Second Regular Session Sixty-ninth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 14-0595.02 Jennifer Berman x3286HOUSE BILL 14-1272 HOUSE SPONSORSHIP Labuda, Singer SENATE SPONSORSHIP (None), House Committees Senate Committees Business, Labor, Economic, & Workforce Development A BILL FOR AN ACT Concerning the certification of home inspectors, and, in connection therewith, authorizing the director of the division of real estate in the department of regulatory agencies to establish standards for certification, education, examination, suspension, revocation, reinstatement, and renewal of certification of home inspectors. Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://www.leg.state.co.us/billsummaries.) Under current law, home inspectors are not subject to regulation by any state agency. The bill requires home inspectors, on or before July 1, 2015, to be certified by the director of the division of real estate in the department of regulatory agencies (director). The director is required to establish standards and procedures for the certification, education, examination, denial of certification, suspension, revocation, reinstatement, and renewal of certification of home inspectors. The director is also required to establish application, certification, and recertification fees, as well as fees for any classes offered or examinations administered by the division of real estate to home inspection applicants or certificate holders. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. In Colorado Revised Statutes, add part 11 to article 61 of title 12 as follows: PART 11 HOME INSPECTORS 12-61-1101. Short title. This part 11 shall be known and may be cited as the "Home Inspector Licensure Act". 12-61-1102. Definitions. As used in this part 11, unless the context otherwise requires: (1) "Applicant" means a home inspector who applies for an initial or renewal certification pursuant to this part 11. (2) "Department" means the department of regulatory agencies created in section 24-1-122, C.R.S. (3) "Director" means the director of the division or his or her designee. (4) "Division" means the division of real estate in the department, authorized under section 12-61-106. (5) "Home inspection" means an independent inspection of a building to provide an objective visual examination of the physical structure and systems of the building, including an examination of the building's heating, ventilation, air conditioning, plumbing, electrical systems, roof, attic, walls, ceilings, floors, windows, doors, foundation, basement, and exterior. (6) "Home inspector" means an individual contracted to perform home inspections. Unless a home inspector is a licensed engineer, he or she shall not evaluate the structural integrity of the building when conducting an inspection. "Home inspector" does not include an individual contracted to perform a real estate appraisal of a building. 12-61-1103. Rule-making authority. The director may promulgate rules as necessary to carry out the director's duties under this part 11. 12-61-1104. Certification required - application - criminal history record check - revocation - fees - renewal - rules. (1) Effective July 1, 2015, it is unlawful for a person to engage in home inspection or present himself or herself as a home inspector without first having obtained certification from the director in accordance with this section. (2) The director shall establish by rule standards for the certification of home inspectors, including the development of: (a) Procedures for determining whether an applicant has met the standards that have been set; (b) Standards for any education or continuing education requirements that the director may impose; (c) Standards for any examinations that the director may administer in connection with education or continuing education requirements; (d) Standards for the withholding of certification, including the determination of any disqualifying factors such as age, education level, or criminal history; and (e) Standards for suspension, revocation, and reinstatement of certification. (3) The director shall establish and adjust by rule fees for: (a) A certification application; (b) Certification; (c) Recertification; (d) Any classes that the division offers to applicants or certificate holders; and (e) Any examinations that the division administers to applicants or certificate holders. (4) The director shall determine the form and manner of application for certification, including a requirement that an applicant submit to a fingerprint-based criminal history record check by submitting a complete set of fingerprints to the director. The director shall forward the fingerprints to the Colorado bureau of investigation for the purpose of conducting a state and national fingerprint-based criminal history record check utilizing records of the Colorado bureau of investigation and the federal bureau of investigation. The applicant shall pay the fee established by the Colorado bureau of investigation for conducting the fingerprint-based criminal history record check. Upon completion of the criminal history record check, the bureau shall forward the results to the director. The director may acquire a name-based criminal history record check for an applicant who has twice submitted to a fingerprint-based criminal history record check and whose fingerprints are unclassifiable. (5) If an individual who performed home inspections before the effective date of this section demonstrates to the satisfaction of the director that the individual has sufficient knowledge, skill, and experience to serve as a home inspector, the director may certify the individual without requiring the individual to undergo the education and examination that the director would otherwise require under subsection (2) of this section. (6) Upon certifying an applicant as a home inspector, the director shall issue the applicant a certificate in a form determined by the director. (7) A certificate holder shall renew his or her certification according to a schedule of renewal dates established by the director and using a renewal application form established by the director. SECTION 2. Act subject to petition - effective date. This act takes effect at 12:01 a.m. on the day following the expiration of the ninety-day period after final adjournment of the general assembly (August 6, 2014, if adjournment sine die is on May 7, 2014); except that, if a referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part will not take effect unless approved by the people at the general election to be held in November 2014 and, in such case, will take effect on the date of the official declaration of the vote thereon by the governor.