HOUSE BILL No. 4256

 

February 10, 2005, Introduced by Reps. Lipsey, Lemmons, III, Tobocman, Alma Smith, Bieda, McDowell, Gleason, Wenke, Plakas, Gaffney, Hopgood, Wojno, Leland and Virgil Smith and referred to the Committee on Regulatory Reform.

 

     A bill to amend 1965 PA 290, entitled

 

"Boiler act of 1965,"

 

by amending the title and sections 2, 4, 4a, 12, 14, and 24 (MCL

 

408.752, 408.754, 408.754a, 408.762, 408.764, and 408.774), section

 

2 as amended by 2004 PA 103, section 4 as amended by 1980 PA 274,

 

and section 4a as amended by 2004 PA 265, and by adding sections

 

13a, 13b, 13c, and 13d.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

TITLE

 

     An act to regulate the  use  operation, construction,

 

installation, and repair of certain boilers; to create a board of

 

boiler rules; to prescribe uniform rules and regulations for

 


certain boilers; to provide for the licensing of certain boiler

 

inspectors, installers, and repairers and registration of certain

 

boiler operators and stationary engineers; to provide for powers

 

and duties for certain state agencies and officers; to provide fees

 

for registrations, licenses, permits, inspections, and

 

certificates; to provide penalties and remedies for the violation

 

of this act; and to repeal  certain  acts and parts of acts.

 

     Sec. 2. As used in this act:

 

     (a) "Antique steam boiler" means a boiler that is no longer

 

used in production applications and is used to demonstrate the

 

historical significance of steam boilers in American history.

 

     (b) "Approved apprenticeship program" means a training program

 

for boiler operators or stationary engineers certified by or

 

meeting the standards of the United States department of labor

 

bureau of apprenticeship training and approved by the board.

 

     (c) "Associated auxiliaries" means equipment that is required

 

in the operation of a boiler that includes, but is not limited to,

 

pumps, regulators, feedwater heaters, superheaters, de-

 

superheaters, economizers, air preheaters, draft fans, combustion

 

and pollution control equipment, and prime movers.

 

     (d)   (b)  "Board" means the board of boiler rules created in

 

section 3.

 

     (e)   (c)  "Boiler" means a closed vessel in which water is

 

heated, steam is generated, steam is superheated, or a combination

 

thereof, under pressure or vacuum by the application of heat from

 

combustible fuels, electricity, or nuclear energy. Boiler does not

 

include facilities of an integral part of a continuous processing

 


unit but does include a fired unit for heating or vaporizing

 

liquids other than water, if the unit is separate from a processing

 

system and is complete within itself.

 

     (f)   (d)  "Boiler for agricultural purposes" means a portable

 

boiler used in a field or similar open area for the sole purpose of

 

operating farm equipment or farm machinery.

 

     (g) "Boiler operator" or "stationary engineer" means a person

 

engaged in the operation of boilers and associated auxiliaries.

 

     (h)   (e)  "Certificate inspection" means an inspection, the

 

report of which is used by the chief inspector to decide whether a

 

certificate, as provided by section  19  20, shall be issued. The

 

certificate inspection shall be an internal inspection if

 

construction allows; otherwise the certificate inspection shall be

 

as complete an inspection as possible.

 

     (i)   (f)  "Director" means the director of the department of

 

labor and economic growth or a representative designated by the

 

director.

 

     (j)   (g)  "External inspection" means an inspection  which  

 

that does not involve examination of the internal surfaces of the

 

pressure parts of the boiler.

 

     (k)   (h)  "Heating surface" means the heating surface

 

determined by the boiler manufacturer and recorded in the

 

manufacturer's data report or by rules established by the board for

 

a boiler if the manufacturer's data report is not available or the

 

boiler is not stamped with its heating surface.

 

     (l (i)  "High pressure, high temperature water boiler" means

 

a water heating boiler operating at pressure exceeding 160 p.s.i.g.

 


or temperatures exceeding 250 degrees Fahrenheit.

