Chapter 0204 - 562R - S Ver of HB2091

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 32-106, Arizona Revised Statutes, is amended to read:

START_STATUTE32-106. Powers and duties

A. The board shall:

1. Adopt rules for the conduct of conducting its meetings and performance of performing duties imposed on it by law.

2. Adopt an official seal for attestation of attesting certificates of registration and other official papers and documents.

3. Consider and act on or delegate the authority to act on applications for registration or certification.

4. Conduct examinations for in-training and professional registration, except for an alarm business, a controlling person or an alarm agent.

5. Hear and act on complaints or charges that are specified by the complainant or direct an administrative law judge to hear and act on complaints and charges that are specified by the complainant.

6. Compel attendance of witnesses, administer oaths and take testimony concerning all matters coming within its jurisdiction. In exercising these powers, the board may issue subpoenas for the attendance of witnesses and the production of books, records, documents and other evidence it deems relevant to an investigation or hearing.

7. Keep a record of its proceedings.

8. Keep a register that shows the date of each application for registration or certification, the name of the applicant, the practice or branch of practice in which the applicant has applied for registration, if applicable, and the disposition of the application.

9. Do other things necessary to carry out the purposes of this chapter.

B. The board shall specify the proficiency designation in the branch of engineering in which the applicant has designated proficiency on the certificate of registration and renewal card issued to each registered engineer and shall authorize the engineer to use the title of registered professional engineer. The board shall decide what branches of engineering it shall recognize.

C. THE BOARD MAY INVESTIGATE A COMPLAINT PURSUANT TO SUBSECTION A, PARAGRAPH 5 OF THIS SECTION AND MAY TAKE ANY NECESSARY DISCIPLINARY OR ENFORCEMENT ACTION RESULTING FROM A COMPLAINT ONLY IF THE COMPLAINANT EITHER:

1. Currently HAS A CONTRACTUAL RELATIONSHIP WITH THE PERSON WHO IS THE SUBJECT OF THE COMPLAINT OR HAD A CONTRACTUAL RELATIONSHIP WITH THE PERSON AT THE TIME OF THE ALLEGED MISCONDUCT.

2. WAS HARMED BY THE ALLEGED MISCONDUCT OR POSSESSES FIRSTHAND KNOWLEDGE OF THE ALLEGED MISCONDUCT. FOR THE PURPOSES OF THIS PARAGRAPH, "FIRSTHAND KNOWLEDGE" INCLUDES KNOWLEDGE OF THE OUTCOME OF THE MISCONDUCT, WITNESSED BY A PERSON WITH RELEVANT PROFESSIONAL EXPERIENCE IN THE COURSE OF THAT PERSON'S CONTRACTUAL DUTIES WITH THE HARMED INDIVIDUAL.

C. d. The board may hold membership in and be represented at national councils or organizations of proficiencies registered under this chapter and may pay the appropriate membership fees. The board may conduct standard examinations on behalf of national councils and may establish fees for those examinations.

D. e. The board may employ and pay on a fee basis persons, including full-time employees of a state institution, bureau or department, to prepare and grade examinations given to applicants for registration or review an applicant's submissions of required documents for home inspector certification and regulation and may fix the fee to be paid for these services. These employees are authorized to prepare, grade and monitor examinations, review an applicant's submissions of required documents for home inspector certification and regulation and perform other services the board authorizes, and to receive payment for these services from the technical registration fund. The board may contract with an organization to administer the registration examination, including selecting the test site, scheduling the examination, billing and collecting the fee directly from the applicant and grading the examination if a national council of which the board is a member or a professional association approved by the board does not provide these services. If a national council of which the board is a member or a professional association approved by the board does provide these services, the board shall enter into an agreement with the national council or professional association to administer the registration examination.

E. f. The board may rent necessary office space and pay the cost of this office space from the technical registration fund.

F. g. The board may adopt rules establishing rules of professional conduct for registrants.

G. h. The board may require evidence it deems necessary to establish the continuing competency of registrants as a condition of renewal of licenses.

