Section 894.10  Definitions

 

"Act" means the Illinois Plumbing License Law [225 ILCS 320].

 

"Business maintenance staff" means one or more licensed plumbers or apprentice plumbers who perform plumbing, as defined in the Act, solely in commercial business facilities owned by the business that employs the plumber or plumbers.

 

"Department" means the Illinois Department of Public Health.

 

"Plumbing contractor" means any person who performs plumbing, as defined in the Act, for another person for hire.  "Plumbing contractor" shall not include licensed plumbers and licensed apprentice plumbers who either are employed by persons engaged in the plumbing business or are employed by another person for the performance of plumbing solely for that other person, including, but not limited to, a hospital, university, or business maintenance staff.  (Section 2 of the Act)

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.15  Referenced Materials

 

The following materials are referenced in this Part:

 

a)         Illinois Plumbing License Law [225 ILCS 320]

 

b)         Practice and Procedure in Administrative Hearings (77 Ill. Adm. Code 100)

 

c)         Illinois Plumbing Code (77 Ill. Adm. Code 890)

 

(Source:  Added at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.20  Registration Requirements for Plumbing Contractors

 

a)         Plumbing Contractor Registration.  Subject to Section 13.1 of the Act, each plumbing contractor doing business in Illinois shall register annually with the Department. Registration shall be submitted on forms available from the Department and shall include the following information:

 

1)         The plumbing contractor's full name, business name, address and telephone number, full address of the business, business telephone and fax numbers; Federal Employer Identification Number (FEIN); whether the business is a sole proprietorship, partnership, or corporation; and the name of the registered agent, if the contractor is a corporation.

 

2)         If the plumbing contractor is a corporation, annual certification from the Illinois Secretary of State that the corporation is in good standing in the State of Illinois as either a domestic or foreign corporation and has not been dissolved.

 

3)         The name, address, telephone and plumber's license number of the licensed plumber of record for the plumbing contractor.

 

4)         A copy of the valid plumber's license for the licensed plumber of record.

 

5)         The annual registration fee specified in Section 894.70.

 

6)         An original certificate of insurance documenting that the plumbing contractor carries general liability insurance with a minimum of $100,000 per occurrence, a minimum of $300,000 aggregate for bodily injury, property damage insurance with a minimum of $50,000 or a minimum of $300,000 combined single limit, and worker's compensation insurance with a minimum of $500,000 employer's liability. (Section 13.1 of the Act) Sole proprietorships and partnerships with no employees are exempt from the worker's compensation insurance requirement.

 

7)         On a form provided by the Department, an indemnification bond in the amount of $20,000 or an irrevocable letter of credit from a financial institution guaranteeing that funds shall be available only to the Department and shall be released upon written notification by the Department in the same amount for plumbing work performed by the registered plumbing contractor. (Section 13.1 of the Act) The letter of credit shall:

 

A)        Be printed on the letterhead of the issuing financial institution;

 

B)        Be signed by an officer of the same financial institution;

 

C)        Name the Department as the sole beneficiary (Section 2.5 of the Act); and

 

D)        Expire on April 30 of each year.

 

b)         Registration Expiration and Renewal.  All registrations issued under this Section shall expire on April 30 of each year, except that initial registrations issued after January 30 shall expire one year after the next April 30.  Registration may be renewed for a period of one year from each succeeding May 1 upon submission by the plumbing contractor of a renewal registration form, all documents required in subsections (a)(5) and (6), and fee payment prior to that May 1.

 

c)         Reporting Changes in Registration

 

1)         Plumbing contractors shall report to the Department 15 days in advance of the change:

 

A)        Any changes in the business structure, name, or location;

 

B)        Any changes in ownership of the registered plumbing contractor;

 

C)        Any changes in the licensed plumber of record listed on the registration application.

 

2)         Operation under new ownership shall not commence until the Department has issued a new registration.

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.30  Certificates of Insurance

 

Every plumbing contractor application for original registration or registration renewal shall be accompanied by a certificate of insurance as prescribed under Section 13.1 of the Act and this Part.

