A CONTRACTORS
COACH
Of the nearly 1,000 complaints received
by the CCB annually, most of the
complaints involve all of the issues
below EXCEPT:
a)
b)
c)
d)
Poor workmanship
Safety violations
Law violations
Poor business practices
b) Safety violations
How many members make
up the Construction
Contractors Board?
a)
b)
c)
d)
4
5
7
9
d) 9
A CONTRACTORS
COACH
The laws governing construction
contractors in Oregon are:
a)
b)
c)
d)
ORS Chapter 456
ORS Chapter 651
ORS Chapter 701
ORS Chapter 812
c) ORS Chapter 701
A sole proprietor’s wife who does not
work for the business may act as RMI for
the company.
True or False?
False. The RMI must be an
owner or an employee and
have management or
supervisory authority over
construction activities of
the business.
All of the following are true regarding the RMI
EXCEPT:
a) The RMI is the person who is liable for
construction debt of the company
b) The RMI is the person who completes the
training and testing
c) The RMI is named at the time of application
d) The RMI exercises management or supervisory
authority over construction activities of the
business
a) The RMI is the person who is
liable for construction debt of
the company
Contractors Exempt from Licensing – Additional Information (p. 1-2):
• An owner, contracting with licensed contractors, can flip up to three existing
units the owner owns without having a license as long as the work is
cosmetic in nature (no building permit required) and the owner uses
licensed contractors to do the work.
• If the work requires a building permit, the owner must contract with a
licensed, residential general contractor or be a licensed, residential
general contractor.
All of the following must be licensed as a
contractor EXCEPT:
a) An irrigation installer
b) A handyman working under a contract
for $1,000
c) An apartment owner’s employee
d) A deck installer
c. An apartment owner’s
employee
Which of the following is TRUE about an independent contractor?
a) An independent contractor works under the direction and control of
the owner
b) To be considered an independently established business, an
independent contractor must meet five requirements
c) A general contractor is not an independent contractor
d) An independent contractor is financially responsible for work
performed by the business
d) An independent contractor is financially responsible for work
performed by the business. Financial responsibility is in the form of
bond, insurance and possibly, liability.
As part of a contractor’s licensing
process, a bond must be submitted to
obtain a license with the CCB.
What type of bond is required?
A surety bond
Which of the following is NOT
required to be submitted when
applying for a contractor’s license?
a) Copy of Driver License
b) Insurance Certificate
c) Original Bond
d) Fee
a) Copy of Driver License –
Note: One additional item that
must be submitted with a
contractor’s license application
is a copy of the RMI’s test score
report. The designated RMI
should keep the original test
score report with other
important documents.
Which of the following would NOT be
considered an appurtenance to a residential
structure?
a) Deck
b) Lumber to add a bedroom to an existing
house
c) Barn
d) Fence
b) Lumber to add a
bedroom to an existing
house
Further explanation regarding a Small Commercial Structure (Page 1-3):
• A small commercial structure is a nonresidential structure of not
more than 20’ tall with a ground area of 10,000 square feet or less
• The 20’ tall is measured from the lowest interior finish of the
structure to the highest interior finish (floor to ceiling, no roof
line)
Services provided by the CCB include all
of the following EXCEPT:
a)
b)
c)
d)
Education
Mediation
Licensing
Issuing judgments against contractors
d) Issuing judgments against
contractors – See Appendix A:
Useful Links
Remember, questions can be
asked about any area in the
manual!
How often does a contractor’s license need
renewal?
a)
b)
c)
d)
Annually
Every two years
Every three years
Every five years
b) Every two years
How many hours of initial training are
required to obtain a contractor’s license?
a)
b)
c)
d)
8 hours
16 hours
32 hours
Up to 80 hours
b) 16 hours
A contractor using workers from a worker
leasing company is considered:
a) Exempt from the requirement to carry
workers compensation insurance
b) Non-exempt, meaning coverage is
required
b) Non-exempt. The contractor must
provide a worker’s compensation
compliance number. The contractor
must either use the worker leasing
company’s compliance number or
contractor’s company must provide
it’s own compliance number.
