall have the force of law, and the violation of any part thereof shall constitute a misdemeanor and may be enjoined by the attorney general.deleted text end

Sec. 2.

Minnesota Statutes 2006, section 326.58, is amended to read:

326.58 LOCAL REGULATIONS.

Any city or town with a population of 5,000 or more deleted text begin personsdeleted text end new text begin according to the last federal censusnew text end may, by ordinance, adopt local regulations providing for water conditioning permits, bonds, approval of plans, and inspections of water conditioning installations and servicing, which regulations shall not be in conflict with the water conditioning standards on the same subject prescribed by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end . No such city or town shall prohibit water conditioning contractors or installers licensed by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end from engaging in or working at the business.

Sec. 3.

Minnesota Statutes 2006, section 326.59, is amended to read:

326.59 VIOLATIONS TO BE REPORTED TO deleted text begin STATEdeleted text end COMMISSIONER deleted text begin OF HEALTHdeleted text end .

Such local authority as may be designated by any such ordinance for the issuance of such water conditioning installation and servicing permits and approval of such plans shall report to the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end persistent or willful violations of the same and any incompetence of a licensed water conditioning contractor or licensed water conditioning installer observed by the local authority.

Sec. 4.

Minnesota Statutes 2006, section 326.60, is amended to read:

326.60 LICENSING IN CERTAIN CITIES; QUALIFICATIONS; RULES.

Subdivision 1.

Licensing in certain cities.

In any city or town deleted text begin now or hereafterdeleted text end having a population of 5,000 or more according to the last federal census, no persondeleted text begin , firm, or corporationdeleted text end shall engage in or work at the business of water conditioning installation or servicing after January 1, 1970, unless deleted text begin (a)deleted text end new text begin (1)new text end at all times deleted text begin a persondeleted text end new text begin an individualnew text end licensed as a water conditioning contractor by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end shall be responsible for the proper water conditioning installation and servicing work of such persondeleted text begin , firm, or corporationdeleted text end , and deleted text begin (b)deleted text end new text begin (2)new text end all installations, other than exchanges of portable equipment, are deleted text begin actually madedeleted text end new text begin performednew text end by a licensed water conditioning contractor or licensed water conditioning installer. deleted text begin Anyonedeleted text end new text begin Any individualnew text end not so licensed may deleted text begin dodeleted text end new text begin performnew text end water conditioning work deleted text begin whichdeleted text end new text begin thatnew text end complies with deleted text begin the provisions ofdeleted text end the minimum standard prescribed by the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end on premises or that part of premises owned and deleted text begin actuallydeleted text end occupied by the worker as a residence, unless otherwise deleted text begin forbidden to do sodeleted text end new text begin prohibitednew text end by a local ordinance.

Subd. 2.

Qualifications for licensing.

A water conditioning contractor license shall be issued only to deleted text begin a persondeleted text end new text begin an individualnew text end who has demonstrated skill in planning, superintending, and servicing water conditioning installations. A water conditioning installer license shall only be issued to deleted text begin a persondeleted text end new text begin an individualnew text end other than a water conditioning contractor who has demonstrated practical knowledge of water conditioning installation.

Subd. 3.

Rules.

The deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end shall:

deleted text begin (a)deleted text end new text begin (1)new text end prescribe rules, not inconsistent herewith, for the licensing of water conditioning contractors and installers;

deleted text begin (b)deleted text end new text begin (2)new text end license water conditioning contractors and installers;

deleted text begin (c)deleted text end new text begin (3)new text end prescribe rules not inconsistent herewith for the examining of water conditioning contractors and installers prior to first granting a license as a water conditioning contractor or water conditioning installer; and

deleted text begin (d)deleted text end new text begin (4)new text end collect an examination fee from each examinee for a license as a water conditioning contractor and deleted text begin adeleted text end new text begin an examinationnew text end fee from each examinee for a license as a water conditioning installer in an amount deleted text begin prescribed by the state commissioner of health pursuant todeleted text end new text begin set forth innew text end section deleted text begin 144.122deleted text end new text begin 326.62new text end . A water conditioning installer must successfully pass the examination for water conditioning contractors before being licensed as a water conditioning contractor.

Sec. 5.

Minnesota Statutes 2006, section 326.601, is amended to read:

326.601 ALTERNATIVE STATE BONDING AND INSURANCE REGULATION.

Subdivision 1.

Bonds.

new text begin (a) new text end An applicant for a water conditioning contractor or installer license or renewal thereof who is required by any political subdivision to give a bond to obtain or maintain the license, may comply with any political subdivision bonding requirement by giving a bond to the state new text begin as described in paragraph (b). No applicant for a water conditioning contractor or installer license who maintains the bond under paragraph (b) shall be otherwise required to meet the bond requirements of any political subdivision.new text end

new text begin (b) Each bond given to the state under this subdivision shall be new text end in the total deleted text begin penaldeleted text end sum of $3,000 conditioned upon the faithful and lawful performance of all water conditioning contracting or installing work 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 deleted text begin of healthdeleted text end and shall be written by a corporate surety licensed to do business in this state. deleted text begin No applicant for a water conditioning contractor or installer license who maintains the bond under this subdivision shall be otherwise required to meet the bond requirements of any political subdivision.deleted text end new text begin The bond must remain in effect at all times while the application is pending and while the license is in effect.new text end

Subd. 2.

Insurance.

new text begin (a) new text end Each applicant for a water conditioning contractor or installer license or renewal thereof deleted text begin may, in lieu of all other insurance requirements of any political subdivision for said licensing purposes, maintain the insurance specified by this subdivision.deleted text end new text begin who is required by any political subdivision to maintain insurance to obtain or maintain the license may comply with any political subdivision's insurance requirement by maintaining the insurance described in paragraph (b). No applicant for a water conditioning contractor or installer license who maintains the insurance described in paragraph (b) shall be otherwise required to meet the insurance requirements of any political subdivision.new text end

new text begin (b)new text end The insurance shall provide coverage, including products liability coverage, for all damages in connection with licensed work for which the licensee is liable, with personal damage 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 this state and deleted text begin each licensed water conditioning contractor or installer shall maintain on file with the commissioner of healthdeleted text end a certificate evidencing the insurancenew text begin shall be filed with the commissioner. The insurance must remain in effect at all times while the application is pending and while the license is in effectnew text end . The insurance shall not be canceled without the insurer first giving 15 days' written notice to the commissioner.

Subd. 3.

Bond and insurance exemption.

A water conditioning contractor or installer who is an employee of a water conditioning contractor or installer, including an employee engaged in the maintenance and repair of water conditioning equipment, apparatus, or facilities owned, leased and operated, or maintained by the employer, is not required to meet the bond and insurance requirements of subdivisions 1 and 2 or of any political subdivision.

Subd. 4.

Fee.

The commissioner deleted text begin of health may establish by rule an additional fee commensurate with the cost of administering the bond and insurance requirements of subdivisions 1 and 2, which may be chargeddeleted text end new text begin shall collect a $40 bond registration fee fromnew text end each applicant for issuance or renewal of a water conditioning contractor or installer license who elects to proceed under subdivisions 1 and 2.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective December 1, 2007, except that the amendments to subdivision 4 are effective July 1, 2007. new text end

Sec. 6.

Minnesota Statutes 2006, section 326.61, subdivision 1, is amended to read:

Subdivision 1.

Water conditioning installation.

"Water conditioning installation" deleted text begin as used in sections 326.57 to 326.65deleted text end means the installation of appliances, appurtenances, and fixtures designed to treat water so as to alter, modify, add or remove mineral, chemical or bacterial content, said installation to be made in a water distribution system serving a single family residential unit, which has been initially established by a licensed plumber, and does not involve a direct connection without an air gap to a soil or waste pipe.

Sec. 7.

Minnesota Statutes 2006, section 326.61, subdivision 2, is amended to read:

Subd. 2.

Water conditioning servicing.

"Water conditioning servicing" deleted text begin as used in sections 326.57 to 326.65deleted text end means the servicing (including servicing prior to installation) of a water conditioning installation.

Sec. 8.

Minnesota Statutes 2006, section 326.61, subdivision 3, is amended to read:

Subd. 3.

Rules.

In order to provide effective protection of the public health, the deleted text begin statedeleted text end commissioner deleted text begin of healthdeleted text end may by rule prescribe limitations on the nature of alteration to, extension of, or connection with, the said water distribution system initially established by a licensed plumber which may be performed by a person licensed hereunder, and may by rule in appropriate instances require filing of plans, blueprints and specifications prior to commencement of installation. deleted text begin Such rules, upon approval of the attorney general and their legal publication, shall have the force of law, and the violation of any part thereof shall constitute a misdemeanor.deleted text end The installation of water heaters shall not constitute water conditioning installation and consequently such work shall be accomplished in accordance with the provisions of sections deleted text begin 326.37deleted text end new text begin 326.361new text end to deleted text begin 326.45deleted text end new text begin 326.44new text end .

