4-36-090 Proof of insurance – Required.

   Prior to the issuance of a general contractor license, each applicant shall furnish proof of insurance, issued by an insurer authorized to insure in Illinois with a credit rating of B+ or higher by A.M. Best Company, evidencing commercial general liability insurance, as follows:

      (A)   If the applicant is applying for a Class A license: limits of not less than $5,000,000.00 per occurrence (primary or umbrella) for bodily injury, personal injury, property damage and completed operations arising in any way from the issuance of the license or activities conducted pursuant to the license;

      (B)   If the applicant is applying for a Class B license: limits of not less than $3,000,000.00 per occurrence (primary or umbrella) for bodily injury, personal injury, property damage and completed operations arising in any way from the issuance of the license or activities conducted pursuant to the license;

      (C)   If the applicant is applying for a Class C license: limits of not less than $1,000,000.00 per occurrence, $2,000,000.00 in the aggregate, for bodily injury, personal injury, property damage and completed operations arising in any way from the issuance of the license or activities conducted pursuant to the license;

      (D)   If the applicant is applying for a Class D license: limits of not less than $1,000,000.00 per occurrence, $2,000,000.00 in the aggregate, for bodily injury, personal injury, property damage and completed operations arising in any way from the issuance of the license or activities conducted pursuant to the license;

      (E)   If the applicant is applying for a Class E license: limits of not less than $1,000,000.00 per occurrence for bodily injury, personal injury, property damage and completed operations arising in any way from the issuance of the license or activities conducted pursuant to the license.

   Each policy of insurance required under this section shall include a provision requiring 30 days' advance notice to the Commissioner prior to cancellation or lapse of the policy. The licensee shall maintain the insurance required under this section in full force and effect for the duration of the license period. A single violation of this section shall result in suspension or revocation of the general contractor license in accordance with Section 14A-3-305.

   Each policy of insurance required under this section shall name the City of Chicago as additional insured on a primary, noncontributory basis arising directly or indirectly from the licensee's operations.

(Added Coun. J. 10-1-03, p. 9163, § 2.1; Amend Coun. J. 9-14-05, p. 55252, § 1; Amend Coun. J. 10-28-15, p. 11951, Art. VI, § 13; Amend Coun. J. 11-16-16, p. 37901, Art. II, § 10; Amend Coun. J. 10-27-21, p. 39543, Art. V, § 3)

Editor's note – Coun. J. 9-14-05, p. 55252, § 4, provides: "This ordinance shall be in force and effect upon its passage and approval. Provided, however, that with respect to any affected insurance policy in effect as the time of passage of this ordinance, the requirements imposed by Code Sections 4-36-030 and 4-36-090, as amended by this ordinance, must be complied with in conjunction with the renewal of any such insurance policy, or by January 1, 2007, whichever comes first."

4-36-100 Reserved.

Editor's note – Coun. J. 9-14-05, p, 55252, § 2, repealed § 4-36-100, which pertained to license bond – required.

4-36-110 Unlawful acts.

   It shall be unlawful for any licensee or for any person requiring a license under this chapter to engage in any of the following conduct:

   (A)   Knowingly to allow any person to use the licensee's name or license identification on a permit application unless the licensee will be performing the work attributed to the licensee in the permit application;

   (B)   To do work or to direct, permit, encourage, assist, aid, abet or cause others to do work without first having obtained any permit required by this Code, or in violation of Section 14A-4-401.1, or in violation of Section 13-20-590;

   (C)   To violate or to direct, permit, encourage, assist, aid, abet or cause others to violate any stop work order issued under this Code;

   (D)   To hire any subcontractor or to direct, permit, encourage, assist, aid, abet or cause others to hire any subcontractor who lacks a valid license to perform the work for which the subcontractor is hired;

   (E)   To submit any bid on general contracting work without a valid license issued under this chapter;

