MONTANA Legislation Update

[John Bowman]

22 January 2007

I received this email this morning. Posted here for informational purposes for those who desire to involve themselves in Montana.

To All Montana Home Inspectors and Our Friends ….

We have submitted a bill to the state legislature asking that all home inspectors be registered. This bill has a Code of Ethics. And inside this Code of Ethics is a “Standards of Practice”. It also requires continuing education, satisfactory completion of The National Home Inspectors Examination, and an annual registration fee.

The number assigned to this bill is “HB 393”.

Here is the link to the state web site so that you might read the bill and follow it’s path through the legislative process.

Click on this link …. http://laws.leg.mt.gov/pls/laws07/law0203w$.startup

Then enter “HB” in the drop down list for “bill type”.
And then the bill number …. “0393”.

At the top center of the page that comes up, place your cursor over the “HTML”, or the “pdf”, and click. This will bring up the full transcript of the bill …..

As of this evening, hearing dates before the House Business and Labor committee have not been set.

We are told that committee hearings will likely be scheduled within the next week or so. Check back to this link to stay abreast of the schedule.

We invite you all to visit Helena if you’d like to be part of the “hearing” process. This is a time for both opponents and supporters to speak their thoughts directly to the people on the committees involved.

A couple additional thoughts …..

This has been a group effort. A melding of numerous view points and persuasions. It’s not the “perfect” home inspection bill. But it’s a good one. A solid one. It’s one we can be proud of. And one we can work with in the trenches. It’s also one we can remodel in the future as we continue to build the public’s trust in this profession here in Montana.

Please take a few minutes and visit with your legislator to address his or her concerns and answer questions. Share your thoughts on the issues. And remember that the words you share will likely help them create an impression of all of us as home inspectors as well as this particular piece of legislation.

And remember, this bill is a “consensus bill” There was much discussion on these issues during our two state wide meetings last year. And although we discussed a variety of ideas and thoughts, we found compromise. We all found this common ground to share with each other.

That’s what this bill is about. It is a common voice. Let’s embrace this common voice during this session. Then begin to work together again to build consensus on the next group of challenges two years from now!

Thank you all for your interest, involvement, and continued conversations on the issues.


Regards,


Steve Jacoby

Montana Association of Real Estate Inspectors
406.582.4975

www.montanainspectors.org

Good Luck to all.

[Nick Gromicko]

http://data.opi.mt.gov/bills/2007/billhtml/HB0393.htm

It lists NACHI.

[John Bowman]

It does not list NAHI....

CORRECTION: Oooooops. Yes it does.

[John Bowman]

NEW SECTION. Section 3. Registration required -- fees. (1)(a) A home inspector shall register annually with the department, using a form prescribed by the department that requires at least the applicant's name, address, and telephone number.
(b) With the registration form, an applicant also shall submit written proof that:
(i) the applicant is 18 years of age or older;
(ii) the applicant has successfully completed the national home inspector examination; and

Nick,
We need to trademark a tag line for our exam. "the national home inspector examination"...

[John Bowman]

Another email received on Jan 22, 2007. A hearing has been scheduled:

To All Montana Home Inspectors and our Friends …


A hearing for HB 393, our bill to regulate home inspectors, has been scheduled before the Business and Labor Committee, at 8:00 AM this Thursday, January 24, in Room 172 of The Capitol Building in Helena.

You’re invited!

Here is the web link if you want to keep track of its progress from a distance … again, it’s “HB 393”.


http://laws.leg.state.mt.us/pls/laws07/law0203w$.startup


Regards,

Steve Jacoby
Montana Association of Real Estate Inspectors

406.582.4975
www.montanainspectors.org

[tclement]

I am in Helena and will be at the hearing. I do have some heartburn with having to pay $225 to take another test. I pressed Steve Jacoby and the others at the meeting in Bozeman last year to allow national organization entrance exams, but they felt they needed a independent proctored exam. Otherwise the bill seems like a good one.

Any thoughts from the national NACHI folks on this?

[James H. Bushart]

Originally Posted by tclement

Any thoughts from the national NACHI folks on this?

Who is pushing for state control over home inspectors in Montana, and why?

[tclement]

The driving force is a guy out of Bozeman, Steve Jacoby. There were a couple meetings last year to discuss it. The main reason is under current law, anyone can hang out a shingle and call themself an inspector. One guy in Helena started last year and touts that he is 'Certified' because he passed his fanchise training final exam. It really is pretty basic, without many hoops other than the 'National home inspectors exam.' The other requirements are no different than what I subscribe to as a NACHI member.

[James H. Bushart]

Originally Posted by tclement

The driving force is a guy out of Bozeman, Steve Jacoby. There were a couple meetings last year to discuss it. The main reason is under current law, anyone can hang out a shingle and call themself an inspector. One guy in Helena started last year and touts that he is 'Certified' because he passed his fanchise training final exam. It really is pretty basic, without many hoops other than the 'National home inspectors exam.' The other requirements are no different than what I subscribe to as a NACHI member.

Are there any home inspectors in Montana who oppose the idea of having the state in control of their business?

[tclement]

Nick,
Steve mentioned to me yesterday that you might be coming up to appear before the comittee. I don't know if your schedule would allow but I can be sure and give you a heads up when the senate hears it. Maybe we can even combine your visit with a mini MT NACHI meeting. Let me know.
Tom

[tclement]

There are some who just don't want more governemnt. The problem is that we are so spread out, it becomes very difficult for the market to police itself. I had an email from another inspector who also resented the national exam. So far not much opposition though.

[tclement]

The bill is pretty basic.
SOP and Code of ethics (mostly parallels NACH and ASHI)
CE requirements
National Inspectors Test
Registration fee based on cost of bookeeping <$200

[James H. Bushart]

Originally Posted by tclement

The bill is pretty basic.
SOP and Code of ethics (mostly parallels NACH and ASHI)
CE requirements
National Inspectors Test
Registration fee based on cost of bookeeping <$200

Right now, you are free from government interference and are led by your market.

Once a bill is passed, you are then (and forever) under the control of your legislature. Now, who controls your legislature? Will the real estates salesman's lobbyist eye this bill, once it becomes law, and use his influence and money to have it "beefed up" with mandatory E&O to relieve some of the burden from the salesman? Will the trial lawyer's lobbiest add to those efforts to make the HI in Montana another source of additional income?

Going from free market to State control relenquishes your rights to control your own destiny and once the box has been opened...you don't know what's coming next....except one thing. A school with a curriculum centered on the licensing bill...selling seats to people needing a "new career" who will be be hitting the streets with $99 home inspections in order to compete. That is the one sure thing that seems to follow the implementation of a licensing bill.

I would suggest that those who would oppose this become much more vocal...and fast.

[tclement]

I used to be a free market supporter, but free market economics only works when there is a decent size market. I used to live outside Chicago (GO BEARS!) and the county I lived in has almost the population of the entire state of Montana. They tried utility dereg out here and it was a miserable failure. Hell we only have two cell phone providers.
While we run the risk of E&O etc, there just is not a large enough market to influence change.
I understand your point, but I guess I see this as a way to keep the $99 inspectors out.

[James H. Bushart]

Originally Posted by tclement

I see this as a way to keep the $99 inspectors out.

That's what they thought in Arizona, too. Using legislation as a marketing tool has not worked anywhere.

When that $99 inspector with his 72 hours of experience is standing next to you, with the exact same license (which the consumer equates as certification from the state as to his competence and ability), his cheaper fee will get him the business.

With all things being equal (choosing between three different licensed inspectors) the lower fee gets the booking, and why shouldn't it?

Licensing solves nothing.