HB 542: "An Act relating to specialty construction contractors and to construction contractor exemptions."
00 HOUSE BILL NO. 542 01 "An Act relating to specialty construction contractors and to construction contractor 02 exemptions." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 08.18.024 is amended by adding a new subsection to read: 05 (b) Notwithstanding (a) of this section, a specialty contractor may perform 06 work that 07 (1) requires the use of not more than three trades; or 08 (2) is exempt under AS 08.18.161(8). 09 * Sec. 2. AS 08.18.161(8) is amended to read: 10 (8) work on one project under one or more contracts, the aggregate 11 contract price of which for labor and materials and all other items is less than $5,000 12 [$10,000]; this exemption does not apply when the work is only a part of a larger or 13 major operation, whether undertaken by the same or a different contractor, or when the 14 work is divided into contracts of amounts less than $5,000 [$10,000] for the purpose
01 of evasion of this chapter or otherwise; this exemption does not apply to a person who 02 advertises or puts out a sign or card or other device that might indicate to the public 03 that the person is a contractor, or that the person is qualified to engage in the 04 contracting business; a contractor who performs work priced at $2,500 or more, under 05 this exemption, shall nevertheless keep in force public liability and property damage 06 insurance with coverage in at least the amounts set out in AS 08.18.101; 07 * Sec. 3. AS 08.18.171(16) is amended to read: 08 (16) "specialty contractor" means a contractor, other than a mechanical 09 contractor, whose business operations are described in AS 08.18.024(b) [REQUIRE 10 THE USE OF NOT MORE THAN THREE TRADES]; 11 * Sec. 4. The uncodified law of the State of Alaska is amended by adding a new section to 12 read: 13 TRANSITION PROVISIONS. (a) AS 08.18.161(8), as amended by sec. 2 of this 14 Act, does not apply to a person who has a business license under AS 43.70.020 to perform 15 work under AS 08.18.161(8) until the later of 16 (1) the end of the term for which the business license is issued before the 17 person is required to renew the license; or 18 (2) the completion of construction begun by the person under AS 08.18.161(8) 19 before the effective date of this Act. 20 (b) Notwithstanding (a) of this section, AS 08.18.161(8), as amended by sec. 2 of this 21 Act, applies to all persons on and after a date that is one and one-half years after the effective 22 date of this Act.