October 24, 2012

CSLB Committee Meeting Highlights 10/24/12
We hope that you enjoy the CSLB Committee Meeting Highlights of the October 24, 2012, Enforcement and Public Affairs Committee Meeting in Sacramento. For a downloadable copy in Adobe PDF please click here and save to your hard drive.

Abdulaziz, Grossbart & Rudman


OCTOBER 24, 2012
By Kenneth S. Grossbart
Abdulaziz, Grossbart & Rudman

The Contractors' State License Board held an Enforcement Committee and Public Affairs Committee Meeting at the headquarters in Sacramento on October 24, 2012.


Committee Members Present:

David Dias, Chair; Pastor Herrera Jr.; Matthew Kelly; Ed Lang; and James Miller.



Paul Barnes, a Santa Barbara attorney, addressed the Board on the requirements of an RMO and RME.



Vacancy Update

There are 12 vacant positions in the Enforcement division. Job offers have been made to nine out of the 12 positions.

Consumer Complaint Investigation Highlights

Unlicensed Contractor's Mom Comes to Rescue

A 51-year old unlicensed contractor entered into a contract which was for labor at an hourly rate, not a fixed price. The homeowner's were not pleased and fired the unlicensed contractor. The unlicensed contractor then vandalized the homeowner's car. The homeowner filed a police report for the vandalism and a complaint with the CSLB. The matter was referred to the Los Angeles District Attorney and the unlicensed contractor was charged with vandalism as well as contracting without a license to which he plead no contest. The unlicensed contractor received three years' summary probation, one day in jail and restitution to the homeowner of almost $3,000 for the contracting without a license and three years' summary probation, one day in jail, 15 days community labor, $190 fine and one year of driving restriction for the vandalism charge. His mother paid his fine on his behalf by cashier's check.

The Family that Contracts Together...

There was a dispute between the homeowner and the contractor mostly because the homeowner lost faith in the contractor. The contractor's brother was working on the jobsite as well and brought the homeowner to tears on a number of occasions. The contractor apologized and the CSLB Investigator was able to get the parties to agree to a settlement.

A Million Here, A Million There

This matter included a "cost plus fixed fee contract" between an owner of a worldwide data storage company over a number of years with the costs being reimbursed to the contractor for actual costs of labor and material. It turns out that the contractor was over billing, billing for items unrelated to the project, not paying subcontractors, except for his own entity. The contractor was terminated and the owner had to pay almost $1.2 million so that subcontractors would not file liens and $19 million to finish the project. The CSLB filed an accusation for diversion of funds, fraud and failure to pay subcontractors which the contractor settled and stipulated to license revocation. In addition the District Attorney also filed a criminal complaint for diversion of construction funds and grand theft against Thomas Wurzel and his wife, Beverly Warner. The criminal case is still pending.

Licensee Pleads Guilty to Fraud and Theft

Kevin Piona received over $14,000 from two elderly homeowners for shoddy paving work on their driveways. He has a history of contracting without a license and the CSLB referred the investigation of this report to the District Attorney's Office, which filed criminal charges for elder fraud, grand theft, contracting without a license and excessive down payment and receiving funds in excess of the value of work performed. The unlicensed contractor plead guilty and was sentenced to 45 days in jail and two years' probation as well as having to return the $14,200 to the victims.

CSLB's "Most Wanted" - Convicted and Incarcerated

A former member of the CSLB's "Most Wanted," George Duarte, an unlicensed, repeat offender, was convicted and taken into custody in September of 2012. He had been charged with five counts of contracting without a license, five counts of theft by false pretenses, three counts of grand theft and one count of taking, damaging or destruction of property in commission of a felony. Duarte plead guilty to one count of grand theft and agreed to serve five years in state prison as well as pay restitution to the victims if all other charges were dropped. Duarte will pay over $240,000 in restitution.