 

     (m)   (j)  "Low pressure boiler" means a steam boiler operated

 

at pressures not exceeding 15 p.s.i.g., or a hot water heating

 

boiler operated at pressures not exceeding 160 p.s.i.g. or

 

temperatures not exceeding 250 degrees Fahrenheit.

 

     (n)   (k)  "P.S.I.G." means pounds per square inch gauge.

 

     (o)   (l)  "Power boiler" means a closed vessel in which steam

 

or other vapor is generated at a pressure of more than 15 p.s.i.g.

 

by the direct application of heat.

 

     (p)   (m)  "Process boiler" means a boiler operated at a

 

pressure or temperature from which more than 10% of the boiler's

 

capacity is used for direct steam humidification or direct process

 

work.

 

     (q) "Qualified technical education program" means an

 

educational program approved by the board that has a minimum of 350

 

contact hours in classroom hands-on training, field training, or

 

supervised plant visits for high pressure boiler operators. The

 

board may establish lesser standards for an educational program for

 

low pressure operator training or other entry level training

 

positions only.

 

     (r) "Qualified training program" means an in-house training

 

program approved by the board and offered to boiler operators and

 

stationary engineers by a utility as a result of negotiations

 

between a utility and its employees.

 

     (s) "Rule" means a rule promulgated pursuant to the

 

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to

 

24.328.

 


     (t)   (n)  "Secondhand boiler" means a boiler  which  that has

 

changed ownership and location after initial use.

 

     Sec. 4. (1) The board shall  formulate definitions and  

 

promulgate rules for the safe construction, installation,

 

inspection, operation, and repair of boilers in the state.

 

     (2) The  definitions and  rules  formulated  promulgated for

 

new construction shall be based upon and follow the generally

 

accepted nationwide engineering standards, formulae, and practices

 

established and pertaining to boiler construction and safety. The

 

board, by  resolution  rule, may adopt an existing published

 

codification, known as the boiler and pressure vessel code of the

 

American society of mechanical engineers, with the amendments and

 

interpretations.

 

     (3) The board shall  formulate  promulgate rules for the safe

 

inspection and maintenance of boilers  , which  that were in use in

 

the state before July 1, 1966. The rules  formulated  promulgated

 

shall be based upon and follow the generally accepted nationwide

 

engineering standards and may be based upon an existing published

 

codification  ,  known as the inspection code of the national board

 

of boiler and pressure vessel inspectors.

 

      (4) The rules formulated by the board shall be promulgated

 

pursuant to Act No. 306 of the Public Acts of 1969, as amended,

 

being sections 24.201 to 24.315 of the Michigan Compiled Laws.

 

     (4)   (5)  A departure from the requirements of this section  

 

shall be  is permitted in an unusual situation involving a boiler

 

of special design or construction  ,  if the board is satisfied

 

that a proposed facility will provide a degree of safety

 


commensurate with the intent of this act.

 

     (5) Upon payment of a $30.00 fee and without examination, the

 

board may register an applicant for the use of a title described in

 

section 13a who is a boiler operator or stationary engineer

 

licensed or registered as a boiler operator or stationary engineer

 

in another state, municipality, or country whose requirements for

 

licensure or registration are, at a minimum, substantially

 

equivalent to the requirements of this state for registration as

 

determined by the board, if that other state, municipality, or

 

country extends the same privileges through reciprocity to a boiler

 

operator or stationary engineer registered in this state.

 

     Sec. 4a. (1)  The  Subject to sections 4(5) and 13a(6), the

 

board, with the advice of the director, shall promulgate rules  

 

pursuant to the administrative procedures act of 1969, 1969 PA 306,

 

MCL 24.201 to 24.328,  to establish the fee schedules for licenses,

 

permits, certificates, registrations, and inspections. The fees

 

shall reflect the actual costs and expenses for the department of

 

labor and economic growth in issuing licenses, permits,

 

registrations, and certificates and in conducting inspections.

