Legislative Update

Pennsylvania Association of Plumbing - Heating - Cooling Contractors
Dedicated to the promotion, advancement,education and training of the industry, for the protection of our environment and the health, safety, and comfort of society.

PA PHCC Statewide Legislative Proposed Licensure Act
The Pennsylvania Association of Plumbing-Heating-Cooling Contractors (PA-PHCC) with the support of its Local Chapters and Union Affiliated Contractors is advocating an act requiring the licensing of all plumbing contractors and journeymen plumbers to better protect the health, safety and
well being of the consumers and residents of the Commonwealth of Pennsylvania.

In this act, the PA-PHCC supports the creation of a State Board of plumbing contractors to administer comprehensive and uniform regulations with mandatory continuing education necessary to acquire a Master Plumber and Journeymen licenses. Also, the act would require full participation in accredited programs for the initial testing of all Apprentice applicants.

View Senate Bill 288 - Printers #1921 (.pdf)

Support the Plumbing Contractors Licensure Act - Senate Bill 288
(click here for the action letter)

Home Improvement Consumer Protection Act
By Bryan W. Shook, Esquire
Effective July 1st 2009:
Registration:
Any person who does; repair replacement, remodeling, demolition, removal, renovation, installation, alterations, conversions, modernization, improvements, rehabilitation or sandblasting. Construction, replacements, installation or improvements of driveways, swimming pools, pool houses, porches, garages, roofs, siding, insulation, solar energy systems, flooring, patios, fences, gazebos, sheds, cabanas, landscaping, painting, doors and windows and waterproofing. The installation of central heating and air conditioning or storm windows and awnings.

You don’t need to register if you perform less than $5,000 of home improvements within a taxable year.

New home builders and building suppliers that do not perform home improvements are exempt from registration.

Contractors will be able to apply to the Pennsylvania Bureau of Consumer Protection in the Office of the Attorney General via forms provided on the web site at http://www.attorneygeneral.gov.

Fee:
The registration fee is $50. renewable every two (2) years.

Registration Number:
Your assigned registration number must appear on all contracts, estimates, proposals and advertising after July 1st 2009.

The Contract:
This act requires the contractor to meet with the homeowner three (3) business days prior to commencing any work.
The contract needs to have the following included:
1. Phone number of the PA Bureau of Consumer Protection Office of the Attorney General.
2. Contractor’s registration number.
3. Specifications of work to be preformed.
4. Notice of the Right of Recession.
5. Start and completion dates
6. Complete full address of contractor. (P.O. Box will not be accepted)
7. Notice of insurance.
8. Change order notice.
If the contract does not meet these requirements, it will be considered invalid and unenforceable.

Liability Insurance:
Contractors must have personal injury insurance in an amount of not less than $50,000. plus an additional amount of $50,000. to cover property damage.

Down Payments or Deposits:
Of the total amount of the contract, only 1/3 can be requested as a down payment and/or deposit, and must be clearly stated in the contract.

Arbitration Clause:
The law will require that an arbitration clause be set forth in a specific manner and requires specific language.

Criminal Offense:
Home Improvement Fraud: This is a real offence that carries the very real risk of jail time. It can be graded, depending on the circumstance as either a misdemeanor or up to second degree felony.

Civil Penalties:
Any violation of the Act will also constitute a violation of the Pennsylvania Unfair Trade Practices & Consumer Protection Law. As a result, consumers have the potential to recover treble damages (or three times the amount of the consumer’s actual damages) plus attorney fees from a contractor found to be in violation of the Act.

Summary:
This means that regardless of the quality of the work performed, a contractor could find he is liable for violating the Act for failing to have a compliant agreement.

This article had been thoroughly researched is used by permission of Bryan W. Shook, Esquire. Bryan can be reached at BShook@dcdlaw.net. More information can be found by visiting http://www.pacontractorslicense.com.

Unfair Utility Competition
The PA-PHCC along with National PHCC supports legislation that would prevent utilities from engaging in anti-competitive services. Utility and their unregulated affiliates gain market share by offering services at reduced rates, through cross-subsidization and cost sharing. They also use their customer base and name recognition in steering business away from area plumbing contractors. These unjust practices create a huge competitive advantage in which smaller companies and contractors can not hope to compete in.

A-PHCC local chapter, Philadelphia Suburban-PHCC, has formed a Legal Defense Fund for the express purpose of challenging area utilities in similar schemes. Through their efforts, Philadelphia Suburban was successful in convincing a PUC Administration Law Judge to intervene to ensure that Aqua Pennsylvania (AP) was not inappropriately utilizing ratepayer funds to support its relationship with its unregulated affiliate Aqua Resources. Specifically, Philadelphia-PHCC argued that process and procedure utilized by AP for the installation and testing of backflow valves was creating an unleveled playing field with respect to the independent plumbing contractors to compete in the AP service territory. Settlement was subsequently awarded to Philadelphia Suburban-PHCC.