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  Senate Engrossed House Bill
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  State of Arizona
  House of Representatives
  Forty-fifth Legislature
  Second Regular Session
  2002
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        CHAPTER 105
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      HOUSE BILL 2166
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AN ACT

AMENDING SECTIONS 32-101, 32-110, 32-111, 32-121, 32-122, 32-122.02, 32-126 AND 32-127, ARIZONA REVISED STATUTES; MAKING AN APPROPRIATION; RELATING TO ARCHITECTS, ASSAYERS, ENGINEERS, GEOLOGISTS, HOME INSPECTORS, LANDSCAPE ARCHITECTS AND SURVEYORS.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Section 32-101, Arizona Revised Statutes, is amended to read:

32-101. Purpose; definitions

A. The purpose of this chapter is to provide for the safety, health and welfare of the public through the promulgation and enforcement of standards of qualification for those individuals registered or certified and seeking registration or certification pursuant to this chapter.

B. In this chapter, unless the context otherwise requires:

1. "Advertising" includes business cards, signs or letterhead provided by a person to the public.

2. "Architect" means a person who, by reason of knowledge of the mathematical and physical sciences and the principles of architecture and architectural engineering acquired by professional education and practical experience, is qualified to engage in the practice of architecture as attested by registration as an architect.

3. "Architect-in-training" means a candidate for registration as a professional architect who is a graduate of a school approved by the board or who has five years or more of education or experience, or both, in architectural work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the architect-in-training examination.

4. "Architectural practice" means any professional service or creative work requiring architectural education, training and experience, and the application of the mathematical and physical sciences and the principles of architecture and architectural engineering to such professional services or creative work as consultation, evaluation, design and review of construction for conformance with contract documents and design, in connection with any building, planning or site development. A person shall be deemed to practice or offer to practice architecture who in any manner represents that the person is an architect, or is able to perform any architectural service or other services recognized by educational authorities as architecture.

5. "Assayer" means a person who analyzes metals, ores, minerals, or alloys in order to ascertain the quantity of gold or silver or any other substance present in them. A person employed on a full-time basis as an assayer by an employer engaged in the business of developing, mining or treating ores or other minerals shall not be deemed to be engaged in assaying practice for the purposes of this chapter if the person engages in assaying practice exclusively for and as an employee of such employer and does not represent that the person is available and is not represented as being available to perform any assaying services for anyone other than the person's employer.

6. "Assayer-in-training" means a candidate for registration as a professional assayer who is a graduate of a school and curriculum approved by the board or who has four years or more of education or experience, or both, in assaying work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the assayer-in-training examination.

7. "Assaying practice" means any professional service or work requiring assaying education, training and experience and the application of special knowledge of the mineral sciences to such service or work as consultation and the evaluation of minerals. A person is deemed to practice or offer to practice assaying who in any manner represents that the person is an assayer or is able to perform any assaying service or other services recognized by educational authorities as assaying.

8. "Board" means the state board of technical registration.

9. "Certified remediation specialist" means a person who has been certified by the board to perform, supervise and review environmental remediations if the use of a certified remediation specialist is specifically authorized by title 49 and rules adopted pursuant to title 49.

10. "Engineer" means a person who, by reason of special knowledge of the mathematical and physical sciences and the principles and methods of engineering analysis and design acquired by professional education and practical experience, is qualified to practice engineering as attested by registration as a professional engineer.

11. "Engineering practice" means any professional service or creative work requiring engineering education, training and experience and the application of special knowledge of the mathematical, physical and engineering sciences to such professional services or creative work as consultation, research investigation, evaluation, planning, surveying as defined in paragraph 26, subdivisions (d) and (e), design, location, development, and review of construction for conformance with contract documents and design, in connection with any public or private utility, structure, building, machine, equipment, process, work or project. Such services and work include plans and designs relating to the location, development, mining and treatment of ore and other minerals. A person shall be deemed to be practicing or offering to practice engineering if the person practices any branch of the profession of engineering, or by verbal claim, sign, advertisement, letterhead, card or any other manner represents that the person is a professional engineer, or is able to perform or does perform any engineering service or other service recognized by educational authorities as engineering. A person employed on a full-time basis as an engineer by an employer engaged in the business of developing, mining and treating ores and other minerals shall not be deemed to be practicing engineering for the purposes of this chapter if the person engages in the practice of engineering exclusively for and as an employee of such employer and does not represent that the person is available and is not represented as being available to perform any engineering services for persons other than the person's employer.

