69th OREGON LEGISLATIVE ASSEMBLY--1997 Regular Session Enrolled House Bill 2347 Sponsored by Representative SNODGRASS (at the request of the Oregon Landscape Contractor's Association) CHAPTER ................ AN ACT Relating to landscape contractors; creating new provisions; and amending ORS 671.520, 671.540 and 701.055. Be It Enacted by the People of the State of Oregon: SECTION 1. ORS 671.520 is amended to read: 671.520. As used in ORS 671.510 to 671.710, unless the context requires otherwise: (1) 'Board' means the State Landscape Contractors Board. (2) 'Landscape contractor' means any person who { - engages - } for compensation { - in - } { + or with the intent to be compensated arranges, undertakes, offers or contracts to undertake, or submits a bid to perform + }activities requiring the art, ability, experience, knowledge, science and skill to: (a) Plan and install lawns, shrubs, vines, trees and other decorative vegetation including the { - grading and - } preparation of { - plots and areas of land - } { + property on which the vegetation is to be installed, + } and { - constructing - } { + the construction of + } fountains { - , - } { + and + } drainage and irrigation systems for { - architectural horticulture, decorative treatment and arrangement - } { + decorative vegetation + }; (b) Plan and install fences, decks, walkways and retaining walls; or (c) Do any part or any combination of any activity described in paragraphs (a) and (b) of this subsection. (3) 'Landscaping business' means any business that offers { + or provides, for compensation or with the intent to be compensated, + } the services of a landscape contractor { - for compensation - } . (4) 'Licensee' means a person or business who is licensed under ORS 671.510 to 671.710 as a landscape contractor. (5) 'Nursery stock' means nursery stock as defined by ORS 571.005 and as further defined by the board after public hearing. SECTION 2. ORS 671.540 is amended to read: 671.540. ORS 671.510 to 671.710 and 671.990 (2), do not apply to: (1) Any federal or state agency or any political subdivision performing landscaping on { - property owned or leased by such political subdivision - } { + public property + }. Enrolled House Bill 2347 (HB 2347-B) Page 1 (2) Any landscape architect registered pursuant to ORS 671.310 to 671.459 and practicing as provided therein. (3) Any landscaping work for which the price of all contracts for labor, materials and other items for a given job site in a calendar year is less than $500 and the work is of a casual, minor or inconsequential nature. This subsection does not apply to a person who advertises or represents through any manner including a sign, card or other device which might indicate to the public that the person is a landscape contractor or a landscaping business or is qualified to so act. (4) Any landscaping work that is a casual, minor or inconsequential incident of maintenance of grounds. (5) Installation of fences, decks, walkways or retaining walls when performed by a person or business registered with the Construction Contractors Board. (6) { - Preparation - } { + Grading + } of plots and areas of land { + performed + } in conjunction with new or remodeling construction when performed by a person or business registered with the Construction Contractors Board. { + (7) Any owner of property who contracts for landscaping work to be performed by a landscape contractor. This subsection does not apply to a person who, in pursuit of an independent business, performs or contracts for the performance of landscaping work with the intent of offering for sale before, upon or after completion of the landscaping work, the property upon which the landscaping work is performed. (8) Any landscaping work performed by a person on property that the person owns or in which the person has a legal interest. This subsection does not apply to a person who, in pursuit of an independent business, performs or contracts for the performance of landscaping work with the intent of offering for sale before, upon or after completion of the landscaping work, the property on which the landscaping work is performed. (9) A general contractor registered under ORS chapter 701 who performs landscaping work if the total value of the landscaping is less than $2,500 per residential dwelling and the landscaping work is performed on residential property for which the contractor is under contract for the construction of a new dwelling. The State Landscape Contractors Board shall revise the amount specified in this subsection every five years, beginning in 2003, based on changes in the Portland Consumer Price Index as defined in ORS 316.085. This subsection does not apply to a general contractor performing irrigation work unless the work is performed pursuant to a permit issued by the local building official. (10) A general contractor registered under ORS chapter 701 who performs landscaping work on residential property that is directly related to local building code requirements or occupancy ordinances including, but not limited to, the placement of street trees. This subsection does not apply to a general contractor performing irrigation work unless the work is performed pursuant to a permit issued by the local building official. + } SECTION 3. ORS 701.055 is amended to read: 701.055. (1) A person shall not undertake, offer to undertake or submit a bid to do work as a contractor unless that person has a current, valid certificate of registration issued by the Construction Contractors Board. A partnership, corporation or joint venture may do such work, offer to undertake such work or submit a bid to do such work only if that partnership, corporation or joint venture is registered. A partnership or Enrolled House Bill 2347 (HB 2347-B) Page 2 joint venture shall be deemed registered for the purpose of offering to undertake work as a contractor on a nonresidential structure if any one of the partners or joint venturers whose name appears in the name under which the partnership or joint venture does business is registered. (2) A registered partnership or corporation shall notify the board immediately upon any change in partners or corporate officers. Upon a change in partners, a registered partnership immediately shall register again. (3) A city, county or the State of Oregon shall not issue a building permit to anyone required to be registered under this chapter who does not have a current, valid certificate of registration. Each county, city or the State of Oregon which requires the issuance of a permit as a condition precedent to construction, alteration, improvement, demolition, movement or repair of any building or structure or the appurtenances to the structure shall also require that each applicant for such permit file as a condition to issuing the permit a written statement, subscribed by the applicant, that the applicant is registered under the provisions of this chapter, giving the number of the registration and stating that the registration is in full force and effect, or, if the applicant is exempt from the provisions of this chapter, listing the basis for the exemption. The city, county or the State of Oregon shall list the contractor's registration number on the permit obtained by that contractor. (4) If the applicant for a building permit is