Bill Text - HB394 (2011)

Relative to the regulation of oil heating technicians.


Revision: Oct. 19, 2011, midnight

HB 394-FN – AS INTRODUCED

2011 SESSION

11-0535

10/05

HOUSE BILL 394-FN

AN ACT relative to the regulation of oil heating technicians.

SPONSORS: Rep. Harding, Graf 11; Rep. Rosenwald, Hills 22; Rep. Scontsas, Hills 22; Rep. Rhodes, Hills 22; Sen. Lambert, Dist 13

COMMITTEE: Commerce and Consumer Affairs

ANALYSIS

This bill adds oil heating technicians to the regulation of fuel gas fitters by the department of safety.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

11-0535

10/05

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Eleven

AN ACT relative to the regulation of oil heating technicians.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Subdivision Heading. Amend the subdivision heading preceding RSA 153:27 to read as follows:

Fuel Gas Fitters and Oil Heating Technicians

2 New Paragraphs; Definitions; Heating Oil; Equipment System. Amend RSA 153:27 by inserting after paragraph IV the following new paragraphs:

IV-a. “Heating oil” means any liquid fuel specifically designed to be used in any heating equipment system, domestic hot water heating system, or appliance.

IV-b. “Heating equipment system” means all equipment designed to burn a liquid or vaporized fuel for the purpose of providing heat in a structure, this includes all necessary accessory apparatus such as control devices, venting, and piping.

3 New Paragraphs; Definitions. Amend RSA 153:27 by inserting after paragraph IX the following new paragraphs:

IX-a. “Oil heating” means the installation, repair, alteration, service, demolition or removal of pipes, fixtures, fittings, oil supply tanks, appliances, or apparatus necessary for supplying natural heating oil or kerosene for residential or non-residential use from the point of delivery and all oil supply piping before connection to the burner and combustion zone and including the applicable venting of flue gases to the outside atmosphere and the provisions for air for combustion and ventilation.

IX-b. “Oil heating technician” means any person engaged in the service and repair of inside and outside piping from and including the oil supply tank including but not limited to oil supply piping and residential and non-residential oil heating equipment systems or water heating systems and appliances using heating oil, kerosene or fuel oil distillates.

4 Definitions. Amend RSA 153:27, XI and XII to read as follows:

XI. “Fuel gas piping installer” means any person engaged in the installation of liquefied propane gas or natural gas piping or who is a New Hampshire licensed plumber, approved by the commissioner through affidavit, experience, education or training in the use of NFPA 54, national fuel gas code as adopted pursuant to RSA 153:5 in the state fire code.

XII. “Trainee” means any person engaged in the process of meeting the licensing requirements of this subdivision, who shall work under the supervision of a licensed fuel gas fitter or licensed oil heating technician, in the repair or installation of inside and outside piping from a gas meter or second stage regulator, and the repair or installation of residential and nonresidential heating equipment systems, hot water heating systems, or hearth equipment systems utilizing liquefied propane gas or natural gas.

5 Rulemaking; Standards. Amend RSA 153:28, I(a) to read as follows:

(a) Standards regarding education or its equivalent, experience requirements, and testing requirements for applicants for initial licensure for the following specialty licenses:

(1) Hearth system installation and service technician.

(2) Liquefied propane installation technician.

(3) Liquefied propane service technician.

(4) Natural gas installation technician.

(5) Natural gas service technician.

(6) Fuel gas piping installer.

(7) Oil heating technician.

(8) Trainee.

6 Technical Standards. Amend RSA 153:28, II to read as follows:

II. The commissioner shall adopt technical standards for fuel gas fitting and oil heating by rule under RSA 541-A. The state fire marshal shall adopt the most recent edition of the national fuel gas code and the oil burning equipment code adopted by the state under RSA 153:5.

7 Reciprocity. Amend RSA 153:28, IV to read as follows:

IV. The commissioner may enter into reciprocity agreements which shall permit the licensing of fuel gas fitters or oil heating technicians from states which have a mutual fuel gas fitting or oil heating reciprocity agreement with this state, provided the commissioner determines that the requirements for licensure in that state are equivalent to, or greater than, those established by this subdivision.

8 Examinations. Amend RSA 153:29, I and II to read as follows:

I. The commissioner shall establish, through rulemaking pursuant to RSA 541-A, the nature of the examinations required for issuance of fuel gas fitter licenses and oil heating technician licenses. The scope of such examinations and the methods of procedure shall be prescribed by the commissioner. This may include an outside organization approved by the commissioner.

II. Each license issued by the commissioner shall identify which of the following special licenses applies to the licensee:

(a) Hearth system installation and service technician.

(b) Liquefied propane installation technician.

(c) Liquefied propane service technician.

(d) Natural gas installation technician.

