1.2 relating to labor and industry; modifying construction codes and licensing;
1.3exempting certain municipal building ordinances; requiring rulemaking;
1.4amending Minnesota Statutes 2008, sections 326B.082, subdivision 12;
1.5326B.084; 326B.121, by adding a subdivision; 326B.43, subdivision 1, by
1.6adding a subdivision; 326B.435, subdivisions 2, 6; 326B.475, subdivisions 1, 6;
1.7326B.52; 326B.53; 326B.55; 326B.57; 326B.58; 326B.59; 326B.801; 326B.84;
1.8326B.921, subdivision 1; 326B.974; proposing coding for new law in Minnesota
1.9Statutes, chapter 326B; repealing Minnesota Statutes 2008, section 326B.43,
1.10subdivision 5.
1.11BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.12    Section 1. Minnesota Statutes 2008, section 326B.082, subdivision 12, is amended to
1.13read:
1.14    Subd. 12. Issuance of licensing orders; hearings related to licensing orders.
1.15    (a) If the commissioner determines that a permit, license, registration, or certificate
1.16should be conditioned, limited, suspended, revoked, or denied under subdivision 11,
1.17or that the permit holder, licensee, registrant, or certificate holder should be censured
1.18under subdivision 11, then the commissioner shall issue to the person an order denying,
1.19conditioning, limiting, suspending, or revoking the person's permit, license, registration,
1.20or certificate, or censuring the permit holder, licensee, registrant, or certificate holder.
1.21    (b) Any order issued under paragraph (a) may include an assessment of monetary
1.22penalties and may require the person to cease and desist from committing the violation
1.23or committing the act, conduct, or practice set out in subdivision 11, paragraph (b). The
1.24monetary penalty may be up to $10,000 for each violation or act, conduct, or practice
1.25committed by the person. The procedures in section 326B.083 must be followed when
1.26issuing orders under paragraph (a).
2.1    (c) The permit holder, licensee, registrant, certificate holder, or applicant to whom
2.2the commissioner issues an order under paragraph (a) shall have 30 days after service
2.3issuance of the order to request a hearing. The request for hearing must be in writing and
2.4must be served on or faxed to the commissioner at the address or fax number specified
2.5in the order by the 30th day after service issuance of the order. If the person does not
2.6request a hearing or if the person's written request for hearing is not served on or faxed
2.7to the commissioner by the 30th day after service issuance of the order, the order shall
2.8become a final order of the commissioner and will not be subject to review by any court or
2.9agency. The date on which a request for hearing is served by mail shall be the postmark
2.10date on the envelope in which the request for hearing is mailed. If the person submits to
2.11the commissioner a timely request for hearing, the order is stayed unless the commissioner
2.12summarily suspends the license, registration, certificate, or permit under subdivision 13,
2.13and a contested case hearing shall be held in accordance with chapter 14.

2.14    Sec. 2. Minnesota Statutes 2008, section 326B.084, is amended to read:
2.15326B.084 FALSE INFORMATION.
2.16    Subdivision 1. False information. A person subject to any of the requirements in
2.17the applicable law may not make a false material statement, representation, or certification
2.18in; omit material information from; or alter, conceal, or fail to file or maintain a notice,
2.19application, record, report, plan, or other document required under the applicable law.
2.20    Subd. 2. Unlicensed advertising. No person shall offer to perform services for
2.21which a license issued by the commissioner is required unless the person holds an active
2.22license to perform those services. Nothing herein shall prohibit an offer to sell, repair, or
2.23perform services provided those services are performed by a licensed person.

2.24    Sec. 3. Minnesota Statutes 2008, section 326B.121, is amended by adding a
2.25subdivision to read:
2.26    Subd. 1a. Municipal ordinance; completion of exterior work. A municipality
2.27may, by ordinance, adopt an official control that requires exterior work authorized by
2.28a building permit issued in accordance with the State Building Code to be completed
2.29within a specified number of days following issuance of the building permit. The local
2.30regulation may not require completion of exterior work earlier than 180 days following
2.31the issuance of the permit.

