South Carolina General Assembly
115th Session, 2003-2004

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H. 5072

STATUS INFORMATION

General Bill
Sponsors: Reps. Loftis, Cato, Bingham, Hamilton, Leach, Tripp, Wilkins and Witherspoon
Document Path: l:\council\bills\nbd\12381ac04.doc

Introduced in the House on March 31, 2004
Currently residing in the House Committee on Labor, Commerce and Industry

Summary: Fire Sprinkler Safety Act

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
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   3/31/2004  House   Introduced and read first time HJ-38
   3/31/2004  House   Referred to Committee on Labor, Commerce and Industry 
                        HJ-38

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

3/31/2004

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND TITLE 40, CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING CHAPTER 10 SO AS TO ENACT THE "FIRE SPRINKLER SAFETY ACT" IN CONFORMANCE WITH THE STATUTORY ORGANIZATIONAL FRAMEWORK OF CHAPTER 1, TITLE 40 FOR BOARDS UNDER THE ADMINISTRATION OF THE DEPARTMENT OF LABOR, LICENSING AND REGULATION AND TO PROVIDE FOR THE LICENSURE AND REGULATION OF FIRE SPRINKLER CONTRACTORS AND THE REGULATION OF FIRE SPRINKLER SYSTEMS BY THE CONTRACTOR'S LICENSING BOARD, TO ESTABLISH STANDARDS FOR LICENSURE AND SPRINKLER SYSTEMS, TO ESTABLISH SANCTIONS FOR VIOLATIONS, AND TO FURTHER PROVIDE FOR THE REGULATION OF FIRE SPRINKLER CONTRACTORS AND FIRE SPRINKLER SYSTEMS AND TO PROVIDE PENALTIES.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    Title 40 of the 1976 Code is amended by adding:

"CHAPTER 10

Fire Sprinkler Safety Act

Section 40-10-5.    Unless otherwise provided for in this chapter, Chapter 1 of Title 40 applies to the regulation of fire sprinkler systems. If there is a conflict between this chapter and Chapter 1 of Title 40, the provisions of this chapter controls.

Section 40-10-10.    This chapter may be cited as the 'Fire Sprinkler Safety Act' and must be administered by the South Carolina Contractors Licensing Board which, in its authority over the fire sprinkler industry, shall protect the health, safety, and welfare of the public through the regulation of businesses and individuals who identify, assess, and provide work to individuals or other legal entities through the administration and enforcement of this chapter and any regulation promulgated under this chapter and Chapter 1 of Title 40. The purpose of this chapter is to assure the people of this State that fire protection sprinkler systems are being installed and maintained by individuals or fire sprinkler contractors who are licensed and qualified to engage in the planning, sale, installation, repair, alteration, addition, maintenance, testing, or inspection of these systems.

Section 40-10-20.    (A)    For purposes of this chapter:

(1)    'Bid' means an offer to furnish labor, equipment, or materials or other services regulated by this chapter.

(2)    'Board' means the South Carolina Contractors' Licensing Board.

(3)    'Certification' means an individual who is registered with the department and has been issued a certificate as a qualifying party for a fire sprinkler contractor.

(4)    'Contractor' means an individual or entity licensed to engage in the planning, sale, installation, repair, alteration, addition, maintenance, or inspection of fire sprinkler systems.

(5)    'Department' means the South Carolina Department of Labor, Licensing and Regulation.

(6)    'Entity' means a sole proprietorship, partnership, limited liability partnership, limited liability company, association, joint venture, cooperative, corporation, or other legal entity authorized by law and approved by the board.

(7)    'Fire sprinkler contractor' means an entity or individual approved by the board to engage in the planning, sale, installation, repair, alteration, addition, maintenance, or inspection of fire protection sprinkler systems or water spray systems; this term does not include local building officials, fire inspectors, or insurance inspectors when acting in their official capacity.

(8)    'Fire sprinkler system' means a system of overhead piping or underground piping, or both to protect the interior or exterior of a building or structure from fire where the primary extinguishing agent is water and designed in accordance with fire protection engineering standards. The system includes the overhead and underground fire water mains, fire hydrants and hydrant mains, standpipes, and hose connection to sprinkler systems, supplied from a reliable, constant, and sufficient water supply, such as a gravity tank, fire pump, reservoir, or pressure tank, or connection by underground piping to a city main; the system does not include dual or multi purpose water lines supplying fire systems or equipment, potable water, process water, or both. The system must be a network of specially sized or hydraulically designed piping installed in a building, structure, or area, generally overhead, and to which sprinklers are connected in a systematic pattern. The system must include a controlling valve and a device for actuating an alarm when the system is in operation. The system must usually be activated by heat from a fire and discharges water over the fire area. Fire protection sprinkler systems must include the following types: water based or wet-pipe systems, water foam systems, dry-pipe systems, preaction systems, residential systems, deluge systems, combined dry-pipe and preaction systems, non-freeze systems, and circulating closed loop systems.

(9)    'Grandfather qualifying party' means an individual who qualified for certification to become a primary qualifying party for a fire protection sprinkler contractor before September 1, 1985, and who has not met the NICET Level III or IV Technician Certification requirement to qualify a fire sprinkler contractor as a primary qualifying party.

(10)    'Individual' means a natural person, male or female.