Industry Expert Program

This is a statewide pool of licensed tradespeople that are independent consultants, who provide a variety of essential services. The CSLB investigators consult with Industry Experts to:

  • Determine if work performed meets industry standards and/or is performed per plans and specifications;
  • Determine if work is completed per the contract;
  • Assist prosecutors in supporting criminal violations, including grand theft and fraud, as well as estimating the value of work performed by unlicensed contractors; and
  • Assist Enforcement in settling complaints against licensees without legal action, including CSLB-sponsored arbitration and on-site negotiation.

Industry Expert Recruitment Needs

There are 121 Industry Experts contracted with the CSLB that cover 285 license classifications. Because of geographical locations, some Investigative Centers are sorely lacking in Industry Experts for specific classifications. The Fresno Investigative Center is in need of Industry Experts with classifications for C-20 Warm-Air Heating, Ventilating, and Air-Conditioning (HVAC), C-27 Landscaping, and C-47 General Manufactured Housing. The Norwalk Investigative Center is in need of Industry Experts with classifications of C-16 Fire Protection, C-20 HVAC, and C-35 Lathing and Plastering. The Sacramento Investigative Center is in need for Industry Experts with a C-17 Glazing classification. The San Bernardino Investigative Center is in need of Industry Experts in the C-16 Fire Protection and C-17 Glazing classifications. The San Diego Investigative Center is in need of C-16 Fire Protection and C-46 Solar classified Industry Experts. The San Francisco Investigative Center has to fill Industry Expert classifications for C-27 Landscaping, C-47 General Manufactured Housing and C-53 Swimming Pool. The Valencia Investigative Center needs C-20 HVAC, C-27 Landscaping and C-47 General Manufactured Housing classified Industry Experts. The West Covina Investigative Centers needs C-16 Fire Protection and C-17 Glazing classified Industry Experts.

Case Management

Case Management is responsible for processing accusations, citations, appeals of denied license applications, CSLB-sponsored arbitration referrals, and monitors licensees' compliance status with the Board's disciplinary actions.

There has been over $1.4 million in restitution/savings to the public from arbitration. Mandatory Settlement Conferences have collected almost $600,000 in civil penalties and saved the public just over $900,000. Accusations have seen almost $77,000 received in cost recovery.

Lisa Miller-Strunk spoke about her observation of sitting in on a CSLB arbitration and how impressive it was.

Training Update

The Enforcement division's part of the CSLB's Strategic Plan is to create training curriculum for staff that covers basic enforcement procedures, a mentoring program, and specialized training. There has been 12 separate training sessions conducted during 2012. There are three other sessions proposed for the remainder of 2012.

Intake and Mediation Center (IMC) Statistics

In 2012, the Intake and Mediation Center has taken in over $4.3 million in financial settlements.

The IMC has settled 39% of licensee complaints, exceeding the Board's goal by 9%.

The Board's goal of 70% of licensee complaints closed was just barely missed since the IMC is at 69%.

Investigative Center Pending Complaints

Enforcement representatives were expected to close 9 complaints average, per month. They averaged 9.8 complaints per month during the 2012 calendar year.

Aged Cases

The Board's objective is to have 100 or less aged complaints. As of August 31, 2012, there was 95 aged cases statewide.

Swift Statistics

SWIFT got 2,295 complaints, which caused 906 formal legal actions, half administrative and half criminal between January and August of 2012.


The Joint Enforcement Strike Force is a coalition of California government enforcement agencies that work together to combat the underground economy to level the playing field for California businesses. Members include the CSLB, the Employment Development Department (EDD), the Department of Insurance, The Franchise Tax Board, the Board of Equalization and the Department of Justice.

The goals for the strike force are:

  • Eliminate unfair business competition.
  • Protect workers by ensuring that they receive all benefits to which they are entitled by law relating to wages and hours, health and safety, and income replacement.
  • Protect the consumer by ensuring that all businesses are properly licensed and that they adhere to the state's consumer protection regulations.
  • Reduce the burden on law-abiding citizens and businesses by ensuring that all businesses and individuals comply with California licensing, regulatory, and payroll tax laws.
  • Reduce the tax gap by increasing voluntary compliance with the state's payroll tax laws to maximize the state's General and Special Fund revenues.

