Code of Colorado Regulations
400 - Department of Natural Resources
402 - Division of Water Resources
2 CCR 402-14 - RULES AND REGULATIONS FOR ADMINISTRATION OF LICENSING, FINANCIAL RESPONSIBILITY, CONTINUING EDUCATION AND REMEDIAL ACTION FOR WELL CONSTRUCTION AND PUMP INSTALLATION CONTRACTORS
STATEMENT OF BASIS AND PURPOSE
6 - Licensing and License Renewal

Rule 6.1 implements the provisions of section 37-91-105, C.R.S. (2017), that require obtaining a license from the Board prior to contracting for the construction of water wells and/or the installation of pumping equipment or cisterns. The Rule also provides for obtaining a special license when a person intends to conduct specialized services attendant to the construction, repair, modification, or enhancement of a well or to the installation of pumping equipment installed in a water well.

Rules 6.1.1 and 6.1.2 require the contractor to submit his or her contact information to the Board. These Rules were modified to require a primary email address for each licensed contractor, as most of the correspondence from the Division of Water Resources or the Board will be sent via email.

Rule 6.1.3 requires the licensee to identify employees who conduct work under the authority of the contractor's license. The Rule was adopted to enable the Board and its staff to keep accurate records regarding drillers and/or pump installers who are directly employed by the licensed contractor and who perform services under the license. Such records are helpful to determine if work performed by an unlicensed person was legally conducted under the authority of a contractor's license and as verification of two years' experience for a license application. The Rule was modified to include a requirement that the licensee also submit the areas of proficiency of the listed employees. Rules 6.1.3.1 and 6.1.3.2 were also added to effectuate this Rule change. Under section 37-91-110(2), C.R.S. (2017), the Board has the authority to require the filing of information and reports relating to the construction or abandonment of wells and the installation of pumping equipment whenever it may deem such action to be necessary and to enact rules necessary to ensure the proper construction or abandonment of wells and the proper installation of pumping equipment. Under section 37-91-104(1)(c) and (e), C.R.S. (2017), the Board also has general authority to promulgate rules necessary to effectuate the provisions of Article 91, Title 37, which include requirements for license approval and renewal.

Rule 6.1.3.1 was added to direct the licensee to maintain a list of employees and the employees' areas of proficiency. This "real-time" list will help Division of Water Resources field personnel identify who is employed by a licensed contractor and will help determine if there are any illicit contractual relationships.

Rule 6.1.3.2 was added to supply information to the Board of Examiners regarding the continuing education of individuals conducting well construction or pump installation under a license. Field training or in-shop training given by the licensed contractor can be catalogued per this rule.

Rule 6.1.4 specifies the extent and limit of a contractor's license and clearly states that a license does not authorize advertising for, contracting to provide, or performance of services other than those specifically stated on the license. This Rule intends to eliminate an inappropriate practice of advertising and contracting to provide a service for which a person is not licensed and then subsequently subcontracting the service to another licensed contractor. Such practice effectively severs the direct contact and interaction between a well owner and the licensed contractor who is ultimately responsible for the work and compliance with established minimum construction standards.

Rule 6.1.5 was added to clarify that agreements that purportedly authorize unlicensed individuals to construct water wells or install pumping equipment under the license of another are prohibited. The Rule also states the limited exceptions under statute where an unlicensed individual can legally construct a well or install pumping equipment. Section 37-91-111, C.R.S. (2017), makes it unlawful for a person to construct water wells or install pumping equipment without a Board-issued license, unless one of three exceptions apply:

Rule 6.2 defines four different types of licenses for water well construction. Section 37-91-105, C.R.S. (2017), authorizes the Board to examine for and grant licenses for different methods of well construction. The types of methods of well construction represent the common methods now used in Colorado to construct water wells. These construction methods are recognized and tested for by the National Ground Water Association (NGWA), an organization representing the industry throughout the United States and internationally. This uniformity with the NGWA tests allows the Board to use the NGWA tests in its license examination procedures.

Rule 6.2.1 was added to clarify that licensed water well construction contractors can install gallery wells/infiltration galleries without additional examinations or a special license. The Rule is adapted from BOE Policy 2000-3. Section 37-91-105, C.R.S. (2017), authorizes the Board to examine for and grant licenses for different methods of well construction. Gallery wells/infiltration galleries are not included within any of the Board's designated methods of well construction. However, all contractors licensed in one or more of the designated methods of well construction are expected to be familiar with the standard for materials required for well construction, the precautions that must be taken to reduce the potential for contamination of near-surface sources of water, and the necessity of proper disinfection of the well after its construction. Accordingly, a well construction contractor who has the qualifications necessary to be licensed under any of the designated methods will also be qualified to construct gallery-type wells and spring wells.

Rule 6.3 uses the same two types of licenses for installation of pumping equipment as those used in the examinations administered by the NGWA. The categories are based on the rate (in gallons per minute) that water can be produced by a pumping system. A license for the installation of line shaft turbine pumps can be obtained by successfully completing the NGWA test that includes those types of pumps and by meeting the additional requirements for licensing set forth in statute and established the Board.

