75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
Enrolled
Senate Bill 202
Printed pursuant to Senate Interim Rule 213.28 by order of the
President of the Senate in conformance with presession filing
rules, indicating neither advocacy nor opposition on the part
of the President (at the request of Governor Theodore R.
Kulongoski for Construction Contractors Board)
CHAPTER ................
AN ACT
Relating to construction contractors; amending ORS 701.005.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 701.005 is amended to read:
701.005. As used in this chapter:
(1) 'Board' means the Construction Contractors Board.
(2) 'Commercial contractor' means a licensed contractor that
holds an endorsement as a:
(a) Commercial general contractor level 1;
(b) Commercial specialty contractor level 1;
(c) Commercial general contractor level 2;
(d) Commercial specialty contractor level 2; or
(e) Commercial developer.
(3) 'Commercial developer' means a developer of property that
is zoned for or intended for use compatible with a small
commercial or large commercial structure.
(4) 'Construction debt' means an amount owed under:
(a) An order or arbitration award issued by the board that has
become final by operation of law;
(b) A judgment or civil penalty that has become final by
operation of law arising from construction activities within the
United States; or
(c) A judgment or civil penalty that has become final by
operation of law arising from a failure to comply with ORS
656.017.
(5) 'Contractor' means any of the following:
(a) A person { - who - } { + that + }, for compensation or
with the intent to sell, arranges or undertakes or offers to
undertake or submits a bid to construct, alter, repair, add to,
subtract from, improve, inspect, move, wreck or demolish, for
another, any building, highway, road, railroad, excavation or
other structure, project, development or improvement attached to
real estate, { - or to clean or service chimneys, - } or to do
any part thereof.
(b) A person that purchases or owns property and constructs or
for compensation arranges for the construction of one or more
residential structures or small commercial structures with the
intent of selling the structures.
Enrolled Senate Bill 202 (SB 202-A) Page 1
(c) A school district, as defined in ORS 332.002, that permits
students to construct a residential structure or small commercial
structure as an educational experience to learn building
techniques and sells the completed structure.
(d) A community college district, as defined in ORS 341.005,
that permits students to construct a residential structure or
small commercial structure as an educational experience to learn
building techniques and sells the completed structure.
(e) Any person except a landscape contracting business,
nurseryman, gardener or person engaged in the commercial harvest
of forest products, that is engaged as an independent contractor
to remove trees, prune trees, remove tree limbs or stumps or to
engage in tree or limb guying.
(f) A business that supplies the services of a home inspector
certified under ORS 701.350, a lead-based paint inspector
licensed under ORS 701.515 or a cross connection inspector and
backflow assembly tester certified under ORS 448.279.
{ + (g) A person that for compensation arranges, undertakes,
offers to undertake or submits a bid to clean or service
chimneys. + }
(6) 'Developer' means a contractor that owns property or an
interest in property and engages in the business of arranging for
construction work or performing other activities associated with
the improvement of real property, with the intent to sell the
property.
(7) 'General contractor':
(a) Means a contractor whose business operations require the
use of more than two unrelated building trades or crafts that the
contractor supervises or performs in whole or part, whenever the
sum of all contracts on any single property, including materials
and labor, exceeds an amount established by rule by the board.
(b) Does not mean a specialty contractor or a residential
limited contractor.
(8) 'Home inspector' means a person who, for a fee, inspects
and provides written reports on the overall physical condition of
a residential structure and the appurtenances thereto. 'Home
inspector' does not include persons certified under ORS chapter
455 to inspect new, repaired or altered structures for compliance
with the state building code.
(9) 'Key employee' means an employee or owner of a contractor
who is a corporate officer, manager, superintendent, foreperson
or lead person or any other employee identified by the board by
rule.
(10) 'Large commercial structure' means a structure that is not
a residential structure or small commercial structure.
(11) 'Officer' means any of the following persons:
(a) A president, vice president, secretary, treasurer or
director of a corporation.
(b) A general partner in a limited partnership.
(c) A manager in a manager-managed limited liability company.
(d) A member of a member-managed limited liability company.
(e) A trustee.
(f) A person defined as an officer under board rules. The
definition of officer adopted by board rule may include persons
not listed in this subsection who may exercise substantial
control over a business.
(12) 'Residential contractor' means a licensed contractor that
holds an endorsement as a:
(a) Residential general contractor;
(b) Residential specialty contractor;
Enrolled Senate Bill 202 (SB 202-A) Page 2
(c) Residential limited contractor; or
(d) Residential developer.
(13) 'Residential developer' means a developer of property that
is zoned for or intended for use compatible with a residential or
small commercial structure.
(14) 'Residential structure':
(a) Means:
(A) A residence that is a site-built home;
(B) A structure that contains one or more dwelling units and is
four stories or less above grade;
(C) A condominium, rental residential unit or other residential
dwelling unit that is part of a larger structure, if the property
interest in the unit is separate from the property interest in
the larger structure;
(D) A modular home constructed off-site;
(E) A manufactured dwelling; or
(F) A floating home as defined in ORS 830.700.
(b) Does not mean:
(A) Subject to paragraph (a)(C) of this subsection, a structure
that contains both residential and nonresidential units;
(B) Transient lodging;
(C) A residential school or residence hall;
(D) A state or local correctional facility other than a local
facility for persons enrolled in work release programs maintained
under ORS 144.460;
(E) A youth correction facility as defined in ORS 420.005;
(F) A youth care center operated by a county juvenile
department under administrative control of a juvenile court
pursuant to ORS 420.855 to 420.885;
(G) A detention facility as defined in ORS 419A.004;
(H) A nursing home;
(I) A hospital; or
(J) A place constructed primarily for recreational activities.
(15) 'Responsible managing individual' means an individual who:
(a) Is an owner described in ORS 701.094 or an employee of the
business;
(b) Exercises management or supervisory authority, as defined
by the board by rule, over the construction activities of the
business; and
(c)(A) Has successfully completed the training and testing
required for licensing under ORS 701.122 within a period
identified by the board by rule;
(B) Has demonstrated experience required by the board by rule;
or
(C) Has complied with the licensing requirements of ORS
446.395.
(16) 'Small commercial structure' means:
(a) A nonresidential structure that has a ground area of 10,000
square feet or less, including exterior walls, and a height of
not more than 20 feet from the top surface of the lowest flooring
to the highest interior overhead finish of the structure;
(b) A nonresidential leasehold, rental unit or other unit that
is part of a larger structure, if the unit has a ground area of
12,000 square feet or less, excluding exterior walls, and a
height of not more than 20 feet from the top surface of the
lowest flooring to the highest interior overhead finish of the
unit; or
(c) A nonresidential structure of any size for which the
contract price of all construction contractor work to be
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performed on the structure as part of a construction project does
not total more than $250,000.
(17) 'Specialty contractor' means a contractor who performs
work on a structure, project, development or improvement and
whose operations as such do not fall within the definition of
'general contractor.' 'Specialty contractor' includes a person
who performs work regulated under ORS 446.395.
(18) 'Zero-lot-line dwelling' means a single-family dwelling
unit constructed in a group of attached units in which:
(a) Each attached unit extends from foundation to roof with
open space on two sides; and
(b) Each dwelling unit is separated by a property line.
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Passed by Senate March 11, 2009
...........................................................
Secretary of Senate
...........................................................
President of Senate
Passed by House May 28, 2009
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Speaker of House
Enrolled Senate Bill 202 (SB 202-A) Page 4
Received by Governor:
......M.,............., 2009
Approved:
......M.,............., 2009
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2009
...........................................................
Secretary of State
Enrolled Senate Bill 202 (SB 202-A) Page 5