Assemblyman GORDON M. JOHNSON
District 37 (Bergen)
Requires builders registering under "New Home Warranty and Builders' Registration Act” to provide Social Security and employer identification numbers.
CURRENT VERSION OF TEXT
An Act concerning the registration of builders of new homes and amending P.L.1977, 467.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 5 of P.L.1977, c.467 (C.46:3B-5) is amended to read as follows:
5. No builder shall engage in the business of constructing new homes unless he is registered with the department. The department shall provide application forms for such registration and shall prescribe the information to be included therein, which information shall include the Social Security number of the builder and of any officer, director, stockholder and principal employee associated with the builder’s company, and the employer identification number of the builder, if any. Each application shall be accompanied by a reasonable fee, prescribed by the commissioner, and proof, satisfactory to the commissioner, of participation in the new home warranty security fund or an approved alternate new home warranty security program. Upon receipt of the above, the department shall issue a certificate of registration.
Each certificate of registration shall be valid for a period of 2 years from the date of issue and may be renewed for additional 2-year periods.
As a condition for the registration, a builder shall be required to participate in the new home warranty security fund or an approved alternate new home warranty security program.
No corporation, partnership or other business organization shall be entitled to registration hereunder, nor shall they engage in the construction of new homes unless a stockholder, director, officer, partner, or employee thereof, as the case may be, shall be a registered builder.
(cf: P.L.1977, c.467, s.5)
2. This act shall take effect immediately.
This bill is part of a package of bills implementing the recommendations of the State Commission of Investigation in its report of March, 2005 entitled “The Good, the Bad and the Ugly: New-Home Construction in New Jersey.”
This bill would require a builder, and any officer, director, stockholder and principal employee associated with the builder’s company, to provide their Social Security numbers and the builder’s employer identification number, if any, on the registration form required pursuant to the “New Home Warranty and Builders’ Registration Act,” P.L.1977, c.467 (C.46:3B-1 et seq.). The intent of the bill is to facilitate the collection by the Department of Community Affairs of background information, including criminal history and bankruptcy information, about persons seeking registration, and therefore the ability to build homes in New Jersey, under the law.