Sec. 9.

Minnesota Statutes 2006, section 326.61, subdivision 4, is amended to read:

Subd. 4.

Single family residential unit.

"Single family residential unit" deleted text begin as used in sections 326.57 to 326.65deleted text end means a building or portion thereof which is arranged, designed, used or intended to be used for residential occupancy by one family, but not including a motel, hotel or rooming house.

Sec. 10.

Minnesota Statutes 2006, section 326.62, is amended to read:

326.62 deleted text begin APPLICATIONS;deleted text end FEES.

deleted text begin Applications for water conditioning contractor's or installer's licenses shall be made to the state commissioner of health with the fee prescribed by the commissioner pursuant to section 144.122. Licenses shall expire and be renewed as prescribed by the commissioner pursuant to section 144.122. deleted text end new text begin Unless examination fees have been set by a contract under section 326B.05, examination fees for both water conditioning contractors and water conditioning installers shall be $50 for each examination. Each water conditioning contractor and installer license shall expire on December 31 of the year for which it was issued. The license fee for each initial water conditioning contractor's license shall be $70, except that the license fee shall be $35 if the application is submitted during the last three months of the calendar year. The license fee for each renewal water conditioning contractor's license shall be $70. The license fee for each initial water conditioning installer license shall be $35, except that the license fee shall be $17.50 if the application is submitted during the last three months of the calendar year. The license fee for each renewal water conditioning installer license shall be $35. The commissioner may by rule prescribe for the expiration and renewal of licenses. Any licensee who does not renew a license within two years after the license expires is no longer eligible for renewal. Such an individual must retake and pass the examination before a new license will be issued. A water conditioning contractor or water conditioning installer who submits a license renewal application after the time specified in rule but within two years after the license expired must pay all past due renewal fees plus a late fee of $25. new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007. new text end

Sec. 11.

Minnesota Statutes 2006, section 326.65, is amended to read:

326.65 STATE LICENSE; EXAMINATION; APPLICATION; EXEMPTION.

The provisions of sections 326.57 to 326.65 deleted text begin whichdeleted text end new text begin thatnew text end require deleted text begin the obtaining ofdeleted text end licenses to engage in the work or business of water conditioning installation, and the provisions deleted text begin whichdeleted text end new text begin thatnew text end provide for the examination of applicants for such licenses, shall only apply to work accomplished in cities or towns having populations of 5,000 or more new text begin according to the last federal census, new text end and shall not apply to master plumbers and journeymen plumbers licensed under the provisions of sections deleted text begin 326.37deleted text end new text begin 326.361new text end to deleted text begin 326.45deleted text end new text begin 326.44new text end .

Sec. 12.

new text begin [326B.50] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Words, terms, and phrases. new text end

new text begin For the purposes of sections 326B.50 to 326B.59, the terms defined in this section have the meanings given them. new text end

Sec. 13.

new text begin REVISOR'S INSTRUCTION. new text end

new text begin The revisor of statutes shall renumber each section of Minnesota Statutes listed in column A with the number listed in column B. The revisor shall also make necessary cross-reference changes consistent with the renumbering. new text end

new text begin Column A new text end new text begin Column B new text end
new text begin 326.57 new text end new text begin 326B.52 new text end
new text begin 326.58 new text end new text begin 326B.53 new text end
new text begin 326.59 new text end new text begin 326B.54 new text end
new text begin 326.60 new text end new text begin 326B.55 new text end
new text begin 326.601 new text end new text begin 326B.56 new text end
new text begin 326.61, subd. 1 new text end new text begin 326B.50, subd. 3 new text end
new text begin 326.61, subd. 2 new text end new text begin 326B.50, subd. 4 new text end
new text begin 326.61, subd. 3 new text end new text begin 326B.57 new text end
new text begin 326.61, subd. 4 new text end new text begin 326B.50, subd. 2 new text end
new text begin 326.62 new text end new text begin 326B.58 new text end
new text begin 326.65 new text end new text begin 326B.59 new text end

ARTICLE 8

RESIDENTIAL BUILDING CONTRACTOR AND REMODELER STATUTES

Section 1.

Minnesota Statutes 2006, section 325E.58, is amended to read:

325E.58 SIGN CONTRACTOR; BOND.

(a) A sign contractor may post a compliance bond with the commissioner, conditioned that the sign contractor shall faithfully perform duties and comply with laws, ordinances, rules, and contracts entered into for the installation of signs. The bond must be renewed annually and maintained for so long as determined by the commissioner. 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 annual 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 United States mail.

(b) The amount of the bond shall be $8,000. The bond may be drawn upon only by a local unit of government that requires sign deleted text begin installersdeleted text end new text begin contractorsnew text end to post a compliance bond. The bond is in lieu of any compliance bond required by a local unit of government.

(c) For purposes of this section, "sign" means a device, structure, fixture, or placard using graphics, symbols, or written copy that is erected on the premises of an establishment including the name of the establishment or identifying the merchandise, services, activities, or entertainment available on the premises.

Sec. 2.

Minnesota Statutes 2006, section 326.83, subdivision 6, is amended to read:

Subd. 6.

Lessee.

"Lessee" means one who rentsnew text begin or leasesnew text end residential real estate pursuant to a written lease agreement of at least one year's duration.

Sec. 3.

Minnesota Statutes 2006, section 326.83, subdivision 7, is amended to read:

Subd. 7.

Licensee.

"Licensee" means a residential building contractor, residential remodeler, manufactured home installer, ornew text begin residentialnew text end roofer licensed under sections 326.83 to .

Sec. 4.

Minnesota Statutes 2006, section 326.83, subdivision 11, is amended to read:

Subd. 11.

Owner.

deleted text begin Except in section 326.91, subdivision 1, "owner" means a person who has any legal or equitable interest in real property. For purposes of sections 326.83 to 326.991, "owner" does not include a residential building contractor or residential remodeler who constructs or improves its own property for purposes of speculation. A residential building contractor or residential remodeler will be presumed to be building or improving for purposes of speculation if it constructs or improves more than one property within any 24-month period.deleted text end new text begin "Owner," when used in connection with real property, means a person who has any legal or equitable interest in the real property.new text end

Sec. 5.

Minnesota Statutes 2006, section 326.83, subdivision 18, is amended to read:

Subd. 18.

new text begin Residential new text end roofer.

"new text begin Residential new text end roofer" means a person in the business of contracting, or offering to contract with an owner, to complete work on residential real estate in roof coverings, roof sheathing, roof weatherproofing and insulation, and repair of roof systems, but not construction of new roof systems.

Sec. 6.

Minnesota Statutes 2006, section 326.83, subdivision 19, is amended to read:

Subd. 19.

Special skill.

"Special skill" means one of the following eight categories:

(a) Excavation. Excavation includes work in any of the following areas:

(1) excavation;

(2) trenching;

(3) grading; and

(4) site grading.

(b) Masonry and concrete. Masonry and concrete includes work in any of the following areas:

(1) drain systems;

(2) poured walls;

(3) slabs and poured-in-place footings;

(4) masonry walls;

(5) masonry fireplaces;

(6) masonry veneer; and

(7) water resistance and waterproofing.

(c) Carpentry. Carpentry includes work in any of the following areas:

(1) rough framing;

(2) finish carpentry;

(3) doors, windows, and skylights;

(4) porches and decks, excluding footings;

(5) wood foundations; and

(6) drywall installation, excluding taping and finishing.

(d) Interior finishing. Interior finishing includes work in any of the following areas:

(1) floor covering;

(2) wood floors;

(3) cabinet and counter top installation;

(4) insulation and vapor barriers;

(5) interior or exterior painting;

(6) ceramic, marble, and quarry tile;

(7) ornamental guardrail and installation of prefabricated stairs; and

(8) wallpapering.

(e) Exterior finishing. Exterior finishing includes work in any of the following areas:

(1) siding;

(2) soffit, fascia, and trim;

(3) exterior plaster and stucco;

(4) painting; and

(5) rain carrying systems, including gutters and down spouts.

(f) Drywall and plaster. Drywall and plaster includes work in any of the following areas:

(1) installation;

(2) taping;

(3) finishing;

(4) interior plaster;

(5) painting; and

(6) wallpapering.

(g) new text begin Residential new text end roofing.new text begin Residentialnew text end roofing includes work in any of the following areas:

(1) roof coverings;

(2) roof sheathing;

(3) roof weatherproofing and insulation; and

(4) repair of roof support system, but not construction of new roof support system.

