S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3389
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 2, 2023
                                ___________
 
 Introduced  by  M.  of  A.  FAHY,  WALLACE,  WOERNER, STIRPE, LUPARDO --
   Multi-Sponsored by -- M. of A. FRIEND -- read once and referred to the
   Committee on Economic Development
 
 AN ACT to amend the general business law, in relation  to  establishment
   of  the  water-based  fire protection licensure act, and providing for
   the repeal of certain provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act  shall be known and may be cited as the "water-
 based fire protection licensure act".
   § 2. Legislative intent. It is declared that there exists and  may  in
 the  future  exist  within  the state of New York locations where water-
 based fire protection systems are installed  and  improper  installation
 and  improper  inspection,  testing,  and  maintenance  of existing fire
 protection systems may adversely affect the public  health,  safety  and
 general welfare. It is further acknowledged that fire protection systems
 are  critical  life  and  property safety systems and such systems whose
 layout,  installing,  repairing,  inspecting,  testing,  or  maintenance
 require  specialized  knowledge and experience. Therefore the purpose of
 this act is to protect, promote and preserve the public  health,  safety
 and general welfare by providing for the establishment of minimum stand-
 ards  for  licensure  of water-based fire protection system installation
 and inspecting contractors as well as  designating  and  utilization  of
 responsible managing employees as qualifiers of said license with estab-
 lishment  of  penalties  for  improper  layout,  installing,  repairing,
 inspecting, testing,  or  maintaining  of  water-based  fire  protection
 systems  and  prohibit  unlicensed activities. Furnishing and installing
 underground  water-supply  and  one-family  and  two-family  residential
 systems,  unless  a residential system in a "group home" are exempt from
 this act.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03847-01-3
 A. 3389                             2
              

 
   § 3. The general business law is amended by adding a new article  35-G
 to read as follows:
                               ARTICLE 35-G
                        WATER-BASED FIRE PROTECTION
                               LICENSURE ACT
 SECTION 759-G. DEFINITIONS.
         759-H. LICENSE  AND  RME REQUIREMENTS; SCOPE OF PRACTICE; PENAL-
                  TIES FOR NON-COMPLIANCE.
         759-I. POWERS OF THE DEPARTMENT AND BOARD.
         759-J. NEW LICENSURE REQUIREMENTS.
         759-K. LICENSURE FOR EXISTING CONTRACTORS.
         759-L. LICENSURE: APPLICATION; INSURANCE; DISPLAY; DUPLICATES.
         759-M. LICENSE RENEWALS AND RMES.
         759-N. INSPECTION OF WATER-BASED FIRE PROTECTION SYSTEMS.
         759-O. FEES.
         759-P. SUSPENSION AND REVOCATION OF LICENSES.
         759-Q. HEARING ON CHARGES; DECISION.
         759-R. JUDICIAL REVIEW.
         759-S. VIOLATIONS AND PENALTIES.
         759-T. OFFICIAL ACTS USED AS EVIDENCE.
         759-U. DISPOSITION OF MONEYS  DERIVED  FROM  OPERATION  OF  THIS
                  ARTICLE.
         759-V. SEVERABILITY.
         759-W. APPLICABILITY.
         759-X. CONTRACTUAL AGREEMENTS.
   §  759-G.  DEFINITIONS.  AS  USED  IN THIS ARTICLE, UNLESS THE CONTEXT
 REQUIRES OTHERWISE:
   1. "AFSA" MEANS THE AMERICAN FIRE SPRINKLER ASSOCIATION.
   2. "BOARD" MEANS THE STATE FIRE PROTECTION ADVISORY  BOARD  UNDER  THE
 DEPARTMENT.    SUCH  BOARD  SHALL  BE  THE  ADVISING BODY FOR ALL RULES,
 REQUIREMENTS, REGULATIONS, AND FUTURE MODIFICATIONS AFFECTING LICENSURE,
 CERTIFICATES  AND  CERTIFICATION,  EXAMS,  TRAINING,  AND  OTHER  TOPICS
 COVERED UNDER THIS ACT.
   3.  "BUSINESS  ENTITY"  MEANS  A  FIRM,  COMPANY, PARTNERSHIP, LIMITED
 LIABILITY COMPANY, OR CORPORATION.
   4. "DEPARTMENT" MEANS THE DEPARTMENT OF STATE  DIVISION  OF  LICENSING
 SERVICES.
   5. "ENGINEER OF RECORD" MEANS AN EDUCATION DEPARTMENT-LICENSED PROFES-
 SIONAL  ENGINEER, QUALIFIED BY EXPERIENCE AND TRAINING TO PROVIDE DESIGN
 CRITERIA FOR FIRE PROTECTION SYSTEMS INCLUDING:
   (A) SELECTION OF SYSTEM TYPES AND COMPONENTS;
   (B)  CLASSIFICATION  OF  POTENTIAL  HAZARDS  AND  COMMODITIES  TO   BE
 PROTECTED;
   (C) DENSITY, WATER FLOW, AND PRESSURE REQUIREMENTS FOR SYSTEM DESIGNS;
   (D) CONFIRMATION OF AVAILABLE WATER SUPPLY DATA;
   (E)  PRELIMINARY  HYDRAULIC  CALCULATIONS  VERIFYING  THE  ADEQUACY OF
 PROPOSED WATER SUPPLY ARRANGEMENTS;
   (F) ABILITY TO IDENTIFY WATER SUPPLIES THAT COULD LEAD TO MICROBIOLOG-
 ICALLY INFLUENCED CORROSION; AND
   (G) FAMILIARITY WITH SEISMIC INFORMATION AND OTHER ITEMS IDENTIFIED BY
 LAW OR THE UNIFORM FIRE AND BUILDING CODES OF THE STATE.
   6. "FEE" MEANS ANY EXAMINATION FEE, LICENSE FEE, REGISTRATION FEE,  OR
 RENEWAL  FEE  ACCOMPANYING  AN  APPLICATION  OR ISSUANCE OF ANY LICENSE,
 CERTIFICATION, OR REGISTRATION, INCLUDING ANY TEMPORARIES  OR  RENEWALS,
 PURSUANT TO THIS ARTICLE. SUCH FEE SHALL BE NON-REFUNDABLE.
   7. "FIRE CONTROL" OR "FIRE SUPPRESSION" MEANS:
 A. 3389                             3
 
   (A)  THE  PRACTICES,  OR  MATERIALS  AND EQUIPMENT IN OR ADJACENT TO A
 BUILDING OR PREMISES, USED IN THE INSTALLATION, MAINTENANCE,  EXTENSION,
 OR  ALTERATION  OF ALL PIPING MATERIALS AND EQUIPMENT, AS DEFINED BY THE
 STATE UNIFORM FIRE PREVENTION AND BUILDING CODE, IN CONNECTION WITH  THE
 DISCHARGE  OF  WATER  AND BACKFLOW PREVENTION FOR THE EXPRESS PURPOSE OF
 EXTINGUISHING AND CONTROLLING FIRE; AND
   (B) THE PRACTICE OF INSTALLING, REPAIRING,  INSPECTING,  TESTING,  AND
 MAINTAINING  WATER-BASED FIRE PROTECTION SYSTEMS AS DEFINED BY THE STATE
 UNIFORM FIRE PREVENTION AND BUILDING CODE.
   8. "FIRE SPRINKLER  SYSTEM"  MEANS  ANY  WATER-BASED  FIRE  PROTECTION
 SYSTEM,  FIRE  SUPPRESSION SYSTEM, OR FIRE CONTROL SYSTEM EMPLOYING FIRE
 SPRINKLERS AND CONSISTING OF UNDERGROUND AND OVERHEAD PIPING,  INCLUDING
 FIRE PUMPS AND ASSOCIATED PIPING, FIRE STANDPIPES THAT CONVEY WATER WITH
 OR WITHOUT OTHER AGENTS TO DISPERSAL OPENINGS OR DEVICES FOR THE PURPOSE
 OF  EXTINGUISHING,  CONTROLLING,  SUPPRESSING,  OR  CONTAINING FIRE, AND
 WHICH PROVIDE PROTECTION FROM FIRE EXPOSURE OR EXPOSURE TO THE  PRODUCTS
 OF  COMBUSTION,  AND  ARE INSTALLED IN ACCORDANCE WITH THE STATE UNIFORM
 FIRE PREVENTION AND BUILDING CODE AND REFERENCED STANDARDS AND STATE-AP-
 PROVED LOCAL STANDARDS.
   9. "FULL-TIME EMPLOYEE" MEANS AN EMPLOYEE OF A BUSINESS ENTITY WHO  IS
 EXPECTED  TO  WORK  AT  LEAST  ONE THOUSAND FIVE HUNDRED SIXTY HOURS PER
 YEAR. EARNED, PAID TIME FOR LEAVE SUCH AS VACATION,  SICK,  OR  PERSONAL
 DAYS  SHALL  BE  INCLUSIVE  WITHIN  THE  ONE THOUSAND FIVE HUNDRED SIXTY
 HOURS.
   10. "INSPECTION" MEANS THE VISUAL EXAMINATION OF A  BUILDING'S  WATER-
 BASED  FIRE PROTECTION SYSTEM, OR A PORTION THEREOF, TO VERIFY THAT SUCH
 SYSTEM APPEARS TO BE IN OPERATING CONDITION  AND  IS  FREE  OF  PHYSICAL
 DAMAGE.
   11. "INSPECTION, TESTING, AND MAINTENANCE" MEANS A PROGRAM PROVIDED BY
 A   STATE-LICENSED   WATER-BASED  FIRE  PROTECTION  CONTRACTOR  WHO  HAS
 CONTRACTED WITH A PROPERTY OR BUILDING OWNER, OR SUCH PROPERTY OR BUILD-
 ING OWNER'S REPRESENTATIVE, IN WHICH ALL COMPONENTS UNIQUE TO SUCH PROP-
 ERTY OR BUILDINGS' SYSTEMS ARE INSPECTED AND TESTED AT REQUIRED FREQUEN-
 CIES AND IN WHICH NECESSARY MAINTENANCE IS PROVIDED. SUCH PROGRAMS SHALL
 INCLUDE LOGGING AND RETENTION OF RELEVANT RECORDS AND REPORTING OF DEFI-
 CIENCIES AND MALFUNCTIONS TO THE PROPERTY OR BUILDING OWNER  OR  HIS  OR
 HER  AUTHORIZED  REPRESENTATIVE,  AND  THE  APPROPRIATE  AUTHORITIES  AS
 REQUIRED.
   12. "INSPECTOR" MEANS A PERSON WHO IS  EMPLOYED  BY  A  STATE-LICENSED
 WATER-BASED  FIRE  PROTECTION  CONTRACTOR,  WHO  PERFORMS INSPECTION AND
 TESTING ON A WATER-BASED  FIRE  PROTECTION  SYSTEM,  AS  PER  THE  STATE
 UNIFORM  FIRE  PREVENTION AND BUILDING CODE, AND A PROGRAM PROVIDED BY A
 STATE-LICENSED WATER-BASED FIRE PROTECTION CONTRACTOR.
   13. "INSTALL" OR "INSTALLATION"  MEANS  THE  INITIAL  PLACEMENT  OF  A
 WATER-BASED FIRE PROTECTION SYSTEM, OR ITS EXTENSION OR ALTERATION AFTER
 THE INITIAL PLACEMENT.
   14. "LAYOUT" MEANS THE PLACEMENT OF RISERS, CROSS MAINS, BRANCH LINES,
 FIRE  SPRINKLERS,  AND  HANGER LOCATIONS, AND SIZING OF PIPE AND SUPPLE-
 MENTAL HYDRAULIC CALCULATIONS  IN  ACCORDANCE  WITH  THE  PROVISIONS  OF
 WATER-BASED  FIRE  PROTECTION  DESIGN  STANDARDS  AND DESIGN CRITERIA AS
 PROVIDED BY THE ENGINEER OF RECORD.
   15. "LICENSE HOLDER" MEANS  A  BUSINESS  ENTITY  AS  DEFINED  BY  THIS
 SECTION  AND  AS LICENSED BY THE DEPARTMENT TO ENGAGE IN THE BUSINESS OF
 THE LAYOUT, INSTALLING, REPAIRING, INSPECTING, TESTING,  OR  MAINTAINING
 OF  WATER-BASED  FIRE  PROTECTION  SYSTEMS. A SINGLE LICENSE MAY NAME NO
 MORE THAN ONE BUSINESS ENTITY.
 A. 3389                             4
 
