New inspection law / Mold toward bottom / highlights
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CHAPTER 2007-235
Committee Substitute for Committee Substitute for
Committee Substitute for Senate Bill No. 2234
An act relating to regulation of building inspection professionals;
amending s. 634.301, F.S.; redefining the terms “home warranty” or
“warranty” for purposes of part II of ch. 634, F.S., relating to home
warranty associations; creating pt. XV of ch. 468, F.S., relating to
regulation of home inspectors; providing a purpose; providing exemptions;
providing definitions; authorizing the Department of
Business and Professional Regulation to establish fees; limiting fee
amounts; providing for a home inspector licensure examination; providing
qualifications to take the licensure examination; providing
requirements for the department to certify and license home inspectors;
providing for licensure by endorsement; requiring continuing
education for license renewal; providing criteria for continuing education;
providing for inactivation of licenses; requiring the department
to establish fees for the reactivation and renewal of inactive
licenses; providing for certification of partnerships and corporations
offering home inspection services; requiring a certificate of authorization
for certain persons and entities practicing home inspection
services; providing for prohibitions and penalties; providing grounds
for disciplinary proceedings; authorizing the department to impose
specified penalties; requiring home inspectors to provide a specified
disclosure to consumers; requiring home inspectors to maintain a
specified insurance policy; requiring home inspectors to provide a
written report to homeowners upon completion of each home inspection;
providing content requirements for home inspection reports;
authorizing certain persons to qualify for home inspection licensure
notwithstanding the requirements of this part; creating pt. XVI of
ch. 468, F.S., relating to regulation of mold remediators and mold
assessors; providing a purpose; providing exemptions; providing definitions;
authorizing the department to establish fees; limiting fee
amounts; providing for a mold assessor and mold remediator licensure
examination; providing qualifications to take the licensure examinations;
providing requirements for the department to certify
and license home inspectors; providing for licensure by endorsement;
requiring continuing education for license renewal; providing
criteria for continuing education; providing for inactivation of licenses;
requiring the department to establish fees for the reactivation
and renewal of inactive licenses; providing for certification of
partnerships and corporations offering mold assessment or mold
remediation services; requiring a certificate of authorization for certain
persons and entities practicing home inspection services; providing
for prohibitions and penalties; providing grounds for disciplinary
proceedings; authorizing the department to impose specified
penalties; requiring mold assessors and mold remediators to maintain
specified insurance policies; providing requirements for contracts
to perform mold assessment or mold remediation; authorizing
certain persons to qualify for mold assessment and mold remedia-
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tion licensure notwithstanding the requirements of this part; providing
an effective date.
Be It Enacted by the Legislature of the State of Florida:
Section 1. Subsection (3) of section 634.301, Florida Statutes, is amended
to read:
634.301 Definitions.—As used in this part, the term:
(3) “Home warranty” or “warranty” means any contract or agreement:
(a) Offered in connection with the sale of residential property;
(b) Offered in connection with a loan of $5,000 or more which is secured
by residential property that is the subject of the warranty, but not in connection
with the sale of such property; or
(c) Offered in connection with a home improvement of $7,500 or more for
residential property that is the subject of the warranty, but not in connection
with the sale of such property; or
(d) Offered in connection with a home inspection service as defined under
s. 468.8311(4) or a mold assessment as defined under s. 468.8411(3);
whereby a person undertakes to indemnify the warranty holder against the
cost of repair or replacement, or actually furnishes repair or replacement,
of any structural component or appliance of a home, necessitated by wear
and tear or an inherent defect of any such structural component or appliance
or necessitated by the failure of an inspection to detect the likelihood of any
such loss. However, this part does not prohibit the giving of usual performance
guarantees by either the builder of a home or the manufacturer or
seller of an appliance, as long as no identifiable charge is made for such
guarantee. This part does not permit the provision of indemnification
against consequential damages arising from the failure of any structural
component or appliance of a home, which practice constitutes the transaction
of insurance subject to all requirements of the insurance code. This part
does not apply to service contracts entered into between consumers and
nonprofit organizations or cooperatives the members of which consist of
condominium associations and condominium owners and which perform
repairs and maintenance for appliances or maintenance of the residential
property. This part does not apply to a contract or agreement offered in
connection with a sale of residential property by a warranty association in
compliance with part III, provided such contract or agreement only relates
to the systems and appliances of the covered residential property and does
not cover any structural component of the residential property.
Section 2. Part XV of chapter 468, Florida Statutes, consisting of sections
468.83, 468.831, 468.8311, 468.8312, 468.8313, 468.8314, 468.8315,
468.8316, 468.8317, 468.8318, 468.8319, 468.832, 468.8321, 468.8322,
468.8323, and 468.8324, is created to read:
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468.83 Purpose.—The Legislature recognizes that there is a need to require
the licensing of home inspectors and to ensure that consumers of home
inspection services can rely on the competence of home inspectors, as determined
by educational and experience requirements and testing. Therefore,
the Legislature deems it necessary in the interest of the public welfare to
regulate home inspectors in this state.