 

a)         The Certificate of Insurance shall consist of one of the following:

 

1)         Certificate of Insurance issued by an insurance company authorized to transact business in the State of Illinois; or

 

2)         Certificate of Insurance issued by a Risk Retention Group registered to transact business in the State of Illinois; or

 

3)         Certificate of Insurance issued by an insurance company that is the insurer of a registered purchasing group.

 

b)         The Certificate of Insurance shall be completed on a form provided or approved by the Department and shall be issued in the name of the registered plumbing contractor.  The certificate shall include the following:

 

1)         Complete name of the insurance company providing coverage to the registered plumbing contractor;

 

2)         Name, address and telephone number of the insurance agency;

 

3)         Name and address of the insured contractor;

 

4)         Type of insurance coverage;

 

5)         Policy number and expiration date;

 

6)         Minimum limits of liability in accordance with Section 13.1 of the Act and Section 894.20 of this Part;

 

7)         The Illinois Department of Public Health listed as a certificate holder;

 

8)         Signature of the insurance representative authorized to write the certificate.

 

c)         Items not covered by the insurance policy, including withdrawal by an officer of the corporation from worker's compensation coverage, shall be listed and explained on the Certificate of Insurance, or attached to the certificate.

 

d)        Each applicant or registered plumbing contractor, or his or her designated insurance representative, shall provide the Department with the required Certificate of Insurance and notify the Department in writing of any cancellations, material alterations or expiration at least 30 days prior to any such cancellation, alteration or expiration, not withstanding the requirements of subsection (f).

 

e)         Within 30 days after the renewal of an insurance policy, the registered contractor shall forward a copy of the renewed Certificate of Insurance to the Department.  Although this responsibility may be delegated to the insurance company, it shall be the responsibility of the registered contractor to ensure that this requirement is met.

 

Section 894.40  Insurance and Surety Bond Coverage

 

a)         A registered plumbing contractor shall not perform services excluded from the contractor's liability insurance coverage.  The insurance policy shall cover all services performed by the registered contractor.

 

b)         The insurance policy and coverage shall be in effect at all times during the license year. Any interruption in insurance coverage (i.e., any instance when the liability insurance coverage fails to meet the requirements of the Act or this Part) shall result in an immediate termination of plumbing activities.  Plumbing activities shall be reinstated only after the Department has received a certificate of insurance that includes the limits of liability in accordance with Section 13.1 of the Act and Section 894.20 of this Part.

 

c)         Upon request by the Department, the applicant or licensee shall provide a duplicate copy of the insurance policy.

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.50  Hearings

 

All hearings held pursuant to this Part shall be in accordance with the Act and the Department's Practice and Procedure in Administrative Hearings.

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.60  Registered Plumbing Contractor Violations

 

a)         The Department may take disciplinary action against a registered plumbing contractor for violations of the Act, this Part or the Illinois Plumbing Code (77 Ill. Adm. Code 890). Pursuant to Section 20 of the Act, such action may include revocation, suspension, or denial of a plumbing contractor's registration issued by the Department; and under Section 5(b.10) of the Act may include an Order of Correction to a telecommunications carrier for improper advertising.

 

b)         A violation, for the purposes of this Section, shall be considered to mean a finding of violation of a Section of the Act, or this Part, or the Illinois Plumbing Code by the Director in a final order issued pursuant to the Act and shall include the following acts:

 

1)         Any registered plumbing contractor who permits his name or plumbing contractor registration to be used to imply that he is a member of sole proprietorship, association, partnership, or corporation, and evidence indicates that he is not actively engaged on a daily basis in the plumbing activities of the sole proprietorship, association, partnership, or corporation. Evidence used by the Department in making such a determination may include payroll records, time sheets, W-2 forms, and documents on file with the Secretary of State;

 

2)         Any registered plumbing contractor who refuses to correct Illinois Plumbing Code violations as requested by the Department, continues to install plumbing in violation of Illinois Plumbing Code requirements, or is found guilty of negligence or incompetence in the performance of plumbing;

 

3)         Any registered plumbing contractor who employs individuals who are not licensed plumbers or licensed apprentice plumbers to install plumbing;