   (F)   To fail to allow the Department or the Department of Business Affairs and Consumer Protection to examine pursuant to Section 4-36-120(B) the financial books and records of the business within three business days of the time a written request for such an examination is made by the Commissioner or the Commissioner of Business Affairs and Consumer Protection;

   (G)   To fail to comply with the Workers' Compensation Act, as amended;

   (H)   To fail to maintain any insurance required by law, including but not limited to workers' compensation insurance and automobile liability insurance;

   (I)   To knowingly make or cause to be made a false statement of material fact on or in connection with a permit application;

   (J)   To knowingly submit or cause to be submitted in support of a permit application any document containing false or fraudulent information;

   (K)   To knowingly affix or cause to be affixed a false signature on a permit application;

   (L)   To bribe or attempt to bribe or cause others to bribe or attempt to bribe any building inspector, government official, city personnel or other person in connection with an act related to general contracting as defined in Section 4-36-010;

   (M)   To knowingly engage or cause others to engage in any conduct in connection with a building permit application in violation of the Illinois Architecture Practice Act, the Illinois Professional Land Surveyor Act, the Illinois Professional Engineering Practice Act or the Illinois Structural Engineering Act, as amended;

   (N)   To do work or to direct, permit, encourage, assist, aid, abet or cause others to do work in violation of the Zoning Ordinance or the Chicago Construction Codes or any other applicable law, or that otherwise endangers the health or safety of construction site workers, the current or eventual users or occupants of a building or premises, or the public;

   (O)   To fail to comply with any requirement applicable to the contractor on a project as set forth in Articles XIV and XVIII of Chapter 11-4; or

   (P)   To knowingly violate Chapter 2-156.

   The prohibitions set forth in subsections (A) through (P) of this section shall apply to the licensee and to all controlling persons.

   The prohibitions set forth in subsections (B) through (D) and (I) through (P) of this section shall also apply to any person exempt from the licensing requirements of this chapter pursuant to Sections 4-36-020(B)(5), 4-36-020(B)(7), or 4-36-020(B)(8).

(Added Coun. J. 10-1-03, p. 9163, § 2.1; Amend Coun. J. 7-27-05, p. 53211, § 1; Amend Coun. J. 9-14-05, p. 55252, § 1; Amend Coun. J. 7-30-08, p. 34713, § 7; Amend Coun. J. 11-19-08, p. 47220, Art. V, § 5; Amend Coun. J. 2-9-11, p. 112149, § 21; Amend Coun. J. 9-6-17, p. 55278, Art. IV, § 3; Amend Coun. J. 4-10-19, p. 100029, Art. II, § 29; Amend Coun. J. 10-27-21, p. 39543, Art. V, § 3)

4-36-120 Duties.

   A licensee shall have the following duties:

   (A)   To maintain a list that includes information about all permits obtained by or on behalf of the licensee and all contractors or subcontractors performing work on any project permitted or requiring a permit, under this Code, including each contractor's or subcontractor's name and address, and license number, if applicable. If requested by the Commissioner, the licensee shall produce this list within 72 hours of the Commissioner's request.

   (B)   To maintain sufficient and proper personnel, financial ability and facility to coordinate, develop, provide management expertise and complete in its entirety any proposed work for which a permit has been issued or is required to be issued under this Code. If the Commissioner or the Commissioner of Business Affairs and Consumer Protection receives a complaint, or otherwise has reasonable cause to believe, that a licensee or any person requiring a license under this chapter is not financially solvent, the Commissioner and the Commissioner of Business Affairs and Consumer Protection are authorized to examine that person's financial books and records in order to determine whether the person's past and current financial solvency and expectations for financial solvency in the future give rise to a reasonable expectation that the person can successfully do business as a general contractor without jeopardizing the public health, safety or welfare, and can carry through to completion any project permitted or requiring a permit under this Code. Financial solvency is a continuing requirement for maintaining a license under this chapter. Any financial books and records submitted pursuant to this subsection, and all information contained therein, shall be deemed confidential, shall be used for purposes of enforcing this subsection only, and shall not be divulged to any person or agency, except to the United States Attorney, the Illinois Attorney General, the State's Attorney of Cook County, or to the extent required by law. Any person who uses or divulges confidential information in violation of the requirements of this subsection shall be subject to incarceration for a term not to exceed six months or a fine not to exceed $500.00 or both.

