South Carolina General Assembly
117th Session, 2007-2008

Download This Bill in Microsoft Word format

Indicates Matter Stricken
Indicates New Matter

S. 525

STATUS INFORMATION

General Bill
Sponsors: Senators Thomas, Mescher, Verdin, Bryant and Malloy
Document Path: l:\council\bills\gjk\20172sd07.doc

Introduced in the Senate on March 6, 2007
Currently residing in the Senate Committee on Labor, Commerce and Industry

Summary: Contractors

HISTORY OF LEGISLATIVE ACTIONS

     Date      Body   Action Description with journal page number
-------------------------------------------------------------------------------
    3/6/2007  Senate  Introduced and read first time SJ-7
    3/6/2007  Senate  Referred to Committee on Labor, Commerce and Industry 
                        SJ-7

View the latest legislative information at the LPITS web site

VERSIONS OF THIS BILL

3/6/2007

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

A BILL

TO AMEND SECTION 40-11-20, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS PERTAINING TO THE LICENSURE AND REGULATION OF CONTRACTORS, SO AS TO REVISE EXISTING DEFINITIONS AND ADD NEW DEFINITIONS RELATING TO GENERAL AND MECHANICAL CONTRACTORS.

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

SECTION    1.    Section 40-11-20 of the 1976 Code is amended to read:

"Section 40-11-20.    For In addition to the definitions provided in Section 40-1-20, for purposes of this chapter:

(1)    'Board' means the South Carolina Contractors' Licensing Board. 'Bid' means an offer to furnish labor, equipment, or materials or other services regulated by this chapter.

(2)    'Bid' means an offer to furnish labor, equipment, or materials or other services regulated by this chapter. 'Board' means the South Carolina Contractor's Licensing Board.

(3)    'Certificate holder' means a qualifying party. 'Construction manager' means an individual or entity working for a fee whose duties are to manage and coordinate the work of design professionals, sole prime, or multiple prime contractors, while allowing the design professionals and contractors to control individual operations and the manner of design and construction. Services provided by a construction manager may include, among other things:

(a)    coordination or management of design or construction;

(b)    cost management, including estimates of construction costs and development of project budgets;

(c)    scheduling, which may include critical path techniques, for all or any phase of a project; or

(d)    bid packaging, contractor selection, or directing monetary payments from the owner to the provider of supplies, building materials, or any other services or equipment related to the construction of the project. An owner, who performs construction management himself is not considered a construction manager for purposes of this chapter.

(4)    'Contractor' means a general or mechanical contractor regulated under this chapter an individual or entity that engages or offers to engage in an activity that is regulated under this chapter.

(5)    'Construction manager' means an entity working for a fee whose duties are to supervise and coordinate the work of design professionals and multiple prime contractors, while allowing the design professionals and contractors to control individual operations and the manner of design and construction. Services provided by a construction manager may include:

(a) coordination, management, or supervision of design or construction;

(b) cost management, including estimates of construction costs and development of project budgets;

(c) scheduling, which may include critical path techniques, for all phases of a project;

(d) design review, including review of formal design submission and construction feasibility; and

(e) bid packaging and contractor selection. An owner, who performs construction management himself is not considered a construction manager for purposes of this chapter. 'Department' means the Department of Labor, Licensing and Regulation.

(6)    'Department' means the Department of Labor, Licensing and Regulation. 'Design professionals' means architects and engineers, land surveyors, and landscape architects licensed in South Carolina.

(7)    '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. 'Design services' means those professional services performed by individuals or entities licensed under Chapters 3, 22, and 28 of this title.

(8)    'General construction' means the installation, replacement, or repair of a building, structure, highway, sewer, grading, asphalt or concrete paving, or improvement of any kind to real property. '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.

(9)    'General contractor' means an entity which performs or supervises or offers to perform or supervise general construction. 'GAAP' means Generally Accepted Auditing Principles.

(10)    'License classification' or 'subclassification' means the type of construction for which a contractor may be licensed to do business. 'GAAS' means Generally Accepted Auditing Standards.

(11)    'License group' means the financial limitations for bidding and performing general or mechanical construction. 'General construction' means the installation, replacement, or repair of a building, structure, highway, sewer, grading, asphalt or concrete paving, or improvement of any kind to real property as specified in the license classification definitions of Section 40-11-410.

(12)    'Licensee' means an entity which has been issued either a general or mechanical contractor's license by the department. 'General contractor' means an individual or entity which performs, supervises, bids, offers, or contracts to perform, or supervises general or mechanical construction or subcontracts this construction or offers or contracts to hire another contractor to perform regulated construction.

(13)    'Licensed contractor' means an entity that is licensed by the South Carolina Contractor's Licensing Board to engage in general or mechanical contracting within the State. 'Individual' means a natural person.

