Legislative Analysis
Phone: (517) 373-8080
ELECTRICAL ENERGY SUPPLY AGENCY http://www.house.mi.gov/hfa
House Bill 4125 (H-3) as reported from committee Analysis available at
Sponsor: Rep. Gary Howell http://www.legislature.mi.gov
Committee: Workforce, Trades, and Talent
Complete to 5-27-21
SUMMARY:
House Bill 4125 would amend Article 7 (Electricians and Electrical Contractors) of the
Skilled Trades Regulation Act to specify the licensure and supervision requirements for
electrical work completed on renewable energy facilities.
Generally under the act, a person may not engage in the business of electrical contracting
or in any manner undertake to execute electrical wiring unless appropriately licensed and
employed. However, the act specifies instances in which a license is not required. The bill
would add to that list certain work by or for an electrical energy supply agency.
Electrical energy supply agency would mean any of the following, as defined in
specified acts:
• An electric utility.
• An independent transmission company.
• A municipal electric utility system.
• An electric cooperative utility engaged in the transmission or distribution of
electrical service and the cooperative’s subsidiaries, affiliates, contractors, or
subcontractors.
The bill would specify that a license and appropriate employment and supervision are
required for the electrical wiring of a renewable energy source. However, it would also
add to the list of instances where a license is not required the alteration or repair of electrical
equipment for the generation of electric current of a renewable energy source that is not
owned and operated by an electrical energy supply agency.
Renewable energy source would mean energy generated by solar, wind,
geothermal, biomass (including waste-to-energy and landfill gas), or hydroelectric.
Finally, the bill would also add to the list of instances where a license is not required the
execution of electrical wiring that is performed by apprentice electricians under the
supervision of a licensed journeyman or licensed master electrician, subject to the
applicable provisions regarding apprentice electricians.
MCL 339.5701 and 339.5737
House Fiscal Agency Page 1 of 2
BRIEF DISCUSSION:
Proponents advanced the bill as a necessary update to a 1956 public utility exemption to
the licensure requirement. This exemption was intended for electrical work done by public
utilities on their own facilities. Reportedly, over the years that exemption has been
extended to renewable energy facilities, which were not contemplated by the drafters of
the original language.
FISCAL IMPACT:
House Bill 4125 would not have an appreciable fiscal impact on any unit of state or local
government.
POSITIONS:
Representatives of the following entities testified in support of the bill (4-29-21):
ABC of Michigan
International Brotherhood of Electrical Workers Local 557
International Brotherhood of Electrical Workers Local 948
Renewable Energy for the Utility Workers of America
The following entities indicated support for the bill:
Michigan Municipal Electric Association (4-29-21)
DTE Energy (4-29-21)
Michigan Electric Cooperative Association (5-13-21)
The following entities indicated opposition to the bill (5-13-21):
Michigan Conservative Energy Forum
Energy Innovation Business Council
Legislative Analyst: Jenny McInerney
Fiscal Analyst: Marcus Coffin
■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their
deliberations, and does not constitute an official statement of legislative intent.
House Fiscal Agency HB 4125 (H-3) as reported from committee Page 2 of 2


Statutes affected:
House Introduced Bill: 339.5701, 339.5737
As Passed by the House: 339.5701, 339.5737