(11)    'Licensee' means a fire sprinkler contractor who has been issued a license by the department to engage in fire sprinkler system work.

(12)    'Misconduct' means grounds for revocation, suspension, or other discipline of a licensee for violation of this chapter or a satisfactory showing that a licensee has had a license or other authorization to practice in a construction related field denied, canceled, revoked, or suspended, or disciplined in another state or federal jurisdiction.

(13)    'NFPA' means the National Fire Protection Association.

(14)    'NICET' means the National Institute for Certification in Engineering Technologies.

(15)    'Permit' means a written document or certification from an authority or municipal jurisdiction that allows an entity or individual to engage in contracting within the entity's or individual's area of authority or jurisdiction.

(16)    'Primary qualifying party' means a full-time employee of a fire sprinkler contractor who holds a valid NICET Level III or IV Technician Certificate, who has been issued a qualifying party certificate by the board to qualify an entity as a fire sprinkler contractor, and who has been designated by the licensee as the principle individual responsible for directing or reviewing fire sprinkler contractor work.

(17)    'Qualifying party' means an individual who holds a NICET Level III or IV Technician Certification and is an employee of a fire sprinkler contractor who has been issued a qualifying party certificate.

(18)    'Revocation' means the cancellation or withdrawal of a license or certification or other authorization issued by the board either permanently or for a period specified by the board. An individual whose license or certification or other authorization has been permanently revoked by the board is permanently barred from eligibility for a license or certification from the board.

(19)    'Total cost of construction' means the actual cost incurred by the owner, all contractors, subcontractors, and other parties for labor, material, equipment, profit, and incidental expenses for the entire project. This term does not include the cost of design services unless those services are included in a construction contract.

Section 40-10-40.    (A)    A fire sprinkler contractor may not engage in fire sprinkler system work unless the entity has in its employment a primary qualifying party who meets the requirements of this chapter and who has been designated by the licensee as the principle individual responsible for directing or reviewing of fire sprinkler contractor work.

(B)    Upon meeting all requirements of this chapter, the qualifying party may be issued a qualifying party certificate and may qualify a fire sprinkler contractor to engage in fire sprinkler system work as the primary qualifying party. The primary qualifying party, along with the licensee, may be held responsible by the board for improper work or violations of this chapter. The degree of responsibility upon the primary qualifying party may be based upon the primary qualifying party's participation in the work or violation.

(C)    To become a primary qualifying party, an individual shall comply with all the following:

(1)    satisfy all requirements of subsections (A) and (B);

(2)    submit an affidavit verifying full-time employment in a responsible management position by the entity for whom the applicant will be the primary qualifying party;

(3)    not take other employment that would diminish the ability to adequately supervise work performed by the licensee's employees or subcontractors; any employment conflict interpretations with this requirement must be determined by a majority vote of the board;

(4)    perform the individuals supervisory work duties from the office location in which the individual is listed as the primary qualifying party;

(5)    submit a notarized copy of the individual's current NICET Level III or IV Technician Certification, along with two government issued or department recognized identification cards containing the individual's photograph, if applicable.

(D)    In the event that the primary qualifying party ceases to perform his duties, the licensee and the qualifying party shall notify the department within fifteen days of the primary qualifying party's termination of employment. If the department is not notified within fifteen days, the department immediately shall cancel the license. If the licensee properly notifies the department within the prescribed time frame, the license remains in full good standing for a period of six months from the date of the departure of the primary qualifying party. If a primary qualifying party is not replaced within the six-month period, the department immediately shall cancel the license. If the fire sprinkler contractor has another qualifying party in his employment who is listed with the department, that individual may be listed as the primary qualifying party.

(E)    A qualifying party may transfer his certification to another fire sprinkler contractor when the qualifying party becomes a new employee for that licensee. The new employer must send written notification of the new employment to the department within fifteen days of employment.

(F)    No primary qualifying party for a licensed fire sprinkler contractor may serve as a primary qualifying party for another fire sprinkler contractor or as the primary qualifying party for any other main or branch office while serving as the primary qualifying party for the licensee.

(G)    A qualifying party who is listed as a qualifying party for a fire sprinkler contractor must keep his NICET Level III or IV Technician Certification current.

(H)    A fire sprinkler contractor may have an unlimited number of qualifying parties listed with the department under the licensee's license.

(I)    If a qualifying party loses his NICET Level III or IV Technician Certification, the licensee or the qualifying party must report the loss to the department within fifteen days. Whether proper notification is made or not, the requirements in subsection (D) apply.

Section 40-10-41.    (A)    A person, firm, association, partnership, corporation, or other legal entity desiring to engage in work as a fire sprinkler contractor within this State shall submit an application to the South Carolina Department of Labor, Licensing and Regulation. The owner, partners, or president, primary qualifying party, and all other qualifying parties must sign the application stating that the information contained in the application is true.

(B)    To qualify for a license, an applicant shall comply with all of the following:

(1)    submit a completed application on a form approved by the department;

(2)    satisfy requirements of this chapter;

(3)    employ a primary qualifying party holding a current NICET Level III or IV Technician Certification ;

(4)    submit an affidavit stating that the applicant's proposed primary qualifying party is a full-time employee in a responsible management or supervisory position who has a current NICET Level III or IV Technician Certification;

(5)    submit all fees.