(h) General installation specialties. Installation includes work in any of the following areas:

(1) garage doors and openers;

(2) pools, spas, and hot tubs;

(3) fireplaces and wood stoves;

(4) asphalt paving and seal coating;new text begin andnew text end

(5) deleted text begin exterior plaster and stucco; anddeleted text end

deleted text begin (6)deleted text end ornamental guardrail and prefabricated stairs.

Sec. 7.

Minnesota Statutes 2006, section 326.83, subdivision 20, is amended to read:

Subd. 20.

Specialty contractor.

"Specialty contractor" means a person in the business of contracting or offering to contract to build or improve residential real estate by providingnew text begin onlynew text end one special skill as defined in this section.

Sec. 8.

Minnesota Statutes 2006, section 326.84, is amended to read:

326.84 LICENSING REQUIREMENTS.

Subdivision 1.

Persons required to be licensed.

A person who meets the definition of a residential new text begin building contractor as defined in section 326.83, subdivision 15, must be licensed as a residential building contractor by the commissioner. A person who meets the definition of a residential new text end remodeler as defined in section 326.83, subdivision deleted text begin 16deleted text end deleted text begin , or a residential building contractor as defined in section 326.83, subdivision 15, must be licensed as a residential building contractor or residential remodeler.deleted text end new text begin 16, must be licensed by the commissioner as a residential remodeler or residential building contractor. A person who meets the definition of a residential roofer as defined in section 5 must be licensed by the commissioner as a residential roofer, residential building contractor, or residential remodeler. A person who meets the definition of a manufactured home installer as defined in section 327.31, subdivision 6, must be licensed as a manufactured home installer by the commissioner.new text end

Subd. 1a.

Persons who may be licensed.

A person who meets the definition of a specialty contractor as defined in section 326.83, subdivision deleted text begin 20deleted text end new text begin 19new text end , may be licensednew text begin by the commissionernew text end as a residential building contractor or residential remodeler deleted text begin unless required to be licensed by the state as a specialty contractordeleted text end .

Subd. 1b.

Prohibition.

Except as provided in subdivision 3, no persons required to be licensed by subdivision 1 may act or hold themselves out asnew text begin anew text end residential building deleted text begin contractors ordeleted text end new text begin contractor,new text end residential deleted text begin remodelersdeleted text end new text begin remodeler, residential roofer, or manufactured home installernew text end for compensation without a deleted text begin validdeleted text end license issued by the commissioner.

Subd. 1c.

Licensing criteria.

The examination and education requirements for licensure under sections 326.84 to must be fulfilled by a qualifying person designated by the potential licensee. If the qualifying person is a managing employee, the qualifying person must be an employee who is regularly employed by the licensee and is actively engaged in the business of residential contracting or residential remodeling on behalf of the licensee. For a sole proprietorship, the qualifying person must be the proprietor or managing employee. For a partnership, the qualifying person must be a general partner or managing employee. For a limited liability company, the qualifying person must be a chief manager or managing employee. For a corporation, the qualifying person must be deleted text begin a chief executive officerdeleted text end new text begin an owner, officer,new text end or managing employee. A qualifying person for a corporationnew text begin or limited liability companynew text end may act as deleted text begin adeleted text end new text begin the new text end qualifying person for deleted text begin one additional corporation if one of the following conditions exists: deleted text end

deleted text begin (1) there is a common ownership of at least 25 percent of each licensed corporation for which the person acts in a qualifying capacity; or deleted text end

deleted text begin (2) one corporation is a subsidiary of another corporation for which the same person acts in a qualifying capacity. "Subsidiary," as used in this section, means a corporation of which at least 25 percent is owned by the parent corporation. deleted text end new text begin more than one corporation or limited liability company if there is common ownership of at least 25 percent among each of the licensed corporations or limited liability companies for which the person acts in the capacity of qualifying person. new text end

new text begin Subd. 1d. new text end

new text begin Required information. new text end

new text begin (a) Each licensee or applicant for licensure shall provide to the commissioner a current street address and telephone number where the licensee resides, and a street address and telephone number where the licensee's business is physically located. A post office box address is not sufficient to satisfy this requirement. Each licensee or applicant for licensure must notify the commissioner in writing of any change in the required information within 15 days of the change. new text end

new text begin (b) Each licensee or applicant for licensure must notify the commissioner in writing upon any change in control, ownership, officers or directors, personal name, business name, license name, or qualifying person, within 15 days of the change. new text end

new text begin (c) Each licensee or applicant for licensure must notify the commissioner in writing if the licensee or applicant for licensure is found to be a judgment debtor based upon conduct requiring licensure pursuant to sections 326.83 to 326.98 within 15 days of the finding. new text end

new text begin (d) Each licensee or applicant for licensure must notify the commissioner in writing within 15 days of filing a petition for bankruptcy. new text end

new text begin (e) Each licensee or applicant for licensure must notify the commissioner in writing within ten days if the licensee or applicant for licensure has been found guilty of a felony, gross misdemeanor, misdemeanor, or any comparable offense related to residential contracting, including convictions of fraud, misrepresentation, misuse of funds, theft, criminal sexual conduct, assault, burglary, conversion of funds, or theft of proceeds in this or any other state or any other United States jurisdiction. new text end

Subd. 3.

Exemptions.

The license requirement does not apply to:

(1) an employee of a licensee performing work for the licensee;

(2) a material person, manufacturer, or retailer furnishing finished products, materials, or articles of merchandise who does not install or attach the items;

(3) an owner deleted text begin or ownersdeleted text end of residential real estate who deleted text begin build or improvedeleted text end new text begin builds or improves any structure on new text end residential real estate deleted text begin and who do the work themselves or jointly with the owner's owndeleted text end new text begin , if the building or improving is performed by the owner'snew text end bona fide employeesnew text begin or by individual owners personallynew text end . This exemption does not apply to deleted text begin a person who engages in a pattern of building or improving real estate for purposes of resale. Such a pattern is presumed to exist if the person constructs or improves more than one property within any 24-month period;deleted text end new text begin an owner who constructs or improves property for purposes of speculation if the building or improving is performed by the owner's bona fide employees or by individual owners personally. A residential building contractor or residential remodeler will be presumed to be building or improving for purposes of speculation if the contractor or remodeler constructs or improves more than one property within any 24-month period.new text end

(4) an architect ornew text begin professionalnew text end engineer engaging in professional practice as defined deleted text begin in this chapterdeleted text end new text begin by section 326.02, subdivisions 2 and 3new text end ;

(5) a person whose total gross annual receipts deleted text begin from projects regulated under this sectiondeleted text end new text begin for performing specialty skills for which licensure would be required under this sectionnew text end do not exceed $15,000;

(6) a mechanical contractor;

(7) a plumber, electrician, or other person whose profession is otherwise subject to statewide licensing, when engaged in the activity which is the subject ofnew text begin thatnew text end licensure;

(8) specialty contractors who provide only one special skill as defined in section 326.83;

(9) a school district, or a technical college governed under chapter 136F;new text begin andnew text end

deleted text begin (10) manufactured housing installers; and deleted text end

deleted text begin (11)deleted text end new text begin (10)new text end Habitat for Humanity and Builders Outreach Foundation, and their individual volunteers when engaged in activities on their behalf.

To qualify for the exemption in clause (5), a person must obtain a certificate of exemption from deleted text begin licensingdeleted text end new text begin licensurenew text end from the commissioner.

A certificate of exemption will be issued upon the applicant's filing with the commissioner, an affidavit stating that the applicant does not expect to exceed $15,000 in gross annual receipts derived from deleted text begin contracting activities during the calendar year for which the exemption is requesteddeleted text end new text begin performing services which require licensure under this sectionnew text end .

To renew the exemption in clause (5), the applicant must file an affidavit stating that the applicant did not exceed $15,000 in gross annual receipts during the past calendar yeardeleted text begin , and the applicant does not expect to exceed $15,000 in gross annual receipts during the calendar year for which the exemption is requesteddeleted text end .

If a person, operating under the exemption in clause (5), exceeds $15,000 in gross receipts during any calendar year, the person must immediately surrender the exemption certificate and apply for the appropriate license. The person must remain licensed until such time as the person's gross annual receipts during a calendar year fall below $15,000. The person may then apply for deleted text begin thisdeleted text end new text begin annew text end exemption for the next calendar year.

Sec. 9.

