CSHB 81(L&C): "An Act relating to an exemption from the regulation of construction contractors."

00 CS FOR HOUSE BILL NO. 81(L&C) 01 "An Act relating to an exemption from the regulation of construction contractors." 02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 03 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 04 to read: 05 LEGISLATIVE INTENT. It is the intent of the legislature that the exemptions listed 06 in AS 08.18.161, as amended by sec. 2 of this Act, be construed broadly in order to allow 07 individuals the freedom and ability to construct and sell their own homes based on their own 08 discretion. 09 * Sec. 2. AS 08.18.161 is amended to read: 10 Sec. 08.18.161. Exemptions. To the extent that this chapter governs 11 contractors, this chapter does not apply to 12 (1) an authorized representative of the United States government, the 13 State of Alaska, or a political subdivision or agency of the state; 14 (2) an officer of a court when acting within the scope of office; 15 (3) a public utility operating under the regulations of the Regulatory

01 Commission of Alaska in construction, maintenance, or development work incidental 02 to its own business; 03 (4) a construction, repair, or operation incidental to the discovering or 04 producing of petroleum or gas, or the drilling, testing, abandoning, or other operation 05 of a petroleum or gas well or a surface or underground mine or mineral deposit when 06 performed by an owner or lessee; 07 (5) the sale or installation of finished products, materials, or articles of 08 merchandise that are not actually fabricated into and do not become a permanent, 09 fixed part of a structure; 10 (6) construction, alteration, or repair of personal property; 11 (7) a person who only furnished materials, supplies, or equipment 12 without fabricating them into, or consuming them in the performance of, the work of 13 the contractor; 14 (8) [REPEALED 15 (9)] an owner who contracts for a project with a registered contractor; 16 (9) [(10)] a person working on an existing structure on that person's 17 own property, whether occupied by the person or not, and a person working on that 18 person's own existing residence, whether owned by the person or not; 19 (10) [(11)] an owner or tenant of commercial property who uses the 20 owner's or tenant's own employees to do maintenance, repair, and alteration work on 21 [UPON] that property; 22 (11) [(12)] an owner who acts as the owner's own contractor and in 23 doing so performs the work independently or hires workers or [ON AN HOURLY 24 BASIS, HIRES] subcontractors, purchases materials, and, as such, sees to the paying 25 for all labor, subcontractors, and materials; in this case, the owner shall be limited to 26 construction of one home, duplex, triplex, four-plex, or commercial building every 27 two years; the exemption in this paragraph does not apply if the structure under 28 construction is advertised for sale or sold during the period of construction or for 29 two years after the period of construction ends, unless the owner can 30 demonstrate to the department's satisfaction that the sale would not result in 31 circumvention of the requirements under this chapter;

01 (12) [(13)] a person performing construction work incidental to 02 farming, dairying, agriculture, horticulture, stock or poultry raising, mining, logging, 03 fishing, clearing, or other work upon the land in rural districts for fire prevention 04 purposes, or access road building, unless the person is a licensee. 05 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 06 read: 07 APPLICABILITY. This Act applies to construction begun under AS 08.18.161(11), as 08 amended by sec. 2 of this Act, on or after the effective date of this Act. For the purposes of 09 this section, construction begins on the date that is the earlier of when the owner 10 (1) begins the actual construction work; or 11 (2) enters into an agreement with another person for the other person to 12 provide labor, to act as a subcontractor, or to provide materials for the construction.