Speaking for Nevada - January 2006

Nevada State Contractors Board

Helping Improve Home Improvements

by Margi Grein

Q: What services does the Nevada State Contractors Board offer to help the average citizen in Nevada?

Whether a consumer is contemplating major or minor repairs to a residence including painting, installing a fence or driveway, plumbing or electrical repairs, installing a swimming pool or spa, roofing or remodeling, the Nevada State Contractors Board has information to help make the process successful.

By making a telephone call to one of the board’s offices or visiting the Web site at nscb.state.nv.us, a consumer can obtain the license status of a contractor and other helpful information concerning a homeowner’s rights and responsibilities. A "Project Management Packet" may be obtained by contacting either of our offices. Included in the packet is an overview of Nevada law, required contractor disclosures, a consumer checklist and tips for ensuring a successful project.

The State Contractors Board, established by the Nevada Legislature in 1941, has the responsibility to promote quality construction by licensed contractors through a regulatory system designed to protect the health, welfare and safety of the public.

Nevada law requires all contractors to be licensed by the State Contractors Board. Licensed contractors have met experience and examination requirements, have established financial responsibility and are required to maintain workers’ compensation insurance and post bonds. Swimming pool and spa contractors may also be required to maintain a consumer protection bond for homeowners’ protection. Licenses are limited to specific trades and include a monetary limit for each project.

To act in the capacity of a contractor without a license is a crime. Hiring an unlicensed contractor may place a consumer in a precarious position. A contract with an unlicensed contractor is unenforceable. In addition, liability issues can arise and if there is a problem with the quality of work or failure to complete the job, the homeowner has little recourse if the contractor is unlicensed.

The board offers a complaint process for homeowners who have engaged a licensed contractor and are experiencing problems that cannot be resolved. An investigator assigned to evaluate the situation can request appropriate corrective action. Failure to comply with a "Notice to Correct" issued by the investigative staff subjects a contractor to disciplinary action by the board. The board has several options for disciplining an errant contractor, including directing the contractor to repair the work, ordering payment to the homeowner, hiring another contractor to complete the job, fines, suspension or revocation of the contractor’s license.

In addition to the complaint process, the board responds to questions from homeowners or contractors regarding constructional defects.

The board also administers the Residential Recovery Fund established by the 1999 session of the Nevada Legislature. The Recovery Fund provides a mechanism for homeowners to recover certain losses up to $35,000 if they are harmed by a licensed residential contractor performing construction, remodeling, repair or improvement on a single-family residence. The law applies only to work performed by licensed contractors.

As a public service, the Contractors Board offers consumer outreach programs to the general public, senior citizen groups, law enforcement organizations, fraternal organizations and industry associations to disseminate information concerning the services offered by the Nevada State Contractors Board and provide tips to protect our citizens from the tactics of unlicensed or unscrupulous contractors. A proactive enforcement program has been implemented to curb the proliferation of unlicensed contractors and a business assistance program established to offer classes to individuals interested in obtaining a contractors license.