12. "Engineer-in-training" means a candidate for registration as a professional engineer who is a graduate in an approved engineering curriculum of four years or more of a school approved by the board or who has had four years or more of education or experience, or both, in engineering work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the engineer-in-training examination.

13. "Firm" means any two or more individuals, including partnerships, corporations or other types of associations, including the association of a nonregistrant and a registrant who offer professional services regulated by this THE board.

14. "Geological practice" means any professional service or work requiring geological education, training and experience, and the application of special knowledge of the earth sciences to such professional services as consultation, evaluation of mining properties, petroleum properties and groundwater resources, professional supervision of exploration for mineral natural resources including metallic and nonmetallic ores, petroleum and groundwater, and the geological phases of engineering investigations.

15. "Geologist" means a person, not of necessity an engineer, who by reason of special knowledge of the earth sciences and the principles and methods of search for and appraisal of mineral or other natural resources acquired by professional education and practical experience is qualified to practice geology as attested by registration as a professional geologist. A person employed on a full-time basis as a geologist by an employer engaged in the business of developing, mining or treating ores and other minerals shall not be deemed to be engaged in geological practice for the purposes of this chapter if the person engages in geological practice exclusively for and as an employee of such employer and does not represent that the person is available and is not represented as being available to perform any geological services for persons other than the person's employer.

16. "Geologist-in-training" means a candidate for registration as a professional geologist who is a graduate of a school approved by the board or who has had four years or more of education or experience, or both, in geological work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the geologist-in-training examination.

17. "Home inspection" means a visual analysis for the purposes of providing a professional opinion of the building, any reasonably accessible installed components and the operation of the building's systems, including the controls normally operated by the owner, for the following components of a residential building of four units or less:

(a) Heating system.

(b) Cooling system.

(c) Plumbing system.

(d) Electrical system.

(e) Structural components.

(f) Foundation.

(g) Roof covering.

(h) Exterior and interior components.

(i) Site aspects as they affect the building.

18. "Home inspection report" means a written report that is prepared for compensation, that is issued after a home inspection and that clearly describes and identifies the inspected systems, structures and components of the A COMPLETED dwelling and any visible major defects found to be in need of immediate major repair and any recommendations for additional evaluation by appropriate persons.

19. "Home inspector" means an individual who is certified pursuant to this chapter as a home inspector and who engages in the business of performing home inspections and writing home inspection reports.

20. "Home inspector-in-training" means a candidate for certification as a home inspector who has completed a course of study approved by the board and is participating in a training program that complies with standards recommended by the home inspector rules and standards committee and approved by the board.

21. "Landscape architect" means a person who, by reason of professional education or practical experience, or both, is qualified to engage in the practice of landscape architecture as attested by registration as a landscape architect.

22. "Landscape architect-in-training" means a candidate for registration as a professional landscape architect who is a graduate of a school approved by the board or who has had four years or more of education or experience, or both, in landscape architectural work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the landscape architect-in-training examination.

23. "Landscape architectural practice" means the performance of professional services such as consultations, investigation, reconnaissance, research, planning, design or responsible supervision in connection with the development of land and incidental water areas where, and to the extent that, the dominant purpose of such services is the preservation, enhancement or determination of proper land uses, natural land features, ground cover and planting, naturalistic and aesthetic values, the settings of and approaches to buildings, structures, facilities or other improvements, natural drainage and the consideration and the determination of inherent problems of the land relating to erosion, wear and tear, light or other hazards. This practice shall include the location and arrangement of such tangible objects and features as are incidental and necessary to the purposes outlined in this paragraph but shall not include the making of cadastral surveys or final land plats for official recording or approval, nor mandatorily include planning for governmental subdivisions.

24. "Land surveyor" means a person who by reason of knowledge of the mathematical and physical sciences, principles of land surveying and evidence gathering acquired by professional education or practical experience, or both, is qualified to practice land surveying as attested by registration as a land surveyor. A person employed on a full-time basis as a land surveyor by an employer engaged in the business of developing, mining or treating ores or other minerals shall not be deemed to be engaged in land surveying practice for purposes of this chapter if the person engages in land surveying practice exclusively for and as an employee of such employer and does not represent that the person is available and is not represented as being available to perform any land surveying services for persons other than the person's employer.

