PRINTER'S NO. 1119
No. 917 Session of 1999
INTRODUCED BY GREENLEAF, MAY 11, 1999
REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
MAY 11, 1999
AN ACT
1 Providing for the licensing of home inspectors; establishing the
2 Home Inspectors Advisory Committee; and further providing for
3 the State Registration Board for Professional Engineers, Land
4 Surveyors and Geologists.
5 The General Assembly of the Commonwealth of Pennsylvania
6 hereby enacts as follows:
7 Section 1. Short title.
8 This act shall be known and may be cited as the Home
9 Inspectors Professional Company Licensing Act.
10 Section 2. Definitions.
11 The following words and phrases when used in this act shall
12 have the meanings given to them in this section unless the
13 context clearly indicates otherwise:
14 "Associate home inspector." A person who is employed by a
15 licensed home inspector to conduct a home inspection of a
16 residential building under the direct supervision of the
17 licensed home inspector and is licensed pursuant to this act.
18 "Board." The State Registration Board for Professional
1 Engineers, Land Surveyors and Geologists established pursuant to
2 the act of May 23, 1945 (P.L.913, No.367), known as the
3 Engineer, Land Surveyor and Geologist Registration Law.
4 "Client." A person who engages, or seeks to engage, the
5 services of a home inspector for the purpose of obtaining an
6 inspection of and a written report on the condition of a
7 residential building.
8 "Committee." The Home Inspectors Advisory Committee
9 established under section 3.
10 "Home inspection." An inspection and written evaluation of
11 the following components of a residential building: heating
12 system, cooling system, plumbing system, electrical system,
13 structural components, foundation, roof, masonry structure,
14 exterior and interior components or any other related
15 residential housing component as determined by the board by
16 regulation after consultation with the committee.
17 "Home inspector." A person licensed as a home inspector
18 pursuant to this act.
19 "Residential building." A structure consisting of from one
20 to four family dwelling units that has been occupied as such
21 prior to the time when a home inspection is requested or
22 contracted for in accordance with this act. The term does not
23 include any such structure that is newly constructed and is not
24 previously occupied.
25 Section 3. Advisory committee.
26 (a) Establishment.--
27 (1) The Home Inspector Advisory Committee is hereby
28 established as an advisory committee to the board. The
29 committee shall consist of five members who shall be
30 residents of Pennsylvania and who shall be licensed home
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1 inspectors, actively engaged in the practice of home
2 inspection in Pennsylvania for at least five years
3 immediately preceding their appointment.
4 (2) For a period of one year after the effective date of
5 this act, and notwithstanding any other provisions of this
6 act to the contrary, the first five home inspectors appointed
7 as members of the committee, or any home inspector appointed
8 to fill a vacancy during that first year, shall not be
9 required, at the time of their first appointment, to be
10 licensed to practice home inspection.
11 (b) Appointment and terms of office.--The Governor shall
12 appoint each committee member for a term of three years, except
13 that, of the members first appointed, two shall serve for terms
14 of three years, two shall serve for terms of two years and one
15 shall serve for a term of one year. Each member shall hold
16 office until his successor has been qualified. Any vacancy in
17 the membership of the committee shall be filled for the
18 unexpired term in the manner provided for the original
19 appointment. No member of the committee may serve more than two
20 successive terms in addition to any unexpired term to which he
21 has been appointed.
22 (c) Officers and meetings.--The committee shall annually
23 elect from among its members a chairman and a vice chairman and
24 may appoint a secretary who need not be a member of the
25 committee. The committee shall meet at least twice a year and
26 may hold additional meetings as necessary to discharge its
27 duties.
28 (d) Compensation, expenses and administrative assistance.--
29 The members of the committee shall receive $60 per diem when
30 actually attending to the work of the committee and shall also
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1 receive the amount of reasonable traveling, hotel and other
2 necessary expenses incurred in the performance of their duties.
3 The board shall provide the committee with office and meeting
4 facilities and personnel as required for the proper conduct of
5 the committee.
6 (e) Powers and duties.--
7 (1) The committee shall advise the board on the
8 following:
9 (i) Administering and enforcing this act.
