California contractors, did you know there are four new laws that went into effect January 1, 2024, that may affect your business? The Contractor State License Board (CSLB) has new requirements for licensees to obtain or renew their license. Check out Business Consumer Alliance’s (BCA) breakdown of the 2024 updates below, along with links for more information on the each bill.
Contact Updates
CSLB licensees and applicants must provide an email address, if available, when they obtain and renew licenses according to Senate Bill No. 630. The email addresses are not subject to disclosure. The bill also authorizes the register to automatically reimpose license revocation when probationary conditions placed on a license are not met.
Workers Compensation
Under Assembly Bill No. 336, workers with a workers’ compensation policy must provide the top three workers’ compensation classification codes on their workers’ compensation policy when they renew their licenses. The CSLB will post the codes on the license lookup webpage. While licenses won’t be renewed without the codes, the bill allows for retroactive renewal if the licensee provides the codes within 30 days after receiving notice of the denial.
Subcontractors
Specialty contractors are prohibited from subcontracting with two or more contractors in the same classification on the same jobsite unless the subcontractor has employees who perform the work in the relevant classification or are party to a collective bargaining agreement. According to Assembly Bill No. 1204, violations of this law are cause for disciplinary action.
Unlicensed Activity Penalties
Lastly, Senate Bill No. 601 increases the statute of limitations to three years for misdemeanor violations by a licensed contractor for allowing an unlicensed person to use their contractor license. It also requires courts to assess the maximum civil penalty for specified home improvement contract violations in declared disaster areas.
If you’re a contractor or know a contractor, make sure to check out the many benefits of BCA membership. We offer a host of services to help businesses, including contract assistance, help with human resource issues, a contractor match program, and more. Visit our website to schedule a free consultation today. Follow BCA on Facebook to stay updated on scam alerts, consumer tips, and trending industry topics.
About Business Consumer Alliance
Business Consumer Alliance (BCA) is a non-profit company that started in 1928. The broad purpose of BCA is to promote business self-regulation. BCA's mission is achieved by assisting consumers in resolving complaints with businesses and using that complaint information, along with other relevant information such as customer reviews, to forecast business reliability. With community support, BCA can identify trustworthy and ethical businesses and warn the public to avoid unscrupulous businesses whose purpose is to defraud the marketplace. BCA also helps businesses promote themselves by providing services and tools to protect their business and reach out to their customers. BCA obtains its funding from member businesses who support the mission and purpose of the organization and who agree to abide by high standards of ethical business practices.