§ 10-115. Residential building and home improvement contractor registrations.

(a)

Registration . Any person performing any form of residential construction or home improvement work in the city shall have in their possession a valid and authenticated home builder registration card issued by the building official.

Exceptions :

(1)

Any person who will own, occupy or rent a detached single-family dwelling for a period of twelve (12) months after completion of the building permit and final inspection for the single-family dwelling or accessory building thereto.

(2)

Building trade subcontractors who are performing work for the residential building contractor are not required to be registered under this section (e.g. framing subcontractor, flooring subcontractor, drywall subcontractor, painting subcontractor, etc.).

(3)

Any person who will repair, replace, or modify non-structural building components to an existing residential detached accessory structure not exceeding three hundred (300) square feet.

(b)

Residential home builder/home improvement registration and insurance required .

(1)

Qualifications of building contractors . It shall be a violation of this chapter for a person who does not hold a current city registration to engage in the building construction for which a permit is required, or to undertake to execute such construction or to cause the undertaking of such construction.

(2)

Misrepresentation . It shall be a violation of this chapter for any person to represent themselves with any registration set forth in this Code or to use the words "building contractor", "homebuilder contractor", or words of similar import or meaning on signs, business cards, stationery, or by any other manner whatsoever, unless such person is properly registered within the meaning of the word used as provided in this chapter.

(3)

General liability and insurance .

a.

A registered contractor shall furnish and present the name of the insurance carrier, policy number, name, address, and telephone number of the insurance agent with whom the contractor is insured to the building official or to any customer upon request.

b.

City registered homebuilder contractors must maintain insurance of the following types and amounts:

1.

The insurance must be at least five hundred thousand dollars ($500,000.00) per occurrence (combined for property damage and bodily injury);

2.

Be at least one million dollars ($1,000,000.00) aggregate (total amount the policy will pay for property damage and bodily injury coverage);

3.

Be at least five hundred thousand dollars ($500,000.00) aggregate for products and completed operations; and

4.

The City of San Antonio must be listed as certificate holder on the certificate of liability insurance.

c.

City registered home improvement contractors must maintain insurance of the following types and amounts:

1.

The insurance must be at least three hundred thousand dollars ($300,000.00) per occurrence (combined for property damage and bodily injury);

2.

be at least six hundred thousand dollars ($600,000.00) aggregate (total amount the policy will pay for property damage and bodily injury coverage);

3.

be at least three hundred thousand dollars ($300,000.00) aggregate for products and completed operations; and

4.

The City of San Antonio must be listed as certificate holder on the certificate of liability insurance.

d.

The holder of any city contractor's registration is responsible for providing evidence of a new or renewal policy of any required insurance coverage upon termination or renewal of any policy.

e.

Any insurance certificate required by this Code must be written through a company licensed to issue the insurance in the state and the insurance may be approved by office of the city attorney.

(c)

Communication, ready access, and vehicle identification .

(1)

Means of communication . Every registered contractor must maintain a bona fide company address and telephone to enable the building official to contact the contractor in case of a job discrepancy. Any person holding a registration and doing work in the city shall report to the building official any change of address and telephone number in order to allow the building official to maintain accurate registration records. Acceptable means for receiving communications include, but are not limited to, a person available at the place of business, an answering machine, voice mail, a pager or a cellular telephone.

(d)

Responsibilities . A registered residential building contractor shall be responsible for exercising such supervision and control of his operations as is necessary to secure full compliance with the provisions of the adopted International Residential Code (IRC) and other applicable laws of the city, state and United States.

(e)

Penalties . A violation of this section shall constitute a Class C misdemeanor offense with a fine not to exceed five hundred dollars ($500.00) per violation. Each day or portion thereof out of compliance with the registration requirements set above shall constitute a separate offense.

(f)

Documentation . The building official shall adopt rules regarding the form of documentation that will be accepted as proof of compliance with any experience, verification of registration status, or other pertinent information the building official feels is relevant for inclusion.

(g)

Record of issuance . The building official shall maintain a record that is available to the general public of all registrations issued pursuant to this chapter.