Rule 6.3.1 was added to clarify that a pump installation contractor is qualified to install cisterns connected to water well supply systems. Section 37-91-109(2), C.R.S. (2017), requires a pump installation license to install these cisterns.

Rule 6.4 explains the license application process as authorized by section 37-91-105, C.R.S. (2017).

Rule 6.4.1 clarifies that the requirement of at least two years of experience in the type of well construction or pump installation work for which an applicant has applied for a license means actual construction of wells or installation of pumping equipment by operating a well drilling or pump installation rig and performance of other tasks related to well construction or pump installation. Section 37-91-105(2)(d), C.R.S. (2017), requires that an applicant for a well construction or pump installation license have two years' experience in the type of well construction work or pump installation work for which the applicant is initially applying for a license. The Rule was modified to clarify the two years' experience requirement and that experience installing pumping equipment or constructing water wells in the military can be considered active experience.

Rule 6.4.2 identifies the type of information the Board may request as documentation of the required experience. Such information is often needed to verify and more fully evaluate an applicant's experience in the specific method of well construction or pump installation for which the person is requesting a license. The Rule was modified to specify that information provided under Rule 6.1.3, which provides a mechanism for an individual to track active experience and requires the licensed contractor to document such experience of his/her employees, can be considered by the Board as active experience.

Rule 6.4.3 implements section 37-91-105(2)(d)(III), C.R.S. (2017), which authorizes the Board to accept completion of approved educational programs as a portion of the two years of experience in well construction and/or pump installation required for applicants to obtain a license. The Rule sets forth conditions under which the Board may accept the educational experience as a substitute for a portion of the required work experience.

Rule 6.4.4 establishes a two-year period of time in which an applicant must complete the application and examination process for obtaining a license.

Rule 6.5 and its subsections set forth the procedures and conditions for obtaining a special license, as authorized by section 37-91-105 (2.5), C.R.S. (2017). Special licenses are granted for the use of special equipment or limited procedures in well construction or pump installation. An applicant for a special license must meet the requirements of section 37-91-105(2), C.R.S. (2017). Due to the limited nature of a special license, if a special licensee applies for a well construction or pump installation license, the applicant must demonstrate two years of experience in the method of well construction or pump installation for which that person is applying for a license. A licensed contractor does not need to obtain a special license for work that falls within the scope of the general well construction or pump installation license issued by the Board. A special license limits the scope of work of the licensee to the specific task or tasks stated on the license.

Rule 6.6 implements the exam requirements of section 37-91-105(5), C.R.S. (2017), to ensure that licensed contractors possess adequate knowledge of the technical aspects of well construction and/or pump installation and of the laws and rules that apply to well construction and/or pump installation.

Rule 6.6.1 limits the validity of exam results to two years. This ensures that an applicant completes the licensing process within two years, and therefore that a newly licensed contractor possesses knowledge of current technology, laws, and rules.

Rules 6.7.1 and 6.7.2 were removed to comply with Senate Bill 05-161, which eliminated the examination requirement for private drillers and private pump installers. Section 37-91-106(3), C.R.S. (2017), now reads, "Private drillers and private pump installers are exempt from all license requirements under this article; except that such entities shall be required to comply with minimum construction standards as required by section 37-91-110 and the rules of the board."

Rule 6.7.1 (previously Rule 6.7.3) directs that all work performed by a private driller and private pump installer must comply with the standards of the Water Well Construction Rules and all other applicable regulations.

Rule 6.8 addresses license renewal and implements section 37-91-107(4), C.R.S. (2017), authorizing the Board to renew a contractor's license for a period of up to three years. The Rule specifies the fee requirement is commensurate with the duration of the license renewal period.

Rule 6.8.1 directs that the period of the bond or other financial responsibility is the same as the period of license renewal.

Rule 6.8.2 implements the provisions of section 37-91-105(7), C.R.S. (2017), which require each licensed contractor to complete eight hours of approved continuing education training during each calendar year in order to renew a license. The Rule provides for submittal of a "certificate of completion" to the Board affirming that the continuing education requirement has been fulfilled. The Rule specifies that the deadline for submitting the certificate is January 15 of each year and explains that the license of a contractor who fails to submit the certification annually will lapse regardless of the duration for which the license was renewed. January 15 is used as the annual deadline in order to provide sufficient time for renewal processing prior to the license lapse date of February 1.

Rule 6.8.2.1 explains the procedure for reinstatement of a license that is lapsed pursuant to section 37-91-107(4), C.R.S. (2017), because a contractor has failed to fulfill the continuing education training requirement or to file the required certificate of completion. The Rule provides for payment of a reinstatement fee, which is currently set by statute in the amount of $100. The Rule specifies that any continuing education training acquired after the fifteenth of January used to fulfill the previous year's obligation cannot be applied to the eight-hour requirement for the current calendar year.