   16. "LIMITED MAINTENANCE" MEANS ADJUSTMENT OF OR REPLACEMENT OF SYSTEM
 COMPONENTS LIKE AND KIND, INCLUSIVE OF MAINTENANCE REQUIREMENTS PER NFPA
 25, AS DEFINED IN THIS SECTION.
   17.  "MAINTENANCE" MEANS WORK PERFORMED BY A LICENSED WATER-BASED FIRE
 PROTECTION CONTRACTOR TO  KEEP  WATER-BASED  FIRE  PROTECTION  EQUIPMENT
 OPERABLE INCLUDING REPAIRS.
   18. "NCCI" MEANS THE NATIONAL COUNCIL ON COMPENSATION INSURANCE.
   19. "NFPA" MEANS THE NATIONAL FIRE PROTECTION ASSOCIATION, INC.
   20.  "NFPA  25" MEANS THE NFPA'S MOST RECENT STATE REFERENCED PUBLICA-
 TION, WHICH  ESTABLISHES  THE  MINIMUM  REQUIREMENTS  FOR  THE  PERIODIC
 INSPECTION,  TESTING,  AND  MAINTENANCE  OF  WATER-BASED FIRE PROTECTION
 SYSTEMS AND THE ACTIONS TO UNDERTAKE WHEN  CHANGES  IN  OCCUPANCY,  USE,
 PROCESS,  MATERIALS, HAZARD, OR WATER SUPPLY THAT POTENTIALLY IMPACT THE
 PERFORMANCE OF SUCH WATER-BASED SYSTEM ARE PLANNED OR IDENTIFIED.
   21. "NFSA" MEANS THE NATIONAL FIRE SPRINKLER ASSOCIATION, INC.
   22. "NICET" MEANS THE NATIONAL INSTITUTE FOR  CERTIFICATION  IN  ENGI-
 NEERING  TECHNOLOGIES  OR OTHER ENTITIES RECOGNIZED AS BEING EQUAL TO OR
 BETTER THAN NICET, AS DETERMINED BY THE DEPARTMENT.
   23. "OFPC" MEANS THE STATE OFFICE OF FIRE PREVENTION AND CONTROL.
   24. "REPAIR" MEANS ANY WORK ON A SYSTEM AFTER THE INITIAL INSTALLATION
 TO REPLACE, CORRECT OR MAINTAIN SUCH SYSTEM.
   25. "RESPONSIBLE MANAGING EMPLOYEE" OR "RME" MEANS AN INDIVIDUAL  WITH
 APPROPRIATE  NICET  CERTIFICATION  OR STATE-APPROVED EQUIVALENT WHO IS A
 FULL-TIME EMPLOYEE OF A WATER-BASED FIRE PROTECTION CONTRACTOR, AND  WHO
 IS DESIGNATED AS SUCH WATER-BASED FIRE PROTECTION CONTRACTOR'S QUALIFIER
 TO  DO  BUSINESS  AS A WATER-BASED FIRE PROTECTION CONTRACTOR. A RME MAY
 SERVE TO QUALIFY NO MORE THAN TWO WATER-BASED FIRE PROTECTION CONTRACTOR
 UNDER THIS ARTICLE IN THE STATE.  WHERE AN RME QUALIFIES MULTIPLE  BUSI-
 NESS  ENTITIES,  THE  ENTITIES MUST BE SHOWN TO HAVE COMMON OWNERSHIP OR
 CONTROLLING INTEREST AND THE RME MUST BE A FULL-TIME EMPLOYEE.
   26. "SUPERVISE" OR "SUPERVISION" MEANS THE DIRECTION, MANAGEMENT,  AND
 OVERSIGHT  BY  THE  RME  NAMED ON A CONTRACTOR'S BUSINESS LICENSE OF THE
 ACTIVITIES OF PERSONNEL IN THE LAYOUT, INSTALLING,  REPAIRING,  INSPECT-
 ING,  TESTING,  OR MAINTAINING REPAIR OF ANY WATER-BASED FIRE PROTECTION
 SYSTEM. NOTWITHSTANDING THIS SUBDIVISION, SUPERVISION SHALL NOT  REQUIRE
 SUCH  RME TO BE AT THE SITE OF EACH LAYOUT, INSTALL, REPAIR, INSPECTION,
 TEST, OR MAINTENANCE OF  WATER-BASED  FIRE  PROTECTION  SYSTEMS  AT  ALL
 TIMES.
   27.  "TESTING"  MEANS  TESTING  WATER-BASED FIRE PROTECTION SYSTEMS AS
 DEFINED BY THE STATE UNIFORM FIRE PREVENTION AND BUILDING CODE.
   28. "WATER-BASED FIRE PROTECTION CONTRACTOR" OR "CONTRACTOR" MEANS ANY
 OF THE FOLLOWING CLASSES:
   (A) "CONTRACTOR I" OR "WATER-BASED FIRE PROTECTION CONTRACTOR" MEANS A
 BUSINESS ENTITY THAT OFFERS TO UNDERTAKE,  REPRESENTS  ITSELF  AS  BEING
 ABLE  TO UNDERTAKE, OR DOES UNDERTAKE THE LAYOUT, INSTALLING, REPAIRING,
 INSPECTING, TESTING, OR MAINTAINING OF ALL  TYPES  OF  WATER-BASED  FIRE
 PROTECTION SYSTEMS AND COMPONENTS.
   (B) "CONTRACTOR II" OR "WATER-BASED FIRE PROTECTION SYSTEMS INSPECTION
 CONTRACTOR"  MEANS A BUSINESS ENTITY THAT IS LIMITED TO THE EXECUTION OF
 CONTRACTS REQUIRING THE INSPECTION AND TESTING ALONG WITH LIMITED  MAIN-
 TENANCE OF FIRE PROTECTION SYSTEMS.  CONTRACTOR II BUSINESSES SHALL HAVE
 AN  RME  CERTIFIED  NICET II OR BETTER OR STATE EQUIVALENT IN INSPECTION
 AND TESTING OF WATER-BASED SYSTEMS.
   29. "WATER-BASED  FIRE  PROTECTION  CONTRACTOR  BUSINESS  LICENSE"  OR
 "LICENSE"  MEANS A LICENSE ISSUED BY THE DEPARTMENT TO A BUSINESS ENTITY
 TO OPERATE AS A WATER-BASED FIRE PROTECTION CONTRACTOR.
 A. 3389                             5
 
   30. "WATER-BASED FIRE PROTECTION SYSTEM" MEANS A COMMERCIAL  OR  RESI-
 DENTIAL SYSTEM INDIVIDUALLY DESIGNED TO PROTECT THE INTERIOR OR EXTERIOR
 OF  A SPECIFIC BUILDING, STRUCTURE, OR OTHER POTENTIAL HAZARD FROM FIRE,
 OR TO PROMOTE LIFE SAFETY. SUCH SYSTEMS INCLUDE, BUT ARE NOT LIMITED TO,
 WATER  FIRE-SPRINKLER SYSTEMS, WATER SPRAY SYSTEMS, FOAM-WATER SPRINKLER
 SYSTEMS, FOAM-WATER SPRAY SYSTEMS, AND FOAM EXTINGUISHING  SYSTEMS  USED
 FOR FIRE PROTECTION.
   §  759-H.  LICENSE  AND RME REQUIREMENTS; SCOPE OF PRACTICE; PENALTIES
 FOR NON-COMPLIANCE.  1. (A) IT IS UNLAWFUL FOR ANY  ORGANIZATION,  BUSI-
 NESS ENTITY, OR INDIVIDUAL TO ENGAGE IN THE BUSINESS OF LAYOUT, INSTALL-
 ING,  REPAIRING,  INSPECTING,  TESTING,  OR MAINTAINING WATER-BASED FIRE
 PROTECTION SYSTEMS, TO  ACT  IN  THE  CAPACITY  OF  A  WATER-BASED  FIRE
 PROTECTION  CONTRACTOR,  OR  TO  ADVERTISE ITSELF AS BEING A WATER-BASED
 FIRE PROTECTION CONTRACTOR WITHOUT HAVING BEEN DULY LICENSED AND WITHOUT
 HOLDING A VALID LICENSE, EXCEPT AS OTHERWISE PROVIDED IN  THIS  SECTION.
 THE  RME  NAMED TO QUALIFY AN ORGANIZATION OR BUSINESS ENTITY UNDER THIS
 ARTICLE MUST BE A FULL-TIME EMPLOYEE OF SUCH  ORGANIZATION  OR  BUSINESS
 ENTITY.
   (B)  THE  DEPARTMENT  SHALL REVOKE, FOR A PERIOD OF TIME DETERMINED BY
 THE DEPARTMENT,  THE  RME  AS  A  QUALIFIER  FOR  ALL  WATER-BASED  FIRE
 PROTECTION  CONTRACTORS  IF  SUCH  RME MAKES USE OF OR ALLOWS THE USE OF
 NICET OR EQUIVALENT CERTIFICATION TO QUALIFY A CONTRACTOR OF WHICH  SUCH
 RME IS NOT A FULL-TIME EMPLOYEE.
   (C) ALL ENTITIES PERFORMING LAYOUT OF DRAWINGS, INSTALLING, REPAIRING,
 INSPECTING,  TESTING, OR MAINTAINING WATER-BASED FIRE PROTECTION SYSTEMS
 WITHIN THE STATE (EXEMPTING SYSTEMS WITHIN THE JURISDICTIONS OF THE FIVE
 BOROUGHS OF NEW YORK CITY, NASSAU COUNTY, AND SUFFOLK COUNTY) MUST  HAVE
 IN  THEIR EMPLOY ONE OR MORE RMES WITH APPROPRIATE CERTIFICATION FOR THE
 LAYOUT OF  WATER-BASED  FIRE  PROTECTION  SYSTEM  SHOP  DRAWINGS  TO  BE
 PERFORMED,  OR  FOR THE PRACTICE OF INSPECTION, TESTING, AND MAINTENANCE
 OF WATER-BASED FIRE PROTECTION SYSTEMS. THIS INCLUDES CONTRACTORS  BASED
 IN  OTHER  STATES,  NEW YORK CITY, NASSAU COUNTY, AND SUFFOLK COUNTY, OR
 ANY OTHER LOCATION WORK COVERED UNDER THIS ARTICLE IS TO BE PERFORMED.
   (D) NOTHING IN THIS SUBDIVISION SHALL PROHIBIT AN EMPLOYEE  ACTING  ON
 BEHALF  OF  ANY  GOVERNMENT ENTITY OR INSURANCE PROVIDER FROM INSPECTING
 AND ENFORCING THE STATE UNIFORM FIRE PREVENTION AND  BUILDING  CODE  AND
 LOCAL  LAWS,  PROVIDED  SUCH EMPLOYEE IS ACTING SOLELY ON BEHALF OF SUCH
 GOVERNMENT ENTITY OR INSURANCE  PROVIDER.  ALL  FIRE  PROTECTION  CARDS,
 REGISTRATIONS,  CERTIFICATES,  AND LICENSES REQUIRED BY THIS ARTICLE AND
 ISSUED BY THE DEPARTMENT SHALL HAVE STATEWIDE APPLICATION (EXEMPTING THE
 JURISDICTIONS OF THE FIVE BOROUGHS OF NEW YORK CITY, NASSAU COUNTY,  AND
 SUFFOLK  COUNTY).  LOCAL GOVERNMENTS (EXEMPTING THE JURISDICTIONS OF THE
 FIVE BOROUGHS OF NEW YORK CITY, NASSAU COUNTY, AND SUFFOLK COUNTY) SHALL
 NOT ESTABLISH OR IMPOSE ANY FURTHER STANDARDS, LICENSING, CERTIFICATION,
 OR REGISTRATION UPON STATE-LICENSED WATER-BASED FIRE PROTECTION CONTRAC-
 TORS OR THEIR EMPLOYEES.
   (E)  LOCAL  GOVERNMENTS  (EXEMPTING  THE  JURISDICTIONS  OF  THE  FIVE
 BOROUGHS  OF NEW YORK CITY, NASSAU COUNTY, AND SUFFOLK COUNTY) SHALL NOT
 REQUIRE ANY TYPE OF ADDITIONAL LICENSING, CERTIFICATION, OR REGISTRATION
 OF A WATER-BASED FIRE PROTECTION CONTRACTOR, ITS RME, OR  ITS  EMPLOYEES
 THAT  ARE  LICENSED, CERTIFIED, OR REGISTERED BY THE DEPARTMENT OF STATE
 UNLESS SUCH CONTRACTOR MAINTAINS A PHYSICAL  OFFICE  WITHIN  SUCH  LOCAL
 GOVERNMENT'S JURISDICTION.
   2.  AS OF EIGHTEEN MONTHS AFTER THE EFFECTIVE DATE OF THIS ARTICLE, NO
 PERSON OR BUSINESS ENTITY  SHALL  ENGAGE  IN  THE  BUSINESS  OF  LAYOUT,
 INSTALLING,  REPAIRING,  INSPECTING, TESTING, OR MAINTAINING WATER-BASED
 A. 3389                             6
 