 

     (2) Beginning  the effective date of the amendatory act that

 

added subsection (3)  July 23, 2004, the department of labor and

 

economic growth shall issue an initial or renewal license to

 

install or repair a boiler or a permit for the installation or

 

repair of a boiler not later than 90 days after the applicant files

 

a completed application. Receipt of the application is considered

 

the date the application is received by any agency or department of

 

the state of Michigan. If the application is considered incomplete

 


by the department of labor and economic growth, the department of

 

labor and economic growth shall notify the applicant in writing, or

 

make the information electronically available, within 30 days after

 

receipt of the incomplete application, describing the deficiency

 

and requesting the additional information. The 90-day period is

 

tolled upon notification by the department of labor and economic

 

growth of a deficiency until the date the requested information is

 

received by the department of labor and economic growth. The

 

determination of the completeness of an application does not

 

operate as an approval of the application for the license or permit

 

and does not confer eligibility of an applicant determined

 

otherwise ineligible for issuance of a license or permit.

 

     (3) If the department of labor and economic growth fails to

 

issue or deny a license or permit within the time required by this

 

section, the department of labor and economic growth shall return

 

the license or permit fee and shall reduce the license or permit

 

fee for the applicant's next renewal application, if any, by 15%.

 

The failure to issue a license or permit within the time required

 

under this subsection does not allow the department to otherwise

 

delay the processing of the application, and that application, upon

 

completion, shall be placed in sequence with other completed

 

applications received at that same time. The department of labor

 

and economic growth shall not discriminate against an applicant in

 

the processing of the application based upon the fact that the

 

license or permit fee was refunded or discounted under this

 

subsection.

 

     (4) Beginning October 1, 2005, the director shall submit a

 


report by December 1 of each year to the standing committees and

 

appropriations subcommittees of the senate and house of

 

representatives concerned with occupational issues. The director

 

shall include all of the following information in the report

 

concerning the preceding fiscal year:

 

     (a) The number of initial and renewal applications the

 

department of labor and economic growth received and completed

 

within the 90-day time period described in subsection (2).

 

     (b) The number of applications denied.

 

     (c) The number of applicants not issued a license within the

 

90-day time period and the amount of money returned to licensees

 

and registrants under subsection (3).

 

     (5) To accomplish the objectives of this section and this act,

 

a state boiler inspection fund is created as a restricted fund in

 

the state treasury. The state treasurer is the custodian of the

 

fund and may invest the surplus of the fund. Earnings from those

 

investments shall be credited to the fund. The state treasurer

 

shall notify the director and the  Legislature  legislature of

 

interest credited and the balance of the fund as of September 30 of

 

each year. The director shall supervise and administer the fund.

 

Fees received by the department of labor and economic growth and

 

money collected under this act shall be deposited in the state

 

boiler inspection fund and shall be appropriated by the  

 

Legislature  legislature for the operations of the boiler division

 

and indirect overhead expenses in the department of labor and

 

economic growth. Funds that are unexpended at the end of each

 

fiscal year shall not lapse to the general fund and shall be

 


returned to the state boiler inspection fund.

 

     (6) As used in this section, "completed application" means an

 

application complete on its face and submitted with any applicable

 

licensing or  permit  registration fees as well as any other

 

information, records, approval, security, or similar item required

 

by law or rule from a local unit of government, a federal agency,

 

or a private entity but not from another department or agency of

 

the state of Michigan.

 

     Sec. 12.  Examination  The examination for chief, deputy, or

 

special inspectors shall be  in writing and  written. The

 

examination for certified boiler operators shall be either written

 

or oral. The examination for certified stationary engineers shall

 

be both written and oral. The examinations shall be  held  

 

administered by the board,  with at least  and not less than 2

 

members of the board shall be present at all times during  the  an

 

examination.  Such examination  Examinations shall be confined to

 

questions  , the answers to which  that will aid in determining the

 

fitness and competency of the applicant for the intended service,

 

and may be those prepared by the national board of boiler and

 

pressure vessel inspectors. The board may adopt any examination it

 

determines appropriate and may delegate any administrative

 

functions relating to the conduct of the examination. If an

 

applicant for  an inspector's  a license fails to pass the

 

examination,  he  the applicant may appeal to the board for another

 

examination which shall be given by the board within 90 days. The

 

record of an applicant's examination shall be accessible to the

 

applicant and  his  the applicant's employer.

