Key: (1) language to be deleted (2) new language
CHAPTER 123-H.F.No. 733 An act relating to employment; modifying provisions relating to high pressure piping installation; providing penalties; amending Minnesota Statutes 1994, sections 326.48, subdivisions 1, 2, 3, 4, and 5; 326.50; 326.51; and 326.52; repealing Minnesota Statutes 1994, section 326.47, subdivisions 3 and 4. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. Minnesota Statutes 1994, section 326.48, subdivision 1, is amended to read: Subdivision 1. [LICENSE REQUIRED; RULES; TIME CREDIT.] No person, firm, or corporationshall engage in or work at the business of a contracting pipefitteror journeyman pipefitterunlesslicensedissued an individual contracting pipefitter license to do so by the department of labor and industry. No license shall be required for repairs on existing installations. No person shall engage in or work at the business of journeyman pipefitter unless issued an individual journeyman pipefitter competency license to do so by the department of labor and industry. A person possessing an individual contracting pipefitter competency license may also work as a journeyman pipefitter. No person, partnership, firm, or corporation shallengagein the business of installinginstall high pressure piping, nor install high pressure piping in connection with the dealing in and selling of high pressure pipe material and supplies, unless, at all times, alicensed pipefitter, who shall be responsiblefor proper installation, is in charge ofperson possessing a contracting pipefitter individual competency license or a journeyman pipefitter individual competency license is responsible for the high pressure pipefitting workofconducted by the person, partnership, firm, or corporation being in conformity with Minnesota Statutes and Minnesota Rules. The department of labor and industry shall prescribe rules, not inconsistent herewith, for the examination and individual competency licensing of contracting pipefitters and journeyman pipefitters and for issuance of permits by the department and municipalities for the installation of high pressure piping. An employee performing the duties of inspector for the department of labor and industry in regulating pipefitting shall not receive time credit for the inspection duties when making an application for a license required by this section. Sec. 2. Minnesota Statutes 1994, section 326.48, subdivision 2, is amended to read: Subd. 2. [CONTRACTING PIPEFITTER'SHIGH PRESSURE PIPEFITTING BUSINESS LICENSE; BOND AND INSURANCE REQUIREMENTS.]The applicant for a contracting pipefitter license may give bondto the state in the total penal sum of $2,000 conditioned uponthe faithful and lawful performance of all work entered uponwithin the state. The bond shall be for the benefit of personsinjured or suffering financial loss by reason of failure ofperformance. The term of the bond shall be concurrent with theterm of the license. The bond shall be filed with the secretaryof state of the state and shall be in lieu of all other licensebonds to any political subdivision. The bond shall be writtenby a corporate surety licensed to do business in the state.In addition, each applicant for a contracting pipefitter'slicense or renewal thereof, may provide evidence of publicliability insurance, including products liability insurance,with limits of at least $50,000 per person and $100,000 peroccurrence and property damage insurance with limits of at least$10,000. The insurance shall be written by an insurer licensedto do business in the state and each licensed contractingpipefitter shall maintain on file with the department, acertificate evidencing the insurance which provides that theinsurance shall not be canceled without the insurer first giving15 days written notice to the department. The term of theinsurance shall be concurrent with the term of the license. Thecertificate shall be in lieu of all other certificates requiredby any political subdivision for licensing purposes.Before obtaining a permit for high pressure piping work, a person, partnership, firm, or corporation must obtain or utilize a business with a high pressure piping business license. A person, partnership, firm, or corporation must have at all times as a full-time employee at least one individual holding an individual contracting pipefitter competency license. Only full-time employees who hold individual contracting pipefitter licenses are authorized to obtain high pressure piping permits in the name of the business. The individual contracting pipefitter competency license holder can be the employee of only one high pressure piping business at a time. To retain its business license without reapplication, a person, partnership, firm, or corporation holding a high pressure piping business license that ceases to employ a person holding an individual contracting pipefitter competency license shall have 60 days from the last day of employment of its previous individual contracting pipefitter competency license holder to employ another license holder. The department of labor and industry must be notified no later than five days after the last day of employment of the previous license holder. No high pressure pipefitting work may be performed during any period when the high pressure pipefitting business does not have an individual contracting pipefitter competency license holder on staff. If a license holder is not employed within 60 days, the pipefitting business license shall lapse. The department of labor and industry shall prescribe by rule procedures for application for and issuance of business licenses and fees. Sec. 3. Minnesota Statutes 1994, section 326.48, subdivision 