This is what you need to know about how the CSLB (State Contractors Licensing Board) functions. This is what you need to know, what you are required to have, and what you need to do, in order to become a licensed contractor in the State of California. Foreword

Foreword (CSLB) General Requirements Experience Requirements License Classifications Applying for a License Licensing Examinations Translator Issuing a License Financial Requirements Schedule of Fees CSLB Publications

Construction is one of the largest industries in California's diverse economy, affording numerous opportunities for success. With approximately 280,000 contractor licenses currently issued, the Contractors State License Board receives more than 25,000 applications for new licenses each year.

This webpage will answer many of the most frequently asked questions about what is needed to qualify for and obtain a contractor's license. The procedure for obtaining a contractor's license makes becoming a licensed contractor more convenient than ever--there are testing sites located statewide, and now you can check on the status of your application via the CSLB's toll-free telephone number or Web site 24 hours a day.

However, merely holding a contractor's license does not make for a successful contractor. You must be skilled in the chosen craft and diligent in business affairs--one or the other is not good enough! You (and your employees) must be willing and able to perform to acceptable trade standards and according to plans and specifications. To survive in an increasingly competitive market, you must also fulfill your duties and responsibilities as a licensed and regulated business in California.

Besides licensing contractors, the Contractors State License Board handles more than 20,000 construction-related complaints a year. As the testing services for potential contractors have expanded, so have enforcement activities against unlicensed contractors in the underground economy and unscrupulous licensed contractors. Consumer protection and construction productivity must co-exist in California, and the CSLB is seeing that they do by emphasizing enforcement education for the consumer as well as for the contractor.

Study beyond what you need to pass the test. Continue upgrading your skills in your craft and in business matters. Read the educational articles in each issue of the California Licensed Contractor, a newsletter you will receive when licensed. Take advantage of other educational opportunities as they arise because only by mastering both your craft and your business can you ensure success.

Contractors State License Board

The Contractors State License Board (CSLB) was established in 1929 as the Contractors License Bureau under the Department of Professional and Vocational Standards. Today, the CSLB is part of the Department of Consumer Affairs.

A fifteen-member appointed board elects the CSLB's executive officer, or registrar of contractors, and directs administrative policy for the agency's operations. This appointed board includes nine public members (eight noncontractors and one local building official), five contractors, and one labor representative. Eleven appointments are made by the Governor and four are made by the Legislature. The board holds regularly scheduled public meetings throughout the state. These meetings provide the public an opportunity to testify on agenda items and other issues.

The CSLB licenses and regulates contractors in 43 license classifications that constitute the construction industry. Currently, there are approximately 280,000 licensed contractors in the state of California. The registrar oversees approximately 380 employees who work at the headquarters office in Sacramento and field offices throughout the state.

The headquarters staff receives and processes applications for new contractors' licenses, additional classifications, changes of license records, and license renewals. They also review and maintain records of disciplinary actions initiated by the field offices, provide verified certificates of licensure used in court or other actions, provide the status of licensure and other support services.

Headquarters directs the activities of field offices and initiates disciplinary actions resulting from their investigations. Field office staff investigate consumer complaints against contractors. The Statewide Investigative Fraud Team (SWIFT) focuses on unlicensed activity.

Visit CSLB's Web site, www.cslb.ca.gov, where one can look up a contractor by license number or by name and obtain the licensee's business name and address, license status, disclosable complaints and CSLB legal actions (if any), classifications held, business type, bond and workers' compensation information. Also, applicants can check the status of an application online. (see Question 19)

The same information is available on the CSLB's automated public information line, 1-800-321-CSLB (2752), which operates 24 hours a day. Callers can determine whether or not a contractor's license is valid by entering the contractor's license number. The information provided includes the licensee's business name, license status, classifications held, business type, and disclosable complaints and CSLB legal actions (if any). They may also listen to recorded information on licensing and examination procedures, complaint procedures and how to obtain more information on legal actions, the location and hours of CSLB offices, and current topics such as recently passed laws or regulations. Callers can also order forms, applications and other publications.

The CSLB offers a variety of publications that guide consumers in making informed choices when contracting for home repairs and improvements. Check Their Web site for details.

Mission

The Contractors State License Board protects consumers by regulating the construction industry through policies that promote the health, safety, and general welfare of the public in matters relating to construction.

The Contractors State License Board will accomplish this by:

	Ensuring that construction is performed in a safe, competent and professional manner;
	Licensing contractors and enforcing licensing laws;
	Requiring that any person practicing or offering to practice construction contracting be licensed;
	Enforcing the laws, regulations and standards governing construction contracting in a fair and uniform manner;
	Providing resolution to disputes that arise from construction activities; and
	Educating consumers so that they may make informed choices.

