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Bill Summary · HB 344

Summary of HB 344 (Construction Consultant Amendments) – Utah, 2026

Purpose and intent

  • HB 344 aims to modify the Utah Construction Trades Licensing Act.
  • The core change is to remove the licensing requirement for individuals who only provide or offer to provide a list of subcontractors or suppliers.
  • The bill also includes a coordination provision to align and coordinate changes with HB 40 (Utah Construction Trades Licensing Act Amendments) and makes technical/conforming updates.

Key provisions and changes

  • Licensing exemption for construction consultants:
    • The bill removes the requirement that a person who merely provides or offers to provide a list of subcontractors or suppliers must be licensed, effectively exempting such activity from licensure.
  • Coordination and conformity:
    • Adds a coordination clause to substantively and technically coordinate changes between HB 344 and HB 40, ensuring consistent definitions and treatment across both measures.
    • Allows for harmonization of terminology and licensing framework between the two bills when both become law.
  • Definitions and terminology:
    • The bill references a broad set of definitions within the Construction Trades Licensing Act, including contractor classifications and related terms, as amended or defined in statute. A number of definitions are shown in the provided text (e.g., “Contractor,” “Construction trade,” “Specialty contractor,” and various licensing classifications), indicating that the bill operates within an existing statutory framework and shifts licensing scope only for specific consulting activities.
  • Effective date:
    • The bill takes effect on May 6, 2026.
  • Coordinating provision for HB 40:
    • If both HB 344 and HB 40 pass, the Legislature intends that, on January 1, 2027, Subsection 58-55-101(7)(b) be amended to explicitly include construction consulting and related services (management of subcontractors and counseling services) within the scope of “Contractor.”

Who would be affected

  • Construction consultants and firms that previously needed a license to provide services such as managing construction subcontractors, providing management or counseling services on a construction project, or offering to provide a list of subcontractors or suppliers.
  • Practitioners who would otherwise fall under licensure for construction consulting would now be exempt from licensure if their primary activity is listing or coordinating subcontractors/suppliers rather than performing licensed trades.
  • Contractors, subcontractors, and project stakeholders may experience downstream effects in licensure requirements, regulatory oversight, and potential compliance processes, depending on how HB 344 interacts with HB 40.

Procedural and timeline aspects

  • Effective date: May 6, 2026.
  • Coordinating provision: If HB 344 and HB 40 both pass, the Legislature intends a coordinated change to define “Contractor” to include construction consulting and related services starting January 1, 2027.
  • Fiscal note summary:
    • Public fiscal note indicates potential ongoing revenue impact from decreased renewal fees for the Department of Commerce (approximately $1,300 net ongoing), starting in FY 2027.
    • Expenditure impact is minimal; expected to be no material change to state expenditures.
    • Local government impact: likely no direct measurable costs.
    • Regulatory impact: small reduction in regulatory burden anticipated.

Practical implications

  • By removing licensure for those whose sole activity is listing or coordinating subcontractors or suppliers, the bill reduces barriers to entry for certain consulting activities while relying on other statutory and rule-based oversight to protect public health, safety, and welfare.
  • The coordination with HB 40 aims to ensure a consistent and uniform licensing framework, preventing gaps or conflict between related provisions.

Notes

  • The analysis is based on the text comparing HB 344 with HB 344S01 and accompanying fiscal notes. Readers should review the final enacted language for any refined definitions or effective-date adjustments.
  • The provided material includes a coordination clause to harmonize HB 344 with HB 40, underscoring the legislature’s intention to create a cohesive licensing regime for construction consulting activities.

Compiled from official sources — confirm details with the bill’s official record.

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