 FIRE PROTECTION SYSTEMS  BEGINNING  AT  THE  POINT  OF  FIRE  PROTECTION
 SERVICE  TO  THE  MOST  REMOTE  PARTS  OF THE SYSTEM, OR HOLD HIMSELF OR
 HERSELF OUT AS BEING ABLE SO TO DO UNLESS HE OR SHE IS LICENSED PURSUANT
 TO THIS ARTICLE.
   3.  RETROFITTING  OF A BACKFLOW PREVENTION DEVICE: IT IS THE RESPONSI-
 BILITY OF THE BUILDING OR PROPERTY OWNER, COMMERCIAL OR  RESIDENTIAL  TO
 OBTAIN  A  STATE  LICENSED  PROFESSIONAL  ENGINEER TO BECOME ENGINEER OF
 RECORD TO EVALUATE ANY WATER-BASED FIRE PROTECTION SYSTEM, SUPPLY  DOCU-
 MENTED  FINDINGS  TO  THE  WATER-BASED  FIRE  PROTECTION CONTRACTOR, AND
 APPROVE THE INSTALLATION OF ANY BACKFLOW PREVENTION DEVICE, IN ORDER  TO
 AVOID THE INTRODUCTION OR ADDITION OF A BACKFLOW PREVENTION DEVICE TO AN
 EXISTING  WATER-BASED FIRE PROTECTION SYSTEM, THAT CAUSES A REDUCTION IN
 AVAILABLE WATER PRESSURE AND MAY CREATE A SYSTEM MALFUNCTION.
   4. A WATER-BASED FIRE PROTECTION CONTRACTOR LICENSED UNDER THIS  ARTI-
 CLE SHALL NOT:
   (A)  ENTER INTO A WRITTEN OR ORAL AGREEMENT TO AUTHORIZE, SUBCONTRACT,
 OR OTHERWISE KNOWINGLY  ALLOW  ANY  INDIVIDUAL  OR  ENTITY  WHO  IS  NOT
 LICENSED  UNDER THIS ARTICLE TO ENGAGE IN THE BUSINESS OF, OR ACT IN THE
 CAPACITY OF, A WATER-BASED FIRE PROTECTION CONTRACTOR; OR
   (B) APPLY FOR OR OBTAIN A CONSTRUCTION  PERMIT  FOR  WATER-BASED  FIRE
 PROTECTION  WORK UNLESS SUCH WATER-BASED FIRE PROTECTION CONTRACTOR OR A
 BUSINESS ENTITY QUALIFIED BY SUCH CONTRACTOR HAS CONTRACTED  TO  CONDUCT
 THE WORK SPECIFIED IN HIS OR HER APPLICATION FOR THE REQUIRED PERMIT.
   5.  ANY  PERSON  WHO VIOLATES ANY PROVISION OF THIS ARTICLE OR COMMITS
 ANY OF THE ACTS CONSTITUTING A CAUSE  FOR  DISCIPLINARY  ACTION  AS  SET
 FORTH BY THIS ARTICLE SHALL BE GUILTY OF A CLASS B MISDEMEANOR, PUNISHA-
 BLE AS PROVIDED BY THIS ARTICLE, AND THE LAWS OF THE STATE.
   6.  IN  ADDITION TO THE PENALTIES PROVIDED IN SUBDIVISION FIVE OF THIS
 SECTION, A WATER-BASED FIRE PROTECTION CONTRACTOR  LICENSED  UNDER  THIS
 ARTICLE  WHO  VIOLATES  ANY PROVISION OF THIS SECTION OR WHO COMMITS ANY
 ACT CONSTITUTING CAUSE FOR DISCIPLINARY ACTION IS SUBJECT TO THE SUSPEN-
 SION OR REVOCATION OF HIS OR HER LICENSE AND SUCH  ADMINISTRATIVE  FINES
 AS PRESCRIBED BY THIS ARTICLE.
   7.  A LICENSE HOLDER HAS AN AFFIRMATIVE DUTY TO PROVIDE SUPERVISION OF
 EMPLOYEES AND ALL BUSINESS ACTIVITIES. SUCH SUPERVISION SHALL CONSIST OF
 REGULAR, FREQUENT PERSONAL GUIDANCE, INSTRUCTION, OVERSIGHT, AND  SUPER-
 INTENDENCE  BY  THE  QUALIFYING  RME OR RMES WITH RESPECT TO THE GENERAL
 BUSINESS CONDUCTED BY A FIRM, AND ALL MATTERS RELATING THERETO.
   8. NOTHING IN THIS ARTICLE SHALL PROHIBIT A PRINCIPAL OF A GIVEN BUSI-
 NESS ENTITY FROM QUALIFYING AS SUCH BUSINESS ENTITY'S  RME  AS  LONG  AS
 SUCH PRINCIPAL MEETS THE QUALIFICATIONS OF THIS ARTICLE.
   9.  LICENSES ISSUED TO CONTRACTORS SHALL CLEARLY IDENTIFY THE LEVEL OF
 SUCH LICENSE FOR EASE OF IDENTIFICATION BY FIELD STAFF OF THE DEPARTMENT
 AND OFPC, LOCAL CODE ENFORCEMENT OFFICIALS, THE PUBLIC,  AND  ANY  OTHER
 INTERESTED PARTIES.
   10.  LICENSE  APPLICABILITY  SHALL BE IN ACCORDANCE WITH THE FOLLOWING
 TABLE:
         FUNCTION    CLASS I     CLASS II
         INSPECT     ALL         ALL
         TEST        ALL         ALL
         MAINTAIN    ALL         LIMITED
         INSTALL     ALL         N/A
         REPAIR      ALL         N/A
   § 759-I. POWERS OF THE DEPARTMENT AND BOARD. 1.  IN  ADDITION  TO  THE
 POWERS  AND  DUTIES ELSEWHERE PRESCRIBED IN THIS ARTICLE, THE DEPARTMENT
 AND BOARD SHALL HAVE THE FOLLOWING POWERS:
 A. 3389                             7
 
   (A) TO PRESCRIBE THE DUTIES OF, FIX THE COMPENSATION OF,  AND  APPOINT
 AN  ADEQUATE NUMBER OF ASSISTANTS, FIELD INSPECTORS, AND OTHER EMPLOYEES
 AS MAY BE NECESSARY TO CARRY OUT THE PROVISIONS OF THIS ARTICLE.
   (B) TO EXAMINE THE QUALIFICATIONS OF APPLICANTS FOR LICENSES OR REGIS-
 TRATIONS UNDER THIS ARTICLE.
   (C) TO KEEP RECORDS OF ALL LICENSES, CERTIFICATIONS, AND REGISTRATIONS
 ISSUED,  SUSPENDED,  OR  REVOKED,  AND  TO PUBLISH SUCH INFORMATION ON A
 WEBSITE ACCESSIBLE TO THE PUBLIC.
   (D) TO PREPARE A MANUAL OF RULES AND  REGULATIONS  FOR  THE  LICENSURE
 PROCESS  OF  WATER-BASED FIRE PROTECTION CONTRACTORS AND TO PUBLISH SUCH
 INFORMATION ON A WEBSITE ACCESSIBLE TO THE PUBLIC.
   (E) TO PROMULGATE SUCH RULES  AND  REGULATIONS  AS  MAY  BE  NECESSARY
 PRESCRIBING  THE  FORM,  CONTENT,  AND  RECEPTION  OF  APPLICATIONS  FOR
 LICENSES AND REGISTRATIONS, THE MANNER OF INVESTIGATION AND  EXAMINATION
 OF APPLICANTS AND THEIR QUALIFICATIONS, AND ANY OTHER MATTERS INCIDENTAL
 OR  APPROPRIATE  TO  THE POWERS AND DUTIES AS PRESCRIBED BY THIS ARTICLE
 AND FOR THE PROPER ADMINISTRATION AND ENFORCEMENT OF THE  PROVISIONS  OF
 THIS  ARTICLE,  AND TO MAKE RECOMMENDATIONS TO ADD, AMEND, OR REPEAL ANY
 OF SUCH RULES AND REGULATIONS.
   2. THE SECRETARY OF STATE SHALL CREATE A STATE FIRE  PROTECTION  ADVI-
 SORY  BOARD  AND HAVE THE FIRST MEETING WITHIN NINETY DAYS OF THE EFFEC-
 TIVE DATE OF THIS ARTICLE. SUCH BOARD SHALL BE COMPOSED OF THE FOLLOWING
 MEMBERS:
   (A) ONE POSITION FOR THE SECRETARY OF STATE OR HIS OR HER DESIGNEE;
   (B) ONE POSITION FOR THE STATE FIRE ADMINISTRATOR OR HIS OR HER DESIG-
 NEE;
   (C) ONE POSITION FOR THE STATE DEPARTMENT OF STATE DIVISION OF  BUILD-
 ING STANDARDS AND CODES OR HIS OR HER DESIGNEE;
   (D) TWO PERSONS APPOINTED BY THE PRESIDENT OF THE NFSA WHO SHALL BE OF
 NEW  YORK STATE, AND WHOSE BUSINESSES MUST HAVE BEEN ACTIVELY ENGAGED IN
 THE BUSINESS OF LAYOUT, INSTALLING, INSPECTING,  TESTING,  ALTERING,  OR
 MAINTAINING  WATER-BASED FIRE PROTECTION SYSTEMS FOR AT LEAST FIVE YEARS
 IMMEDIATELY PRIOR TO THEIR APPOINTMENT;
   (E) TWO PERSONS APPOINTED BY THE PRESIDENT OF AFSA WHO SHALL BE OF NEW
 YORK STATE AND WHOSE BUSINESSES MUST HAVE BEEN ACTIVELY ENGAGED  IN  THE
 BUSINESS  OF  LAYOUT, INSTALLING, INSPECTING, TESTING, ALTERING OR MAIN-
 TAINING WATER-BASED FIRE PROTECTION SYSTEMS  FOR  AT  LEAST  FIVE  YEARS
 IMMEDIATELY PRIOR TO THEIR APPOINTMENT;
   (F) ONE POSITION FOR THE NFSA STAFF PERSON OR DESIGNEE; AND
   (G) ONE POSITION FOR THE AFSA STAFF PERSON OR DESIGNEE.
   3.  THE  CHAIR  OF THE BOARD SHALL BE THE SECRETARY OF STATE OR HIS OR
 HER DESIGNEE. THE STATE FIRE ADMINISTRATOR OR HIS OR  HER  DESIGNEE,  OR
 THE  DIRECTOR  OF  BUILDING  STANDARDS  AND CODES DIVISION OR HIS OR HER
 DESIGNEE, MAY SERVE AS CHAIR IN THE CHAIR'S ABSENCE  SO  AS  TO  CONDUCT
 BUSINESS.  THE CHAIR OF THE BOARD SHALL SERVE AS THE DECIDING VOTE WHERE
 THERE ARE TIE VOTES.
   4. THE BOARD SHALL ADVISE THE DEPARTMENT IN THE ADMINISTRATION OF  THE
 REQUIREMENTS  ESTABLISHED  BY  THIS  ARTICLE  AND  ALL OTHER FUTURE FIRE
 PROTECTION SYSTEM LICENSING.
   5. THE BOARD SHALL  BE  THE  AUTHOR  OF  WATER-BASED  FIRE  PROTECTION
 CERTIFICATION EXAMS FOR RMES IN THE STATE OF NEW YORK.
   6.  THE BOARD SHALL MEET AT LEAST ONCE QUARTERLY. THE BOARD SHALL HAVE
 THE AUTHORITY TO REVIEW COMPLAINTS AND  DISPUTED  ADMINISTRATIVE  ACTION
 AND  TO  MAKE NON-BINDING RECOMMENDATIONS FOR DISCIPLINARY ACTION TO THE
 DEPARTMENT AT THE REQUEST OF A CERTIFICATE HOLDER,  LICENSE  HOLDER,  OR
 THE  DEPARTMENT. THE BOARD SHALL MAKE DECISIONS AND SUPPLY IN WRITING TO
 A. 3389                             8
 
