[HISTORY: Adopted by the Borough Council of the Borough of South Waverly: Art. I, 5-6-1996 by Ord. No. 5-6-96. Amendments noted where applicable.]
Article I Permits for Contractors
[Adopted 5-6-1996 as Ord. No. 5-6-96]
Editor's Note: This ordinance also superseded former Article I, Building Permits, adopted 7-5-1995 as Ord. No. 7-5-95-4.
Definitions. The following words and phrases, as used in this Article, shall have the meanings ascribed to them in this section, unless the context indicates a different meaning:
- ADMINISTRATION OFFICER
- The Police Chief of the Borough of South Waverly.
- The Borough of South Waverly.
- CODE ENFORCEMENT OFFICER
- The Code Enforcement Officer of the Borough of South Waverly.
- An agreement, whether oral or written and whether contained in one (1) or more documents, between a contractor and an owner or another contractor for the performance of work, including all labor, services and materials to be furnished and performed hereunder.
- Any person who receives compensation, other than a bona fide employee of the owner, who undertakes or offers to perform any structural work, construction, roofing, remodeling, plumbing, electrical, heating, demolition, paving, sewer connections, excavation, exterior painting and siding, snow removal (with a licensed vehicle), windows and carpet and any other residential or nonresidential construction or demolition work in the borough, whether as a general contractor, subcontractor, specialty contractor or home improvement contractor with respect to the owner. This shall not include anyone involved in the repair of any of the above categories where the cost of the labor is less than two hundred dollars ($200.).
- Any property owner, tenant or other person who orders, contracts for or purchases the services of a contractor or any person entitled to the work of a contractor pursuant to a contract.
- Any individual, partnership, limited partnership, association, corporation, trust or other legally recognizable entity.
Word usage. The masculine includes the feminine, the singular includes the plural, and the plural includes the singular.
The Administrative Officer or the Code Enforcement Officer or his authorized representatives shall administer and enforce the provisions of this chapter.
No person shall act as a contractor in the borough except in compliance with the provisions of this chapter. Any person, including an owner, who willfully aids a contractor or participates with a contractor in violating any provisions of this chapter is in violation of this chapter. The provisions of this chapter may not be waived by agreement.
The Review Board shall be the Borough Council, which will hear all appeals of the Administrative Officer or Code Enforcement Officer's decision to deny or revoke a permit.
For the permit year beginning January 1, 1996, and for each permit year thereafter, every person desiring to continue to engage in or hereafter to begin to engage in the business of acting as a contractor in the borough shall, on or before the first day of January of the permit year or prior to commencing business in such permit year, make application for a permit to act as a contractor in the borough. Such application shall be made by the completion of an application furnished by the Administrative Officer or Code Enforcement Officer and the payment of a permit fee as hereinafter set forth in this chapter. Each application must contain information as set forth hereafter in this chapter, and each applicant must present satisfactory proof of insurance as set forth hereafter in this chapter. Each application for a permit shall be signed by the applicant, if a natural person, and, in the case of an association or a partnership, by a member or partner thereof, and, in the case of a corporation, by an officer thereof.
Each successful applicant shall be issued a permit in the form of a wallet-size card. Every licensed contractor, while actually acting as a contractor in the borough, shall carry said permit card with him and shall display it to the Administrative Officer or Code Enforcement Officer or his representatives upon demand to do so.
All contractors' permits shall expire at 12:00 midnight on December 31 of each permit year, unless the permit is revoked or suspended prior thereto under the terms of this chapter. A person with an unexpired permit which has not been revoked or suspended during the current permit year, who makes application for a permit for the following permit year, need not complete an application form but must only submit the required permit fee; and if he qualifies for a permit and renewal under the terms of this chapter, his permit shall be renewed for the following permit year and he will be issued a new permit card for the following permit year. Any contractor carrying on the business of contractor in the borough must secure a permit under the terms of this chapter for each permit year during which he carries on such business.
Any contractor or owner demolishing a structure will be required to inform the Administrative Officer or Code Enforcement Officer as to where the material is going to be disposed of, and the disposal must be in accordance with the Department of Environmental Protection.
The provision of this chapter shall not apply to the official transactions of any authorized representative of the government of the United States, any state or commonwealth of the United States, any political subdivision or any state of commonwealth or any agency or instrumentality of the foregoing government.
