As Introduced

130th General Assembly Regular Session 2013-2014

S. B. No. 78

Senator Hughes 

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A BILL

To amend sections 4740.01, 4740.02, 4740.04, 4740.05,

1

4740.06, 4740.07, 4740.08, 4740.09, 4740.13, and

2

4740.16, to enact new section 4740.10, and to

3

repeal section 4740.10 of the Revised Code to make

4

changes to the law regulating specialty

5

construction contractors.

6

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That sections 4740.01, 4740.02, 4740.04, 4740.05,	7
4740.06, 4740.07, 4740.08, 4740.09, 4740.13, and 4740.16 be	8
amended and new section 4740.10 of the Revised Code be enacted to	9
read as follows:	10

Sec. 4740.01.  As used in this chapter:

11

(A) "License" means a license the Ohio construction industry	12
licensing board issues to an individual as a heating, ventilating,	13
and air conditioning contractor, refrigeration contractor,	14
electrical contractor, plumbing contractor, or hydronics	15
contractor.	16

(B) "Contractor" means any individual or business entity	17
contracting company that satisfies both of the following:	18

(1) Directs, supervises, or hasHas responsibility for the	19
means, method, and manner of construction, improvement,	20
renovation, repair, or maintenance on a construction project with	21
respect to one or more trades and who offers, identifies,	22
advertises, or otherwise holds out or represents that the	23
individual or business entitycontracting company is permitted or	24
qualified to perform, direct, supervise, or have responsibility	25
for the means, method, and manner of construction, improvement,	26
renovation, repair, or maintenance with respect to one or more	27
trades on a construction project;	28

(2) Performs or otherwise supervises or directsDoes any of	29
the following:	30

(a) Performs construction, improvement, or renovation on a	31
construction project with respect to the individual's or	32
contracting company's trade;	33

(b) Employs tradespersons who perform construction,	34
improvement, or renovation, repair, or maintenance on a	35
construction project with respect to the contractor's	36
individual's or contracting company's trades;	37

(c) Leases, from a qualified temporary agency, manpower who	38
perform construction, improvement, or renovation on a construction	39
project with respect to the individual's or contracting company's	40
trades.	41

(C) "Contracting company" means a company in the construction	42
industry working on construction projects.	43

(D) "Licensed trade" means a trade performed by a heating,	44
ventilating, and air conditioning contractor, a refrigeration	45
contractor, an electrical contractor, a plumbing contractor, or a	46
hydronics contractor.	47

(D)(E) "Tradesperson" means any individual who is supervised	48
or directed by a contractor or who is otherwise employed by a	49
contractor and who engages in construction, improvement,	50
renovation, repair, or maintenance of buildings or structures	51
without assuming responsibility for the means, method, or manner	52
of that construction, improvement, renovation, repair, or	53
maintenance.	54

(E)(F) "Construction project" means a construction project	55
involving a building or structure subject to Chapter 3781. of the	56
Revised Code and the rules adopted under that chapter, but not an	57
industrialized unit or a residential building as defined in	58
section 3781.06 of the Revised Code.	59

Sec. 4740.02.  (A) There is hereby created within the	60
department of commerce, the Ohio construction industry licensing	61
board, consisting of seventeen residents of this state. The board	62
shall have an administrative section,and three specialty	63
sections: a plumbing and hydronics section, an electrical section,	64
and a heating, ventilating, air conditioning, and refrigeration	65
section. The director of commerce shall appoint all members of the	66
board. The director or the director's designee shall serve as a	67
member of the administrative section and the director shall	68
appoint to the section to represent the public, one member who is	69
not a member of any group certified by any section of the board.	70
Each section, other than the administrative section, shall	71
annually elect a member of its section to serve a one-year term on	72
the administrative section.	73

