The Texas State Board of Plumbing Examiners (Board) proposes amendments to 22 TAC §365.6, relating to Expiration of License, Registration or Endorsement.

Background and Justification

Pursuant to §1301.403(d) of the Texas Occupations Code, a person whose license, endorsement, or registration has been expired for two years or more may not renew the license, endorsement, or registration. Instead, the person must obtain a new license, endorsement, or registration by complying with the requirements and procedures, including the examination requirements, for obtaining an original license, endorsement, or registration. Additionally, pursuant to §1301.002(10) of the Texas Occupations Code, a person must work for 4,000 hours under the direct supervision of a journeyman or master plumber to become a tradesman plumber-limited license holder. Similarly, pursuant to §1301.002(4) of the Texas Occupations Code, a person must work for 8,000 hours under the supervision of a responsible master plumber to become a journeyman plumber. Likewise, pursuant to §1301.002(5) of the Texas Occupations Code, a person must work for one to four years as a journeyman plumber to become a master plumber. While a former licensee must meet the current requirements to obtain a license, including passing the current examination, it has always been board practice to credit verified hours or years obtained at any point in the past towards the requirements to obtain a new license as §1301.002 of the Texas Occupations Code does not place any time limit on when the hours or years were obtained. This proposed amendment is to clarify that those individuals, who previously held a license, endorsement, or registration and are seeking to obtain a new license, endorsement, or registration will be credited with the verified hours or years they previously obtained. Furthermore, over the last decennial, Texas added over 4 million residents. demographics.texas.gov/data/decennial/2020/. Moreover, Texas ranks first in the U.S. in the variety and frequency of natural disasters. nisar.jpl.nasa.gov/files/nisar/NISAR_Applications_Hazards_Texas.pdf. These two facts highlight the need for qualified plumbers in this state to not only respond to disasters like Winter Storm Uri, but also to meet new construction demands. By making its longstanding policy more explicit, the board hopes that it will encourage persons who left the trade to return to the trade.

Fiscal Impact on State and Local Government

Lisa G. Hill, Executive Director, has determined that for the first five years the amended rule is in effect, there are no foreseeable increases or reductions in costs to the state or local governments as a result of enforcing or administering the amended rule. The Executive Director has further determined that for the first five years the amended rule is in effect, there will be no foreseeable loss in revenue for the state or local governments as a result of enforcing or administering the amended rule. The amended rule may result in an indeterminate increase in revenue to the state in the form of application and license fees as more individuals will be eligible for, and may seek, licensure by the Board. No increase in revenue for local governments is anticipated as a result of the amended rule directly. However, to the extent the amended rule results in additional individuals being licensed by the Board, overall plumbing activity in the state may increase, potentially increasing revenue to local governments requiring the permitting and inspection of plumbing work within their jurisdiction, derived from such permits.

Public Benefits

The Executive Director has determined that for each of the first five years the amended rule is in effect, the public benefit anticipated as a result of amending the rule will be the presence of additional plumbers in the marketplace. Thereby, increasing supply to meet heavy demand for licensed plumbing professionals and reducing costs to consumers.

Probable Economic Costs to Persons Required to Comply with the Rule

The Executive Director has further determined that for the first five years the amended rule is in effect, there are no substantial costs anticipated for persons required to comply with the rule.

One-for-One Rule Analysis

Given the rule does not have a fiscal note which imposes a cost on regulated persons, including another state agency, a special district, or local government, the Board asserts proposal and adoption of the rule is not subject to the requirements of Government Code §2001.0045.

Government Growth Impact Statement

For each of the first five years the amended rule is in effect, the agency has determined the following: (1) the amended rule does not create or eliminate a government program; (2) implementation of the amended rule does not require the creation of new employee positions or the elimination of existing employee positions; (3) implementation of the amended rule does not require an increase or decrease in future legislative appropriations to the agency; (4) the rule does not require an increase or decrease in fees paid to the agency by persons already regulated by the Board, and would not alter applicable fee amounts for licensure; however, as related, supra, the rule may result in additional individuals being licensed by the Board, which would cause additional fees to be paid to the agency; (5) the amended rule does not create a new regulation; (6) the amended rule does not expand or limit an existing regulation; (7) the amended rule does not increase or decrease the number of individuals subject to the amended rule's applicability; and (8) the amended rule does not adversely affect this state's economy and has the potential to positively impact the state's economy by putting additional licensed plumbers into the marketplace, potentially spurring economic activity and growth.

Local Employment Impact Statement

The Executive Director has determined that no local economies are substantially affected by the rule, and, as such, the Board is exempted from preparing a local employment impact statement pursuant to Government Code §2001.022.

Fiscal Impact on Small and Micro-Businesses and Rural Communities

The Executive Director has determined that the rule will not have an adverse effect on small or micro-businesses, or rural communities, because there are no substantial anticipated costs to persons who are required to comply with the rule. As a result, the Board asserts preparation of an economic impact statement and a regulatory flexibility analysis, as provided by Government Code §2006.002, are not required.

Takings Impact Assessment

The Board has determined that there are no private real property interests affected by the rule; thus, the Board asserts preparation of a takings impact assessment, as provided by Government Code §2007.043, is not required.

Environmental Rule Analysis

The Board has determined that this proposal is not brought with the specific intent to protect the environment or reduce risks to human health from environmental exposure; thus, the Board asserts this proposal is not a "major environmental rule" as defined by Government Code §2001.0225. As a result, the Board asserts preparation of an environmental impact analysis, as provided by said §2001.0225, is not required.

Public Comments

Written comments regarding the amendments may be submitted by mail to Helen Kelley at P.O. Box 4200, Austin, Texas 78765-4200, or by email to rule.comment@tsbpe.texas.gov with the subject line "365.6 Rule Amendment." All comments must be received within 30 days of publication of this proposal.

Statutory Authority

This amendment is proposed under the authority of §1301.251(2) of the Occupations Code, which requires the Board to adopt and enforce rules necessary to administer and enforce Chapter 1301 of the Occupations Code (Plumbing License Law or PLL). This amendment is also proposed under the authority of §1301.002(4), (5), and (10), which sets the experience requirements for tradesman plumber-limited license holders, journeyman plumbers and master plumbers.

This proposal affects the Plumbing License Law. No other statute is affected by this proposal.