FISCAL
NOTE
WEST virginia Legislature
2017 regular session
By
[
to the Committee on Industry and Labor then the Judiciary.
A BILL to amend and
reenact §21-11-6 of the Code of West Virginia, 1931, as amended, relating to
permitting contractors to perform work on a construction project without having
a contractor’s license when the total cost of that project is less than $5,000.
Be it enacted by the
Legislature of West Virginia:
That §21-11-6 of the
Code of West Virginia, 1931, as amended, be amended and reenacted to read as
follows
ARTICLE
11. WEST VIRGINIA CONTRACTOR LICENSING ACT.
§21-11-6.
Necessity for license; exemptions.
(a) No
person may engage in this state in any act as a contractor, or submit a bid to
perform work as a contractor, as defined in this article, unless such person
holds a license issued under the provisions of this article. No firm,
partnership, corporation, association or other entity shall engage in
contracting in this state unless an officer thereof holds a license issued
pursuant to this article.
(b) Any
person to whom a license has been issued under this article shall keep the
license or a copy thereof posted in a conspicuous position at every
construction site where work is being done by the contractor. The contractor's
license number shall be included in all contracting advertisements and all
fully executed and binding contracts. Any person violating the provisions of
this subsection shall be subject, after hearing, to a warning, a reprimand, or
a fine of not more than $200.
(c) Except
as otherwise provided in this code, the following are exempt from licensure:
(1) Work
done exclusively by employees of the United States Government, the State of
West Virginia, a county, municipality or municipal corporation, and any
governmental subdivision or agency thereof;
(2) The
sale or installation of a finished product, material or article or merchandise
which is not actually fabricated into and does not become a permanent fixed
part of the structure;
(3) Work
performed personally by an owner or lessee of real property on property the
primary use of which is for agricultural or farming enterprise;
(4) A
material supplier who renders advice concerning use of products sold and who
does not provide construction or installation services;
(5) Work
performed by a public utility company regulated by the West Virginia Public
Service Commission and its employees;
(6) Repair
work contracted for by the owner of the equipment on an emergency basis in
order to maintain or restore the operation of such equipment;
(7) Work
performed by an employer's regular employees, for which the employees are paid
regular wages and not a contract price, on property owned or leased by the
employer which is not intended for speculative sale or lease;
(8) Work
personally performed on a structure by the owner or occupant thereof; and
(9) Work
performed when the specifications for such work have been developed or approved
by engineering personnel employed by the owner of a facility by registered
professional engineers licensed pursuant to the laws of this state when the
work to be performed because of its specialized nature or process cannot be
reasonably or timely contracted for within the general area of the facility; and
(10)
Work performed when the actual and total cost of the project is less than
$5,000, including labor, materials and all other expenses related to the
project.
NOTE: The purpose of this bill is
to permit contractors to perform work on a construction project without having
a contractor’s license when the total cost of that project is less than $5,000.
Strike-throughs indicate language that would be
stricken from a heading or the present law and underscoring indicates new
language that would be added.