Minnesota Statutes 2006, section 326.841, is amended to read:

326.841 MANUFACTURED HOME INSTALLERS.

new text begin (a) new text end Manufactured home installers are subject to all of the requirements of sections 326.83 to 326.98, except for the following:

deleted text begin (1) manufactured home installers are not members of the advisory council under section 326.85; deleted text end

deleted text begin (2)deleted text end new text begin (1)new text end manufactured home installers are not subject to the continuing education requirements of section 326.87new text begin , but are subject to the continuing education requirements established in rules adopted under section new text end ;

deleted text begin (3)deleted text end new text begin (2)new text end the examination requirement of section 326.89, subdivision 3, for manufactured home installers shall be satisfied by successful completion of a written examination deleted text begin designeddeleted text end new text begin administered and developednew text end specifically for new text begin the examination of new text end manufactured home installers. The examination must be deleted text begin designeddeleted text end new text begin administered and developednew text end by the commissioner deleted text begin in conjunction with the state building code divisiondeleted text end . The commissioner and deleted text begin State Building Code Divisiondeleted text end new text begin the state building officialnew text end shall seek advice on the grading, monitoring, and updating of examinations from the Minnesota Manufactured Housing Association;

deleted text begin (4) the amount of the bond required by section 326.94 shall be $2,500 for manufactured home installers; deleted text end

deleted text begin (5)deleted text end new text begin (3)new text end a local government unit may not place a surcharge on a license fee, and may not charge a separate fee to installers;

deleted text begin (6)deleted text end new text begin (4)new text end a dealer or distributor who does not install or repair manufactured homes is exempt from licensure under sections 326.83 to 326.98;deleted text begin and deleted text end

deleted text begin (7)deleted text end new text begin (5)new text end the exemption under section 326.84, subdivision 3, clause (5), does not applydeleted text begin .deleted text end new text begin ; andnew text end

new text begin (6) manufactured home installers are not subject to the contractor recovery fund in section 326.975. new text end

new text begin (b) The commissioner may waive all or part of the requirements for licensure as a manufactured home installer for any individual who holds an unexpired license or certificate issued by any other state or other United States jurisdiction if the licensing requirements of that jurisdiction meet or exceed the corresponding licensing requirements of the department. new text end

Sec. 10.

Minnesota Statutes 2006, section 326.842, is amended to read:

326.842 new text begin RESIDENTIAL new text end ROOFERS.

new text begin Residential new text end roofers are subject to all of the requirements of sections 326.83 to 326.98 deleted text begin and 326.991deleted text end , except the recovery fund in section 326.975.

Sec. 11.

Minnesota Statutes 2006, section 326.86, is amended to read:

326.86 FEES.

Subdivision 1.

Licensing fee.

The licensing fee for persons licensed pursuant to sections 326.83 to is $100 per year.

Subd. 2.

Local surcharge.

A local government unit may place a surcharge in an amount no greater than $5 on each new text begin land use, zoning, or new text end building permit that requires a licensed residential building contractor, residential remodeler, deleted text begin or specialty contractordeleted text end new text begin residential roofer, or manufactured home installernew text end for the purpose of license verification. The local government may verify a license by telephone deleted text begin ordeleted text end new text begin ,new text end facsimile deleted text begin machinedeleted text end new text begin or electronic communication. A local government unit shall not issue a land use, zoning, or building permit unless the required license has been verified and is currentnew text end .

new text begin EFFECTIVE DATE. new text end

new text begin The amendments to subdivision 1 are effective July 1, 2007. The amendments to subdivision 2 are effective December 1, 2007. new text end

Sec. 12.

Minnesota Statutes 2006, section 326.87, is amended to read:

326.87 CONTINUING EDUCATION.

Subdivision 1.

Standards.

The commissionerdeleted text begin , in consultation with the council,deleted text end maynew text begin by rulenew text end adopt standards for continuing education requirements and course new text begin and instructor new text end approval. The standards must include requirements for continuing education in the implementation of energy codes applicable to buildings and other building codes designed to conserve energy. deleted text begin Except for the course content, the standards must be consistent with the standards established for real estate agents and other professions licensed by the Department of Commerce. At a minimum, the content of one hour of any required continuing education must contain information on lead abatement rules and safe lead abatement procedures.deleted text end

Subd. 2.

Hours.

A qualifying person of a licensee must provide proof of completion of seven hours of continuing education per yearnew text begin in the regulated industry in which the licensee is licensednew text end . deleted text begin To the extent the commissioner considers it appropriate, courses or parts of courses may be considered to satisfy both continuing education requirements under this section and continuing real estate education requirements.deleted text end

new text begin Credit may not be earned if the licensee has previously obtained credit for the same course as either a student or instructor during the same licensing period. new text end

Subd. 3.

Accessibility.

To the extent possible, the commissioner shall ensure that continuing education courses are offered throughout the state and are easily accessible to all licensees.

Subd. 4.

Renewal of deleted text begin accreditationdeleted text end new text begin approvalnew text end .

The commissioner is authorized to establish a procedure for renewal of course deleted text begin accreditationdeleted text end new text begin approvalnew text end .

new text begin Subd. 5. new text end

new text begin Content. new text end

new text begin (a) Continuing education consists of approved courses that impart appropriate and related knowledge in the regulated industries pursuant to sections 326.83 to 326.98. The burden of demonstrating that courses impart appropriate and related knowledge is upon the person seeking approval or credit. new text end

new text begin (b) Course examinations will not be required for continuing education courses unless they are required by the sponsor. new text end

new text begin (c) Textbooks are not required to be used for continuing education courses. If textbooks are not used, the coordinator must provide students with a syllabus containing, at a minimum, the course title, the times and dates of the course offering, the names and addresses or telephone numbers of the course coordinator and instructor, and a detailed outline of the subject materials to be covered. Any written or printed material given to students must be of readable quality and contain accurate and current information. new text end

new text begin (d) Upon completion of an approved course, licensees shall earn one hour of continuing education credit for each hour approved by the commissioner. Each continuing education course must be attended in its entirety in order to receive credit for the number of approved hours. Courses may be approved for full or partial credit, and for more than one regulated industry. new text end

new text begin Continuing education credit in an approved course shall be awarded to presenting instructors on the basis of one credit for each hour of preparation for the initial presentation, which may not exceed three hours total credit for each approved course. Continuing education credit may not be earned if the licensee has previously obtained credit for the same course as a licensee or as an instructor within the three years immediately prior. new text end

new text begin (e) The following courses will not be approved for credit: new text end

new text begin (1) courses designed solely to prepare students for a license examination; new text end

new text begin (2) courses in mechanical office or business skills, including typing, speed reading, or other machines or equipment. Computer courses are allowed, if appropriate and related to the regulated industry of the licensee; new text end

new text begin (3) courses in sales promotion, including meetings held in conjunction with the general business of the licensee; new text end

new text begin (4) courses in motivation, salesmanship, psychology, time management, or communication; or new text end

new text begin (5) courses that are primarily intended to impart knowledge of specific products of specific companies, if the use of the product or products relates to the sales promotion or marketing of one or more of the products discussed. new text end

new text begin Subd. 6. new text end

new text begin Course approval. new text end

new text begin (a) Courses must be approved by the commissioner in advance and will be approved on the basis of the applicant's compliance with the provisions of this section relating to continuing education in the regulated industries. The commissioner shall make the final determination as to the approval and assignment of credit hours for courses. Courses must be at least one hour in length. new text end

new text begin Individuals requesting credit for continuing education courses that have not been previously approved shall, on a form prescribed by the commissioner, submit an application for approval of continuing education credit accompanied by a nonrefundable fee of $10 for each course to be reviewed. To be approved, courses must be in compliance with the provisions of this section governing the types of courses that will and will not be approved. new text end

new text begin Approval will not be granted for time spent on meals or other unrelated activities. Breaks may not be accumulated in order to dismiss the class early. Classes shall not be offered by a provider to any one student for longer than eight hours in one day, excluding meal breaks. new text end

new text begin (b) Application for course approval must be submitted 30 days before the course offering. new text end

new text begin (c) Approval must be granted for a subsequent offering of identical continuing education courses without requiring a new application if a notice of the subsequent offering is filed with the commissioner at least 30 days in advance of the date the course is to be held. The commissioner shall deny future offerings of courses if they are found not to be in compliance with the laws relating to course approval. new text end

new text begin Subd. 7. new text end

new text begin Courses open to all. new text end

new text begin All course offerings must be open to any interested individuals. Access may be restricted by the sponsor based on class size only. Courses must not be approved if attendance is restricted to any particular group of people, except for company-sponsored courses allowed by applicable law. new text end

new text begin Subd. 8. new text end

new text begin Course coordinator. new text end

new text begin (a) Each course of study shall have at least one coordinator, approved by the commissioner, who is responsible for supervising the program and ensuring compliance with all relevant law. Sponsors may engage an additional approved coordinator in order to assist the coordinator or to act as a substitute for the coordinator in the event of an emergency or illness. new text end

new text begin (b) The commissioner shall approve as a coordinator a person meeting one or more of the following criteria: new text end

new text begin (1) at least three years of full-time experience in the administration of an education program during the five-year period immediately before the date of application; new text end