H. I. Subject to title 41, chapter 4, article 4, the board may employ persons as it deems necessary.

I. j. The board shall issue or may authorize the executive director to issue a certificate or renewal certificate to each alarm business and each controlling person and a certification or renewal certification card to each alarm agent if the qualifications prescribed by this chapter are met. END_STATUTE

Sec. 2. Repeal

Section 32-111, Arizona Revised Statutes, is repealed.

Sec. 3. Section 32-122.02, Arizona Revised Statutes, is amended to read:

START_STATUTE32-122.02. Certification of home inspectors; insurance

A. An applicant for certification as a home inspector shall:

1. Be at least eighteen years of age.

2. Have passed within two years preceding application a written examination that is approved by the board and that meets the competency standards recommended by the home inspector rules and standards committee and adopted by the board.

3. Have passed a course of study that meets the standards recommended by the home inspector rules and standards committee and approved by the board.

4. Pay a fee as determined by the board and for initial certification shall provide to the board evidence of having a valid fingerprint clearance card issued pursuant to title 41, chapter 12, article 3.1.

5. Not have had a certificate denied or revoked pursuant to this chapter within one year immediately preceding the application.

6. Have received an absolute discharge from sentence at least five years before the application if the person has been convicted of one or more felonies.

7. Provide evidence of the applicant's ability to obtain financial assurance as provided by subsection B of this section.

B. Within sixty days after certification and before any fee-based home inspection is performed, a home inspector certified pursuant to this chapter shall file one of the following financial assurances pursuant to rules recommended by the home inspector rules and standards committee and adopted by the board:

1. Errors and omissions insurance for negligent acts committed in the course of a home inspection in an amount of $200,000 in the aggregate and $100,000 per occurrence.

2. A bond that is retroactive to the certification date in the amount of $25,000 or proof that minimum net assets have a value of at least $25,000.

C. If a home inspector loses or otherwise fails to maintain a required financial assurance, the certification shall be automatically suspended and shall be reinstated if a financial assurance is obtained within ninety days. If a financial assurance is not obtained within ninety days, the certification shall be automatically revoked.

D. A home inspector is subject to this chapter and rules adopted pursuant to this chapter.

E. Except as provided in subsection A, paragraph 4 of this section, the board may not require the submission of a fingerprint clearance card for certification renewal or any other purpose. END_STATUTE

Sec. 4. Repeal

Sections 41-3024.04 and 41-3024.11, Arizona Revised Statutes, are repealed.

Sec. 5. Title 41, chapter 27, article 2, Arizona Revised Statutes, is amended by adding sections 41-3030.26 and 41-3032.04, to read:

START_STATUTE41-3030.26. Board of technical registration; termination July 1, 2030

A. THE BOARD OF TECHNICAL REGISTRATION TERMINATES ON JULY 1, 2030.

B. TITLE 32, CHAPTER 1 AND THIS SECTION ARE REPEALED ON JANUARY 1, 2031. END_STATUTE

START_STATUTE41-3032.04 Registrar of contractors agency; termination July 1, 2032

A. The registrar of contractors agency terminates on July 1, 2032.

B. Title 32, chapter 10 AND THIS SECTION ARE repealed on January 1, 2033. END_STATUTE

Sec. 6. Registrar of contractors; study; commercial contractor oversight

The registrar of contractors shall study and compile a report on commercial contractors to determine whether opportunities exist to statutorily remove the agency's oversight of the commercial contracting profession. The registrar of contractors shall submit its findings to the president of the senate and the speaker of the house of representatives on or before December 31, 2024.

Sec. 7. Purpose

Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the board of technical registration to protect the public safety and welfare by regulating architects, engineers, geologists, home inspectors, landscape architects and land surveyors.

Sec. 8. Purpose

Pursuant to section 41-2955, subsection B, Arizona Revised Statutes, the legislature continues the registrar of contractors agency to protect the public health, safety and welfare by licensing, bonding and regulating contractors engaged in construction and by administering the residential contractors' recovery fund.

Sec. 9. Retroactivity

Sections 4 and 5 of this act apply retroactively to from and after July 1, 2024.