Untitled Texas Attorney General Opinion

The Attome!!, General of Texas Octsber 12, 1984 JIM MATTOX Attorney General Supreme CarI Bullding Mr. Lynn Brown, Adwnistrator Opinion No. JR-210 P. 0. Box 1254a Teraa State Board ofi Plumbing A”,!,“. TX. 78711.254Q Examiners Re: Authority of a municipality 512l47525m P. 0. Box 4200 to impose a registration fee on Telex 9101874.13S7 Austin, Texas 78:‘tiS plumbers Telecopier 5121475-0268 Dear Mr. Brown: 714 Jackson. suite 700 Dallas. TX. 75202.4505 You have informed this office that several cities in Texas have 2141742.8944 passed city ordinances requiring persons licensed as plumbers to pay a “registration fee” as a condition precedent to engaging in the 4824 A,bwta Ave.. BUite 180 practice of plumbi>; in that city. In connection vith this, you have El Paso. TX. 79QC62793 asked this office zlie following questions: 915/53534S4 1. DC,such registration fees constitute a form 1 Texas. Suite 700 of, licen sure? “couston, 7X. 77002-3111 71~2235886 2. Are these registration fees ‘occupation taxes, ’ as aet forth in Attorney General Opinion V-428 (1 &i7)? 806 Broadway. Suite 312 Lubbock. 7X. 7Q401.3479. QOSi747-5235 3. Acs the registration fees a valid require- ment in Light of the Plumbing License Law, article 6243-101, V.T.C.S.? 43oQ N. Tenth. Suite 8 McAlm. TX. 78501.1685 5121882.4547 In order for such a fee to constitute a &censure, it must confer a right to a deserving individual that would be denied to all others. See Cit of Fort Worth v. Gulf Refining Co., 83 S.W.2d 610, 617 (Tex. 200 Win Plaza, Suite 4W m5*- icense will allow a parson to practice a trade which SPY &ntonio. TX. 782Q5-2797 he could not practi:e without such a license. See Aoefling v. City of 51212254191 San Antonio, 20 S.il. 85. 87 (Tex. 1892). For such a fee to constitute an occupation tax,, hovever. it must be levied primarily for the purpose of raising; revenue. See City of Fort Worth v. Gulf Refining 5. supra; Attorney General O-ion V-428 (1947). Therefore, tt,e answers to your first two questions depend upon whether these ordinances confer an occupational right to an individual vho wants to engage in the profession of plumbing, or whether these ordinances are revenue raising devices. You have supplied this office vith tvo ordinanccz from cities in Texas: one provides for a regis- tration fee for plumbing contractors; the other provides that an organization consisting of licensed plumbers who vish to do business must first registl!:: vith the city. Although both ordinances charge p. 947 . ’ I Nr. Lynn grovn - Page 2 (JM-210) small fees for registratiorl, ve are of the opinion that this is i~terial to our findings. See City of Fort Worth v. Gulf Refining co., D. We conclude, t,txfore, that these ordinances are, in affect, licensing feea. Article 6243-101, V.T.C.S.. (“Plumbing License Lav”) vas enacted .in 1947. Thia act created tlw State Board of Plumbing Examiners, thus taking avay much of the authority to regulate the plumbing occupation from cities. See Attorney General Opinion V-549 (1948). The Texas State Board of-&mbing Rxa~sIiners is the sole licensing agency for plumbers, thereby excluding this authority from all municipalities. Attorney General Opinion V-428 (1947). Because the board has exclusive jurisdiction over t:he licensing of plumbers, any municipal regulations vhich conflict vlth the board’s responsibilities are invalid under section 15 of the Plumbing Licensing Lav. Attorney General Opinions V-1217 (1951); V-720 (1948); V-333 (1947). See also Attorney General Opinion MW-.jIi5 (1982). This office has previowly considered a problem similar to this question. Attorney General 0pinion V-1217 (1951) dealt with several municipal requirements that required plumbers to post indemnity bonds before engaging in speciflecl plumbing vork. One such ordinance, for example, required plumbers ‘:o post a bond before that plumber could engage in his profession. ‘Pa+ opinion made the following observation: The Board’s respou:~ibilitles deal primarily with the personal fitness and skill of individual plumbers. The ’11 c.ense’ vhlch it grants and its authority to prc,sulgate rules respecting the licensing of plumblrrs are Intended to cover the subject of skill z.r:d personal fitness of plumbers and matters incidental thereto. Cities may not invade that field, Neither may the Board invade the field reserved for municipal regulation. The opinion vent on to conclude that a city may require a bond under its authority to prescribe t’le terms and conditions for the granting of a “permit” under the terms of Section 15, and that the Board has no jurisdiction over that subjc!ct matter. The distinction betveen these tvo statements is clear: the Board may regulate the plumbing occupation in its licensing procedures; a city may only regulate certain specific acts of ploobers, as set forth in sectjon 15 of the Plumbers License Lx See Attorney General Opinion V-549 (1948). See also Attorney General~ir:ion V-720 (1948). However, cities e require plumbing organisat 1 ,ns to register vith the city before engaging in the business of plumbing. For example, home rule cities may “license any lawful business, occupation or calling that is susceptible to the contra:. of the police power.” V.T.C.S. art. 1175.23. This includes the business of plumbing. See Trevitt v. City of Dallas, 242 S.W. 1073, lC177-78 (Tex. Civ. App.?Dallas 1922, no writ). p. 948 Mr. Lynn Brown - Page 3 (JW:!lO) Therefore, it la our opinion that ordinances vhich regulate the profesaion or occupation of plumbing infringe upon a function conferred solely to the Texas State Board of Plumbing Exaninera by the Plumbing License Lav and are invalid. Hovever , ordinances vhich require the registration of plumbing buainesacs as a condition ~precedent to engaging in the profession are valid. SUMMARY A municipal ortitnance vhich purports to confer an occupational ri.I;ht to an individual. and is not designed for the sole purpose of raising revenue, is a license fee. A municipal ordinance vhich regulates the profession or occupation of plumbing infringes upon a function conferred solely to the Texas State Boar’i of Plumbing Examiners by the Plumbing License Law. article 6243-101, V.T.C.S., and is invalid. itn ordinance vhich requires the registration of a plumbing business as a condition precedent to enga:g:lng in the profession is valid. -JIM M A- T T 0 X Attoruey General of Texas TOMGREEN First Assistant Attorney General DAVID R. RICEARDS Executive Assistant Attorney General Prepared by Rick Gilpin Assistant Attorney General APPROVED: OPINION CCWITTEE Rick Gilpln. Chairman David Brooks Colin Carl Susan Garrison Jim Moellinger Nancy Sutton