Bill Text: CA AB2622 | 2023-2024 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Contractors: exemptions: work and advertisements.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Enrolled) 2024-08-28 - Enrolled and presented to the Governor at 4 p.m. [AB2622 Detail]

Download: California-2023-AB2622-Introduced.html

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CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill

No. 2622

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Introduced by Assembly Member Juan Carrillo

February 14, 2024

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An act to amend Sections 7027.2 and 7048 of the Business and Professions Code, relating to contractors.

LEGISLATIVE COUNSEL'S DIGEST

AB 2622, as introduced, Juan Carrillo. Contractors: exemptions: advertisements.

Existing law, the Contractors State License Law, establishes the Contractors State License Board within the Department of Consumer Affairs and sets forth its powers and duties relating to the licensure and regulation of contractors. Existing law makes it a misdemeanor for a person to act as a contractor without a license, unless exempted. Existing law also makes it a misdemeanor for a person to advertise for construction work or work of improvement without a license. Existing law exempts from the licensing requirement a work or operation on one undertaking or project by one or more contracts, if the aggregate contract price for labor, material, and all other items is under $500, except as specified. Existing law also authorizes a person who is not licensed to advertise for construction work or work of improvement if the aggregate contract price for labor, material, and all other items on a project or undertaking is under $500 and the person states in the advertisement that the person is not licensed.

This bill would expand the licensing exemption and the advertisement authorization by increasing the maximum aggregate contract price to $5,000 and would make other nonsubstantive changes.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Section 7027.2 of the Business and Professions Code is amended to read:

7027.2.

 Notwithstanding any other provision of this chapter, a person who is not licensed pursuant to this chapter may advertise for construction work or a work of improvement covered by this chapter only if the aggregate contract price for labor, material, and all other items on a project or undertaking is less than five hundred dollars ($500), five thousand dollars ($5,000), and he or she the person states in the advertisement that he or she the person is not licensed under this chapter.

SEC. 2.

 Section 7048 of the Business and Professions Code is amended to read:

7048.

 (a) This chapter does not apply to any a work or operation on one undertaking or project by one or more contracts, the if the aggregate contract price which for labor, materials, and all other items, is less than five hundred dollars ($500), five thousand dollars ($5,000), that work or operations operation being considered of casual, minor, or inconsequential nature.

This exemption

(b) This section does not apply in any a case wherein the work of construction is only a part of a larger or major operation, whether undertaken by the same or a different contractor, or in which a division of the operation is made in contracts of amounts less than five hundred dollars ($500) five thousand dollars ($5,000) for the purpose of evasion of this chapter or otherwise.

This exemption

(c) This section does not apply to a person who advertises or puts out any a sign or card or other device which that might indicate to the public that he or she the person is a contractor or that he or she the person is qualified to engage in the business of a contractor.