new text begin (2) a degree in education plus two years' experience during the immediately preceding five-year period in one of the regulated industries for which courses are being approved; or new text end

new text begin (3) a minimum of five years' experience within the previous six years in the regulated industry for which courses are held. new text end

new text begin Subd. 9. new text end

new text begin Responsibilities. new text end

new text begin A coordinator is responsible for: new text end

new text begin (1) ensuring compliance with all laws and rules relating to continuing educational offerings governed by the commissioner; new text end

new text begin (2) ensuring that students are provided with current and accurate information relating to the laws and rules governing their licensed activity; new text end

new text begin (3) supervising and evaluating courses and instructors. Supervision includes ensuring that all areas of the curriculum are addressed without redundancy and that continuity is present throughout the entire course; new text end

new text begin (4) ensuring that instructors are qualified to teach the course offering; new text end

new text begin (5) furnishing the commissioner, upon request, with copies of course and instructor evaluations and qualifications of instructors. Evaluations must be completed by students at the time the course is offered and by coordinators within five days after the course offering; new text end

new text begin (6) investigating complaints related to course offerings or instructors. A copy of the written complaint must be sent to the commissioner within ten days of receipt of the complaint and a copy of the complaint resolution must be sent not more than ten days after resolution is reached; new text end

new text begin (7) maintaining accurate records relating to course offerings, instructors, tests taken by students if required, and student attendance for a period of three years from the date on which the course was completed. These records must be made available to the commissioner upon request. In the event that a sponsor ceases operation for any reason, the coordinator is responsible for maintaining the records or providing a custodian for the records acceptable to the commissioner. The coordinator must notify the commissioner of the name and address of that person. In order to be acceptable to the commissioner, custodians must agree to make copies of acknowledgments available to students at a reasonable fee. Under no circumstances will the commissioner act as custodian of the records; new text end

new text begin (8) ensuring that the coordinator is available to instructors and students throughout course offerings and providing to the students and instructor the name of the coordinator and a telephone number at which the coordinator can be reached; new text end

new text begin (9) attending workshops or instructional programs as reasonably required by the commissioner; new text end

new text begin (10) providing course completion certificates within ten days of, but not before, completion of the entire course. Course completion certificates must be completed in their entirety. Course completion certificates must contain the following statement: "If you have any comments about this course offering, please mail them to the Minnesota Department of Labor and Industry." The current address of the department must be included. A coordinator may require payment of the course tuition as a condition for receiving the course completion certificate; and new text end

new text begin (11) notifying the commissioner in writing within ten days of any change in the information in an application for approval on file with the commissioner. new text end

new text begin Subd. 10. new text end

new text begin Instructors. new text end

new text begin (a) Each continuing education course shall have an instructor who is qualified by education, training, or experience to ensure competent instruction. Failure to have only qualified instructors teach at an approved course offering will result in loss of course approval. Coordinators are responsible to ensure that an instructor is qualified to teach the course offering. new text end

new text begin (b) Qualified continuing education instructors must have one of the following qualifications: new text end

new text begin (1) a four-year degree in any area plus two years' practical experience in the subject area being taught; new text end

new text begin (2) five years' practical experience in the subject area being taught; or new text end

new text begin (3) a college or graduate degree in the subject area being taught. new text end

new text begin (c) Approved instructors are responsible for: new text end

new text begin (1) compliance with all laws and rules relating to continuing education; new text end

new text begin (2) providing students with current and accurate information; new text end

new text begin (3) maintaining an atmosphere conducive to learning in the classroom; new text end

new text begin (4) verifying attendance of students, and certifying course completion; new text end

new text begin (5) providing assistance to students and responding to questions relating to course materials; and new text end

new text begin (6) attending the workshops or instructional programs that are required by the commissioner. new text end

new text begin Subd. 11. new text end

new text begin Prohibited practices for coordinators and instructors. new text end

new text begin (a) In connection with an approved continuing education course, coordinators and instructors shall not: new text end

new text begin (1) recommend or promote the services or practices of a particular business; new text end

new text begin (2) encourage or recruit individuals to engage the services of, or become associated with, a particular business; new text end

new text begin (3) use materials, clothing, or other evidences of affiliation with a particular entity; new text end

new text begin (4) require students to participate in other programs or services offered by the instructor, coordinator, or sponsor; new text end

new text begin (5) attempt, either directly or indirectly, to discover questions or answers on an examination for a license; new text end

new text begin (6) disseminate to any other person specific questions, problems, or information known or believed to be included in licensing examinations; new text end

new text begin (7) misrepresent any information submitted to the commissioner; new text end

new text begin (8) fail to cover, or ensure coverage of, all points, issues, and concepts contained in the course outline approved by the commissioner during the approved instruction; or new text end

new text begin (9) issue inaccurate course completion certificates. new text end

new text begin (b) Coordinators shall notify the commissioner within ten days of a felony or gross misdemeanor conviction or of disciplinary action taken against an occupational or professional license held by the coordinator or an instructor teaching an approved course. The notification shall be grounds for the commissioner to withdraw the approval of the coordinator and to disallow the use of the instructor. new text end

new text begin Subd. 12. new text end

new text begin Fees. new text end

new text begin Fees for an approved course of study and related materials must be clearly identified to students. In the event that a course is canceled for any reason, all fees must be returned within 15 days from the date of cancellation. In the event that a course is postponed for any reason, students shall be given the choice of attending the course at a later date or having their fees refunded in full within 15 days from the date of postponement. If a student is unable to attend a course or cancels the registration in a course, sponsor policies regarding refunds shall govern. new text end

new text begin Subd. 13. new text end

new text begin Facilities. new text end

new text begin Each course of study must be conducted in a classroom or other facility that is adequate to comfortably accommodate the instructors and the number of students enrolled. The sponsor may limit the number of students enrolled in a course. Approved courses may be held on the premises of a company doing business in the regulated area only when the company is sponsoring the course offering, or where product application is appropriate and related. new text end

new text begin Subd. 14. new text end

new text begin Supplementary materials. new text end

new text begin An adequate supply of supplementary materials to be used or distributed in connection with an approved course must be available at the time and place of the course offering in order to ensure that each student receives all of the necessary materials. Outlines and any other materials that are reproduced must be of readable quality. new text end

new text begin Subd. 15. new text end

new text begin Advertising courses. new text end

new text begin (a) Paragraphs (b) to (g) govern the advertising of continuing education courses. new text end

new text begin (b) Advertising must be truthful and not deceptive or misleading. Courses may not be advertised in any manner as approved unless approval has been granted in writing by the commissioner. new text end

new text begin (c) No advertisement, pamphlet, circular, or other similar materials pertaining to an approved offering may be circulated or distributed in this state, unless the following statement is prominently displayed: new text end

new text begin "This course has been approved by the Minnesota Department of Labor and Industry for ....... (approved number of hours) hours for continuing ....... (relevant industry) education." new text end

new text begin (d) Advertising of approved courses must be clearly distinguishable from the advertisement of other nonapproved courses and services. new text end

new text begin (e) Continuing education courses may not be advertised before approval unless the course is described in the advertising as "approval pending" and an application for approval has been timely submitted to the commissioner and a denial has not been received. new text end

new text begin (f) The number of hours for which a course has been approved must be prominently displayed on an advertisement for the course. If the course offering is longer than the number of hours of credit to be given, it must be clear that credit is not earned for the entire course. new text end

new text begin (g) The course approval number must not be included in any advertisement. new text end

new text begin Subd. 16. new text end

new text begin Notice to students. new text end

new text begin At the beginning of each approved offering, the following notice must be handed out in printed form or must be read to students: new text end

new text begin "This educational offering is recognized by the Minnesota Department of Labor and Industry as satisfying ....... (insert number of hours approved) hours of credit toward continuing ....... (insert appropriate industry) education requirements." new text end

new text begin Subd. 17. new text end

new text begin Audits. new text end

new text begin The commissioner reserves the right to audit subject offerings with or without notice to the sponsor. new text end

new text begin Subd. 18. new text end

new text begin Falsification of reports. new text end

new text begin A licensee, its qualified person, or an applicant found to have falsified an education report to the commissioner shall be considered to have violated the laws relating to the industry for which the person has a license and shall be subject to censure, limitation, condition, suspension, or revocation of the license or denial of the application for licensure. new text end

new text begin The commissioner reserves the right to audit a licensee's continuing education records. new text end