(B) The plumbing and hydronics section consists of five	74
members, one of whom is a plumbing inspector employed by the	75
department of commerce, a municipal corporation, or a health	76
district, two of whom are plumbing contractors who have no	77
affiliation with any union representing plumbers, and two of whom	78
are plumbing contractors who are signatories to agreements with	79
unions representing plumbers.	80

The plumbing and hydronics section has primary responsibility	81
for the licensure of plumbing contractors and hydronics	82
contractors.	83

(C) The electrical section consists of five members, one of	84
whom is an electrical inspector employed by the department of	85
commerce, a municipal corporation, or a county, two of whom are	86
electrical contractors who have no affiliation with any union	87
representing electricians, and two of whom are electrical	88
contractors who are signatories to agreements with unions	89
representing electricians.	90

The electrical section has primary responsibility for the	91
licensure of electrical contractors.	92

(D) The heating, ventilating, air conditioning, and	93
refrigeration section consists of five members, one of whom is a	94
heating, ventilating, air conditioning, and refrigeration	95
inspector employed by either the department of commerce or a	96
municipal corporation; two of whom are heating, ventilating, and	97
air conditioning contractors or refrigeration contractors who have	98
no affiliation with any union representing heating, ventilating,	99
and air conditioning tradespersons or refrigeration tradespersons;	100
and two of whom are heating, ventilating, and air conditioning	101
contractors or refrigeration contractors who are signatories to	102
agreements with unions representing heating, ventilating, and air	103
conditioning tradespersons or refrigeration tradespersons.	104

The heating, ventilating, air conditioning, and refrigeration	105
section has primary responsibility for the licensure of heating,	106
ventilating, and air conditioning contractors and refrigeration	107
contractors.	108

(E) Within ninety days after July 31, 1992, initial	109
appointments shall be made to the board. Of the initial	110
appointments to the board, two appointments in each section, other	111
than the administrative section, are for terms ending one year	112
after July 31, 1992, and two are for terms ending two years after	113
July 31, 1992. All other appointments to the board are for terms	114
ending three years after July 31, 1992. Thereafter, terms of	115
office are for three years, each term ending on the same day of	116
the same month of the year as did the term that it succeeds. Each	117
member shall hold office from the date of appointment until the	118
end of the term for which the member was appointed. Members may be	119
reappointed. Vacancies shall be filled in the manner provided for	120
original appointments. Any member appointed to fill a vacancy	121
occurring prior to the expiration of the term for which the	122
member's predecessor was appointed shall hold office as a member	123
for the remainder of that term. A member shall continue in office	124
subsequent to the expiration of a term until a successor takes	125
office or until a period of sixty days has elapsed, whichever	126
occurs first.	127

(F) Before entering upon the discharge of official duties,	128
each member shall take, and file with the secretary of state, the	129
oath of office required by Section 7 of Article XV, Ohio	130
Constitution.	131

(G) Each member, except for the director or the director's	132
designee, shall receive a per diem amount fixed pursuant to	133
section 124.15 of the Revised Code when actually attending to	134
matters of the board and for the time spent in necessary travel,	135
and all actual and necessary expenses incurred in the discharge of	136
official duties.	137

(H) The director of commerce may remove any member of the	138
board the director appoints for malfeasance, misfeasance, or	139
nonfeasance.	140

(I) Membership on the board and holding any office of the	141
board does not constitute holding a public office or employment	142
within the meaning of any section of the Revised Code, or an	143
interest, either direct or indirect, in a contract or expenditure	144
of money by the state or any municipal corporation, township,	145
special district, school district, county, or other political	146
subdivision. No member or officer of the board is disqualified	147
from holding any public office or employment nor shall the officer	148
or member forfeit any public office or employment by reason of	149
holding a position as an officer or member of the board.	150

(J) The board, and each section of the board, shall meet only	151
after adequate advance notice of the meeting has been given to	152
each member of the board or section, as appropriate.	153

Sec. 4740.04.  The administrative section of the Ohio	154
construction industry licensing board is responsible for the	155
administration of this chapter and shall do all of the following:	156

