A material change.

July 1 was a big day for anyone who owns a building with asbestos in it, for architects and engineers, for asbestos abatement and consulting firms -- and for related companies in the asbestos abatement industry.

On that date California's Division of Occupational Safety and Health officially implemented new rules that govern the division's licensing of asbestos testing firms -- a change that sounds dreadfully dry on the surface but will have far-reaching implications for the groups named above.

Building owners and others who hire contractors for asbestos-related work need to be aware of these new certification requirements because the owners will now be required to hire licensed individuals for consulting and asbestos removal.

According to the new requirements, all individuals who provide building inspections for asbestos materials, who make recommendations regarding abatement options, and air monitoring services must have a provisional certificate from the occupational safety division. (Full certificates are expected to be processed in the fall.) The new requirements are in addition to existing programs for the registration of asbestos removal firms, removal contractors and asbestos laboratories. The program allows the state to impose a uniform standard of credentials throughout the process of managing asbestos materials, and the law provides civil penalties for those who operate without a license.

The asbestos industry, already suffering a general slowdown, has responded with mixed reviews regarding the market impact of the new requirements, which come after a period of consolidation among asbestos consulting firms and abatement contractors. Many asbestos firms that entered the market during the 1980s boom years are no longer in business because market conditions have toughened. Individuals who worked for now-defunct firms may have difficulty verifying their professional experience as required by the application process.

The Environmental Protection Agency's current emphasis on requiring building owners to manage asbestos in place rather than remove it, combined with the current slump in real estate development and construction, has changed the face of the asbestos industry. Building owners have scaled down abatement projects to include only those materials directly affected by renovation and construction activity as regulated by the South Coast Air Quality Management District. Increasingly, management plans are designed to ensure that materials remain in good condition and employees are properly trained.

During the industry's consolidation, some mergers occurred between consultants and abatement contractors in a move toward a vertical marketing approach. Under the new regulations, the certified asbestos consultant's firm can have no financial interest in the abatement contractor or any project.

Consulting firms that charge lower fees will feel a sharp impact from the cost of certifying employees: $375 for consultants and $275 for site surveillance technicians. Many individuals will need additional training before certification, a fact that will create a positive side-note for the industry: a mini-boom in the asbestos training industry as people rush to complete missing certifications. Larger firms will feel less of a direct impact as they incorporate the additional costs into approved in-house training programs.

The bottom line for anyone connected with the industry is to be well informed about the new certification requirements. More detailed information is available from the local Division of Occupational Safety and Health, but basically the message boils down to this: Those who perform the service must be individually certified, and those who use their services must retain certified personnel.

Erik Petersen is the business manager for the Los Angeles office of Professional Service Industries, which provides asbestos testing services, construction testing and roof consulting services.