468.831 Exemptions.—The following persons are not required to comply
with any provision of this part:
(1) An authorized government employee of the United states, this state,
or any municipality, county, or other political subdivision who is conducting
home inspection services within the scope of that employment, as long as the
employee does not hold out for hire to the general public or otherwise engage
in home inspection services.
(2) A person acting within his or her authorized scope of practice as
licensed under federal, state, or local codes or statutes, except when such
person holds himself or herself out for hire to the public as a “certified home
inspector,” “registered home inspector,” “licensed home inspector,” “home
inspector,” “professional home inspector,” or any combination thereof stating
or implying licensure under this part.
(3) An officer appointed by the court.
(4) A person performing safety inspections of utility equipment in or on
a home or building or other duties conducted by or for a utility under chapter
366 or rules adopted by the Public Service Commission.
(5) A certified energy auditor performing an energy audit of any home or
building or other duties conducted by or for a utility under chapter 366 or
rules adopted by the Public Service Commission.
468.8311 Definitions.—As used in this part, the term:
(1) “Department” means the Department of Business and Professional
Regulation.
(2) “Home” means any residential real property, or manufactured or
modular home, which is a single-family dwelling, duplex, triplex, quadruplex,
condominium unit, or cooperative unit. The term does not include the
common areas of condominiums or cooperatives.
(3) “Home inspector” means any person who provides or offers to provide
home inspection services for a fee or other compensation.
(4) “Home inspection services” means a limited visual examination of one
or more of the following readily accessible installed systems and components
of a home: the structure, electrical system, HVAC system, roof covering,
plumbing system, interior components, exterior components, and site conditions
that affect the structure, for the purposes of providing a written professional
opinion of the condition of the home.
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468.8312 Fees.—
(1) The department, by rule, may establish fees to be paid for applications,
examination, reexamination, licensing and renewal, inactive status
application and reactivation of inactive licenses, recordkeeping, and applications
for providers of continuing education. The department may also establish
by rule a delinquency fee. Fees shall be based on department estimates
of the revenue required to implement the provisions of this part. All fees
shall be remitted with the appropriate application, examination, or license.
(2) The initial application and examination fee shall not exceed $125 plus
the actual per applicant cost to the department to purchase an examination,
if the department chooses to purchase the examination. The examination fee
shall be in an amount that covers the cost of obtaining and administering
the examination and shall be refunded if the applicant is found ineligible to
sit for the examination. The application fee shall be nonrefundable.
(3) The initial license fee shall not exceed $200.
(4) The fee for a certificate of authorization shall not exceed $125.
(5) The biennial renewal fee shall not exceed $200.
(6) The fee for licensure by endorsement shall not exceed $200.
(7) The fee for application for inactive status or for reactivation of an
inactive license shall not exceed $200.
(8) The fee for applications from providers of continuing education may
not exceed $500.
468.8313 Examinations.—
(1) A person desiring to be licensed as a home inspector shall apply to the
department to take a licensure examination.
(2) An applicant shall be entitled to take the licensure examination for
the purpose of determining whether he or she is qualified to practice in this
state as a home inspector if the applicant is of good moral character and has
completed a course of study of no less than 120 hours that covers all of the
following components of a home: structure, electrical system, HVAC system,
roof covering, plumbing system, interior components, exterior components,
and site conditions that affect the structure.
(3) The department shall review and approve courses of study in home
inspection.
(4) The department may review and approve examinations by a nationally
recognized entity that offers programs or sets standards that ensure
competence as a home inspector.
(5)(a) “Good moral character” means a personal history of honesty, fairness,
and respect for the rights of others and for the laws of this state and
nation.
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(b) The department may refuse to certify an applicant for failure to satisfy
this requirement only if:
1. There is a substantial connection between the lack of good moral
character of the applicant and the professional responsibilities of a licensed
home inspector; and
2. The finding by the department of lack of good moral character is
supported by clear and convincing evidence.
(c) When an applicant is found to be unqualified for a license because of
lack of good moral character, the department shall furnish the applicant a
statement containing the findings of the department, a complete record of
the evidence upon which the determination was based, and a notice of the
rights of the applicant to a rehearing and appeal.
(6) The department may adopt rules pursuant to ss. 120.536(1) and
120.54 to implement the provisions of this section.
468.8314 Licensure.—
(1) The department shall license any applicant who the department certifies
is qualified to practice home inspection services.
(2) The department shall certify for licensure any applicant who satisfies
the requirements of s. 468.8313 and who has passed the licensing examination.
