General Contracting

MCL 339.5711 — Electrical contractor's license; requirements

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5711 Electrical contractor's license; requirements.

Sec. 711.

The department shall issue an electrical contractor's license to a person that meets the requirements described in article 2 and either of the following:

(a) Is an individual who holds a master electrician's license.

(b) Has at least 1 full-time employee who is a master electrician, resides in this state, and is actively in charge of and responsible for Michigan electrical code compliance of all installations of electrical wiring and equipment.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.5727 — Sign specialty contractor's license; requirements; failure to pass examination; condition of renewal; license not required

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5727 Sign specialty contractor's license; requirements; failure to pass examination; condition of renewal; license not required.

Sec. 727.

(1) Subject to section 731(5), the department shall issue a sign specialty contractor's license to a person that does all of the following:

(a) Meets the requirements described in article 2.

(b) Meets 1 of the following:

(i) Is an individual who holds a sign specialist's license.

(ii) Has at least 1 full-time employee who is a sign specialist, resides in this state, and is actively in charge of and responsible for Michigan electrical code compliance of all installations, maintenance, connection, and repair of electric signs and related wiring.

(c) Provides evidence of public liability insurance coverage.

(2) A licensed electrical contractor is not required to have a sign specialty.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.2404 — Evidence of good moral character; proof of identity; examination; issuance of residential maintenance and alteration contractor's license; scope of crafts and trades; place of business; branch office license; duration of license; renewal; documentation of continuing competency requirements

(4) A residential builder or residential maintenance and alteration contractor shall maintain a place of business in this state. If a residential builder or residential maintenance and alteration contractor maintains more than 1 place of business in this state, the department shall issue a branch office license to the builder or contractor for each place of business maintained by the builder or contractor.

(5) The department shall issue the license of a residential builder and residential maintenance and alteration contractor for a period of 3 years in duration.

(6) An applicant for renewal of a residential builder or maintenance and alteration contractor license shall state to the department that he or she has a current copy of the Michigan residential code and meets the appropriate requirements regarding continuing competency described in this article or rules promulgated under this article.

(7) A licensee shall maintain documentation, for at least 5 years, of activities that meet the continuing competency requirements under this article.

History: 1980, Act 299, Imd. Eff. Oct. 21, 1980 ;-- Am. 1980, Act 496, Eff. Mar. 31, 1981 ;-- Am. 1981, Act 83, Imd. Eff. July 1, 1981 ;-- Am. 1984, Act 193, Imd. Eff. July 3, 1984 ;-- Am. 1988, Act 463, Eff. Sept. 1, 1989 ;-- Am. 2007, Act 157, Eff. June 1, 2008 ;-- Am. 2010, Act 151, Imd. Eff. Aug. 23, 2010 ;-- Am. 2014, Act 176, Imd. Eff. June 17, 2014 ;-- Am. 2018, Act 527, Eff. Mar. 28, 2019 Popular Name: Act 299

MCL 339.5737 — Electrical contracting; license required; classes of work

(h) Any work involved in the use, maintenance, operation, dismantling, or reassembling of motion picture and theatrical equipment used in any building with approved facilities for entertainment or educational use and that has the necessary permanent wiring and floor and wall receptacle outlets designed for the proper and safe use of that theatrical equipment, but not including any permanent wiring.

(i) Work performed by a person that is licensed as a mechanical contractor in a classification described in section 807(2)(a), (b), (d), (e), and (f), a person that is licensed as a plumbing contractor under article 11, and employees of those persons, while performing maintenance, service, repair, replacement, alteration, modification, reconstruction, or upgrading of control wiring circuits and electrical component parts in existing mechanical systems defined in the Michigan mechanical code and the Michigan plumbing code, including, but not limited to, energy management systems, relays and controls on boilers, water heaters, furnaces, air conditioning compressors and condensers, fan controls, thermostats and sensors, and all interconnecting wiring associated with the mechanical systems in buildings that are on the load side of the unit disconnect, that is located on or immediately adjacent to the equipment, except for life safety systems wiring.

MCL 339.5719 — Fire alarm contractor's license; requirements

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5719 Fire alarm contractor's license; requirements.

Sec. 719.

Subject to section 731(3), the department shall issue a fire alarm contractor's license to a person that meets the requirements described in article 2 and meets either of the following:

(a) Is an individual who holds a fire alarm specialty technician's license.

(b) Has at least 1 full-time employee who is a fire alarm specialty technician, resides in this state, and is actively in charge of and responsible for Michigan electrical code compliance of all installations of fire alarm system wiring and equipment.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.2404B

(vii) Construction safety standards promulgated under the Michigan occupational safety and health act, 1974 PA 154, MCL 408.1001 to 408.1094.