(C)    Each fire sprinkler contractor main office or branch office must be separately licensed and have a primary qualifying party assigned exclusively to that location. The name of the branch office must be the same name that appears on the licensee's license.

(D)    No license or certificate may be assigned to another individual or entity or branch office.

(E)    Any change to the applicant's original application must be reported to the department within fifteen days from the date of the change.

(F)    All licenses may be on a biennial or other basis upon board approval.

Section 40-10-42.    (A)    Each licensee shall apply to the department for license renewal before the license expiration date on a form prepared by the department. A renewal application that is not postmarked by the expiration date results in a lapsed license cancellation. An entity that fails to renew and continues to engage in fire sprinkler work is practicing without a license and subject to the penalties prescribed in this chapter.

(B)    A license not renewed after ninety days from the expiration date must not be considered for renewal. An initial application form and fees and late renewal penalty must be submitted to obtain a new license. The licensee must submit documentation of a current comprehensive general liability insurance policy for all license renewals.

(C)    Any change to the license's renewal application must be reported to the department within fifteen days from the date of the change.

(D)    A licensee seeking renewal shall submit a notarized copy of the licensee's NICET Level III or IV Certification, and a government issued identification card containing the licensee's photograph and a copy of the licensee's driver's license, if applicable.

Section 40-10-43.    (A)    It is unlawful to engage in fire sprinkler work under a name other than the exact name that appears on the license issued pursuant to this chapter. 'Engaging in fire sprinkler work' includes marketing, advertising, using site signs, submitting contracts, and performing work. This requirement does not include advertising on vehicles, which may use an abbreviated version of the license name so long as the advertising is not misleading.

(B)    A licensed fire sprinkler contractor may be a subcontractor to another licensed fire sprinkler contractor who has the contract with a client to engage in fire sprinkler work.

(C)    A licensed fire sprinkler contractor who has the contract for fire sprinkler work may subcontract water-line installation to a licensed water and sewer lines contractor if the water-line work is outside a structure and is included in the fire sprinkler system.

(D)    A licensed fire sprinkler contractor may subcontract fire sprinkler work regulated under this chapter to another licensed fire sprinkler contractor and shall approve and is responsible for the work the subcontractor performs. Both fire sprinkler contractors may be held accountable by the board for improper work. A fire sprinkler contractor may not bid or perform any general or mechanical work that requires licensure.

(E)    A fire sprinkler contractor may submit a bid for a project that includes fire/burglar alarm work, or both, if fifty percent or more of the work to be performed is fire sprinkler work. The fire/burglar alarm work must be subcontracted to a licensed fire/burglar alarm contractor. The fire sprinkler contractor is responsible for the work performed by the fire/burglar alarm contractor. Both licensees may be held accountable by the board for improper work. The determination of the cost of the work involved on a project must be determined by the total cost of construction involved in the bid or contract or work to be performed.

Section 40-10-44.    (A)    An individual who was grandfathered as a primary qualifying party for a fire sprinkler contractor cannot qualify another fire sprinkler contractor if the grandfathered primary qualifying party leaves the employment of the entity in which the grandfathered primary qualifying party was the original primary qualifying party.

(B)    A grandfathered primary qualifying party for a fire sprinkler contractor may change his or her organizational style of business, and the grandfathered primary qualifying party may continue to qualify the licensed fire sprinkler contractor.

Section 40-10-45.    It is unlawful for a person to engage in the planning, sale, installation, repair, alteration, addition, maintenance, testing, or inspection of a fire sprinkler system, water based or wet pipe systems, or water foam systems in this State except in conformity with this chapter.

Section 40-10-50.    (A)    The department shall provide all administrative, fiscal, investigative, inspectional, clerical, secretarial, and license renewal operations and activities of the board in accordance with Section 40-1-50.

(B)    All fees associated with the NICET Level III or IV Technician Certification or any other costs for certification are the responsibility of the fire sprinkler contractor and payable to the provider.

(C)    All license fees must be submitted to the department.

(D)    Initial license fees are as follows:

(1)    two hundred dollars for a fire sprinkler contractor license, which includes one qualifying party certificate;

(2)    fifty dollars for additional qualifying party certificate.

(E)    Renewal license fees are as follows:

(1)    two hundred dollars for a fire sprinkler business renewal which includes one primary qualifying party certificate;

(2)    fifty dollars for additional qualifying party certificates;

(3)    one hundred dollars for each branch office which includes one primary qualifying party certificate;

(4)    fifty dollars for additional qualifying party certificates.     (F)    A late renewal fee is due on the day following the expiration date of the license and applies as follows:

(1)    one hundred dollars for up to thirty days;

(2)    one hundred fifty dollars for up to sixty days;

(3)    two hundred dollars for sixty one to ninety;

(4)    initial application required after ninety days plus two hundred dollars late renewal penalty;

(5)    no monetary penalty required after one year of not being licensed.

(G)    The replacement fee for a lost or destroyed certificate or a lost or destroyed license is ten dollars.

(H)    A fire sprinkler contractor license expires the last day of July in the licensure cycle established by the board.

(I)    A ten dollar charge may be assessed for a qualifying party to transfer his qualification certificate to another licensee.

Section 40-10-60.    The board may adopt rules governing its proceedings and may promulgate regulations necessary to carry out the provisions of this chapter.