 THE DEPARTMENT RULES, CODES, STANDARDS, INTERPRETATIONS,  AND  TRAINING.
 THE  BOARD  MEMBERS'  TERMS  SHALL  EXPIRE  ON THE THIRTIETH DAY OF JUNE
 FOLLOWING THE EFFECTIVE DATE OF THIS ARTICLE AND BIENNIALLY  THEREAFTER.
 TERM LIMITS SHALL BE LIMITED TO FOUR CONSECUTIVE TERMS. NO MEMBER OF THE
 BOARD  SHALL  BE  PAID  A  SALARY AS SUCH MEMBER, BUT EACH SHALL RECEIVE
 NECESSARY EXPENSES  FOR  ATTENDING  BOARD  MEETINGS  AND  REIMBURSEMENT,
 INCLUDING TRAVEL FOR PERFORMANCE OF HIS OR HER BOARD DUTIES.
   7.  THE BOARD SHALL REVIEW AND ADVISE THE DEPARTMENT REGARDING ALL NEW
 APPLICATIONS AND THE DEPARTMENT SHALL ADMINISTER NEW LICENSES  FOLLOWING
 BOARD APPROVAL AND RENEWALS WITH PROPER DOCUMENTATION.
   8. MEMBERS OF THE BOARD SHALL EXERCISE DUE DILIGENCE TO PARTICIPATE IN
 ALL  SCHEDULED  AND  SPECIAL  MEETINGS AS REQUIRED. THE DEPARTMENT SHALL
 TAKE MINUTES AND MAKE MINUTES AVAILABLE AS SOON AS  REASONABLY  POSSIBLE
 TO BOARD MEMBERS THAT ARE ABSENT.
   9.  THE  MAJORITY  OF  THE  BOARD  WITH  AT  LEAST ONE FIRE PROTECTION
 CONTRACTOR BOARD MEMBER MUST BE PRESENT TO CONSTITUTE A QUORUM.
   10. MOTIONS SHALL NOT MOVE FORWARD  WITHOUT  A  MINIMUM  OF  TWO  FIRE
 PROTECTION CONTRACTOR BOARD MEMBERS IN SUPPORT OF THE MOTION.
   11. PROXY VOTES SHALL BE ALLOWED.
   12. REMOTE ELECTRONIC AUDIO OR AUDIO AND VISUAL PARTICIPATION SHALL BE
 ALLOWED.
   §  759-J.  NEW LICENSURE REQUIREMENTS. 1. AS A PREREQUISITE FOR LICEN-
 SURE AS A CONTRACTOR I, A RME QUALIFIER MUST BE  AT  LEAST  TWENTY-THREE
 YEARS  OF  AGE, BE OF GOOD MORAL CHARACTER SO AS NOT TO ADVERSELY IMPACT
 HIS OR HER ABILITY TO PERFORM  THE  DUTIES  AND  RESPONSIBILITIES  OF  A
 LICENSED  CONTRACTOR,  AND SHALL POSSESS FIVE YEARS OF PROVEN EXPERIENCE
 AND PROGRESSIVE  TRAINING  IN  THE  EMPLOYMENT  OF  A  WATER-BASED  FIRE
 PROTECTION  SYSTEM CONTRACTOR I OR A COMBINATION OF EQUIVALENT EDUCATION
 AND EXPERIENCE. IT IS THE INTENT THAT THE  CONTRACTOR  I  RME  MEET  THE
 CRITERIA OF NICET III CERTIFICATION REQUIREMENTS OR STATE EQUIVALENT SET
 FORTH  BY  THE  ADVISORY  BOARD  IN THE SPECIFIC TECHNICAL DISCIPLINE OF
 WATER-BASED LAYOUT, OR EQUIVALENT CRITERIA ACCEPTED BY THE BOARD AND THE
 DEPARTMENT  AS  A  PREREQUISITE,  ALONG  WITH  NICET   SPECIAL   HAZARDS
 SUPPRESSION  SYSTEMS  OR  EQUIVALENT  CRITERIA ACCEPTED BY THE BOARD AND
 DEPARTMENT. TWO RMES ARE PERMITTED, WITH ONE IN  EACH  DISCIPLINE.  MORE
 THAN ONE RME MAY BE PERMITTED PER COMPANY.
   2. AS A PREREQUISITE FOR LICENSURE AS A CONTRACTOR II, A RME QUALIFIER
 MUST  BE  AT LEAST EIGHTEEN YEARS OF AGE AND SHALL BE CERTIFIED NICET II
 FOR INSPECTION AND TESTING OF WATER-BASED SYSTEMS OR EQUIVALENT  CERTIF-
 ICATION ACCEPTED BY THE BOARD AND THE DEPARTMENT.
   3.  A  STATE  PROFESSIONAL  ENGINEER  LICENSE ALONG WITH EDUCATION AND
 DOCUMENTED EXPERIENCE IN WATER-BASED FIRE PROTECTION SYSTEM  ENGINEERING
 MAY BE SUBSTITUTED FOR THE RME REQUIREMENTS IN THIS SECTION.
   §  759-K. LICENSURE FOR EXISTING CONTRACTORS. EACH EXISTING CONTRACTOR
 SHALL FILE FOR A LICENSE AS AN EXISTING CONTRACTOR BY PRESENTING TO  THE
 DEPARTMENT  SATISFACTORY EVIDENCE THAT SUCH CONTRACTOR HAS BEEN ACTIVELY
 ENGAGED IN THE PROPER CLASS OF CONTRACTING IN THE SCOPE OF  THE  LICENSE
 APPLIED  FOR  IN  LAYOUT, INSTALLING, REPAIRING, INSPECTING, TESTING, OR
 MAINTAINING OF WATER-BASED FIRE PROTECTION SYSTEMS, AS A CONTRACTOR I OR
 CONTRACTOR II AND SHALL SHOW PROOF OF PROPER INSURANCE AS A  WATER-BASED
 FIRE  PROTECTION CONTRACTOR. SUCH EVIDENCE SHALL INCLUDE PROOF OF INSUR-
 ANCE WHICH INCLUDES THE LATEST NCCI RATING  SHEET  FOR  WORKERS  COMPEN-
 SATION  SHOWING  THE  APPROPRIATE  CODE  FOR FIRE SPRINKLER FITTERS. ALL
 EXISTING CONTRACTORS SHALL FILE FOR A LICENSE PURSUANT TO  THIS  SECTION
 WITHIN EIGHTEEN MONTHS OF THE EFFECTIVE DATE OF THIS ARTICLE.
 A. 3389                             9
 
   §  759-L.  LICENSURE: APPLICATION; INSURANCE; DISPLAY; DUPLICATES.  1.
 ONCE A REPRESENTATIVE RME MEETS THE PROVISIONS OF THIS ACT TO BE A QUAL-
 IFIER, ANY BUSINESS ENTITY DESIRING A LICENSE TO ENGAGE IN THE  BUSINESS
 OF  LAYOUT,  INSTALLING,  INSPECTING, ALTERING, OR MAINTAINING OF WATER-
 BASED  FIRE  PROTECTION SYSTEMS UNDER THIS ARTICLE, MAY MAKE AN APPLICA-
 TION TO THE DEPARTMENT. THE RME  SHALL  BE  SUBSCRIBED  BY  THE  LICENSE
 APPLICANT  AND  AFFIRMED  BY  HIM  OR HER AS TRUE UNDER THE PENALTIES OF
 PERJURY. THE LICENSE APPLICATION SHALL BE IN SUCH FORM AND SHALL CONTAIN
 THE RME'S NICET CERTIFICATION NUMBER, CATEGORY OF DISCIPLINE, AND  LEVEL
 OF  DISCIPLINE.  EACH LICENSE APPLICATION SHALL BE ACCOMPANIED BY A COPY
 OF REQUIRED CERTIFICATIONS AS ESTABLISHED IN THIS ARTICLE,  PROVING  THE
 LEVEL OF CERTIFICATION FOR INSPECTION BY THE DEPARTMENT.
   2. ALL LICENSES SHALL BE VALID FOR A PERIOD OF TWO YEARS AND SHALL NOT
 BE BASED ON CERTIFICATION OBLIGATIONS.
   3.  NO LICENSE SHALL BE ASSIGNABLE OR TRANSFERABLE EXCEPT AS OTHERWISE
 PROVIDED BY THIS SECTION.
   4. IF A RME, WHO HAS MET THE REQUIREMENTS OF THIS ARTICLE,  CEASES  TO
 ACT  IN THE CAPACITY OF RME, THE LICENSE HOLDER SHALL NOTIFY THE DEPART-
 MENT IN WRITING WITHIN THIRTY BUSINESS DAYS  FROM  SUCH  TERMINATION  OR
 CESSATION.  THE  LICENSE  HOLDER MAY CONTINUE TO CONDUCT THE BUSINESS OF
 LAYOUT,  INSTALLING,  REPAIRING,  INSPECTING,  TESTING,  OR  MAINTAINING
 WATER-BASED  FIRE  PROTECTION  SYSTEMS  FOR  A  PERIOD NOT TO EXCEED ONE
 HUNDRED EIGHTY DAYS FROM THE DATE  OF  SUCH  TERMINATION  OR  CESSATION,
 EXCEPT  THAT  SUCH  PERIOD  MAY  BE  EXTENDED UPON AN APPLICATION TO THE
 DEPARTMENT WITH GOOD CAUSE FOR AN ADDITIONAL PERIOD NOT  TO  EXCEED  ONE
 HUNDRED  TWENTY DAYS. BY THE END OF SUCH PERIOD A NEW RME MUST BE DESIG-
 NATED WHO HAS MET THE CERTIFICATION REQUIREMENTS OF THIS ARTICLE.
   5. (A) AS A PREREQUISITE TO ISSUANCE  OF  A  LICENSE,  THE  DEPARTMENT
 SHALL  REQUIRE  A  BUSINESS  ENTITY TO SUBMIT SATISFACTORY EVIDENCE THAT
 SUCH  BUSINESS  ENTITY  HAS  OBTAINED   APPROPRIATE   WATER-BASED   FIRE
 PROTECTION  CONTRACTING  COMMERCIAL GENERAL LIABILITY INSURANCE, SHOWING
 PROOF OF APPROPRIATE COVERAGE AMOUNTS  FOR  THE  APPROPRIATE  CONTRACTOR
 LEVEL  BEING  APPLIED  FOR,  WITH  A  MINIMUM OF ONE MILLION DOLLARS FOR
 CONTRACTOR I OR, CONTRACTOR II. SAID  EVIDENCE  SHALL  SHOW  APPROPRIATE
 COVERAGE FOR COMPREHENSIVE GENERAL LIABILITY FOR BODILY INJURY AND PROP-
 ERTY  DAMAGES,  PRODUCTS  LIABILITY,  COMPLETED  OPERATIONS, CONTRACTUAL
 LIABILITY, AND WORKERS' COMPENSATION. THE BOARD MAY ADOPT RULES  PROVID-
 ING FOR THE MINIMAL AMOUNT OF INSURANCE FOR ALL CONTRACTOR CLASSES.
   (B)  WATER-BASED  FIRE PROTECTION CONTRACTOR CERTIFICATES OF INSURANCE
 SHALL PROVIDE THAT SUCH INSURANCE SHALL  NOT  BE  MODIFIED,  THAT  THERE
 SHALL  BE  NO MATERIAL CHANGES IN COVERAGE OR ANY TERMINATION, NON-RENE-
 WAL, OR CANCELLATION UNLESS THIRTY DAYS' NOTICE IS GIVEN TO THE  DEPART-
 MENT.
   (C)  WATER-BASED  FIRE PROTECTION CONTRACTOR CERTIFICATES OF INSURANCE
 MUST INCLUDE THE POLICY NUMBER, DATE OF EXPIRATION, AND PHYSICAL ADDRESS
 OF EACH CONTRACTOR LOCATION. EACH  CONTRACTOR'S  OPERATION  OF  BUSINESS
 MUST BE NOTED IN THE DESCRIPTION PART OF SUCH CONTRACTOR'S CERTIFICATE.
   (D) THE "STATE OF NEW YORK" SHALL BE NAMED AS THE CERTIFICATE HOLDER.
   (E)  AN INSURER WHO FAILS TO SO NOTIFY THE DEPARTMENT SHALL BE SUBJECT
 TO THE PENALTIES PROVIDED WITHIN THIS ARTICLE.
   6. A LICENSE SHALL BE ISSUED UPON SATISFACTION OF THE REQUIREMENTS  OF
 THIS  SECTION. NO LICENSE SHALL REMAIN IN EFFECT IF, AFTER ISSUANCE, THE
 LICENSE HOLDER FAILS TO MAINTAIN INSURANCE  COVERAGE  REQUIRED  BY  THIS
 ARTICLE.
   7.  THE  DEPARTMENT  MAY,  AT ANY TIME SUBSEQUENT TO THE ISSUANCE OF A
 LICENSE OR RENEWAL, REQUIRE, UPON  DEMAND  AND  WITHIN  THIRTY  DAYS  OF
 A. 3389                            10
 
