Posted on 09/28/2016 9:28:29 AM PDT by MichCapCon
If you want to earn some cash in Michigan painting a barn, be prepared to take 60 hours of educational courses and pass a state-mandated test. It will set you back hundreds of dollars in total. But to obtain an amateur pilot’s license, the Federal Aviation Authority mandates only a book and flight test with 40 hours of flight instruction.
The state of Michigan licenses nearly 200 occupations, including more than dozen “maintenance and alternations” contractors. But a review of who is required to be licensed and who is able to work legally without state permission is seemingly arbitrary. A new bill lessens restrictions on many contractors while preventing mandates on those doing limited amounts of work.
If you put up siding in Michigan, you are required to have a license — but if you build a fence you are exempt. Laying down wood food floors is subject to extra mandates; laying down carpet or vinyl is not. Putting up drywall is no problem, but painting that wall requires a license. Paving with asphalt requires no license, laying down concrete does. Moving a house can be done unregulated; wrecking a house requires a license.
Most contractors have to take 60 hours of licensing classes, pass a $160 test and pay $125 worth of state fees. The continuing education classes mandated by the state cost hundreds of dollars.
House Bill 4282 is sponsored by Rep. Ray Franz, R-Onekama and was recently passed by the Michigan House. The bill would drop the number of class hours for residential maintenance and alteration contractors down to five. It would also exempt from stringent licensure any person who worked on projects that cost less than $4,000. The current limit is $600.
Michigan licenses many different types of contractors that other states do not. The proposed law would allow people the ability to choose from a larger pool of contractors, while the burdens on people trying to work would be lessened.
“It can quickly become overly burdensome to be required to hire a licensed residential builder or contractor to perform everyday projects or improvements to your house,” said Franz in a statement. “Even simple projects can get very expensive. There needs to be a system in place to make sure people aren’t charged an arm and leg for a small job.”
A companion bill, House Bill 4281, would eliminate the fees for the deregulated jobs. It also passed.
“Hiring a family friend or neighbor to complete a project on your house is much easier,” Franz added. “In some cases, it can make a person feel more comfortable hiring someone they know. Requiring a licensed residential builder for something a friend or relative could do with ease seems unnecessary.”
The bill was approved 66-40, with all Republicans and some Democrats in favor.
Over the past few years, the Michigan Legislature has been the most active in the nation when it comes to licensing reform. The state has eliminated hundreds of work rules and repealed seven licenses. But most of those have been relatively minor — like ocularists and community planners — affecting only a small number of people. If the bill overseeing trades workers passes the Senate, it would be a major government obstacle removed from in front of workers.
“By raising the threshold for minor home repair projects, the bill would provide welcome relief to handymen across the state,” said Lee McGrath, the legislative counsel for the Institute for Justice, which works to lessen licensing requirements. “Homeowners shouldn’t have to fear Michigan’s array of arbitrary and costly contractor licenses to fix up their own homes.”
The licensing for larger scale residential builders, who build homes from the ground up, would not be significantly changed. The bill mostly affects the following occupations: carpentry, concrete, excavation, insulation work, masonry, painting and decorating, siding, roofing, screen and storm sash, gutters, tile and marble, house wrecking, swimming pools and basement waterproofing.
It would also exempt from stringent licensure any person who worked on projects that cost less than $4,000. The current limit is $600.
Now that the federal minimum wage is the law of the land, they should tie these to that. e.g. they could have said this one is 500 times the current minimum hourly wage. As incomes go up, the “minimum” value of something goes up.
In a world based on price inflation it’s kinda nuts to have mandatory dollar amounts attached to any fee, as well as a lot of other things.
Think of the $10,000 cash transaction law regarding requiring banks to report them. If they had been based on the minimum wage when first implemented, the amount would be more like $100,000. And how abut the AMT?
Of course, suddenly the federal minimum wage would become even more politicized than it already is...
The "40 hours" of flight instruction ain't cheap!
And it's not really "40 hours of flight instruction" either. It's both more and less, or at least it used to be. (I got my ticket back in the 70s.)
ML/NJ
I fix things all the time for people, computers, small appliances, or do some tree removal, raking, snow shoveling, and so on. Most of the time for cash, sometimes for barter.
I’d like to see Mr. Government come track that.
I THINK this guy means a private pilot license, which in the real world averages 90-100 hours of dual and solo flying and now, unfortunately, will cost up to $20,000. The Sport Pilot License can take as little as 20 hours but don't count on that, either. The writer needs to know what he's talking about. To fly an Ultralight aircraft (Part 103) there is no training required (if you're really brave or really stupid).
When they remove paper currency and it’s all done digitally they will track it all.
And of course for simplcity to all of us, take their portion when the transaction takes place.
Good, I think some licenses are stupid. I heard you need a license in some states to now lawns, clean pools and plow snow. Why?
I’m sure these regulations were part of the effort by unions to squash competition in the trades.
Probably a democrat effort to keep teenage free marketeers from doing the work at a low cost.
These are jobs increasingly performed by older people who demand $15+ per hour. Since they’re usually paid in cash, the licensing fee is really just a tax. And of course, poor and minority youngsters are the most impacted-—the up-front pay-to-work license locks them out before they can get into the job market.
I used to live in a condo community that had teeny little grassy spots between the driveways. There was a black kid that charged $1 each to mow. He averaged $40 in an hour, and gave his little brother $5 hr. to run the leaf blower.
These boys’ older brother had been shot dead in a drug dispute, and the middle boy decided not to go that direction, nor allow his little bro to, either.
Myself, since I’m home schooled, I mow lawns and clean pools. My friend and my brother and my friend’s brother helps, too. My sister, my parents and my friend’s parents helps us, by driving us to jobs. (Mostly we bike to jobs with our mowers on bike trailers.)
Excellent! Keep up the good work!
BTW, I always enjoy reading your posts on FR.
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