Section 40-10-70.    In addition to the powers and duties provided in Article 1, Chapter 1, the board may:

(1)    establish a time limit for which a complaint must be considered by the board; and

(2)    order an entity or individual found in violation of this chapter, Chapter 1, Title 40, or regulations promulgated under this chapter to take remedial action;

(3)    establish a procedure for receiving complaints which protects the anonymity of the person filing the complaint.

Section 40-10-80.    The department shall investigate complaints and violations of this chapter as provided for in Section 40-1-80.

Section 40-10-90.    The results of an investigation must be presented to the board and any subsequent hearing must be conducted in accordance with Section 40-1-90.

Section 40-10-100.    (A)    The department may refer reports of violations of this chapter and Article 1, Chapter 1 or reports of violations of regulations promulgated under this chapter directly to the board or may issue administrative citations and cease and desist orders in person or by certified mail and may assess administrative penalties against an entity or individual, including unlicensed contractors, for violations of this chapter as specified by the board.

(B)    Separate citations may be issued and separate administrative penalties may be assessed for each violation; however, no more than two thousand five hundred dollars in administrative penalties may be assessed against an entity or an individual per day.

(C)    Administrative penalties authorized under this section are separate from and in addition to all other remedies, either civil or criminal.

(D)    Administrative penalties assessed pursuant to this section may not exceed the following limits:

(1)    for a first offense, not more than a five hundred dollar penalty;

(2)    for a second offense in a five-year period, the citation must be referred to the board for action in accordance with Section 40-10-110.

(E)    An entity or individual assessed administrative penalties may appeal those penalties to the board within fifteen days of receipt of the citation. If an appeal is filed, the department shall schedule a hearing before the board, and the board shall make a determination in the matter. If no appeal is filed, the citation is deemed a final order and the administrative penalties must be paid within thirty days of receipt of the citation.

Section 40-10-110.    (A)    The board may impose any disciplinary action authorized by this chapter and Chapter 1, Title 40, or any regulation promulgated under this chapter upon any licensee or qualifying party if he is found guilty of any one or more of the following:

(1)    engaging in the fire sprinkler business without a primary qualifying party;

(2)    failing or refusing to render service to a client as agreed between the parties and for which compensation has been paid or rendered in accordance with the agreement of the parties;

(3)    failing to maintain the required certificate of comprehensive general liability insurance;

(4)    obtaining a license or certificate by fraud or deceit or failing to disclose proper information on the license application, renewal, or qualifying party certificate application or renewal;

(5)    performing substandard work or being negligent, displaying incompetence, or engaging in misconduct in the practice as a fire sprinkler contractor;

(6)    abandoning a project or refusing to perform a project after submitting a contract on work without legal excuse for the abandonment or refusal;

(7)    violating a provision of this chapter or regulation promulgated under this chapter;

(8)    being convicted in a court of competent jurisdiction of this or any other state, district, or territory of the United States, or of a foreign country of the offense of forgery, embezzlement, obtaining money under false pretenses, theft, extortion, or conspiracy to defraud or other like offense related to fire sprinkler system work;

(9)    being convicted of a felony or pleading nolo contendere to a felony; as used in this chapter, 'felony' includes an offense that, if committed in this State, would be a felony, without regard to its designation elsewhere;

(10)    aiding or abetting an entity or certificate holder to evade the provisions of this chapter by combining or conspiring with an improperly registered or licensed entity or certificate holder, or allowing one's license to be used by an entity to evade the requirements of this chapter, or acting as agent, partner, or associate, of an unregistered or unlicensed entity, or obtaining a building permit or permit application in the registrant, qualifying party, or licensee's name and listing the registrant, qualifying party, or licensee as the entity or individual that will engage or supervise contracting work or activity if the registrant or licensee does not have a proper contract with the property owner or does not have a proper registration, license, or certificate to engage in the work or activity, or performing work for an entity that is not properly licensed;

(11)    failing to pay monies when due in excess of two hundred dollars for material or services rendered in connection with fire sprinkler system work without legal excuse or valid reason;

(12)    hiring an entity to perform work that is not properly licensed;

(13)    engaging or offering to engage in fire sprinkler system work or submitting a bid when not properly licensed or while a license is under suspension or revocation;

(14)    discovering facts that, if known at the time of the issuance or renewal of a license or certification, would have been grounds to deny the issuance or renewal of the license or certification;

(15)    failing to obtain a building permit if required by local or state government before engaging in fire sprinkler system work;

(16)    failing to take appropriate corrective action as directed by the department, hearing officer, or board to comply with the provisions of this chapter or any regulations promulgated under this chapter without valid justification within a reasonable period of time after receiving the written directive;

(17)    failing to comply with an order of the board;

(18)    failing to provide pertinent records and documents as requested by the department or board;

(19)    failing to comply with a directive of the department or hearing officer;

(20)    failing to meet the requirements for a renewal application;

(21)    failing to work in accordance with plans, industry specifications, local or state building codes, or ordinances;

(22)    failing to notify the department or board of the end of employment of any of a licensee's qualifying parties within the applicable time;

(23)    failing to obtain a substitute primary qualifying party as required by this chapter;

(24)    attempting to serve in the capacity of the primary qualifying party while serving a jail sentence;