new text begin Subd. 19. new text end

new text begin Waivers and extensions. new text end

new text begin If a licensee provides documentation to the commissioner that the licensee or its qualifying person is unable, and will continue to be unable, to attend actual classroom course work because of a physical disability, medical condition, or similar reason, attendance at continuing education courses shall be waived for a period not to exceed one year. The commissioner shall require that the licensee or its qualifying person satisfactorily complete a self-study program to include reading a sufficient number of textbooks, or listening to a sufficient number of tapes, related to the regulated industry, as would be necessary for the licensee to satisfy continuing educational credit hour needs. The commissioner shall award the licensee credit hours for a self-study program by determining how many credit hours would be granted to a classroom course involving the same material and giving the licensee the same number of credit hours under this part. The licensee may apply each year for a new waiver upon the same terms and conditions as were necessary to secure the original waiver, and must demonstrate that in subsequent years, the licensee was unable to complete actual classroom course work. The commissioner may request documentation of the condition upon which the request for waiver is based as is necessary to satisfy the commissioner of the existence of the condition and that the condition does preclude attendance at continuing education courses. new text end

new text begin Upon written proof demonstrating a medical hardship, the commissioner shall extend, for up to 90 days, the time period during which the continuing education must be successfully completed. Loss of income from either attendance at courses or cancellation of a license is not a bona fide financial hardship. Requests for extensions must be submitted to the commissioner in writing no later than 60 days before the education is due and must include an explanation with verification of the hardship, plus verification of enrollment at an approved course of study on or before the extension period expires. new text end

new text begin Subd. 20. new text end

new text begin Reporting requirements. new text end

new text begin Required continuing education must be reported in a manner prescribed by the commissioner. Licensees are responsible for maintaining copies of course completion certificates. new text end

new text begin Subd. 21. new text end

new text begin Residential building contractor, residential remodeler, and residential roofer education. new text end

new text begin (a) Each licensee must, during the licensee's first complete continuing education reporting period, complete and report one hour of continuing education relating to lead abatement rules in safe lead abatement procedures. new text end

new text begin (b) Each licensee must, during each continuing education reporting period, complete and report one hour of continuing education relating to energy codes for buildings and other building codes designed to conserve energy. new text end

new text begin Subd. 22. new text end

new text begin Continuing education approval. new text end

new text begin (a) Continuing education courses must be approved in advance by the commissioner of labor and industry. "Sponsor" means any person or entity offering approved education. new text end

new text begin (b) For coordinators with an initial approval date before August 1, 2005, approval will expire on December 31, 2005. For courses with an initial approval date on or before December 31, 2000, approval will expire on April 30, 2006. For courses with an initial approval date after January 1, 2001, but before August 1, 2005, approval will expire on April 30, 2007. new text end

new text begin Subd. 23. new text end

new text begin Continuing education fees. new text end

new text begin The following fees shall be paid to the commissioner: new text end

new text begin (1) initial course approval, $10 for each hour or fraction of one hour of continuing education course approval sought. Initial course approval expires on the last day of the 24th month after the course is approved; new text end

new text begin (2) renewal of course approval, $10 per course. Renewal of course approval expires on the last day of the 24th month after the course is renewed; new text end

new text begin (3) initial coordinator approval, $100. Initial coordinator approval expires on the last day of the 24th month after the coordinator is approved; and new text end

new text begin (4) renewal of coordinator approval, $10. Renewal of coordinator approval expires on the last day of the 24th month after the coordinator is renewed. new text end

new text begin Subd. 24. new text end

new text begin Refunds. new text end

new text begin All fees paid to the commissioner under this section are nonrefundable, except that an overpayment of a fee shall be returned upon proper application. new text end

Sec. 13.

Minnesota Statutes 2006, section 326.88, is amended to read:

326.88 LOSS OF QUALIFYING PERSON.

Upon the departure or disqualification of a licensee's qualifying person because of death, disability, retirement, position change, or other reason, the licensee must notify the commissioner within 15 business days. The licensee shall have 120 days from the departure of the qualifying person to obtain a new qualifying person. Failure to secure a new qualifying person within 120 days willnew text begin , with or without notice,new text end result in the automatic termination of the license.

Sec. 14.

Minnesota Statutes 2006, section 326.89, is amended to read:

326.89 APPLICATION AND EXAMINATION.

Subdivision 1.

Form.

An applicant for a license under sections 326.83 to 326.98 must submit an application deleted text begin to the commissionerdeleted text end , under oathnew text begin and accompanied by the license fee required by section 326.86new text end , on a form prescribed by the commissioner. Within 30 business days of receiving all required information, the commissioner must act on the license request. If one of the categories in the application does not apply, the applicant mustnew text begin identify the category andnew text end state the reasonnew text begin the category does not applynew text end . The commissioner may refuse to issue a license if the application is not complete or contains unsatisfactory information.

Subd. 2.

Contents.

deleted text begin Thedeleted text end new text begin Eachnew text end application must include the following information regarding the applicant:

(1) Minnesota workers' compensation insurance certificate;

(2) employment insurance account number;

(3) certificate of liability insurance;

(4) type of license requested;

(5) name deleted text begin anddeleted text end new text begin , currentnew text end address deleted text begin of the applicant:deleted text end new text begin , and telephone number where the applicant resides;new text end

deleted text begin (i)deleted text end new text begin (6)new text end name and address of the applicant's qualifying person, if other than applicant; and

deleted text begin (ii)deleted text end new text begin (7)new text end if the applicant is a sole proprietorship, the name and address of the sole proprietor; if the applicant is a partnership, the name and address of each partner; if the applicant is a limited liability company, the name and address of each governor and manager; if the applicant is a corporation, the name and address of each of the corporate officers, directors, and all shareholders holding more than ten percent of the outstanding stock in the corporation;

new text begin (8) name and address of the applicant's agent in this state authorized to receive service of process, and a consent to service of process as required by section 326.93; new text end

new text begin (9) current street address and telephone number where the business is physically located; new text end

deleted text begin (6)deleted text end new text begin (10)new text end whether the applicant, any employee, or qualifying person has ever been licensed in this or any other state and has had a professional or vocational licensenew text begin reprimanded, censured, limited, conditioned,new text end refused, suspended, or revoked, or has been the subject of any administrative action;

deleted text begin (7)deleted text end new text begin (11)new text end whether the applicant, qualifying person, or any of the applicant's corporate or partnership directors, limited liability company governors, officers, limited or general partners, managers, all shareholders holding more than ten percent of the share of the corporation that have been issued, or all members holding more than ten percent of the voting power of the membership interests that have been issued, has been convicted of a crime that either related directly to the business for which the license is sought or involved fraud, misrepresentation, or misuse of funds; has suffered a judgment in a civil action involving fraud, misrepresentation,new text begin construction defect,new text end negligence, deleted text begin or deleted text end breach of contract, or conversionnew text begin of fundsnew text end within the ten years prior to the submission of the application; or has had any government license or permit new text begin reprimanded, censured, limited, conditioned, new text end suspendednew text begin ,new text end or revoked as a result of an action brought by a federal, state, or local governmental unit or agency in this or any other state;

deleted text begin (8)deleted text end new text begin (12)new text end the applicant's and qualifying person's business history for the past five years and whether the applicant, deleted text begin any deleted text end new text begin a managing new text end employee, or qualifying person has ever filed for bankruptcy or protection from creditors or has any unsatisfied judgments against the applicant, employee, or qualifying person;

deleted text begin (9)deleted text end new text begin (13)new text end where the applicant is a firm, partnership, sole proprietorship, limited liability company, corporation, or association, whether there has been a sale or transfer of the business or other change in ownership, control, or name in the last five years and the details thereof, and the names and addresses of all prior, predecessor, subsidiary, affiliated, parent, or related entities, and whether each such entity, or its owners, officers, directors, members or shareholders holding more than ten percent of the stock, or an employee has ever taken or been subject to an action that is subject to clause deleted text begin (6), (7), or (8)deleted text end new text begin (10), (11), or (12)new text end in the last ten years; and

deleted text begin (10)deleted text end new text begin (14)new text end whether the qualifying person is the qualifying person for more than one licensee.

For purposes of this subdivision, "applicant" includes employees who exercise management or policy control over the residential contractingdeleted text begin and remodelingdeleted text end new text begin , residential remodeling, residential roofing, or manufactured home installationnew text end activities in the state of Minnesota, including affiliates, partners, directors, governors, officers, limited or general partners, managers, all shareholders holding more than ten percent of the shares that have been issued, a shareholder holding more than ten percent of the voting power of the shares that have been issued, or all members holding more than ten percent of the membership interests that have been issued or more than ten percent of the voting power of the membership interests that have been issued.

The commissioner may require further information as the commissioner deems appropriate to administer the provisions and further the purposes of this chapter.

Subd. 3.

Examination.

(a) Each qualifying person must satisfactorily complete a written examination for the type of license requested. The commissioner may establish the examination qualifications, including related education experience and education, the examination procedure, and the examination for each licensing group. The examination must include at a minimum the following areas:

(1) appropriate knowledge of technical terms commonly used and the knowledge of reference materials and code books to be used for technical information; and

(2) understanding of the general principles of business management and other pertinent state laws.

