Statement of Principles 

ALEC recognizes that individuals—not government—are best positioned to make decisions about their homes, energy use, and property improvements. This model policy upholds the principles of limited government, free markets, and individual liberty by allowing homeowners to choose qualified private-sector professionals for plan review and inspection services. By reducing unnecessary regulatory delays and duplicative government functions, this policy promotes competition, cost savings, and efficiency while preserving public safety and code compliance. It advances the right of every property owner to determine how best to improve, renovate, and power their homes without undue interference or expense. 

Section 1. Title

This Act shall be known and may be cited as the “Homeowners’ Right to Choose Inspection and Review Services Act.” 

Section 2. Legislative Findings and Purpose 

(A) The Legislature finds that: 

1. Homeowners have a fundamental right to improve, renovate, and power their homes consistent with private property rights and personal choice. 
2. Excessive permitting delays and high inspection costs burden homeowners, slow construction, and increase housing and energy costs. 
3. Qualified private-sector professionals possess the expertise to perform plan reviews and inspections consistent with adopted building, fire, and electrical codes. 
4. Allowing homeowners to choose qualified third-party reviewers and inspectors will reduce delays, lower costs, promote energy independence, and enhance local economic activity. 
5. Government should not duplicate services that the private sector can provide more efficiently, provided that public safety and code compliance are maintained. 

(B) Therefore, the purpose of this Act is to authorize homeowners, contractors, and installers to utilize qualified third-party reviewers and inspectors for home renovations and home backup power systems, and to require government acceptance of their verified reports as satisfying applicable permitting and inspection requirements. 

Section 3. Definitions 

For purposes of this Act: 

A. “Home Renovation” means any alteration, addition, repair, remodel, or improvement to an existing residential structure requiring a building permit. 

B. “Home Backup Power Installation” means an electric generating or energy storage system, standby system, or associated equipment intended to provide electrical power to a one- or two-family dwelling, connected at 600 volts or less. 

C. “Third-Party Reviewer/Inspector” means a person or entity not employed by the jurisdiction who is qualified and approved under this Act to perform plan reviews and/or inspections. 

D. “Qualified” means licensed in this state as a Professional Engineer, Master Electrician, ICC-certified inspector, or other credential approved by the Building Official. 

Section 4. Authorization of Homeowner Choice 

(A) A homeowner, contractor, or installer may elect to use a Qualified Third-Party Reviewer/Inspector for: 

1. Plan review of home renovations or home backup power installations; and 
2. Required inspections of such projects.

(B) The jurisdiction shall accept stamped or signed reports from Qualified Third Parties as satisfying the jurisdiction’s plan review or inspection requirements, provided the reports confirm compliance with all applicable codes. 

(C) If the jurisdiction fails to issue permits or certificates of completion within three (3) business days after receiving such reports, the permits or certificates shall be deemed issued by operation of law. 

(D) Nothing in this Act shall limit the authority of the Building Official to conduct supplemental reviews or inspections if documented cause exists to believe that compliance has not been properly verified. 

(E) Nothing in this Act shall prohibit a homeowner, contractor, or installer from using the jurisdiction’s Building Official and the standard governmental permitting process for plan review and inspection  

Section 5. Registration of Qualified Third Parties 

(A) The Building Official shall maintain a registry of Qualified Third-Party Reviewers/Inspectors authorized under this Act. 

(B) To be listed on the registry, an applicant shall provide: 

1. Proof of professional license or certification; 
2. Proof of liability insurance; and 
3. A written agreement to comply with all adopted building codes and reporting requirements.

(C) The Building Official may suspend or revoke approval of any Third-Party Reviewer/Inspector for cause, including negligence, misconduct, or repeated failure to ensure compliance. 

Section 6. Fees and Administration 

(A) Homeowners, contractors, or installers who elect to use a Third-Party Reviewer/Inspector shall pay fees directly to that provider. 

(B) The jurisdiction may charge a reasonable administrative processing fee to cover record keeping and issuance of final approvals but shall not charge fees for plan review or inspection of projects reviewed or inspected by a Qualified Third Party. 

(C) Nothing in this Act shall prohibit any jurisdiction from collecting any applicable taxes, fees, or revenues normally imposed or collected for such projects, including sales, use, or construction-related taxes. 

Section 7. Enforcement and Penalties 

(A) A homeowner or contractor who knowingly fails to comply with the provisions of this Act shall be subject to a civil penalty of not less than $250 and not more than $1,000 per violation. 

(B) Each day a violation continues shall constitute a separate offense. 

(C) Repeat violations within a twelve (12) month period may result in fines up to $2,500 and suspension of project approvals. 

Section 8. Reporting and Record keeping 

(A) Third-Party Reviewers/Inspectors shall submit approved plan review documents and final inspection reports to the Building Department within five (5) business days of completion. 

(B) The Building Department shall maintain such records as part of the permanent permitting file.