(A) Schedule the contractor examinations each of the other	157
sections of the board directs. Each type of examination shall be	158
held at least four times per year.	159

(B) Select and contract with one or more persons to do all of	160
the following relative to the examinations:	161

(1) Prepare, administer, score, and maintain the	162
confidentiality of the examinations;	163

(2) Be responsible for all the expenses required to fulfill	164
division (B)(1) of this section;	165

(3) Charge an applicant a fee in an amount the administrative	166
section of the board authorizes for administering the examination;	167

(4) Design the examination for each type of contractor to	168
determine an applicant's competence to perform that type of	169
contracting.	170

(C) Issue and renew licenses as follows:

171

(1) Issue a license to any individual who the appropriate	172
specialty section of the board determines is qualified pursuant to	173
section 4740.06 of the Revised Code to hold a license and has	174
attained, within the twelve months preceding the individual's	175
application for licensure, a score on the examination that the	176
appropriate specialty section authorizes for the licensed trade.	177

(a) Each license shall include athe contractor's name,	178
license number and an, expiration date, and the name of the	179
contracting company associated with the individual, as applicable.	180

(b) Each license issued to an individual who holds more than	181
one valid license shall contain the same license number and	182
expiration date as the original license issued to that individual.	183

(2) Renew licenses for individuals who meet the renewal	184
requirements of section 4740.06 of the Revised Code.	185

(D) Make an annual written report to the director of commerce	186
on proceedings had by or before the board for the previous year	187
and make an annual statement of all money received and expended by	188
the board during the year;	189

(E) Keep a record containing the name, address, the date on	190
which the board issues or renews a license to, and the license	191
number of, every heating, ventilating, and air conditioning	192
contractor, refrigeration contractor, electrical contractor,	193
plumbing contractor, and hydronics contractor issued a license	194
pursuant to this chapter;	195

(F) Regulate a contractor's use and display of a license	196
issued pursuant to this chapter and of any information contained	197
in that license;	198

(G) Adopt rules in accordance with Chapter 119. of the	199
Revised Code as necessary to properly discharge the administrative	200
section's duties under this chapter. The rules shall include, but	201
not be limited to, the following:	202

(1) Application procedures for examinations;

203

(2) Specifications for continuing education requirements for	204
license renewal that address all of the following:	205

(a) A requirement that an individual who holds any number of	206
valid and unexpired licenses accrue a total of ten hours of	207
continuing education courses per year;	208

(b) Fees the board charges to persons who provide continuing	209
education courses, in an amount of twenty-five dollars annually	210
for each person approved to provide courses, not more than ten	211
dollars plus one dollar per credit hour for each course offered	212
submitted to a specialty section of the board for approval	213
according to division (F) of section 4740.05 of the Revised Code,	214
and one dollar per credit hour of instruction per attendee;	215

(c) A provision limiting approval of continuing education	216
courses to one year.	217

(3) Requirements for criminal records checks of applicants	218
under section 4776.03 of the Revised Code.	219

(H) Adopt any continuing education curriculum as the other	220
sections of the board establish or approve pursuant to division	221
(C)(F) of section 4740.05 of the Revised Code;	222

(I) Keep a record of its proceedings and do all things	223
necessary to carry out this chapter.	224

Sec. 4740.05. (A) Each specialty section of the Ohio	225
construction industry licensing board, other than the	226
administrative section, shall do all of the following:	227

(1)(A) Adopt rules in accordance with Chapter 119. of the	228
Revised Code that are limited to the following:	229

(a)(1) Criteria for the section to use in evaluating the	230
qualifications of an individual;	231

(b)(2) Criteria for the section to use in deciding whether to	232
authorize the administrative section to issue, renew, suspend,	233
revoke, or refuse to issue or renew a license;	234

(c)(3) The determinations and approvals the section makes	235
under the reciprocity provision of section 4740.08 of the Revised	236
Code;	237

