Senate committee hears bill for optional residential-only contractor certification

Sen. Tim Schafer, sponsor of Senate Bill 54, told the Senate Workforce Development Committee that the bill would create an optional, state residential-only certification for contractors performing heating, ventilation and air conditioning, refrigeration, electrical, plumbing and hydronics work.

The measure is intended as a consumer-protection tool to signal competency for contractors who work only on residential projects, Schafer said. "This bill creates an optional, and I stress optional, residential only certification for contractors in heating, ventilation, and air conditioning, refrigeration, electrical, plumbing, and hydronics work," he told the committee.

Why it matters: Schafer described hazards from untrained residential work, including a cited example where an improper water-heater venting installation produced a carbon-monoxide reading of 300 parts per million and led to family members receiving medical treatment. Committee members pressed the sponsor about enforcement and whether the certification could be revoked for misconduct.

Under the bill, the Ohio Construction Industry Licensing Board (OCILB) would administer the program. Schafer said certification would be obtained by application, carry a $100 fee, and run for five years. Certified residential contractors would be required to maintain proof of liability insurance with at least $250,000 minimum coverage (including coverage for direct labor subcontractors) and to complete four hours of continuing education each year. Schafer also said the bill exempts contractors already holding a commercial license and does not supersede local licensing requirements.

Committee discussion focused on whether the certification should be revocable and on how it would interact with consumer protections. Vice Chair Reynolds asked whether the bill provides mechanisms to remove certification from bad actors; Schafer replied that the measure deliberately avoids creating a revocable license and instead creates a voluntary certification designed as a marketplace signal. "To be able to revoke that sheepskin, so to speak, suggests it's more of a license," Schafer said, explaining that the bill was intentionally framed to stop short of licensure.

Several senators said they welcomed the proposed credential as a way to increase consumer confidence, while others raised concerns that a nonrevocable certification could still be used by poor actors to market themselves. The sponsor said the certification is voluntary and that homeowners would retain the ability to sue or otherwise pursue remedies regardless of certification status.

No formal vote or committee action on the bill was taken during the hearing; the meeting record shows this was the bill's first hearing before the committee.

Next steps: The committee concluded testimony and moved on to other agenda items; no amendment or vote was recorded during this session.