2002 Legislation
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HOUSE BILL NO. 592 – Public wks contractor, investgtns

HOUSE BILL NO. 592

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View Statement of Purpose / Fiscal Impact



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Daily Data Tracking History



H0592...........................................................by BUSINESS
PUBLIC WORKS CONTRACTORS - Amends and adds to existing law to provide for
investigations by the administrator; to provide for injunctions against
certain public works contractors; and to provide for the enforcement of
public works contracting provisions.
                                                                        
02/08    House intro - 1st rdg - to printing
02/11    Rpt prt - to Bus
02/22    Rpt out - rec d/p - to 2nd rdg
02/25    2nd rdg - to 3rd rdg
02/28    3rd rdg - PASSED - 58-0-12
      AYES -- Aikele, Barrett, Bedke, Bell, Black, Block, Boe, Bolz,
      Bradford, Bruneel, Callister, Campbell, Clark, Collins, Crow, Cuddy,
      Denney, Ellis, Eskridge, Field(13), Field(20), Gould, Hadley,
      Hammond, Harwood, Henbest, Higgins, Hornbeck, Jaquet, Jones, Kendell,
      Kunz, Lake, Langford, Loertscher, Martinez, McKague, Meyer,
      Montgomery, Moyle, Pischner, Pomeroy, Raybould, Ridinger, Robison,
      Sali, Schaefer, Sellman, Shepherd, Smith(33), Smith(23), Smylie,
      Stevenson, Stone, Tilman, Trail, Wheeler, Young
      NAYS -- None
      Absent and excused -- Barraclough, Bieter, Deal, Ellsworth, Gagner,
      Kellogg(Duncan), Mader, Mortensen, Pearce, Roberts, Wood, Mr. Speaker
    Floor Sponsor - Callister
    Title apvd - to Senate
03/01    Senate intro - 1st rdg - to Com/HuRes
03/11    Rpt out - rec d/p - to 2nd rdg
03/12    2nd rdg - to 3rd rdg
03/15    3rd rdg - PASSED - 34-0-1
      AYES -- Andreason, Boatright, Branch Brandt, Bunderson, Burtenshaw,
      Cameron, Darrington, Davis, Deide, Dunklin, Frasure, Geddes, Goedde,
      Hill, Ingram, Ipsen, Keough, King-Barrutia, Little, Lodge, Marley,
      Noh, Richardson, Risch, Sandy, Schroeder, Sims, Sorensen, Stegner,
      Stennett, Thorne, Wheeler, Williams
      NAYS -- None
      Absent and excused -- Hawkins
    Floor Sponsor - Goedde
    Title apvd - to House
03/15    To enrol - Rpt enrol - Sp signed
03/18    Pres signed - to Governor
03/20    Governor signed
         Session Law Chapter 127
         Effective: 07/01/02

Bill Text


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature                  Second Regular Session - 2002
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 592
                                                                        
                                   BY BUSINESS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO PUBLIC WORKS CONTRACTORS; AMENDING SECTION 54-1902, IDAHO CODE, TO
  3        PROVIDE FOR INVESTIGATIONS  BY  THE  ADMINISTRATOR,  TO  MAKE  GRAMMATICAL
  4        CHANGES  AND  TO  CLARIFY AN EXCEPTION TO LICENSURE REQUIREMENTS; AMENDING
  5        SECTION 54-1920, IDAHO CODE, TO PROVIDE CORRECT TERMINOLOGY AND TO PROVIDE
  6        FOR INJUNCTIONS AGAINST CERTAIN PUBLIC  WORKS  CONTRACTORS;  AND  AMENDING
  7        CHAPTER  19,  TITLE  54,  IDAHO  CODE,  BY  THE  ADDITION OF A NEW SECTION
  8        54-1920A, IDAHO CODE, TO PROVIDE ENFORCEMENT PROVISIONS.
                                                                        
  9    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 10        SECTION 1.  That Section 54-1902, Idaho Code, be, and the same  is  hereby
 11    amended to read as follows:
                                                                        
 12        54-1902.  UNLAWFUL  TO  ENGAGE IN PUBLIC WORKS CONTRACTING WITHOUT LICENSE
 13    -- INVESTIGATIONS. (1) It shall be unlawful for any person to  engage  in  the
 14    business or act in the capacity of a public works contractor within this state
 15    without first obtaining and having a license issued pursuant to the provisions
 16    of  this  chapter  by  the  administrator  of the division of building safety,
 17    unless such person is particularly exempted as provided in this chapter.
 18        (2)  It shall be unlawful for any public works contractor  to  subcontract
 19    in  excess  of  eighty percent (80%) of the work under any contract to be per-
 20    formed by him as such public works contractor according to the contract prices
 21    therein set forth, unless otherwise provided in  the  specifications  of  such
 22    contracts.
 23        (3)  Nor  Except  as provided in subsection (4) of this section,  it shall
 24    be unlawful for any public works contractor to:
 25        (a)  Aaccept a bid from any person who at that time does not  possess  the
 26        appropriate  license  for  the  project involved. Nor shall a public works
 27        contractor; or
 28        (b)  Aaccept bids to sublet any part of any contract  for  specialty  con-
 29        struction  from  a  specialty contractor who at that time does not possess
 30        the appropriate license in accordance with this  chapter;  provided,  how-
 31        ever, that.
 32        (4)  Nno contractor shall be required to have a license under this chapter
 33    in  order  to submit a bid or proposal for contracts for public works financed
 34    in whole or in part by federal aid funds, but provided that, at  or  prior  to
 35    the  award  and  execution  of any such contract by the state of Idaho, or any
 36    other contracting authority mentioned in this chapter, the  successful  bidder
 37    shall has secured a license as provided in this chapter.
 38        (5)  The administrator may, upon his own motion or at the direction of the
 39    board,  and shall, upon the verified written complaint of any person, investi-
 40    gate allegations of unlicensed practice of public works contracting.
                                                                        