(d)(4) Criteria for continuing education courses conducted	238
pursuant to this chapter;	239

(e)(5) A requirement that personsany training agency seeking	240
approval to provide continuing education courses submit the	241
required information to the appropriate specialty section of the	242
board at least thirty days, but not more than one year, prior to	243
the date on which the course is proposed to be offered;	244

(f)(6) A prohibition against any persontraining agency	245
providing a continuing education course unless the administrative	246
section of the board approved that person not more than one year	247
prior to the date the course is offered;	248

(g)(7) A list of disqualifying offenses pursuant to sections	249
4740.06, 4740.10, and 4776.10 of the Revised Code.	250

(2)(B) Investigate allegations in reference to violations of	251
this chapter and the rules adopted pursuant to it that pertain to	252
the specialty section and determine by rule a procedure to conduct	253
investigations and hearings on these allegations;	254

(3)(C) Maintain a record of its proceedings;

255

(4)(D) Grant approval to a persontraining agency to offer	256
continuing education courses pursuant to rules the board adopts;	257

(5)(E) As required, do all things necessary to carry out this	258
chapter.	259

(B) In accordance with rules they establish, the trade	260
sections of the board shall authorize the administrative section	261
to issue, renew, suspend, revoke, or refuse to issue or renew	262
licenses for the classes of contractors for which each has primary	263
responsibility as set forth in section 4740.02 of the Revised	264
Code.	265

(C) Each trade section of the board shall establish;

266

(F) Establish or approve a continuing education curriculum	267
for license renewal for each class of contractors for which the	268
section has primary responsibility. No curriculum may require more	269
than five hours per year in specific course requirements. No	270
contractor may be required to take more than ten hours per year in	271
continuing education courses. The ten hours shall be the aggregate	272
of hours of continuing education for all licenses the contractor	273
holds.	274

(G) Design the examination for the type of contractor the	275
specialty section licenses to determine an applicant's competence	276
to perform that type of contracting.	277

Sec. 4740.06. (A) Any individual who applies for a license	278
shall file a written application with the appropriate specialty	279
section of the Ohio construction industry licensing board,	280
accompanied with the application fee as determined pursuant to	281
section 4740.09 of the Revised Code. The individual shall file the	282
application not more than sixty days nor less than thirty days	283
prior to the date of the examination. The application shall be on	284
the form the section prescribes and verified by the applicant's	285
oath. The applicant shall provide information satisfactory to the	286
section showing that the applicant meets the requirements of	287
division (B) of this section.	288

(B) To qualify to take an examination, an individual shall:

289

(1) Be at least eighteen years of age;

290

(2) Be a United States citizen or legal alien who produces	291
valid documentation to demonstrate the individual is a legal	292
resident of the United States;	293

(3) Either have been a tradesperson for a licensed contractor	294
in the type of licensed trade for which the application is filed	295
for not less than five years immediately prior to the date the	296
application is filed, be a currently registered engineer in this	297
state with three years of business experience in the construction	298
industry in the trade for which the engineer is applying to take	299
an examination, or have other experience acceptable to the	300
appropriate specialty section of the board;	301

(4) Maintain contractor's liability insurance, including	302
without limitation, complete operations coverage, in an amount the	303
appropriate specialty section of the board determines and only in	304
one contracting company name;	305

(5) Not have done any of the following:

306

(a) Been convicted of or pleaded guilty to a crime of moral	307
turpitude or a disqualifying offense as those terms are defined in	308
section 4776.10 of the Revised Code;	309

(b) Violated this chapter or any rule adopted pursuant to it;

310

(c) Obtained or renewed a license issued pursuant to this	311
chapter, or any order, ruling, or authorization of the board or a	312
section of the board by fraud, misrepresentation, or deception;	313

(d) Engaged in fraud, misrepresentation, or deception in the	314
conduct of business.	315