(b) Each examination must be designed for the specified type of license requested. deleted text begin The council shall advise the commissioner on the grading, monitoring, and updating of examinations.deleted text end

(c) deleted text begin A person'sdeleted text end new text begin An individual'snew text end passing examination results expire two years from the examination date. deleted text begin A persondeleted text end new text begin An individualnew text end who passes the examination but does not choose to apply to act as a qualifying person for a licensee within two years from the examination date, must, upon application provide:

(1) passing examination results within two years from the date of application; or

(2) proof that the person has fulfilled the continuing education requirements in section 326.87 in the manner required for a qualifying person of a licensee for each license period after the expiration of the examination results.

deleted text begin Subd. 4. deleted text end

deleted text begin Competency skills. deleted text end

deleted text begin The commissioner shall, in consultation with the council, determine the competency skills and installation knowledge required for the licensing of specialty contractors. deleted text end

Subd. 5.

Exemption.

A general retailer whose primary business is not being a residential building contractor, new text begin residential new text end remodeler, deleted text begin or specialty contractordeleted text end new text begin residential roofer, or manufactured home installer, new text end and who has completed adeleted text begin comparabledeleted text end license examinationnew text begin meeting or exceeding Minnesota's examination requirementsnew text end in another state is exempt from deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 3 deleted text begin and 4deleted text end and sections 326.87 and 326.88.

Subd. 6.

Additional licensing requirements.

As an alternative to denying an application for licensure pursuant to section 326.91, subdivision 1, the commissioner may, as a condition of licensure and based upon information received pursuant to section 326.89, subdivision 2, clauses (6) to (8), or a finding pursuant to section 326.91, subdivision 1, clauses (1) to (9), impose additional insurance, bonding, reporting, record keeping, and other requirements on the applicant as are reasonable to protect the public.

new text begin Subd. 7. new text end

new text begin License. new text end

new text begin A nonresident of Minnesota may be licensed as a residential building contractor, residential remodeler, residential roofer, or manufactured home installer upon compliance with all the provisions of sections 326.83 to 326.98. new text end

Sec. 15.

Minnesota Statutes 2006, section 326.90, subdivision 1, is amended to read:

Subdivision 1.

Local license prohibited.

Except as provided in sections 326.90, subdivision 2, deleted text begin and 326.991, deleted text end a political subdivision may not require a person licensed under sections 326.83 to to also be licensed or pay a registration or other fee related to licensure under any ordinance, law, rule, or regulation of the political subdivision. This section does not prohibit charges for building permits or other charges not directly related to licensure.

Sec. 16.

Minnesota Statutes 2006, section 326.91, subdivision 1, is amended to read:

Subdivision 1.

deleted text begin Causedeleted text end new text begin Groundsnew text end .

deleted text begin The commissioner may by order deny, suspend, or revoke any license or may censure a licensee, and may impose a civil penalty as provided for in section 45.027, subdivision 6, if the commissioner finds that the order is in the public interest, and that the applicant, licensee, or affiliate of an applicant or licensee, or other agent, owner, partner, director, governor, shareholder, member, officer, qualifying person, or managing employee of the applicant or licensee or any person occupying a similar status or performing similar functions: deleted text end new text begin In addition to the grounds set forth in section 326B.082, subdivision 11, the commissioner may deny, suspend, limit, place conditions on, or revoke a license or certificate of exemption, or may censure the person holding the license or certificate of exemption, if the applicant, licensee, certificate of exemption holder, qualifying person, or affiliate of an applicant, licensee, or certificate of exemption holder, or other agent owner has: new text end

(1) has filed an application for deleted text begin a licensedeleted text end new text begin licensure or a certificate of exemptionnew text end 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 326.83 to 326.98 deleted text begin ordeleted text end new text begin ,new text end any rule or order under sections 326.83 to 326.98new text begin or any other law, rule, or order related to the duties and responsibilities entrusted to the commissionernew text end ;

deleted text begin (6) has been shown to be incompetent, untrustworthy, or financially irresponsible; deleted text end

deleted text begin (7)deleted text end new text begin (6)new text end has been convicted of a violation of the State Building Code ordeleted text begin , in jurisdictions that do not enforce the State Building Code,deleted text end has refused tonew text begin comply with a notice of violation or stop order issued by a certified building official, or in local jurisdictions that have not adopted the State Building Code has refused tonew text end correct a violation of the State Building Code when the violation has been deleted text begin certified deleted text end new text begin documented or a notice of violation or stop order issued new text end by a deleted text begin Minnesota licensed structural engineerdeleted text end new text begin certified building official has been receivednew text end ;

deleted text begin (8)deleted text end new text begin (7)new text end 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 326.83, subdivision 17, 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;

deleted text begin (9)deleted text end new text begin (8)new text end 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;

deleted text begin (10) has engaged in conduct which was the basis for a contractor's recovery fund payment pursuant to section 326.975, which payment has not been reimbursed; deleted text end new text begin (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 36B.825, unless: new text end

new text begin (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 new text end

new text begin (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. new text end

deleted text begin (11)deleted text end new text begin (10)new text end has engaged in bad faith, unreasonable delays, or frivolous claims in defense of a civil lawsuitnew text begin or arbitrationnew text end arising out of their activities as a licenseenew text begin or certificate of exemption holdernew text end under this chapter;

deleted text begin (12)deleted text end new text begin (11)new text end has had a judgment entered against them for failure to make payments to employees deleted text begin ordeleted text end new text begin , new text end subcontractors, new text begin or suppliers, that the licensee has failed to satisfy new text end and all appeals of the judgment have been exhausted or the period for appeal has expired;

deleted text begin (13)deleted text end new text begin (12)new text end 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; ornew text begin has applied for or obtained a building permit for an unlicensed person.new text end

deleted text begin (14)deleted text end new text begin (13)new text end has made use ofnew text begin anew text end forged deleted text begin mechanics'deleted text end new text begin mechanic'snew text end lien deleted text begin waiversdeleted text end new text begin waivernew text end under chapter 514deleted text begin .deleted text end new text begin ;new text end

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

new text begin (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 new text end

new text begin (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. new text end

Sec. 17.

Minnesota Statutes 2006, section 326.92, is amended to read:

326.92 PENALTIES.

deleted text begin Subdivision 1. deleted text end

deleted text begin Misdemeanor. deleted text end

deleted text begin A person required to be licensed under sections 326.83 to 326.991 who performs unlicensed work is guilty of a misdemeanor. deleted text end

Subd. 1a.

Gross misdemeanor.

deleted text begin A person required to be licensed under sections 326.84 to 326.991 who violates an order under subdivision 3deleted text end new text begin An individual who violates an order of the commissioner or is the manager, officer, or director of a person who violates an order issued by the commissionernew text end is guilty of a gross misdemeanor.

Subd. 2.

Lien rights.

An unlicensed person who knowingly violates sections 326.83 to 326.98 has no right to claim a lien under section 514.01 and the lien is void. Nothing in this section affects the lien rights of material suppliers and licensed contractors to the extent provided by law.

deleted text begin Subd. 3. deleted text end

deleted text begin Commissioner action. deleted text end

deleted text begin The commissioner may bring actions, including cease and desist actions, against any person licensed or required to be licensed under sections 326.83 to 326.991 to protect the public health, safety, and welfare. deleted text end

Sec. 18.

Minnesota Statutes 2006, section 326.921, is amended to read:

326.921 BUILDING PERMIT CONDITIONED ON LICENSUREnew text begin ; NOTICE OF PERMIT APPLICATIONnew text end .

new text begin Subdivision 1. new text end

new text begin Building permit. new text end

A political subdivision shall not issue a building permit to an unlicensed person who is required to be licensed under sections 326.83 to . A political subdivision that issues zoning or land use permits in lieu of a building permit shall not issue those permits to an unlicensed person who is required to be licensed under sections 326.83 to . The political subdivision shall report the person applying for the permit to the commissioner who may bring an action against the person.

new text begin Subd. 2. new text end

new text begin Notice of building permit application. new text end

new text begin A political subdivision shall notify the department when an application for building permit involving the construction of new residential real estate has been received from an unlicensed person by submitting a copy of the application to the department within two business days of receipt of the application. The political subdivision may submit a copy of the building permit application by facsimile, United States mail, or electronic communication. new text end

Sec. 19.