exempt from registration under the provisions of ORS 701.010 (6), the city, county or State of Oregon shall supply the applicant with an Information Notice to Property Owners About Construction Responsibilities. The city, county or State of Oregon shall not issue a building permit for a residential structure to the applicant until the applicant signs a statement in substantially the following form: _________________________________________________________________ (a) I have read and understand the Information Notice to Property Owners About Construction Responsibilities; and (b) I own, reside in or will reside in the completed dwelling. My general contractor is ______, Construction Contractors Board registration no. ____, registration expiration date _____ . I will instruct my general contractor that all subcontractors who work on this dwelling must be registered with the Construction Contractors Board; or (c) I am performing work on property I own, a residence that I reside in or a residence that I will reside in. (d) I will be my own general contractor and, if I hire subcontractors, I will hire only subcontractors registered with the Construction Contractors Board. (e) If I change my mind and do hire a general contractor, I will contract with a general contractor who is registered with the Construction Contractors Board and I will immediately notify the office issuing this building permit of the name of the general contractor ______. _________________________________________________________________ (5) The board shall adopt by rule a form entitled ' Information Notice to Property Owners About Construction Responsibilities' which shall describe, in nontechnical language and in a clear and coherent manner using words in their common and everyday meaning, the responsibilities property owners are undertaking by acting as their own general contractor and the problems that could develop. Enrolled House Bill 2347 (HB 2347-B) Page 3 The responsibilities described in the form shall include, but not be limited to: (a) Compliance with State of Oregon and federal laws regarding social security tax, income tax and unemployment tax. (b) Workers' compensation insurance on workers. (c) Liability and property damage insurance. (6) The board shall develop and furnish to the city, county and State of Oregon building permit offices, at no cost to these offices, the Information Notice to Property Owners About Construction Responsibilities and the statement to be signed by the permit applicant. (7) Every city and county which requires the issuance of a business license as a condition precedent to engaging, within the city or city and county, in a business which is subject to regulation under this chapter, shall require that each licensee and each applicant for issuance or renewal of such license file, or have on file, with such city or city and county, a signed statement that such licensee or applicant is registered under the provisions of this chapter and stating that the registration is in full force and effect. (8) It shall be prima facie evidence of doing business as a contractor when a person for that person's own use performs, employs others to perform, or for compensation and with the intent to sell the structure, arranges to have performed any work described in ORS 701.005 (2) if within any one 36-month period that person offers for sale two or more newly built structures on which that work was performed. (9) Registration under this chapter is prima facie evidence that the registrant conducts a separate, independent business. (10) The provisions of this chapter shall be exclusive and no city, county or other political subdivision shall require or issue any registrations, licenses or surety bonds, nor charge any fee for the regulatory or surety registration of any contractor registered with the board. However, nothing in this subsection shall limit or abridge the authority of any city or county to: (a) License and levy and collect a general and nondiscriminatory license fee levied upon all businesses, or to levy a tax based upon business conducted by any firm within said jurisdiction, or to limit the authority of any city or county with respect to contractors not required to be registered under this chapter; or (b) Require a contractor to pay a fee, post a bond or require insurance when the city, county or political subdivision is contracting for the service of the contractor. (11)(a) Every contractor shall maintain a list which includes the following information about all subcontractors or other contractors performing work on a project for that contractor: (A) Names and addresses. (B) Registration numbers. (b) The list referred to in paragraph (a) of this subsection shall be delivered to the board within 72 hours after a request made during reasonable working hours. (12) A contractor shall not hire any subcontractor or other contractor to perform work unless the subcontractor or contractor is registered under this chapter or exempt from registration under the provisions of ORS 701.010. (13) A summary of this chapter, prepared by the board and provided at cost to all registered contractors, shall be delivered by the contractor to the owner when the contractor begins work on a residential structure. The summary prepared by Enrolled House Bill 2347 (HB 2347-B) Page 4 the board shall include an explanation of the meaning of registration, including a statement that registration is not an indorsement of the quality of work. (14) A contractor shall not perform work subject to this section for an owner of a residential structure without a written contract if the aggregate contract price exceeds $2,500. If the price of such contract was initially less than $2,500, but during the course of performance of the contract exceeds that amount, the contractor shall mail or otherwise deliver a written contract to the owner not later than five days after the contractor knows or should reasonably know that the contract price will exceed $2,500. Failure to have a written contract will not void the contract. { + (15) Except as provided in ORS 671.540, a contractor that is not licensed under ORS 671.560 shall hire a person licensed under ORS 671.560 to perform landscaping work. + } SECTION 4. { + Section 5 of this Act is added to and made a part of ORS 671.510 to 671.710. + } SECTION 5. { + Notwithstanding the provisions of ORS 671.570 regarding experience and employment status, the State Landscape Contractors Board may adopt alternative standards for the licensing of a person registered as a contractor under ORS chapter 701. + } ---------- Passed by House May 9, 1997 Repassed by House July 5, 1997 ........................................................... Chief Clerk of House ........................................................... Speaker of House Passed by Senate July 5, 1997 ........................................................... President of Senate Enrolled House Bill 2347 (HB 2347-B) Page 5 Received by Governor: ......M.,............., 1997 Approved: ......M.,............., 1997 ........................................................... Governor Filed in Office of Secretary of State: ......M.,............., 1997 ........................................................... Secretary of State Enrolled House Bill 2347 (HB 2347-B) Page 6