Relates to modular construction work; provides that modular construction shall comply with any existing municipal licensing requirements for all electrical, plumbing, and fire suppression work.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A3077
SPONSOR: Dilan TITLE OF BILL:
An act to amend the labor law, in relation to modular construction work
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to require that modular construction
projects comply with applicable local plumbing, gas piping, electrical,
and fire suppression licensing requirements, whenever such final
construction project is to be located in a city with a population of one
million or more.
SUMMARY OF PROVISIONS:
Section one of the bill would add a new section 241-c of the labor law
which would require that all electrical, plumbing, and fire suppression
work during the off-site assembly of a modular unit for use in a city
with a population of one million or more be performed by an applicable
licensee with employees under the licensee's supervision. It would also
require licensees to maintain records demonstrating compliance with such
requirements and require owners to submit certifications to the New York
City Department of Buildings demonstrating that he or she hired the
appropriate licensees.
Section two of the bill directs the commissioner of labor to conduct a
statewide survey to examine the safety and codes compliance issues
related to modular construction projects.
Section three of the bill would establish the effective date.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
The A-Print amendments moves these requirements from the New York State
Labor Law to the New York City Administrative Code and clarifies the
scope of the bill. The B-print amendments move the requirements from the
NYC Admin Code to the NYS Labor Law but clarifies that the requirements
are only applicable in cities of population greater than one million,
and that enforcement of the section shall be by the New York City
Department of Buildings. The B print amendments also add a survey
requirement to examine the safety and codes compliance issues related to
modular construction projects.
JUSTIFICATION:
The use of modular construction in high rise residential, commercial and
institutional buildings (such as hospitals) in New York City is a recent
phenomenon. While the Executive Law currently covers manufactured homes,
and provides certain consumer protections, it is an outdated law, having
been passed in 2005 to implement the federal Manufactured Housing
Improvement Act of 2000, and therefore does not address NYC's current
problem. Presently, modular construction is not subject to the same
standards for plumbing, gas piping, electrical, and fire suppression
work as construction done on site within New York City. This makes no
practical sense and greatly increases the likelihood of code violations
in such modular buildings. In 2014, the NYC Department of Buildings
issued Buildings Bulletin 2014-003 stating that modular construction
units must be certified either by NYC licensees or by a "third party"
entity otherwise "approved" by the Department. However, there have been
various instances of the third-party certification process failing,
resulting in required repairs to such modular units by NYC licensees. To
protect the public from potential safety and health issues, it is
crucial that the actual work in these modular units be performed or
certified by NYC-licensed entities familiar with the applicable laws,
codes, and rules of the City of New York. This change assures that occu-
pants of any modular building located in NYC are given the same level of
protection as occupants of buildings completely constructed on-site.
PRIOR LEGISLATIVE HISTORY:
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None noted.
EFFECTIVE DATE:
This bill would take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
3077
2025-2026 Regular Sessions
IN ASSEMBLY
January 23, 2025
___________
Introduced by M. of A. DILAN -- read once and referred to the Committee
on Labor
AN ACT to amend the labor law, in relation to modular construction work
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The labor law is amended by adding a new section 241-c to
2 read as follows:
3 § 241-c. Modular construction work. 1. Definitions. As used in this
4 section the following terms shall have the following meanings:
5 (a) For the purposes of this section, "city" shall mean a city with a
6 population of one million or more.
7 (b) "Modular unit" shall mean component parts assembled at a location
8 other than the construction site within a city which are to be trans-
9 ported to the construction site for installation as part of a manufac-
10 tured building.
11 (c) "Component parts" shall mean any sub-system, sub-assembly, or
12 other system or fabrication designed for use in or as part of a struc-
13 ture in a city, which may include woodwork, cases, cabinets or counters
14 and the fabrication of electrical, plumbing, heating, cooling, venti-
15 lation, fire protection, exhaust duct systems, and mechanical insu-
16 lation, or other systems affecting health and safety, designed and engi-
17 neered for installation in the construction, repair, or renovation of a
18 manufactured building.
19 (d) "Manufactured building" shall mean a structure consisting of one
20 or more transportable modular units built within a manufacturing facili-
21 ty or facilities, where such building is designed to be greater than six
22 stories in height.
23 2. Enforcement. Enforcement of this section shall be by the New York
24 City Department of Buildings.
25 3. Off-site electrical, plumbing, and fire suppression work. All elec-
26 trical, plumbing, and fire suppression work during off-site assembly of
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06039-01-5
A. 3077 2
1 a modular unit shall be performed by an applicable licensee with employ-
2 ees under the licensee's supervision.
3 4. Records demonstrating compliance. Each licensee performing off-site
4 assemblies pursuant to this section shall maintain records demonstrating
5 compliance of such modular unit pursuant to the provisions of this
6 section with respect to the type of work being performed. Such records
7 shall be maintained for at least six years from the date of the issuance
8 of the final certificate of occupancy for the manufactured building.
9 5. Licensee certification. Prior to the transportation of any modular
10 unit to the construction site for installation within a city, each
11 licensee shall submit a signed and sealed certification to the depart-
12 ment attesting to the compliance of such modular unit pursuant to the
13 provisions of this section with respect to the type of work being
14 performed. Each modular unit transported to the construction site within
15 a city shall be accompanied with a copy of the applicable certifications
16 required pursuant to this section. Such certifications shall be submit-
17 ted to the department, in a form and manner as determined by the depart-
18 ment, and all inspectors prior to installation of the modular unit and
19 shall be maintained at the jobsite until the completion of the manufac-
20 tured building.
21 6. Owner certification. Prior to the issuance of any work permits
22 associated with the on-site construction of a manufactured building
23 within a city, the owner of such manufactured building shall certify to
24 the department that they hired the appropriate licensees to perform all
25 electrical, plumbing, and fire suppression work for such modular unit
26 with employees under the licensees' supervision.
27 7. On-site construction. All electrical, plumbing, and fire
28 suppression work necessary for installing or connecting the modular
29 units on the construction site within a city shall be performed by an
30 applicable licensee with employees under the licensee's supervision,
31 pursuant to a work permit covering such installations and connections.
32 § 2. 1. The commissioner, in consultation with any department, divi-
33 sion, board, bureau, commission, agency, or public authority of the
34 state or any political subdivision thereof deemed necessary by the
35 commissioner, is directed to conduct a statewide survey which examines:
36 (a) whether construction of manufactured buildings conflicts with any
37 local or state building codes,
38 (b) existing obstacles that modular units, component parts, and manu-
39 factured buildings face in complying with local or state building codes,
40 (c) the rate at which modular units, component parts, and manufactured
41 buildings are used in construction in each county of the state of New
42 York,
43 (d) the potential hazards that modular units, component parts, and
44 manufactured buildings present when used in non-compliance with local or
45 state building codes, and makes recommendations as to how:
46 (i) local or state code enforcement officers can ensure modular units,
47 component parts, and manufactured buildings comply with local or state
48 building codes, and
49 (ii) how to mitigate existing obstacles modular units, component
50 parts, and manufactured buildings face in complying with local or state
51 building codes.
52 2. The commissioner shall report the findings of such survey findings
53 to the governor, the temporary president of the senate, and the speaker
54 of the assembly no later than April 1st, 2027.
55 § 3. This act shall take effect immediately.
