It is enacted by the General Assembly as follows:

SECTION 1. Sections 5-20-6, 5-20-12, 5-20-13, 5-20-16, 5-20-20, 5-20-21, 5-20-27 and 5-20-31 of the General Laws in Chapter 5-20 entitled "Plumbers" are hereby amended to read as follows:

5-20-6. Board of examiners -- Composition -- Appointment of members -- (a) A state board of plumbing examiners is created in the department of labor and training whose duty it is to supervise the operation of the division of professional regulation in an advisory capacity in promulgating any policy that is necessary to improve the operation of the division in their area of expertise. The promulgation of that policy is subject to the approval of the director of the department.

(i) One is the director of labor and training, ex officio;

(ii) Two (2) are master plumbers possessing at the time of appointment, for a period of five (5) years, a certificate of license in full force and effect from the department of labor and training of the state, under the provisions of this chapter, specifying those persons as master plumbers; and

(iii) Two (2) are journeyperson plumbers possessing at the time of appointment, for a period of ten (10) years, a certificate of license in full force and effect from the department of labor and training, under the provisions of this chapter, specifying those persons as journeyperson plumbers.

(2) All of the members of the board must be citizens of this state for at least two (2) years immediately preceding their appointment. The director of labor and training is the chairperson of the board and the board shall elect from its membership a deputy chairperson and secretary. The members of the board, except the ex officio members, are appointed as subsequently provided.

(c) The provisions of subsection (b) are applicable only to appointments made by the governor after May 16, 1966.

(d) On the expiration of the term of any master plumber member or journeyperson plumber member of the board, the governor shall appoint for a term of three (3) years a master plumber member and a journeyperson plumber member having the qualifications required by this chapter to take the place of the master plumber member and the journeyperson plumber member whose term on the board has expired. That member holds office until the expiration of the term for which the member is appointed and until his or her successor has been appointed and qualified. Any vacancy which occurs in the master plumber members or journeyperson plumber members of the board from any cause shall be filled by appointment by the governor for the remainder of the unexpired term of that member.

5-20-12. Corporations and firms engaging in business -- No corporation, firm, association, or partnership shall engage in business as a master plumber or represent itself as a plumbing contractor unless a licensed master plumber as provided in this chapter is continuously engaged in the supervision of its plumbing installation, maintenance, and repair work; provided, that the master plumber is a partner or an officer in the firm or corporation.

(a) No corporation, firm, association, partnership, or other entity shall engage in business, advertise, make application for and take out permits, bid for work, or represent itself as a master plumber or a plumbing contractor unless: (1) a licensed master plumber as provided in this chapter shall be continuously engaged in the supervision of such entity's plumbing installation, maintenance, and repair work and such licensed master is an officer of such corporation, a partner in such partnership, or a similarly authorized principal of any such firm, association, or other entity; or (2) such entity shall possess a valid plumbing contractor's license duly issued by the department of labor and training as further described in subsection (b) hereof.

(b) Upon application of any of the above entities in form and substance prescribed by the department of labor and training, and receipt of the fee for such application and license which shall be equal to the fee for a master plumber's license as described in section 5-20-16, as the same may be amended from time to time, the department of labor and training shall issue the applicant entity a license as a plumbing contractor. Such plumbing contractor's license shall specify the name of the entity holding the license and shall state that such license holder shall continuously employ at all times while holding such license a duly licensed master plumber, as provided in this chapter, who shall be continuously engaged in the supervision of such entity's plumbing installation, maintenance, and repair work. Such plumbing contractor's license shall entitle the entity holding the same to engage in business, advertise, bid for work, or represent itself as a master plumber or a plumbing contractor and shall also entitle such entity to make application for and take out permits through its duly authorized officer or similarly authorized principal as well as through the duly licensed master plumber continuously employed by such entity as stated above. Such contractor's license shall not, however, in and of itself permit a principal, officer, employee, or agent of the entity holding such license to individually engage in installation, maintenance, or repair work as described above unless such principal, officer, employee, or agent is individually licensed so to do.

(c) Any work engaged in, advertised for, applied for by permit, bid for, or represented to be permissible shall be solely of the type for which the licensed master plumber who serves as an officer or similarly authorized principal of the entity or who is continuously employed by the entity holding a plumbing contractor's license is duly licensed to perform.

(d) Any licensed master plumber who serves as an officer or similarly authorized principal of such an entity or who is continuously employed by an entity holding a plumbing contractor's license shall represent the interests of one such entity and only one such entity at any given time as described above.

(e) In the event that the licensed master plumber described above shall cease to be an officer or similarly authorized principal of one of the entities described above or shall cease to be continuously employed by an entity holding a plumbing contractor's license for any reason whatsoever, such entity shall provide written notice of the same to the department of health no more than fourteen (14) days after the effective date of occurrence of such cessation. Any entity so affected shall provide written noticed to the department of labor and training specifying the licensed master plumber who shall replace the departed licensed master plumber referenced above no more than forty-five (45) days after the effective date of occurrence of such cessation.