 NOTICE  OF SUCH DEMAND, THE LICENSE HOLDER TO PROVIDE PROOF OF INSURANCE
 COVERAGE ON A FORM PROVIDED BY THE DEPARTMENT,  CONTAINING  CONFIRMATION
 OF  INSURANCE  COVERAGE  AS REQUIRED BY THIS ARTICLE. FAILURE TO PROVIDE
 PROOF  OF  INSURANCE COVERAGE AS REQUIRED, FOR ANY LENGTH OF TIME, SHALL
 RESULT IN THE IMMEDIATE SUSPENSION OF THE LICENSE UNTIL PROOF OF  INSUR-
 ANCE IS PROVIDED TO, AND ACCEPTED BY, THE DEPARTMENT.
   8.  A  LICENSE  ISSUED  TO CONDUCT THE BUSINESS OF LAYOUT, INSTALLING,
 REPAIRING, INSPECTING,  TESTING,  OR  MAINTAINING  OF  WATER-BASED  FIRE
 PROTECTION SYSTEMS SHALL BE CONSPICUOUSLY POSTED UPON THE PREMISES WHERE
 THE  LICENSE  HOLDER  IS ENGAGED IN SUCH BUSINESS OF LAYOUT, INSTALLING,
 REPAIRING, INSPECTING,  TESTING,  OR  MAINTAINING  OF  WATER-BASED  FIRE
 PROTECTION SYSTEMS.
   9. UPON OBTAINING A LICENSE, ALL DOCUMENTS OR RECEIPTS ISSUED BY OR ON
 BEHALF  OF  A CONTRACTOR LICENSED PURSUANT TO THIS ARTICLE SHALL CONTAIN
 THE LICENSE IDENTIFICATION NUMBER ISSUED TO SUCH CONTRACTOR.
   10. A DUPLICATE LICENSE MAY BE ISSUED  FOR  ONE  LOST,  DESTROYED,  OR
 MUTILATED  UPON  AN  APPLICATION  FOR  SUCH  DUPLICATE LICENSE ON A FORM
 PRESCRIBED BY THE DEPARTMENT AND UPON PAYMENT OF THE FEE  PRESCRIBED  BY
 THIS  ARTICLE.  EACH  SUCH DUPLICATE LICENSE SHALL HAVE THE WORD "DUPLI-
 CATE" CLEARLY STAMPED OR WATERMARKED ACROSS ITS FACE AND SHALL BEAR  THE
 SAME  NUMBER  AS THE ORIGINAL LICENSE. ALL INFORMATION FROM THE ORIGINAL
 LICENSE SHALL BE TRANSPOSED IDENTICALLY.
   11. NOTICE IN WRITING SHALL BE GIVEN TO THE DEPARTMENT  BY  A  LICENSE
 HOLDER OF ANY CHANGE IN ADDRESS OF SUCH LICENSE HOLDER TOGETHER WITH THE
 RETURN OF SUCH HOLDER'S LICENSE, WHEREUPON A PROPERLY SIGNED ENDORSEMENT
 SHALL  BE  MADE  ON THE FACE OF SUCH LICENSE AS TO SUCH CHANGE, AND SUCH
 LICENSE SHALL THEN BE RETURNED TO THE LICENSE HOLDER.
   12. EACH LICENSE  TO  CONDUCT  THE  BUSINESS  OF  LAYOUT,  INSTALLING,
 REPAIRING,  INSPECTING,  TESTING,  OR  MAINTAINING  OF  WATER-BASED FIRE
 PROTECTION SYSTEMS ISSUED TO A BUSINESS ENTITY MAY  BE  USED  AFTER  THE
 DEATH  OF  THE RME FOR A PERIOD OF NOT MORE THAN ONE HUNDRED EIGHTY DAYS
 FROM THE DATE OF SUCH RME'S DEATH. SUCH ONE  HUNDRED  EIGHTY-DAY  PERIOD
 MAY BE EXTENDED UPON AN APPLICATION TO THE DEPARTMENT AND FOR GOOD CAUSE
 SHOWN  FOR  AN  ADDITIONAL  PERIOD NOT TO EXCEED ONE HUNDRED TWENTY DAYS
 TOTAL.
   § 759-M. LICENSE RENEWALS AND RMES. THE  CONTRACTOR  SHALL  SUBMIT  AN
 APPLICATION  AND  FEES  FOR  LICENSE  RENEWAL  ALONG  WITH  ALL REQUIRED
 DOCUMENTATION INCLUDING RME QUALIFICATIONS TO THE DEPARTMENT.
   § 759-N. INSPECTION OF WATER-BASED FIRE PROTECTION SYSTEMS.  1.    THE
 DEPARTMENT AND OFPC SHALL HAVE THE RIGHT TO INSPECT ANY WATER-BASED FIRE
 PROTECTION  SYSTEM  DURING  AND  AFTER CONSTRUCTION TO DETERMINE WHETHER
 SUCH SYSTEM MEETS THE STANDARDS SET FORTH IN THE LAWS AND RULES  OF  THE
 STATE.  THIS DOES NOT DIMINISH THE CAPACITY AND DUTIES OF THE LOCAL CODE
 ENFORCEMENT OFFICE HAVING JURISDICTION.
   2. A BUILDING  OWNER  WHO  HAS  WATER-BASED  FIRE  PROTECTION  SYSTEMS
 INSTALLED  IN  PUBLIC  OR PRIVATE PROPERTIES, INCLUDING GROUP HOMES, BUT
 NOT INCLUDING PRIVATE ONE-FAMILY OR TWO-FAMILY DWELLINGS OR MANUFACTURED
 HOUSING, SHALL CAUSE SUCH BUILDING TO BE INSPECTED  IN  COMPLIANCE  WITH
 THE PROCEDURES SET FORTH IN NFPA 25 BY A STATE LICENSED WATER-BASED FIRE
 PROTECTION CONTRACTOR. THIS SECTION DOES NOT PROHIBIT GOVERNMENTAL ENTI-
 TIES  AND  CODE ENFORCEMENT OFFICIALS IN THE PERFORMANCE OF THEIR DUTIES
 FROM INSPECTING AND ENFORCING STATE UNIFORM FIRE PREVENTION AND BUILDING
 CODE AND LOCAL LAWS.
   3. A BUILDING OWNER SHALL  CAUSE  TO  BE  CORRECTED  ALL  DEFICIENCIES
 DISCOVERED DURING INSPECTION.
 A. 3389                            11
 
