Capitol Connection Q&A for Contractors - Week of September 2, 2019

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By Shauna Krause, President, Capitol Services, Inc.

Yes, you can’t have it both ways. Or can you? A contractor is having some ‘separation’ anxiety with his RME, while another’s hopeful ambition to ‘raise the roof’ falls flat…

Q: We are an out of State contractor who specializes in Boiler installations. We are applying for a “C-4” (Boiler, Hot Water Heating and Steam Fitting) license. We are having trouble with our business name. The CSLB has indicated it’s too “vague” and also “not compatible with our classification”. Our Head of Marketing wants a name that accommodates both doing work on ethanol plants (boilers, no electricity generation) and photovoltaic plants (electricity generation, no boilers). Our intention is to get both the “C-4” and the “C-46” (Solar) licenses. So, the name is our first issue, but our second question is, can one license accommodate for both classifications, or would the “C-46” necessarily mean a separate license application?

A: Business names have been a hot topic with regards to contractors lately. The CSLB has really been enforcing B&P Code 7059.1 which addresses business names being compatible with the trade they are applying for. Therefore, “vague” business names, or names that imply you are doing something you aren’t licensed for yet (Solar) will cause them to reject it. My recommendation would be to come up with a ‘doing business as’ (dba) that is compatible with the initial “C-4” license you are obtaining. Then once issued you apply to add the “C-46” classification and then you can amend the ‘dba’ name to accommodate both classifications.

Because you’ve never been qualified for a Contractor’s license in CA, each classification will require a separate application. So, you’ll need to wait for the “C-4” license to be issued, and then apply to add the “C-46”.

Q: Our Qualifying Individual is going to be leaving the company soon. I understand that the license belongs to the company, not the Qualifier. Does that mean we automatically retain the license when the Responsible Managing Employee (RME) leaves? If we do need to put someone in his place, does that person have to take the exam, or does the fact that the company has the license waive that requirement?

A: You are correct, the license does belong to the company, so yes, the license does stay with the company if your RME leaves. However, you have 90 days to replace the Qualifier on the license. If the individual replacing your current Qualifier has never been licensed before, then yes, he/she would be required to take the exams. In certain circumstances, a Waiver of the exams may be an option. Please contact me if you’d like further information on this option.

Q: We are a tile roof supplier and we often have customers who offer to allow us to take their old roof tiles to re-sell them as used if we remove them. My boss has frequently done this over the years, but someone recently told him he would need a contractor’s license to do this. The only relevant license I can find is a demo license. Would this be the appropriate classification of license?

A: No. A demolition contractor is designated for contractors who are performing “hard” demolition. Removing roof tiles would be considered “soft” demolition. Roof removal/tear off companies are required to hold a “C-39” (Roofing) classification license. The catch is your Qualifier (which I would assume would be your boss) needs to document at least four years of experience doing roofing work, which would include roof installations. He unfortunately would not likely qualify if he’s only done the removal.

Contractor’s Note: We have a new mailing address below to update your contact files!

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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. Research past columns at www.cutredtape.com.

 

 

 

 

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