(C) When an applicant for licensure as a contractor in a	316
licensed trade meets the qualifications set forth in division (B)	317
of this section and passes the required examination, the	318
appropriate specialty section of the board, within ninety days	319
after the application was filed, shall authorize the	320
administrative section of the board to license the applicant for	321
the type of contractor's license for which the applicant	322
qualifies. A specialty section of the board may withdraw its	323
authorization to the administrative section for issuance of a	324
license for good cause shown, on the condition that notice of that	325
withdrawal is given prior to the administrative section's issuance	326
of the license.	327

(D) If an applicant does not pass the required examination,	328
the applicant may retake the examination not less than sixty days	329
after the applicant's initial examination.	330

(E) All licenses a contractor holds pursuant to this chapter	331
shall expire annually on the same date, which shall be the	332
expiration date of the original license the contractor holds. An	333
individual holding a valid, unexpired license may renew the	334
license, without reexamination, by submitting an application to	335
the appropriate specialty section of the board not more than	336
ninety calendar days before the expiration of the license, along	337
with the renewal fee the specialty section requires and proof of	338
compliance with the applicable continuing education requirements.	339
The applicant shall provide information in the renewal application	340
satisfactory to demonstrate to the appropriate specialty section	341
that the applicant continues to meet the requirements of division	342
(B) of this section.	343

Upon application and within one calendar year after a license	344
has expired, a section may waive any of the requirements for	345
renewal of a license upon finding that an applicant substantially	346
meets the renewal requirements or that failure to timely apply for	347
renewal is due to excusable neglect. A section that waives	348
requirements for renewal of a license may impose conditions upon	349
the licensee and assess a late filing fee of not more than double	350
the usual renewal fee. An applicant shall satisfy any condition	351
the section imposes before a license is reissued.	352

(E)(F) An individual holding a valid license may request the	353
section of the board that authorized that license to place the	354
license in inactive status under conditions, and for a period of	355
time, as that section determines.	356

(F)(G) Except for the ninety-day extension provided for a	357
license assigned to a business entitycontracting company under	358
division (D) of section 4740.07 of the Revised Code, a license	359
held by an individual immediately terminates upon the death of the	360
individual.	361

(G)(H) Nothing in any license issued by the Ohio construction	362
industry licensing board shall be construed to limit or eliminate	363
any requirement of or any license issued by the Ohio fire marshal.	364

(H)(I)(1) Subject to divisions (H)(I)(2), (3), and (4) of	365
this section, no tradespecialty section of the board shall adopt,	366
maintain, renew, or enforce any rule, or otherwise preclude in any	367
way, an individual from receiving or renewing a license under this	368
chapter due to any past criminal activity or interpretation of	369
moral character, except as pursuant to division (B)(5)(a) of this	370
section. If the specialty section denies an individual a license	371
or license renewal, the reasons for such denial shall be put in	372
writing.	373

(2) Except as otherwise provided in this division, if an	374
individual applying for a license has been convicted of or pleaded	375
guilty to a misdemeanor that is not a crime of moral turpitude or	376
a disqualifying offense less than one year prior to making the	377
application, the section may use its discretion in granting or	378
denying the individual a license. Except as otherwise provided in	379
this division, if an individual applying for a license has been	380
convicted of or pleaded guilty to a felony that is not a crime of	381
moral turpitude or a disqualifying offense less than three years	382
prior to making the application, the section may use its	383
discretion in granting or denying the individual a license. The	384
provisions in this paragraph do not apply with respect to any	385
offense unless the section, prior to the effective date of this	386
amendment, was required or authorized to deny the application	387
based on that offense.	388

In all other circumstances, the section shall follow the	389
procedures it adopts by rule that conform to division (H)(I)(1) of	390
this section.	391

(3) In considering a renewal of an individual's license, the	392
section shall not consider any conviction or plea of guilty prior	393
to the initial licensing. However, the board may consider a	394
conviction or plea of guilty if it occurred after the individual	395
was initially licensed, or after the most recent license renewal.	396