(25)    failing to notify the department of changes in information required in an original or renewal application;

(26)    committing a wrongful or fraudulent act as a contractor, including the failure to pay subcontractors or suppliers after drawing payment for work or materials performed or provided by those subcontractors or suppliers;

(27)    departing from an applicable building code or ordinance within this State or any of its political subdivisions;

(28)    failing to maintain a business address accessible to the public;

(29)    failing to properly prepare shop drawings;

(30)    failing to submit shop drawings or fire sprinkler system specification sheets as required under this chapter;

(31)    failing to properly test, size, or hydraulically calculate a fire sprinkler system;

(32)    failing to have each branch office properly licensed;

(33)    failing to have a primary qualifying party assigned to the licensee's main or each branch office;

(34)    failing to properly notify the proper authority having jurisdiction to inspect work.

(B)    Disciplinary action may be taken against an entity or individual whom the board determines to be responsible for violations of this chapter regardless of changes in corporate identity or federal employer identification subsequent to the violation. In determining responsibility, the board may consider, but is not limited to, an individual's:

(1)    participation in management or supervision related to the violation;

(2)    position as sole proprietor, partner, officer, or qualifying party.

(C)    The board may, in addition to all other disciplinary actions, require a licensee, certificate holder, or other entity or individual to pay a civil penalty of up to five thousand dollars for each violation of this chapter or of a regulation promulgated under this chapter and may order an unlicensed contractor to cease and desist from violating a provision of this chapter.

(D)    All costs, penalties, and fines imposed pursuant to this chapter must be paid in accordance with and are subject to the collection and enforcement provisions of Chapter 1 of Title 40 and of Chapter 56 of Title 12, the 'Setoff Debt Collection Act'.

(E) A license or certificate that is cancelled by the department or revoked by the board must be returned to the department within fifteen days of notification by the department.

(F)    A person whose license or certificate has been revoked is eligible for licensure no sooner than one year after the date of revocation or such other time, if not permanently revoked, as ordered by the board. The applicant shall satisfy all requirements for initial licensure or certification and shall appear before the board in support of the application.

(G)    If the department cancels a license, the licensee shall complete the application for initial licensure.

(H)(1)    The licensee may complete work in progress if the licensee's license is revoked or suspended; however, no new work may be bid or started after revocation or suspension of a license upon proper notification by the department.

(2)    Unless otherwise directed by the board, the revocation, suspension, or restriction of a license or certificate becomes effective following the delivery of a written decision of the board to the licensee or qualifying party. Service of a petition for a review of the decision does not stay the board's decision pending completion of the appellate process in accordance with the Administrative Procedures Act.

(I)    When a licensed contractor entity is dissolved for any reason, the department shall cancel the contractor entity license.

(J)    The board may revoke, suspend, or restrict an individual license or certification without affecting to other licenses, license classifications, or certifications.

(K)    It is a violation of this chapter for an entity to conduct work, submit a bid, or offer for any regulated fire sprinkler system work within this State on a project that requires licensure under this chapter if the entity is not properly licensed in accordance with this chapter.

(L)    If an individual or entity commits more than one violation during the course of a single project, the multiple violations must be treated as one offense.

Section 40-10-120.    (A)    Acts or omissions by a licensee causing the denial, revocation, suspension, or other discipline of a license, certification, or other authorization to practice in a construction related field in another state or federal jurisdiction supports the issuance of a formal complaint and the commencement of disciplinary proceedings in this State, if the disciplinary action in the other jurisdiction is based upon grounds that would constitute misconduct in this State.

(B)    Proof of these acts or omissions may be shown by the copy of the transcript of record of the disciplinary proceedings in another state or federal jurisdiction or a copy of the final order, consent order, or similar order stating the basis for the action taken.

(C)    Upon the filing of a complaint alleging that a licensee or qualifying party has been disciplined in another state or federal jurisdiction, the licensee or qualifying party must produce for the board copies of all transcripts, documents, and orders used, relied upon, or issued in the other jurisdiction. Failure to produce these items within ninety days of the board's request for them automatically results in the immediate temporary suspension of the entity's license or qualifying party certificate in this State until such time as the items have been provided to the board.

(D)    The licensee or qualifying party may present mitigating testimony to the board regarding the disciplinary action taken in another state or federal jurisdiction or evidence that the acts or omissions committed in the other jurisdiction do not constitute misconduct in this State.

(E) In addition to the sanctions the board may impose against a person pursuant to this chapter, the board may take disciplinary action against a person as provided for in Section 40-1-120.

Section 40-10-130.    (A)    The department may refuse to issue a license or certification to any applicant for any one or more of the following:

(1)    failed to meet the qualifications set forth in this chapter or regulations promulgated under this chapter;

(2)    had a license or certification denied, suspended, revoked, or otherwise disciplined;

(3)    engaged in work as a fire sprinkler contractor without a valid license as required under this chapter;

(4)    submitted a bid without a valid license when one is required by law;

(5)    committed an act that would be grounds for disciplinary action under this chapter;

(6)    submitted false or misleading information;

(7)    aided or abetted a person in the violation of any provision of this chapter or regulations promulgated under this chapter;

(8)    has been convicted of a crime involving unlawful breaking or entering, burglary, or larceny or has a history of addiction to a narcotic drug; 'conviction' means the entry of a plea of guilty or nolo contendere or a verdict rendered in open court by a judge or jury;

(9)    has any outstanding monetary judgments related to being a fire sprinkler contractor;

(10)    engaged in conduct, that demonstrates bad faith, dishonesty, untrustworthiness, or incompetence as a fire sprinkler contractor.