With which agency does one file an
Assumed Business Name (ABN)?
Oregon Secretary of State
When a contractor hires employees, which of
the following numbers is NOT required:
a) Worker’s compensation compliance
number
b) BIN
c) FEIN
d) ABN registry number
d) ABN registry number
Regarding CCB license endorsements,
construction of a five-story apartment complex
is considered:
a)
b)
c)
d)
A residential structure
A commercial structure
Either
Both
b) A commercial structure
A contractor who builds an 8,000 s.f.
convenience store may hold which
license endorsement:
a)
b)
c)
d)
Residential
Commercial
Either residential or commercial
Small commercial
c) Either residential or commercial.
Both endorsements cover small
commercial projects.
A residential property owner hires a contractor
to build a 60’ x 50’ metal shop on the
residential property. The height of the
structure is 24’ tall and the contract price is
$340,000. Which license endorsement does
the contractor need to build this structure?
a) Residential
b) Commercial
a) Residential. This is an
appurtenance to the home.
A painter contracts directly with the
owner of a five-story building to
paint the exterior of the building for
a contract price of $210,000.
This is which type of structure?
Small commercial structure
(the contract price for all
construction is less than
$250,000 and therefore, meets
criteria for small commercial
structure) A small commercial
structure must only meet one
of the four listed criteria to be
considered small commercial.
A painter subcontracts with a general
contractor to paint the exterior of a
five-story building for $210,000.
This is considered which type of
structure?
Large commercial structure
(the general contractor’s contract
price for all construction is more
than $250,000 and the building is
larger than a small commercial
structure).
An painter who only paints and
subcontracts no work is an example
of which type of contractor?
a) Specialty
b) General
a) Specialty – does not perform
or subcontract more than two
unrelated trades on a project
(two trades including the
painter’s trade)
Just so you know…
What is the difference between work a Commercial General Level 1 Contractor or a
Commercial General Level 2 Contractor can perform?
• There is no difference in the work that can be done by these two contractors. A
commercial general level 1 or 2 can perform work requiring the use of as many
or as few unrelated trades and undertake or offer to undertake work in
connection with small or large commercial structures for any contract amount.
The same is true of the Commercial Specialty Level 1 or Level 2.
• A commercial specialty level 1 or 2 can perform work requiring the use of two or
fewer unrelated trades and undertake or offer to undertake work in connection
with small or large commercial structures for any contract amount.
Which of the following contractors with a
special endorsement, license or certification is d) Home Services contractor
not required to complete the 16 hour training
and testing requirement?
a) Residential Locksmith Services contractor
b) Home Inspection Services contractor
c) Home Energy Performance Score
contractor
d) Home Services contractor
Which of the following contractors can perform
work on residential or small commercial projects
not exceeding $40,000 a year in gross volume and
the projects can be no more than $5,000 per
project, per site, per year?
a)
b)
c)
d)
Residential Locksmith Services Contractor
Residential Specialty Contractor
Residential Developer
Residential Limited Contractor
d) Residential Limited Contractor
All of the following special licenses and
certifications can be added to a
contractors standard license through the
CCB EXCEPT:
a)
b)
c)
d)
Lead abatement contractor’s license
LBPR contractor’s license
Asbestos abatement license
EEAST certification
c) Asbestos abatement license
Lead based paint activities include
all of the following EXCEPT:
a)
b)
c)
d)
Lead inspection
Lead paint renovation
Lead risk assessment
Lead abatement
b)Lead paint renovation
Which of the following special license or
certification is good for more than one
year?
a)
b)
c)
d)
Lead abatement contractor license
Certified Home Inspector
Lead based paint renovation license
EEAST certification
b) Certified Home Inspector –
This certification is good for
two years
Which of the following covers a contractor’s
workmanship?