Construction Enhancement Project

January of 2012 saw the CSLB and the EDD start the Construction Enhancement Project to increase the number of joint investigations and targeting contractors that intentionally evade payroll taxes, licensing and workers' compensation insurance requirements. Their goal was to pair 21 CSLB investigators with 21 EDD agents to target the unlicensed and tax evading contractors by performing 56 inspections per month resulting in 768 tax investigations. These tax investigations yielded about $23 million in tax assessment as well as CSLB disciplinary actions.

Partnering Agency County Task Force (PACT)

PACT launched in January of 2012 in nineteen counties. This teamed 19 CSLB Enforcement Representatives with EDD agents, District Attorney investigators and Building officials to target unlicensed and/or uninsured violators. Their goal is to issue Stop Orders to uninsured employers, increase criminal filings for workers' compensation insurance and licensure violations, reduce fraudulent owner-builder permits and increase the joint enforcement presence within participating counties.

Outstanding Tax and Civil Liability Suspensions

Generally, there is an outstanding liability suspension amount of over $25 million and a penalty recovered amount of over $10 million.

The CSLB provides the EDD access to its licensing system in order share information. This allows referrals by EDD of unresolved tax liability cases to CSLB, which results in automatic license suspension until the outstanding liability is satisfied. From January to September of 2012, the liability suspension amount with the EDD was over $17 million and the tax liability recovered was over $6 million.

The Division of Labor Standards Enforcement and Division of Occupations Safety and Health refer civil wage claim liability cases to the CSLB which results in automatic license suspension until the outstanding liability is satisfied. From January to September of 2012, the Department of Industrial Relations has collected almost $2 million in liability suspension as well as almost $2 million in penalties.

Operation Underground

June saw the CSLB investigators partnering with the Department of Insurance, the EDD and District Attorney investigators to take action against contractors operating in California's underground economy. Sweeps were conducted by more than 100 personnel at suspected illegal construction sites in over 11 counties in the state. These contractors were suspected of:

  • Premium insurance fraud by failing to report any payroll to their workers' compensation insurance carriers;
  • Employing workers after filing a false exemption from workers' compensation insurance; and
  • Employing workers without registering with EDD as an employer and failing to withhold payroll taxes.

This was a two day operation with the following highlights:

  • In Alameda County, investigators issued two citations for WC violations and Stop Orders in Pleasanton. One suspect faces charges for contracting without a license. In Dublin, one was cited for WC violations and received a Stop Order.
  • In Butte County, investigators in Chico opened one insurance investigation, and two contracting citations are pending in Paradise.
  • In El Dorado County, six citations were issued for WC violations, and three investigations and audits were opened.
  • In Kern County, two insurance fraud and two EDD investigations were opened.
  • In Los Angeles County, a contractor was caught in Inglewood, and another in Santa Clarita will face tax audits.
  • In Monterey County, one insurance investigation was opened in Salinas. Three were cited for WC violations in Pebble Beach; one was cited in Carmel for contracting without a license and illegal advertising; and two were cited for WC violations and received Stop Orders.
  • In Riverside County, three contractors face EDD audits.
  • In San Bernardino County, one contractor caught in Ontario received a citation for WC violations and faces an EDD audit; one caught in Chino Hills faces an EDD audit; one contractor at a Fontana jobsite received a citation for aiding and abetting a nonlicensee, who was cited for contracting without a license and failure to carry WC; and one EDD audit was opened in Upland.
  • In Santa Clara County, sixteen EDD audits were opened; one person was cited for WC violations in San Jose; and one EDD audit was opened in Campbell.
  • In Yolo County, investigators issued six stop orders for WC violations and opened six investigations for insurance and tax fraud.

Craigslist Stings

June 2012 saw a multi-state blitz target illegal contractors who utilize craigslist.org for illegal and deceptive Internet advertisements. This sting caused the arrest of 100 suspects in California alone. September 2012, saw another blitz with the help of the National Association of State Contractors Licensing Agencies (NASCLA) as well as many more contracting boards from across the state. This sting saw another 36 individuals arrested in California.