1. Who can become a licensed contractor?

To qualify to become a licensed contractor an individual must be 18 years of age or older and have the experience and skills necessary to manage the daily activities of a construction business, including field supervision. Or, you must be represented by someone else with the necessary experience and skills, who serves as your qualifying individual.

The contractor or other person who will act as the qualifying individual must have had, within the ten years immediately before the filing of the application, at least four full years of experience at a journey level, or as a foreman, supervisor, or contractor in the classification for which he or she is applying. The experience claimed on the application must be verifiable and individuals who have knowledge of the experience must certify the accuracy of the experience information provided by the applicant (page 3 of the application).

2. Who must be licensed as a contractor?

All businesses or individuals who construct or alter any building, highway, road, parking facility, railroad, excavation, or other structure in California must be licensed by the California Contractors State License Board (CSLB) if the total cost (labor and materials) of one or more contracts on the project is $500 or more. Contractors, including subcontractors, specialty contractors, and persons engaged in the business of home improvement (with the exception of joint ventures and projects involving federal funding) must be licensed before submitting bids. Licenses may be issued to individuals, partnerships, corporations, or joint ventures. The CSLB does not issue licenses to Limited Liability Companies (LLC's).

3. Is anyone exempt from the requirement to be licensed?

Yes. Here are some of the exemptions:

	Work on a project for which the combined value of labor, materials, and all other costs on one or more contracts is less than $500 falls within the minor work exemption. Work which is part of a larger or major project, whether undertaken by the same or different contractors, may not be divided into amounts less than $500 in an attempt to meet the $500 exemption. Until January 1, 2005, unlicensed contractors were required to provide a purchaser a written disclosure stating that they are not licensed by the CSLB. This disclosure is no longer required;
	An employee who is paid wages, who does not usually work in an independently established business, and who does not have direction or control over the performance of work or who does not determine the final results of the work or project;
	Public personnel working on public projects;
	Officers of a court acting within the scope of their office;
	Public utilities working under specified conditions;
	Oil and gas operations performed by an owner or lessee;
	Owner-builders who build or improve existing structures on their own property if they either do the work themselves or use their own employees (paid in wages) to do the work. This exemption is only valid if the structure is not intended or offered for sale within one year of completion;
	Owner-builders who build or improve existing structures on their own property if they contract for the construction with a licensed contractor or contractors. This exemption is applicable only if no more than four of such structures are offered for sale in any one calendar year;
	Owner-builders who improve their main place of residence, have actually resided there for one year prior to completion of the work, and who complete the work prior to sale. This exemption is limited to two structures within a three-year period;
	Sale or installation of finished products that do not become a fixed part of the structure;
	A seller of installed carpets who holds a retail furniture dealer's licenses but who contracts for installation of the carpet with a licensed carpet installer;
	Security alarm company operators (licensed by the Bureau of Security and Investigative Services) who install, maintain, monitor, sell, alter, or service alarm systems (fire alarm company operators must be licensed by the CSLB); and
	Persons whose activities consist only of installing satellite antenna systems on residential structures or property. These persons must be registered with the Bureau of Electronic and Appliance Repair.

4. Do I have to reside in California to get and keep a contractor's license?

No.

No. However, California does have reciprocal agreements with some states that recognize the experience qualifications for certain trades. It is only after the Registrar of Contractors has entered into a reciprocal agreement with the other state and under certain conditions that the Registrar may waive the written trade examination for a contractor licensed in another state. Applicants must still qualify by taking and passing the Law and Business Examination. If you have trade experience or a contractor's license issued by another state or country and you want to contract for work in California, this experience may be acceptable. In any case, you must apply for and be issued a license by the California Contractors State License Board.

6. What happens if I contract without a license?

A contractor's license is not necessary as long as you don't advertise yourself as a licensed contractor and never contract for jobs costing $500 or more, including labor and materials.

The Contractors State License Board has established statewide investigative fraud teams that focus on unlicensed contractors and the underground economy. To curtail illegal contracting activities, these units conduct stings and sweeps which are publicized to ensure maximum consumer education.

Contracting without a license is usually a misdemeanor, carrying a potential sentence of up to six months in jail and/or a $500 fine, and a potential administrative fine of $200 to $15,000. Subsequent violations increase criminal penalties; if there is a prior conviction for contracting without a license, a fine of 20 percent of the contract price of the work performed, or a $4,500 fine shall be imposed. Also, the unlicensed contractor shall be confined to jail for no less than 90 days.

Felony charges may be filed against those who contract without a license for any project that is covered by a state of emergency or disaster proclaimed by the Governor of California or the President of the United States. Felony convictions may result in a state prison term as specified by the court.

During fiscal year 2003-04 the CSLB filed 1,515 non-licensee citations and referred 1,057 non-licensees to the District Attorney.

