Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Labor & Workforce Development Committee

HB 2501

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Background:

General and specialty contractors must register with the Department of Labor and Industries (Department). To register as a contractor, an applicant submits an application under oath that includes a unified business identifier (UBI) and the name and address of each business owner. If the applicant will have employees in Washington, the applicant must also show evidence of workers' compensation coverage. Registration also requires payment of a fee and filing of a bond and proof of insurance. The fee is $113.40 and is set by rule.

Summary of Bill:

Applicants who do not complete a contractor pre-registration training program must pay an additional $200 to register as a contractor. Programs may be provided by the Department or by entities approved by the Department who meet criteria established in rule. An applicant must be an owner, officer, or partner of the entity applying for registration. Other program requirements are that:

A program may not exceed six hours.
A program must be available at least once a month in each of the Department service delivery regions.
No fee may be charged for a program provided by the Department.
The Department may offer internet programs if it has proof that the applicant participated in the entire program and passes a test showing he or she reasonably retained the information.

To register as a contractor, an applicant must submit evidence of a workers' compensation account and an Employment Security Department (ESD) account, regardless of whether the applicant has employees at the time of registration.

The Department of Revenue and the ESD must assist the Department in presenting the program.