(4) The section may grant an individual a conditional license	397
that lasts for one year. After the one-year period has expired,	398
the license is no longer considered conditional, and the	399
individual shall be considered fully licensed.	400

Sec. 4740.07.  (A) Except as otherwise provided in this	401
section, the administrative section of the Ohio construction	402
industry licensing board shall issue and renew all licenses under	403
this chapter in the name of the individual who meets the	404
requirements of section 4740.06 of the Revised Code.	405

(B) Any individual mayAll individuals applying for a license	406
under this chapter shall request, at the time of applying for a	407
license or at any time thereafter, that the individual's license	408
be assigned to a business entitycontracting company with whom the	409
individual is associated as a full-time officer, proprietor,	410
partner, or employeeemployed. If the individual is issued or	411
holds a license and meets the requirements of this section for the	412
assignment of the license to a business entitycontracting	413
company, the administrative section shall assign the license to	414
and issue a license in the name of the business entitycontracting	415
company. The license assigned and issued to a business entity	416
contracting company under this division shall state the name and	417
position of the individual who assigned the license to the	418
business entitycontracting company.	419

(C) During the period a business entitycontracting company	420
holds a license issued under division (B) of this section, the	421
administrative section shall not issue another license to the	422
individual who assigned the license to the business entity	423
contracting company for the same type of contracting for which the	424
business entitycontracting company utilizes the assigned license.	425

(D)(1) If an individuala contractor who assigned a license	426
to a business entitycontracting company under division (B) of	427
this section ceases to be associated with the business entity	428
contracting company for any reason, including the death of the	429
individualcontractor, the individualcontractor or business	430
entitycontracting company immediately shall notify the	431
appropriate specialty section of the board of the date on which	432
the individualcontractor ceased to be associated with the	433
business entitycontracting company. ASuch a license assigned to	434
a business entityassignation is invalid ninetyaccording to the	435
following, as applicable:	436

(a) Ninety calendar days after the date on which the	437
individual who assigned the license ceases to be associated with	438
the business entity or atdeath of the contractor;	439

(b) Ninety calendar days after the contractor completes a	440
change of company form;	441

(c) At an earlier time to which the business entity	442
contracting company and the individualcontractor agree.	443

(2) If a license assignedassignation made to a business	444
entitycontracting company becomes invalid pursuant to division	445
(D)(1) of this section and another individual has assigned a	446
license to the business entitycontracting company for the same	447
type of contracting for which the invalidated license assignation	448
had been assignedmade, the business entitycontracting company	449
may continue to operate under the other assigned license.	450

(E) Any work a business entitycontracting company conducts	451
under athe license assigned and advertised under this section is	452
deemed to be conducted under the personal supervision of the	453
individual named in the license and any violation of any term of	454
the license is deemed to have been committed by the individual	455
named in the license.	456

For the period of time during which more than one license for	457
the same type of contracting is assigned to a business entity, any	458
work the business entity conducts under any of those licenses is	459
deemed to be conducted under the personal supervision of the	460
individuals named in those licenses and any violation of any term	461
of any license is deemed to have been committed by the individuals	462
named in all of the licenses.	463

(F) No individual who assigns a license to a business entity	464
contracting company shall assign a license for the same type of	465
contracting to another business entitycontracting company until	466
the original license assignedassignation is invalid pursuant to	467
division (D) of this section.	468

(G) Any individual who assigns a license to a business entity	469
contracting company under this section shall be actively engaged	470
in business as the type of contractor for which the license is	471
issued and be readily available for consultation with the business	472
entitycontracting company to which the license is assigned.	473

(H) No license assigned under this section shall be assigned	474
to more than one business entitycontracting company at a time.	475

