Don’t Hire Unlicensed Contractors or Subcontractors – The Newest Reason Why, and Background on Why Even Professional TBBA Members Must be Wary

Don’t Hire Unlicensed Contractors or Subcontractors – The Newest Reason Why, and Background on Why Even Professional TBBA Members Must be Wary

By Justin R. Zinzow, Zinzow Law

You awake in your blaze orange jumpsuit to yelling and stagnant air, unsure what time it is because your room has no doors or windows.  In case you had not guessed, you are in prison for violating the law.  It is a felony to engage in construction activities without holding a license if one is required by the state. It is also a crime if you, a licensed trade contractor or general contractor, intentionally hire or assist an unlicensed contractor.  If you hire someone who later acquires the license you have still violated the law.  In addition to facing jail time, you can also be fined up to $10,000, and your license can be suspended or revoked for assisting unlicensed contractors by contracting with them.

Tampa Bay Builders Association members are well trained professionals at the forefront of the construction and development industry and would never intentionally hire unlicensed contractors.  Yet there are many complicated traps one can fall into. 

It is basic knowledge that installation of plumbing, roofing, and complex electric circuits requires licensing.  But not all work fits neatly into the license needed or license not needed boxes.  For example, a state electrical license is required for the installation of residential digital satellite equipment, but is not required for the installation of audio entertainment systems.  Even if you are confident no state license is required, state licensed contractors are prohibited from disregarding or violating any city or county ordinance concerning local licensing.  If you willfully disregard or violate those requirements by hiring a trade contractor who does not have a required local license, you may be committing a misdemeanor. 

Perhaps today you are intimately familiar with the state licensing categories, as well as the 47+ local licensing categories in Pasco county and 31+ categories in Hillsborough county.  But laws change, and they can sometimes be applied retroactively, such as in the case of construction licensing and unlicensed contractors, so great care must be taken.   

The newest reason to be wary is that in a ruling last month in Brock v. Garner Window & Door, one of Florida’s appellate courts indicated that even though an unlicensed contractor may not be entitled to enforce its contract provisions in defense of a claim, that same unlicensed contractor is still entitled to assert other defenses when sued for defective work.  Before Brock the courts were clear that public policy strongly weighed against unlicensed contractors having many, if any rights.  The Brock court has now seemingly softened this public policy.  While the defense at issue in Brock  was that the lawsuit was filed too late and was therefore barred by the statute of limitations, the principal espoused by the court would seem to have no limits.  Perhaps now an unlicensed contractor or subcontractor can assert the defense that someone else is to blame for the defect, or that the defect claim as been waived by virtue of some prior agreed repair which was completed.  Unlicensed contractors and subcontractors may now leave you, the licensed contractor, stuck holding the financial loss.

The only time you should be caught wearing blaze orange is during hunting season, so for all of these reasons and so many more, do not hire unlicensed contractors.  Take great care in determining whether a state or local license is required, and verify that a license is valid.  State licenses can be verified through the Department of Business and Professional Regulation’s website, and local licenses can generally be verified through each city or county’s website or by calling. 

Justin R. Zinzow is Florida Bar Board Certified in Construction law and is one of the attorneys at Zinzow Law.  For more information you may email him at jzinzow@zinzowlaw.com or visit www.zinzowlaw.com

            

Building Barometer - May 31, 2016

President's Message  - May 31, 2016

The Association continues to advance on many fronts. The governmental affairs work is particularly active in Tampa, Hillsborough and Pasco Counties and the Association continues to make a tangible difference for our industry in those and other jurisdictions. The Parade of Homes and Awards Banquet were rousing successes and Newland Commmunities and ICI Homes presented a great showcase home in FishHawk Ranch. 

The business of the Association is also moving forward as the Board for the first time has approved adding investment and reserve policies to best utilize our cash on hand and protect the association in future downturns. In addition our membership continues to grow and we encourage members who have suggestions for colleagues to join the Association to contact Lauren Morgan, Membership Director or any member of our leadership team.  

