“Akamai Money” seeks out local experts to answer questions about business in Hawaii. If you have an issue you would like us to tackle, please email it to business@staradvertiser.com and put “Akamai Money” in the subject line.
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QUESTION: Why is it important to hire a licensed contractor?
ANSWER: A licensed contractor has already demonstrated that he/she has the training and experience necessary to get a license. Hawaii’s Contractors License Board also requires applicants demonstrate "a good reputation for honesty, truthfulness, financial integrity and fair dealing," submit tax clearances, proof of insurance and other required qualifications.
Licensed contractors are also required to carry liability insurance and are responsible if a worker is injured on a job site. Insurance is really important because it protects you as a homeowner if anything is damaged on your project or if anyone is injured. A lot can happen on a construction project.
Licensed contractors are able to apply for building permits. Because a home is the single biggest investment most people ever make, we encourage consumers to take their time, do the homework and consider hiring a licensed contractor.
Q: Aside from paying money to an online company like Angie’s List, how can I find the right type of licensed contractor for the work I need done?
A: Call the Contractor’s License Board at 808-586-2700. As far as recommendations, we suggest asking friends or relatives for referrals. Trade organizations are another good resource. I’ve even knocked on a neighbor’s door to ask who did their work. Once you find someone, you can ask to see other projects the contractor has completed and to meet other clients.
Q: How can I get the best possible rate?
A: We recommend getting at least three bids or estimates, all from licensed contractors. And when you’re getting bids, be specific about the job and the materials you want used. All of the bids you get should be based on the same work and the same materials. A bid will be lower if painting is not included. A bid will also be lower if the contractor is planning on laminate flooring instead of wood. If bid amounts vary significantly, ask why. If everything you want isn’t included in the original contract, you may end up paying more to get to the final product you expected.
Q: How can I be sure the contractor’s license is up to date and not expired?
A: Call the RICO’s License, Business and Information Section (LBIS) at 587-4272 or visit the state’s website at pvl.ehawaii.gov/pvlsearch/app.
Q: Is there any way to find out if there is a complaint history against a contractor?
A: RICO provides information about complaints that have been filed with our office. We advise consumers to pay attention to the outcome or disposition of a complaint. … An individual who has had a license revoked or owes $200,000 in unpaid fines may give a consumer pause.
Q: Should I be dissatisfied with the work done by the contractor or their work ethic and practices, do I have any recourse?
A: We strongly advise all consumers to immediately explore any civil remedies they may have. Consumers can also file a complaint with RICO. We’ll review the complaint to determine whether any licensing laws may have been violated. Some of the more typical complaints RICO investigates in the contracting area involve allegations of poor workmanship or failing to complete a project. The most common involves unlicensed activity.
For information about filing a complaint or to report unlicensed activity, consumers can call RICO’s Consumer Resource Center at 808-587-4272 or visit us online at cca.hawaii.gov/rico.
Consumers who file a complaint with RICO should never wait for a RICO action to be concluded before pursuing any civil remedies they may have.