(2) All of the following apply to an individual license under this article, as applicable:

(a) Subject to subdivision (b), if the individual licensee obtained his or her initial license as a residential builder or a residential maintenance and alteration contractor on or after January 1, 2009, he or she must successfully complete at least 21 hours of activities that demonstrate continuing competence in each 3-year license cycle, including both of the following:

(i) At least 3 hours of activities that demonstrate continuing competency in each calendar year, during the first 6 calendar years of licensure.

(ii) At least 3 hours of activities designed to develop a licensee's understanding and ability to apply state building codes and laws relating to the licensed occupation, safety, and changes in construction and business management laws.

MCL 339.5817 — Mechanical contractor performing work in municipality; registration of license with enforcing agency

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5817 Mechanical contractor performing work in municipality; registration of license with enforcing agency.

Sec. 817.

A mechanical contractor that is licensed under this article and performs work in a municipality shall register his or her license with the enforcing agency that issues permits and provides inspection services of mechanical contractor's work for that municipality. A registration under this section is valid until the expiration date of the mechanical contractor's license. A municipality shall grant registration to a mechanical contractor under this section if the mechanical contractor is licensed under this act and pays a fee established by the municipality in an amount that does not exceed $15.00.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.2404 — Evidence of good moral character; proof of identity; examination; issuance of residential maintenance and alteration contractor's license; scope of crafts and trades; place of business; branch office license; duration of license; renewal; documentation of continuing competency requirements

(3) Except as provided in section 2404c, the department may issue a residential maintenance and alteration contractor's license to an individual who applies for the license and who qualifies for the license by passing the examination. A license authorizes the licensee, according to the applicant's qualifications, crafts, and trades, to engage in the activities of a residential maintenance and alteration contractor. A license includes the following crafts and trades: carpentry; concrete; swimming pool installation; waterproofing a basement; excavation; insulation work; masonry work; roofing; siding and gutters; screen or storm sash installation; tile and marble work; and house wrecking. A license shall specify the particular craft or trade for which the licensee is qualified. This subsection does not prohibit a specialty contractor from taking and executing a contract involving the performance of the craft or trade for which the contractor holds a license and 1 or more other crafts or trades if the performance of the work in the other craft or trade is incidental and supplemental to the performance of work in the craft or trade for which the specialty contractor is licensed.

MCL 339.5811 — Local licensing requirements

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5811 Local licensing requirements.

Sec. 811.

A municipality shall not establish or maintain local licensing requirements for the work classifications described in section 807(2) or work described in section 809(4). A governmental subdivision shall not prohibit a mechanical contractor that is licensed under this article from engaging in the work classification or classifications for which the mechanical contractor has a license, or a person described in section 809(4) from engaging in work for which that person is licensed or registered, unless the mechanical contractor is in violation of this act.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.6111 — Plumbing contractor license; issuance; conditions; operation of branch offices; supervision or control of plumbing operations; display of business sign

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.6111 Plumbing contractor license; issuance; conditions; operation of branch offices; supervision or control of plumbing operations; display of business sign.

Sec. 1111.

(1) To qualify for a plumbing contractor license, the applicant must either hold a master plumber license or employ the holder of a master plumber license as his or her representative.

(2) Only an individual who is a sole proprietor, a partner in a partnership, an officer of a corporation, or a member of a limited liability company may apply for licensure as a plumbing contractor.

(3) The department shall issue a plumbing contractor's license to an individual who does all of the following:

(a) Files a completed application on a form provided by the department that includes the following information:

(i) A statement listing the complete address of each place where the applicant has resided and has been engaged in business during the last 5 years including the length of time at each residence and types of businesses engaged in or employments.

(ii) The name of the individual who is applying for the license, the name of the business, and the location of the place for which the license is desired.

MCL 339.2404B

(9) Before September 16, 2014, a licensed residential builder or residential alteration and maintenance contractor may apply for inactive status by completing an application, made available by the department, in which he or she declares that he or she is no longer actively engaged in the practice authorized by his or her license and temporarily intends to suspend activity authorized by his or her license. If a completed application is submitted, the department shall designate the licensee as inactive and note that status on records available to the public. A licensee who is designated as inactive must have a current copy of the Michigan residential code and is exempt from the continuing competency requirements imposed under this section, but must still pay the per-year license fee. An inactive licensee may activate his or her license by submitting an application to the department requesting activation of the license. If the department activates an inactive license, the licensee must complete at least 1 credit hour of activities that demonstrate continuing competency for that calendar year.