We continue to focus on adding value for our members and welcome suggestions from you on how the  Association can continue to improve your experience. We also encourage active member participation and contribution to committees and other activities. Involvement by members continues to be a key cornerstone in our ability to have the greatest impact on behalf of the Association and our membership.  

Thank you for attending the Presidents Reception last Wednesday, I was delighted.

- W. Stewart Gibbons, President, Tampa Bay Builders Association

Staff Contact: Lauren

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2016 Parade of Homes Feedback and Recap - May 11, 2016

Since the 2016 Parade of Homes ended on March 15, we have been diligently working to collect feedback from participants, sponsors, and volunteers. This year was especially important for us to gather this information having made changes to many aspects of the Parade including the entry system, website, marketing, dates, and more. The committee has made several calls out to participating builders, sent surveys to judges and participants, sat with Sales and Marketing Leadership, and held informal one-on-one sessions. As we look to 2017 we would still love to hear your feedback! Please contact amy@tbba.net 

As expected there was an extremely wide range of feedback received making a summary challenging to reflect all views however we do want to share the most common results. We are and will continue to take all views into consideration while planning 2017.

- Dates/Time Period: The time period was shorter this year, some participants enjoyed this and some felt that more traffic on a third weekend would have been beneficial. The dates should be released well in advance for builders to prepared for the Parade and have ample opportunity to submit 

- Entries: Overall the new online entry system was well received; improvements will continue to be made to make the proofing for printed and electronic descriptions of model homes.

- Marketing/Guidebook: The guidebook itself was favorably received with the new, convenient size however distribution could be improved. The number of potential buyers with guidebooks seemed lower to most builders this year. Most buyers that came through the showcase home were through digital marketing efforts. The other model homes saw traffic from snipe signage however indicated the traffic in most areas was not increased from previous years.

- Judging: The volunteers enjoyed themselves and appreciated the routes this year. For coming years the committee will consider options to include outdoor living spaces and pools. An electronic system for judging will also be looked into for coming years to streamline the process.

Staff Contact: Amy

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2016 Governmental Affairs: What is it and why is it important

Our mission is to serve as the recommending body for policy development and action on the Governmental Affair Issues of either local, state, or national impact to the building industry.  A seat at the table is critical to the future of our community. A cornerstone mission of the organization is to improve conditions for building a progress by working with those in the regulatory community to ensure policies and processes are not duplicated, contradictory or punitive in nature. 

Want to attend the next GA Meeting?

Hillsborough County GA Meeting - Friday, May 27th

Pasco County GA Meeting (New Location: Sioux City Steakhouse - 8515 Little Rd, New Port Richey, FL; New Price: $20.00 ) - Wednesday, June 8th

City of Tampa GA Meeting - Tuesday, June 21st

Hillsborough County GA Meeting - Friday, June 24th

Staff Contact: Kara

Building Barometer - May 24, 2016

Going Vertical - Codes Committee Update - May 5th, 2016

At the May 2nd meeting, County staff reported that rollovers were at 31% for Building, 11% for Electrical, 7% for Mechanical and 2% for Plumbing. Residential permit turnaround times were 20 working days at the South County office, 23 working days at County Center and 40 to 45 working days for commercial permits at County Center.  Adam Gormly and Mike Rimoldi are in the process of producing rollover reports by trade and area of the County. The intent is to post these reports on a weekly basis to assist both builders and County staff in anticipating delays and in being proactive in reassigning inspectors to the busier areas to help lower the rollover percentages.

Adam and Mike are considering hosting a series of sessions with the various construction trades to discuss inspector assignments/rollover percentage improvements, red tag trends, new code issues, builder inspection scheduling and other issues as identified.  These sessions will be very helpful for all parties, and it is hopeful that participation will be widespread.

Adam was successful in getting BOCC approval to fund 5 limited duration inspector positions. The costs associated with these positions will be covered by the Building Fund, which as of the end of March stood at $2,224,147. These positions are currently being advertised and are drawing a good deal of interest.