(14)    'Mechanical contractor' means an entity which performs or supervises, or offers to perform or supervise, mechanical construction. 'License classification' or 'subclassification' means the type of construction specified in the license classification definitions of Section 40-11-410 for which an individual or entity must be licensed to perform general or mechanical construction.

(15)    'Mechanical construction' means the installation, replacement, or repair of plumbing, heating, air conditioning, process piping, refrigeration, lightning protection equipment, or electrical components, fixtures, or devices of any kind, excluding burglar alarm work. 'Licensed contractor' means an individual or entity that is licensed by the South Carolina Contractor's Licensing Board to engage in general or mechanical contracting within the State when the total cost of the construction exceeds five thousand dollars.

(16)    'Individual' means a natural person. 'Licensee' means an individual or entity which has been issued either a general or mechanical contractor's license by the department.

(17)    'Prime contractor' means an entity which contracts directly with an owner to perform general or mechanical construction. 'License group' means the financial limitations for bidding and performing general or mechanical construction.

(18)    'Primary qualifying party' means a qualifying party who has been designated by a licensee as the principal individual responsible for directing or reviewing work performed by the licensee in a particular license classification or subclassification. 'Mechanical construction' means the installation, replacement, or repair of plumbing, heating, air conditioning, pressure and process piping, refrigeration, lightning protection equipment, or electrical components, fixtures, or devices of any kind, as specified in the license classification definitions of Section 40-11-410, excluding burglar alarm work.

(19)    'Public owner' means the State and any of its political subdivisions. 'Mechanical contractor' means an individual or entity which performs, supervises, bids, offers, or contracts to perform or supervises, general or mechanical construction or subcontracts this construction or offers or contracts to hire another contractor to perform regulated construction.

(20)    'Qualifying party' means an individual who has been issued a certificate to qualify an entity for a license by way of examination in a license classification or subclassification. 'Misconduct' means grounds for revocation, suspension, or other discipline of a licensee for a 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 has been disciplined in another state or federal jurisdiction.

(21)    'Sole prime contractor' means the prime contractor for a project on which there is only one prime contractor. 'Permit' means a written document or certification from any authority or municipal jurisdiction allowing an entity or individual to engage in general and mechanical contracting or construction management within the applicable area of authority or jurisdiction.

(22) 'Subcontractor' means an entity who contracts to perform construction services for a prime contractor or another subcontractor. 'Primary qualifying party' means a qualifying party who has been designated by a licensee as the principal individual responsible for directing or reviewing work performed by the licensee in a particular license classification or subclassification in which the individual has passed the appropriate examinations and qualifies an individual or entity to obtain a general or mechanical contractor license.

(23)    '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 does not include the cost of design services unless those services are included in a construction contract. 'Prime contractor' means an individual or entity which contracts directly with an owner to perform, supervise, or subcontract general or mechanical construction.

(24)    'Unlicensed contractor' means an entity performing or overseeing general or mechanical construction without a license. 'Public owner' means the State and any of its political subdivisions.

(25)    'Qualifying party' means an individual or entity who, by way of examination in a license classification or subclassification, qualifies an entity for a general or mechanical contractor license.

(26)    'Registered construction manager' means an individual or entity that is properly identified in the department's records and conducts business as a construction manager.

(27)    'Registrant' means an individual or entity other than a general or mechanical contractor who has registered with the department as a construction manager pursuant to this chapter.

(28)    'Residential structure' means a building or structure as regulated pursuant to Chapter 59 of Title 40.

(29)    'Revocation' means the cancellation or withdrawal of a license, certification, registration, or other authorization issued by the board either permanently or for a period specified by the board. A person whose license, certification, registration, or other authorization has been permanently revoked by the board shall never again be eligible for a license, certification, or registration, of any kind from the board.

(30)    'Sole prime contractor' means the prime contractor for a project on which there is only one prime contractor.

(31)    'SARS' means Standards for Accounting and Review Services.

(32)    'Subcontractor' means an individual or entity that performs general or mechanical, alarm, or fire sprinkler construction for a prime contractor, or another subcontractor.

(33)    '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 and for each classification of regulated work regardless of who pays for the materials. This does not include the cost of design services unless those services are included in a construction contract. On partially completed projects, the 'total cost of the construction' shall be considered to be the portion remaining to be completed.

(34)    'Unlicensed contractor' means an individual or entity performing, offering to perform or overseeing general or mechanical construction without a license.

(35)    'Unregistered' means an individual or entity that is required to register with the board pursuant to this chapter as a construction manager and fails to comply with the requirement."

SECTION    2.    This act takes effect upon approval by the Governor.

----XX----

This web page was last updated on Monday, October 10, 2011 at 1:28 P.M.