26. 25. "Land surveying practice" means the performance of one or more of the following professional services:

(a) Measurement of land to determine the position of any monument or reference point which marks a property line, boundary or corner for the purpose of determining the area or description of the land.

(b) Location, relocation, establishment, reestablishment, setting, resetting or replacing of corner monuments or reference points which identify land boundaries, rights-of-way or easements.

(c) Platting or plotting of lands for the purpose of subdividing.

(d) Measurement by angles, distances and elevations of natural or artificial features in the air, on the surface and immediate subsurface of the earth, within underground workings and on the surface or within bodies of water for the purpose of determining or establishing their location, size, shape, topography, grades, contours or water surface and depths, and the preparation and perpetuation of field note records and maps depicting these features.

(e) Setting, resetting or replacing of points to guide the location of new construction.

25. 26. "Land surveyor-in-training" means a candidate for registration as a professional land surveyor who is a graduate of a school and curriculum approved by the board, or who has four years or more of education or experience, or both, in land surveying work which meets standards specified by the board in its rules. In addition, the candidate shall have passed the land surveyor-in-training examination.

27. "Person" means any individual, firm, partnership, corporation, association or other organization.

28. "Principal" means an individual who is an officer of the corporation or is designated by a firm as having full authority and responsible charge of the services offered by the firm.

Sec. 2. Section 32-110, Arizona Revised Statutes, is amended to read:

32-110. Immunity from personal liability

Members, agents and employees of the board and members of advisory committees AND THE HOME INSPECTOR RULES AND STANDARDS COMMITTEE are immune from personal liability with respect to acts done and actions taken in good faith within the scope of their authority.

Sec. 3. Section 32-111, Arizona Revised Statutes, is amended to read:

32-111. Home inspector rules and standards committee

A. A home inspector rules and standards committee of the state board of technical registration is established and consists of:

1. Three home inspectors, one of whom is a resident of a county with a population of four hundred thousand persons or less, appointed by the board from a list of names any home inspector organization provides if the home inspector organization meets all of the following criteria:

(a) Has at least fifty members actively engaged in the practice of home inspection in this state.

(b) Holds regular elections.

(c) Publishes bylaws.

(d) Maintains a code of ethics.

2. Two members of the board of technical registration including:

(a) An architect or engineer member of the board appointed by the chairman.

(b) The public member.

B. The board may make appointments of home inspectors to the committee from the lists provided pursuant to subsection A, paragraph 1 of this section or from others having the necessary qualifications.

C. The board appointed members serve staggered three year terms. These members shall be home inspectors, shall EACH have at least five years of experience as a home inspector and shall have passed the examination prescribed in section 32-122.02. The board by a majority vote may remove any member for misconduct, incapacity or neglect of duty and may appoint a new member to complete a term.

D. The committee is responsible for drafting and recommending to the board of technical registration:

1. Criteria for home inspector certification.

2. Standards for home inspection reports.

3. Standards for written examinations.

4. Standards for educational programs including course of study, home inspector-in-training programs and continuing education.

5. Rules defining conduct.

6. Recommendations for types of financial assurances as required in section 32-122.02.

7. Other rules and standards related to the practice of home inspectors.

E. The committee shall make its initial recommendations within six months of appointment or the board may proceed without these recommendations. Thereafter the committee shall make recommendations within six months of a board request for recommendations. The committee may initiate recommendations at any time it deems appropriate.

F. The committee may participate in the investigation and review of home inspector complaints as provided by the board.

G. MEMBERS OF THE HOME INSPECTORS RULES AND STANDARDS COMMITTEE ARE ELIGIBLE TO RECEIVE COMPENSATION PURSUANT TO TITLE 38, CHAPTER 4, ARTICLE 1.

Sec. 4. Section 32-121, Arizona Revised Statutes, is amended to read:

32-121. Certificate required for practice of architecture, assaying, engineering, geology, landscape architecture, home inspection or land surveying

A person desiring to practice the profession of architecture, assaying, engineering, geology, landscape architecture, HOME INSPECTION or land surveying shall first secure a certificate of registration and shall comply with all the conditions prescribed in this chapter.

