Bill Introduced to “Verify” Construction Contractors

HARRISBURG – State Representative Carrie Lewis DelRosso (R- Allegheny) introduced HB 1021, a bill that would require all construction contractors to be “verified” by the Pennsylvania Attorney General.

What Does “Verified” mean?

To be verified, according to the bill, means that construction contractors would have to:

• Register with the Attorney General;
• Certify that they are:
  • Providing workers’ compensation insurance;
  • Paying unemployment compensation taxes;
  • Registered under the federal E-Verify system for checking new employees’ legal status;
• Provide proof of financial responsibility;
• Pay a fee of not more than $500.

Construction Contractor Defined

The bill defines a construction contractor as:

A person who, in any capacity for compensation, other than as an employee of another person, engages in the erection, reconstruction, demolition, alteration, modification, custom fabrication, building, assembling, site preparation and repair or maintenance work on real property or premises under a contract, including work for a public body or work paid for from public funds.

Contractors Registered Under HICPA Would Be Exempt

However, any construction contractor that is registered under the Pennsylvania Home Improvement Consumer Protection Act (HICPA) would be deemed as having met the requirements of the bill. Most landscape contractors in Pennsylvania should already be registered with the attorney general’s office under HICPA. To find out if you should be registered as a home improvement contractor under HICPA, go this web page on the PLNA website.

As the registration fee for HICPA is only $50, if this bill becomes law, it makes sense for landscape contractors not already registered to register under HICPA.

PLNA Watching Closely

PLNA has not yet taken a position on this legistion but is watching it closely. To download the complete bill, click here.