Sec. 4740.08.  When a written reciprocity agreement between	476
the states exists, and an individual who is registered, licensed,	477
or certified in another state applies to the appropriate specialty	478
section of the Ohio construction industry licensing board submits	479
a copy of the reciprocity agreement, and pays the licensure fee	480
determined pursuant to section 4740.09 of the Revised Code, the	481
appropriate specialty section of the board shall authorize the	482
administrative section to issue, without examination, a license to	483
that individual if the appropriate specialty section of the board	484
determines, pursuant to rules it adopts, that the requirements for	485
registration, licensure, or certification under the laws of the	486
other state are substantially equal to the requirements for	487
licensure in this state and that the other state extends similar	488
reciprocity to persons licensed under this chapter. The	489
appropriate specialty section of the board may withdraw its	490
authorization to the administrative section for issuance of a	491
license for good cause prior to the administrative section's	492
issuance of the license.	493

Sec. 4740.09.  The fees for licenses and their renewal,	494
including late fees, subject to the approval of the controlling	495
board, shall be determined by each respective specialty section of	496
the Ohio construction industry examininglicensing board. Each	497
respective specialty section of the board may increase these	498
fees, provided that no increase exceeds fifty per cent of the	499
lowest fee determined by that section of the board during the	500
three-year period immediately preceding an increase, and further	501
provided that no increase is made more than once a year.	502

Sec. 4740.10.  (A) A specialty section of the Ohio	503
construction industry licensing board may impose any of the	504
following, or any combination of the following, disciplinary	505
actions against an applicant or license holder for committing an	506
act listed in division (B) of this section:	507

(1) Suspend, revoke, or refuse to issue any license;

508

(2) Require additional continuing education hours;

509

(3) Issue a fine.

510

(B)(1) An applicant or licensee shall be subject to	511
disciplinary action as prescribed under division (A) of this	512
section for any of the following:	513

(a) Having been convicted of or pleading guilty to a crime of	514
moral turpitude or disqualifying offense as those terms are	515
defined in section 4776.10 of the Revised Code;	516

(b) Violating any provision of this chapter;

517

(c) Violating any rule adopted pursuant to this chapter;

518

(d) Obtaining or attempting to obtain a license or a renewal	519
of such license pursuant to this chapter by means of fraud,	520
deception, or misrepresentation;	521

(e) Obtaining an order, ruling, or authorization from any	522
section of the board by means of fraud or misrepresentation;	523

(f) Engaging in fraud, misrepresentation, or deception in the	524
conduct of business;	525

(g) Transferring the person's license to another person	526
without the approval of the appropriate specialty section;	527

(h)(i) Allowing the person's license to be used by an	528
unlicensed person or entity;	529

(ii) Division (B)(1)(h)(i) of this section does not apply to	530
a contracting company that has been assigned a license under	531
section 4740.07 of the Revised Code.	532

(i) Failing to comply with a disciplinary action imposed by	533
the appropriate specialty section;	534

(j) Failing to maintain insurance throughout the license	535
year, unless the license has properly been placed in inactive	536
status under section 4740.06 of the Revised Code.	537

(2) The appropriate specialty section of the board may take	538
disciplinary action against an applicant or license holder as	539
prescribed under division (A) of this section upon receiving	540
notice that a municipal corporation or any other governmental	541
agency has suspended or revoked the registration of an individual	542
or contracting company that also holds a license pursuant to this	543
chapter.	544

(C) The appropriate specialty sections shall direct the	545
administrative section to refuse to issue any license to an	546
applicant upon a finding by the appropriate specialty section that	547
the applicant has done either of the following:	548

(1) Had another person take the required examination for the	549
applicant;	550

(2) Failed to pass the required examination.

