Item Coversheet
ITEM 4.
Community Development - Consent

AGENDA ITEM REPORT

DATE:October  5, 2021 
DEPARTMENT:Community Development
REQUESTER:David Loveland 
TITLE:Approve Plan to Phase Out Local Contractor Licensing Consistent with State Law 

I.MOTION REQUESTED
 A)  Approve plan to re-issue local contractor licenses this year, with notification to contractors that they will not be continued past Sept. 30, 2022;
B)  Approve phase-out of Lee County Construction Licensing Board at the appropriate time in 2022; and
C)  Authorize drafting the necessary amendments to Ordinance No. 00-26 and the related Administrative Code AC12-6, followed by the requisite committee review and return to the BOCC for final action via the public hearing process.
II.ITEM SUMMARY
 Establishes a plan for the phase out of local contractor licensing consistent with HB 735 by: following the normal local contractor renewal process for Fiscal Year 2021-2022 only (licenses expire Sept. 30, 2022); and authorizing staff to proceed with the necessary revisions to the Lee County Construction Licensing Board Ordinance (No.00-26) and the related Administrative Code AC12-6.
III.BACKGROUND AND IMPLICATIONS OF ACTION
 A)Board Action and Other History
  The Florida Legislature last session adopted HB 735 that pre-empted all occupational licensing to the state, with any local licensing expiring on July 1, 2023.  While the state issues a number of licenses (called certificates of competency) for major contracting activities, Lee County has for many years had a local contractor licensing process for a number of additional activities, allowing locally-certified contractors to conduct business and pull permits for those activities without having to get a state license. The BOCC is being asked to approve a staged approach to phasing out local licensing, to allow those affected contractors sufficient time to make alternative arrangements if licensing is required for certain building permits.  The local licensing renewal process takes place by October 1 each year, good until September 30 the following year. DCD staff would proceed with this year’s renewals while notifying the contractors that the local licenses will not be renewed again after September 30, 2022.  The Lee County Construction Licensing Board would also be phased out half way through the year, after their meeting in March, 2022.  Amendments to the Lee County Construction Licensing Board Ordinance (No. 00-26) and the related Administrative Code (AC12-6, Categories of Contractor Certificates of Competency Available through Application to the Construction Licensing Board) would also be necessary, so authorization is sought to draft the amendments and take them through the requisite committee reviews, before bringing them back for final BoCC consideration through the public hearing process.


State Certificates of Competency for Construction Contractors
As identified in Florida Statutes, the State issues certificates of competency (licenses) for a number of types of construction contractors, based on verification by the State’s Construction Industry Licensing Board of relevant experience and passing a test.  The list includes:
• General Contractor
• Building Contractor
• Residential Contractor
• Sheet Metal Contractor
• Roofing Contractor
• Class A, B and C Air-Conditioning Contractors
• Mechanical Contractor
• Commercial Pool/Spa Contractor
• Residential Pool/Spa Contractor
• Swimming Pool/Spa Servicing Contractor
• Plumbing Contractor
• Underground Utility and Excavation Contractor
• Solar Contractor
• Pollutant Storage System Contractor
• Specialty Contractor (defined by the Construction Industry Licensing Board)
• Alarm System Contractors I and II
• Electrical Contractor
• Septic Tank Contractor


County Contractor Certification
Lee County has long had an ordinance regulating contractor licensing within the unincorporated area, the Lee County Construction Licensing Board Ordinance (No. 00-26).  The intent was to recognize not only State-licensed contractors doing work in the County’s jurisdiction, but to also allow for local licensing (certification of competency) for contractors that don’t have one of the State licenses.  The ordinance created the 14-member Lee County Construction Licensing Board to determine whether to grant local licenses, in addition to hearing and deciding complaints against contractors (although complaints against State-licensed contractors have always been referred to the State for action).  There is a companion Administrative Code (AC12-6, Categories of Contractor Certificates of Competency Available through Application to the Construction Licensing Board), which identifies the additional contractor activities that require Lee County certification:
Aluminum Without Concrete
Aluminum Non-Structural
Cabinet and Millwork
• Carpentry
• Concrete Coatings
Concrete Forming and Placing
• Concrete Placing and Finishing (Flatwork)
Demolition
• Excavation
Fence Erection
• Finish Carpentry
• Garage Doors
Glass and Glazing
• Hurricane Shutters

• Insulation
• Irrigation Sprinkler
• Journeyman Electrician or Plumber
• Masonry
Painting
• Paver Block
• Paving
Plastering/Stucco
• Signs (Limited)
• Signs (Restricted)

• Tile and Marble


The State bill indicated that local governments may not require a person to obtain a license for a job scope which does not substantially correspond to the categories that the State issues licenses for.  It went further in specifically stating local governments cannot require a license for the following activities:
• Painting
• Flooring
• Cabinetry
• Interior Remodeling
• Driveway or Tennis Court Installation
• Handyman Services
• Decorative Stone, Tile, Marble, Granite or Terrazo Installation
• Plastering
• Stuccoing
• Caulking
• Canvas Awning and Ornamental Iron Installation


That means the items the County issues local licenses for highlighted with italics are specifically precluded from continued County licensing.  In addition, the items highlighted in bold require a licensed contractor to be able to pull a permit for that activity under Lee County codes.  Contractors in those fields will need to focus on getting a State permit or working under a contractor with a State permit.  The non-bolded items will be allowed to be done by non-licensed contractors.
 B)Policy Issues
  
 C)BoCC Goals
  
 D)Analysis
  
 E)Options
  
IV.FINANCIAL INFORMATION   
 A)Current year dollar amount of item:
No funding required.
 B)Is this item approved in the current budget?N/A
 C)Is this a revenue or expense item?N/A
 D)Is this Discretionary or Mandatory?N/A   
 E)Will this item impact future budgets?
If yes, please include reasons in III(D) above.
No
 F)Fund:
Program:
Project:
Account Strings:  
 G) Fund Type?N/A   
 H)Comments:
 
V.RECOMMENDATION
 Approve  
VI.TIMING/IMPLEMENTATION
 
VII.FOLLOW UP
 
REVIEWERS:
DepartmentReviewerActionDate
Community DevelopmentLoveland, David Approved9/22/2021 - 9:30 AM
Budget ServicesHenkel, Anne Approved9/23/2021 - 3:47 PM
Budget ServicesWinton, PeterApproved9/24/2021 - 8:38 AM
County AttorneyAdams, JosephApproved9/24/2021 - 10:02 AM
County ManagerSalyer, Glen Approved9/24/2021 - 2:22 PM