MCL 339.6125 — Issuance of plumbing permit by governmental subdivision

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.6125 Issuance of plumbing permit by governmental subdivision.

Sec. 1125.

(1) A governmental subdivision may not exempt itself from the licensing requirements of this article and may not engage in or require local licensing.

(2) Except as otherwise provided in subsections (3) and (6) and section 1107, the state or a governmental subdivision shall issue a plumbing permit only to a licensed plumbing contractor. The state or a governmental subdivision shall require the plumbing contractor to record his or her current plumbing contractor license number on the permit application. A licensed plumbing contractor shall designate 1 or more licensed master plumbers who are employed full-time who directly supervise the installation of plumbing to obtain permits using the license number of the plumbing contractor. The master plumber's license number must also be recorded on the permit application.

MCL 339.2411 — Complaint; conduct subject to penalty; violations; review; administrative proceedings regarding workmanship; order of default; "verified complaint" defined

(k) Acceptance of a commission, bonus, or other valuable consideration by a salesperson for the sale of goods or the performance of service specified in the article from a person other than the residential builder or residential maintenance and alteration contractor under whom the person is licensed.

(l) Becoming insolvent, filing a bankruptcy action, becoming subject to a receivership, assigning for the benefit of creditors, failing to satisfy judgments or liens, or failing to pay an obligation as it becomes due in the ordinary course of business.

(m) Workmanship not meeting the standards of the Michigan residential code as promulgated under the Stille-DeRossett-Hale single state construction code act, 1972 PA 230, MCL 125.1501 to 125.1531.

(3) The department shall conduct a review upon notice that the licensee has violated the asbestos abatement contractors licensing act, 1986 PA 135, MCL 338.3101 to 338.3319. The department may suspend or revoke that person's license for a knowing violation of the asbestos abatement contractors licensing act, 1986 PA 135, MCL 338.3101 to 338.3319.

(4) Notwithstanding article 5, the following apply to administrative proceedings regarding workmanship under subsection (2)(m):

MCL 339.728 — License to engage in practice of public accounting; application by firm; requirements; change in address; practice of public accountancy without license under subsection (1); conditions; other professional services practiced without license

(b) All attest and compilation services provided by the firm in this state are performed under the supervision of an individual who is licensed and in good standing as a certified public accountant in this state or another state or holds an equivalent authorization to practice public accounting from another licensing jurisdiction acceptable to the board.

(3) A firm shall notify the department of any change in address within 30 days of the change.

(4) A firm that is not required to obtain a Michigan license under subsection (1) may perform a review engagement in accordance with the statements on standards for accounting and review services, perform an examination, a review, or agreed-upon procedures engagement in accordance with the statements on standards for attestation engagements, or perform a compilation for a client in this state, only if it meets each of the following conditions:

(a) It has met the requirements in subsection (2)(a) and (b) and section 729(2).

(b) It performs those services through an individual who has practice privileges under section 727a.

(c) It is authorized or permitted to perform those services in the licensing jurisdiction where the individual described in subdivision (b) has his or her principal place of business.

MCL 339.6111 — Plumbing contractor license; issuance; conditions; operation of branch offices; supervision or control of plumbing operations; display of business sign

(iii) The name of the business owner, president of the corporation, or a member or manager of the limited liability company and the name of the individual who is applying, if different from the name of the business owner, president, or member or manager and his or her title.

(iv) The name, residence address, and license number of the licensed master plumber who represents the person.

(b) Pays the applicable examination fee established under section 207 and passes an examination provided for by the board and the department.

(c) Pays the license fee described in article 4.

(4) A licensed plumbing contractor may operate 1 or more branch offices in this state under the same business if a licensed master plumber is in charge and has the responsibility of supervision at each branch.

(5) If a license is issued to a plumbing contractor represented by a master plumber, the plumbing contractor and the master plumber are jointly and severally responsible for exercising the supervision or control of the plumbing operations necessary to secure full compliance with this article, the rules promulgated under this article, and all other laws and rules related to the installation of plumbing.

MCL 339.2404B

(b) If an individual is applying for a license or relicensure as a residential builder or residential maintenance and alteration contractor, he or she is exempt from the requirement of successfully completing prelicensure courses described in this subsection if all of the following are met:

(i) His or her application is submitted before the expiration of the 18-month period beginning on September 16, 2014. This subdivision does not apply to applications that are submitted after that 18-month period.

(ii) He or she held an individual license as a residential builder or residential maintenance and alteration contractor, or held a license as a qualifying officer of a licensed residential builder or residential maintenance and alteration contractor, at any time within the 9-year period preceding his or her application.

