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Last modified
6/23/2020 10:03:07 AM
Creation date
4/22/2020 8:52:35 AM
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Guidance Documents
Document Type - Guidance Documents
Policy
Topic
Board of Examiners
Title
REVOKED POLICY 2015-1: CONTRACTUAL RELATIONSHIPS BETWEEN LICENSED CONTRACTORS AND UNLICENSED INDIVIDUALS
Document Date
2/5/2018
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Board Policy No. 2015-1 <br />Page 2 <br />is covered by workers' compensation and unemployment compensation. "Directly employed" <br />does not refer to independent contractors or subcontractors. <br />37-91-102(12), C.R.S.: <br />"Private driller" means any individual, corporation, partnership, association, political <br />subdivision, or public agency that uses equipment owned by it to dig, drill, redrill, case, <br />recase, deepen, or excavate a well entirely for its own use on property owned by it. <br />37-91-102(15.5), C.R.S.: <br />"Supervision" means personal and continuous on -the -site direction by a licensed well <br />construction contractor or licensed pump installation contractor, unless the licensed <br />contractor has applied for and received from the board an exemption from continuous on - <br />the -site direction for a specific task. <br />DISCUSSION <br />Upon review of the statutory provisions, including the narrowly -defined exceptions to the <br />licensure requirement, the Board concluded that a Policy was necessary to clarify the <br />legality of contractual business relationships as described above in the Introduction. <br />Section 37-91-111 makes it unlawful for a person to construct water wells or install <br />pumping equipment in Colorado without a Board -issued license, unless three exceptions <br />apply: <br />(1) The person is a "private driller", <br />(2) the person is "directly employed by" a licensed contractor, or <br />(3) the person is "under the supervision of a licensed contractor. <br />§37-91-111(1)(c). A "private driller," defined in full above, is a land owner who may work <br />on his/her/its own wells. Section 37-91-111(1)(c) & (d) makes it unlawful for unlicensed <br />individuals to construct wells or install pumping equipment unless the individual is <br />"directly employed by or under the supervision of a licensed contractor. Likewise, a <br />license is not required of an individual performing labor on wells or pumps "if he is <br />directly employed by, or under the supervision of, a licensed well construction contractor <br />or pump installation contractor." <br />Because the General Assembly provided narrow and specific definitions of "directly <br />employed" and "supervision," those terms must be interpreted strictly according to the <br />General Assembly's use throughout section 37-91-101 et seq., C.R.S. See, e.g., Farmers Ins. <br />Exch. v. Bill Boom Inc., 961 P.2d 465, 470 (Colo. 1998). <br />First, an individual who forma a contractual business relationship with a licensed water <br />well contractor or pump installer is not "directly emploved" by that licensed individual. <br />The licensed individual is not the employer of the unlicensed individual, and is not directly <br />responsible for or and directly controlling the performance of the unlicensed individual. <br />OCTAVE GEORGE BLOUIN; La Veta; THERESA JEHN-DELLAPORT, Golden; JAROD KUNTZ, Sterling; ANDREW M. ROSS, Denver <br />
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