 

4)         Any registered plumbing contractor who advertises his or her services as a certified plumbing inspector without obtaining certification from the Department or who uses or attempts to use the certificate of a certified plumbing inspector;

 

5)         a registered plumbing contractor presenting, as his or her own, the registration of another person; submitting false information or misrepresenting facts, including failure to maintain required insurance, to the Department for the purpose of obtaining registration or renewal of registration as a plumbing contractor;

 

6)         using or attempting to use a registration that has been suspended or revoked;

 

7)         being convicted or found guilty of, or entering a plea of nolo contendere to, regardless of adjudication, a crime in any jurisdiction that directly relates to the practice of plumbing;

 

8)         violating any provision of the Illinois Plumbing License Law, this Part, the Illinois Plumbing Code, or any county or municipal plumbing laws or ordinances; or

 

9)         the owner or officer of a registered plumbing contractor failing to maintain a valid plumbing license.

 

Section 894.70  Civil Penalties for Unregistered Plumbing Contractors

 

a)         A person who practices, offers to practice, or holds himself or herself out to practice as a plumbing contractor without being registered under the provisions of the Act shall be issued a civil penalty under the following criteria:

 

1)         First Offense

 

A)        When no violations of the Illinois Plumbing Code (77 Ill. Adm. Code 890) are found, the person:

 

i)          Shall pay a civil penalty of $1,000.

 

ii)         May be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

B)        When violations of the Illinois Plumbing Code are found, the person:

 

i)          Shall pay a civil penalty of $3,000.  This amount may be reduced to $1,000 upon the condition that the unregistered person pays for a licensed plumber to correct the violations of the Illinois Plumbing Code.  The licensed plumber correcting the violations must be acceptable to the other party to the original contract or agreement.

 

ii)         May be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

2)         Second Offense

 

A)        When no violations of the Illinois Plumbing Code are found, the person:

 

i)          Shall pay a civil penalty of $3,000.

 

ii)         May be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

B)        When violations of the Illinois Plumbing Code are found, the person:

 

i)          Shall pay a civil penalty of $5,000.  This amount may be reduced to $3,000 upon the condition that the unregistered person pays for a licensed plumber to correct the violations of the Illinois Plumbing Code.  The licensed plumber correcting the violations must be acceptable to the other party to the original contract or agreement.

 

ii)         May be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

3)         Third and Subsequent Offenses.  The person:

 

A)        Shall pay a civil penalty of $5,000.

 

B)        Shall be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

b)         A registered plumbing contractor, firm, corporation, partnership, or association, who directs, authorizes or allows a person to practice, offer to practice, attempt to practice, or hold himself or herself out to practice as a plumbing employee without being licensed under the provisions of the Act, shall be issued a civil penalty under the following criteria:

 

1)         First Offense.  The person:

 

A)        Shall pay a civil penalty of $5,000.

 

B)        Shall be required to pay for a licensed plumber to correct any violations of the Illinois Plumbing Code.  The licensed plumber correcting the violations must be acceptable to the other party to the original contract or agreement.

 

C)        Shall have his or her plumbing license suspended.

 

D)        May be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

2)         Second Offense.  The person:

 

A)        Shall pay a civil penalty of $5,000.

 

B)        Shall be required to pay for a licensed plumber to correct any violations of the Illinois Plumbing Code.  The licensed plumber correcting the violations must be acceptable to the other party to the original contract or agreement.

 

C)        Shall have his or her plumbing license revoked.

 

D)        Shall be referred to the State's Attorney of the County or Attorney General for prosecution under Section 29 of the Act.

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)

 

Section 894.80  Fees for Plumbing Contractors

 

a)         Each registered plumbing contractor shall submit a non-refundable annual registration fee of $150 to the Department.

 

b)         A non-refundable registration reinstatement fee of $100 shall be paid to reinstate a plumbing contractor's registration.

 

c)         The fee for a dishonored negotiable instrument, including, but not limited to, returned checks or insufficient payment, shall be $200.

 

(Source:  Amended at 38 Ill. Reg. 22239, effective November 12, 2014)