Minnesota Statutes 2006, section 326.93, is amended to read:

326.93 SERVICE OF PROCESSdeleted text begin ; NONRESIDENT LICENSINGdeleted text end .

deleted text begin Subdivision 1. deleted text end

deleted text begin License. deleted text end

deleted text begin A nonresident of Minnesota may be licensed as a residential building contractor or residential remodeler upon compliance with all the provisions of sections 326.83 to 326.991. deleted text end

deleted text begin Subd. 2. deleted text end

deleted text begin Service of process. deleted text end

deleted text begin Service of process upon a person performing work in the state of a type that would require a license under sections 326.83 to 326.98 may be made as provided in section 45.028. deleted text end

new text begin Subd. 3. new text end

new text begin Procedure. new text end

new text begin Every applicant for licensure or certificate of exemption under sections 326.83 to 326.98 shall irrevocably consent to the appointment of the commissioner and successors in office to be the applicant's agent to receive service of any lawful process in any noncriminal suit, action, or proceeding against the applicant or a successor, executor, or administrator which arises under section 326.83 to 326.98 or any rule or order thereunder after the consent has been filed, with the same force and validity as if served personally on the person filing the consent. Service under this section shall be made in compliance with subdivision 5. new text end

new text begin Subd. 4. new text end

new text begin Service on commissioner. new text end

new text begin (a) When a person, including any nonresident of this state, engages in conduct prohibited or made actionable by sections 326.83 to 326.98, or any rule or order under those sections, and the person has not consented to service of process under subdivision 3, that conduct is equivalent to an appointment of the commissioner and successors in office as the person's agent to receive service of process in any noncriminal suit, action, or proceeding against the person that is based on that conduct and is brought under sections 326.83 to 326.98, or any rule or order under those sections, with the same force and validity as if served personally on the person consenting to the appointment of the commissioner and successors in office. Service under this section shall be made in compliance with subdivision 5. new text end

new text begin (b) Subdivision 5 applies in all other cases in which a person, including a nonresident of this state, has filed a consent to service of process. This paragraph supersedes any inconsistent provision of law. new text end

new text begin (c) Subdivision 5 applies in all cases in which service of process is allowed to be made on the commissioner. new text end

new text begin (d) Subdivision 5 applies to any document served by the commissioner or the department under section 326B.08. new text end

new text begin Subd. 5. new text end

new text begin How made. new text end

new text begin Service of process under this section may be made by leaving a copy of the process in the office of the commissioner, or by sending a copy of the process to the commissioner by certified mail, and is not effective unless: new text end

new text begin (1) the plaintiff, who may be the commissioner in an action or proceeding instituted by the commissioner, sends notice of the service and a copy of the process by certified mail to the defendant or respondent at the last known address; and new text end

new text begin (2) the plaintiff's affidavit of compliance is filed in the action or proceeding on or before the return day of the process, if any, or within further time as the court allows. new text end

Sec. 20.

Minnesota Statutes 2006, section 326.94, is amended to read:

326.94 BOND; INSURANCE.

Subdivision 1.

Bond.

(a) Licensed manufactured home installers and licensednew text begin residentialnew text end roofers must post a deleted text begin licensedeleted text end new text begin suretynew text end bondnew text begin in the name of the licenseenew text end 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 annual 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.

(b) A licensednew text begin residentialnew text end roofer must post a bond of at least deleted text begin $5,000deleted text end new text begin $15,000new text end .

new text begin (c) A licensed manufactured home installer must post a bond of at least $2,500. new text end

new text begin Bonds issued under sections 326.83 to 326.98 are not state bonds or contracts for purposes of sections 8.05 and 16C.05, subdivision 2. new text end

Subd. 2.

Insurance.

Licensees must have public liability insurance with limits of at least deleted text begin $100,000deleted text end new text begin $300,000new text end per occurrence, which must include at least $10,000 property damage coverage. The insurance must be written by an insurer licensed to do business in this state. The commissioner may increase the minimum amount of insurance required for any licensee or class of licensees if the commissioner considers it to be in the public interest and necessary to protect the interests of Minnesota consumers.

Sec. 21.

Minnesota Statutes 2006, section 326.95, subdivision 2, is amended to read:

Subd. 2.

Advertising.

The license number of a licensee must appear in any advertising by that licensee including but not limited to signs, vehicles, business cards, published display ads, flyers, deleted text begin and deleted text end brochuresnew text begin , Web sites, and Internet adsnew text end .

Sec. 22.

Minnesota Statutes 2006, section 326.96, is amended to read:

326.96 PUBLIC EDUCATION.

The commissioner may develop materials and programs to educate the public concerning deleted text begin licensingdeleted text end new text begin licensurenew text end requirements deleted text begin and methodsdeleted text end new text begin . The commissioner may develop materialsnew text end for reporting unlicensed contracting activity.new text begin The commissioner shall provide information in other languages.new text end

Sec. 23.

Minnesota Statutes 2006, section 326.97, is amended to read:

326.97 LICENSE RENEWAL.

Subdivision 1.

Renewal.

deleted text begin Licenseesdeleted text end new text begin A licenseenew text end whose deleted text begin applications havedeleted text end new text begin fully completed renewal application has new text end been properly and timely filed and whodeleted text begin havedeleted text end new text begin hasnew text end not receivednew text begin anew text end notice of denial of renewaldeleted text begin aredeleted text end new text begin isnew text end considered to have been approved for renewal and may continue to transact business whether or not the renewed license has been received. Applications are timely if received deleted text begin or postmarkeddeleted text end by March 1 of the renewal year. Applications must be made on a form approved by the commissioner.new text begin An application for renewal that does not contain all of the information requested is an incomplete application and will not be processed.new text end

Subd. 1a.

Annual renewal.

Any license issued or renewed after August 1, 1993, must be renewed annually.

Subd. 2.

Failure to deleted text begin applydeleted text end new text begin renewnew text end .

A person who has failed to make a timely application for renewal of a license deleted text begin by March 31 of the renewal year deleted text end is unlicensednew text begin at 11:59:59 p.m. central time on March 31 of the renewal year and remains unlicensednew text end untildeleted text begin thedeleted text end new text begin a renewednew text end license has been issued by the commissioner and is received by the applicant.

new text begin Subd. 3. new text end

new text begin Expiration. new text end

new text begin All licenses expire at 11:59:59 p.m. central time on March 31 of the renewal year if not properly renewed. new text end

Sec. 24.

new text begin [326B.801] SCOPE. new text end

new text begin Except as otherwise provided by law, the provisions of sections 326B.801 to 326B.825 apply to residential contractors, residential remodelers, residential roofers, and manufactured home installers. new text end

Sec. 25.

new text begin [326B.809] WRITTEN CONTRACT REQUIRED. new text end

new text begin (a) All agreements including proposals, estimates, bids, quotations, contracts, purchase orders, and change orders between a licensee and a customer for the performance of a licensee's services must be in writing and must contain the following: new text end

new text begin (1) a detailed summary of the services to be performed; new text end

new text begin (2) a description of the specific materials to be used or a list of standard features to be included; and new text end

new text begin (3) the total contract price or a description of the basis on which the price will be calculated. new text end

new text begin (b) All agreements shall be signed and dated by the licensee and customer. new text end

new text begin (c) The licensee shall provide to the customer, at no charge, a signed and dated document at the time that the licensee and customer sign and date the document. Documents include agreements and mechanic's lien waivers. new text end

Sec. 26.

new text begin [326B.814] REHABILITATION OF CRIMINAL OFFENDERS. new text end

new text begin Chapter 364 does not apply to an applicant for a license or to a licensee where the underlying conduct on which the conviction is based would be grounds for denial, censure, suspension, or revocation of the license. new text end

Sec. 27.

new text begin [326B.82] DEFINITIONS. new text end

new text begin Subdivision 1. new text end

new text begin Words, terms, and phrases. new text end

new text begin For the purposes of section 326.87, the terms defined in this section have the meanings given them, unless the context clearly indicates otherwise. new text end

new text begin Subd. 2. new text end

new text begin Appropriate and related knowledge. new text end

new text begin "Appropriate and related knowledge" means facts, information, or principles that are clearly relevant to the licensee in performing responsibilities under a license issued by the commissioner. These facts, information, or principles must convey substantive and procedural knowledge as it relates to postlicensing issues and must be relevant to the technical aspects of a particular area of continuing education. new text end

new text begin Subd. 3. new text end

new text begin Classroom hour. new text end

new text begin "Classroom hour" means a 50-minute hour. new text end

new text begin Subd. 4. new text end

new text begin Coordinator. new text end

new text begin "Coordinator" means an individual who is responsible for monitoring approved educational offerings. new text end

new text begin Subd. 5. new text end

new text begin Instructor. new text end

new text begin "Instructor" means an individual lecturing in an approved educational offering. new text end

new text begin Subd. 6. new text end

new text begin Licensee. new text end

new text begin "Licensee" means a person licensed by the Minnesota Department of Labor and Industry for whom an examination is required before licensure. new text end

new text begin Subd. 7. new text end