Capitol Connection Q&A for Contractors - Week of 8/26/2024

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By Shauna Krause, President, Capitol Services, Inc.

You don’t know what you don’t know, until you get that unexpected surprise. Contractor licensing documentation doesn’t allow any mistakes. This is a test, or not a test, but only time will tell if you pass. This space is a resource to learn from the missteps other contractors make by sharing answers, or solutions, when problems crop up and you know they will! …

Q: Our license is currently suspended for the Worker’s Comp and Liability insurance not being updated. We sent in the certificate to the CSLB weeks ago and when I called to follow up they said that it had been rejected. We never received any notification of that but I sent the updated certificate with the correction they requested and then we just received notification that something else was incorrect on the certificate and it had been rejected again. Meanwhile, our license has remained suspended even though we have had proper insurance in place this whole time. How do we ensure this doesn’t occur again in the future?

A: The CSLB is extremely particular about insurance certificates. We have even been experiencing frequent rejections with our applicants! Everything has be just so and there is no template they offer to ensure licensees send in the proper Certificate of Insurance. My expert hack, or suggestion, would be to have your insurance company file the updated insurance information on the CSLB’s website as opposed to mailing certificates. There are links on the CSLB’s website both for Worker’s Comp as well as Liability insurance submission. That is the quickest and most efficient way to get it updated.

Q: I need to replace our current Qualifier on our license. I have worked for the company for about 7 years and when the current Qualifying Individual leaves, I will become the President. Is there any way that if someone signs off on my extensive General building experience, that I can bypass the exam requirement?

A: As long as you have worked for the company for over five years in a Supervisory capacity and you have five years of W-2’s to prove that, you can apply to replace the current Qualifier and request a Waiver of the exams. Let me know if you would like our assistance with the process.

Q: The CSLB called our company and stated that we would be receiving an official Warning Letter for doing business under a DBA name that is not reflected on our contractor’s license. I just noticed for some reason the DBA we have with the CSLB is a shortened version of our actual name. They advised us to file an application to update the DBA name and pay the fee. Do you know how long that takes to process? Also, does that mean we need to update anything with the CA Secretary of State?

A: It looks like the CSLB is taking about 2-3 weeks to process name changes currently. I checked your license and you do not need to file anything with the Secretary of State to update your DBA. Your ‘Doing Business As’ name is not registered with the CA Secretary of State.

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While knowledge is power, knowing where to go for the answers is half the battle. Get expert assistance immediately when you call 866-443-0657, email info@cutredtape.com, or write us at Capitol Services, Inc., 3609 Bradshaw Rd, Ste H, #343, Sacramento, CA 95827. Search past columns at www.cutredtape.com

 

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