The department may refuse to certify any applicant who has violated
any of the provisions of s. 468.832.
(3) The department shall certify as qualified for a license by endorsement
an applicant who is of good moral character as determined in s. 468.8313;
holds a valid license to practice home inspection services in another state or
territory of the United States, whose educational requirements are substantially
equivalent to those required by this part; and has passed a national,
regional, state, or territorial licensing examination that is substantially
equivalent to the examination required by this part.
(4) The department shall not issue a license by endorsement to any applicant
who is under investigation in another state for any act that would
constitute a violation of this part or chapter 455 until such time as the
investigation is complete and disciplinary proceedings have been terminated.
468.8315 Renewal of license.—
(1) The department shall renew a license upon receipt of the renewal
application and upon certification by the department that the licensee has
satisfactorily completed the continuing education requirements of s.
468.8316.
(2) The department shall adopt rules establishing a procedure for the
biennial renewal of licenses.
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468.8316 Continuing education.—
(1) The department may not renew a license until the licensee submits
proof satisfactory to the department that during the 2 years prior to his or
her application for renewal the licensee has completed at least 14 hours of
continuing education. Criteria and course content shall be approved by the
department by rule.
(2) The department may prescribe by rule additional continuing professional
education hours, not to exceed 25 percent of the total hours required,
for failure to complete the hours required for renewal by the end of the
reestablishment period.
468.8317 Inactive license.—
(1) A licensee may request that his or her license be placed in an inactive
status by making application to the department.
(2) A license that has become inactive may be reactivated upon application
to the department. The department may prescribe by rule continuing
education requirements as a condition of reactivating a license. The continuing
education requirements for reactivating a license may not exceed 14
hours for each year the license was inactive.
(3) The department shall adopt rules relating to licenses which have
become inactive and for the renewal of inactive licenses. The department
shall prescribe by rule a fee not to exceed $200 for the reactivation of an
inactive license and a fee not to exceed $200 for the renewal of an inactive
license.
468.8318 Certification of corporations and partnerships.—
(1) The department shall issue a certificate of authorization to a corporation
or partnership offering home inspection services to the public if the
corporation or partnership satisfies all of the requirements of this part.
(2) The practice of or the offer to practice home inspection services by
licensees through a corporation or partnership offering home inspection
services to the public, or by a corporation or partnership offering such services
to the public through licensees under this part as agents, employees,
officers, or partners, is permitted subject to the provisions of this part,
provided that all personnel of the corporation or partnership who act in its
behalf as home inspectors in this state are licensed as provided by this part;
and further provided that the corporation or partnership has been issued a
certificate of authorization by the department as provided in this section.
Nothing in this section shall be construed to allow a corporation to hold a
license to practice home inspection services. No corporation or partnership
shall be relieved of responsibility for the conduct or acts of its agents, employees,
or officers by reason of its compliance with this section, nor shall
any individual practicing home inspection services be relieved of responsibility
for professional services performed by reason of his or her employment
or relationship with a corporation or partnership.
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(3) For the purposes of this section, a certificate of authorization shall be
required for a corporation, partnership, association, or person practicing
under a fictitious name and offering home inspection services to the public;
however, when an individual is practicing home inspection services in his
or her own given name, he or she shall not be required to register under this
section.
(4) Each certificate of authorization shall be renewed every 2 years. Each
partnership and corporation certified under this section shall notify the
department within 1 month of any change in the information contained in
the application upon which the certification is based.
(5) Disciplinary action against a corporation or partnership shall be administered
in the same manner and on the same grounds as disciplinary
action against a licensed home inspector.
468.8319 Prohibitions; penalties.—
(1) A home inspector, a company that employs a home inspector, or a
company that is controlled by a company that also has a financial interest
in a company employing a home inspector may not:
(a) Practice or offer to practice home inspection services unless the person
has complied with the provisions of this part;
(b) Use the name or title “certified home inspector,” “registered home
inspector,” “licensed home inspector,” “home inspector,” “professional
home
inspector,” or any combination thereof unless the person has complied with
the provisions of this part;
(c) Present as his or her own the license of another;
(d) Knowingly give false or forged evidence to the department or an
employee thereof;
(e) Use or attempt to use a license that has been suspended or revoked;
(f) Perform or offer to perform, prior to closing, for any additional fee, any
repairs to a home on which the inspector or the inspector’s company has
prepared a home inspection report. This paragraph does not apply to a home
warranty company that is affiliated with or retains a home inspector to
perform repairs pursuant to a claim made under a home warranty contract;
(g) Inspect for a fee any property in which the inspector or the inspector’s
company has any financial or transfer interest;
(h) Offer or deliver any compensation, inducement, or reward to any
broker or agent therefor for the referral of the owner of the inspected property
to the inspector or the inspection company; or
(i) Accept an engagement to make an omission or prepare a report in
which the inspection itself, or the fee payable for the inspection, is contingent
upon either the conclusions in the report, preestablished findings, or
the close of escrow.