(c) Unless he or she is exempt under subdivision (a) or (b), an applicant must not receive an initial license under this act unless he or she successfully completed 60 hours of approved prelicensure courses that include at least 6 hours of courses in each of the following areas of competency:

(i) Business management, estimating, and job costing.

(ii) Design and building science.

(iii) Contracts, liability, and risk management.

(iv) Marketing and sales.

(v) Project management and scheduling.

(vi) The current Michigan residential code.

MCL 339.2403 — Engaging in business or acting in capacity of residential builder or residential maintenance and alteration contractor or salesperson without license

(f) A person that is working on 1 undertaking or project by 1 or more contracts, if the aggregate contract price for the labor, material, and any other items for the undertaking or project is less than $600.00. The exemption described in this subdivision does not apply if the work of a construction is only a part of a larger or major operation, whether undertaken by the same or a different residential builder or residential maintenance and alteration contractor, or in which a division of the operation is made in contracts of amounts less than $600.00, to evade this act.

(g) An electrical contractor that is licensed under article 7 of the skilled trades regulation act, MCL 339.5701 to 339.5739. The exemption described in this subdivision applies only to the electrical installation, electrical maintenance, or electrical repair work that is performed by the electrical contractor.

(h) A plumbing contractor that is licensed under article 11 of the skilled trades regulation act, MCL 339.6101 to 339.6133. The exemption described in this subdivision applies only to plumbing installation, plumbing maintenance, or plumbing repair work that is performed by the plumbing contractor.

MCL 339.5815 — Designation as contractor of record

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5815 Designation as contractor of record.

Sec. 815.

(1) If an individual who is an employee of a person, or who is an officer of a person that is not an individual, and who is authorized to perform installations, alterations, or servicing in any of the work classifications described in section 807(2), is designated as the contractor of record for that person under section 809 and ceases to be an employee or officer of that person, the person has 90 days after the date the contractor of record ceases to be an employee or officer in which to designate an employee or officer who is a holder of a mechanical contractor's license as the new contractor of record. The person shall notify the department in writing of the designation.

(2) If an individual is licensed to perform installations, alterations, or servicing in 1 or more of the work classifications described in section 807(2) and is also the contractor of record, and that individual ceases to do business as a mechanical contractor and sells his or her business interest to another person, the buyer has 90 days to designate an employee or officer who is the holder of a mechanical contractor's license as the contractor of record. The buyer shall notify the department in writing of the designation.

History: 2016, Act 407, Eff. Apr. 4, 2017

MCL 339.403 — Collection of fees charged under contract; termination of contract

OCCUPATIONAL CODE (EXCERPT)

Act 299 of 1980

339.403 Collection of fees charged under contract; termination of contract.

Sec. 403.

(1) This act does not prohibit a person who has a contract with the department or any other person providing direct services from collecting fees directly from an applicant, registrant, or licensee.

(2) If the department terminates a contract with a person who has been administering a licensing or registration examination to applicants for licensure or registration in a specific profession, and the department itself begins to administer the examination, the department shall not charge an applicant a fee greater than the fee charged under the terminated contract unless the examination fee for that profession is increased under the state license fee act, Act No. 152 of the Public Acts of 1979, being sections 338.2201 to 338.2277 of the Michigan Compiled Laws.

History: Add. 1988, Act 463, Eff. Sept. 1, 1989 Popular Name: Act 299

MCL 339.5107 — Definitions; M to V

SKILLED TRADES REGULATION ACT (EXCERPT)

Act 407 of 2016

339.5107 Definitions; M to V.

Sec. 107.

As used in this act:

(a) "Michigan building code" means part 4 of the state construction code, R 408.30401 to R 408.30499 of the Michigan Administrative Code.

(b) "Michigan electrical code" means part 8 of the state construction code, R 408.30801 to R 408.30873 of the Michigan Administrative Code.

(c) "Michigan mechanical code" means part 9A of the state construction code, R 408.30901a to R 408.30996 of the Michigan Administrative Code.

(d) "Michigan plumbing code" means part 7 of the state construction code, R 408.30701 to R 408.30792 of the Michigan Administrative Code.

(e) "Municipality" means a city, village, or township.

(f) "Occupation" means a field of endeavor regulated under this act.

(g) "Person" means an individual, sole proprietorship, partnership, association, limited liability company, corporation, or common law trust or a combination of those legal entities. Person includes a department, board, school, institution, establishment, or governmental entity.

(h) "Probation" means a sanction that permits a board to evaluate over a period of time a licensee's fitness to practice an occupation regulated under this act while the licensee continues to practice the occupation.

(i) "Public access" means the right of a person to view and copy files under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.