(h)

City registration cards .

(1)

A registration card, bearing the building official's signature, shall be issued to each person receiving a city registration.

(2)

Registrations shall be renewed prior to the expiration date. Each person holding a valid registration shall renew same in sufficient time to have the renewal form returned to the development services department with the appropriate renewal fee prior the expiration date. All city registrations shall expire two (2) years after issuance. Registrations shall be renewed prior to expiration date. Each person holding a valid registration shall renew same in sufficient time to have the renewal form and insurance information returned to the department with the appropriate renewal fee prior to registration expiration date.

(3)

Each registration card, when issued to a contractor, shall be issued to a person and registered in the name of the firm by which the person is employed. The firm shall be known as the holder of such registration and shall notify the code official if the registration holder is no longer in its employment. No further permits will be issued to the firm based upon the previous registration holder's name who is no longer employed by the firm.

(4)

It shall be a violation of this Code for any person to alter or amend in any manner, lend, rent, or transfer a registration card, and for any person to make use of any such rights for which the person is not registered.

(5)

Each holder of a city issued card shall carry the registration card on his person at all times while performing construction work covered by this Code and shall present it to the building official upon demand.

(i)

Registrations not transferable . No registration shall be transferred and no holder of any registration shall allow his name or registration to be used by any other person, either for the purpose of performing construction work or obtaining a permit under the penalty of forfeiture of registration and payment of fines.

(j)

Violations under this section. The following list shall constitute a non-exclusive list of violations under this section. It is unlawful for any registered contractor to:

(1)

Display or cause a permit to be displayed or to have in one's possession a registration for doing any construction work, knowing it to be fictitious or to have been canceled, suspended or altered;

(2)

Lend or permit the use of any registration for doing any construction work to any person not entitled to it;

(3)

Allow any person to display or to represent as one's own city registration for any construction work when the registration has not been lawfully issued to the person displaying it;

(4)

Use a false or fictitious name or address in any application for any registration or permit provided for in this chapter or any renewal or make a false statement or conceal a material fact or otherwise commit fraud in making any application;

(5)

Perform any contractor work for which a registration is required without having the registration or while the registration is suspended, expired or canceled;

(6)

Perform any work for which a permit is required without having the permit or after the permit has been canceled;

(7)

Fail or refuse to make the necessary repair or changes for code violations as provided in a written notice issued by the building official. A reasonable amount of time shall be granted in the written notice taking into consideration the work to be completed and the circumstances. A separate violation is deemed to be committed each day after the expiration of the time for correction provided in the notice until the work is corrected;

(8)

Permit any construction work covered by this section to be performed by any person not properly registered, while in control of premises covered by this section;

(9)

Remove, break, change, destroy, tear, mutilate, cover or otherwise deface or injure any official notice or seal posted by the building official;

(10)

Place or leave the property in such condition that it injures or endangers persons or property authorized to be on the construction site.

(k)

Application procedures; requirements .

(1)

An applicant for an original registration or renewal must submit an application to the building official on a form established by the department. Each applicant must fully disclose in the application whether the applicant has:

a.

Entered a plea of guilty or nolo contendre (no contest) to:

1.

Any felony charge, or

2.

A misdemeanor involving moral turpitude;

b.

Been convicted of:

1.

A felony, or

2.

A misdemeanor involving moral turpitude and the time for appeal has elapsed or the conviction has been affirmed on appeal;

c.

Entered a plea of guilty or nolo contendre (no contest) or been convicted of:

1.

Any felony, or

2.

Misdemeanor arising out of a violation of the building code or local amendments thereto in the state whether or not said violation involves moral turpitude;

d.

Lost or is suspended from residential building contractor privileges in any jurisdiction in the state.

A failure to disclose under subsection 10-115(e)(1) shall be sufficient grounds to deny the application.

(2)

The building official shall have the right to investigate and examine the qualifications and fitness of an applicant. Upon receipt of an application, the building official shall conduct a criminal background check on the applicant or any person responsible for the application. The applicant will submit to the building official an officially sealed criminal history record information maintained by the department of Federal Bureau of Investigation.

