A1457 2R

An Act providing for the ²[licensure ] regulation² of general contractors ²and general contracting businesses² and supplementing Title 45 of the Revised Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. This act shall be known and may be cited as the “General Contractor Licensing ²and General Contractor Business Registration² Act.”

2. As used in this act:

“Board” means the New Jersey State Board of General Contractors.

“General contractor” means an individual or business that shall be or can be classified in trade ¹006, 007,¹ 008 ¹,¹ or 009 by the Division of Property Management and Construction in the New Jersey Department of the Treasury ¹[to perform services including, but not limited to, general construction; alterations and additions; partitions and ceilings; doors and hardware; windows; siding and gutters; carpeting; carpeting; flooring and tile; millwork; insulation; acoustical work; concrete, foundation footings and masonry; fencing; curtain walls; site work; sewage and water treatment plants; landscape construction; road construction and paving; pumping stations; caulking and waterproofing; general painting; sandblasting; prefabrication buildings; prefabrication music and sound clean rooms; detention equipment systems; food service equipment; school furnishings; lab furniture and equipment; and seating and bleachers]¹.

3. There is created within the Division of Consumer Affairs in the Department of Law and Public Safety the New Jersey State Board of General Contractors. The board shall consist of nine members who are residents of the State, two of whom shall be public members appointed by the Governor pursuant to subsection b. of section 2 of P.L.1971, c.60 (C.45:1-2.2) and one of whom shall be designated by the Governor to represent the Executive Branch pursuant to subsection c. of section 2 of P.L.1971, c.60 (C.45:1-2.2). Each of the remaining six members shall be appointed by the Governor, with the advice and consent of the Senate, and shall be residents of New Jersey who have practiced general contracting for at least 10 years immediately preceding their appointments. Of the members first appointed, other than the member representing the Executive Branch, four shall serve for a term of three years, three shall serve for a term of two years, and one shall serve for a term of one year. Thereafter, all members shall serve for a term of three years, and no member, other than the member representing the Executive Branch serving ex officio, shall serve for more than ¹[two] three¹ consecutive terms.

4. The board shall:

a. Establish the standards required for licensure as a general contractor;

b. Review the qualifications of applicants for licensure as a general contractor under this act;

c. Ensure the proper conduct and standards of examination;

d. Issue and renew licenses to general contractors, pursuant to the provisions of this act;

e. Suspend, revoke, or not renew the license of a general contractor, pursuant to the provisions of P.L.1978, c.73 (C.45:1-14 et seq.);

f. Prescribe or change the charges for examinations, licensures, renewals and other services performed pursuant to P.L.1974, c.46 (C.45:1-3.1 et seq.);

g. Maintain a record of every general contractor licensed in this State, and the date and number of that license, and publish annually a list of the names and addresses of all licensees; and

h. Adopt rules and regulations pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.).

5. No person shall practice, attempt to practice, or ¹[hold himself or herself out as being able] indicate an ability¹ to practice general contracting unless that person is licensed in accordance with the provisions of this act ²or is providing general contracting under the direction or supervision of an individual licensed by the board².

6. To be eligible for licensure as a general contractor, an applicant shall fulfill the following requirements:

a. Be at least 18 years of age;

b. ¹[Be of good moral character;

c. Receive] Complete:

(1)¹ a ¹[bachelors] program accredited by a regional accreditation agency recognized by the United States Department of Education leading to a¹ degree in ¹construction or¹ project management, with at least 60 credits earned from courses in construction¹, and have two years of field experience under the supervision of:

(a) a general contractor; or

(b) a general contractor licensed pursuant to this act; or

(2) (a) an apprenticeship program in a building or construction trade accredited and approved by the United States Department of Labor; the New Jersey Department of Labor and Workforce Development; or affiliated unions; and

(b) four years of field experience under the supervision of either:

(i) a general contractor; or

(ii) a general contractor licensed pursuant to this act¹; and

¹[d.] c.¹ Successfully pass ²[an] the Certified Professional Constructor² examination ²[prepared by or approved] and a supplemental examination developed² by the board ²[to determine the applicant’s competence to practice general contracting] in consultation with the American Institute of Constructors pursuant to subsection d. of section 7 of this act².

