By Shauna Krause, President, Capitol Services, Inc.
Out of state contractors might be ‘shocked’ without some good connections and a diagram on CA licensing! Another complex issue on a general’s scope finds an answer that is ‘true and false’ when I let some ‘light’ in for this contractor…
Q: We are going through the process of purchasing a contracting business. Our company already has a contractor’s license but we will be acquiring a company which holds several other classifications we don’t currently have. We plan to obtain a separate license under our corporation but with a ‘dba’ utilizing the business name currently on the seller’s license. Our current license is a “C-20” (HVAC). The seller’s Responsible Managing Officer (RMO) is going to add his classifications to our license, but we are wondering if his “B” (General Building) classification will satisfy everything. He claims the “B” covers everything. Is that true?
A: If you contract for specialty work (i.e. “C-20” HVAC, “C-10” Electrical) exclusively, or advertise to contract for that specific work, your company must hold that specialty license. The rule with the “B” (General Building) is that you must be performing at least two unrelated trades on any given job. “B” contractors are permitted to take a contract for a specialty trade only if they hold the appropriate classification or if they sub-contract it out to an appropriately licensed contractor.
Q: We are a company based in Illinois looking at doing business in the State of CA. Here is an overview of what we would be doing: medium voltage electrical distribution, substation construction, BESS installation, solar panel installation, solar panel inverter installation, and prefabricated racking systems. What type of contractor’s license do you recommend we apply for?
A: I checked with the CSLB, and they draw the line between “C-10” (Electrical) contractors and “A” (General Engineering) contractors when electrical substations are being built. Electrical substations fall under the General Engineering classification. Everything else is acceptable for a “C-10” or an “A” as long as the solar/battery energy storage system projects require specialized engineering.
At this time the only classifications that may perform solar are: “A”- General Engineering, “B" - General Building, “C-4”- Boiler, Hot-Water Heating and Steam Fitting, “C-10”- Electrical, “C-36”- Plumbing, “C-46”- Solar, “C-53”- Swimming pool contractors and “C-61”/“D35”-Pool and Spa Maintenance contractors.
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While knowledge is power, knowing where to go for the answers is half he 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