We all lost something during the Pandemic shutdown, but recovery might be taxing! I ‘venture’ an expert answer that might surprise you, wish a retiring contractor well in retirement and outline the rule on ‘oversight’ for an RME…
Q: I let my license expire at some point during the pandemic. It’s a corporation and when I look it up it on the CSLB’s website it says the Corporation status at the Secretary of State needs to be returned to Active to renew the license. The Corporation status with the SOS says “FTB suspended”. Do you know what I need to do?
A: “FTB suspended” means the Franchise Tax Board has suspended the entity either due to failure to pay taxes or failure to file taxes (or both). If you file/pay all taxes due and file a revivor with the SOS, you will then be able to renew the Contractor’s license.
Q: We are going to be starting a new JV in California and I wanted to check if by chance you know the bidding requirements. Both entities are licensed in CA and are submitting an application as the JV. Can we submit the bid in CA without the Active license? My understanding was we just cannot start any labor until it is processed and approved?
A: Yes you can submit a bid without the active license in hand, but you are correct, you cannot start any work under the JV until it is officially licensed.
Q: We are a part of the Union. We are licensed with the “C-36” and “C-34” classifications. My husband is the Qualifier, and he is ready to retire and take advantage of some the Union’s benefits. We need to have him off the license completely by the end of this month. Our son has worked for the business for the past twelve years. He had completed his Journeyman training and Apprenticeship program and we have plenty of other documentation showing he has many years of experience doing plumbing work. In your experience, is testing always required or is there a chance he can waive the exams based on his experience?
A: It sounds like he will be able to request a Waiver of the exams based on B&P Code section 7065.1 which allows for it if the individual has worked as a Supervisory Employee for the five out of the last seven years. We can file to remove your husband from the license simultaneously.
Q: We are an out-of-state company with a CA Contractor’s License. Our Responsible Managing Employee (RME) just informed us he is leaving to go work for another business. We contacted our attorney to help us with an agreement for the replacement RME we are hiring, and he suggested we contact you to find out specifically what the CSLB requires with regards to duties for an RME. Do they need to be showing up on site to a certain percentage of our jobs?
A: There is no rule in place to specify a certain amount of projects which an RME is required to be on site. The first main requirement of RME’s is they must work at least 32 hours per week or 80% of the Company’s operating time. Beyond that, in general the CSLB requires that RME’s are overseeing projects and providing direct supervision and control for the work being performed. While space is limited here you can always call for more information.