Georgia Construction and Licensing Law for Residential Contractors, Specialty Contractors and Home Owners

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Repair Professional / Handyman Exemption
 
The repair rule (Rule 553-8.01) was initially created pursuant to OCGA 43-41-17(g) pertaining to repair work.  The rule is somewhat outdated as it was created before the 2007 amendments and seems to incorporate the old concepts pertaining to specialty contractors. This rule has not been updated since the 2006 and 2007 legislative changes.  The rule would not seem to be applicable to repair of work of specialty contractors as currently written but there may be other interpretations by the Board.
 
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The Current Rule (as of 2007)
The rule provides that a person offering or contracting to perform or undertake owner repair work may do so without a license, provided that the person performing the repair work disclosed to the owner that the person does NOT hold a license and that the work does NOT affect the structural integrity of the property.


By rule, the Board has defined “repair” to mean fixing, mending, maintaining, replacement or restoring proper to good condition. Further:

  • The person must disclose in writing that the person/entity is NOT licensed as a contractor
  • The work cannot entail the delegation, assignment or engagement of another (other than employees) to supervise, manage or oversee the performance of work
  • The work does not affect the life safety requirements or structural integrity of the property. The repairs cannot include the removal or addition of any load bearing wall or the removal or cutting of any structural beam or load bearing support.
  • The person performing the repair must obtain permits and inspections as required by local authorities.

 

 

 

  

 FAQ about the Repair Professional / Handyman Exemption

 

1.  Does the $2500 contract threshold for the application of the contractor licensing laws apply to this exception.

 

The $2500 threshold amount applies to any construction contracts.  A contract must exceed this amount for the licensing law to apply.  ANY work by a residential contractor, whether exempted or not, is not subject to contractor licensing law until it exceeds the $2500 limit [Note that the Board has currently stated that ANY construction work, whether residential or commercial, below $2500 does not require the use of a state licensed contractor].  Once the repair work exceeds $2500, then the repair exception applies.  Thus a license is NOT needed for repair work which exceed the $2500 threshold. 

 

2.  My local building officials have indicated that repair contractors may not have a contract that exceeds the $2500 limit. 

 

I understand the Board understanding of the law is that the $2500 threshold is NOT a limit on the contract amount for repair contractors (No contractor is required to be licensed for project under $2500) and that a dollar limit was specifically rejected by the legislature in the history of the act (there were a number of proposed limits, including a $30,000 limit).  Thus I believe these officials have misunderstood the threshold as a limit.  You may need to contact legal counsel to correct any improper denial of permits based on a misperception. 

 

3.  Can I subcontract out repair work? 

 

Under the current form of the rule, although the rule does not appear to comport with the specific requirements of the exception under OCGA 43-41-17(g), the work must be performed by employees and cannot be delegated or assigned to subcontractors or independent contractors.