Section .0300

5SECTION .0300 – DEFINITIONS AND EXPLANATIONS OF TERMS APPLICABLE TO LICENSING

.0301. LISTED QUALIFIED INDIVIDUAL
.0302. DRAWINGS
.0303. ELECTRICAL INSTALLATION: PROJECT: PROJECT VALUE-LIMITATION
.0304. POINT OF DELIVERY AND RELATED TERMS
.0305. LICENSE REQUIREMENTS AND EXEMPTIONS
.0306. BONA FIDE EMPLOYEE
.0307. CERTAIN ELECTRICAL WORK/MANUFACTURER/PREFABRICATED UNITS

 .0301. LISTED QUALIFIED INDIVIDUAL

A listed qualified individual cannot be “regularly on active duty”, as the term is used in G.S. 87-43, during the hours when he has committed himself to work for an employer other than the employers on whose license he is the listed qualified individual. Therefore, no electrical contracting work can be done under a license during the hours its listed qualified individual has committed himself to duty as an employee in other employment.

Statutory Authority G.S. 87-42; 87-43;
Eff. October 1, 1988; Amended Eff. February 1, 1990.

.0302. DRAWINGS

Pursuant to an agreement between the Board and the North Carolina State Board for Professional Engineers and Land Surveyors, the following definitions and procedures shall apply to drawings:

(1) Design Drawing. A design drawing indicates the total result to be achieved by an assembly of various systems. It is the creative work of a design professional, prepared with the use of special knowledge of the mathematical, physical and engineering sciences in order to accomplish a specific function and bears the seal of the preparing design professional.

(2) Shop Drawing. A shop drawing indicates the fabrication, assembly, installation or erection of a system’s components. It is usually prepared by the manufacturer or installing contractor for the purpose of conveying to the mechanic the materials and construction sequencing procedures to be used in achieving the total result called for by the design drawings.

(3) Drawings by Contractor. If design drawings are not required by any statute, the installing contractor may prepare preliminary drawings to illustrate his proposed installation. If design drawings are required by a statute for an installation, the contractor may prepare preliminary drawings to illustrate his proposed installation; provided his proposal contains specific provisions to assure the awarding authority that, if awarded the project, the services of a duly registered professional will be employed to prepare the required final design drawings for the installation proposed and that the installation will be constructed in accordance with such design drawings.

Statutory Authority G.S. 87-39; 87-42;
Eff. October 1, 1988.

.0303. ELECTRICAL INSTALLATION; PROJECT; PROJECT VALUE-LIMITATION

For the purpose of implementing G.S. 87-43.3 pertaining to the limited and intermediate electrical contracting license classifications, the following provisions shall apply:

(1) Electrical Installation. Electrical work is construed to be an electrical installation when the work is made or is to be made:

(a) in or on a new building or structure;

(b) in or on an addition to an existing building or structure;

(c) in or on an existing building or structure, including electrical work in connection with lighting or power rewiring or with the addition or replacement of machines, equipment or fixtures; or

(d) in an area outside of buildings or structures, either overhead or underground or both.

(2) Project. An electrical installation is construed to be a separate electrical contracting project if all the following conditions are met:

(a) the installation is, or will be, separate and independently supplied by a separate service, feeder or feeder system; and

(b) the installation is for:

(i) an individual building or structure which is separated from other buildings or structures by a lot line or, if located on the same lot with other buildings or structures, is physically separated from such other buildings or structures by an open space or an area separation fire wall;

(ii) an individual townhouse single-family dwelling unit constructed in a series or group of attached units with property lines separating such units;

(iii) an individual tenant space in a mall-type shopping center;

(iv) an addition to an existing building or structure;

(v) an existing building or structure, including electrical work in connection with lighting or power rewiring or with the addition or replacement of machines, equipment or fixtures; or

(vi) an outdoor area either overhead or underground or both.

(c) the negotiations or bidding procedures for the installation are carried out in a manner totally separate and apart from the negotiations or bidding procedures of any other electrical installation or part thereof;

(d) except for new additions, alterations, repairs or changes to a pre-existing electrical installation, no electrical interconnection or relationship whatsoever will exist between the installation and any other electrical installation or part thereof;

(e) a separate permit is to be obtained for each individual building structure or outdoor area involved from the governmental agency having jurisdiction; and

(f) if a question is raised by a party at interest or if requested by the Board or Board’s staff for any reason, the owner or the awarding authority or an agent of either furnishes to the Board, and to the inspections department having jurisdiction, a sworn affidavit confirming that each and every one of the conditions set forth in (2) (a) through (e) of this Rule are satisfied.