7. a. The examination required by subsection ¹[d.] c.¹ of section 6 of this act shall be held within the State at least ¹[four] two¹ times a year at a time and place to be determined by the board. The board may contract or otherwise arrange for reasonably required physical accommodations and facilities to conduct examinations.

b. The board may, by regulation, establish standards and procedures to provide that the examination be offered via the Internet.

¹c. The board shall create a study guide for individuals to consult in preparation for the ²supplemental module of the² examination ²and shall post, on the board’s website, a link to the study guide created by the American Institute of Constructors for the examination².¹

²d. The board shall, in consultation with the American Institute of Constructors, develop a supplemental examination to be administered with the Certified Professional Constructor examination to determine an applicant’s competence to practice general contracting in the State, including the applicant’s knowledge of the Uniform Construction Code adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.).²

8. a. All licenses shall be issued for a ¹[two-year] three-year¹ period and shall be renewed upon filing of a renewal application and payment of the corresponding fee.

b. Licensure fees shall be determined by the board and established by regulation. Fees shall be established, prescribed to the extent necessary to defray all proper expenses incurred by the board and any staff employed to administer the provisions of this act but shall not be fixed at an amount that will raise revenue in excess of the amount estimated to be so required.

c. The board shall promulgate rules and regulations for implementing continuing education requirements as a condition of license renewal, which shall include the subject matter and content of courses of study.

9. ²a.² The provisions of section 6 of this act shall not apply to:

²[a.] (1)² Individuals who have had at least 10 years of experience in general contracting prior to the effective date of this act and who have not declared bankruptcy or ¹[changed the name of a company] altered the name of a business to deceive other parties regarding an interest in or ownership of a previous business¹ during that time; and

²[b.] (2)² Individuals licensed, certified or registered in the State in a closely allied profession, including, but not limited to, ¹[architecture, professional engineering, home improvement contracting, and home elevation contracting] commercial general contracting¹.

²b. The board shall issue a license to practice general contracting to an individual who is exempt from the provisions of section 6 of this act pursuant to this section.²

¹10. An individual who can demonstrate, in a manner as determined by the board, completion of five years of field experience prior to the effective date of this act and that was performed under the supervision of a general contractor with at least 10 years of experience completed prior to the effective date of this act shall qualify for licensure upon passage of the examination required pursuant to section 6 of this act.¹

¹[10.] 11.¹ Every holder of a license issued by the board ²and every individual practicing general contracting under the direction or supervision of a holder of a license issued by the board² shall have ²[it] the license² available to show to the public at the work site where the holder ²or individual² is providing general contractor services.

²12. a. No general contractor business shall practice, attempt to practice, or indicate an ability to practice general contracting unless registered with the Division of Consumer Affairs in accordance with the provisions of this act.

b. Every general contractor business shall annually register with the director. An application for registration shall be on a form provided by the division and shall be accompanied by a fee set by the director.

c. Every general contractor business required to register under the provisions of this act shall file an amended registration within 20 days after any change in information required to be included thereon. No fee shall be required for the filing of an amended registration.

d. A general contractor business shall be required to employ at least one general contractor licensed by the board. A general contractor business shall disclose to the board the identity of the licensed general contractor employed by the general contractor business in a form and manner prescribed by the board and shall inform the board within 10 days if the identity of the applicable licensed general contractor changes.

e. If the sole licensed general contractor of a general contractor business is terminated or resigns, or is rendered incapable of fulfilling professional duties due to death, illness, or another condition, the general contractor business shall:

(1) notify the division of the termination, resignation, or incapacitation of the licensee; and

(2) employ a licensed general contractor within six months of the termination, resignation, or incapacitation of the licensee.

f. A general contractor business that violates the provisions of this section shall be liable to a civil penalty of not more than $15,000 for the first violation and not more than $25,000 for the second and each subsequent violation. A penalty may be imposed by the director and shall be collected by summary proceedings instituted in accordance with the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).

g. The division shall adopt rules and regulations pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the provisions of this section.²

¹[11.] ²[12.¹] 13.² This act shall take effect on the ¹[180^th] 240th¹ day next following enactment.