PRE-LICENSURE EDUCATION REQUIREMENTS

FOR RESIDENTIAL BUILDERS AND CONTRACTORS

House Bill 5502

Sponsor:  Rep. Frank D. Foster

Committee:  Regulatory Reform

Complete to 5-29-12

A SUMMARY OF HOUSE BILL 5502 AS INTRODUCED 3-21-12

The bill would amend Article 24 of the Occupational Code to exclude certain individuals from having to successfully complete pre-licensure educational courses in order to obtain a license as a residential builder or residential maintenance and alteration contractor. 

Specifically, the bill would exempt individuals applying for a residential builder or residential maintenance and alteration contractor license from having to complete pre-licensure courses if the individual has held that license at any time within the nine-year period prior to submitting a license application.  

Under the bill, LARA could not issue an initial license unless the applicant has completed the required 60 hours of pre-licensure courses.  Additionally, the bill maintains the provision exempting individuals that held licenses on June 1, 2008, and are renewing that license, from having to successfully complete the required pre-licensure courses.

The bill would also eliminate a provision that allows licensed residential builders or residential alteration and maintenance contractors to apply for inactive status with LARA by declaring they are no longer actively engaged in the practice and temporarily intend to suspend the activity authorized by the license.  Under current law, inactive licensees are exempt from continuing competency requirements but must still pay the annual license fee.  Inactive licenses may be reactivated by submitting an application to LARA and then completing at least one credit hour of continuing competency for that calendar year.

MCL 339.2404b

FISCAL IMPACT:

The bill would not have a significant fiscal impact on the Bureau of Commercial Services.

                                                                                           Legislative Analyst:   Jeff Stoutenburg

                                                                                                  Fiscal Analyst:   Paul Holland

This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.