10 (ii) Issuing and renewing licenses to home
11 inspectors and associate home inspectors pursuant to this
12 act.
13 (iii) Establishing standards for the continuing
14 education of home inspectors.
15 (iv) Adopting and publishing a code of ethics and
16 standards of practice for licensed home inspectors.
17 (v) Establishing, prescribing or changing the fees
18 for examination, licensure, renewal and other services
19 performed pursuant to this act.
20 (2) The committee shall have the power to issue,
21 suspend, revoke or refuse to renew the license of a home
22 inspector or an associate home inspector pursuant to this
23 act. If the committee decides not to issue, or to suspend,
24 revoke or refuse to renew a license, the aggrieved person
25 shall have the right to appeal the committee's decision to
26 the board in the manner provided for under section 4(c).
27 Section 4. Licensure.
28 (a) Home inspectors.--No person shall provide, nor present,
29 call or represent himself as able to provide a home inspection
30 for compensation unless licensed in accordance with this act. To
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1 be eligible for licensure as a home inspector, an applicant
2 shall fulfill the following requirements:
3 (1) Be of good moral character.
4 (2) Have successfully completed high school or its
5 equivalent.
6 (3) Have been engaged as a licensed associate home
7 inspector for not less than one year and have performed not
8 less than 250 home inspections for compensation.
9 (4) Have passed the examination offered by the American
10 Society of Home Inspectors or an equivalent examination
11 approved by the board after consultation with the committee.
12 An examination passed prior to the effective date of this act
13 shall satisfy this requirement.
14 (b) Associate home inspectors.--To be eligible for licensure
15 as an associate home inspector, an applicant shall fulfill the
16 following requirements:
17 (1) Be of good moral character.
18 (2) Have successfully completed high school or its
19 equivalent.
20 (3) Have passed an approved course of study, as
21 prescribed by the board after consultation with the
22 committee.
23 (4) Have performed not less than 50 home inspections in
24 the presence of a licensed home inspector.
25 (5) Have passed the examination offered by the American
26 Society of Home Inspectors or an equivalent examination
27 approved by the board after consultation with the committee.
28 An examination passed prior to the effective date of this act
29 shall satisfy this requirement.
30 (c) Appeal procedure.--
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1 (1) If the committee refuses to issue or suspends,
2 revokes or refuses to renew a license, the committee shall
3 notify the aggrieved person in writing by certified mail.
4 (2) The aggrieved person shall be given a hearing by the
5 board if within 60 days after receiving the notice, the
6 person files with the board a written request for a hearing
7 on the committee's decision to refuse to issue or to suspend,
8 revoke or refuse to renew the license.
9 (3) Within 60 days after the hearing, the board shall
10 notify the aggrieved person of its decision in writing by
11 certified mail.
12 Section 5. Persons exempt from act.
13 This act shall not apply to:
14 (1) A person who is employed as a code enforcement
15 official by the Commonwealth or a political subdivision when
16 acting within the scope of that government employment.
17 (2) A person making home inspections under the
18 supervision of a licensed home inspector for the purpose of
19 meeting the requirements of section 4(b) to qualify for
20 licensure as an associate home inspector.
21 (3) Any of the following persons when acting within the
22 scope of their profession:
23 (i) Architect licensed under the act of December 14,
24 1982 (P.L.1227, No.281), known as the Architects
25 Licensure Law.
26 (ii) Professional engineer licensed under the act of
27 May 23, 1945 (P.L.913, No.367), known as the Engineer,
28 Land Surveyor and Geologist Registration Law.
29 (iii) Real estate broker or salesperson licensed
30 under the act of February 19, 1980 (P.L.15, No.9), known
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1 as the Real Estate Licensing and Registration Act.
2 (iv) Real estate appraiser licensed under the act of
3 July 10, 1990 (P.L.404, No.98), known as the Real Estate
4 Appraisers Certification Act.
5 (v) Public adjuster licensed under the act of
6 December 20, 1983 (P.L.260, No.72), referred to as the
7 Public Adjuster Licensing Law.
8 (vi) Certified applicator licensed under the act of
9 March 1, 1974 (P.L.90, No.24), known as the Pennsylvania
10 Pesticide Control Act of 1973.
11 (vii) New home builder participating in a voluntary
12 mediation proceeding under an agreement with the buyer of
13 a new home in a dispute between the new homebuyer and the
14 buyer's home builder. If the mediation proceeding
15 involves an inspection of the new home, any fee paid
16 shall be for the mediation services and not for the
17 inspection.