   4.  A  BUILDING  OWNER  OR  BUILDING OWNER'S AUTHORIZED REPRESENTATIVE
 SHALL CONTRACT WITH A STATE-LICENSED CONTRACTOR FOR SCHEDULED INSPECTION
 AND TESTING BEFORE ANY CERTIFICATE OF OCCUPANCY IS ISSUED AND  DOES  NOT
 DETRACT LIABILITY OF THE BUILDING OWNER AND THE BUILDING OWNER'S RESPON-
 SIBILITIES.  THE  INSPECTING  CONTRACTOR  SHALL PROVIDE TO SUCH BUILDING
 OWNER A COPY OF THE INSPECTION REPORT DETAILING  APPLICABLE  STATE  CODE
 REQUIREMENTS  AND  NFPA 25 STANDARD INSPECTION, TESTING, AND MAINTENANCE
 CRITERIA. THE MAINTENANCE OF WATER-BASED FIRE PROTECTION SYSTEMS AS WELL
 AS CORRECTIVE ACTIONS ON DEFICIENT SYSTEMS IS THE RESPONSIBILITY OF  THE
 OWNER OF THE WATER-BASED FIRE PROTECTION SYSTEM CONNECTED THERETO. IT IS
 RECOGNIZED  THAT THE INSPECTING CONTRACTOR AND THE INSTALLING CONTRACTOR
 MAY OR MAY NOT BE ONE AND THE SAME. THE LIMIT OF LIABILITY OF INSPECTING
 CONTRACTORS SHALL BE THAT OF THE DOLLAR VALUE OF THE  INSPECTION,  TEST-
 ING,   AND   MAINTENANCE   CONTRACT.  THE  INSTALLING  WATER-BASED  FIRE
 PROTECTION CONTRACTOR SHALL BE REPOSED AND MAY NOT BE  SUED  FOR  LATENT
 CONSTRUCTION  DEFECTS,  MORE THAN TEN YEARS AFTER SUBSTANTIAL COMPLETION
 OF A PROJECT.
   5. A BUILDING OWNER SHALL ENSURE THAT INSPECTIONS, TESTING, AND  MAIN-
 TENANCE  OF  WATER-BASED FIRE PROTECTION SYSTEMS FOR DETACHED ONE-FAMILY
 DWELLINGS, DETACHED TWO-FAMILY DWELLINGS, AND MANUFACTURED HOUSING, MEET
 THE STANDARDS SET FORTH IN NFPA 13D. GROUP HOMES SHALL BE SUBJECT TO THE
 STANDARDS SET FORTH IN NFPA 25 AND SHALL BE GOVERNED BY THIS ARTICLE.
   6. MAINTENANCE OF WATER-BASED  FIRE  PROTECTION  SYSTEMS  AS  WELL  AS
 CORRECTIVE  ACTIONS  ON  DEFICIENT  SYSTEMS IS THE RESPONSIBILITY OF THE
 OWNER  OF  THE  SYSTEM.    NOTWITHSTANDING  INSPECTION  CONTRACTS   WITH
 CONFLICTING  LANGUAGE,  THE  OWNER  OF  THE  WATER-BASED FIRE PROTECTION
 SYSTEM SHALL  INDEMNIFY  AND  HOLD  HARMLESS  THE  OTHER  PARTY  TO  THE
 CONTRACT,  AND  THEIR OFFICERS AND EMPLOYEES, FROM LIABILITIES, DAMAGES,
 LOSSES AND COSTS, INCLUDING, BUT NOT LIMITED TO,  REASONABLE  ATTORNEY'S
 FEES,  TO  THE  EXTENT CAUSED BY THE NEGLIGENCE, RECKLESSNESS, OR INTEN-
 TIONAL FAILURE OF THE SYSTEM OWNER TO MAINTAIN OR TAKE CORRECTIVE ACTION
 TO MAINTAIN A WATER-BASED FIRE PROTECTION SYSTEM.
   7. EFFECTIVE THIRTY-SIX MONTHS FROM THE EFFECTIVE DATE OF  THIS  ARTI-
 CLE,  THE  DEPARTMENT  SHALL REQUIRE NICET III INSPECTION AND TESTING OF
 WATER-BASED FIRE PROTECTION SYSTEMS OR EQUIVALENT TRAINING AND EDUCATION
 AS DETERMINED BY THE  DEPARTMENT  FOR  THE  RME  OR  RMES  QUALIFYING  A
 CONTRACTOR  II  AS  PROOF  THAT  THEY  ARE  KNOWLEDGEABLE  IN NATIONALLY
 ACCEPTED STANDARDS FOR THE INSPECTION  OF  WATER-BASED  FIRE  PROTECTION
 SYSTEMS.
   8. IT IS THE RESPONSIBILITY OF THE CONTRACTOR II RME TO MAINTAIN NICET
 III  INSPECTION  AND  TESTING  OF  WATER-BASED  FIRE  PROTECTION SYSTEMS
 CERTIFICATION OR  EQUIVALENT  STATE  CERTIFICATION  AS  A  CONDITION  OF
 LICENSE  RENEWAL  AFTER  THIRTY-SIX MONTHS OF THE EFFECTIVE DATE OF THIS
 ARTICLE.
   9. NO JURISDICTION THROUGH LOCAL LAW OR CODE ENFORCEMENT OFFICE POLICY
 SHALL REQUIRE ANY FORMS OR DOCUMENTS  FOR  WATER-BASED  FIRE  PROTECTION
 SYSTEM  INSPECTIONS, TESTING, OR MAINTENANCE BEYOND WHAT IS IN THE SCOPE
 OF THE FIRE CODE OF THE STATE AND NFPA 25. ALL INSPECTION, TESTING,  AND
 MAINTENANCE  REPORTING  FORMS AND DOCUMENTATION REQUIRED SHALL COME FROM
 THE BUILDING OWNER OR SUCH OWNER'S LEGAL REPRESENTATIVE UNLESS LOCAL LAW
 REQUIRES OTHERWISE.
   § 759-O. FEES. 1. THE FEE FOR A LICENSE TO ENGAGE IN THE  BUSINESS  OF
 LAYOUT,  INSTALLING,  REPAIRING,  INSPECTING, TESTING, OR MAINTAINING OF
 WATER-BASED FIRE PROTECTION SYSTEMS SHALL BE TWO  HUNDRED  DOLLARS.  FOR
 EACH RENEWAL THEREOF, THE FEE SHALL BE ONE HUNDRED DOLLARS.
 A. 3389                            12

   2.  THE  FEE FOR ISSUING A DUPLICATE CERTIFICATE OR LICENSE IN SUBSTI-
 TUTION FOR ONE  LOST,  DESTROYED,  OR  MUTILATED  SHALL  BE  TWENTY-FIVE
 DOLLARS.
   3.  THE  FEE  FOR CHANGING A NAME OR ADDRESS ON A LICENSE SHALL BE TEN
 DOLLARS.
   4. THE FEES SET FORTH IN THIS  SECTION  SHALL  BE  FOR  REGISTRATIONS,
 CERTIFICATES, AND LICENSES ISSUED FOR THE PERIOD OF TWO YEARS OR A FRAC-
 TION OF SUCH PERIOD.
   5.  FEES  COLLECTED  SHALL  BE DEPOSITED FOR THE DEPARTMENT'S ADMINIS-
 TRATION OF THIS ARTICLE. EXCESS FEES SHALL ASSIST IN PROVIDING EDUCATION
 FOR STATE CERTIFIED CODE ENFORCEMENT OFFICIALS, BUILDING SAFETY  INSPEC-
 TORS, AND FIREFIGHTERS.
   § 759-P. SUSPENSION AND REVOCATION OF LICENSES. 1. A LICENSE TO ENGAGE
 IN  THE  BUSINESS OF LAYOUT, INSTALLING, REPAIRING, INSPECTING, TESTING,
 OR MAINTAINING OF WATER-BASED FIRE PROTECTION SYSTEMS MAY  BE  SUSPENDED
 OR REVOKED, OR IN LIEU THEREOF A FINE NOT EXCEEDING ONE THOUSAND DOLLARS
 PER VIOLATION PAYABLE TO THE DEPARTMENT MAY BE IMPOSED, OR A PENALTY MAY
 BE ISSUED BY THE DEPARTMENT OR BOARD, FOR ANY OF THE FOLLOWING CAUSES:
   (A) FRAUD OR BRIBERY IN SECURING A LICENSE;
   (B)  MAKING ANY FALSE STATEMENT AS TO A MATERIAL MATTER IN AN APPLICA-
 TION OR OTHER STATEMENT OR CERTIFICATE REQUIRED BY OR PURSUANT  TO  THIS
 ARTICLE;
   (C) INCOMPETENCE;
   (D) FAILURE TO DISPLAY THE LICENSE AS PROVIDED IN THIS ARTICLE;
   (E)  VIOLATION  OF  ANY  PROVISION  OF THIS ARTICLE, OR OF ANY RULE OR
 REGULATION ADOPTED PURSUANT TO THIS ARTICLE;
   (F) CONVICTION OF A FELONY INVOLVING FRAUD, THEFT, PERJURY OR  BRIBERY
 OR ANY OTHER CAUSE WHICH WOULD PERMIT DISQUALIFICATIONS FROM RECEIVING A
 LICENSE UPON THE ORIGINAL APPLICATION;
   (G)  FAILURE TO SUPERVISE THE INSTALLATION OF A FIRE PROTECTION SYSTEM
 COVERED BY A BUILDING PERMIT SIGNED BY A RME;
   (H) A RME OR LICENSE HOLDER'S VIOLATION OF ANY PROVISION OF THIS ARTI-
 CLE OR ANY RULE OR REGULATION ADOPTED AND PROMULGATED PURSUANT  TO  THIS
 ARTICLE  OR THE FAILURE OR REFUSAL TO COMPLY WITH ANY NOTICE OR ORDER TO
 CORRECT A VIOLATION OR ANY CEASE AND DESIST ORDER;
   (I) IMPROPER LAYOUT, INSTALLING, REPAIRING,  INSPECTING,  TESTING,  OR
 MAINTAINING A WATER-BASED FIRE PROTECTION SYSTEM;
   (J)  HAVING  RENDERED INOPERATIVE A WATER-BASED FIRE PROTECTION SYSTEM
 EXCEPT DURING SUCH TIME  AS  THE  SYSTEM  IS  BEING  INSPECTED,  TESTED,
 REPAIRED,  ALTERED,  OR  MAINTAINED,  USING IMPAIRMENT PROCEDURES AS PER
 STATE UNIFORMED CODE, OR EXCEPT PURSUANT TO A COURT ORDER;
   (K) WHILE HOLDING A CERTIFICATE OR LICENSE ALLOWING ANOTHER PERSON  TO
 USE  SUCH  CERTIFICATE  OR  LICENSE  NUMBER,  OR  USING A CERTIFICATE OR
 LICENSE NUMBER OTHER THAN THE VALID CERTIFICATE OR LICENSE NUMBER;
   (L) FAILURE TO PROVIDE PROOF OF INSURANCE TO THE DEPARTMENT OR FAILURE
 TO MAINTAIN INSURANCE COVERAGE REQUIRED BY THIS ARTICLE; OR
   (M) LOSS OF A RME FOR MORE THAN ONE HUNDRED TWENTY CONSECUTIVE DAYS.
   2. AN ORDER OF SUSPENSION SHALL STATE THE LENGTH OF  SUCH  SUSPENSION,
 WHICH  MAY NOT EXCEED TWO YEARS FROM THE DATE OF SUCH ORDER. SUCH ORDERS
 SHALL AFFECT SUSPENSION OR REVOCATION OF A  RME  QUALIFIER  OR  LICENSES
 HELD  BY A CONTRACTOR AND DURING SUCH PERIOD OF TIME NO LICENSE SHALL BE
 ISSUED TO SUCH CONTRACTOR. DURING THE PERIOD OF SUSPENSION OR REVOCATION
 OF ANY LICENSE, THE FORMER LICENSE HOLDER SHALL NOT ENGAGE IN OR ATTEMPT
 OR PROFESS TO ENGAGE IN ANY TRANSACTION OR BUSINESS FOR WHICH A  LICENSE
 IS  REQUIRED UNDER THIS CHAPTER, OR DIRECTLY OR INDIRECTLY OWN, CONTROL,
 OR BE EMPLOYED IN ANY MANNER BY ANY BUSINESS ENTITY FOR WHICH A  LICENSE
 A. 3389                            13
 