(3) Relationship of Plans and Specifications to Definition of Project. Even though such electrical work may not fully comply with each and every condition set out in Subparagraph (2) of this Rule, the entire electrical work, wiring, devices, appliances or equipment covered by one set of plans or specifications is construed to be a single electrical contracting project.

(4) Project Value Limitation. In determining the value of a given electrical contracting project, the total known or reasonable estimated costs of all electrical wiring materials, equipment, fixtures, devices, and installation must be included in arriving at this value, regardless of who furnishes all or part of same, and regardless of the form or type of contract or subcontract involved. As an example, on a given electrical contracting project, the owner or general contractor will furnish all or part of the electrical wiring, material, etc. and

(a) if the total cost of the wiring, materials, etc., including that furnished by others, plus the total cost of the installation involved, will be more than sixty thousand dollars ($60,000) but not more than one hundred fifty thousand dollars ($150,000), then only an electrical contractor holding either an intermediate or unlimited license shall be eligible to submit a proposal or engage in the project.

(b) if the total cost of the wiring, materials, etc., including that furnished by others, plus the total cost of the installation involved, will exceed one hundred fifty thousand dollars ($150,000), then only an electrical contractor holding an unlimited license shall be eligible to submit a proposal or engage in the project.

If a given electrical contracting project is subdivided into two or more contracts or subcontracts for any reason, then the total value of the combined contracts or subcontracts which may be awarded to or accepted by any one licensee of the Board must be within the total project value in accordance with this Rule.

The Board’s staff shall make a determination of what constitutes a project in any given situation, and any party at interest shall have the right to appeal any staff determination to the Board for a final binding decision.

Statutory Authority G.S. 87-42; 87-43;
Amended Eff.  July 1, 2020; September 1, 2014; January 1, 2008; February 1, 1996; February 1, 1990.

.0304. POINT OF DELIVERY AND RELATED TERMS

(a) “Point of delivery” and other terms related thereto are defined as follows:

(1) Consumer’s Premises. A “consumer’s premises” is any publicly or privately owned building, structure, land or facility to which electric energy is being furnished.

(2) Consumer’s Wiring. A “consumer’s wiring” is the portion of a wiring system that is located at or on the consumer’s premises and for which the consumer has full responsibility for ownership, operation and maintenance. This wiring is considered to be beyond the point of delivery.

(3) Electric Power Supplier. An “electric power supplier” is a public utility company, a private utility company, an electric membership co-op, a municipal utility or any other entity that furnishes electric energy for private or public use.

(4) Electric Power Supplier’s Wiring. An “electric power supplier’s wiring” is the portion of a wiring system that is located either off, at, or on the consumer’s premises and for which the electric supplier has full responsibility for ownership, operation and maintenance. This wiring is considered to be ahead of the point of delivery.

(5) Point of Delivery. The “point of delivery,” as used in G.S. 87-43.1(1), is the point where an electric power supplier’s wiring terminates in the supplier’s delivery of electrical energy to a consumer’s wiring at or on the consumer’s premises.

(6) Service Point. The “service point” in a wiring system, defined in the National Electrical Code as the point of connection between the facilities of the serving utility and the premises wiring, is construed to be the same as the point of delivery.

(b) Special Conditions. Where conditions of service or other circumstances require that a portion of an electric power supplier’s owned, operated and maintained equipment, such as metering and load control equipment, be installed within the consumer’s wiring, such installation shall be construed to be beyond the point of delivery, and the installation of such equipment is required to be made by a licensee of the Board. This provision does not prohibit an electric power supplier from installing its metering and load control equipment in the enclosures for such equipment or removing same from such enclosures.

(c) Rulings. Where conditions of service or other circumstances are such that the definition of point of delivery and the related terms in this Rule are not strictly applicable, either in whole or in part, a special limited ruling will be issued by the Board on request of any part of interest.

(d) Illustration. The point of delivery and service point in a wiring system and the application of the North Carolina Electrical Contracting Licensing Act are further defined in the following illustration:

POINT OF DELIVERY 
G.S. CH. 87, ART. 4
SERVICE POINT 
NEC, NFPA 70

BEYOND

Wiring on this side is that portion of a wiring system for which the consumer has the responsibility for ownership, operation and maintenance, including any overhead, underground, inside or outside wiring.