Experience Requirements                                        

7. What kind of experience is required for a contractor's license?

You must have at least four years of experience is required to qualify to take the examination. Credit for experience is given only for experience at a journey level or as a foreman, supervising employee, contractor, or owner-builder. These are defined as follows:

	A journeyman is a person who has completed an apprenticeship program or is an experienced worker, not a trainee, and is fully qualified and able to perform the trade without supervision.
	A foreman or supervisor is a person who has the knowledge and skill of a journeyman and directly supervises physical construction.
	A contractor is a person who manages the daily activities of a construction business, including field supervision.
	An owner-builder is a person who has the knowledge and skills of a journeyman and who performs work on his or her own property.

All experience claims must be verified by a qualified and responsible person, such as a homeowner, an employer, fellow employee, other journeyman, contractor, union representative, building inspector, architect, or engineer. The person verifying your claim must have firsthand knowledge of your experience--that is, he or she must have observed the work that you have done--and must complete the experience certification portion of the application. Even if you provide a certification of your experience, be prepared to furnish documentation of any experience you claim on the application whenever such documentation is requested. The failure to provide this documentation will result in rejection of your application or denial of the license.

8. Are there education requirements for a license?

No. You do not have to meet any education requirements in order to qualify for a contractor's license. However, many community colleges and private schools offer instruction in vocational education. For more information, contact the:

You may receive credit for technical training, apprenticeship training, or education instead of a portion of the required four years of practical experience. At least one year must be practical experience. You must provide written documentation of any training or education claimed in place of experience. Acceptable documentation includes copies of apprenticeship certificates and college transcripts.

The CSLB may credit training, apprenticeship, or education as follows:

A maximum of 1-1/2 years upon submission of transcripts of the following:

A maximum of two years upon submission of transcripts of any of the following:

	An A.A. degree from an accredited school or college in building or construction management;

	A four-year degree from an accredited college or university in the fields of accounting, business, economics, mathematics, physics, or areas related to the specific trade or craft for which application is being made;
	A professional degree in law; or
	Substantial college or university course work in accounting, architecture, business, construction technology, drafting, economics, engineering, mathematics, or physics.

A maximum of three years upon submission of any of the following:

	A Certificate of Completion of Apprenticeship from an accredited apprenticeship program or a certified statement of completion of apprenticeship training from a union in the classification for which application is being made;
	Submission of transcripts for a four-year degree from an accredited college or university in architecture, construction technology, or any field of engineering that is directly related to the classification for which application is being made; or
	Submission of transcripts for a four-year degree from an accredited college or university in the field of horticulture or landscape horticulture for the Landscaping (C-27) classification

11. What are the contractor license classifications?

The CSLB issues licenses to contract in particular trades or fields of the construction profession. Each separate trade is recognized as a "classification." You may add as many classifications to your license as you can qualify for.

The CSLB issues licenses for the following classifications:

	Class "A" -- General Engineering Contractor. The principal business is in connection with fixed works requiring specialized engineering knowledge and skill.
	Class "B" -- General Building Contractor. The principal business is in connection with any structure built, being built, or to be built, requiring in its construction the use of at least two unrelated building trades or crafts; however, framing or carpentry projects may be performed without limitation. In some instances, a general building contractor may take a contract for projects involving one trade only if the general contractor holds the appropriate specialty license or subcontracts with an appropriately licensed specialty contractor to perform the work.
	Class "C" -- Specialty Contractor. There are 41 separate "C" license classifications for contractors whose construction work requires special skill and whose principal contracting business involves the use of specialized building trades or crafts. Manufacturers are considered to be contractors if engaged in on-site construction, alteration, or repair.

12. In what trades may I obtain a class "C" Specialty Contractor's License?

You may obtain a license in any of the classifications listed below. For a detailed description of these classifications, consult the CSLB Rules and Regulations in the California Contractors License Law and Reference Book. (For ordering information, see Question 34.)

Contractors who work with asbestos or other hazardous substances are regulated by the United States Department of Labor, Federal Occupational Safety and Health Administration, and the California Department of Industrial Relations, Division of Occupational Safety and Health (DOSH), as well as by the CSLB. These contractors are subject to a number of certification, registration, reporting, and safety requirements.