 UNDER  THIS  CHAPTER  IS  REQUIRED.    IF, DURING THE PERIOD BETWEEN THE
 BEGINNING OF PROCEEDINGS AND THE ENTRY OF  AN  ORDER  OF  SUSPENSION  OR
 REVOCATION BY THE DEPARTMENT, A NEW LICENSE HAS BEEN ISSUED TO THE BUSI-
 NESS  ENTITY  SO  CHARGED,  THE  ORDER OF SUSPENSION OR REVOCATION SHALL
 OPERATE TO SUSPEND OR REVOKE SUCH NEW  LICENSE  HELD  BY  SUCH  BUSINESS
 ENTITY.
   3.  SO  LONG  AS  A  REVOCATION  OR  SUSPENSION REMAINS IN EFFECT, THE
 DEPARTMENT SHALL NOT GRANT ANY NEW LICENSE FOR THE ESTABLISHMENT OF  ANY
 NEW  BUSINESS  ENTITY  TO ANY PERSON, BUSINESS ENTITY, OR QUALIFIER THAT
 HAS OR WILL HAVE THE SAME OR  SIMILAR  MANAGEMENT,  OWNERSHIP,  CONTROL,
 EMPLOYEES,  OR  LICENSE HOLDERS, OR WILL USE THE SAME OR SIMILAR NAME AS
 SUCH PREVIOUSLY REVOKED OR SUSPENDED BUSINESS ENTITY, PERSON,  OR  QUAL-
 IFIER.  IN  ADDITION, THE DEPARTMENT SHALL NOT ISSUE A NEW LICENSE IF IT
 FINDS THAT THE CIRCUMSTANCES  FOR  WHICH  SUCH  LICENSE  WAS  PREVIOUSLY
 REVOKED OR SUSPENDED STILL EXIST OR ARE LIKELY TO RECUR.
   4. WHENEVER A LICENSE TO ENGAGE IN THE BUSINESS OF LAYOUT, INSTALLING,
 INSPECTING,  TESTING,  REPAIRING,  OR  MAINTAINING  OF  WATER-BASED FIRE
 PROTECTION SYSTEMS IS REVOKED, SUCH LICENSE SHALL NOT BE  REINSTATED  OR
 REISSUED UNTIL FIVE YEARS FROM THE DATE OF SUCH REVOCATION.
   5.  THE FILING OF A PETITION IN BANKRUPTCY, EITHER VOLUNTARY OR INVOL-
 UNTARY, OR THE MAKING OF A COMPOSITION OF CREDITORS OR  THE  APPOINTMENT
 OF  A  RECEIVER FOR A BUSINESS ENTITY'S LICENSE MAY BE CONSIDERED BY THE
 DEPARTMENT AS JUST CAUSE FOR SUSPENSION OF SUCH LICENSE.
   6. THE LAPSE OR SUSPENSION OF A LICENSE BY  OPERATION  OF  LAW  OR  BY
 ORDER  OF  THE  DEPARTMENT OR A COURT OR THE VOLUNTARY SURRENDER OF SUCH
 LICENSE BY ITS LICENSE HOLDER DOES NOT DEPRIVE  THE  DEPARTMENT  OF  ITS
 AUTHORITY  TO INVESTIGATE OR ACT IN DISCIPLINARY PROCEEDINGS AGAINST THE
 LICENSE HOLDER.
   7.  A  CONTRACTOR  FILING  AN  APPLICATION  FOR  A  WATER-BASED   FIRE
 PROTECTION LICENSE FOLLOWING THE REVOCATION OF A PREVIOUS LICENSE IN ANY
 CATEGORY SHALL FOLLOW ALL PROCEDURES FOR OBTAINING A NEW LICENSE.
   § 759-Q. HEARING ON CHARGES; DECISION. NO CERTIFICATE OR LICENSE SHALL
 BE  SUSPENDED  OR REVOKED NOR SHALL ANY FINE OR PENALTY BE IMPOSED UNTIL
 AFTER A HEARING IS HELD BEFORE AN OFFICER OR EMPLOYEE OF THE  DEPARTMENT
 DESIGNATED  FOR  SUCH  PURPOSE  BY  THE  DEPARTMENT,  UPON NOTICE TO THE
 CERTIFICATE OR LICENSE HOLDER OF AT LEAST  TEN  DAYS.    THE  DEPARTMENT
 SHALL  CONSIDER  THE  RECOMMENDATIONS  OF THE BOARD. THE NOTICE SHALL BE
 SERVED EITHER PERSONALLY OR BY REGISTERED MAIL AND SHALL STATE THE  DATE
 AND  PLACE OF THE HEARING AND SET FORTH THE GROUND OR GROUNDS CONSTITUT-
 ING THE CHARGES AGAINST THE CERTIFICATE OR LICENSE HOLDER. SUCH  CERTIF-
 ICATE OR LICENSE HOLDER SHALL HAVE THE OPPORTUNITY TO BE HEARD EITHER IN
 PERSON OR BY COUNSEL AND MAY PRODUCE WITNESSES AND TESTIFY ON HIS OR HER
 OWN  BEHALF.  A  STENOGRAPHIC  RECORD  OF THE HEARING SHALL BE TAKEN AND
 PRESERVED. THE HEARING MAY BE ADJOURNED FROM TIME TO TIME.   THE  PERSON
 CONDUCTING  THE HEARING SHALL MAKE A WRITTEN REPORT INCLUDING HIS OR HER
 FINDINGS AND A  RECOMMENDATION  TO  THE  DEPARTMENT  FOR  DECISION.  THE
 DEPARTMENT  SHALL REVIEW SUCH FINDINGS AND RECOMMENDATION AND, AFTER DUE
 DELIBERATION, SHALL ISSUE AN ORDER ACCEPTING,  MODIFYING,  OR  REJECTING
 SUCH RECOMMENDATION AND DISMISSING THE CHARGES OR SUSPENDING OR REVOKING
 THE  CERTIFICATE  OR  LICENSE,  OR  IN  LIEU THEREOF, IMPOSING A FINE OR
 PENALTY UPON THE CERTIFICATE OR LICENSE HOLDER. FOR THE PURPOSES OF THIS
 ARTICLE, THE DEPARTMENT OR ANY OFFICER OR  EMPLOYEE  OF  THE  DEPARTMENT
 DESIGNATED  BY THE SECRETARY OF STATE, MAY ADMINISTER OATHS, TAKE TESTI-
 MONY, SUBPOENA WITNESSES, AND COMPEL THE PRODUCTION  OF  BOOKS,  PAPERS,
 RECORDS,  PHOTOGRAPHS,  AND DOCUMENTS DEEMED PERTINENT TO THE SUBJECT OF
 INVESTIGATION.
 A. 3389                            14
 
   § 759-R. JUDICIAL REVIEW. THE ACTION OF THE DEPARTMENT IN  SUSPENDING,
 REVOKING  OR  REFUSING  TO  ISSUE  OR RENEW A CERTIFICATE OR LICENSE, OR
 IMPOSING A FINE OR PENALTY UPON  THE  HOLDER  OF  SUCH  LICENSE  MAY  BE
 REVIEWED  IN A PROCEEDING BROUGHT UNDER AND PURSUANT TO ARTICLE SEVENTY-
 EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
   §  759-S.  VIOLATIONS AND PENALTIES. ANY PERSON OR BUSINESS ENTITY WHO
 DIRECTLY OR INDIRECTLY ENGAGES IN THE BUSINESS  OF  LAYOUT,  INSTALLING,
 REPAIRING,   INSPECTING,   TESTING,   OR  MAINTAINING  WATER-BASED  FIRE
 PROTECTION SYSTEMS OR HOLDS ONESELF OUT TO THE PUBLIC AS BEING  ABLE  TO
 PERFORM  SUCH WORK AND IS WITHOUT A LICENSE, OR WHO SHALL VIOLATE ANY OF
 THE PROVISIONS OF THIS ARTICLE, OR HAVING HAD  A  LICENSE  SUSPENDED  OR
 REVOKED,  CONTINUES  TO  ENGAGE  IN  THE BUSINESS OF LAYOUT, INSTALLING,
 REPAIRING,  INSPECTING,  TESTING,  OR   MAINTAINING   WATER-BASED   FIRE
 PROTECTION  SYSTEMS  OR WHO, WITHOUT A LICENSE TO ENGAGE IN THE BUSINESS
 OF LAYOUT, INSTALLING, REPAIRING, INSPECTING,  TESTING,  OR  MAINTAINING
 WATER-BASED  FIRE  PROTECTION  SYSTEMS,  DIRECTLY OR INDIRECTLY EMPLOYS,
 PERMITS OR AUTHORIZES AN UNCERTIFIED PERSON TO ENGAGE IN THE BUSINESS OF
 LAYOUT,  INSTALLING,  REPAIRING,  INSPECTING,  TESTING,  OR  MAINTAINING
 WATER-BASED  FIRE  PROTECTION  SYSTEMS, SHALL BE GUILTY OF A MISDEMEANOR
 AND, UPON CONVICTION, SHALL BE PUNISHABLE BY IMPRISONMENT  OF  NOT  MORE
 THAN  SIX  MONTHS, OR BY A FINE OF NOT MORE THAN ONE THOUSAND DOLLARS OR
 BOTH UPON THE FIRST CONVICTION, AND BY IMPRISONMENT OF NOT MORE THAN ONE
 YEAR OR BY A FINE OF NOT LESS THAN ONE THOUSAND  DOLLARS  OR  MORE  THAN
 FIVE  THOUSAND  DOLLARS  OR  BOTH  UPON  A  SUBSEQUENT  CONVICTION. EACH
 VIOLATION OF THIS ARTICLE SHALL BE DEEMED A SEPARATE OFFENSE.
   § 759-T. OFFICIAL ACTS USED AS EVIDENCE.  THE  OFFICIAL  ACTS  OF  THE
 SECRETARY  OF  STATE AND THE DEPARTMENT SHALL BE PRIMA FACIE EVIDENCE OF
 THE FACTS THEREIN AND SHALL BE ENTITLED TO BE RECEIVED  IN  EVIDENCE  IN
 ALL  ACTIONS  AT  LAW AND OTHER LEGAL PROCEEDINGS IN ANY COURT OR BEFORE
 ANY BOARD, BODY, OR OFFICER.
   § 759-U. DISPOSITION OF MONEYS DERIVED FROM OPERATION OF THIS ARTICLE.
 FEES COLLECTED PURSUANT TO THIS ARTICLE SHALL BE PAID INTO THE APPROPRI-
 ATE ACCOUNT FOR THE DEPARTMENT PURSUANT TO THE STATE  FINANCE  LAW,  FOR
 ADMINISTRATION  OF  THIS ARTICLE.  ALL REMAINING MONEYS DERIVED FROM THE
 OPERATION OF THIS ARTICLE SHALL ON OR BEFORE THE TENTH DAY OF EACH MONTH
 BE PAID INTO A FUND OF THE STATE TREASURY TO THE CREDIT OF  THE  DEPART-
 MENT'S  ACCOUNT  TO ASSIST IN PROVIDING EDUCATION FOR STATE CERTIFICATED
 CODE ENFORCEMENT OFFICIALS, BUILDING SAFETY INSPECTORS,  AND  FIREFIGHT-
 ERS.
   § 759-V. SEVERABILITY. IF ANY PART OR PROVISION OF THIS ARTICLE OR THE
 APPLICATION THEREOF TO ANY PERSON OR CIRCUMSTANCE BE ADJUDGED INVALID BY
 ANY  COURT OF COMPETENT JURISDICTION, SUCH JUDGMENT SHALL BE CONFINED IN
 ITS OPERATION TO THE PART, PROVISION OR APPLICATION DIRECTLY INVOLVED IN
 THE CONTROVERSY IN WHICH SUCH JUDGMENT  SHALL  HAVE  BEEN  RENDERED  AND
 SHALL NOT AFFECT OR IMPAIR THE VALIDITY OF THE REMAINDER OF THIS ARTICLE
 OR  THE  APPLICATION  THEREOF TO OTHER PERSONS OR CIRCUMSTANCES, AND THE
 LEGISLATURE HEREBY DECLARES THAT IT WOULD HAVE ENACTED THIS  ARTICLE  OR
 THE  REMAINDER  THEREOF HAD THE INVALIDITY OF SUCH PROVISION OR APPLICA-
 TION THEREOF BEEN APPARENT.
   § 759-W. APPLICABILITY. 1. THIS ARTICLE SHALL NOT APPLY TO WATER-BASED
 FIRE PROTECTION WORK  PERFORMED  UNDER  THE  JURISDICTION  OF  THE  FIVE
 BOROUGHS OF NEW YORK CITY, NASSAU COUNTY, OR SUFFOLK COUNTY. ANY MUNICI-
 PALITY OR LOCAL GOVERNMENT AGENCY LOCATED IN NEW YORK CITY, NASSAU COUN-
 TY,  OR  SUFFOLK  COUNTY  MAY  REQUIRE  OTHER  LICENSES OR EVIDENCE OF A
 PERSON'S COMPETENCE TO LAYOUT, INSTALL, REPAIR, INSPECT, TEST, OR  MAIN-
 TAIN  ALL  TYPES  OF WATER-BASED FIRE PROTECTION SYSTEMS AND COMPONENTS.
 A. 3389                            15