(3)

A person may not be issued a registration unless the person:

a.

Is at least eighteen (18) years of age; and

b.

Is a United States citizen or a lawfully admitted alien; and

c.

The building official is satisfied with the person's honesty, integrity, and trustworthiness based on information supplied and discovered in connection with the application.

Commentary: Full disclosure includes an interest in or ownership of any entity engaged in the residential building contractor business that has lost or been suspended from residential building constructor privileges.

(l)

Duties and powers of building official .

(1)

There is hereby vested in the building official the duty of examining the applications for contractor registrations, including the issuance, reissuance, renewal, suspension, or cancellation of such registration.

(2)

The building official shall establish procedures consistent with this Code for the issuance of registrations for residential contractors.

(3)

The building official shall have the duty to keep all registration application records. The building official shall further have the power and duty to adopt, amend, or repeal rules and regulations consistent with the provisions of this section as may be necessary for the proper administration and enforcement hereof.

(m)

Appealing a denial of registration .

(1)

If either an original or renewal registration is denied, the building official shall furnish the applicant a written statement setting forth the grounds for the refusal within ten (10) working days. Such statement shall be by certified mail, return receipt requested, to the mailing address provided in the application unless the applicant is present to receive and acknowledge in writing receipt of such letter. The applicant or their representative shall then have fifteen (15) working days from receipt of notice to appeal the building official's decision in accordance with section 10-14 of this chapter.

(2)

Nothing in this section shall be interpreted as to deny a subsequent application at the expiration of one year from denial of initial registration.

(n)

Fees; registration period . The application fee for contractor registration shall be as set forth in this section.

(1)

A Home Builder Registration fee of one hundred seventy dollars ($170.00) is required and said registration shall be valid for a period of two (2) years. The registration holder shall be required to re-register every two-year period of time and pay a fee of one hundred seventy dollars ($170.00) for each two-year period of time to maintain registration.

(2)

A Home Improvement Registration fee of one hundred fifty dollars ($150.00) is required and said registration shall be valid for a period of two (2) years. The registration holder shall be required to re-register every two-year period of time and pay a fee of one hundred fifty dollars ($150.00) for each two-year period of time to maintain registration.

(o)

Cancellation and suspension of registration; appeals .

(1)

A contractor's registration may be cancelled or suspended by the building official after a hearing before the building official if the registered contractor is convicted of any penal offense arising out of or related to the performance of a residential building contract or the registered contractor suffers a judgment against them in a civil action predicated upon fraud in connection with the performance of a residential contract.

(2)

The building official may also administratively cancel or suspend a registration after a hearing before the building official for any one or more of the following reasons:

a.

Conviction or entering a plea of guilty or nolo contendre (no contest) by the registered person or entity of:

1.

A felony, or

2.

Misdemeanor involving moral turpitude;

b.

Conviction or entering a plea of guilty or nolo contendre (no contest) in connection with a violation of any adopted technical construction code or amendments thereto in the state;

c.

Making any false statement as to a material matter in an application for registration, renewal or hearing in connection with same;

d.

Failure to disclose required information under subsection 10-115(k);

e.

Three (3) separate violations as detailed in subsection 10-115(j) of this chapter, provided the violations occur within the previous 12-month period;

f.

Upon judicial determination of an abandonment or willful failure to perform any residential contract or project in or undertaken by a registered contractor, or willful deviation from or disregard of plans or specifications in any material respect;

g.

Upon judicial determination that the residential contractor knowingly made substantial misrepresentation on the part of the residential contractor in the procurement of a residential contract;

h.

Upon judicial determination of fraud on the part of the residential contractor in the execution of or in the material alteration of any residential contract or mortgage, promissory note or other document relating to the contract;

i.

Upon judicial determination that the residential contractor knowingly prepared or accepted any mortgage, promissory note or other evidence of indebtedness pertaining to a residential transaction with knowledge that it recited a greater monetary obligation than the agreed consideration for the residential construction work;

j.