Legislative Highlights

SB 1794 is a new law that authorizes the Employment Development Department to provide new "employee information" to the Joint Enforcement Strike Force on the Underground Economy, the CSLB and the State Compensation Insurance Fund until 2019. The purpose is to aid in prosecuting violations of tax and cash-pay reporting laws. This will help capture a portion of the billions of dollars lost in underreported annual payroll taxes. It becomes effective January 1, 2013.


Lead Source Prioritization

The Committee is requested to review and consider whether the listed lead sources are in appropriate priority order:

  1. Building Officials
  2. Consumers
  3. Industry
  4. Law enforcement volunteer groups

Industry Complaints

The Board approved the Enforcement division's Proactive Enforcement Priority Chart at its September 2012 meeting. However, since that time, the Enforcement division has reprioritized some entries and added or modified some of the listed management controls. Additionally, the priority of "Referral Fees/Kickbacks" has been replaced on the list by "Responsible Managing Officer (RMO) Task Force." The amended "Top 10" list of enforcement priorities is printed on the following page. The Committee is asked to review the attached list, and consider:

  • Does the list accurately reflect CSLB enforcement priorities, and are the issues listed in the proper prioritization?
  • Are the proposed controls described below in the CSLB Enforcement Priorities appropriate in order to appropriately manage the Enforcement division's workload?

CSLB Enforcement Priorities

Priorities/Controls to Manage Workload

1.Unlicensed Practice at Active Jobsites

Complaints are prioritized by unit supervisors based on geographic location and number of employees on site. Site visits will be conducted when appropriate and as resources permit.

2.Workers' Compensation Ins. Violations at Active Jobsites

Complaints are prioritized by unit supervisors based on geographic location and number of employees on site. Site visits will be conducted when appropriate and as resources permit; otherwise, make referral to partnering state agency.

3.Labor/Health and Safety Code (DOSH/DSLE MOUs)

CSLB will only respond if on a sweep with other state agencies or if there's an allegation of unlicensed practice; otherwise, refer to partnering state agency.

4.Building Permit Enforcement

If the building department is cooperative by willing to testify to the permit required and lack thereof:

    • Enforce the Board's zero tolerance permit policy if it is a consumer complaint, and
    • Perform a site visit if work is in progress and resources are available.

5.Responsible Managing Officer (RMO) Task Force

Perform field investigation of corporate/partnership licenses if there is an allegation either that the qualifier is not actively involved or the individual has qualified more than three licenses during the past five years.

6.Public Works Investigations

SWIFT will respond to public works leads when there is evidence of unlicensed and uninsured practice. Otherwise, leads will be referred to the CSLB Public Works Unit, which will request documents from the awarding agency.

7.Illegal Print Advertisements

Process these through the IMC where a warning letter, stop order, telephone disconnect, and/or administrative citation can be issued. The action taken will then be referred to SWIFT for use in future sting operations.

8.Electrician Certification

CSLB will only conduct a site visit to verify certification if the lead includes an allegation of uninsured workers employed by a C-10 contractor; otherwise, the field investigation and subsequent report must be performed by a labor compliance agency.


If there is a health and safety issue or if CSLB is unsure if the contractor is licensed, a site visit may be warranted; otherwise, this will be addressed by IMC or IC staff.

10. Outreach (Licensees)

Public Affairs Office to take the lead. Enforcement division will develop a list of available enforcement representatives to assist PAO when necessary. To minimize impact on enforcement workload, staff will work with EDD to develop an outreach packet to educate legislators, contractors, and consumers about the dangers of the underground economy.



A letter for consumers, warning them of the potential liability they expose themselves to when they repeatedly hire unlicensed operators was discussed. The hope is that the letter will discourage consumers from repeatedly hiring unlicensed operators. The Committee has asked for a revision to the letter.