(f) No corporation, firm, association, partnership, or other entity which engages in, offers to engage in, or represents that it engages in plumbing installation, maintenance, or repair work in the state of Rhode Island shall be permitted to incorporate, form, qualify to do business, or otherwise register with the Rhode Island secretary of state's office until and unless that office shall have first received a written confirmation from the department of labor and trainig that all requisite licenses to be issued by the department of labor and training have been so issued and remain in good standing.

(g) Any willful violation of this section shall be grounds for revocation of license as further described in section 5-20-27.

5-20-13. Functions of board of examiners -- The state board of plumbing examiners aids and cooperates with the director of the department of labor and training and the division of professional regulation:

(1) In preparing forms for application for examinations for license;

(2) In preparing subject matter, questions, and all necessary items for examination as provided in this chapter and review in reviewing examinations to evaluate their effectiveness;

(3) In preparation rules to govern examinations and hearings for revocation and reinstatement of licenses;

(4) In the performance of any other duties for the purpose of carrying out the provisions of this chapter that are prescribed by the director of the department; and

(5) In the adoption and revision of any rules and regulations not inconsistent with the law that are necessary to carry into effect the provisions of this chapter.

5-20-16. Qualifications of master plumber -- Application fee -- No application for a license of a master plumber shall be filed by the department of labor and training nor is any applicant permitted to take the examination for a license as a master plumber, unless:

(1) The application is accompanied by an application fee of one hundred dollars ($100) payable to the department;

(2) The applicant is a citizen or legal resident of the United States; and

(3) The applicant possesses a certificate of license in full force and effect from the department of labor and training of the state specifying that person as a journeyperson plumber licensed as a journeyperson plumber for a minimum of one year. An affidavit must accompany this application certifying that the applicant was employed by a licensed master plumber during that period in which the journeyperson plumber was so licensed. Completed applications must be filed with the department at least thirty (30) days prior to the examination date.

5-20-20. Conduct of examinations -- The department of labor and training department of labor and training shall provide and conduct examinations at least four (4) times each year of applicants who have had their applications for a master plumber's license or a journeyperson plumber's license placed on file with the department. All those examinations are conducted by the department with the aid and co-operation of the state board of plumbing examiners and shall be conducted at places designated by the department within the state consistent with the reasonable convenience of applicants.

5-20-21. Issuance of license on examination -- Notice to applicants -- (a) The director of the department of labor and training shall allow or deny applications for a master plumber's license or a journeyperson plumber's license upon the recommendation of the division of professional regulation, as soon after the examination as is practicable. Each applicant who has successfully passed the examination and has had his or her application allowed for a license as a master plumber or a journeyperson plumber shall have issued and mailed to him or her by the department a certificate of license specifying that person as a master plumber or a journeyperson plumber.

(b) All certificates of license are issued by the department.

5-20-27. Grounds for revocation of license -- The director of labor and training shall revoke the license of any master plumber or journeyperson plumber after a hearing when the weight of the evidence establishes any one or more of the following specific violations:

(1) For having obtained or conspired with others to obtain a license by inducing the issuance of that license in consideration of the payment of money or any other things of value, or by and through a willful or fraudulent misrepresentation of facts in the procurement of the license;

(2) Willful violation of any plumbing ordinance, or rules of any city, or town, or of any law of this state regulating the conduct of plumbing work;

(3) On account of knowingly aiding or assisting any person to engage in the work specified for a master plumber or journeyperson plumber when that person does not have a license as provided in this chapter;

(4) Because of any master plumber or journeyperson plumber willfully and fraudulently loaning his or her license to any other person for the purpose of permitting that person to engage in any plumbing work in violation of the provisions of this chapter;

(5) If any licensee as provided in this chapter is convicted of a felony; or

(6) On account of any willful violation of any of the provisions of this chapter.

5-20-31. Recommendations of board -- Order of director -- Rehearing -- Review - Decisions of board -- Order of director --Rehearing --Review Any person aggrieved by any decision or ruling of the division of professional regulation may appeal that decision to the administrator of the division or his or her designee. A further appeal may then be made to the state board of plumbing examiners. The state board of plumbing examiners upon completion of any hearing held on a verified complaint shall present to the director of labor and training a written report of their findings and recommendations. The director of the department shall then order that the license of the licensee charged in the complaint is revoked or that the complaint is dismissed in accordance with the recommendations of the board. A copy of that order is immediately served upon the licensee either personally or by registered or certified mail. The order of the department is final unless the charged licensee, the division, or complainant, within twenty (20) days after receipt of that order files with the director his or her motion, in writing, for a review of the order by the director, specifying in the motion the points and reasons for the order. The filing of a motion for a review stays the operation of the order pending final decision on that motion. A motion for a review by the director shall be immediately scheduled for a hearing by the director. The decision of the director of the department after his or her review is final upon questions of fact.

SECTION 2. This act shall take effect upon passage.