2.32    Sec. 4. Minnesota Statutes 2008, section 326B.43, subdivision 1, is amended to read:
3.1    Subdivision 1. Rules. The Plumbing Board may, by rule, prescribe minimum
3.2standards which shall be uniform and which shall be effective for all new plumbing
3.3installations performed anywhere in the state, including additions, extensions, alterations,
3.4and replacements connected with any water or sewage disposal system owned or operated
3.5by or for any municipality, institution, factory, office building, hotel, apartment building,
3.6or any other place of business regardless of location or the population of the city or town in
3.7which the installation is to be located. Notwithstanding the provisions of Minnesota Rules,
3.8part 4715.3130, as they apply to review of plans and specifications, the commissioner may
3.9allow plumbing construction, alteration, or extension to proceed without approval of the
3.10plans or specifications by the commissioner.
3.11    Except for powers granted to the Plumbing Board, the commissioner of labor and
3.12industry shall administer the provisions of sections 326B.42 to 326B.49 and for such
3.13purposes may employ plumbing inspectors and other assistants.

3.14    Sec. 5. Minnesota Statutes 2008, section 326B.43, is amended by adding a subdivision
3.15to read:
3.16    Subd. 1a. Licenses; experience. All state plumbing inspectors and plumbing
3.17inspectors contracted by the department shall hold licenses as master or journeyman
3.18plumbers and have five years of documented practical plumbing experience under this
3.19chapter.

3.20    Sec. 6. Minnesota Statutes 2008, section 326B.435, subdivision 2, is amended to read:
3.21    Subd. 2. Powers; duties; administrative support. (a) The board shall have the
3.22power to:
3.23    (1) elect its chair, vice-chair, and secretary;
3.24    (2) adopt bylaws that specify the duties of its officers, the meeting dates of the board,
3.25and containing such other provisions as may be useful and necessary for the efficient
3.26conduct of the business of the board;
3.27    (3) adopt the plumbing code that must be followed in this state and any plumbing
3.28code amendments thereto. The Plumbing Code shall include the minimum standards
3.29described in sections 326B.43, subdivision 1, and 326B.52, subdivision 1. The board
3.30shall adopt the plumbing code and any amendments thereto pursuant to chapter 14 and
3.31as provided in subdivision 6, paragraphs (b), (c), and (d);
3.32    (4) review requests for final interpretations and issue final interpretations as provided
3.33in section 326B.127, subdivision 5;
4.1    (5) except for rules regulating continuing education, adopt rules that regulate the
4.2licensure, certification, or registration of plumbing contractors, journeymen, apprentices,
4.3master plumbers, restricted master plumbers, and restricted journeymen, water
4.4conditioning contractors, and water conditioning installers, and other persons engaged
4.5in the design, installation, and alteration of plumbing systems or engaged in or working
4.6at the business of water conditioning installation or service, except for those individuals
4.7licensed under section 326.02, subdivisions 2 and 3. The board shall adopt these rules
4.8pursuant to chapter 14 and as provided in subdivision 6, paragraphs (e) and (f);
4.9    (6) advise the commissioner regarding educational requirements for plumbing
4.10inspectors;
4.11(6) adopt rules that regulate continuing education for individuals licensed as master
4.12plumbers, journeyman plumbers, restricted master plumbers, restricted journeyman
4.13plumbers, water conditioning contractors, and water conditioning installers. The board
4.14shall adopt these rules pursuant to chapter 14 and as provided in subdivision 6, paragraphs
4.15(e) and (f);
4.16    (7) refer complaints or other communications to the commissioner, whether oral or
4.17written, as provided in subdivision 8, that allege or imply a violation of a statute, rule, or
4.18order that the commissioner has the authority to enforce pertaining to code compliance,
4.19licensure, or an offering to perform or performance of unlicensed plumbing services;
4.20    (8) approve per diem and expenses deemed necessary for its members as provided in
4.21subdivision 3;
4.22    (9) approve license reciprocity agreements;
4.23    (10) select from its members individuals to serve on any other state advisory council,
4.24board, or committee; and
4.25    (11) recommend the fees for licenses and certifications.
4.26Except for the powers granted to the Plumbing Board, the Board of Electricity, and the
4.27Board of High Pressure Piping Systems, the commissioner of labor and industry shall
4.28administer and enforce the provisions of this chapter and any rules promulgated pursuant
4.29thereto.
4.30    (b) The board shall comply with section 15.0597, subdivisions 2 and 4.
4.31    (c) The commissioner shall coordinate the board's rulemaking and recommendations
4.32with the recommendations and rulemaking conducted by the other boards created pursuant
4.33to this chapter. The commissioner shall provide staff support to the board. The support
4.34includes professional, legal, technical, and clerical staff necessary to perform rulemaking
4.35and other duties assigned to the board. The commissioner of labor and industry shall
4.36supply necessary office space and supplies to assist the board in its duties.