Obviously, the percentages and time frames listed above are of great concern to our building industry. TBBA leadership is actively involved, as are general members, in working with County representatives to reverse these trends through whatever means possible. We welcome any and all participation in these endeavors.

Please contact Dave Ford at davef@hamiltonengineering.us to have new items added to the agenda, or to be addressed prior to the next meeting.

Staff Contact: Jennifer

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Top Golf - May 19th, 2016

It's safe to say our 2nd Annual TopGolf Outing was a Par-Tee. Members  played a series of challenging games under the shade of Tampa's premiere golf and entertainment venue. Connections were made, shots were scored, delicious 'greens' were eaten, and awards were passed out to round off a perfect day! If you didn't get a chance to go this year we encourage you to keep up to date with us for our next event. Facebook photos can be found here!

Winners:

 Julie McKinney - (Floor Interior Services)
Dana Gravett - (ODC Construction)
ODC Construction Team

Thank you to this years sponsors!

ODC - Presenting Sponsor
Carpenter Contractors of America and CCG - Buckets o’ Beer Sponsors
Heritage Drywall - Bar Sponsor
Badger Construction - Lunch Sponsor
Awards Sponsor - BB&T
Landmark Engineering - Longest Drive Sponsor

Staff  Contact: Amy

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President's Reception - May 25th, 2016

Tomorrow we are having another wonderful opportunity on top of the Tampa Club, where we invite you to come and meet with other members and your President, Stew Gibbons. This event is held quarterly, and facilitated by your Membership Director, Lauren Morgan. Refreshments will be served promptly at 5:30PM after the BOD Meeting on May 25th, attire is business casual, attendance is free.

Enjoy the wonderful views of beautiful Downtown Tampa while mingling with TBBA Staff, fellow members, and Mr. Stew Gibbons.

See you there!

Staff Contact: Lauren

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Builder Groups Back Effort to Halt Overtime Rule - May 18th, 2016

Labor Dept. details final rule, Congress mulls bill to nullify it.

The U.S. Labor Department, at the direction of the White House, on Wednesday released details of new rules that double the threshold at which a private-sector employee becomes ineligible for overtime to $47,476 annually, or $913 per week, from roughly half that amount. The rule, which is slated to take effect Dec. 1, effectively adds 4.2 million workers to the pool that must be 1.5 times their hourly wage for each hour worked beyond 40 hours a week.

The rule also raises the threshold for Highly Compensated Employees from $100,000 annually to $134,004 annually.

Reaction from groups representing home builders was swift and fierce.

“The sheer arrogance displayed by the Department of Labor in failing to heed the concerns of the nation’s small business community...."

Click here for full article.

Staff Contact: Jennifer

Building Barometer - May 17

Governmental Affairs - City of Tampa Update

By: John Lum, Chair of City of Tampa Governmental Affairs

The discussion centered on the water main extension upgrades that the city was trying to pass on to our builders. The City of Tampa 2-inch Main Water map is attached.

TBBA requested clarification about the change in policy regarding these water lines. Several of you may have received a letter with a sizable amount due and capacity expectations that seem unreasonable and we appreciate you bringing this to our attention. One member reported that a letter was sent to him expecting level of service to not be available in the fall of this year and a price tag of $30,000.00 when requesting water commitment letters at permitting. At our meeting, it was announced the city would rescind all the letters the builders received until further review of the policy.

In other news,  you now have a red line map and a blue line map as it relates to storm water issues on parcels. As you can see the City has all these small water lines that need to be dealt with in the future. The $2,145 CIAC impact fee/tax is not being used for this purpose, so additional fees may be charged at some point.

If you build in the City of Tampa, I encourage you to attend these meetings as there are several process improvements being discussed on a monthly basis that affect your bottom line. Stay up to date on what’s going on and feel free to contact Jennifer for more information.