(B)    A license or certificate or registration may not be issued for any one or more of the following to an applicant:

(1)    for a minimum of one year after the date of revocation of a similar license or certificate issued by this State or any other state or jurisdiction;

(2)    who is presently under suspension by a professional licensing entity in this or any other state or jurisdiction;

(3)    who has unresolved complaints or charges pending against him before this or any other professional licensing board in this or any other state.

Section 40-10-140.    A license may be denied based on a person's prior criminal record only as provided in Section 40-1-140.

Section 40-10-150.    A licensee under investigation for a violation of this chapter or a regulation promulgated under this chapter voluntarily may surrender the license in accordance with Section 40-1-150.

Section 40-10-160.    A person aggrieved by a final action of the board may seek review of the decision in accordance with Section 40-1-160.

Section 40-10-165.    Notwithstanding any other provision of law, a person who is or has been licensed pursuant to the provisions of this chapter who leaves this State with unpaid debts and subsequently returns to the State and seeks to become licensed in this State, or to do business in this State under the authority of a still-valid license previously issued under this chapter, shall file with the board a signed, notarized statement listing:

(1)    all outstanding debts the person, or any subsidiary of the person, owes with respect to having done business previously in this State; and

(2)    all bankruptcies which the person, or any subsidiary of the person, has been involved in at any time and place. The board is authorized to refuse to issue a license to the person and is also authorized to revoke the person's valid license, as the case may be, based upon the information contained in the signed notarized statement required by this section.

Section 40-10-170.    A person found in violation of this chapter or regulations promulgated under this chapter may be required to pay costs associated with the investigation and prosecution of the case in accordance with Section 40-1-170.

Section 40-10-180.    All costs, fees, and fines provided in this chapter, except examination fees, must be paid to and collected by the department in accordance with and are subject to the collection and enforcement provisions of Section 40-1-180.

Section 40-10-190.    Investigations and proceedings conducted under this chapter are confidential and all communications are privileged as provided in Section 40-1-190.

Section 40-10-200.    (A)(1)    A person who practices or offers to practice in this State in violation of this chapter or who knowingly submits false information for the purpose of obtaining a license is guilty of a misdemeanor and, upon conviction, must be imprisoned not more than one year or fined not more than five thousand dollars.

(2)    The board may prefer charges under this section by delivering evidence of a violation to a solicitor or a magistrate having jurisdiction.

(3)    Upon conviction under this section, the fines and assessments imposed by a court must be administered pursuant to Sections 14-1-205, 14-1-206, 14-1-207, 14-1-208, and 14-1-209.     (B)    It is a violation of this chapter for an awarding authority, owner, contractor, or an agent of an authority, owner, or contractor to accept a bid, award a bid, sign or award a contract, allow an unlicensed contractor to begin work, or issue or obtain any type of construction permit unless the bidder or fire sprinkler contractor has first obtained the proper license or certification as required by this chapter. Bids or contracts submitted by contractors may not be reconsidered or resubmitted to an awarding authority, contractor, or owner if the contractor was not properly licensed at the time the initial bid or contract was submitted or awarded.

(C)    Contracts or written agreements for fire sprinkler system work within this State that have been accepted, approved, signed, or awarded by an awarding authority, owner, or contractor may not be reconsidered or submitted to an awarding authority, owner or contractor, if the entity that was awarded the project is not properly licensed at the time the contract or written agreement was submitted.

(D)    An entity who is not properly licensed as required by this chapter must immediately withdraw his bid, offer, or contract and submit his resignation from the project. The entity must not benefit from a project in which the entity is in violation. The entity may not submit another bid or perform work as a subcontractor to a properly licensed contractor on any project in which the entity has been in violation or obtain a license and go back on the same project in which he was in violation. If the contractor becomes properly licensed, the department may waive this requirement based upon the percentage of completion of the project or if it is determined to be detrimental to public interest.

Section 40-10-210.    The department, on behalf of the board and in accordance with section 40-1-210, may petition an administrative law judge, in the name of the state, for injunctive relief against a person violating this chapter.

Section 40 -10-220.    An entity who does not have a valid license as required by this chapter may not bring an action either at law or in equity to enforce the provisions of a contract. An entity who enters into a contract to engage in construction in a name other than the exact name that appears on his fire sprinkler contractor license may not bring an action either at law or in equity to enforce the provisions of a contract.

