Getting Your Contractor’s License: Navigating the Application Process

Thu, Jun 22, 2017 at 9:20AM

Grant Dostie, Attorney, Trent Cotney, P.A.

As construction continues to increase across the state of Florida, so too does the amount of unlicensed contracting. Each year thousands of property owners and businesses enter into agreements with unlicensed contractors.

Unlicensed contractors do not have to undergo the examination process, background checks, pay license fees, obtain bond protection, and most likely do not have the proper insurance. Removing these costs makes it easy to undercut the licensed competition. However, they still risk criminal and civil penalties.

But what is keeping these people from getting their license? While some may not be eligible due to lack of experience or criminal backgrounds, most are simply just intimidated by the process. Florida has strict licensing laws when it comes to contractors, which at first glance may be overwhelming. However, the process of getting one’s license is not as difficult as one might think.

There are two types of contractor’s licenses: certified and registered. A registered license permits a contractor to work within the local jurisdiction where a licensee holds a certificate of competency issued by the jurisdiction. Those that may not be permitted to
receive a certified license may otherwise be qualified for a registered license. Each jurisdiction has different qualifications for licensure so make sure to check with the specific county licensing agency. Many potential contractors are unaware of the option to receive a registered license despite it being a valid contractor’s license. This article will focus on the application process to receive a certified license.

A certified license permits a contractor to contract in any jurisdiction in the state. There are two divisions of certified licenses issued. Division I licenses includes general, building and residential and Division II includes the other trades.

Any person 18 years of age or older, meeting the requirements is eligible to submit an application with the DBPR. The Construction Industry Licensing Board permits a broad range of experiences that will enable a potential licensee to qualify.
■ Four-year construction-related degree from an accredited college (equivalent to three years’ experience) and one year proven experience applicable to the category for which you are applying.
■ One-year experience as a foreman and not less than three years of credits from accredited college-level courses. One-year experience as a workman, one year proven experience as a foreman, and two years of credits for any accredited college level courses.
■ One-year experience as a worker, one-year experience as a foreman, and two years of credits from accredited college-level courses. Four years’ experience as a workman or foreman of which at least one year must have been as a foreman.
■ Two years’ experience as a worker, one-year experience as a foreman, and one year of credits from accredited college-level courses.
■ Four years’ experience as a worker or foreman of which at least one year must have been as a foreman.

Basically, you must have at least one-year experience as a foreman. The other requirements are based on combinations of college credits and or work experience. However, this is not an exhaustive list and you may still qualify by other means.

When completing an application, you must provide your employment history to prove you meet the experience requirements. This includes stating job specifics as well as listing the license number and contact information of the qualifying contractor or employer.

The DBPR does require an active contractor to have at least the minimum general liability insurance. General and building contractors must have $300,000 bodily injury and $50,000 property damage. All other license categories must have $100,000 bodily injury and
$25,000 property damage.

An applicant must also establish financial responsibility and stability. This can be shown by submitting a credit report containing a credit score of 660 or higher and have no unsatisfied judgments and liens. If an applicant does not have the required credit score, then the financial stability requirement may be met by providing a bond or irrevocable letter of credit from a bank authorized to do business in the State of Florida. With proof of completion of an approved 14-hour financial responsibility course, the bond or letter of credit amount must be $10,000 for Division I and $5,000 for Division II. If no course has been completed, then the amounts are
$20,000 for Division I and $10,000 for Division II.

A person may take the licensure examination prior to having the required experience. However, a license will not be issued until all requirements are met. The Division I exams have three parts; business and finance, contract administration, and project management. The Division II exams have two parts; business and finance, and trade knowledge.

All potential licensees must take the CILB Business and Finance exam. A candidate must achieve a score of at least 70 percent in order to pass the examination. This is a computer based exam and is offered at many locations throughout the state.

The trade exam will correspond with the licensure you are seeking. Division I, Air A, mechanical, and plumbing exams are only offered six times a year at specific locations. All other licenses are offered as computer-based testing.

A candidate must pass all parts of the examination within four years of the first exam scheduled. You are permitted an unlimited number of attempts within the four years, subject to the 21-day waiting period per computer based tests and the limited test dates for non-computer based tests.

It should be noted that all the exams are open book. This means you may bring approved materials into the exam with you. Nobody enjoys taking an exam but do not let this deter you from getting your license. Since you can use the books and materials, you have the ability to find every answer asked on the exam.

In summary, to become a licensed, certified contractor, an applicant must meet experience requirements, obtain general liability coverage, demonstrate financial responsibility, and pass all parts of the exams. Although navigating the application requirements may seem daunting at first, this article should help guide you through the process to ultimately become a licensed roofing contractor.

FRM

Author’s note: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.

Grant Dostie is a Certified Residential Contractor and lawyer at Trent Cotney, P.A. Trent Cotney is Florida Bar Certified in Construction Law and General Counsel and a director of the Florida Roofing & Sheet Metal Contractors Association (FRSA). For more information, contact the author at 813-579-3278 or go to www.trentcotney.com.


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