Nevada Contractor License Applications & CA Partnership Licensing

We don’t think too much about government bureaucracy until something goes wrong. That’s usually when the complaints begin. In technology, the rule is ‘garbage in, garbage out’, because computers only know what they are told. You can’t fault government workers who must work with what they are given. Finally, some potentially troubling news from Nevada for contractor’s looking to become licensed in that state…

Q: Due to a mix up a few years ago, our Partnership license shows me as the Qualifying partner. It was supposed to show my corporation as the Partner. I want to fix this problem by filing a new Partnership application. I called the State Board and they said I might not be able to since I am listed on other licenses. Do you think there will be any difficulties making this switch? If not, can you tell me why?

A: You bring up two important topics. The first relates to applying for a Partnership license; the second pertains to how many licenses you can Qualify during a one-year period.

I have talked to other contractors that have experienced the same “mix-up” you describe; however, I don’t believe it happens too often. When it does occur, it is usually due to a misunderstanding regarding what information the State is looking for- combined with a poorly constructed State application for some General or Limited partnerships. When applying for a Partnership license, completing the application can be confusing. For instance, if the “partners” are corporations or LLC’s, you must list these in addition to the Officers or members of each entity. How you list them and in what order is critical. My best guess is that when the Board processed your prior application they assumed you were the Qualifying partner rather than an Officer of the corporation.

Although you want to “switch” to the correct structure, you are going to encounter a problem. As we discussed, you presently qualify three licenses (including this Partnership). That means that even if you remove yourself from one of these licenses’ today, you’ll need to wait a full 12 months before the CSLB will allow you to act as a Qualifier on another license. Code Section 7068.1(d) states that a “qualifying individual may act as the qualifier for no more than three firms in any one year period. This “rule of three” often trips up legitimate contractors like you, although this was not its original intent.

The CSLB requested this rule about 20 years ago to deal with a few companies that were abusing the system. These companies were “hiring out” Qualifiers’ to get licenses, and sometimes used the same Responsible Managing Officer (RMO) on a dozen or more corporations over a short period of time.

Q: I’m looking to apply for a contractors’ license in Nevada. Do they have the same experience requirements as CA? I only got my license here a year ago, so I know I’ll need to take the test. I look forward to your answer.

A: Thank you for your correspondence. It’s nice to see that you used our new email Contact page at cutredtape.com.

As you know, CA requires 4 years full-time experience at a journeyman level or above. This experience must have been during the past 10 years. In NV, their web site also indicates “you must have at least four years of experience to qualify…at a journeyman level or as a foreman, supervising employee or contractor”. What is not evident is their requirement that this experience have been within the past ten years AND, as Capitol Services was just told by a Henderson, NV Contractors Board licensing analyst, obtained during a CONSECUTIVE four-year period. Since the Reno and Henderson offices have different processing standards, this “consecutive year” requirement may not be statewide. I’ll update you on this ‘new’ policy when we learn more.

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