 


     Sec. 13a. (1) An individual may operate a boiler and

 

associated auxiliaries without obtaining a registration under this

 

act.

 

     (2) An individual or business entity shall not use the terms

 

"certified boiler operator", "certified stationary engineer", "low

 

pressure certified boiler operator", "high pressure certified

 

boiler operator", "third-class certified stationary engineer",

 

"second-class certified stationary engineer", "first-class

 

certified stationary engineer", or any other name, style, or

 

description that indicates that the individual or an individual

 

employed by the business entity is registered under this act except

 

under either of the following circumstances:

 

     (a) The individual has been issued a registration under this

 

act.

 

     (b) The individual is exempt from this act under section 23.

 

     (3) The individual participating in an approved apprenticeship

 

program, a qualified technical training program, or a qualified

 

training program may use the title "apprentice certified boiler

 

operator" or "apprentice certified stationary engineer".

 

     (4) An individual registered under this act shall only use 1

 

of the titles described in subsection (2) or the abbreviation

 

"C.B.O." or "C.S.E.". The board may conduct an examination designed

 

to establish the competency of applicants for registration and may

 

charge an examination fee.

 

     (5) A person applying for a registration under this act shall

 

be not less than 18 years of age, shall possess the physical and

 

mental capacities to perform his or her duties in a competent and

 


safe manner, and shall meet the applicable requirements of section

 

13d. An applicant shall use a form provided by the director.

 

     (6) The director shall issue a registration upon

 

recommendation of the board and upon the applicant's payment of a

 

testing fee of $10.00 and a registration fee of $20.00 or a fee

 

prescribed pursuant to section 4a, whichever is higher, for each

 

application. A registration shall be renewed annually upon payment

 

of a fee of $20.00 or a fee prescribed pursuant to section 4a,

 

whichever is higher.

 

     (7) Not later than 1 year after the effective date of the

 

amendatory act that added this section, the board shall recommend

 

for registration without examination an applicant who submits

 

evidence satisfactory to the board of 1 or more of the following:

 

     (a) The applicant has had not less than 5 years of experience

 

in the class or category of boiler operator or stationary engineer

 

for which the applicant is applying.

 

     (b) The applicant possesses a license as a boiler operator or

 

stationary engineer from the cities of Detroit or Dearborn in a

 

class for which the applicant is applying.

 

     (c) The applicant has successfully completed a 4-year approved

 

apprenticeship program, a qualified technical education program, or

 

a 4-year qualified training program.

 

     Sec. 13b. Certified boiler operator and certified stationary

 

engineer registrations are classified as follows:

 

     (a) Low pressure certified boiler operator, who operates low

 

pressure boiler plants having an aggregate of not more than 4,000

 

square feet of boiler heating surface.

 


     (b) High pressure certified boiler operator, who operates

 

boiler plants having an aggregate of not more than 4,000 square

 

feet of boiler heating surface or not more than 10 steam engine-

 

turbine horsepower.

 

     (c) Third-class certified stationary engineer, who operates

 

boiler plants having an aggregate of not more than 7,500 square

 

feet of boiler heating surface or not more than 100 steam engine-

 

turbine horsepower.

 

     (d) Second-class certified stationary engineer, who operates

 

boiler plants having an aggregate of not more than 20,000 square

 

feet of boiler heating surface or not more than 200 steam engine-

 

turbine horsepower.

 

     (e) First-class certified stationary engineer, who operates

 

boiler plants having an aggregate of 20,000 square feet or more of

 

boiler heating surface or 200 steam engine-turbine horsepower or

 

more.

 

     Sec. 13c. (1) Not later than 180 days after the effective date

 

of the amendatory act that added this section, the board shall

 

promulgate rules designating the course content for qualified

 

technical education programs for the various categories and classes

 

of registration of boiler operators and stationary engineers.

 

     (2) The rules described in subsection (1) shall provide that

 

the course content of qualified technical education programs for

 

entry level registrants include at least all of the following

 

subject matter areas:

 

     (a) Basic functions, construction, and operation of all types

 

of boilers.

