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The following opinion is presented on-line for informational use only and does not replace the official version. (Mich Dept of Attorney General Web Site - www.ag.state.mi.us) STATE OF MICHIGAN FRANK J. KELLEY, ATTORNEY GENERAL Opinion No. 5918 June 10, 1981 OCCUPATIONAL CODE: Licensing of residential builder to construct rental units, two-family homes and/or senior citizen housing developments A contractor who erects residential units consisting of rental units such as apartments, two-family homes or senior citizen housing developments must be licensed as a residential builder. Honorable J. Michael Busch State Representative The Capitol Lansing, Michigan You have requested my opinion on the following question: Must a contractor erecting rental units such as apartments, two-family homes, or senior citizen housing developments be licensed by the State as a residential builder? The Occupational Code, 1980 PA 299; MCLA 339.101 et seq; MSA 18.425(101) et seq, regulates and licenses certain occupations, including residential builders. In 1980 PA 299, supra, art 24, Sec. 2401(a), 'residential builder' is defined as 'a person engaged in the construction of a residential structure or a combination residential and commercial structure who, for a fixed sum, price, fee, percentage, valuable consideration, or other compensation, other than wages for personal labor only, undertakes with another or offers to undertake or purports to have the capacity to undertake with another for the erection, construction, replacement, repair, alteration, or an addition to, subtraction from, improvement, movement of, wrecking of, or demolition of, a residential structure or combination residential and commercial structure; . . ..' The term 'residential structure' is defined in 1980 PA 299, supra, Sec. 2401(c), as 'premises used or intended to be used for a residence purpose and related facilities appurtenant to the premises, used or intended to be used, as a adjunct of residential occupancy.' Unless excepted by 1980 PA 299, supra, Sec. 2403, (1) residential builders must be licensed, subject to criminal penalty. 1980 PA 299, supra, Sec. 601. The statute is plain and requires no construction. A person constructing a residential structure composed of rental units, two-family homes or senior citizen housing developments must be licensed as a residential builder. It is, therefore, my opinion that a construction contractor constructing rental units such as apartments, two-family homes or senior citizen housing developments must be licensed by the State as a residential builder. Frank J. Kelley Attorney General (1)
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