a)
b)
c)
d)
Surety bond
Commercial general liability insurance
Property damage insurance
Bodily injury insurance
a) Surety bond
If a bonding company cancels a contractor’s bond
and the contractor is unable to reinstate or replace
the bond, the CCB will suspend the contractor’s
license ____________ after receiving notice from
the bonding company?
a)
b)
c)
d)
72 hours
10 days
30 days
60 days
c) 30 days
Which one of the following is NOT required
to register with the Oregon Corporation
Division while the CCB license is inactive?
a)
b)
c)
d)
John J Smith Construction
Smith Construction LLC
Smith Construction Inc.
John J Smith Living Trust
a) John J Smith Construction (sole
proprietor). As long as he works
under his “real and true” name
(first, middle name or initial, and
last names), there is no need to
have the ABN registered with
Oregon Corporation Division.
Found in Appendix D-2, footnote
What name is commonly used to identify
the Oregon Corporation Division?
Secretary of State
A CCB license number is issued to all of the
following businesses EXCEPT:
a)
b)
c)
d)
An S-Corp
A Limited Liability Company
A Partnership
A Sole Proprietorship
d) A sole proprietorship
A sole proprietor’s license is
issued in the person’s name. All
other licenses are issued to the
business.
On what date did the RMI requirement, which
allowed contractors to be “grandfathered,”
begin?
a)
b)
c)
d)
July 1, 2010
January 1, 2008
July 1, 2000
January 1, 2005
c) July 1, 2000 – see on p.1-13
(Final Inspection)
How frequently must a contractor fulfill
continuing education requirements to renew
their CCB license?
a)
b)
c)
d)
Every year
Every two years
Every six years
It depends how the contractor is endorsed
b) Every two years
To renew an active license with the CCB,
an exempt contractor must submit all of
the following to the CCB EXCEPT:
a) A bond
b) An insurance certificate
c) Worker’s compensation compliance
number
d) RMI information
c) Worker’s compensation
compliance number – the
contractor is exempt. No worker’s
compensation coverage is required.
A contractor contracting directly with a
residential property owner to do work
for $2,000 must have a written
contract.
True or False?
False. A contractor doing work for a
residential property owner for more
than $2,000 (meaning $2,000.01
and up) must have a written
contract.
All of the following are true about renewing a
CCB license EXCEPT:
a) A contractor renewing in inactive status
does not need a bond or insurance
b) A sole proprietor must file an ABN with
the Secretary of State
c) A contractor can find the expiration date
of his/her license by visiting
www.oregon.gov/ccb
d) The license fee is the same for an active
or inactive license
b) A sole proprietor must file an
ABN with the Secretary of State.
This is not necessary when the sole
proprietor works under their real
and true name.
A zero lot line dwelling is any of the
following except:
a) Single family home on 10,000
square foot lot
b) Townhome
c) Rowhouse
d) Garden home
a) Single family home on 10,000
sq. ft. lot
When contracting directly with a residential
property owner and the contract is more
than $2,000, a contractor must include all of
the following consumer notices EXCEPT:
a) Homebuyer Protection Act Notice
b) Information Notice to Owner About
Construction Liens
c) Consumer Protection Notice
d) Notice of Procedure
a) Homebuyer Protection Act
Notice – the HPA notice is
required when contracting for
work that is at least $50,000
and is completed within three
months of the sale or remodel.
A contractor must offer a warranty against
defects in material and workmanship on all
of the following structures EXCEPT:
a)
b)
c)
d)
A pre-sold townhome
A new, retail storefront
A pre-sold single family home
A spec home
b) A new, retail storefront
All of the following complaints are accepted by
the CCB EXCEPT:
a) General contractor complaints against a
homeowner
b) Homeowner complaints against general
contractor
c) General contractor complaints against the
subcontractor
d) Employee complaints against a contractor
a) General contractor complaints
against a homeowner
A contractor builds a spec home and because of
market conditions, can’t sell it for 14 months after
substantial completion. The owner buys the house and
moves in immediately. How much longer after the
owner moves in can the owner file a complaint against
the contractor?
a)
b)
c)
d)
Eight months
10 months
One year
Two years
b) 10 months (the
remainder of the two-year
period).