(e) Natural gas service technician.

(f) Fuel gas piping installer.

(g) Oil heating technician.

(h) Trainee.

9 Business Entities; License. Amend RSA 153:29-a to read as follows:

153:29-a Fuel Gas Fitter License; Oil Heating Technician License; Business Entities.

I. The commissioner may issue a business entity a fuel gas fitter license without examination or continuing education requirements to corporations, partnerships, or limited liability companies engaged in fuel gas fitting, provided one or more officers of the corporation, or designee, or one or more members of the partnership, or designee, or one or more managing members of the limited liability company, or designee, hold an active and current license as a liquefied propane service technician or natural gas service technician under this subdivision. Within 30 days after the death or withdrawal of the licensed person as a corporate officer, or designee, or member of the partnership, or designee, or one or more managing members of the limited liability company, or designee, the licensed person, corporation, partnership, or limited liability company shall give notice thereof to the commissioner and, if no other officer, partner, manager or designee, is licensed as a liquefied propane service technician or natural gas service technician, the corporation, or partnership, or limited liability company shall not act as a fuel gas fitter until some other officer, member, or designee, has obtained a license as a liquefied propane service technician or natural gas service technician. Notwithstanding any other provision of law, the commissioner shall not require a fee for a corporation engaged in fuel gas fitting where a licensed liquefied propane service technician or natural gas service technician is the sole shareholder of the corporation.

I-a. The commissioner may issue a business entity an oil heating technician license without examination or continuing education requirements to corporations, partnerships, or limited liability companies engaged in oil heating, provided one or more officers of the corporation, or designee, or one or more members of the partnership, or designee, or one or more managing members of the limited liability company, or designee, hold an active and current license as an oil heating technician under this subdivision. Within 30 days after the death or withdrawal of the licensed person as a corporate officer, or designee, or member of the partnership, or designee, or one or more managing members of the limited liability company, or designee, the licensed person, corporation, partnership, or limited liability company shall give notice thereof to the commissioner and, if no other officer, partner, manager or designee, is licensed as an oil heating technician, the corporation, or partnership, or limited liability company shall not act as an oil heating business entity until some other officer, member, or designee, has obtained a license as an oil heating technician. Notwithstanding any other provision of law, the commissioner shall not require a fee for a corporation engaged in oil heating where a licensed oil heating technician is the sole shareholder of the corporation.

II. All licenses issued under this section shall expire every 2 years on the last day of December. The commissioner shall renew a valid license issued under this section on receipt of an application for renewal and the required fee before the expiration date of the license.

III. The commissioner shall adopt rules, pursuant to RSA 541-A, relative to the application and renewal procedure and any eligibility requirements in addition to those in this subdivision for a fuel gas fitter license or oil heating technician license for business entities issued pursuant to this section.

IV. A business entity that meets the licensing requirements of either paragraph I or I-a of this section and is doing business as both fuel gas fitter and oil heating technician, the business entity shall be licensed as both and considered as one license for the purposes of the fee.

10 Inactive Status. Amend RSA 153:30, II to read as follows:

II. Upon the request of a licensed fuel gas fitter or a licensed oil heating technician who is a member of any reserve component of the armed forces of the United States or the national guard and is called to active duty, the commissioner shall place the person's license on inactive status. The license may be reactivated within one year of the licensee's discharge by payment of the renewal fee and with proof of completion of the most current continuing education requirement unless still within the renewal period.

11 Inspectors. Amend RSA 153:34, II to read as follows:

II. An inspector appointed under this subdivision shall have the authority to enter any premises in which a fuel gas fitter or oil heating technician subject to regulation is performing, or has completed, work regulated under this subdivision for the purpose of making such inspection as is necessary to carry out his or her duties under this subdivision. If consent for such inspection is denied or not reasonably obtainable, the state fire marshal or his or her designee may obtain an administrative inspection warrant under RSA 595-B.

12 Exceptions. Amend RSA 153:36, I to read as follows:

I. The license requirements of this subdivision shall not apply to anyone who performs fuel gas fitting or oil heating work within an existing single family, stand alone structure owned and occupied by the person who performs the fuel gas fitting or oil heating work, and such structure is used as the individual's primary residence. Notwithstanding any provision to the contrary, any person who is exempt under this paragraph shall perform fuel gas fitting or oil heating work in accordance with applicable technical standards, and comply with any applicable code, application, and inspection requirements that may apply to the fuel gas fitting or oil heating work performed.

13 Penalties. Amend RSA 153:37 to read as follows:

153:37 Penalties.

I. Any person or business entity who performs fuel gas fitting or oil heating without first having obtained a license, shall be guilty of a misdemeanor.

II. Any person or business entity who violates any rule adopted under RSA 153:28 or whoever violates any ordinance or bylaw enacted pursuant to the provisions of RSA 153:35 shall be guilty of a misdemeanor.