Sec. 5. Section 32-122, Arizona Revised Statutes, is amended to read:

32-122. Qualifications for in-training registration

A. An applicant for in-training registration as an architect, engineer, geologist or landscape architect shall:

1. Be of good moral character and repute.

2. Be a graduate of a school approved by the board or have four years or more, or if an applicant for in-training registration as an architect, five years or more, of education or experience, or both, in work in the profession in which registration is sought that meets standards specified by the board in its rules.

3. Unless exempt under section 32-126, subsection D, pass the in-training examination in the profession in which registration is sought.

B. An applicant for in-training registration as an assayer or land surveyor shall:

1. Be of good moral character and repute.

2. Be a graduate of a school and curriculum approved by the board, or have four years or more of education or experience, or both, in work in the profession in which registration is sought that meets standards specified by the board in its rules.

3. Unless exempt under section 32-126, subsection D, pass the in-training examination in the profession in which registration is sought.

C. AN APPLICANT FOR IN-TRAINING REGISTRATION AS A HOME INSPECTOR-IN-TRAINING SHALL:

1. BE OF GOOD MORAL CHARACTER AND REPUTE.

2. MEET THE REQUIREMENTS OF SECTION 32-122.02, SUBSECTION A, PARAGRAPHS 1 THROUGH 7.

Sec. 6. Section 32-122.02, Arizona Revised Statutes, is amended to read:

32-122.02. Certification of home inspectors; insurance

A. An applicant for certification as a home inspector shall:

1. Be at least eighteen years of age.

2. Be of good moral character and repute.

3. Have passed within two years preceding application, OR WITHIN FIVE YEARS PRECEDING APPLICATION IF THE APPLICATION IS MADE BY DECEMBER 31, 2002, a written examination THAT IS approved by the board AND that meets the competency standards recommended by the home inspector rules and standards committee and adopted by the board.

4. Have passed a course of study and a home inspector-in-training program and that meets the standards recommended by the home inspector rules and standards committee and approved by the board.

5. Pay a fee as determined by the board and shall submit a full set of fingerprints to the board for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation. Any documents and information relating to the state and federal criminal records check required by this section are not public records.

6. Not have had a certificate denied or revoked pursuant to this chapter within one year immediately preceding the application.

7. Have received an absolute discharge from sentence at least five years before the application if the person has been convicted of one or more felonies, PROVIDED THE BOARD DETERMINES THE APPLICANT IS OF GOOD MORAL CHARACTER AND REPUTE.

8. Provide evidence of the applicant's ability to obtain financial assurance as provided by subsection B of this section.

B. Within sixty days after certification, a home inspector certified pursuant to this chapter shall file one of the following financial assurances pursuant to rules recommended by the home inspector rules and standards committee and adopted by the board:

1. Errors and omissions insurance for negligent acts committed in the course of a home inspection in an amount of two hundred thousand dollars in the aggregate and one hundred thousand dollars per occurrence.

2. A bond in the amount of twenty-five thousand dollars OR PROOF THAT MINIMUM NET ASSETS HAVE A VALUE OF AT LEAST TWENTY-FIVE THOUSAND DOLLARS.

3. A financial assurance mechanism with a value of at least twenty-five thousand dollars recommended by the home inspector rules and standards committee and approved by the board.

C. If a home inspector loses or otherwise fails to maintain a required financial assurance the certification shall be automatically suspended and shall be reinstated if a financial assurance is obtained within ninety days. If a financial assurance is not obtained within ninety days the certification shall be automatically revoked.

D. A home inspector is subject to this chapter and rules adopted pursuant to this chapter.

Sec. 7. Section 32-126, Arizona Revised Statutes, is amended to read:

32-126. Exemptions from examination requirement

A. The board shall waive the examination requirement for an applicant, other than an applicant for certification as a home inspector or professional registration as a land surveyor, who satisfies any one of the following:

1. Holds a valid certificate of registration in good standing issued by another state or foreign country which has or had requirements for registration substantially identical to those of this state.

2. Holds a certificate of qualification in good standing issued by a national bureau of registration or certification recognized by the board.