 NOTHING IN THIS SECTION SHALL BE CONSTRUED TO IMPLY THAT A HOLDER  OF  A
 NEW  YORK  CITY, NASSAU COUNTY, OR SUFFOLK COUNTY LICENSE SHALL HAVE ANY
 STANDING  OUTSIDE  THE  BOUNDARIES  OF  THE  JURISDICTION  ISSUING  SUCH
 LICENSE.
   2. THIS ARTICLE SHALL NOT APPLY TO:
   (A)  A  PERSON  WHO  PERFORMS  WATER-BASED  FIRE  PROTECTION WORK WITH
 RESPECT TO ANY ONE-FAMILY OR TWO-FAMILY DWELLING OWNED OR LEASED BY SUCH
 PERSON UNLESS OTHERWISE SPECIFIED;
   (B) A PERSON WHO, WHILE EMPLOYED BY A PUBLIC UTILITY OR ITS AFFILIATE,
 PERFORMS  WATER-BASED  FIRE  PROTECTION  WORK  IN  CONNECTION  WITH  THE
 FURNISHING OF SUCH PUBLIC UTILITY SERVICE;
   (C)  ANY  WORK COVERED BY ANY NATIONAL, STATE, OR MUNICIPAL ELECTRICAL
 CODE INCLUDING BUT NOT LIMITED TO PULL STATIONS,  STROBES,  HEAT  DETEC-
 TORS,  SMOKE  DETECTORS, FIRE ALARMS OR BELLS, AND ANY ELECTRICAL WIRING
 INCLUDING CONDUIT CONNECTED TO RACEWAY CONTROL CABINETS; OR
   (D) UNDERGROUND WATER SUPPLY FOR  FIRE  PROTECTION  UP  TO  THE  FLOOR
 FLANGE WHERE THE WATER-BASED FIRE PROTECTION SYSTEM ABOVE GROUND BEGINS.
   3.  THIS ACT SHALL NOT BE HELD TO INVALIDATE ANY PROVISION OF THE LAWS
 OF THIS STATE OR ANY  SUBDIVISION  THEREOF  UNLESS  THERE  IS  A  DIRECT
 CONFLICT BETWEEN THE PROVISION OF THIS ARTICLE AND THE PROVISION OF SUCH
 LAW  OR  UNLESS  SUCH  LAW IS DUPLICATIVE OF THIS ARTICLE, IN WHICH CASE
 THIS ARTICLE SHALL PREVAIL. NO LOCAL LAW SHALL REQUIRE ANY FEE, LICENSE,
 OR CERTIFICATE FOR THE LAYOUT, INSTALLING, REPAIRING, INSPECTING,  TEST-
 ING,  OR MAINTAINING OF WATER-BASED FIRE PROTECTION SYSTEMS, EXCEPT WHEN
 THE WATER-BASED FIRE PROTECTION CONTRACTOR BUSINESS IS LOCATED WITHIN  A
 POLITICAL  JURISDICTION.  ANY  JURISDICTION MAY APPLY BUSINESS LICENSURE
 CRITERIA AND FEES CONSISTENT WITH OTHER BUSINESSES IN SUCH JURISDICTION.
   4. NOTHING IN THIS ARTICLE SHALL LIMIT THE POWER OF A MUNICIPALITY  OR
 COUNTY  TO  REGULATE  THE  QUALITY  AND  CHARACTER  OF WORK PERFORMED BY
 WATER-BASED FIRE PROTECTION CONTRACTORS THROUGH  A  SYSTEM  OF  PERMITS,
 FEES,  AND INSPECTIONS WHICH ARE DESIGNED TO SECURE COMPLIANCE WITH, AND
 AID IN THE IMPLEMENTATION OF, STATE AND LOCAL LAWS OR TO  ENFORCE  OTHER
 LOCAL LAWS FOR THE PROTECTION OF THE PUBLIC HEALTH AND SAFETY.
   5.  NOTHING IN THIS ARTICLE SHALL LIMIT THE POWER OF A MUNICIPALITY OR
 COUNTY TO ADOPT ANY  SYSTEM  OF  PERMITS  REQUIRING  SUBMISSION  TO  AND
 APPROVAL  BY SUCH MUNICIPALITY OR COUNTY OF PLANS AND SPECIFICATIONS FOR
 WORK TO BE PERFORMED BY CONTRACTORS BEFORE COMMENCEMENT  OF  SUCH  WORK,
 EXCEPT  THAT  NO MUNICIPALITY OR COUNTY SHALL REQUIRE A WATER-BASED FIRE
 PROTECTION CONTRACTOR'S SHOP DRAWINGS TO  BE  STAMPED  OR  SEALED  BY  A
 PROFESSIONAL ENGINEER OR REGISTERED ARCHITECT.
   6.  ANY  ELECTED OR APPOINTED OFFICIAL AUTHORIZED TO ISSUE A BUILDING,
 FIRE PROTECTION, OR OTHER RELATED PERMIT FOR  A  PROJECT  THAT  INCLUDES
 WATER-BASED  FIRE PROTECTION SHALL ASCERTAIN THAT THE APPLICANT CONTRAC-
 TOR OR SUBCONTRACTOR  IS  APPROPRIATELY  LICENSED  BEFORE  ISSUING  SUCH
 PERMIT. THE EVIDENCE SHALL CONSIST ONLY OF THE PRESENTATION TO THE OFFI-
 CIAL OF EVIDENCE OF THE CURRENT CONTRACTOR LICENSE I. IF THE WATER-BASED
 FIRE  PROTECTION  CONTRACTOR IS NOT KNOWN AT TIME OF PERMIT REQUEST BY A
 GENERAL CONTRACTOR OR OTHER PARTY  APPLYING  FOR  PERMIT,  THE  REQUIRED
 INFORMATION   ABOVE  SHALL  BE  SUPPLIED  BEFORE  ANY  WATER-BASED  FIRE
 PROTECTION WORK COMMENCES.  ANY  PERMITS  FOR  THE  LAYOUT,  INSTALLING,
 REPAIRING,  INSPECTING,  TESTING,  OR  MAINTAINING OF A WATER-BASED FIRE
 PROTECTION SYSTEM MAY ONLY BE ISSUED  TO  A  LICENSED  WATER-BASED  FIRE
 PROTECTION  CONTRACTOR  OF THE APPROPRIATE CLASSIFICATION TO CONDUCT THE
 WORK.
   § 759-X. CONTRACTUAL AGREEMENTS. 1. ANY PORTION OF  ANY  AGREEMENT  OR
 CONTRACT FOR OR IN CONNECTION WITH, OR ANY GUARANTEE OF OR IN CONNECTION
 A. 3389                            16
 
 WITH  ANY  LAYOUT, INSTALLING, REPAIRING, INSPECTING, TESTING, MAINTAIN-
 ING, OR DEMOLITION OF A WATER-BASED FIRE PROTECTION  SYSTEM  BETWEEN  AN
 OWNER  OF  REAL  PROPERTY OR GENERAL CONTRACTOR AND THE WATER-BASED FIRE
 PROTECTION  CONTRACTOR  WHEREIN  ANY PARTY PROMISES TO INDEMNIFY OR HOLD
 HARMLESS THE OTHER PARTY TO THE AGREEMENT, CONTRACT,  OR  GUARANTEE  FOR
 LIABILITY  FOR DAMAGES TO PERSONS OR PROPERTY CAUSED IN PART BY ANY ACT,
 OMISSION, OR DEFAULT OF THE INDEMNITEE ARISING FROM THE CONTRACT OR  ITS
 PERFORMANCE,  SHALL  BE  VOID  AND  UNENFORCEABLE  UNLESS  THE  CONTRACT
 CONTAINS A MONETARY LIMITATION ON THE EXTENT OF THE INDEMNIFICATION THAT
 BEARS A REASONABLE COMMERCIAL RELATIONSHIP TO THE CONTRACT AND  IS  PART
 OF  THE PROJECT SPECIFICATIONS OR BID DOCUMENTS, IF ANY. NOTWITHSTANDING
 THE FOREGOING, THE MONETARY LIMITATION ON THE EXTENT OF THE INDEMNIFICA-
 TION PROVIDED TO THE OWNER OF REAL PROPERTY BY ANY PARTY IN  PRIVITY  OF
 CONTRACT  WITH SUCH OWNER SHALL NOT BE LESS THAN ONE MILLION DOLLARS PER
 OCCURRENCE, UNLESS OTHERWISE  AGREED  BY  THE  PARTIES.  INDEMNIFICATION
 PROVISIONS  IN  ANY  SUCH  AGREEMENTS,  CONTRACTS, OR GUARANTEES MAY NOT
 REQUIRE THAT THE INDEMNITOR INDEMNIFY  THE  INDEMNITEE  FOR  DAMAGES  TO
 PERSONS  OR  PROPERTY CAUSED BY THE SOLE NEGLIGENCE OF ANOTHER PARTY, OR
 IN WHOLE OR IN PART BY ANY ACT, OMISSION, OR DEFAULT OF  A  PARTY  OTHER
 THAN:
   (A) THE INDEMNITOR;
   (B)  ANY  OF THE INDEMNITOR'S CONTRACTORS, SUBCONTRACTORS, SUB-SUBCON-
 TRACTORS, MATERIALSPERSON, OR AGENTS OF ANY  TIER  OR  THEIR  RESPECTIVE
 EMPLOYEES; OR
   (C)  THE  INDEMNITEE OR ITS OFFICERS, DIRECTORS, AGENTS, OR EMPLOYEES.
 HOWEVER, SUCH INDEMNIFICATION SHALL NOT INCLUDE CLAIMS  OF,  OR  DAMAGES
 RESULTING  FROM  GROSS  NEGLIGENCE,  OR  WILLFUL,  WANTON OR INTENTIONAL
 MISCONDUCT OF THE INDEMNITEE  OR  ITS  OFFICERS,  DIRECTORS,  AGENTS  OR
 EMPLOYEES,  OR FOR STATUTORY VIOLATION OR PUNITIVE DAMAGES EXCEPT AND TO
 THE EXTENT THE STATUTORY VIOLATION OR PUNITIVE DAMAGES ARE CAUSED BY  OR
 RESULT  FROM  THE  ACTS  OR  OMISSIONS  OF  THE INDEMNITOR OR ANY OF THE
 INDEMNITOR'S CONTRACTORS, SUBCONTRACTORS, SUB-SUBCONTRACTORS,  MATERIAL-
 SPERSONS, OR AGENTS OF ANY TIER OR THEIR RESPECTIVE EMPLOYEES.
   2. A CONSTRUCTION CONTRACT FOR A PUBLIC AGENCY OR IN CONNECTION WITH A
 PUBLIC  AGENCY'S PROJECT MAY NOT REQUIRE ONE PARTY TO INDEMNIFY, DEFEND,
 OR HOLD HARMLESS THE OTHER PARTY, ITS EMPLOYEES, OFFICERS, DIRECTORS, OR
 AGENTS FROM ANY LIABILITY, DAMAGE, LOSS, CLAIM, ACTION,  OR  PROCEEDING,
 AND ANY SUCH CONTRACT PROVISION IS VOID AS AGAINST PUBLIC POLICY OF THIS
 STATE.
   3.  THIS SECTION DOES NOT AFFECT ANY CONTRACTS, AGREEMENTS, OR GUARAN-
 TEES ENTERED INTO BEFORE THE EFFECTIVE DATE OF THIS ARTICLE BUT  AFFECTS
 RENEWALS  THEREOF WHEN SUCH RENEWAL TAKES PLACE AFTER THE EFFECTIVE DATE
 OF THIS ARTICLE.
   4. WATER-BASED FIRE PROTECTION CONTRACTORS SHALL BE GRANTED SUFFICIENT
 TIME TO INSPECT ANY PERCEIVED CONSTRUCTION DEFECT  IN  A  BUILDING  THAT
 THEY MAY DISPROVE OR ACCEPT AS IN THEIR PURVIEW BEFORE ANY LEGAL ACTIONS
 OR  SUITS ARE BROUGHT FORTH. IF SUCH CONTRACTOR TAKES RESPONSIBILITY FOR
 SUCH DEFECT, REASONABLE TIME SHALL BE ALLOWED FOR SUCH CONTRACTOR OR HIS
 OR HER REPRESENTATIVE TO CORRECT SUCH DEFECT WITHOUT FEAR OF  ANY  LEGAL
 ACTIONS  OR  SUIT. A WATER-BASED FIRE PROTECTION CONTRACTOR SHALL NOT BE
 HELD LIABLE FOR ECONOMIC DAMAGES CAUSED BY OTHERS.
   5. AN OWNER HAS AN OBLIGATION TO INSTALL FIRE  PROTECTION  SYSTEMS  IN
 COMPLIANCE WITH ADOPTED FIRE PROTECTION SYSTEM STANDARDS.
   §  4. This act shall take effect one year after it shall have become a
 law, provided, however that the  provisions  of  section  759-k  of  the
 general  business law as added by section three of this act shall expire
 A. 3389                            17
 
 eighteen months after the effective date of this act when upon such date
 the provisions of such section shall be deemed repealed. Effective imme-
 diately, the addition, amendment and/or repeal of any rule or regulation
 necessary  for  the implementation of this act on its effective date are
 authorized to be made and completed on or before such effective date.