5.1    Sec. 7. Minnesota Statutes 2008, section 326B.435, subdivision 6, is amended to read:
5.2    Subd. 6. Officers, quorum, voting. (a) The board shall elect annually from its
5.3members a chair, vice-chair, and secretary. A quorum of the board shall consist of a
5.4majority of members of the board qualified to vote on the matter in question. All questions
5.5concerning the manner in which a meeting is conducted or called that is not covered
5.6by statute shall be determined by Robert's Rules of Order (revised) unless otherwise
5.7specified by the bylaws.
5.8    (b) Except as provided in paragraph (c), each plumbing code amendment considered
5.9by the board that receives an affirmative two-thirds or more majority vote of all of the
5.10voting members of the board shall be included in the next plumbing code rulemaking
5.11proceeding initiated by the board. If a plumbing code amendment considered, or
5.12reconsidered, by the board receives less than a two-thirds majority vote of all the voting
5.13members of the board, the plumbing code amendment shall not be included in the next
5.14plumbing code rulemaking proceeding initiated by the board.
5.15    (c) If the plumbing code amendment considered by the board is to replace the
5.16Minnesota Plumbing Code with a model plumbing code, then the amendment may only be
5.17included in the next plumbing code rulemaking proceeding if it receives an affirmative
5.18two-thirds or more majority vote of all the voting members of the board.
5.19    (d) The board may reconsider plumbing code amendments during an active
5.20plumbing code rulemaking proceeding in which the amendment previously failed to
5.21receive a two-thirds majority vote or more of all the voting members of the board only if
5.22new or updated information that affects the plumbing code amendment is presented to the
5.23board. The board may also reconsider failed plumbing code amendments in subsequent
5.24plumbing code rulemaking proceedings.
5.25    (e) Each proposed rule and rule amendment considered by the board pursuant to the
5.26rulemaking authority specified in subdivision 2, paragraph (a), clause (5) or clause (6),
5.27that receives an affirmative majority vote of all the voting members of the board shall be
5.28included in the next rulemaking proceeding initiated by the board. If a proposed rule or
5.29rule amendment considered, or reconsidered, by the board receives less than an affirmative
5.30majority vote of all the voting members of the board, the proposed rule or rule amendment
5.31shall not be included in the next rulemaking proceeding initiated by the board.
5.32    (f) The board may reconsider proposed rules or rule amendments during an
5.33active rulemaking proceeding in which the amendment previously failed to receive an
5.34affirmative majority vote of all the voting members of the board only if new or updated
5.35information that affects the proposed rule or rule amendment is presented to the board.
6.1The board may also reconsider failed proposed rules or rule amendments in subsequent
6.2rulemaking proceedings.