Prime contractor complaints are
complaints filed by the general
contractor against:
a)
b)
c)
d)
A subcontractor
An owner
A supplier
An architect
a) A subcontractor
What is the fee the CCB charges
an owner for filing a complaint
against a residential contractor:
a)
b)
c)
d)
$250
$150
$100
$50
d) $50
Who is a complainant?
a) The person filing the complaint
b) The person against whom the complaint
is filed
c) The attorney for the owner
d) The attorney for the contractor
a) The person filing the
complaint
In which of the following complaints would the
CCB have jurisdiction?
a) Mediating a large commercial contractor
complaint
b) An employee who was not paid working for an
unlicensed contractor
c) Mediation of a dispute between a homeowner
and a residential contractor
d) A residential property owner dispute against a
subcontractor
c) Mediation of a dispute
between a homeowner and a
residential contractor
Which type of complaint allows the CCB to
include attorney’s fees in their determination?
a)
b)
c)
d)
Residential
Commercial
Both a & b
Neither a nor b
b) Commercial
In a complaint against a commercial contractor,
the complainant is also referred to as the:
a)
b)
c)
d)
Defendant
Attorney
Plaintiff
Respondent
c) Plaintiff
The plaintiff, when filing a complaint in court
against a commercial contractor, must also
submit a copy of the court complaint to the CCB
& the contractor’s bonding company within
___________.
a)
b)
c)
d)
30 days
60 days
90 days
120 days
c) 90 days
When the court makes judgment on a commercial
contractor complaint against the contractor, the
plaintiff must submit a copy of the judgment to both
the CCB and the contractor’s bonding company within:
a)
b)
c)
d)
30 days
60 days
90 days
120 days
a) 30 days
The CCB will make/issue ______________
when it finds a contractor owes money.
a)
b)
c)
d)
A determination
An order
A judgment
A settlement
a) A determination
The highest civil penalty the CCB can
assess per offense is?
a)
b)
c)
d)
$1,000
$2,000
$3,000
$5,000
d) $5,000
Of the following locations, is it NOT required
for a contractor to display the contractor’s CCB
number on ______________?
a)
b)
c)
d)
Business cards
Internet ads
Vehicles that display company information
Permanent company signs at contractor’s
office
d) Permanent company signs at
contractor’s office
All of the following contractor violations are
grounds for an immediate license suspension
EXCEPT?
a) Hiring of employees while exempt
b) Failure to pay a subcontractor, resulting in a lien
being filed against an owner’s property
c) Failure to pay construction debt
d) Failure to maintain insurance and/or bond
b) Failure to pay a subcontractor,
resulting in a lien being filed against
an owner’s property
Notice of Intent, contested case hearing,
and final order are all parts of which CCB
process?
a)
b)
c)
d)
Dispute Resolution Process
Enforcement Process
Lien Process
Licensing Process
b) Enforcement Process
If a residential general contractor does not pay
construction debt as required, a CCB sanction
can be imposed. This can require the
contractor to post a bond in an amount up to
_____________.
a)
b)
c)
d)
$100,000
$250,000
$500,000
$1,000,000
a) $100,000 or up to five
times the amount of the
required (statutory) bond
Common administrative or enforcement actions
taken by the CCB against contractors include all
of the following EXCEPT:
a) Fines
b) Debarring contractors from public works
contracts
c) Issuing a judgment against a contractor
d) Requiring increased bond
c) Issuing a judgment against a
contractor
The law requiring the Notice of Compliance with
Homebuyer Protection Act (HPA) is:
a)
b)
c)
d)
ORS 701.131
ORS 87.007
ORS 670.600
OAR 812-003-0240
b) ORS 87.007