551

(D) If an individual fails to request a hearing within thirty	552
days after the date a specialty section, in accordance with	553
section 119.07 of the Revised Code, notifies the individual of the	554
board's intent to impose a disciplinary action against the	555
individual under division (A) of this section, the specialty	556
section, by a majority vote of a quorum of the section members,	557
may impose the action against the individual without holding an	558
adjudication hearing.	559

Sec. 4740.13. (A) No person shall act as or claim to be a	560
type of contractor that this chapter licenses unless that person	561
holds or has been assigned a license issued pursuant to this	562
chapter for the type of contractor that person is acting as or	563
claiming to be.	564

(B) Upon the request of the appropriate specialty section of	565
the Ohio construction industry licensing board, the attorney	566
general may bring a civil action for appropriate relief, including	567
but not limited to a temporary restraining order or permanent	568
injunction in the court of common pleas of the county where the	569
unlicensed person resides or is acting as or claiming to be a	570
licensed contractor.	571

(C) After a finding, pursuant to a review and investigation,	572
that a person has violated this section, the appropriate specialty	573
section may file a complaint against an unlicensed person with the	574
appropriate local prosecutor for criminal prosecution.	575

(D) A contractor licensed under this chapter may install,	576
service, and maintain the related or interfaced control wiring for	577
equipment and devices related to their specific license, on the	578
condition that the control wiring is less than twenty-five volts.	579

(D)(E) A person is not an electrical contractor subject to	580
licensure under this chapter for work that is limited to the	581
construction, improvement, renovation, repair, testing, or	582
maintenance of the following systems using less than fifty volts	583
of electricity: fire alarm or burglar alarm, cabling, tele-data	584
sound, communication, and landscape lighting and irrigation.	585

Sec. 4740.16. (A) TheAn investigator appointed by the	586
director of commerce, on behalf of the appropriate specialty	587
section of the Ohio construction industry licensing board may	588
investigate any person who allegedly has violated section 4740.13	589
of the Revised Code. If, after an investigation pursuant to	590
section 4740.05 of the Revised Code, the appropriate specialty	591
section determines that reasonable evidence exists that a person	592
has violated section 4740.13 of the Revised Code, within seven	593
days after that determination, the appropriate specialty section	594
shall send a written notice to that person in the same manner as	595
prescribed in section 119.07 of the Revised Code for licensees,	596
except that the notice shall specify that a hearing will be held	597
and specify the date, time, and place of the hearing.	598

(B) The appropriate specialty section shall hold a hearing	599
regarding the alleged violation in the same manner prescribed for	600
an adjudication hearing under section 119.09 of the Revised Code.	601
If the appropriate specialty section, after the hearing,	602
determines a violation has occurred, the appropriate specialty	603
section, upon an affirmative vote of foura majority of its	604
members, may impose a fine on the person, not exceeding one	605
thousand dollars per violation per day. The appropriate specialty	606
section's determination is an order that the person may appeal in	607
accordance with section 119.12 of the Revised Code.	608

(C) If the person who allegedly committed a violation of	609
section 4740.13 of the Revised Code fails to appear for a hearing,	610
the appropriate section may request the court of common pleas of	611
the county where the alleged violation occurred to compel the	612
person to appear before the appropriate section for a hearing.	613

(D) If the appropriate specialty section assesses a person a	614
civil penalty for a violation of section 4740.13 of the Revised	615
Code and the person fails to pay that civil penalty within the	616
time period prescribed by the appropriate specialty section, the	617
appropriate specialty section shall forward to the attorney	618
general the name of the person and the amount of the civil penalty	619
for the purpose of collecting that civil penalty. In addition to	620
the civil penalty assessed pursuant to this section, the person	621
also shall pay any fee assessed by the attorney general for	622
collection of the civil penalty.	623

(D) If a person fails to request a hearing within thirty days	624
after the date the appropriate specialty section, in accordance	625
with section 119.07 of the Revised Code, notifies the person of	626
the section's intent to act against the person under division (A)	627
of this section, the section, by majority vote of a quorum of the	628
section members, may take the action against a person without	629
holding an adjudication hearing.	630

Section 2.  That existing sections 4740.01, 4740.02, 4740.04,	631
4740.05, 4740.06, 4740.07, 4740.08, 4740.09, 4740.13, and 4740.16	632
and section 4740.10 of the Revised Code are hereby repealed.	633