All peace officers in California are required to complete minimum training requirements established by the California Commission on Peace Officer Standards and Training (POST). Additional training requirements and recommendations have also been established by POST. The CSLB peace officers have attended Specialized Investigator Basic Course (SIBC) at Golden West College which is the only college approved by POST for the SIBC. Golden West is closing the SIBC course for 2013 and this closure may be permanent. This has forced the CSLB to identify appropriate, alternative training for any newly-hired peace officer. POST has recommended that the CSLB send its law enforcement personnel to available POST-certified classes and Module training.

The Enforcement division is requesting that the Committee recommend specific training requirements for CSLB peace officers. Specifically, the Committee is asked to consider minimum training standards for a CSLB peace officer, as follows:

  • After successful completion of a background investigation, candidates may be appointed as a CSLB peace officer upon successful completion of POST-approved PC 832 training.
  • Within the first year after appointment (i.e., during the probationary period), CSLB peace officers must successfully complete either the SIBC Academy, if available, or POST Module III training.
  • Failure to complete these specified training requirements will result in removal from the peace officer position.


The Board established a Qualifier Task Force (QTF) in September 2012, to determine if current licensing and enforcement practices - as they relate to qualifying individuals on licenses - are sufficient for consumer protection. It is unclear if licensees and the general public understand the role and responsibilities of a license's qualifying individual(s), specifically, Responsible Managing Officers (RMOs) and Qualifying Partners.

Specific Qualifier Task Force objectives include:

  • Identifying the scope of the problem
  • Investigating suspect individuals who attempt to qualify multiple licenses to ensure compliance with qualifier duties and responsibilities
  • Exploring legislative and/or administrative remedies

Potential legislative and administrative remedies will be discussed, including the development of a form to be signed by the qualifier of an original license application.



Committee Members Present:

Pastor Herrera Jr., Chair; Joan Hancock; Robert Lamb; and Lisa Miller-Strunk.


Staffing Update

The Public Affairs Office has four full time positions. Two retired annuitants have been laid off and the use of student assistants is over. Recruitment and interviews are in progress for one Information Officer I and another has accepted an offer.

Website Highlights

Website Assistance Project

The Public Affairs Office has been trained to assist the Information Technology staff in coding material for the website and have been helping to get items posted on the website in a timelier fashion.

Application Instructional Video

The staff has completed a tutorial video for filling out an application correctly. Particular attention was paid to the parts of the application where Licensing staff has identified high error rates, such as not including full legal name, incorrect business type, non-disclosure of criminal incident or simply not signing the application.

Social Media

CSLB Twitter and Facebook page continue to gain followers/likes. They are both now over 1,000 likes or followers. Because of staff vacancies, the number of posts have been limited.

Email Alert Feature

May 2012 saw the launch of the email alert feature which allows people to sign up to subscribe for:

  • California License Contractor newsletters
  • Press Releases/Consumer Alerts
  • Industry Bulletins
  • Public Meeting Notices/Agendas

Media Relations Highlights


Media Calls

The Public Affairs Office responded to 27 separate media inquiries from August 16 to October 10, 2012.

News Releases

The Public Affairs Office distributed five different news releases from August 28, to October 10, 2012.

News Conference

A news conference occurred on October 19, 2012, regarding the results of the fall "California Blitz" sting operations.


Industry/Licensee Outreach Highlights

California Licensed Contractor Newsletter

September saw the latest addition of the Newsletter posted online in September.

Industry Bulletins

Bulletins are sent out as-needed when anything important or interesting occurs.

Publication Highlights

CSLB Publications

The "Terms and Agreement (for consumers)" is currently at the printer. The "Stop Order" brochure in Spanish is in review at the Department of Consumer Affairs Business Services Office. The "Asbestos Guide (for consumers)" is in review at the Department of Consumer Affairs Legal Division. The "Commonly Used Codes (for Enforcement staff)" is being printed in-house. The 2013 California Contractors License Law & Reference Book, "Description of License Classification" in Spanish, and the "Sting Brochure" are currently being edited or formatted for production.

