Or. Admin. R. 839-015-0135 : — BUREAU OF LABOR AND INDUSTRIESRULES REGULATING LABOR CONTRACTORS —015-0135 - Issuance of License

(1) A license may be issued only as follows:

(a) To an individual proposing to operate as a sole proprietor under the individual's own name or under the individual's own name and an assumed business name registered with the Corporation Division;

(b) To an individual proposing to operate as a partner in a partnership or a limited liability partnership under the individual's own name or under the individuals' own names and the assumed partnership business name registered with the Office of the Secretary of State;

(c) To the majority shareholder or majority shareholders of a corporation or member(s) owning a majority of a limited liability company that is authorized to do business in Oregon by the Office of the Secretary of State and to the corporation or limited liability company. Under this form of licensing, except as provided in subsection (3), the licensed majority shareholder or majority shareholders and the licensed corporation or the majority member(s) of a limited liability company and the licensed limited liability company are jointly and severally liable for all violations of the corporation or limited liability company and its agents when acting as a labor contractor;

(d) To a cooperative corporation authorized to do business in Oregon by the Office of the Secretary of State;

(e) Except as provided in OAR 839-015-0135(4), to a private nonprofit corporation authorized to do business in Oregon by the Office of the Secretary of State and designated by the Internal Revenue Service as exempt under section 501 (c)(3) of the Internal Revenue Code, provided:

(A)

(i) The purpose of the corporation is to provide education or training; and

(ii) Workers recruited, solicited, supplied or employed by the corporation are recruited, solicited, supplied or employed only for the purpose of educating or training the workers in the forestation or reforestation of lands, in construction, or in the production or harvesting of farm products; or

(B) For at least five years before the corporation files an application for a labor contractor license, the corporation has been:

(i) Authorized to do business in Oregon by the Office of Secretary of State;

(ii) Primarily engaged in recruiting, soliciting, supplying or employing workers; and

(iii) Designated by the Internal Revenue Service as exempt under section 501 (c)(3) of the Internal Revenue Code;

(f) For a farm labor contractor license only, to an agricultural association that is authorized to do business in Oregon by the Office of the Secretary of State;

(g) To an employee of a labor contractor other than a property services contractor who is proposing to or is carrying out activities which would require the employee to obtain a license as a labor contractor.

(2) Except as provided in OAR 839-015-0135(4), no license may be issued to an individual proposing to do business as a partner in a partnership unless all of the proposed partners are licensed.

(3) The majority shareholder or majority shareholders of a corporation or member(s) owning a majority of a limited liability company are not required to be licensed under this section if the corporation or limited liability company:

(a)

(A) Publicly trades its shares of stock on a stock exchange regulated by the United States Securities and Exchange Commission; or

(B) Has 10 or more shareholders or members and demonstrates to the satisfaction of the commissioner that the corporation or limited liability company is adequately capitalized; and

(C) No individual shareholder or member owns, or no two shareholders or members collectively own a majority of the corporation or limited liability company; and

(b) Is authorized to do business in Oregon by the Office of the Secretary of State.

(4) For a property services contractor license only:

(a) To any of the business entities described in paragraphs (b) to (e) of OAR 839-015-0135(1), provided that each entity includes with the application for a license under ORS 658.415 the names and addresses of one or more individuals who are responsible, financially and otherwise, for fulfilling the entity's obligations consistent with the provisions of ORS 658.405 to 658.503.

(b) To a private nonprofit corporation authorized to do business in Oregon by the Office of Secretary of State and designated by the Internal Revenue Service as exempt under section 501(c)(3) of the Internal Revenue Code provided that the corporation is primarily engaged in recruiting, soliciting, supplying or employing workers.

Or. Admin. R. 839-015-0135

BL 6-1984, f. & ef. 4-27-84; BL 3-1990, f. & cert. ef. 3-1-90; BL 2-1996, f. & cert. ef. 1-9-96; BLI 7-2000, f. & cert. ef. 2-23-00; BLI 12-2001, f. 8-31-01, cert. ef. 9-1-01; BLI 13-2014, f. 11-14-14. cert. ef. 7-1-15; BLI 4-2017, amend filed 11/30/2017, effective 1/1/2018; BLI 7-2018, temporary amend filed 03/13/2018, effective 03/13/2018 through 09/08/2018; BLI 19-2018, amend filed 09/12/2018, effective 9/14/2018

Statutory/Other Authority: 651, 658 & OL Ch. 008 (2018)

Statutes/Other Implemented: ORS 658.405 - 658.503 & OL Ch. 008 (2018)