The following are some of the CSLB's basic requirements:

	Before a license will be issued, every licensee must have completed, signed, and returned the open-book examination contained in the booklet, Asbestos: A Contractor's Guide and Open-Book Examination. The booklet contains general information about asbestos abatement standards.
	Asbestos abatement contractors must be certified by the CSLB. To become certified, a contractor must take and pass an EPA-accredited asbestos abatement course; complete the Application for Asbestos Certification; pass a comprehensive asbestos abatement exam; and register with the Asbestos Contractor Registration Unit of DOSH.
	Contractors who do hazardous substance removal work must be certified by the CSLB--they must complete an Application for Hazardous Substance Removal and Remedial Actions, and they must pass a CSLB certification examination. Any contractor who has a Class "A" General Engineering, "B" General Building, "C-36" Plumbing, "C-61 (D-40)" Service Station Equipment and Maintenance (only those licensees who currently hold this classification), "C-12" Earthwork and Paving, or "C-57" Well Drilling (Water) license is eligible to be certified.
	In addition, contractors who install or remove underground storage tanks must hold this certification. CSLB policy currently limits certified contractors doing underground storage tank work as follows:   General Engineering "A" contractors may install and/or remove underground storage tanks for any purpose at any location. Plumbing "C-36" contractors may install and/or remove any underground storage tank that provides service to a building--including storage tanks for service stations. Service Station Equipment and Maintenance "C-61/D-40" contractors may install and/or remove fuel underground storage tanks at service stations or any other site up to a capacity of 20,000 gallons. (No new C-61/D-40 licenses are issued for these purposes.) General Building "B" contractors may, in the course of work performed under a contract that meets the requirements for the "B" classification (see Question 11), install and/or remove an underground storage tank if they have been properly certified for Hazardous Substance Removal and Remedial Actions.

14. Are there any other requirements I need to complete?

Until January 1, 2004, all contractors who engaged in the business of home improvement or who provided goods and services for home improvement were required to obtain the Home Improvement Certification. This certification is no longer required. The home improvement contract requirements still exist, however. Please see Chapter 5 of the California Contractor's License Law and Reference Book for details.

Applying for a License                                             

15. How do I apply for a contractor's license?

You must complete the following steps:

	Obtain an Application for Original Contractor's License from any office of the Contractors State License Board, by telephone from the CSLB's 24-hour automated public information line, (800) 321-CSLB (2752), or via the CSLB Web site, www.cslb.ca.gov;
	Take the time to read and follow carefully the instructions attached to the application. All experience and certifications in support of experience must be submitted with the application. No additional experience verification will be accepted after the application has been accepted;
	Complete the application and all accompanying forms in ink or with a typewriter. Forms completed in pencil will be returned to you. Make sure you sign and date the application; and
	Proofread your application for any omissions. If the Board has to return the application to you for any missing information, your license will be delayed.
	PLEASE NOTE: Applicants with a disability requiring special testing accommodations must complete Form 13E-77, Special Accommodation Request For Examination.

You may apply for only one license classification at a time if you are required to pass an exam. After your original license is issued, you may apply for additional classifications.

If you are required to take the examination, complete the following steps:

	Submit the application, the application processing fee ($250), and all required documents to: Contractors State License Board, P.O. Box 26000, Sacramento, CA 95826 Be certain to include your return address on the envelope.
	Do not submit any bonds or the initial license fee with your application. Upon successful completion of your examination, you will be instructed to submit the required documents and initial license fee. You must submit ALL required documents together to avoid delays-your license will not be issued until all requirements have been met.

If you are NOT required to take an examination for any classification for which you are applying, you must:

	Submit an application and $400 ($250 application processing fee and $150 initial license fee) plus $50 for each additional classification applied for;
	Submit a Contractor's Bond or equivalent in the business name of the applicant, and a Bond of Qualifying Individual or exemption statement for each Responsible Managing Officer or Responsible Managing Employee as appropriate. The Bond of Qualifying Individual must be in the names of the qualifying individuals and the business; and
	Submit proof of Workers' Compensation Insurance or, if you have no employees, an exemption certificate (Form 13L-50). NOTE: If the license is qualified by a Responsible Managing Employee, the qualifier is an employee and Workers' Compensation Insurance is required.

If you are applying for an inactive license, you must:

Submit an application, the appropriate application processing fee, and the initial license fee. The same fees are required for inactive licenses as for active licenses. NOTE: Bonds and Workers' Compensation Insurance are NOT required for an inactive license.

Online Information for Applicants

For online information about applying for a contractor's license, go to www.cslb.ca.gov. Topics include:

	How to order forms and applications
	How to study for license exams
	Check on the status of your application
	CSLB processing times
	Check the status of a contractor's license
	Check the status of a home improvement salesperson's registration

16. Will the CSLB acknowledge receipt of my application?

The CSLB will send you a letter of acknowledgment. This letter will contain two important numbers: a nine-digit Application Fee Number and a four-digit Personal Identification (PIN) Number, together with instructions on how to use these numbers to check on the progress of your application.

Your Application Fee Number, also known as your "receipt number," will also appear on the front of your canceled check, on the Notice to Appear for Examination and on a request for you to submit the appropriate documents and initial license fee. Please retain a record of this number, and use it in all inquiries regarding your pending application.

Enclosed with this notice is a Request for Live Scan Service Form (BCII 8016) for each person listed on the application. The person submitting the form must complete the third section (applicant information) in its entirety and take two copies of the completed f