MASTER PLUMBER AND DRAIN CONTRACTOR LICENSING REGISTRY

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1 MASTER PLUMBER AND DRAIN CONTRACTOR LICENSING REGISTRY 1. RECOMMENDATIONS It is recommended that: 1. Regional Council approve the new Regional Bylaw entitled Authorizing the Licensing of Plumbing and Drain Contractors enabling The Regional Municipality of York to administer the Master Plumber and Drain Contractor Licensing program as a Registry (see Attachment 1). 2. Regional Council revoke Regional Bylaw No. L entitled Authorizing the Licensing of Plumbing and Drain Contractors. 3. Regional Council approve an increase in the yearly renewal fees for plumbing and drain contractor licenses associated with the Master Plumber and Drain Contractors Licensing program. 4. The Regional Chair formally contact the Premier of Ontario and the Minister of Municipal Affairs advocating for a Provincial Master Plumber and Drain Contractor Licensing program. 5. The Regional Clerk distribute a copy of this report to all local municipalities for their information. 2. PURPOSE The purpose of this report is to recommend the enactment of a new Regional licensing by-law authorizing The Regional Municipality of York to administer a Registry for licensed plumbing and drain contractors, and the revocation of the current Regional By-Law No. L that licenses plumbing and drain contractors. 3. BACKGROUND York Region has the exclusive jurisdiction under the Municipal Act, 2001, to license, regulate and govern plumbing and drain contractors operating within the Region. The Region currently administers the Master Plumbers and Drain Contractors Licensing Program under By-law No. L The Regional By-law Authorizing the Licensing of Plumbing and Drain Contractors requires that all plumbing and drain contractors pass an initial exam provided by York Region s License Inspector and submit annual fees. The purpose of the Licensing Program is to ensure that all plumbing and drain contractors in the nine area municipalities have a standardized level of knowledge of the Building Code and the requirements necessary to operate a plumbing or drain business in the Region of York. Also, due to its credibility throughout the contracting

2 industry, the master licensing program is considered valuable to both plumbers and drain contractors throughout Ontario. Historically, The Regional Municipality of York had provided a plumbing permitting and inspection service for all nine area municipalities through the Health Services Department. On January 1, 1999, the delivery of plumbing permitting and inspection became the responsibility of the nine area municipalities. The Regional Municipality of York retained the responsibility for completion of plumbing permits for which application had been made prior to January 1, 1999, responding to complaints and inquiries for existing (pre-1999) plumbing systems, and administration of the Master Plumbers and Drain Contractors Licensing Program. In June 2003, Regional Council endorsed a recommendation to contract out the delivery of this program until December 31, 2003 as an interim measure in order to allow for the program to be re-evaluated. Also in June 2003, Regional Council endorsed a recommendation to enable Health Services staff to discuss the transfer of the Master Plumber Licensing program with area municipalities. This decision was in keeping with the delivery of related programs and was consistent with the approach of the program delivery in the rest of Ontario. In order for the Region to transfer this program to the area municipalities, an amendment to the Municipal Act, 2001 transferring authority of this program would have been required. Health Services staff discussed the transfer of the Master Plumber and Drain Contractor Licensing program with area municipalities in September Representatives from the area municipalities were not in favour of this transfer, citing their preference for the Province of Ontario to become ultimately responsible for this program. Health Services staff took this opportunity to re-evaluate the program and is now proposing that York Region run a Registry for the Master Plumber and Drain Contractor Licensing program while advocating for a Provincial program. 4. ANALYSIS AND OPTIONS 4.1 Registry Program Health Services staff is proposing that York Region regulate plumbing and drain contractors through a Registry system. Under this structure, York Region would no longer administer Master Plumber and Drain Contractor Licensing exams, but would refer exam applicants to area municipalities outside of York Region who offer these exams. York Region would issue licenses only to those plumbing and drain contractors who hold a valid licence issued by a municipality in Ontario which required successful completion of a written examination acceptable to the Region. This approach would ensure that York Region maintains a consistent standard across area municipalities and that the integrity of the Master Plumber and Drain Contractor License remains in place. York Region would continue to administer yearly renewals of licenses and issue lawyer s letters for plumbing permits and inspections approved prior to the transfer of these services to area municipalities in January1999.