 


     (b) The function of boiler appliances, accessories, and

 

associated auxiliaries.

 

     (c) Materials used in boilers and the effect of temperature

 

extremes on those materials.

 

     (d) The fuels used in boilers and fundamentals of combustion.

 

     (e) Basic electricity.

 

     (f) Plant operation and boiler maintenance.

 

     (g) Instrumentation and controls.

 

     (h) Fundamental mathematics and principles of the metric

 

system.

 

     (i) General safety procedures.

 

     (j) Recognition of dangerous operation conditions.

 

     (3) The board shall provide that the course content for

 

categories and classes other than entry level registrants includes

 

subject matter similar to those described in subsection (2) in the

 

degree of depth and difficulty appropriate for the category and

 

class.

 

     Sec. 13d. (1) The director shall not issue a registration for

 

a title described in section 13a(2) unless the applicant meets the

 

requirements for the classification as prescribed in subsections

 

(2) to (6).

 

     (2) An applicant for a low pressure certified boiler operator

 

registration shall have not less than 1 year of experience

 

operating or maintaining low or high pressure boilers, steam prime

 

movers, or associated auxiliaries.

 

     (3) An applicant for a high pressure certified boiler operator

 

registration shall have 1 or more of the following:

 


     (a) Not less than 2 years of experience in the operation of a

 

high pressure boiler.

 

     (b) A low pressure certified boiler operator's registration

 

and not less than 1 year of experience in the operation of a low

 

pressure boiler.

 

     (c) Not less than 1 year of either a qualified training

 

program, a qualified technical education program, or an approved

 

apprenticeship program.

 

     (4) An applicant for a third-class certified stationary

 

engineer registration shall meet 1 or more of the following

 

requirements:

 

     (a) Be registered as a high pressure certified boiler operator

 

and have not less than 1 year of experience in the operation of a

 

high pressure boiler.

 

     (b) Be registered as a low pressure certified boiler operator,

 

have not less than 1 year of experience in the operation of a low

 

pressure boiler, and have not less than 1 year of maintenance

 

experience on high pressure boilers and associated auxiliaries.

 

     (c) Be registered as a high pressure certified boiler operator

 

and have not less than 1 year of boiler maintenance experience or

 

not less than 1 year as an apprentice in an approved training

 

program in a high pressure boiler plant having an aggregate heating

 

surface of more than 4,000 square feet.

 

     (d) Have not less than 3 years of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 4,000 square feet.

 

     (e) Have not less than 1 year of experience in the operation

 


of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 4,000 square feet along with

 

sufficient experience operating steam prime movers in excess of 10

 

horsepower for a combined total of not less than 3 years of

 

experience.

 

     (f) Have an associate degree in energy technology or a related

 

field as determined by the board with a power engineering option

 

from a 2-year college whose program is approved by the board and

 

employment or cooperative education experience of not less than 360

 

hours as a power engineer, boiler operator, or stationary engineer

 

in a steam electric generation plant or a high pressure steam

 

heating or process plant.

 

     (5) An applicant for a second-class certified stationary

 

engineer registration shall meet 1 or more of the following

 

requirements:

 

     (a) Be registered as a third-class certified stationary

 

engineer and have not less than 1 year of experience as a third-

 

class certified stationary engineer.

 

     (b) Have a bachelor's degree in engineering, engineering

 

technology, heating/power technology, or energy technology from a

 

college or university whose program is approved by the board and

 

employment experience as an engineer in the engineering or research

 

division of a steam electric power generating plant for not less

 

than 1 year.

 

     (c) Have not less than 4 years of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 7,500 square feet.

 


     (d) Have not less than 1 year of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 7,500 square feet along with

 

sufficient experience operating steam prime movers in excess of 100

 

horsepower for a combined total of not less than 4 years of

 

experience.

 

     (e) Have not less than 1 year of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 7,500 square feet along with

 

sufficient experience operating boilers in a high pressure boiler

 

plant having an aggregate heating surface of more than 4,000 square

 

feet for a combined total of not less than 4 years of experience.