18 Section 6. Other states and professions.
19 Upon payment to the board of a fee and the submission of a
20 written application provided by the board after consultation
21 with the committee, the committee shall issue a home inspector
22 license to any person who:
23 (1) Holds a valid license issued by another state, the
24 District of Columbia or another possession or territory of
25 the United States which has standards substantially
26 equivalent to those of this State as determined by the
27 committee.
28 (2) Is licensed in this State to practice architecture
29 or professional engineering, or both, provided that the
30 person meets the requirements of section 4(a)(1), (2) and
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1 (4).
2 Section 7. Persons engaged in home inspections on effective
3 date.
4 During the first 360 days after the effective date of this
5 act, the committee shall issue to any individual upon
6 application a home inspector license, provided that the
7 applicant:
8 (1) Meets the requirements of section 4(a)(1), (2) and
9 (4).
10 (2) Has been engaged in the practice of home inspections
11 for compensation for not less than three years prior to the
12 effective date of this act.
13 (3) Has performed not less than 300 home inspections for
14 compensation.
15 Section 8. Fees.
16 (a) Established by board.--The board shall by regulation
17 establish, prescribe or change the fees for licenses, renewal of
18 licenses or other services provided by the board or the
19 committee pursuant to this act. Licenses shall be issued for a
20 period of two years and shall be renewable biennially.
21 (b) Fees limited.--The fees shall be established, prescribed
22 or changed by the board to the extent necessary to defray all
23 proper expenses incurred by the board or the committee and any
24 staff employed to administer this act. The fees shall not be
25 fixed at a level that will raise amounts in excess of the amount
26 estimated to be so required.
27 (c) Fund.--All fees charged by the board shall be paid to
28 the board and deposited in the Professional Licensure
29 Augmentation Account created by section 301 of the act of July
30 1, 1978 (P.L.700, No.124), known as the Bureau of Professional
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1 and Occupational Affairs Fee Act.
2 Section 9. Other reasons for refusal, revocation or suspension.
3 In addition to the provisions of section 4, the committee may
4 refuse to issue or may suspend, revoke or refuse to renew a home
5 inspector license or associate home inspector license upon proof
6 to the satisfaction of the committee that the licensee has:
7 (1) Disclosed any information concerning the results of
8 the home inspection without approval of a client or the
9 client's representative.
10 (2) Accepted compensation from more than one interested
11 party for the same service without consent of all interested
12 parties.
13 (3) Accepted commissions or allowances, directly or
14 indirectly, from other parties dealing with their client in
15 connection with work for which the licensee is responsible.
16 (4) Failed to disclose promptly to a client information
17 about any business interest of the licensee that may affect
18 the client in connection with the home inspection.
19 (5) Engaged in any conduct in connection to a home
20 inspection that demonstrates bad faith, dishonesty or
21 untrustworthiness.
22 Section 10. Error and omissions policy.
23 (a) Coverage required.--Every licensed home inspector and
24 associate home inspector who is engaged in home inspection shall
25 secure, maintain and file with the board proof of a certificate
26 of an error and omissions policy, which shall be in a minimum
27 amount of $300,000 per occurrence.
28 (b) Cancellation or nonrenewal.--The department shall
29 receive at least ten days' notice of any intention to cancel or
30 to not renew an error and omissions policy.
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1 Section 11. Application of other laws.
2 Except as specifically provided in this act to the contrary,
3 the provisions of the act of May 23, 1945 (P.L.913, No.367),
4 known as the Engineer, Land Surveyor and Geologist Registration
5 Law, including, but not limited to, the provisions relating to
6 the procedure for license suspension and revocation, penalties
7 and injunctions against unlawful practice, shall apply to the
8 licensure of home inspectors and associate home inspectors.
9 Section 12. Effective date.
10 This act shall take effect in 90 days.
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