6.3    Sec. 8. [326B.438] MEDICAL GAS SYSTEMS.
6.4    Subdivision 1. Definitions. (a) For the purposes of this section, the terms defined in
6.5this subdivision have the meanings given them.
6.6    (b) "Medical gas" means medical gas as defined under the National Fire Protection
6.7Association NFPA 99C Standard on Gas and Vacuum Systems.
6.8    (c) "Medical gas system" means a level 1, 2, or 3 piped medical gas and vacuum
6.9system as defined under the National Fire Protection Association NFPA 99C Standard on
6.10Gas and Vacuum Systems.
6.11    Subd. 2. License and certification required. No person shall engage in the
6.12installation, maintenance, or repair of a medical gas system unless the person possesses
6.13a current Minnesota master or journeyman plumber's license and is certified by the
6.14commissioner under rules adopted by the Minnesota Plumbing Board. The certification
6.15must be renewed annually for as long as the certificate holder engages in the installation,
6.16maintenance, or repair of medical gas and vacuum systems. Failure to renew a medical
6.17gas and vacuum system certificate within 12 months after the expiration date will result in
6.18permanent forfeiture of that medical gas and vacuum certificate.
6.19    Subd. 3. Exemptions. (a) A person who on the effective date of this section holds
6.20a valid certificate authorized by the American Society of Sanitary Engineering (ASSE)
6.21in accordance with standards recommended by the National Fire Protection Association
6.22under NFPA 99C is exempt from the requirements of subdivision 2. This exemption
6.23applies only if the person maintains a valid certification authorized by the ASSE.
6.24    (b) A person who on the effective date of this section possesses a current Minnesota
6.25master or journeyman plumber's license and a valid certificate authorized by the ASSE
6.26in accordance with standards recommended by the National Fire Protection Association
6.27under NFPA 99C is exempt from the requirements of subdivision 2 and may install,
6.28maintain, and repair a medical gas system. This exemption applies only if a person
6.29maintains a valid Minnesota master or journeyman plumber's license and valid certification
6.30authorized by the ASSE.
6.31    Subd. 4. Fees. The fee for a medical gas certificate issued by the commissioner
6.32according to subdivision 2 is $30 per year.
6.33EFFECTIVE DATE.This section is effective August 1, 2009, except that the
6.34requirement under subdivision 2 that a master or journeyman plumber must be certified by
7.1the Minnesota Plumbing Board and the fee in subdivision 4 are not effective until 180
7.2days after the board adopts rules.

7.3    Sec. 9. Minnesota Statutes 2008, section 326B.475, subdivision 1, is amended to read:
7.4    Subdivision 1. Licensure. (a) The commissioner of labor and industry shall grant a
7.5restricted journeyman or restricted master plumber license to an individual if:
7.6    (1) the individual completes an application with information required by the
7.7commissioner of labor and industry;
7.8    (2) the completed application is accompanied by a fee of $30;
7.9    (3) the commissioner of labor and industry receives the completed application and
7.10fee before October 1, 2008 between October 1, 2009, and October 15, 2009;
7.11    (4) the completed application for a restricted journeyman plumber license
7.12demonstrates that, prior to the application, the applicant has had at least two years of
7.13practical plumbing experience in the plumbing trade; and
7.14    (5) the completed application for a restricted master plumber license demonstrates
7.15that, prior to the application, the applicant has had:
7.16(i) at least four years of practical plumbing experience in the plumbing trade; or
7.17(ii) at least two years of practical plumbing experience as a plumbing contractor in
7.18the plumbing trade.
7.19(b) Until October 1, 2008 For applications received between October 1, 2009, and
7.20October 15, 2009, the commissioner may waive penalties for an applicant who failed to
7.21post a bond after June 30, 1999, under section 326B.46, subdivision 2, if the commissioner
7.22finds that the penalty would cause undue hardship or the waiver is otherwise warranted
7.23under the circumstances.

7.24    Sec. 10. Minnesota Statutes 2008, section 326B.475, subdivision 6, is amended to read:
7.25    Subd. 6. Bond; insurance. A restricted master or a restricted journeyman plumber
7.26licensee is subject to the bond and insurance requirements of section 326B.46, subdivision
7.272, unless the exemption provided by section 326B.46, subdivision 3, applies.

7.28    Sec. 11. Minnesota Statutes 2008, section 326B.52, is amended to read:
7.29326B.52 WATER CONDITIONING CONTRACTOR AND INSTALLER
7.30STANDARDS.
7.31    Subdivision 1. Rulemaking by commissioner Plumbing Board. The commissioner
7.32Plumbing Board shall, by rule, prescribe minimum standards which shall be uniform, and
7.33which standards shall thereafter be effective for all new water conditioning servicing and
8.1water conditioning installations performed anywhere in the state, including additions,
8.2extensions, alterations, and replacements connected with any water or sewage disposal
8.3system owned or operated by or for any municipality, institution, factory, office building,
8.4hotel, apartment building or any other place of business, regardless of location or the
8.5population of the city, county or town in which located.
8.6    Subd. 2. Inspectors. Except for powers granted to the Plumbing Board, the
8.7commissioner shall administer the provisions of sections 326B.50 to 326B.59 and for such
8.8purposes may employ water conditioning inspectors and other assistants.

