A5838

An Act establishing a program for expedited plan review under the construction code, and supplementing and amending P.L.1975, c.217.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. (New section) a. (1) The commissioner, in consultation with the code advisory board, shall promulgate rules and regulations establishing standards, procedures, and other requirements for an optional program providing expedited local enforcing agency plan review.

(2) The local enforcing agency plan review program shall provide that:

(a) a municipal governing body may participate in the program by requiring its enforcing agency to conduct expedited plan reviews;

(b) an owner of a project located in a municipality that is not requiring its enforcing agency to conduct expedited plan reviews may select a private plan review agency to conduct expedited plan reviews;

(c) a business entity shall not conduct expedited plan reviews unless licensed and authorized to do so by the department;

(d) an owner may opt to participate in the expedited plan review program at the time of submission of an application for a construction permit pursuant to section 12 of P.L.1975, c.217 (C.52:27D-130);

(e) an owner participating in the expedited plan review program shall pay a premium in addition to all otherwise applicable fees; and

(f) plans submitted for expedited plan review, which plans conform with the code, and with the requirements of other applicable laws and ordinances, shall be reviewed and either approved, in whole or in part, or denied within ten calendar days of the date of their submission.

b. (1) A municipal governing body, in consultation with the construction official of its enforcing agency, shall determine whether the enforcing agency shall conduct expedited plan reviews or whether an owner may retain a private plan review agency to conduct expedited plan reviews. Regardless of whether expedited plan reviews are conducted by an enforcing agency or a private plan review agency, the enforcing agency shall retain the power and responsibility over issuance of the certificate of occupancy under section 15 of P.L.1975, c.217 (C.52:27D-133).

(2) The enforcing agency shall observe the progress of a construction project receiving expedited plan reviews by a private plan review agency and shall retain jurisdiction over the project in order to be responsive to inquiries from the general public and from special interests, to the needs of the owner and the private plan review agency, and to the obligations and requirements imposed by the code.

(3) An owner applying to participate in the expedited plan review program shall submit payment of all applicable fees, together with an expedited plan review premium fee of $500 for each required plan review subcode area, to the enforcing agency together with the application for a construction permit. If the enforcing agency does not conduct expedited plan reviews, at the time of submission of an application for a construction permit, the owner shall identify the private plan review agency the owner has selected to conduct expedited plan reviews. The enforcing agency shall deliver payment of the expedited plan review premium fee to the private plan review agency selected to conduct the expedited plan review.

c. (1) The department shall establish a program for the licensure and authorization of business entities as private plan review agencies for the purpose of authorizing business entities to contract with owners to conduct expedited plan reviews. No business entity shall conduct expedited plan reviews or enter into any contract to do so without first receiving the licensure and authorization of the department. The department may impose and collect fees from applicants for licensure and authorization under this section.

(2) Licensure and authorization of a business entity as a private plan review agency shall include, but not be limited to, consideration of the qualifications of the management and technical personnel of the business entity, the fiscal integrity of the business entity, and the ability of the business entity to perform expedited plan reviews within the requisite time frames in a manner sufficient to ensure that the plan review is performed in accordance with the code and with the requirements of other applicable laws and ordinances.

(3) (a) The department may require a private plan review agency to employ a sufficient number of personnel certified to perform plan reviews under each subcode.

(b) The department may establish classes of license for private plan review agencies based upon the number and type of subcode certifications maintained by officers and employees of an agency.

(4) A private plan review agency shall not refer a plan review to a plan reviewer unless the person is certified by the department in the appropriate subcode.

(5) A private plan review agency shall be subject to the orders and directives of the municipal construction official and the department in matters relating to the enforcement of the code.

(6) A private plan review agency shall maintain records of all plan reviews and any other information that may be required by the municipal construction official or the department. These records shall be open to department audit and shall not be destroyed or removed from the offices of the private plan review agency without the permission of the department.

(7) A private plan review agency shall not directly collect fees from the owner, or any agent or employee of the owner. The enforcing agency shall be the sole agent for the collection and delivery of an expedited plan review premium fee to a private plan review agency.

d. (1) Except as otherwise provided in this section, a private plan review agency that has contracted to perform expedited plan reviews for a project shall carry out its obligations under the contract and applicable provisions of law until full completion of the project, as evidenced by the enforcing agency's issuance of a certificate of occupancy.

(2) A private plan review agency conducting expedited plan reviews shall have all of the powers, and shall be subject to all of the requirements, applicable to an enforcing agency with regard to conducting plan reviews under P.L.1975, c.217 (C.52:27D-119 et seq.), however, the private plan review agency shall be obligated to conduct plan reviews in an expedited timeframe.

(3) A private plan review agency conducting expedited plan reviews shall:

(a) maintain all plan review records applicable to each construction permit;

(b) maintain an adequate number of certified staff to conduct expedited plan reviews for all classes of structure consistent with the private plan review agency's licensure and certification;

(c) provide adequate supervision of employees and ensure that an employee is properly licensed and certified before conducting a plan review;

(d) carry insurance as may be required by the department; and

(e) prepare and submit all required reports to the department and the enforcing agency.