3, is amended to read: Subd. 3. [BONDAND INSURANCE EXEMPTION.]A contractingpipefitter who is an employee of a contracting pipefitter or whois an employee engaged within the limits of property owned,leased and operated, or maintained by the employer, in themaintenance and repair of high pressure pipe work, equipment, orfacilities owned or leased by the employer, shall not berequired to meet the bond and insurance requirements ofsubdivision 2.The applicant for a high pressure piping business license or renewal shall give bond to the state in the total penal sum of $15,000 conditioned upon the faithful and lawful performance of all work entered upon within the state. The bond shall run to and be for the benefit of persons injured or suffering financial loss by reason of failure of payment or performance. Claims and actions on the bond may be brought according to sections 574.26 to 574.38. The term of the bond must be concurrent with the term of the high pressure pipefitting business license, and run without interruption from the date of the issuance of the license to the end of the calendar year. All high pressure pipefitting business licenses must be annually renewed on a calendar year basis. The bond must be filed with the secretary of state and shall be in lieu of any other business license bonds required by any political subdivision for high pressure pipefitting. The bond must be written by a corporate surety licensed to do business in the state. Sec. 4. Minnesota Statutes 1994, section 326.48, subdivision 4, is amended to read: Subd. 4. [ALTERNATIVE COMPLIANCEINSURANCE.]Compliancewith the local bond requirements of a locale within which workis to be performed shall be deemed to satisfy the bond andinsurance requirements of subdivision 2.In addition to the bond described in subdivision 3, each applicant for a high pressure pipefitting business license or renewal shall have in force public liability insurance, including products liability insurance, with limits of at least $100,000 per person and $300,000 per occurrence and property damage insurance with limits of at least $50,000. The insurance must be kept in force for the entire term of the high pressure pipefitting business license, and the license shall be suspended by the department if at any time the insurance is not in force. The insurance must be written by an insurer licensed to do business in the state and shall be in lieu of any other insurance required by any subdivision of government for high pressure pipefitting. Each person, partnership, firm, or corporation holding a high pressure pipefitting business shall maintain on file with the department a certificate evidencing the insurance. Any purported cancellation of insurance shall not be effective without the insurer first giving 30 days' written notice to the department. Sec. 5. Minnesota Statutes 1994, section 326.48, subdivision 5, is amended to read: Subd. 5. [FEE.] The state department of labor and industry may charge each applicant for acontracting pipefitterhigh pressure pipefitting business license or for a renewal of acontracting pipefitterhigh pressure pipefitting business license and an additional fee commensurate with the cost of administering the bond and insurance requirements ofsubdivision2subdivisions 3 and 4. Sec. 6. Minnesota Statutes 1994, section 326.50, is amended to read: 326.50 [APPLICATION; FEES.] Application fora pipefitter'san individual contracting pipefitter competency or an individual journeyman pipefitter competency license shall be made to the department of labor and industry, with fees. The applicant shall be licensed only after passing an examination by the department of labor and industry. Fees and conditions for renewal ofjourneyman and contractingpipefitter's licensesan individual contracting pipefitter competency or an individual journeyman pipefitter competency license shall besetdetermined by thecommissionerdepartment by rule under chapter 14 and section 16A.128. Sec. 7. Minnesota Statutes 1994, section 326.51, is amended to read: 326.51 [DEPARTMENT MAY REVOKE LICENSES.] The department may revoke or suspend, for cause, any license obtained through error or fraud, or if the licensee is shown to be incompetent, or for a violation of any of its rules and regulations applicable tosuchhigh pressure pipefitting work. The licensee shall have notice, in writing, enumerating the charges, and be entitled to a hearing on at least ten days' notice, with the right to produce testimony. The hearing shall be held pursuant to chapter 14. The commissioner shall issue a final order based on testimony and the record at hearing. One year from the date of revocation application may be made for a new license. Sec. 8. Minnesota Statutes 1994, section 326.52, is amended to read: 326.52 [DEPOSIT OF FEES.] All fees received under sections 326.46 to 326.52 shall be deposited by the department of labor and industry to the credit of the general fund in the state treasury. The salaries and per diem of the inspectors and examiners hereinbefore provided, their expenses, and all incidental expenses of the department in carrying out the provisions of sections 326.46 to 326.52 shall be paid from the appropriations made to the department of labor and industry. The commissioner by rule shall set the amount of the fees at a level that approximates, to the greatest extent possible, the salaries, per diem, and incidental expenses of the department. Sec. 9. [REPEALER.] Minnesota Statutes 1994, section 326.47, subdivisions 3 and 4, are repealed. Presented to the governor May 4, 1995 Signed by the governor May 5, 1995, 9:05 a.m.
Official Publication of the State of Minnesota
Revisor of Statutes