Connecticut to North Carolina: general contractor license reciprocity

1. 1Law / code exam. Pass a law, rules, or code exam. North Carolina Business and Law examination: 40 questions, 90 minutes, 70% to pass, covering erosion and sedimentation control, licensing, liens, contracts, project management, safety and business practices. Required of applicants who qualify on the NASCLA examination rather than the North Carolina Building Contractor examination..
2. 2Trade exam. Pass the destination's trade exam (if applicable). Not required if the NASCLA Accredited Examination has been passed. Otherwise the North Carolina Building Contractor examination applies: 90 questions, 200 minutes, 70% to pass, open book, administered by PSI Services LLC after the Board issues an eligibility letter..
3. 3Application fee. Pay the application fee ($75). Nonrefundable application fee set by the limitation requested: $75 for a limited license, $100 for an intermediate license and $125 for an unlimited license (G.S. 87-10(a1); 21 NCAC 12A .0304(a)). The amount shown is the limited-license fee..
4. 4Exam fee. Pay the exam fee ($79). $79 per examination, paid to PSI Services LLC when the examination is scheduled. The NASCLA examination itself is bought from NASCLA and is not covered by this fee..
5. 5Financial responsibility. Show financial responsibility of at least $17,000. Evidence of financial responsibility for the entity that will hold the license. Current assets must exceed current liabilities by at least $17,000 for a limited license (or total net worth of at least $80,000), $75,000 for an intermediate license, or $150,000 for an unlimited license. Intermediate and unlimited applicants must show the figure in an agreed-upon procedures report on the Board form or an audited financial statement prepared by a CPA or independent accountant. Statements must be no more than twelve months old and conform to GAAP (21 NCAC 12A .0204). The amount shown is the limited-license working capital figure..
6. 6Surety bond. Post a surety bond ($175,000) (if applicable). Optional alternative to the working capital or net worth figure: a continuous surety bond of $175,000 for a limited license, $500,000 for an intermediate license or $1,000,000 for an unlimited license, from a surety authorized in North Carolina and rated Superior or Excellent by A.M. Best. Proof is filed with the application and with every annual renewal, and the bond must stay in force until the licensee can show the required working capital (21 NCAC 12A .0204(e))..
7. 7Background check. Complete a background check. Criminal background check through the third-party vendor the Board names, paid directly to the vendor. Every qualifier submits to the check, along with the sole proprietor, the president of a corporation, all managers and members of an LLC, or all partners of a partnership (21 NCAC 12A .0303(b))..
8. 8Business license. Obtain a business license. The license is issued to a legal entity, so the individual, corporation, LLC or partnership that will contract must be formed and, if organized outside North Carolina, authorized to transact business in the State before the license is issued (G.S. 87-10.1)..
9. 9Insurance. Carry the required insurance (if applicable). The Board states there is no insurance or bonding requirement for a general contractor license itself. North Carolina workers compensation law still applies to the business independently of licensure, and owners, lenders and general contractors commonly require general liability coverage by contract..
10. 10Continuing education. Complete continuing education. Renewal condition rather than an entry requirement: at least one qualifier on a building, residential or unclassified license must complete eight hours of Board-approved continuing education each year, made up of a two-hour mandatory course and six elective hours, with up to four elective hours carried forward (G.S. 87-10.2)..
11. 11Other. Letters of character reference required by 21 NCAC 12A .0303(a)(9) and .0308, certified copies of court records for any criminal convictions of the applicant or its qualifiers, and disclosure of disciplinary history with this or any other licensing agency..

Published fees on this path total $154, excluding exam-vendor fees, bonds, and insurance.