8.9    Sec. 12. Minnesota Statutes 2008, section 326B.53, is amended to read:
8.10326B.53 LOCAL REGULATIONS.
8.11    Any city, county, or town with a population of 5,000 or more according to the last
8.12federal census may, by ordinance, adopt local regulations providing for water conditioning
8.13permits, bonds, approval of plans, and inspections of water conditioning installations and
8.14servicing, which regulations shall not be in conflict with the water conditioning standards
8.15rules on the same subject prescribed by the commissioner. No such city, county, or town
8.16shall prohibit water conditioning contractors or installers licensed by the commissioner
8.17from engaging in or working at the business.

8.18    Sec. 13. Minnesota Statutes 2008, section 326B.55, is amended to read:
8.19326B.55 LICENSING IN CERTAIN CITIES; QUALIFICATIONS; RULES.
8.20    Subdivision 1. Licensing in certain cities. In any city or town having a population
8.21of 5,000 or more according to the last federal census, No person shall engage in or work at
8.22the business of water conditioning installation or servicing after January 1, 1970, anywhere
8.23in the state unless (1) at all times an individual licensed as a water conditioning contractor
8.24by the commissioner shall be responsible for the proper water conditioning installation and
8.25servicing work of such person, and (2) all installations, other than exchanges of portable
8.26equipment, are performed by a licensed water conditioning contractor or licensed water
8.27conditioning installer. Any individual not so licensed may perform water conditioning
8.28work that complies with the minimum standard standards prescribed by the commissioner
8.29Plumbing Board on premises or that part of premises owned and occupied by the worker
8.30as a residence, unless otherwise prohibited by a local ordinance.
8.31    Subd. 2. Qualifications for licensing. A water conditioning contractor license shall
8.32be issued only to an individual who has demonstrated skill in planning, superintending,
8.33and servicing water conditioning installations, and has successfully passed the examination
8.34for water conditioning contractors. A water conditioning installer license shall only be
9.1issued to an individual other than a water conditioning contractor who has demonstrated
9.2practical knowledge of water conditioning installation., and has successfully passed
9.3the examination for water conditioning installers. A water conditioning installer must
9.4successfully pass the examination for water conditioning contractors before being licensed
9.5as a water conditioning contractor.
9.6    Subd. 3. Rules Commissioner. The commissioner shall:
9.7    (1) prescribe rules, not inconsistent herewith, for the licensing of water conditioning
9.8contractors and installers;
9.9    (2) license water conditioning contractors and installers; and
9.10    (3) prescribe rules not inconsistent herewith for the examining of water conditioning
9.11contractors and installers prior to first granting a license as a water conditioning contractor
9.12or water conditioning installer; and
9.13    (4) (2) collect an examination fee from each examinee for a license as a water
9.14conditioning contractor and an examination fee from each examinee for a license as
9.15a water conditioning installer in an amount set forth in section 326B.58. A water
9.16conditioning installer must successfully pass the examination for water conditioning
9.17contractors before being licensed as a water conditioning contractor.

9.18    Sec. 14. Minnesota Statutes 2008, section 326B.57, is amended to read:
9.19326B.57 RULES.
9.20    In order to provide effective protection of the public health, the commissioner
9.21Plumbing Board may by rule prescribe limitations on the nature of alteration to, extension
9.22of, or connection with, the said water distribution system initially established by a
9.23licensed plumber which may be performed by a person licensed hereunder, and. The
9.24commissioner may by rule in appropriate instances require filing of plans, blueprints and
9.25specifications prior to commencement of installation. The installation of water heaters
9.26shall not constitute water conditioning installation and consequently such work shall be
9.27accomplished in accordance with the provisions of sections 326B.42 to 326B.49.