2. Section 6 of P.L.1975, c.217 (C.52:27D-124) is amended to read as follows:

6. The commissioner shall have all the powers necessary or convenient to effectuate the purposes of this act, including, but not limited to, the following powers in addition to all others granted by this act:

a. To adopt, amend and repeal, after consultation with the code advisory board, rules: (1) relating to the administration and enforcement of this act and (2) the qualifications or licensing, or both, of all persons employed by enforcing agencies of the State to enforce this act or the code, except that, plumbing inspectors shall be subject to the rules adopted by the commissioner only insofar as such rules are compatible with such rules and regulations, regarding health and plumbing for public and private buildings, as may be promulgated by the Public Health Council in accordance with Title 26 of the Revised Statutes.

b. To enter into agreements with federal and State of New Jersey agencies, after consultation with the code advisory board, to provide insofar as practicable (1) single-agency review of construction plans and inspection of construction and (2) intergovernmental acceptance of such review and inspection to avoid unnecessary duplication of effort and fees. The commissioner shall have the power to enter into such agreements although the federal standards are not identical with State standards; provided that the same basic objectives are met. The commissioner shall have the power through such agreements to bind the State of New Jersey and all governmental entities deriving authority therefrom.

c. To take testimony and hold hearings relating to any aspect of or matter relating to the administration or enforcement of this act, including but not limited to prospective interpretation of the code so as to resolve inconsistent or conflicting code interpretations, and, in connection therewith, issue [subpena] subpoena to compel the attendance of witnesses and the production of evidence. The commissioner may designate one or more hearing examiners to hold public hearings and report on such hearings to the commissioner.

d. To encourage, support or conduct, after consultation with the code advisory board, educational and training programs for employees, agents and inspectors of enforcing agencies, either through the Department of Community Affairs or in cooperation with other departments of State government, enforcing agencies, educational institutions, or associations of code officials.

e. To study the effect of this act and the code to ascertain their effect upon the cost of building construction and maintenance, and the effectiveness of their provisions for insuring the health, safety, and welfare of the people of the State of New Jersey.

f. To make, establish and amend, after consultation with the code advisory board, such rules as may be necessary, desirable or proper to carry out his powers and duties under this act.

g. To adopt, amend, and repeal rules and regulations providing for the charging of and setting the amount of fees for the following code enforcement services, licenses or approvals performed or issued by the department, pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.):

(1) Plan review, construction permits, certificates of occupancy, demolition permits, moving of building permits, elevator permits and sign permits; and

(2) Review of applications for and the issuance of licenses certifying an individual's qualifications to act as a construction code official, subcode official or assistant under this act.

(3) (Deleted by amendment, P.L.1983, c.338).

h. To adopt, amend and repeal rules and regulations providing for the charging of and setting the amount of construction permit surcharge fees to be collected by the enforcing agency and remitted to the department to support those activities which may be undertaken with moneys credited to the Uniform Construction Code Revolving Fund.

i. To adopt, amend and repeal rules and regulations providing for:

(1) Setting the amount of and the charging of fees to be paid to the department by a [private agency] business entity for the review of applications for and the issuance of approvals authorizing a [private agency] business entity to act as a private plan review agency, an on-site inspection and plan review agency, or an in-plant inspection agency;

(2) (Deleted by amendment, P.L.2005, c.212).

(3) (Deleted by amendment, P.L.2005, c.212).

j. To enforce and administer the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and the code promulgated thereunder, and to prosecute or cause to be prosecuted violators of the provisions of that act or the code promulgated thereunder in administrative hearings and in civil proceedings in State and local courts.

k. To monitor the compliance of local enforcing agencies with the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), to order corrective action as may be necessary where a local enforcing agency is found to be failing to carry out its responsibilities under that act, to supplant or replace the local enforcing agency for a specific project, and to order it dissolved and replaced by the department where the local enforcing agency repeatedly or habitually fails to enforce the provisions of the "State Uniform Construction Code Act."

l. To adopt, amend, and repeal rules and regulations implementing the provisions of P.L.1999, c.15, P.L.2003, c.44, and section 1 of P.L.2015, c.146 (C.52:27D-123f) concerning the installation and maintenance of carbon monoxide sensors.

(cf: P.L.2015, c.146, s.2)

3. This act shall take effect in the first day of the fourth month next following the date of enactment, however, the commissioner shall immediately commence the process of promulgating rules and regulations.

STATEMENT

This bill establishes an alternate expedited plan review process under the State Uniform Construction Code Act. Under the bill, an applicant for a construction permit may opt to pay a premium fee to have review and approval of the plans and specifications submitted together with the application for the permit performed on an expedited basis, within ten calendar days of the date of submission of the permit application. The premium fee would be $500 for each required plan review subcode area. The applicant would make this option at the time of submitting a permit application. A municipality may offer expedited plan reviews by its construction code enforcing agency. If a municipality does not offer in-house expedited plan reviews, a construction permit applicant may retain any properly licensed private plan review agency to perform an expedited plan review. Because the local enforcing agency would retain supervisory control over the construction project, and retain the obligation and authority to issue the certificate of occupancy upon completion of the project, the bill provides for a bifurcation of the construction permit fees. Under the bill, a local enforcing agency would retain the generally applicable fees and the private plan review agency would receive the expedited plan review premium fee. The bill requires and empowers the Department of Community Affairs to develop and implement rules and regulations establishing program details, which would include a licensure program for businesses that want to privately perform expedited plan reviews.