What's happening
The bill requires modular construction in large cities to comply with all local licensing rules for electrical, plumbing, and fire suppression work, including work done outside city limits.
Why it matters
Ensures local oversight of modular building safety. By requiring that all modular construction—including components built outside city limits—meet the same licensing and supervision standards as on-site work, the bill prevents shortcuts in electrical, plumbing, and fire suppression safety for large city projects.
Closes regulatory loopholes for out-of-area factories. Previously, modular units built in remote factories could bypass local licensing rules; this bill mandates that city licensing standards follow the project, no matter where the fabrication occurs, ensuring uniform safety and skill requirements.
Prevents cities from weakening safety requirements. The bill explicitly prohibits municipalities from passing laws or regulations to relax these licensing restrictions, locking in a high standard for critical trades in modular construction and promoting public safety.
Impacts construction costs, workforce, and housing policy. By requiring licensed professionals (often with city-specific credentials) for modular components, the bill could affect who can work on these projects, potentially raising costs, influencing project timelines, and shaping how modular construction is used to address housing needs.
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Who cares
Headline styles
Require Modular Work Licenses
Plain English, a few words. Used as the page title.
Sponsors
History
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.574
- Referred to labor
- Referred to labor
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
License Modular Construction Work
In Assembly Committee · Labor · Sponsor Erik Dilan
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5420
2019-2020 Regular Sessions
IN SENATE
April 30, 2019
Introduced by Sen. RAMOS -- read twice and ordered printed, and when printed to be committed to the Committee on Labor
AN ACT to amend the labor law, in relation to modular construction work
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The labor law is amended by adding a new section 241-c to read as follows:
§ 241-c. Modular construction work. 1. As used in this section:
(a) "Closed construction" shall mean any building, building component, assembly, or system manufactured in such a manner that all concealed parts or processes of manufacture cannot be inspected before installation at the building site without disassembly, damage, or destruction.
(b) "Component" shall mean any sub-system, sub-assembly, or other system or fabrication designed for use in or as part of a structure, which may include woodwork, cases, cabinets or counters and the fabrication of electrical, plumbing, heating, cooling, ventilation, fire protection, exhaust duct systems, and mechanical insulation, or other systems affecting health and safety, designed and engineered for installation in the construction, repair, or renovation of a manufactured building.
(c) "Manufactured building" shall mean a structure consisting of one or more transportable sections of closed construction built within a manufacturing facility when such building is designed to be greater than six stories in height.
(d)"Manufacturing facility" shall mean the place or places at which machinery, equipment, and other materials are assembled and operated for the purposes of making, fabricating, forming, or assembling manufactured buildings or components.
(e) "Modular construction" shall mean all aspects of the construction of a manufactured building.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04789-01-9
S. 5420 2
(f) "Municipal" or "municipality" shall mean a city with a population of one million or more.
2. Modular construction shall comply with any existing municipal licensing requirements for all electrical, plumbing, and fire suppression work, including licensing requirements that require plumbing, fire suppression, and electrical work to be done under the direct and continuing supervision of a person licensed by such municipality, whether any phase of such construction is done within the geographical boundaries of such municipality or in a manufacturing facility located outside the municipality. No municipality shall exempt modular construction from any such licensing requirements and shall consider all phases of such modular construction the same as conventional construction erected within the geographical boundaries of the municipality for purposes of such licensing requirements.
§ 2. Section 242 of the labor law, as amended by chapter 367 of the laws of 1969, is amended to read as follows:
§ 242. Application and enforcement of article. Notwithstanding any other law or regulation, local or general, the provisions of this article and the rules issued thereunder shall be applicable exclusively throughout the state and the commissioner shall have exclusive authority to enforce this article and the rules issued thereunder. Section two hundred forty-one-c of this article shall supersede any existing state or local law or rule except any requirements already existing under article twenty-one-b of the executive law; further, no municipality shall adopt a law or regulation which is intended to reduce the restrictions as set forth in section two hundred forty-one-c of this article.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the labor law, in relation to modular construction work
Purpose or general idea of bill
To require that modular construction projects (whether units installed in buildings or new construction) comply with applicable local plumbing, gas piping, electrical, and fire suppression licensing requirements, whenever such final construction project is to be located in a city having a population of one million or more.
Summary of provisions
This legislation amends Article 10 of the Labor Law as it relates to building construction, demolition, and repair work by adding a new section 241-c on modular construction work. Subdivision-a proposes a definition of modular construction work, which is not contained in the Labor Law. Subdivision b requires that modular construction must comply with existing municipal licensing requirements of a city with a popu- lation of one million or more pertaining to electrical, plumbing, and fire suppression work regardless if any phase of such construction is done within the geographical boundaries of such municipality.
Justification
The use of modular construction in high rise residential, commercial and institutional buildings (such as hospitals) in New York City is a recent phenomenon. While the Executive Law currently covers manufactured homes, and provides certain consumer protections, it is an outdated law, having been passed in 2005 to implement the federal Manufactured Housing Improvement Act of 2000, and therefore does not address NYC's current problem. Presently, modular construction is not subject to the same standards for plumbing, gas piping, electrical, and fire suppression work as construction done on site within New York City. This makes no practical sense and greatly in creases the likelihood of code violations in such modular buildings. In 2014, the NYC Department of Buildings issued Buildings Bulletin 2014-003 stating that modular construction units must be certified either by NYC licensees or by a "third party" entity otherwise "approved" by the Department. However, there have been various instances of the third-party certification process failing, resulting in required repairs to such modular units by NYC licensees. To protect the public from potential safety and health issues, it is crucial that the actual work in these modular units be performed by NYC-licensed entities familiar with the applicable laws, codes, and rules of the City of New York. This change in the Labor Law assures that occupants of any modular building located in NYC are given the same level of protection as occupants of buildings completely constructed on-site.
Fiscal implications for state and local governments
None.
Effective date
This act shall take effect on the one hundred twentieth day after it shall have become a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.