No contractor's permit shall be issued unless the applicant files a certificate of insurance with the borough at the time of permit application. The certificate of insurance shall contain a provision that coverages afforded under the policy will not be canceled until at least fifteen (15) days' prior written notice of such cancellation has been given to the borough. The certificate of insurance must show evidence of policies of insurance, maintained at the expense of the applicant or comprehensive general liability or manufacturer's and contractor's liability, each of which must have a single occurrence and aggregate limit of at least three hundred thousand dollars ($300,000.). The contractor is also required to maintain property damage, bodily injury, products liability and completed operations insurance, each of which must have a single occurrence and aggregate limit of at least three hundred thousand dollars ($300,000.). Blasting and demolition insurance shall also be required for blasting and demolition contractors, and the reasonable limits of such insurance shall be determined by the Administrative Officer or Code Enforcement Officer at the time of application, based on the nature and extent of the applicant's proposed operations. Underground explosion and/or collapse insurance shall be required and reviewed by the borough for excavating contractors.
All types and limits of insurance for which certificates are presented at the time of application, and based upon which a permit is issued, shall be maintained throughout the permit year or the permit will be suspended or revoked as hereinafter set further in this chapter.
Worker's compensation insurance.
Effective September 1, 1993, the Borough of South Waverly will no longer issue a building permit to a contractor, subcontractor or resident (i.e., plumber, electrician, mason, heating, ventilation/air conditioning, repairman, etc.) who has not demonstrated current coverage and compliance with the requirements of Worker's Compensation Reform Act 44 of 1993 by filing with the office of the Administrative Officer or Code Enforcement Officer one (1) of the following:
Certificate of insurance issued by the contractor's insurance carrier as proof of worker's compensation insurance for contractor's employees; or
Certificate of self-insurance from the Department of Labor and Industry; or
A notarized affidavit of exemption from worker's compensation insurance stating the resident will not hire any employees to work on the construction project.
The contractor shall register via company letterhead or billhead, including address and phone number (post office box not acceptable), the contractor's federal or state identification number.
Exemption for borough resident not employing contractor.
Borough residents and/or homeowners please note: if residents and/or homeowners will be performing the work, they must file a notarized affidavit of exemption from worker's compensation insurance stating that they will not hire or employ any individual or subcontractor on the construction project.
Building permit information requirements. Under Section 302 of Act 44, every building permit issued by the borough to a contractor, subcontractor or resident shall clearly set forth one (1) of the following:
Name and worker's compensation policy and the contractor's and/or subcontractors federal or state employee identification number.
The contractor's federal or state employer identification number and the substance of the affirmation that the applicant is not permitted to employ any individual to perform work pursuant to the building permit.
Resident and/or homeowner's notarized affirmation that he will not employ any individual to perform work pursuant to the building permit.
These certificates shall be filed with the borough's copy of the building permit. Upon issuance of a building permit, the borough will be named as a workers' compensation policy certificate holder. The issuer of the policy, the worker's compensation insurance carrier, must inform the municipality within three (3) working days of any change in or termination of coverage.
If the borough receives notice that the contractor or resident has had coverage terminated, lost state-approved self-insurance status or employed a person without providing coverage, the borough must and will, under the Worker's Compensation Act, issue a stop-work order. The stop-work order may not be lifted until the contractor and/or subcontractor obtains proper coverage.
At the time of application for a new permit or for the renewal of a current permit, the applicant shall pay the Administrative Officer or Code Enforcement Officer a nonrefundable permit application fee, payable to the Borough of South Waverly, as set forth in the Borough Schedule of Fees, as adopted and amended from time to time by the South Waverly Borough Council.
When an application has been filed with the Administrative Officer or Code Enforcement Officer in proper form, the Administrative Officer or Code Enforcement Officer must, within a period of thirty (30) days from the date following the date the application is received, issue or refuse to issue the appropriate contractor's permit to the applicant. If issuance of a permit is denied, the Administrative Officer or Code Enforcement Officer shall mail, to the unsuccessful applicant a written statement setting forth the reason or reasons for the denial, within the aforesaid thirty-day period. The rejected applicant shall be entitled to request a hearing from the Borough Council within thirty (30) days to appeal the Administrative Officer or Code Enforcement Officer's decision.
The application for a permit shall be a printed form, provided to the applicant by the Administrative Officer or Code Enforcement Officer, and the application shall require a written answer to all questions contained thereon. Failure to answer all questions on the application form shall mean that the applicant is not entitled to consideration of his application until he has answered all questions. The application form shall be signed by the applicant under oath. The questions and information requested on the application form shall include, but shall not be limited to, the following:
The names of owners, partners, directors and officers of the applicant and the business address and trade names of the applicant.
A statement as to whether or not any municipalities have refused to issue or have revoked any similar contractor's permit of the applicant within two (2) years previous to the date of the application. In the event that there has been such a denial or revocation, the applicant must explain in writing the reasons for such denial or revocation.
