Bills › 88th General Assembly
Relating to home improvement fraud and providing penalties for contractors who commit home improvement fraud
Sponsored by the Senate Judiciary Committee
Topics:Business & economyCourts & civil law
Same legislation: SF 151
Where it is now
- Done: IntroducedJanuary 30, 2019
- Done: SubcommitteeJanuary 31, 2019
- Done: Senate committeeMarch 4, 2019
- Stopped: Passes the SenateDied when the General Assembly ended
- Next: House committee
- Next: Passes the House
- Next: To the Governor
- Next: Signed into law
Died when the session ended The 2020 session adjourned on June 14, 2020, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?
What’s in it
This bill relates to home improvement fraud. The bill defines home improvement as any alteration, repair, addition, modification, or improvement to a dwelling or the property on which it is situated, including but not limited to the construction, painting or coating, installation, replacement or repair of driveways, sidewalks, swimming pools, unattached structures, porches, kitchens, bathrooms, chimneys, fireplaces, stoves, air conditioning or heating systems, hot water heaters, water treatment systems, electrical wiring or systems, plumbing fixtures or systems, doors, windows, roofs, gutters, downspouts, and siding.
Read the full explanation
The bill provides that a person, who is acting as a contractor, is guilty of home improvement fraud if the person enters, or offers to enter, into a home improvement contract, and intentionally does any of the following: knowingly uses or employs a false pretense or false promise to convey that there is a need to enter into a home improvement contract; knowingly makes a false statement, or knowingly creates or reinforces a consumer’s false impression or belief concerning the condition of a consumer’s dwelling or property that is the subject of the home improvement contract; knowingly provides a false personal name or false business name, address, or telephone to a consumer; knowingly represents that repairs or work have been performed when repairs or work have not been performed; receives moneys from a consumer prior to completion of a home improvement for the purpose of paying for services, labor, materials, or equipment and intentionally fails to substantially complete the home improvement within the time agreed to by the consumer and the contractor or fails to pay for the services, labor, materials, and equipment incident to the home improvement; or enters into an unconscionable home improvement contract with a consumer. The bill provides that a person who commits an offense under the bill is, upon conviction, guilty of a class “D” felony if any of the following circumstances are present: the contract price or the total amount paid to the defendant by or on behalf of the consumer is $1,500 or more; at least one of the consumers who entered into the home improvement contract is years of age or older at the time the violation occurred; or the defendant has previously been convicted under the bill. If none of these circumstances are present, a person who commits an offense under the bill is, upon conviction, guilty of an aggravated misdemeanor. A class “D” felony is punishable by confinement for no more than five years and a fine of at least $750 but not more than $7,500. An aggravated misdemeanor is punishable by confinement for no more than two years and a fine of at least $625 but not more than $6,250. The bill provides that the bill shall not impair, limit, or reduce the statutory, common law, or contractual duties, liabilities, or rights of any contractor or consumer.
Senate subcommittee
Named January 15, 2020. It hasn’t reported yet.
- Sen. Amy Sinclair REmail
- Sen. Tom Shipley REmail
- Sen. R. Taylor
Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part
Fiscal note
Can’t be estimated Compare with other bills
AI summary This bill creates new criminal offenses for home improvement fraud, which can be charged as a Class D felony or an aggravated misdemeanor depending on the circumstances. Because the bill establishes a new offense, the fiscal impact and the number of convictions cannot be estimated for the state justice system.2
Read the fiscal note
Description
Senate File 461 relates to home improvement fraud. The Bill provides that a person, who is acting as a contractor, is guilty of home improvement fraud if the person enters, or offers to enter, into a home improvement contract, and intentionally does one of the listed qualifying actions in the Bill. The Bill provides that a person who commits an offense under the Bill is guilty of a Class D felony if any of the following circumstances are present:
- The contract price or the total amount paid to the defendant by or on behalf of the consumer is $1,500 or more.
- At least one of the consumers who entered into the home improvement contract is 62 years of age or older at the time the violation occurred.
- The defendant has previously been convicted under the Bill.
If none of the listed circumstances are present, a person who commits an offense under this Bill is guilty of an aggravated misdemeanor.
Background
A Class D felony is punishable by confinement for no more than five years and a fine of at least $750 but not more than $7,500. An aggravated misdemeanor is punishable by confinement for no more than two years and a fine of at least $625 but not more than $6,250.
Assumptions
- The following will not change over the projection period: charge, conviction, and sentencing patterns and trends; prisoner length of stay; revocation rates; plea bargaining; and other criminal justice system policies and practices.
- A lag effect of six months is assumed from the effective date of this Bill to the date of first entry of affected offenders into the correctional system.
- Marginal costs for county jails cannot be estimated due to a lack of data. For purposes of this analysis, the marginal cost for county jails is assumed to be $50 per day.
Correctional Impact
The correctional impact of SF 461 cannot be determined. The Bill establishes a new offense, and the number of convictions cannot be estimated.
Table 1 below shows estimates for sentencing to State prison, parole, probation, or Community-Based Corrections (CBC) residential facilities; length of stay (LOS) under those supervisions; and supervision marginal costs per day for all convictions of Class D felonies and aggravated misdemeanors. Refer to the Legislative Services Agency (LSA) memo addressed to the General Assembly, Cost Estimates Used for Correctional Impact Statements, dated January 8, 2019, for information related to the correctional system.
Table 1 — Sentencing Estimates and LOS
Minority Impact
The minority impact of SF 461 is unknown. Refer to the LSA memo addressed to the General Assembly, Minority Impact Statement, dated January 7, 2019, for information related to minorities in the criminal justice system.
Fiscal Impact
The fiscal impact of SF 461 cannot be estimated. The Bill establishes a new criminal offense, and the resulting cost to the Justice System cannot be estimated. Table 2 shows estimates for the average State cost per offense class type. The estimates include operating costs incurred by the Judicial Branch, the State Public Defender, and the Department of Corrections for one conviction. The cost would be incurred across multiple fiscal years for prison and parole supervision.
Table 2 — Average State Cost Per Offense Class Type Offense Class Total Minimum Cost Total Maximum Cost Aggravated Misdemeanor $4,700 $7,500 Class D Felony $9,200 $14,100
Source
- Criminal and Juvenile Justice Planning Division, Department of Human Rights
- Home Improvement Fraud · March 6, 2019
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88th General Assembly
Similar bills
- HF 602 Relating to home improvement fraud and providing penalties for contractors who commit home…88th General Assembly · Approved by committeeNearly identical
Matched by wording or an identical title.