Section 40-10-230.    The provisions of this chapter do not apply to:

(1)    licensed mechanical plumbing contractors holding a group four or five plumbing classification who install standpipe systems, including hose connections, hose cabinets and related branch lines, if they do not supply water to fire sprinkler systems. Shop drawings must be submitted and approved by the State Fire Marshal's Office or his designee before to installation and the installation must comply with NFPA Standard 14;

(2)    any manufacturer's factory trained and certified individual or entity performing maintenance or repair on fire pumps, fire pump control panels, and fire pump drivers; any manufacturer's factory trained and certified individual or entity shall contact the authority having jurisdiction to approve the work and witness any testing that is required by NFPA standards;

(3)    licensed mechanical contractors holding a group four or five plumbing classification performing emergency repair work on a fire sprinkler system when the total cost of the labor does not exceed one thousand dollars per occurrence; the plumbing contractor must contact the authority having jurisdiction to approve the work and witness any testing that is required by NFPA standards;

(4)    persons engaged in emergency repair work of fire sprinkler systems on their own property or on that of their full-time employer;

(5)    an individual or entity who is certified by and has successfully passed the Department of Health and Environmental Control approved backflow prevention assembly training seminar and who holds a current Tester Certification Certificate to test backflow prevention assemblies. The backflow test must be in accordance with applicable NFPA Standards. This certified tester assumes full responsibility and liability when testing the backflow prevention assembly; the appropriate people must be notified, such as the fire department, fire marshal, customer/owner, building official, or insurance company when the backflow prevention assembly is shut down for testing; if repairs to the backflow prevention assembly are necessary, these repairs must be made by a Department of Health and Environmental Control Certified Backflow Prevention Assembly Tester.

(6)    licensed water and sewer line contractors holding a group four or five classification limitation installing underground water mains, hydrant mains, fire pumps, and fire hydrants or fire protection sprinkler system underground mains to a flanged outlet 1'-0" above the finished floor in compliance with National Fire Protection Association Standard 24. The water and sewer line contractor must use design or shop drawings approved by the State Fire Marshal's Office or his designee. Flushing and testing certificates must be delivered to the authority having jurisdiction and upon request to the performing licensed fire sprinkler contractor. General contractors in this license classification may not engage in water and sewer line work from the right-of-way to a residential structure unless the entity is a subcontractor to a licensee holding a plumbing classification.

(7)    an individual who installs, repairs, trouble shoots, provides diagnostic analysis, or provides services in any manner to a backflow prevention assembly provided the individual has current certification from the Department of Health and Environmental Control approved backflow assembly prevention training seminar and has completed some level of educational training or certification with backflow prevention assembly.

(8)    properly licensed alarm and electrical contractors who connect to a fire sprinkler system for the purpose of monitoring the activation of the system.

Section 40-10-240.    (A)    Fire protection sprinkler systems must be designed and installed in accordance with the state building codes as adopted by the South Carolina Building Codes Council and the state fire codes as adopted by the State Fire Marshal.

(B)    The following supplemental design codes and standards must be followed when applicable: NFPA 1, NFPA 16(a), NFPA 214, NFPA 230.

(C)    An agency shall accept full and complete compliance with the latest edition of a nationally recognized code which it is charged by statute or regulation with enforcing, unless it has promulgated amendments to that code pursuant to state law.

Section 40-10-250.    (A)    A 'Fire Protection Sprinkler System Specification Sheet' must be completed for every fire protection sprinkler system, and submitted to the authority having jurisdiction on a form approved by the State Fire Marshal's Office. The completed form must contain the following minimum information:

(1)    the available static and residual water pressure from a flow test conducted less than one year prior to submittal;

(2)    the volume per minute of the available water flow and duration;

(3)    the source of water supply;

(4)    the NFPA hazard classifications and details of storage arrangement, if applicable;

(5)    the occupancy use of the building, or the area to be sprinkled;

(6)    the type of system to be installed;

(7)    the applicable National Fire Protection Association standards to be followed for each component of the system;

(8)    other state and local statutes, regulations, codes, or ordinances that must be followed;

(9)    the name, address, title, and phone number of the person developing the fire sprinkler system specification sheet.

(B)    The form must be completed by:

(1)    a licensed professional engineer, licensed in this State bearing his professional seal and signature; or

(2)    a licensed fire sprinkler contractor, licensed in this State, with a qualifying party holding a NICET Level IV Technician Certification, if a specific statute, regulation, or ordinance does not require the services of a licensed professional engineer. The qualifying party must be the individual completing the form, and the qualifying party shall place his name on the lower right hand corner on the first page of the form along with the words, Qualifying Party after his name and his qualifying party certificate number.

(C)    The Fire Sprinkler System Specification Sheet completed in accordance with subsections (A) and (B) must be made part of the bid documents and must be submitted to the authority having jurisdiction, with the architectural or engineering drawings and specifications, or both, when applying for building and other required permits. The completed Fire Sprinkler System Specification Sheet must accompany the shop drawings when they are submitted for review.

Section 40-10-260.    (A)    Shop drawings must be prepared for every fire sprinkler system and must meet the following requirements:

(1)    Shop drawings and the attached specification sheet must contain sufficient information to show compliance with the National Fire Protection Association standards required in the Fire Sprinkler Specification Sheet.

(2)    Shop drawings must bear the authorized signature and license number of the fire sprinkler contractor licensed in this State who prepared the drawings.

(B) Shop drawings determination of compliance with the Fire Sprinkler Specification Sheet must be as follows:

(1)    Shop drawings with a Fire Sprinkler System Specification Sheet prepared by a licensed professional engineer must be submitted to the licensed professional engineer who prepared the Fire Sprinkler System Specification Sheet. After determination of compliance with the Fire Sprinkler System Specification Sheet by the licensed professional engineer, the shop drawings must be submitted to the State Fire Marshal's Office or his designee for further review in accordance with subsection (C). In no case is the seal of a licensed professional engineer required on shop drawings.