III. Any person or business entity which procures any license based upon inaccurate information contained on an application, or procures any license by fraud, shall be guilty of a misdemeanor.

IV. Any person who performs fuel gas fitting or oil heating without first having obtained a license, or who violates any rule adopted pursuant to this subdivision, and such performance of fuel gas fitting or oil heating results in serious bodily injury or death, shall be guilty of a felony.

IV-a. Any person or business entity employing a person to perform fuel gas fitting or oil heating when the employed person is not in training and does not have a current valid fuel gas fitting or oil heating license issued pursuant to this subdivision or rules adopted pursuant to this subdivision, shall be guilty of a misdemeanor.

V. The penalties in this subdivision shall not apply until after one calendar year following the effective date of rules first adopted under this subdivision.

14 Duties; Division of Fire Safety. Amend RSA 21-P:12, VII to read as follows:

VII. Administration, supervision, and enforcement of RSA 153:27-37 regulating fuel gas fitters and oil heating technicians.

15 Rulemaking; Commissioner of Safety. Amend RSA 21-P:14, II(ee) to read as follows:

(ee) Licensing fuel gas fitters and oil heating technicians, as authorized by RSA 153:27-37.

16 Effective Date. This act shall take effect July 1, 2011.

LBAO

11-0535

Revised 10/11/11

HB 394 FISCAL NOTE

AN ACT relative to the regulation of oil heating technicians.

FISCAL IMPACT:

      The Department of Safety states this bill will increase state highway fund revenue by $112,500 in FY 2012 and FY 2013, and $100,000 in FY 2014 and FY 2015. The Judicial Council, the Department of Corrections and the New Hampshire Association of Counties state this bill may increase state and county expenditures by an indeterminable amount in FY 2012 and each year thereafter. There will be no fiscal impact on local expenditures or county and local revenue.

      The Office of Legislative Budget Assistant is awaiting information from the Judicial Branch relative to the potential fiscal impact of this bill as amended. The Department was initially contacted on 01/12/11 and most recently contacted on 06/12/11.

METHODOLOGY:

    The Department of Safety states this bill adds oil heat technicians to the mandatory licensing program required of fuel gas fitters. The Department states this legislation would only affect those technicians who are involved solely in oil heating work, of which there are roughly 1,000 in the state. The Department assumes approximately 500 of those technicians would become initially licensed in FY 2012 and the other half would be come initially licensed in FY 2013. The fee for initial licenses is $225, so state revenue would increase by $112,500 (500 licensees x $225 license fee) in FY 2012 and FY 2013. The Department also assumes, in FY 2014, those licensees who became initially licensed in FY 2012 would renew their licenses, likewise in FY 2015 those licensees who became initially licensed in FY 2013 would also renew their licenses. At the current renewal fee of $200, the Department projects state revenue would increase by $100,000 (500 licensees x $200 renewal fee) in FY 2014 and FY 2015. The Department assumes it has the capability within its current resources and budget to accomplish this regulatory function.

    The Judicial Council states this bill creates penalties for various actions related to the regulation of fuel gas fitters, which may result in an indeterminable increase in both misdemeanors and felonies. The Council states if an individual is found to be indigent, the flat fees of $275 per class A misdemeanor and $756 per felony are charged by a public defender or contract attorney. If an assigned counsel attorney is used the fee is $60 per hour with a caps of $1,400 for a misdemeanor charge and $4,100 for a felony charge. The Council also states additional costs could be incurred if an appeal is filed. The public defender, contract attorney and assigned counsel rates for Supreme Court appeals is $2,000 per case, with many assigned counsel attorneys seeking permission to exceed the fee cap. Requests to exceed the fee cap are seldom granted. Finally, expenditures would increase if services other than counsel are requested and approved by the court during the defense of a case or during an appeal.

    The Department of Corrections states it is not able to determine the fiscal impact of this bill because it does not have sufficient detail to predict the number of individuals who would be subject to this legislation. The Department of Corrections states the average annual cost of incarcerating an individual in the general prison population for the Fiscal Year ending June 30, 2010 was $32,492. The cost to supervise an individual by the Department’s division of field services for the Fiscal Year ending June 30, 2010 was $659.

    The New Hampshire Association of Counties states to the extent an individual is prosecuted, convicted, and sentenced to incarceration, the counties may have increased expenditures. The Association is unable to determine the number of individuals who might be detained, prosecuted or incarcerated as a result of this bill. The average annual cost to incarcerate an individual in a county correctional facility is approximately $35,000.

    The Department of Justice states county prosecutors would typically handle any initial prosecutions as a result of this legislation, however it also assumes any increase in workload created during any appeals could be absorbed within existing Department resources.