With knowledge, the residential contractor directly or indirectly published any advertisement relating to residential construction which contains assertions, representations or statements which are false, deceptive or misleading;

k.

Failure of the residential contractor to notify the building official of any change in the ownership, management, or business name;

l.

Conducting a residential contractor business in any name other than the one registered;

m.

Obtaining a building permit for an unregistered contractor or for one whose registration has been suspended, cancelled or denied.

(3)

The building official may take any of the following actions against the holder of the certificate of registration:

a.

No suspension.

b.

Suspension for thirty (30) days.

c.

Suspension for sixty (60) days.

d.

Suspension for ninety (90) days.

e.

Suspension for one hundred eighty (180) days.

f.

Cancellation.

(4)

The building official shall send the registered residential contractor a written notice of any administrative action to be taken against the registered contractor by certified mail, return receipt requested, at the last known mailing address. The notification shall give not less than ten (10) working days' notice of the hearing. The Building official is authorized to conduct hearings for the purpose of making findings of fact to assist him in making his decision.

(5)

A written decision to cancel or suspend a registration shall be required and list the reasons for the building official's decision. This written decision shall be forwarded to the registered contractor by certified mail, return receipt requested to the registered contractor's last known address. This mailing may be waived provided that the registered contractor sign and acknowledge receipt of the written decision from the building official. The registered contractor shall then have fifteen (15) days from receipt of this notice to appeal the building official's decision to the building-related and fire codes board of appeals. The decision of the building official shall be final after expiration of this time.

(6)

Board appellate process .

a.

A registered contractor shall have the right to appeal the building official's decision in accordance with section 10-14 of this chapter.

b.

A perfected appeal tolls the building official's decision to suspend or cancel the registration until the board renders its decision.

c.

Neither the board nor the building official shall have any authority to suspend a registration for longer than one hundred eighty (180) days.

d.

A cancellation shall prevent the residential building contractor from pulling new permits for a period of at least one year. For purposes of this section, a cancellation of a registration does not alleviate the registered contractor from performing current obligations or absolve them from liability under a residential contract. In performing currently permitted obligations while cancelled, the residential contractor shall not be subject to penalty for being unregistered. All other code provisions are applicable. Upon the expiration of a one-year period, a residential contractor may apply for a new registration. No provision of this section shall be interpreted to mean that a new registration will be issued after a prior registration has been cancelled. A denied applicant for a new registration is required to wait one year before applying again. There shall be no limit on the number of times a denied applicant may reapply.

e.

A suspension shall prevent the registered contractor from pulling new permits in the city for the suspension time period. A suspension of registration does not alleviate the registered contractor from performing currently permitted obligations under the residential contract. The residential contractor shall not be subject to penalty for operating while suspended when performing currently permitted obligations. However, all other code provisions apply. The board's decision to affirm or affirm as modified a suspension of a registration means that the suspension time begins the following working day.

(p)

Change of name . Upon payment of the fee set by ordinance, posting of any necessary bonds and compliance with any other requirements of this chapter, the holder of a valid registration may apply to the building official for a change on the name of a registration.

(q)

Continuation of the business upon death, disability or termination of the business's registration holder . Upon the death, disability or termination of a registered contractor, such business will be allowed to complete existing work for which permits had been obtained prior to the severance of such registered holder provided insurance is posted, if applicable, and sufficient evidence is submitted to and approved by the building official as to the ability of the business to complete the work in accordance with the requirements of this chapter. Monthly approval may be granted by the building official for a period not to exceed six (6) months. On or before the expiration of such period the business shall associate a registered contractor of the appropriate classification or cease operations.

(r)

Contractor limitations on multiple business affiliations .

(1)

Any contractor affiliated with a business as herein provided shall not engage in the operation of a second contracting business, under the provisions of this Code, unless it is under the same name and insurance of the first business. Any permit issued to a business must be for work being done by that business. Any contractor obtaining permits for any person, business or entity will be notified to appear before the building official for consideration of a complaint.

(Ord. No. 2018-06-21-0493 , § 1, 6-21-18)