Publications in Progress

In addition to those publications that are already in production, the following are in progress:

  • "Terms of Agreement" (English)
  • Asbestos (English)
  • Master consumer publication (new)
  • Master contractor publication (new)
  • Sting brochure (new)
  • California Licensed Contractor newsletter (Fall 2012 Edition)

Community Outreach Highlights

Senior Scam StopperSM Seminars

Seniors are vulnerable and very often taken advantage of by unlicensed or unscrupulous contractors. The Senior Scam StopperSM seminars are offered throughout the state in cooperation with legislators, state and local agencies, law enforcement, district attorneys and community organizations. These seminars not only provide information about construction related scams and how seniors can protect themselves when hiring contractors, but also present information on identity theft, auto repairs, investments, etc.

A promotional/informational brochure and letter was sent to each legislator in September of 2011 about the Senior Scam StopperSM seminars. Because of this, there has been increased interest in holding more of these seminars. Even though there are still travel restrictions in place for all non-enforcement activities (including Senior Scam StopperSM seminars), the CSLB has put in for travel exemptions in order to deliver these seminars. So far, all requests have been approved.

Speakers Bureau

CSLB speakers continue to be in demand. Since more requests are for enforcement-related topics, most of the requests are being accommodated by utilizing Enforcement division staff. More than two dozen presentations or appearances have either been made or have been scheduled since the beginning of 2012.



Strategic Plan Objective

The Public Affairs Committee Strategic Plan calls for CSLB's Public Affairs Office to develop a contractor outreach program. The objective received Board approval on April 17, 2012.

Program Goal

The goal of the contractor outreach program is two-fold:

  1. Provide licensees with tools they can use to educate consumers/potential clients; and
  2. Provide licensees with resources that will help ensure that they are aware of laws and best business practices.

This program will encourage licensees to share ownership of CSLB's message that promotes the value of hiring a licensed contractor, and will further inform consumers about the risks they take when either hiring an unlicensed operator or a licensee who is cutting corners by operating in the underground economy. This will give licensees who are following the laws a more competitive business platform and help CSLB achieve its consumer protection goal.

By participating in consumer education efforts, and by receiving information on laws and best business practices, licensees also would have a greater understanding of the direct benefit they receive from their license fee.

Approved Campaign Elements

  • Conduct Research
    • Determine most wanted/needed materials
    • Determine best way to reach licensees
  • Develop (update) Print/Web Materials
    • Including new consumer & contractor booklets
      • Formats optimized for printing CSLB website
      • Opportunity to add contractor name/license number on materials
    • Consumer victim stories
  • Develop Online Contractor Resource Center
    • Make resources available in a centralized website location
  • Develop "State of California Licensed Contractor" Logo
    • Use to promote "State Licensed Contractor"
  • Develop Videos
    • Contractor can embed on their own website
      • Focus on consumer education material
    • Focus on communication w/licensee (maybe monthly video w/highlights)
    • Industry groups
      • Monthly video noted above
  • Other Web Elements
    • Development of monthly topics
    • Live Web chats
    • Development of Opt-In "Find a Contractor" feature
      • Site where consumers would go to find list of licensees
      • Search either by location or license classification

Licensee Survey

The Public Affairs Office created a short online survey to help determine what type of educational materials licensees believed would be beneficial and to gauge the interest in creating a logo those licensees can use to promote themselves as a state-licensed. The survey was promoted online, in a printed version of the California Licensed Contractor newsletter (distributed to all licensees), with an email alert to 97,000+ addresses, and via CSLB's social media channels (Facebook & Twitter). As of October 10, 2012, the survey has been taken 1,168 times.

Licensee Survey Results

1.What license classification do you hold?

52.3% answered 'B - General Building.'

12.3% answered 'C-10 Electrical.'

8.1% answered 'A - General Engineering.'

7.3% answered 'C-36 Plumbing.'

2.What year did you first become licensed?

31.3% answered '2008-2012.'

19.3% answered '2003-2007.'

11.3% answered '1998-2002.'

3.What type of business do you operate?

60.6% answered 'sole ownership.'

33.9% answered 'corporation.'

3.5% answered 'partnership.'

2% answered 'LLC.'

4.What is your business zip code?

