Coalition of California Home Inspectors 1445 N. Sunrise Way, Suite 101 Palm Springs, CA  92262   www.thecchi.org

What is the CCHI?

The Coalition of California Home Inspectors (CCHI) was created in 1995 to bring together the common interests of all home inspectors in California so they can have effective representation to the legislature.  Prior to creation of the CCHI, inspectors and organizations working independently presented a "mixed message" to the legislature. We were vulnerable to the "divide and conquer" tactics of competing interests in the legislature, and had no credible voice. Various representatives from the California Real Estate Inspection Association (CREIA), American Society of Home Inspectors® (ASHI), and American Institute of Inspectors™ (AII), as well as several independent companies and individuals, realized we needed to work together to achieve the best interests of all home inspectors in the state.  

How does the CCHI work?

Everyone who contributes to CCHI is a member. CCHI is governed by a steering committee with representatives from all association chapters. The steering committee elects chairmen who are authorized to speak for the coalition. CCHI retains a lobbyist, who receives direction from the chairmen. CCHI meetings typically take place at the semi-annual conferences of CREIA, and at other times as necessary.

How does CCHI interact with the legislature?

CCHI retains a lobbyist who is known throughout the capitol as our representative. Our lobbyist monitors legislation affecting home inspectors, and legislators know to contact our lobbyist whenever they want to raise an issue or initiate inspector legislation. In sessions when a bill would directly affect inspectors, our lobbyist appears at committee hearings, works with legislators, and advises the CCHI. In 4 of the last 5 legislative sessions, bills directly affecting inspectors have been introduced.

  What are the laws affecting home inspectors?

Home inspectors in California are not licensed. They are regulated under Business & Professions Code 7195 et seq. This law first came into effect in 1997, as a result of SB 258 in the 1995-1996 legislative session. The CCHI supported SB 258, and helped gain several important features of the bill to benefit the inspection profession. The B&P code was modified in 2001 (effective January 1, 2002) to include energy audits as an optional component of a home inspection. These changes were the result of AB 1574 which originally would have mandated inspectors to perform these audits. Fortunately, CCHI was able to influence the bill so the audit is not mandatory.

  What are the hottest issues today?

As you will see in tonight's presentation, we have been involved directly in influencing legislation that would have created licensing or a de facto version of it. We have been fortunate to have a very quiet legislative session for 2007-2008, though we do weigh in on bills related to inspections and maintain our presence with legislators. Our biggest problem is to fund that presence during a down economic cycle, especially with limitations on CREIA's ability to underwrite the lion's share of expenses. Individual inspectors have kept CCHI alive by voluntary contributions, and more are needed.

  What has the CCHI accomplished?

·         The CCHI was able to successfully modify SB 258 to include a statute of limitations, and to refer to the Standards of Practice of CREIA and ASHI®. CCHI was very active with the bill, and there were numerous other issues with its wording that included input from CCHI.

·         CCHI successfully represented inspectors in a series of hearings conducted by the Contractors State License Board in 1996, and that otherwise could have led to unnecessary and unwanted regulation by that board.

·         CCHI worked with Senator Hughes in 1999 and 2000 in crafting SB 1216, which was later vetoed by the governor.

·         CCHI created the first accurate Sunrise Study of the inspection profession, thereby displacing the previous inaccurate studies that unfairly portrayed the duties of inspectors and the need for regulation.

·         CCHI successfully sponsored AB 452 in 2000, requiring developers to inform buyers of their right to negotiate for an inspection on subdivisions. This was the first piece of legislation initiated by CCHI.

·         CCHI successfully altered AB 1574 that would have otherwise required home inspectors to perform energy audits, regardless of their client's wishes, the age of the house, or the inspectors qualifications.

·         CCHI was contacted first prior to the introduction of SB 1332 in 2002, and assisted in drafting SB 31. CCHI was able to influence the content and direction of SB 31 through the current legislative session.

·         CCHI has monitored legislation in the capitol since 1995, maintaining a profile with legislators and special interest groups to prevent the industry from being surprised by legislation that could affect inspectors' livelihoods.

·         CCHI has kept its members informed of legislative developments, and supplies a bi-monthly report to the CREIA Inspector detailing the legislation being monitored.

·         CCHI was involved in the negotiations over Assemblyman Maze's licensing bill, and helped to prevent the first "realtor indemnification" version from moving forward.

  What is a sunrise study?

Before any business can be regulated by the legislature, a "sunrise study" must be completed showing the need for the regulation. There have been 3 sunrise studies of home inspectors. The first came about in 1986 as part of SB 974, and was later discredited. A second study, commissioned by the California Association of Realtors, was created in 1994. Neither study accurately portrayed the activities, duties, scope, or need for inspections. The conclusions reached about the need for regulation of inspections were widely disputed. In 2000, another study was completed by the CCHI in response to SB 1216. That document is the basic reference now used by the legislature in determining the need for regulation of inspectors.

As an inspector, what can you do to help your profession?

Communicate with your CCHI Representative. They should keep your chapter apprised of legislative developments, and they should seek your input. Let them know what you want. Be constructive – if you don't like something, offer a solution. Support the CCHI with a financial contribution. Representation is expensive. Failing to be represented is more expensive. When called upon, you may be asked to write letters to the legislature and governor.

Every year, our chapter has provided a matching funds challenge to the chapter for the benefit of CCHI. This is the only organization in California created by inspectors to protect our interests. CCHI has been instrumental in preventing ill conceived legislation from becoming the law of the land and it has reached a point where it is consulted before legislation makes it to the floor of the legislature. However, it is in YOUR best interest to support this organization, which supports you. In the past, only a small number of inspectors have really seen the value in what CCHI has done and maybe it's time for the rest of us to dip down into our pocket and add to the resources CCHI needs to continue to support and defend the rights of the Home Inspectors in California.