Staff Contact: Jennifer

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Top Golf - May 19th, 2016

The 2nd Annual TBBA Top Golf outing is this Thursday, networking will begin at 2PM with golf to follow. Registration closes tomorrow so secure your spot NOW! Several options are still available observing ($50), playing individually ($125) or with a group of 6 ($650). 

Beer/Wine and light food are included with the fee. Golfers will have the opportunity to play 2-3 rounds dependent on pace of play. Prizes and awards will be given!

Registration starts at 2 PM, the action at 2:45 PM and Awards at 5:00 PM.

Staff Contact: Amy

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President's Reception - May 25th, 2016

This is an opportunity for new members as well as existing members to engage directly with the TBBA Board of Directors. Also, learn more about the association from their perspective and get more informed. The next reception will follow our May 25th board meeting from 5:30 PM - 6:30 PM at the Tampa Club in Downtown Tampa.

Refreshments will be served.

There is no cost to attend. 

Staff Contact: Lauren

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Builder Online Releases their list of Top 100 Builders

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William Ryan Homes in partnership with Building Homes for Heroes®, a national nonprofit organization that builds and modifies homes, and gifts them to wounded veterans and their families, will host a Welcome Home Ceremony for U.S. Marine Corporal Anthony Trzeciak. 

Corporal Trzeciak was seriously injured in Afghanistan in July of 2011 when his vehicle

struck an improvised explosive device (IED), injuring his back and head. Afterwards, he

contracted a nearly-deadly infection. He is paralyzed from the waist down. Full Press Release 

Building Barometer - May 3

Horizontal Codes Update - May 2, 2016

Overtime approval for can be obtained when an hour is needed to complete televising sewer lines by Hillsborough County utility inspectors. This is not intended to provide longer days and routinely extend the hours of the utility inspectors.

There have been questions raised relating to the 30 foot wetland setback and how it is applied when wetland impacts occur. The wetland line is set by the Hillsborough County EPC, but the 30 foot setback is regulated by Hillsborough County through the LDC. The TBBA will be working with Hillsborough County to clarify how the wetland setback is enforced when wetland impacts occur.

There have been delays in the review of as-built submittals due to difficulty in determining if all of the test reports were included and if all of the required tests were performed. In order to help reduce this time delay, TBBA is working with Hillsborough County and several testing laboratories to establish a standard format for the final test report packages. 

Under the Hillsborough LDC, if more than 10,000 cubic yards of dirt are hauled off-site, a borrow pit permit is required. Over the last year, there have been discussions with Hillsborough County about changing this requirement. Presently TBBA is discussing with Hillsborough County consideration of two cases where this should not apply. The first is when the same property owner wants to haul material to a nearby site where dirt is needed and the second is when excess dirt is generated as a by-product of development of a subdivision.

- Everett Morrow, Horizontal Codes Chairman

Staff Contact: Jennifer Doerfel

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Contractor Smart Phone App Released for Pasco County
Pasco County releases Contractor Central app was created by Accela to empower contractors to easily request and schedule inspections, connect with inspectors, and communicate with peers on-site using their smart phones.  Setup Instructions

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TopGolf Outing - May 19, 2016

This year's 2nd Annual TopGolf outing is just around the fairway, on May 19th, registration starts at 2PM! Come out for an afternoon of networking with coworkers and industry leaders, all while enjoying tasty food and practicing your golf swing!

Available Options: 

Bay of 6 golfers - $650

Individual golfer - $125

Observers - $50

Included: Golf clubs (but you can bring our own) and 2 - 3 games depending on pace of the event. Click image to sign up!

Staff Contact: Amy Amico

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Jeff Shore - May 17, 2016

The TBBA Sales and Marketing Council will be hosting Jeff Shore's "Closing 2.0" May 17 at the Rusty Pelican. Lack of effective closing skills is the single-greatest point of frustration for customers, salespeople and sales executives in real estate sales today. 

Modern principles and techniques through this action- packed session will leave you with new direction and cognitive steps to close the sale FOR your customer. 

Register Here

Staff Contact: Amy Amico