(2)    Shop drawings with a Fire Sprinkler System Specification Sheet prepared by a licensed fire sprinkler contractor must be submitted to the South Carolina Fire Marshal's Office or his designee for review and determination of compliance with the Fire Sprinkler System Specification Sheet.

(C)    In addition to compliance review required by subsection (B), shop drawings for the fire sprinkler systems must be submitted as follows:

(1)    In areas of the State that do not have a local authority to provide the review, the shop drawings must be submitted to the State Fire Marshal's Office for review.

(2)    The local authority having jurisdiction, the awarding authority, or the state agency having jurisdiction over the project may also require the submission of fire protection sprinkler system shop drawings for review of any additional requirements in addition to the requirements stated above or may require their submission to the State Fire Marshal's Office or his designee for review.

(3)    In lieu of performing its own review of shop drawings, the State Fire Marshals' Office may accept the shop drawing review of an insurance underwriter, a licensed professional engineer, a local authority having jurisdiction, or his designee, if it meets the standards established by the State Fire Marshal's Office.

(4)    Within thirty calendar days from the receipt of shop drawings, the State Fire Marshal's Office shall publish a letter approving the shop drawings or listing the corrective action necessary for approval. This letter must be sent to the fire sprinkler contractor or licensed professional engineer who submitted the shop drawings. Responses regarding corrective action must be reviewed and answered within thirty calendar days of receipt by the State Fire Marshal's Office. If a letter is not issued by the State Fire Marshal's Office within this time frame approving the shop drawings or addressing the required corrections response from the fire sprinkler or licensed professional engineer, the plans are deemed approved.

(D)    Before a certificate of occupancy may be issued, completed certificates must be delivered to the owner of the building and the authority having jurisdiction as follows:

(1)    a Certificate of Compliance certifying that the fire sprinkler system was designed in accordance with the 'Fire Sprinkler System Specification Sheet' and must be completed by the individual listed in subsection (B) above who accepted or approved the shop drawings;

(2)    a contractors' Material and Test Certificate for Above Ground Piping must be completed in accordance with NFPA 13 by the licensed fire sprinkler engineer responsible for the installation of the fire sprinkler system; and

(3)    a contractors' Material and Test Certificate for Under Ground Piping must be completed in accordance with NFPA 13 and 24 by the contractor responsible for the installation of the underground water main containing water for a fire sprinkler system.

Section 40-10-270.    (A)    A license may not be issued unless the applicant files with the department evidence of a policy of comprehensive general liability insurance providing the minimum coverage of one million dollars due to bodily injury, death, or destruction of property as the result of the negligent act or acts of the principal insured.

(B)    Fire Sprinkler contractor employees are not required to obtain a certificate of comprehensive general liability insurance.

(C)    The licensee shall notify the department upon the cancellation by a licensee of its policy of liability insurance or the cancellation by the insurance carrier of the licensee's policy of insurance within ten days of the cancellation date. The cancellation does not affect any liability on the policy that accrued prior to cancellation. The license must be revoked if the licensee fails to obtain a new policy within sixty days of cancellation.

(D)    Upon failure of the licensee to notify the department of cancellation of his liability insurance, the license may be revoked and may not be reinstated until a proper insurance certificate has been submitted to the department for approval. An initial application must be filed after 60 days of cancellation of the insurance policy.

(E)    The policy must be purchased from an insurer authorized to do business in this State.

(F)    The South Carolina Contractors' Licensing Board must be named as the certificate holder.

Section 40-10-280.    (A)     Nothing in this chapter limits the power of a municipality or county or the State to regulate the quality of work performed by contractors through a system of permits, fees, and inspections designed to assure compliance with and aid in the implementations of state and local laws for the protection of the public health and safety. Nothing in this chapter limits the power of a municipality, county, or the state to adopt any system of permits requiring submission to and approval by the municipality, county, or the state of plans and specifications for work to be performed by contractors before commencement of the work and requirements after the work is completed. The official authorized to issue building or other related permits or authorization to commence work must ascertain that the fire sprinkler contractor is licensed by requiring evidence of a valid fire sprinkler contractor license.

(B)    Nothing in this chapter alters or limits the State Fire Marshal's Office duties and responsibilities concerning fire sprinkler systems as provided in this chapter and in Sections 23-9-40 and 23-9-60.

(C)    Private and public awarding entities and individuals shall determine compliance with this chapter before awarding any contracts for fire sprinkler system work.

(D)    This chapter applies to any fire sprinkler contractor performing work for any municipality, county, or the State. Officials of any municipality, county, or the State are required to determine compliance with this chapter before awarding any contracts for the planning, sale, installation, repair, alteration, addition, or inspection of a fire sprinkler system containing water spray or water foam system.

Section 40-10-290.    A licensee who, voluntarily or involuntarily, is subjected to any provision of the laws of bankruptcy shall notify the board within fifteen days and provide any and all information pertinent to the bankruptcy that the board may require.

Section 40-10-300.    If a provision of this chapter or the application of a provision to a person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of the chapter are severable.

SECTION    2.    This chapter takes effect six months after approval of the Governor.

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This web page was last updated on Monday, December 7, 2009 at 10:41 A.M.