LICENSE REQUIREMENTS

Wiring installations on this side are covered by the North Carolina Electrical Contracting Licensing Act and, pursuant to the provisions of said act, persons, firms or corporations installing, maintaining, altering or repairing such wiring are required to hold an appropriate license issued by the State Board of Examiners of Electrical Contractors.

Statutory Authority G.S. 87-39; 87-42; 87-43.1(1);
Eff. October 1, 1988.

.0305. LICENSE REQUIREMENTS AND EXEMPTIONS

(a) Pursuant to G.S. 87-43.1(7), an electrical contractor’s license is not required for:

(1) the installation and servicing of electrical appliances or equipment which is being supplied through a cord connected by means of an attachment plug-in device to a suitable permanently installed receptacle; and

(2) the servicing of electrical appliances or equipment being supplied through wiring connected to a permanently installed junction box.

(b) Unless exempted by a statute other than G.S. 87-43.1(7), an electrical contractor’s license is required for:

(1) the installation of the permanently installed receptacles to which cord-supplied electrical appliances or equipment are connected;

(2) the installation of the permanently installed junction boxes to which electrical appliances or equipment are connected; and

(3) any wiring connected to and supplied from the out-put side of any electrical appliances or equipment regardless of whether such appliances or equipment are supplied through a cord connected by means of an attachment plug-in device to a suitable permanently installed receptacle or are supplied through wiring connected to a permanently installed junction box.

Statutory Authority G.S. 87-42; 87-43.1;
Eff. October 1, 1988.
Amended Eff. July 1, 2011

.0306. BONA FIDE EMPLOYEE

(a) For the exemption for electrical work done as a bona fide employee of a license under G.S. 87-43.1(3), the following conditions must be met:

(1) The restrictions of the employing licensee’s license apply to any employee of the licensee.

(2) The employing licensee shall have control and direction of the details, methods and manner of performing the electrical work being done by the employee. The manner of payment, if any, to the person shall not be the sole determining factor concerning whether the person is an employee.

(3) The electrical work shall be performed under the supervision and direction of a listed qualified individual who is the employing licensee, or under the supervision and direction of a listed qualified individual regularly employed by the employing licensee.

(b) The employing licensee, the employee, and every listed qualified individual of the licensee shall furnish any information the Board may require, including affidavits, to evaluate and determine a claim of employee exemption.

(c) When the information furnished to the Board does not substantiate compliance with this Rule, the individual shall be deemed to be an independent contractor rather than an employee and shall be subject to G.S. Chapter 87, Article 4.

Statutory Authority G.S. 87-42;
Eff. October 1, 1988; Amended Eff. April 1, 1993; February 1, 1990.

.0307. CERTAIN ELECTRICAL WORK BY MANUFACTURER OF PREFABRICATED UNITS

(a) A manufacturer of prefabricated units is not required to be licensed by the Board to engage in installing, altering or repairing the electric work, wiring, devices, appliances or equipment in or on its prefabricated units under either of the following conditions:

(1) during the time the prefabricated units are physically located at the actual place of manufacture; or

(2) after the prefabricated units have been removed from the actual place of manufacture if all of the following conditions are met:

(A) the prefabricated units have been factory inspected, approved and duly labeled by an independent certifying agency approved by the North Carolina Building Code Council; and

(B) the work is specifically restricted to that part of the electrical installation covered under the approved independent certifying agency’s initial label and such work is performed by the manufacturer’s bona fide employees under the onsite direct personal supervision of the independent certifying agency’s official inspector and in cooperation with and approval by the local governmental inspection authority.

(b) Except as specified in this Rule, this exemption from the North Carolina Electrical Contracting Licensing Act does not apply once a unit has been removed from the manufacturing facility and placed anywhere within the State of North Carolina, including sales lots, the property of purchasers and lessees, or any other place for any reason, either temporarily or permanently.

(c) In order for a manufacturer to engage or offer to engage in the installation, alteration, maintenance or repair of any electric work, wiring, devices, appliances or equipment in connection with any unit, except as permitted in this Rule, the manufacturer must hold an active electrical contracting license issued by the Board.

(d) Nothing in this Rule shall be construed to exempt any electrical work on any property from the North Carolina State Building Code requirements or from any local special construction rules or permit or inspection requirements.

Statutory Authority G.S. 87-42; 87-43;
Eff. October 1, 1988.