What goes up doesn’t always come down! What’s up with that? But , first of all, a complex ‘run on’ question gets us started and another contractor ‘borders’ on re-visiting his previous inquiry…
Q: My boss (soon to be former boss) is retiring. He sold the business to two of us longtime employees. I have my own license with a “B” (General Building) and a “C-51” (Structural Steel). The other buyer, my new partner, has his own “B” license. My boss has four classifications attached to the Company license: “B”, “C-51” “C-39” (Roofing)”, and “C13” (Fencing). We are discussing the best way to go about taking over the license. What is the process, which one of us will qualify, will we need to take the exams, and can we both do it? I apologize for all the questions, but we don’t want this process to take any more time than it needs!
A: No need to apologize, I’m here for questions. First, you can only have one qualifier per classification so if you decide to split up the classifications between the two of you, you both cannot qualify the same classification(s) on the Company license. If one of you has worked for the Company for over five years, you can request to waive the trade exams for the classifications which you don’t already hold on your own licenses. For example, you are already qualified for the “B” and the “C-51”. If you have five years of W-2s proving your employment with the company, you can apply to take over all four classifications and request a waiver of the “C13” and “C-39” exams.
Q: You helped me replace my Dad on our contractor’s license and I was able to waive the examination requirement. I don’t remember if it was because it was some sort of “grandfathering” of the license or what, but I’m wondering, can I do the same thing on our Nevada license?
A: You were able to waive the exams based on being an employee of your Dad’s company for over five years and unfortunately, Nevada doesn’t offer that same waiver option. If you want to replace your Dad on your NV license, you are absolutely going to be required to take the exams.
Q: Is there any limit to the number of classifications I can have on my license? We are considering adding some additional classifications to our “C-20” (HVAC) license to expand our range of services.
A: No, there is no limit to the number of classifications a license can hold. Keep in mind for each classification, you are required to have an individual who can document at least four years of fulltime work experience in the specific trade you are applying for.
Q: I am a California licensed contractor, and I am going to be retiring and moving to Arizona. I don’t plan on continuing working however, I know there is a Reciprocal agreement between California and Arizona, and I figure it may not be a bad idea to get my Arizona license just in case I want to take on some small projects or subcontractor work.
Again, I don’t anticipate any large projects. California has the rule of not performing any unlicensed contracting work over $500 with labor and materials. Does Arizona have that same rule? I’m thinking I may be okay just limiting any work which may come up to $500, but obviously want to confirm it’s the same over there. Thank you for your time.
A: Arizona’s rule is if the entire cost of the project, including labor and materials is over $1000, or requires a permit by the local municipality, the person or business performing the work needs to be licensed. We can assist you in AZ, just in case.
The Contractors State License Board (CSLB) is reminding all licensees that the contractor’s bond amount is increasing to $25,000 on January 1, 2023. This applies to both Contractor’s Bonds as well as Qualified Individual bonds if you have them.
The bonding company who we work with, California Contractors Insurance Services (CCIS) informed us that all surety companies will automatically increase all bonds to $25k on January 1st so while you don’t need to rush to contact your bonding company, due to the increase in bond amount, contractors can expect their bond renewal notice to come up sooner than expected.
You can also contact your surety company directly to ensure they have returned documentation to CSLB to increase your bond. If you know the name of your surety company, you can look up their contact information on the CSLB’s website.
By Shauna Krause, President, Capitol Services, Inc.- www.cutredtape.com
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