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License Fees to Increase July 2011

Beginning July 1, 2011, a new license fee structure becomes effective that will also apply to all fees associated with first-time applicants and certificates.

CSLB fees have been kept below their statutory maximum and have not been increased since 1993, despite reduced license revenue levels that have declined since 2007.

CSLB is entirely funded from application, licensing, and renewal fees combined with fines and penalties, and interest earned on its unexpended fund balance. CSLB fee increases will help generate sufficient revenue to maintain current service levels in licensing and enforcement. This fee increase also ensures that contractors will be licensed quickly and play an important role in California's economic recovery.

For a contractor who will be renewing an existing license on time, the increase will be $60 over the current fee level. A contractor license is renewed every two years, so the increase amounts to only $2.50 per month. The cost increase for an applicant for a new contractor license (who does not need to retest) amounts to $80 over existing fee levels (an increase of 20 percent).

The costs of contractor licenses in other states are typically higher than California. CSLB believes the increase in fees is the best alternative in order to avoid major reductions in proactive enforcement (unlicensed activity and the underground economy) and maintain timely processing of license applications and renewals. CSLB will be working to expand its credit card payment program to make fee payments more convenient.

The increases by fee and percentage are noted in the following table:

2011 CSLB Fee Increases
Fee Current Amount New Amount Increase Percent Increase
Application for Original Contractor License $250.00 $300.00 $50.00 20%
Application to Add a Supplemental Classification or to Replace the Responsible Managing Officer or Employee on an Existing License $50.00 $75.00 $25.00 50%
Rescheduling an Examination $50.00 $60.00 $10.00 20%
Initial License Fee $150.00 $180.00 $30.00 20%
Renewal - Contractor License (Biennial) $300.00 $360.00 $60.00 20%
Renewal - 4-Year Inactive License $150.00 $180.00 $30.00 20%
Reactivate Contractor License $300.00 $360.00 $60.00 20%
Home Improvement Salesperson (HIS) Registration Fee $50.00 $75.00 $25.00 50%
Asbestos Certification Fee $50.00 $75.00 $25.00 50%
Hazardous Substance Removal Certificate $50.00 $75.00 $25.00 50%
Delinquent Renewal - Contactor License /1 $150.00 $180.00 $30.00 20%
Delinquent Renewal - 4-Year Inactive License /1 $75.00 $90.00 $15.00 20%
Delinquent Renewal - HIS Registration /1 $25.00 $37.50 $12.50 50%
/1 B&P Code Section 7137 (f) sets the delinquency fee as a percentage of the applicable renewal fee: "The delinquency fee is an amount equal to 50 percent of the renewal fee, if the license is renewed after its expiration."

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