 41        SECTION 2.  That Section 54-1920, Idaho Code, be, and the same  is  hereby
 42    amended to read as follows:
                                                                        
                                           2
                                                                        
  1        54-1920.  PENALTIES  --  INJUNCTION.  (1) Any person, firm, copartnership,
  2    corporation, limited liability company, limited liability partnership, associ-
  3    ation or other organization acting in the capacity of a public works  contrac-
  4    tor  within  the meaning of this act chapter, without a license as herein pro-
  5    vided, shall be guilty of a misdemeanor and shall, upon conviction thereof, be
  6    punished by a fine not to exceed five thousand dollars ($5,000) or by  impris-
  7    onment  in  the  county  jail for a term not to exceed one (1) year or by both
  8    such fine and imprisonment, at the discretion of the court. The same penalties
  9    shall apply, upon conviction to any member of a copartnership, or to any  con-
 10    struction, managing or directing officer of any corporation, limited liability
 11    company or limited liability partnership, or other organization consenting to,
 12    participating  in,  or  aiding  or  abetting  any  such  violation of this act
 13    chapter.
 14        (2)  Every public officer who knowingly lets a public contract to any per-
 15    son, firm, copartnership, corporation, limited liability company, limited lia-
 16    bility partnership, association or other organization  who  does  not  hold  a
 17    license as required by the provisions of this act chapter shall be guilty of a
 18    misdemeanor  and  upon  conviction,  punishable  as  provided in this section,
 19    unless, however, there be no qualified bidder willing to undertake the  public
 20    works  covered by the contract. No person engaged in the business or acting in
 21    the capacity of a contractor, may bring or maintain any action in any court of
 22    this state for the collection of compensation for the performance of  any  act
 23    or contract for which a license is required by this act chapter without alleg-
 24    ing  and  providing that he was a duly licensed contractor at all times during
 25    the performance of such act or contract.
 26        (3)  In addition to any other penalties specified in this  section,  when-
 27    ever  any person violates the provisions of this chapter by acting as a public
 28    works contractor without a license, the administrator may maintain  an  action
 29    in the name of the state of Idaho to enjoin the person from any further viola-
 30    tions.  Such  action may be brought either in the county in which the acts are
 31    claimed to have been or are being committed, in the county where the defendant
 32    resides or in Ada county. Upon the filing of a verified complaint in the  dis-
 33    trict  court, the court, if satisfied that the acts complained of have been or
 34    probably are being or may be committed,  may  issue  a  temporary  restraining
 35    order  and/or  preliminary  injunction,  without bond, enjoining the defendant
 36    from the commission of any such act or acts constituting the violation. A copy
 37    of the complaint shall be served upon the defendant and the proceedings  shall
 38    thereafter  be  conducted as in other similar civil actions. If the commission
 39    of the act or acts is established, the court shall enter a decree  permanently
 40    enjoining  the  defendant  from  committing such act or acts. If an injunction
 41    issued under the provisions of this section is violated,  the  court,  or  the
 42    judge  thereof at chambers, may summarily try and punish the offender for con-
 43    tempt of court.
                                                                        
 44        SECTION 3.  That Chapter 19, Title 54, Idaho Code, be,  and  the  same  is
 45    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 46    ignated as Section 54-1920A, Idaho Code, and to read as follows:
                                                                        
 47        54-1920A.  ENFORCEMENT. Upon request of the administrator, it shall be the
 48    duty of the attorney general to  institute  and  prosecute  civil  enforcement
 49    actions  or injunctive actions as provided in section 54-1920, Idaho Code. The
 50    attorney general may delegate the authority and duty under this section to the
 51    prosecuting attorney of the county in which the action may arise.

Statement of Purpose / Fiscal Impact


	             STATEMENT OF PURPOSE
                          RS 11973

The purpose of this legislation is to establish the criteria for 
the licensing and regulation of contractors engaging in public 
works construction.


                         FISCAL IMPACT

There is no fiscal impact.


Contact

Name:	Max Black 
Phone: 332 1000




STATEMENT OF PURPOSE/FISCAL NOTE		H 592