   (C)   To ensure compliance with the Chicago Construction Codes by its employees, agents, and subcontractors in the performance of a project.

   (D)   To comply with all reasonable requests made by any authorized City official necessary or appropriate to implement the requirements of this chapter.

   (E)   To cooperate fully with any authorized City official in any inquiry, inspection or investigation necessary or appropriate to implement the requirements of this chapter.

   (F)   To keep a copy of proof of insurance, as required under Section 4-36-090, at the following locations: (1) the licensee's principal office or place of business, as identified in the license application; and (2) each construction site within the City managed or controlled by the licensee. Upon request, proof of insurance shall be made available for inspection by any City inspector or other authorized City official.

   (G)   If the licensee is engaged at a specific job site in the business of home repair, as defined in Section 4-6-280(a), to comply with the requirements set forth in paragraphs (2) through (6), inclusive, of Section 4-6-280(d) and in paragraphs (1) through (4), inclusive, of Section 4-6-280(c).

   The duties set forth in subsections (A) through (G) shall apply to the licensee and to all controlling persons.

(Added Coun. J. 10-1-03, p. 9163, § 2.1; Amend Coun. J. 7-27-05, p. 53211, § 1; Amend Coun. J. 7-30-08, p. 34713, § 8; Amend Coun. J. 11-19-08, p. 47220, Art. V, § 5; Amend Coun. J. 11-8-12, p. 38872, § 82; Amend Coun. J. 10-28-15, p. 11951, Art. VI, § 14; Amend Coun. J. 10-27-21, p. 39543, Art. V, § 3)

4-36-130 Permit privileges – Suspension.

   The Commissioner may suspend the ability of any person licensed or required to be licensed under this chapter to submit new applications or complete pending applications for a permit issued by the Department for cause as set forth in Section 14A-3-304.

(Added Coun. J. 10-1-03, p. 9163, § 2.1; Amend Coun. J. 2-22-17, p. 43876, § 8; Amend Coun. J. 4-10-19, p. 100029, Art. II, § 30; Amend Coun. J. 10-27-21, p. 39543, Art. V, § 3)

4-36-140 Reserved.

Editor's note – Coun. J. 10-27-21, p. 39543, Art. V, § 3, repealed § 4-36-140, which pertained to license – immediate suspension based upon a pattern of substantial code violations.

4-36-145 License suspension pending final adjudication of a bribery charge.

   If the Commissioner has knowledge that a licensee under this chapter or any controlling person has been indicted or charged with any offense set forth in item (L) of Section 4-36-110 or with a similar offense under any State or Federal law and the Commissioner determines that continued operation of the licensed business or activity may pose a threat to the public health, safety or welfare or may threaten to impair public confidence in the licensed business or activity, the Commissioner may suspend the general contractor license of such licensee, in accordance with the requirements of Section 4-4-280, until final adjudication is made with respect to such offense. The subject matter of any hearing conducted under Section 4-4-280 shall be limited to determining (1) whether the licensee or any controlling person has, in fact, been indicted or charged with any offense set forth in item (L) of Section 4-36-110 or with a similar offense under any State or Federal law; and (2) whether such offense is connected in any way with an act related to general contracting; and (3) whether continued operation of the licensed business or activity may pose a threat to the public health, safety or welfare or may threaten to impair public confidence in the licensed business or activity. The burden of proving that continued operation of the licensed business or activity does not pose a threat to the public health, safety or welfare and does not threaten to impair public confidence in the licensed business or activity shall be on the licensee.

(Added Coun. J. 7-30-08, p. 34713, § 9; Amend Coun. J. 10-27-21, p. 39543, Art. V, § 3)