 

     (6) An applicant for a first-class certified stationary

 

engineer registration shall meet 1 or more of the following

 

requirements:

 

     (a) Be registered as a second-class certified stationary

 

engineer and have not less than 2 years of experience as a second-

 

class stationary engineer.

 

     (b) Have not less than 6 years of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 20,000 square feet.

 

     (c) Have not less than 2 years of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 20,000 square feet along with

 

sufficient experience operating steam prime movers in excess of 200

 

horsepower for a combined total of not less than 6 years of

 

experience.

 


     (d) Have not less than 2 years of experience in the operation

 

of boilers in a high pressure boiler plant having an aggregate

 

heating surface of more than 20,000 square feet along with

 

sufficient experience in the operation of boilers in a high

 

pressure boiler plant having an aggregate heating surface of more

 

than 7,500 square feet of heating surface for a combined total of

 

not less than 6 years of experience.

 

     (e) Complete a 4-year approved apprenticeship program or a 4-

 

year qualified training program.

 

     (f) Complete a 4-year program with a bachelor's degree from a

 

college or university in engineering, engineering technology,

 

heating/power technology, or energy technology whose program is

 

approved by the board and which includes a hands-on power option

 

from a 2-year community college program or the equivalent, as

 

determined by the board, and not less than 1 year of employment,

 

internship, or cooperative education experience in a steam electric

 

generation plant or high pressure steam heating process plant.

 

     Sec. 14. (1)  An inspector's, repairer's, or installer's  The

 

chief inspector may suspend the license may be suspended by the

 

chief inspector for  of an inspector, repairer, or installer or the

 

registration of a certified boiler operator or certified stationary

 

engineer due to the incompetence of the  holder thereof or for

 

wilful  registrant or licensee or due to willful falsification of  

 

any  a matter or statement contained in  his  that registrant's or

 

licensee's application or in a report of  any  inspection made by  

 

him  the registrant or licensee. Written notice of the suspension

 

shall be given by the chief inspector within  not more than  10

 


days after the suspension to the registrant or licensee,  his  the

 

registrant's or licensee's employer, and the board. A person whose

 

registration or license has been suspended may appeal to the board

 

as provided in section 22 and be present in person and be

 

represented by counsel at the hearing of the appeal.

 

     (2) If the board has reason to believe that a registrant or

 

licensee is no longer qualified to hold his or her registration or

 

license, the board, upon not less than 10 days' written notice to

 

the registrant or licensee and  his  the registrant's or licensee's

 

employer, shall hold  a  an administrative hearing at which the

 

registrant or licensee and his or her employer shall have an

 

opportunity to be heard. If, as a result of the hearing, the board

 

finds that the registrant or licensee is no longer qualified to

 

hold his or her registration or license, the board shall recommend

 

to the  commissioner  director that the registration or license be

 

revoked, and the  commissioner  director shall  thereupon  

 

immediately revoke  such  the registration or license.  forthwith.

 

     (3) A person whose registration or license has been suspended

 

may apply, after 90 days from the date of the suspension, for

 

reinstatement of the registration or license.

 

     Sec. 24. (1)  It shall be unlawful for any  An individual, or

 

other person,  firm, partnership, or corporation to  shall not

 

operate  in this state  a boiler without a valid inspection

 

certificate. The operation of a boiler without  such  a valid

 

inspection certificate  ,  or at a pressure exceeding that

 

specified in  such  the inspection certificate  ,  is a misdemeanor

 

on the part of the owner, user, or operator  thereof and shall be  

 


punishable by  a fine not exceeding $500.00, or  imprisonment  not

 

to exceed  for not more than 60 days, or by a fine of not more than

 

$500.00, or both. Each day of the unlawful operation is a separate

 

offense.

 

     (2) A person or business entity using a title described in

 

section 13a(2) without a registration issued under this act or

 

without an exemption from registration under this act is guilty of

 

a misdemeanor punishable by imprisonment for not more than 60 days,

 

a fine of not more than $500.00, or both.