Senate narrows and approves new one‑year warranty for new home construction
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Summary
Senators passed an amendment‑narrowed bill requiring a one‑year warranty for new home construction and giving the contractor licensing board disciplinary authority; supporters said it protects buyers, opponents said it burdens small builders.
The Senate passed an amended bill on April 1 that requires contracts for new home construction to include specified one‑year warranties covering foundations, the roof, plumbing and electrical systems and allows arbitration clauses; the bill passed 30‑4 on third reading.
Proponents said the law will give consumers a predictable remedy after investing in a new house. “This simply places a one‑year warranty ... this lady, this family just invested everything they have,” a sponsor said on the floor, noting the bill was narrowed in committee to apply to new construction rather than all residential improvements.
Opponents warned the mandate will raise costs for small builders and could reduce capacity. The senior senator from the fourth described the bill as “a job‑killing regulatory overburdensome bill” for small contractors with two to five employees, saying mandatory warranty costs will be passed to buyers and could eliminate jobs.
The Judiciary Committee reported the bill with a narrowed scope; the floor debate emphasized that narrowing and the arbitration provisions. Senators also discussed disciplinary options for contractor licensing boards and how the bill interacts with existing warranties and codes.
After the vote on passage, the sponsor moved and the Senate approved making the bill effective July 1, 2025; that motion carried 34‑0. The clerk was directed to communicate the Senate action to the House.
The bill’s supporters said the measure will reduce litigation and give homeowners a clear process for remedying defects. Opponents and some members urged care about small builders’ costs and the effect on housing prices.
