Mr. Speaker

I am pleased today to bring to Parliament, an inaugural cutting-edge and comprehensive Construction Contractors Bill, 2016.

For the first time in the history of The Bahamas, we are seeking to make provision for the registration and licensing of construction contractors. To this end, the Bill seeks to establish a Construction Contractors Board that will be responsible for registering and licensing construction contractors and advising the Minister responsible for Public Works on certain matters relating to their practice.

The draft was concluded following a series of stakeholder meetings among members of the Bahamas Contractors Association, representatives of the insurance agencies, the Ministry of Environment and Housing, the technical team of my Ministry, and the Office of the Attorney General.

Mr. Speaker

Construction is our third industry and contributes ten percent (10%) to our GDP. As such, regulation of the sector has been priority for this Government. This legislation has been long-needed for the protection of consumers, long-awaited by the industry, and long-promised over several administrations. In fact, my Ministry’s records reflect that the BCA proposed legislation as far back as 2003.

Thirteen years later, time and experiences have brought many changes to the proposal; however, the intentions remain the same. The Bahamian consumer has a right to fierce protection under the law and contractors should be obligated to a standardised craft – particularly in a developing country.

Mr. Speaker

Until now, Bahamian consumers have been exposed to a dangerously under-regulated industry. Without professional licences, consumers have been subjected to unscrupulous contractors, cost overruns, and poor workmanship. Save civil lawsuits, there is little recourse for those with complaints against contractors.

Many are the stories of vulnerable consumers, particularly single women, who have fallen prey to ill-guided contractors – losing money and materials – paying deposits and seeing no work done by contractors that disappear.

The Construction Contractors Bill provides specific and expedient remedies for complaints through a disciplinary board that could suspend or revoke the licence of a contractor and/or impose fines.

The legislation will also establish a rating system for contracting companies’ skill-levels from Category One (for building a single-family structure) to Category Four (for building a large resort or casino). Contractors would have to meet certain criteria before they would be able to join the body and would have to demonstrate that they have successfully completed a project within the category of the licence for which they are applying. They would also have to show that their business licence is valid and that there are no outstanding complaints against them.

The categories of construction contractors include:

·      Air Conditioning Contractors or HVAC Contractors

·       Commercial Building Contractors

·       Civil Marine Contractors

·       Drywall Contractors

·       Electrical Contractors

·       Elevator Contractors

·       Fire Alarm System Contractors

·       Fire Suppression System Contractors

·       Fuel or Volatile Substances

·       General Contractors

·       Landscape Contractors

·       Liquefied Petroleum Gas Contractors

·       Lock and Security Equipment

·       Masonry Contractors

·       Mechanical Contractors

·       Owner–Build Contractors

·       Painting Contractors

·       Plumbing Contractors

·       Power Generation Contractors

·       Residential Building Contractors

·       Roads Contractors

·       Roofing Contractors

·       Speciality Contractors

·       Swimming Pool Contractors

·       Utilities Contractors and

·       Any and all Trades that the Board may from time to time deem to include.

The Bill will provide for the alignment of Construction Contractors with their international counterparts. This is most valuable to contractors who seek to enter the international market or bid for jobs funded by international agencies such as the Inter-American Development Bank (IDB).

Mr. Speaker

Bahamian construction contractors have been most vocal in their quest to be recognised in the same manner as parallel professions, for example, engineers and architects. In this regard, an individual may be temporarily registered to practice construction in The Bahamas for a period not exceeding six months only if he is qualified in a specialist field of construction not readily available in The Bahamas. This must be evidenced by his registration in that field by a legally empowered authority in a country approved by the Board.

Then, he must be associated with a contractor whose name appears on the Register and is a member of the Association.

Exceptions to this rule would include contractors for a specified project for a specified time procured by an international lending agency, or from an agency of the United Nations or similar sponsoring organisation approved by the Minister after consultation with the Board.

Further, an applicant for registration by an individual who is not a citizen of The Commonwealth of The Bahamas or a permanent resident with the right to work, must obtain all necessary approvals as prescribed by The National Economic Council.

Mr. Speaker

The Bill provides for a Consumer Code, which will be applied to any type of construction work for a client. It also provides for the establishment of a Builders Defects Compensation Scheme to deal with the defective workmanship of the builder towards a residential home owner.

In respect of Dispute Resolution, the Bill provides for written client-builder dispute resolution processes – mediation in the first instance and where that fails, then arbitration. Failing all, the Bill provides the Supreme Court as a recourse by litigation.

The enactment of this legislation requires that repeal of certain sections of the Liquefied Petroleum Gas Act, the Electricity (New Providence) Rules (Ch. 194); the Electricity (Out Islands) Rules (Ch. 194); and Rules 2 and 3 of the Licensed Plumbers Rules 1933.

Mr. Speaker

While the provisions of the Construction Contractors Bill clearly set the requirements for registration and licensing, it allows a period of transition for a person who was practicing as a contractor to continue to do so for a period of two years. It is anticipated that this is adequate time for practitioners to secure all requisites for registration and licensing.

Mr. Speaker

This government has always advocated forgiveness and the requirement for a second chance. For those who have run afoul of the law, there is always an avenue for reform. The legislation considers this and provides that the Board cannot refuse to register any individual on the sole basis that he has a criminal record. That provision stipulates that the applicant has not reoffended within two years immediately preceding the application.

Mr. Speaker

The Bahamian Contractors’ Association (BCA) has been the historical voice of the construction industry in The Bahamas. It was established in 1958 by a group of Bahamian contractors who realised that the collaboration and organisation of contractors as well as the adoption of regulation and good practice are necessary to protect and promote the advancement of the local construction industry.

As an advocacy group, the BCA has been effective in representing the interests of Bahamian contractors in matters regarding international affiliations, trade agreements and foreign competition. The BCA represents the construction industry at Economic Partnership Agreement (EPA) negotiations with the European Union (EU) and at the Coalition of Caribbean Contractors and CARICOM levels.

In my view, the most important endeavour of the BCA has been its lobby for the passage of this Bill.

This past weekend, our Bahamas celebrated forty-three (43) years of nationhood. As we continue to grow, the formalisation of our industries and services are of paramount importance.

Mr. Speaker

I am happy to make this communication in the presence of members of the Bahamas Contractors’ Association, led by its president, Mr. Lionel Sands. This represents that tool that will govern their trade. Through you, I thank its members, its past presidents, and all of the stakeholders who have assisted this effort.

I particularly thank the technical team within my Ministry and from the Office of the Attorney General for working hard to finalise this draft. As our forefathers determined for us, we march “Forward, upward, onward, together” to our common loftier goal.

Mr. Speaker

I am pleased to be able to introduce and lay on the table of this House, the Construction Contractors Bill, 2016; and pray its passage through the Parliament.

By Hon. Philip E. Davis, Q.C.

Member of Parliament

Source: Bahamas Information Services