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(2) Any person who is found to be in violation of any provision of this
section commits a misdemeanor of the first degree, punishable as provided
in s. 775.082 or s. 775.083.
468.832 Disciplinary proceedings.—
(1) The following acts constitute grounds for which the disciplinary actions
in subsection (2) may be taken:
(a) Violation of any provision of this part or s. 455.227(1);
(b) Attempting to procure a license to practice home inspection services
by bribery or fraudulent misrepresentation;
(c) Having a license to practice home inspection services revoked, suspended,
or otherwise acted against, including the denial of licensure, by the
licensing authority of another state, territory, or country;
(d) 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 home inspection services or the ability to
practice home inspection services;
(e) Making or filing a report or record that the licensee knows to be false,
willfully failing to file a report or record required by state or federal law,
willfully impeding or obstructing such filing, or inducing another person to
impede or obstruct such filing. Such reports or records shall include only
those that are signed in the capacity of a licensed home inspector;
(f) Advertising goods or services in a manner that is fraudulent, false,
deceptive, or misleading in form or content;
(g) Engaging in fraud or deceit, or of negligence, incompetency, or misconduct,
in the practice of home inspection services;
(h) Failing to perform any statutory or legal obligation placed upon a
licensed home inspector; violating any provision of this chapter, a rule of the
department, or a lawful order of the department previously entered in a
disciplinary hearing; or failing to comply with a lawfully issued subpoena
of the department; or
(i) Practicing on a revoked, suspended, inactive, or delinquent license.
(2) When the department finds any home inspector guilty of any of the
grounds set forth in subsection (1), it may enter an order imposing one or
more of the following penalties:
(a) Denial of an application for licensure.
(b) Revocation or suspension of a license.
(c) Imposition of an administrative fine not to exceed $5,000 for each
count or separate offense.
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(d) Issuance of a reprimand.
(e) Placement of the home inspector on probation for a period of time and
subject to such conditions as the department may specify.
(f) Restriction of the authorized scope of practice by the home inspector.
(3) In addition to any other sanction imposed under this part, in any final
order that imposes sanctions, the department may assess costs related to the
investigation and prosecution of the case.
468.8321 Disclosures.—Prior to contracting for or commencing a home
inspection, a home inspector shall provide to the consumer a copy of his or
her license to practice home inspection services in this state and a written
disclosure that contains the scope and any exclusions of the home inspection.
468.8322 Insurance.—A home inspector shall maintain a commercial
general liability insurance policy in an amount of not less than $300,000.
468.8323 Home inspection report.—Upon completion of each home inspection
for compensation, the home inspector shall provide a written report
prepared for the client.
(1) The home inspector shall report:
(a) On those systems and components inspected that, in the professional
opinion of the inspector, are significantly deficient or are near the end of
their service lives.
(b) If self-evident, a reason why the system or component reported under
paragraph (a) is significantly deficient or near the end of its service life.
(c) Any systems and components that were present at the time of the
inspection but were not inspected, and a reason they were not inspected.
(2) A home inspector is not required to provide estimates related to the
cost of repair of an inspected property.
468.8324 Grandfather clause.—A person who performs home inspection
services as defined in this part may qualify to be licensed by the department
as a home inspector if the person meets the licensure requirements of this
part by July 1, 2010.
Section 3. Part XVI of chapter 468, Florida Statutes, consisting of sections
468.84, 468.841, 468.8411, 468.8412, 468.8413, 468.8414, 468.8415,
468.8416, 468.8417, 468.8418, 468.8419, 468.842, 468.8421, 468.8422, and
468.8423, is created to read:
468.84 Legislative purpose.—The Legislature finds it necessary in the
interest of the public safety and welfare, to prevent damage to the real and
personal property, to avert economic injury to the residents of this state, and
to regulate persons and companies that hold themselves out to the public as
qualified to perform mold-related services.
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468.841 Exemptions.—
(1) The following persons are not required to comply with any provisions
of this part relating to mold assessment:
(a) A residential property owner who performs mold assessment on his
or her own property.
(b) A person who performs mold assessment on property owned or leased
by the person, the person’s employer, or an entity affiliated with the person’s
employer through common ownership, or on property operated or managed
by the person’s employer or an entity affiliated with the person’s employer
through common ownership. This exemption does not apply if the person,
employer, or affiliated entity engages in the business of performing mold
assessment for the public.
(c) An employee of a mold assessor while directly supervised by the mold
assessor.
(d) Persons or business organizations acting within the scope of the respective
licenses required under chapter 471, part I of chapter 481, chapter
482, or chapter 489, are acting on behalf of an insurer under part VI of