3. Has been actively engaged in another state or foreign country as a professional registrant in the profession in which registration is sought for at least ten years and holds a valid certificate of registration in good standing issued by that state or country.

B. A registered professional engineer who holds a proficiency designation in one branch of engineering in this state and seeks an additional or different proficiency designation shall submit evidence to the board of either:

1. Four years of experience acceptable to the board as a registered professional engineer practicing in that branch of engineering in which the person seeks the proficiency designation.

2. Successful completion of the professional examination in the branch of engineering in which the applicant seeks the proficiency designation.

C. An applicant for professional registration as a land surveyor who satisfies any one of the requirements of subsection A shall pass the part of the professional land surveyor examination relating to surveying methods and legal principles in this state prescribed by the board in its rules.

D. The board shall exempt an applicant from the in-training examination if the applicant is a graduate of a school and curriculum approved by the board and has been actively engaged in experience in the profession for which registration is sought for at least twelve years after graduation.

Sec. 8. Section 32-127, Arizona Revised Statutes, is amended to read:

32-127. Renewal of certification or registration; delinquency penalty; inactive status; renewal fees; home inspector-in-training requirement

A. The board shall establish a staggered system for renewing certification or registration on a triennial basis.

B. Certificates of registration or certification are invalid after their expiration date unless renewed by payment of the required renewal fee. If the renewal fee is not paid prior to the expiration date, it shall be accompanied by a penalty fee equal to one-sixth of the triennial renewal fee for each year or fraction of a year of delinquency.

C. The board shall cancel a certificate of registration or certification if it has remained invalid for three years and shall require a new application, accompanied by the application fee for reregistration or recertification.

D. A registrant or home inspector shall not practice, offer to practice or imply that the registrant or home inspector can practice architecture, assaying, engineering, geology, home inspection, landscape architecture or land surveying if the registrant's certificate of registration or the home inspector's certification is inactive or invalid.

E. A registrant who retires from the active practice of architecture, assaying, engineering, geology, landscape architecture or land surveying or who is not currently practicing architecture, assaying, engineering, geology, landscape architecture or land surveying in this state may request that the board place the registrant's certificate of registration on inactive status. The registrant shall submit the request on a form prescribed by the board.

F. If the board has invalidated, pursuant to subsection B of this section, the certificate of registration of a registrant who seeks to place the certificate of registration on inactive status, the registrant shall submit all penalty fees that are due with the registrant's application for inactive status.

G. A registrant shall not place the registrant's certificate of registration on inactive status if the person's certificate of registration has been canceled by the board pursuant to subsection C of this section.

H. A registrant who holds an inactive certificate of registration may apply to the board to reactivate the certificate of registration. The board shall reactivate an inactive certificate of registration if the registrant submits a completed application on a form prescribed by the board and meets the qualifications for professional registration set forth in section 32-122.01. A registrant who seeks reactivation of the registrant's certificate of registration and who has not been engaged in the profession in which the registrant seeks reactivation for the five years immediately preceding the date of the application for reactivation shall take the applicable professional examination.

I. The board shall establish the triennial renewal fee for each certificate issued pursuant to this chapter which shall not exceed one hundred fifty dollars.

J. The board shall establish the annual renewal fee for each home inspector certificate issued pursuant to this chapter that shall not exceed four hundred dollars for each year.

K. THE BOARD MAY NOT RENEW THE REGISTRATION OF A HOME INSPECTOR-IN-TRAINING IF THE REGISTRANT HAS NOT PASSED WITHIN TWO YEARS PRECEDING RENEWAL APPLICATION A WRITTEN EXAMINATION APPROVED BY THE BOARD PURSUANT TO SECTION 32-122.02, SUBSECTION A, PARAGRAPH 3.

Sec. 9. Appropriation; purpose

The sum of $5,760 is appropriated from the technical registration fund, established by section 32-109, Arizona Revised Statutes, in fiscal year 2002-2003 to the board of technical registration for the purpose of paying compensation to the members of the home inspectors rules and standards committee as provided by this act.

APPROVED BY THE GOVERNOR APRIL 30, 2002.

FILED IN THE OFFICE OF THE SECRETARY OF STATE MAY 1, 2002.