26.8% answered '92000-92999' (which covers San Diego and Orange


19.8% answered '95000-95999' (which covers Alameda, Santa Clara, Sacramento, Stanislaus, San Joaquin, Sutter, Butte, Del Norte and Humboldt Counties)

16% answered '91000-91999' which covers Los Angeles and San Diego Counties)

5.How has your business performed in the past 12 months?

29.8% answered 'Down more than 25%.'

28.4% answered 'Even.'

12.2% answered 'Up 10%.'

6.What is the main reason for your increase or decrease in business? (choose up to three).

45.7% answered 'More competition from unlicensed contractors.'

44.7% answered 'Less jobs available to bid.'

25.9% answered 'Other costs of operating business'

13.5% answered 'Cost of workers' compensation insurance.'

7.What is your typical type of client?

73.3% answered 'Residential.'

8.When you present bids to potential clients, how important is it for you to tell them that you are a state-licensed contractor?

75.9% answered 'Very important.'

13.6% answered 'Moderately important.'

9.How important does it appear to your potential clients that they hire a licensed contractor?

42.8% answered 'Very important.'

30.2% answered 'Moderately important.'

10. What are the three main reasons you get new jobs?

73.3% answered 'Your reputation.'

44.6% answered 'You are a licensed contractor.'

44.4% answered 'You were referred by family or friends.'

43% answered 'You gave a professional and thorough presentation.'

11. What are the three main reasons you don't get new jobs?

75.3% answered 'You didn't have the lowest price.'

63.4% answered 'Potential client hired an unlicensed operator.'

28.2% answered 'They went with someone referred by family or friends.'

19.6% answered 'Job is too big for you.'

12. Are you aware that the CSLB has a variety of educational materials available to use when presenting bids to potential clients?

58.9% answered 'No.'

13. If made available, which consumer education materials would you use when presenting bids to potential clients?

67.8% answered 'Checklists of questions consumers should ask each


56.7% answered 'List of consumer tips about hiring a licensed contractor.'

51.5% answered 'Brochure that explains the skills and abilities that enabled you to become state licensed.

Other responses were:

    • Why building permits are worth the cost
    • How to compare bids
    • Liabilities of hiring unlicensed contractors
    • Issues when selling home if work done by unlicensed contractors
    • Title 24 upfront costs vs. real cost increases
    • Explain current lien laws
    • Difference between a bid and estimate
    • Workers' compensation and general liability insurance
    • Why it costs more to hire a licensed contractor
    • Why consumers should look at more than price
    • Necessary forms to give consumers

14. If the CSLB created a state contractor-specific logo that you could include in your marketing materials, rate your likelihood of using it.

53.5% answered 'Extremely likely.'

26.8% answered 'Moderately likely.'

Next Steps - Timeline

  • Determine print materials to be created
  • Deadline: December 2012
    1. Checklist of consumer questions to ask during bid
    2. Why you should hire a state-licensed contractor
    3. Building permit information
    4. Contractor insurance and bond information
    5. Contractor reference form
  • Develop State of California Licensed Contractor logo
  • Deadline: January 2013
  • Build website feature to display new/updated materials
  • Deadline: late February 2013
  • Launch new contractor collateral on CSLB website
  • Deadline: March 2013
  • Determine other program elements
  • Deadline: May 2013
    1. Print materials for licensee website
    2. Video communications with licensees
    3. Live Web chats on CSLB website
    4. Opt-in "Find a Contractor" feature
  • Determine if Outside Contracts are Needed
  • Deadline: June 2013



December 11, 2012 in Norwalk

February 26, 2013 in the San Francisco Bay Area

April 23-24, 2013 in Riverside

June 11, 2013 in Orange County

Abdulaziz, Grossbart & Rudman

provide this information as a service to its friends & clients and it does not establish an attorney-client relationship with the reader. This document is of a general nature and is not a substitute for legal advice. Since laws change frequently, contact an attorney before using this information.

Abdulaziz, Grossbart & Rudman

(818) 760-2000 FAX (818) 760-3908