9.28    Sec. 15. Minnesota Statutes 2008, section 326B.58, is amended to read:
9.29326B.58 FEES.
9.30    Examination fees for both water conditioning contractors and water conditioning
9.31installers shall be $50 for each examination. Each water conditioning contractor and
9.32installer license shall expire on December 31 of the year for which it was issued. The
9.33license fee for each initial water conditioning contractor's license shall be $70, except that
9.34the license fee shall be $35 if the application is submitted during the last three months
10.1of the calendar year. The license fee for each renewal water conditioning contractor's
10.2license shall be $70. The license fee for each initial water conditioning installer license
10.3shall be $35, except that the license fee shall be $17.50 if the application is submitted
10.4during the last three months of the calendar year. The license fee for each renewal water
10.5conditioning installer license shall be $35. The commissioner Plumbing Board may by
10.6rule prescribe for the expiration and renewal of licenses. Any licensee who does not renew
10.7a license within two years after the license expires is no longer eligible for renewal. Such
10.8an individual must retake and pass the examination before a new license will be issued.
10.9A water conditioning contractor or water conditioning installer who submits a license
10.10renewal application after the time specified in rule but within two years after the license
10.11expired must pay all past due renewal fees plus a late fee of $25.

10.12    Sec. 16. Minnesota Statutes 2008, section 326B.59, is amended to read:
10.13326B.59 STATE LICENSE; EXAMINATION; APPLICATION; EXEMPTION.
10.14    The provisions of sections 326B.50 to 326B.59 326B.58 that require licenses to
10.15engage in the work or business of water conditioning installation, and the provisions that
10.16provide for the examination of applicants for such licenses, shall only apply to work
10.17accomplished in cities or towns having populations of 5,000 or more according to the last
10.18federal census, and shall do not apply to master plumbers and journeymen plumbers
10.19licensed under the provisions of sections 326B.42 to 326B.49. In all areas of the state,
10.20except in cities or towns with a population of more than 5,000 according to the last federal
10.21census, the provisions of sections 326B.50 to 326B.58 that require licenses to engage in
10.22the work or business of water conditioning installation, and the provisions that provide for
10.23the examination of applicants for such licenses, do not apply to restricted master plumbers
10.24and restricted journeyman plumbers licensed under the provisions of section 326B.475.

10.25    Sec. 17. Minnesota Statutes 2008, section 326B.801, is amended to read:
10.26326B.801 SCOPE.
10.27    Except as otherwise provided by law, the provisions of sections 326B.801 to
10.28326B.825 326B.885 apply to residential contractors, residential remodelers, residential
10.29roofers, and manufactured home installers.

