Monday, Sept. 2, 2024 | 2 a.m.
A page on the Nevada Contractor Board’s website lists unlicensed contractors who the board says are repeat offenders in scamming homeowners. A head shot is included.
The board says these bad actors have left projects unfinished, or finished incorrectly, creating more problems. They’ve overcharged. They’ve preyed on senior citizens.
And, as the online listing shows, some have been arrested for their crimes and face felony charges.
The Sun sat down with David Behar, executive officer of the board, to discuss the agency’s push to regulate the industry.
Let’s start with that online listing of unlicensed contractors. Detail how that idea came about and the feedback that’s been received?
When I began at the board (in late 2022) I quickly learned that we were receiving complaints against unlicensed contractors who were either repeat offenders or someone that was engaging in particularly egregious conduct against consumers. As a result, I felt we needed to do more to warn members of the public. I worked with our investigative team to develop a public platform on our website to easily display photos and a summary of these offenders and their illicit activity. This approach has been incredibly well received by both members of the public and industry licensees. Additionally, numerous individuals who have found themselves on this list have contacted us to desperately try and have themselves removed.
How many complaints does your office receive annually?
Our office receives approximately 1,900 compliance and 700 criminal complaints annually between our two offices in Las Vegas and Reno.
How many of those equate to an instance where someone was taken advantage of?
A significant number of our complaints center around activity that involves unlicensed work, abandonment, fraud, theft, contractors working outside the scope of their licenses, and misrepresentations.
What’s the investigation process like?
Matters involving licensed contractors are channeled to a compliance investigator and unlicensed complaints get assigned to a criminal investigator. Investigators work with the complainant and respondent to try and resolve matters in a timely manner through interviews, jobsite visits, a review of documents and contracts, and other investigative techniques. Based upon the individual circumstances of the complaint, the matter can result in a variety of outcomes ranging from a simple resolution, a Notice to Correct certain work, the issuance of an administrative citation, a board hearing in front of an administrative law judge, or even criminal charges being filed.
When does it rise to filing charges?
A case may be forwarded for criminal prosecution if it meets certain criteria outlined under our regulatory authority such as fraud, theft or unlicensed work. Based upon the individual circumstances of a case, criminal charges can be filed that range from misdemeanors to multiple felonies.
I understand there’s a court specifically for contractor complaints, and that’s busy.
As part of our disciplinary process, some cases may rise to the level of a board hearing. In these instances, a case is heard in front of an administrative law judge at the board, where both the complainant and respondent present their case. A decision and order is then issued on the matter by the judge.
I assume some contractors accused of poor work are contrite and fix the problem.
Many contractors resolve issues quickly once a complaint is filed against them for poor workmanship because failure to do so could result in potential disciplinary action being taken against them.
How common is that?
Most respondents take pride in their work and want to resolve matters in a timely manner. Our investigative staff works to encourage this process in a fair and unbiased way through the guidance of our regulatory authorities and industry standards.
I didn’t realize there was a fund construction companies pay into that’s used to help residents who’ve been taken advantage of.
The Residential Recovery Fund is paid into by licensed contractors and is designed to assist homeowners who have experienced losses. Claimants are encouraged to explore other avenues for recovery, such as surety bonds or cash bonds, before seeking assistance from the fund. The fund does not guarantee the recovery of the entire loss. If a claimant has already received compensation from other sources, the fund will deduct that amount from the claim and pay the difference. The fund is available exclusively to homeowners of single-family residences who meet the following criteria:
— They have suffered actual damage(s).
— They have exhausted all other means of recovery.
The fund is not available to homeowners who have hired unlicensed contractors or those who do not reside in single-family residences.
It pays up to $40,000, right?
Qualified individuals can receive up to $40,000. Last year the fund paid more than $1 million to eligible homeowners. This remedy is exclusive to Nevada and has helped a significant number of homeowners since its inception.
How did this job find you?
My prior history in federal law enforcement afforded me the opportunity to conduct investigations and connect with individuals across a broad range of industries. When an investigative opening presented itself, it allowed me the opportunity to utilize my leadership and investigative skills while continuing to work in a capacity that protected the public through this board’s mission.
Give some pointers for homeowners looking to hire a contractor.
We strongly encourage anyone who is considering hiring a contractor to first review our newly updated website. It contains an array of extremely helpful resources such as the ability to quickly verify a contractor’s license(s), monetary limits, prior discipline, and authorized scope of work. We recommend that homeowners always attempt to obtain at least three bids, request a schedule of payments, review all language in a contract and never pay more than the required deposit before beginning work, which is $1,000 or 10% down, unless the contractor has a consumer protection bond.
How can residents check if a contractor is licensed?
Go to nvcontractorsboard.com and click the verify licensed contractor button.
Some workers have a number painted on their truck, but who knows if that’s accurate.
All licensed contractors in Nevada are required to have a contractor’s license, which can easily be verified on our website or through our mobile application. Our license numbers all start with 00 and then have a 5-digit number after them. A business license is different from a contractor’s license.
What’s the process look like to get licensed?
The procedures for obtaining a license are easily accessible by either visiting one of our offices in person, or by accessing this information through our online website or mobile application. Our licensing staff has done a tremendous job of streamlining this process for anyone looking to become a licensee and has created a step-by-step outline of what requirements are needed to include, work experience, financial information, a Nevada state business license and ID, and the completion of background disclosure requirements.
Is it costly?
The fee is $300.
How many licensed contractors are there statewide?
Approximately 18,000.
I have a handyman who frequently comes to the house. One day, he built a desk. Another time he fixed a drawer that came off its hinges. How is licensing different for a handyman?
The handyman exemptions as per NRS 624.031 are outlined in our statute. Most notably, these exemptions define situations where a contractor’s license may not be required under specific circumstances and conditions outlined in the law. The most common include work to repair or maintain property valued at less than $1,000, unless certain conditions apply (e.g., building permit required, type of work, contractor’s license). A handyman can also not perform any work that requires a permit or involves electrical, plumbing, HVAC, refrigeration and fire protection.
Legally, what’s my responsibility as a consumer when hiring a contractor?
It is the consumer’s responsibility to verify a license, review contract language, request a list of subcontractors that may be utilized on a project, and manage a schedule of payments.
Is it on me to check their credentials?
Ultimately it is the consumer’s responsibility to do their homework and verify that before hiring a contractor you check their license, insurances and prior history.
Many people are terrified when a worker comes to the house because of the unexpected pricing. Does the board have a set of prices, or a price range, on charges?
The board does not get involved in pricing but would again recommend that consumers get multiple bids on a project to assure the price they are getting quoted is in line with other companies that do comparable work. They should be wary of anyone offering discounts that force them to quickly sign a contract to avoid missing out on better prices.
If residents feel like they’ve been taken advantage of, what should they do?
You have up to four years to file a compliance complaint and two years for a criminal complaint.