A waiver by the applicant that he agrees that the information in the application shall be available to the public for inspection.
A listing of all convictions within two (2) years prior to the date of the application for any crimes or offenses under any federal or state criminal statute or common law criminal offense or for violation of any municipal ordinance, so long as such convictions were for crimes or offenses related to the applicant's work or contracts as a contractor. The term "conviction" shall include guilty pleas and pleas of nolo contendere. If any such convictions exist, the applicant shall give, in writing, the caption, court and term number of the proceeding leading to the conviction. The applicant shall also explain, in writing, the nature of the conviction.
A listing of all unsatisfied civil judgments in any jurisdiction against the applicant, if such civil judgments were on a lawsuit in which it was alleged that the applicant failed to complete a contract as defined in this chapter or improperly performed a contract as defined in this chapter. The applicant shall give, in writing, the caption, court and term number of the civil action upon which any such judgments were entered and shall explain in writing the nature of all such civil judgments.
Every contractor permittee shall, within ten (10) days after a change in ownership, directors, officers, management, address or trade name, notify the Administrative Officer or Code Enforcement Officer of such change.
No permit shall be issued or renewed under the following circumstances:
If the applicant falsely answered any question or questions contained on the application form.
If the applicant has been refused a similar contractor's permit or has had a similar contractor's permit revoked or suspended by South Waverly Borough or another municipality within two (2) years prior to the date of application for issuance or renewal, and if the refusal, revocation or suspension by the other municipality was due to failure to comply with the municipality's building codes.
If the applicant has been convicted within two (2) years prior to the date of the application for any crimes or offenses under any federal or state criminal statute or common law criminal offense, or for violation of any municipal ordinance, so long as such convictions were for crimes or offenses related to the applicant's work as a contractor. The term "conviction" shall include guilty pleas and a plea of nolo contendere.
If an unsatisfied civil judgment against the applicant exists in any court in any jurisdiction, without adequate agreement to make satisfaction, and if the record of such court shows that such judgment was entered because of the applicant's failure to complete a contract as defined in this chapter, or if such judgment was entered because of the applicant's failure to properly perform a contract as defined in this chapter.
The Administrative Officer or Code Enforcement Officer shall revoke any permit issued under the provisions of this chapter under the following circumstances. The applicant who has his permit revoked shall be entitled to request a hearing from the Borough Council within thirty (30) days to appeal the Administrative Officer or Code Enforcement Officer's revocation.
If the permittee falsely answered any question or questions contained on an application for licensing or renewal of licensing previously submitted to the Administrative Officer or Code Enforcement Officer.
Failure of the permittee to maintain, during the permit year, the policies of insurance required under the provisions of this chapter.
If the permittee violates any condition or requirement of a building permit, sewer construction permit or highway permit issued by the borough.
If the permitted willfully deviates from or disregards any plans or specifications for any contracting job in any substantial respect without first obtaining the consent of the owner in writing to any such change and without first notifying the Administrative Officer or Code Enforcement Officer of any such changes.
If the permittee does any business through any person who is subject to the permit requirements of this chapter and who does not have a permit as required by this chapter.
If the permittee conducts a contractor's business in the borough under any name other than that under which he is licensed.
If the permittee fails to comply with an order, demand or requirement lawfully made by the Administrative Office or Code Enforcement Officer under the authority of this chapter or any other borough ordinance.
The Borough of South Waverly, by virtue of granting a permit to this contractor, does not warrant or make any representation regarding the quality of any of the workmanship performed by said contractor. The borough does not assume any liability for the quality of this contractor's workmanship or lack thereof. The purpose of this permit requirement is to guarantee that the contractor has adequate insurance and has not been convicted of any prior fraudulent activities. Furthermore, the borough will not be held liable for any failure on its part to investigate any of the facts that may be falsely stated in any application presented by any contractor receiving a permit by the borough.
In addition to all other acts prohibited by the terms of this chapter, those acts warranting revocation of a permit under § 52-12 shall also be prohibited acts and subject the violators to the fine under § 80-14.
In addition to refusal or revocation of a permit as provided under this chapter, any person, as defined in this chapter, or any officer, agency, servant or employee thereof, who shall fail, neglect or refuse to comply with any of the terms or provisions of this chapter shall, upon conviction thereof before a District Justice, be sentenced to pay a fine or penalty of not exceeding six hundred dollars ($600) and costs of prosecution for each offense, to be collected as like fines or penalties and costs are now by law collectible. The fine or penalty imposed by this section shall be in addition to any other penalty imposed by this chapter.