10.30    Sec. 18. Minnesota Statutes 2008, section 326B.84, is amended to read:
10.31326B.84 GROUNDS FOR LICENSE SANCTIONS.
11.1    In addition to the grounds set forth in section 326B.082, subdivision 11, the
11.2commissioner may deny, suspend, limit, place conditions on, or revoke a license or
11.3certificate of exemption, or may censure the person holding the license or certificate of
11.4exemption, if the applicant, licensee, certificate of exemption holder, qualifying person,
11.5owner, officer, or affiliate of an applicant, licensee, or certificate of exemption holder, or
11.6other agent owner:
11.7    (1) has filed an application for licensure or a certificate of exemption which is
11.8incomplete in any material respect or contains any statement which, in light of the
11.9circumstances under which it is made, is false or misleading with respect to any material
11.10fact;
11.11    (2) has engaged in a fraudulent, deceptive, or dishonest practice;
11.12    (3) is permanently or temporarily enjoined by any court of competent jurisdiction
11.13from engaging in or continuing any conduct or practice involving any aspect of the
11.14business;
11.15    (4) has failed to reasonably supervise employees, agents, subcontractors, or
11.16salespersons, or has performed negligently or in breach of contract, so as to cause injury
11.17or harm to the public;
11.18    (5) has violated or failed to comply with any provision of sections 326B.802 to
11.19326B.885 , any rule or order under sections 326B.802 to 326B.885, or any other law, rule,
11.20or order related to the duties and responsibilities entrusted to the commissioner;
11.21    (6) has been convicted of a violation of the State Building Code or has refused to
11.22comply with a notice of violation or stop order issued by a certified building official, or in
11.23local jurisdictions that have not adopted the State Building Code has refused to correct a
11.24violation of the State Building Code when the violation has been documented or a notice
11.25of violation or stop order issued by a certified building official has been received;
11.26    (7) has failed to use the proceeds of any payment made to the licensee for the
11.27construction of, or any improvement to, residential real estate, as defined in section
11.28326B.802, subdivision 13 , for the payment of labor, skill, material, and machinery
11.29contributed to the construction or improvement, knowing that the cost of any labor
11.30performed, or skill, material, or machinery furnished for the improvement remains unpaid;
11.31    (8) has not furnished to the person making payment either a valid lien waiver as to
11.32any unpaid labor performed, or skill, material, or machinery furnished for an improvement,
11.33or a payment bond in the basic amount of the contract price for the improvement
11.34conditioned for the prompt payment to any person or persons entitled to payment;
11.35    (9) has engaged in an act or practice that results in compensation to an aggrieved
11.36owner or lessee from the contractor recovery fund pursuant to section 326B.89, unless:
12.1    (i) the applicant or licensee has repaid the fund twice the amount paid from the fund,
12.2plus interest at the rate of 12 percent per year; and
12.3    (ii) the applicant or licensee has obtained a surety bond in the amount of at least
12.4$40,000, issued by an insurer authorized to transact business in this state;
12.5    (10) has engaged in bad faith, unreasonable delays, or frivolous claims in defense
12.6of a civil lawsuit or arbitration arising out of their activities as a licensee or certificate
12.7of exemption holder under this chapter;
12.8    (11) has had a judgment entered against them for failure to make payments to
12.9employees, subcontractors, or suppliers, that the licensee has failed to satisfy and all
12.10appeals of the judgment have been exhausted or the period for appeal has expired;
12.11    (12) if unlicensed, has obtained a building permit by the fraudulent use of a fictitious
12.12license number or the license number of another, or, if licensed, has knowingly allowed
12.13an unlicensed person to use the licensee's license number for the purpose of fraudulently
12.14obtaining a building permit; or has applied for or obtained a building permit for an
12.15unlicensed person;
12.16    (13) has made use of a forged mechanic's lien waiver under chapter 514;
12.17    (14) has provided false, misleading, or incomplete information to the commissioner
12.18or has refused to allow a reasonable inspection of records or premises;
12.19    (15) has engaged in an act or practice whether or not the act or practice directly
12.20involves the business for which the person is licensed, that demonstrates that the applicant
12.21or licensee is untrustworthy, financially irresponsible, or otherwise incompetent or
12.22unqualified to act under the license granted by the commissioner; or
12.23    (16) has failed to comply with requests for information, documents, or other requests
12.24from the department within the time specified in the request or, if no time is specified,
12.25within 30 days of the mailing of the request by the department.

12.26    Sec. 19. Minnesota Statutes 2008, section 326B.921, subdivision 1, is amended to read:
12.27    Subdivision 1. License required; rules; time credit. No individual shall engage in
12.28or work at the business of a contracting high pressure pipefitter unless issued a contracting
12.29high pressure pipefitter license to do so by the department under rules adopted by the
12.30board. No license shall be required for repairs on existing installations. No individual shall
12.31engage in or work at the business of journeyman high pressure pipefitter unless issued a
12.32journeyman high pressure pipefitter competency license to do so by the department under
12.33rules adopted by the board. An individual possessing a contracting high pressure pipefitter
12.34competency license may also work as a journeyman high pressure pipefitter.
13.1    No person shall construct or install high pressure piping, nor install high pressure
13.2piping in connection with the dealing in and selling of high pressure pipe material and
13.3supplies, unless, at all times, an individual possessing a contracting high pressure pipefitter
13.4competency license or a journeyman high pressure pipefitter competency license is
13.5responsible for ensuring that the high pressure pipefitting work is in conformity with
13.6Minnesota Statutes and Minnesota Rules.
13.7    The board shall prescribe rules, not inconsistent herewith, for the examination
13.8and competency licensing of contracting high pressure pipefitters and journeyman high
13.9pressure pipefitters and for issuance of permits by the department and municipalities
13.10for the installation of high pressure piping.
13.11    An employee performing the duties of inspector for the department in regulating
13.12pipefitting shall not receive time credit for the inspection duties when making an
13.13application for a license required by this section.

