Any work performed for payment of more than $500 requires a relevant contractor's license in California.
The following information is a brief summary for some of the things that you, as a homeowner, can do to avoid costly mistakes and misunderstandings when dealing with a contractor. If you are considering a home construction, repair, remodel, addition, demolition, electrical, plumbing, air conditioning, landscaping or installing a new pool, you will need a contractor to do the work. In the State of Nevada, that contractor should have a proper contractor’s license for his specific trade.
Licensed contractors have met experience and examination requirements and are required to maintain bonds and workers compensation insurance and have established their financial responsibility; therefore, it is wise to insist that your contractor be licensed. Your home is one of your biggest investments – be aware of your rights and responsibilities when hiring any person to work on it. An informed and prepared consumer is key to a successful project.
What is a contractor? A contractor is a person who undertakes or offers to construct, alter, repair, add to, subtract from, improve, move, wreck or demolish any building or other structure. This includes a subcontractor or specialty contractor but not a material supplier.
A contractor also includes a construction manager who performs management and counseling services on a construction project for a professional fee. The Nevada State Contractors Board (NSCB) is an agency that licenses and regulates contractors throughout the State of Nevada. The Nevada State Contractors Board is committed to promote the integrity and professionalism of the contracting industry in Nevada.
It has the responsibility to promote quality construction by Nevada licensed contractors through a regulatory licensing system designed to protect the health, welfare and safety of the public. The Board consists of seven members appointed by the governor. Six members are licensed contractors, and one non-contractor is the public representative on the Board.
The NSCB’s staff includes a licensing department that processes and maintains contractors license information and an investigative department that investigates complaints. You may use our automated phone/fax-back information system 24 hours a day, 7 days a week, by pressing “2” at the prompt and following the directions given. You may file a complaint via the NSCB website by going to Investigations and then the subheading Report Unlicesed Contracting.
The law and rules regulating the licensing and conduct of contractors in the State of Nevada are contained in Nevada Revised Statutes 624 and Nevada AdministrativeCode 624. The purpose of the law is to protect the public and to provide remedies for consumers when a licensed contractor has violated the law. With limited exceptions, all contractors are required to be licensed.
Unlicensed contracting activity is illegal in Nevada and is investigated by the Nevada State Contractors Board and prosecuted by the local justice court. Unlicensed contracting penalties can escalate from a misdemeanor, to a gross misdemeanor and to a Class E felony. The following information includes tips you can use when choosing and hiring your contractor.
Get at least three bids. Before hiring any contractor, get at least three written bids, or estimates for your project. Provide the contractors with accurate plans or drawings to enable them to determine the scope of work and costs involved.
If prices differ by a wide margin, you may consider obtaining additional bids. Beware of any bid, which is substantially lower than others. This may indicate that the contractor has made a mistake or has not included all of the work quoted by other contractors.
Ask for references. Ask potential contractors for references in writing. Call the contractor’s previous customers, and ask if they were satisfied with the work.
Go out and look at the work for yourself. Hire a licensed contractor. Even licensure cannot guarantee satisfaction.
However, a licensed contractor has met experience and examination requirements and must fulfill certain conditions in order to maintain the license. A licensed contractor must have Worker’s Compensation insurance, a bond and have established financial responsibility. This protects you from unnecessary liability.
A licensed contractor is regulated by the Nevada State Contractors Board. A licensed contractor who violates the law (Nevada Revised Statute 624) may be disciplined by the Board. Upon licensure, a monetary limit is established for each contractor based on his or her financial ability to maintain and complete contracts up to a certain amount.
Contracts written in excess of the established limit are invalid. The type of contractor you hire will depend on the kind of work you want done. For example, if you want only roofing work done, you would hire a contractor who is licensed as a roofing contractor.
If the work you want done involves more than two types of work, then you may hire a licensed general building contractor, who will coordinate the appropriate licensed specialty contractors (subcontractors). Before signing a contract, make sure the contractor is licensed in the correct classification and within the appropriate monetary limit. Ask to see the contractor’s “pocket card” that will state the classification for which the contractor is licensed, the license number and the monetary limit.
If you have questions as to the validity or status of a license, call the Nevada State Contractors Board. You may also wish to check with the Better Business Bureau in your area to see if any complaints have been filed against the contractor. When you enter into a contract, there are certain disclosures that your contractor must provide to you in writing.
Contractor and Residential Recovery Fund disclosures. Are required by law to inform you of your rights as a homeowner.
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