3 Other area municipalities offering a Master Plumber and Drain Contractor Licensing Registry include Clarington, Brampton and Mississauga. 4.2 Justification for Province of Ontario to Administer Program Area municipalities throughout Ontario, with the exception of area municipalities in York Region, currently have the authority to administer master plumbers and drain contractors licenses. However, many area municipalities chose not to administer a masters program for plumbers and drain contractors. Since the Province administers a number of licensing programs, including the journeyman plumbers Certificates of Qualification under the Trades Qualification and Apprenticeship Act, it would seem most appropriate for the Province to also be responsible for the administration of the Master Plumber and Drain Contractor Licensing program. Currently, plumbing and drain contractors must pay a separate fee for every municipality in which they conduct work (except for in York Region where only one fee for the entire Region is paid). With the Province administering the Master Plumber and Drain Contractor Licensing program, plumbers and drain contractors would have one provincial license fee to pay. Under the Province, the consistency and integrity of the master plumber and drain contractors licensing exam would also be assured. 4.3 Public Meeting Pursuant to section 150 of the Municipal Act, 2001, a public meeting has been scheduled for the December 11, 2003 meeting of Regional Council. Appropriate notice has been given. 5. FINANCIAL IMPLICATIONS 5.1 Increase in Yearly Renewal Fees The fees charged in 2003 for the Master Plumber and Drain Contractor Licensing program were: a one-time exam fee of $75; a yearly Plumbing license renewal fee of $75 plus the Master Plumber license renewal fee of $75; and a yearly Drain Contractor license renewal fee of $75 plus the Master Drain Contractor license renewal fee of $75. Combined, the yearly renewal fee to maintain a Master Plumber license or Master Drain Contractor license in York Region is $150. Compared to other jurisdictions, York Region s yearly license renewal fees are considerably lower (Table 1 and Table 2).

4 Table 1 Comparable Jurisdictions Master Plumber and Plumbing Contractor Yearly Licensing Renewal Fees 2003 Jurisdiction Plumbing Contractor Master Plumber Total Fee York Region $ 75 $75 $150 Toronto $224 $224 $448 Mississauga $164 $120 $284 Barrie $200 $150 $350 Table 2 Comparable Jurisdictions Master Drain and Drain Contractor Yearly Licensing Renewal Fees 2003 Jurisdiction Drain Contractor Master Plumber Total Fee York Region $75 $75 $150 Toronto $174 $174 $348 Mississauga $164 $120 $284 Barrie $200 $150 $350 To offset the effects of inflation, rising salaries and other program costs, individual licensing renewal fees are proposed to be increased from $75 to $100 in This will result in an interim yearly renewal fee of $200 for a Master Plumber license or a Master Drain Contractor s license. These rates will be subject to change through 2004 budget discussions in order to ensure full cost-recovery. 5.2 Budget Implications This year, Health Services renewed 429 plumbing licenses and 180 drain licenses as of October The projected revenue for 2003 is approximately $48,840. Based on the new fee structure, the expected revenue for 2004 is approximately $65,100. It is anticipated that these revenues will offset the cost associated with the maintenance of this program. 6. LOCAL MUNICIPAL IMPACT This proposal will ensure that all plumbing and drain contractors in the nine area municipalities are licensed, have a standardized level of knowledge of the Building Code and the requirements necessary to operate a plumbing or drain business in York Region. Health Services will continue to work cooperatively with local municipalities to ensure plumbers and drain contractors are appropriately licensed within their jurisdictions. 7. CONCLUSION This proposal will ensure continued customer service for the delivery of the components of Plumbing Services for which the Region has retained responsibility as well as provide

5 a mechanism for ongoing administration of the By-law Authorizing the Licensing of Plumbing and Drain Contractors. It is recommended that the by-law entitled Authorizing the Licensing of Plumbing and Drain Contractors be enacted and that Regional Council pursue advocating for a Provincial Master Plumber and Drain Contractors Licensing program. A copy of this report was circulated to local municipal Chief Administrative Officers and Chief Building Officials for their review and comment. The Senior Management Group has reviewed this report. (A copy of the attachment referred to in the foregoing is included with this report and is also on file in the Office of the Regional Clerk.)