13.14    Sec. 20. [326B.961] TRIENNIAL AUDITS AND TEAM LEADER
13.15CERTIFICATIONS.
13.16    Subdivision 1. Triennial audits; assignment; qualifications. The chief boiler
13.17inspector shall assign a qualified ASME designee or team leader to perform triennial
13.18audits on ASME Code and national board stamp holders at the request of the stamp holder.
13.19The department shall maintain qualifications for ASME designees and national board team
13.20leaders in accordance with ASME and national board requirements.
13.21    Subd. 2. Fees. The fee for performing ASME and national board triennial audits
13.22shall be the hourly rate pursuant to section 326B.986, subdivision 4.

13.23    Sec. 21. Minnesota Statutes 2008, section 326B.974, is amended to read:
13.24326B.974 SCHOOL ENGINEER OPERATIONAL REQUIREMENTS.
13.25    Subdivision 1. License required. Any custodial engineer employed by a school
13.26whose duties include the operation of a boiler shall be licensed pursuant to section
13.27326B.978 , to operate the particular class of boiler used in the school.
13.28    Subd. 2. School district training. A school district shall allow to occur annually
13.29at least eight hours of training related to boiler operation to a licensee described in
13.30subdivision 1. The training must be administered by a licensed first or chief class engineer
13.31during the licensee's normal working hours. Two hours of the required training shall occur
13.32in the boiler room and must include demonstration of tasks associated with operating
13.33boilers. The tasks associated with operating boilers acceptable for the training must be
13.34from the list of approved tasks supplied by the chief boiler inspector. The administrator of
14.1the training shall receive training credit for time spent administering training pursuant
14.2to this subdivision.

14.3    Sec. 22. CERTAIN MUNICIPAL BUILDING ORDINANCES NOT
14.4PREEMPTED BY STATE BUILDING CODE.
14.5    Subdivision 1. Continued enforcement of municipal ordinances. If a municipality
14.6has adopted a housing, property maintenance, or rental licensing ordinance that regulates
14.7components or systems of a structure that are in addition to but do not conflict with
14.8provisions of the State Building Code, then the municipality may continue to enforce the
14.9ordinance until August 1, 2010, if the ordinance was effective before May 15, 2008.
14.10    Subd. 2. Advisory committee to review municipal ordinances; report to
14.11legislature. By August 1, 2009, the Department of Labor and Industry shall establish an
14.12advisory committee of interested parties to review the municipal ordinances exempted
14.13by subdivision 1 from preemption by the State Building Code. By February 1, 2010, the
14.14Department of Labor and Industry shall provide a report to the chairs and ranking minority
14.15members of the legislative committees that have jurisdiction over construction codes that
14.16shall address statutory or rule amendments necessary to address thresholds of safety
14.17criteria applied to existing buildings through local ordinances.
14.18EFFECTIVE DATE.This section is effective the day following final enactment
14.19and expires August 1, 2010.

14.20    Sec. 23. TIME LIMIT.
14.21Notwithstanding the lapse of the time limit to adopt rules under Minnesota Statutes,
14.22section 14.125, the commissioner of labor and industry's authority to adopt rules under
14.23Minnesota Statutes, section 326B.978, subdivisions 4 and 18, is extended by 18 months
14.24following the effective date of this section.

14.25    Sec. 24. RULE CHANGE.
14.26The Plumbing Board shall amend Minnesota Rules, part 4715.0320, subpart 1, so
14.27that it conforms with Minnesota Statutes, sections 326B.43 and 326B.52, as amended
14.28by this act. The Plumbing Board may use the good cause exemption under Minnesota
14.29Statutes, section 14.388, subdivision 1, clause (3), in adopting the amendment, and
14.30Minnesota Statutes, section 14.386, does not apply.

14.31    Sec. 25. REPEALER.
14.32Minnesota Statutes 2008, section 326B.43, subdivision 5, is repealed.