For Immediate Release: Friday, March 14, 2008
Beginning April 1, the Department of Permitting Services (DPS) will require all contractors applying for building permits for home improvement projects to provide their valid Maryland Home Improvement Contractor’s license number before a building permit may be issued in their name.
A home improvement is any repair, replacement, remodeling or modernization of a residential property. Under Maryland law, a contractor is required to be licensed to perform these jobs. Permitting Services staff will check that the contractor’s license is in good standing with the Maryland Home Improvement Commission (MHIC).
In a letter sent last December, the Secretary of the Maryland Department of Labor, Licensing and Regulation (DLLR) urged all counties in the state to take the following two steps to protect consumers from unlicensed home contractors:
• require the contractor to show proof of his/her MHIC license number and verify that the license is valid; and
• educate homeowners about the risks of using unlicensed contractors.
“Consumers lose millions of dollars to unlicensed, fraudulent contractors and we want it known that this type of activity is not tolerated in Montgomery County,” said County Executive Isiah Leggett. “I commend DLLR Secretary Thomas Perez for his efforts to protect consumers from unlicensed home improvement contractors.”
Permitting Services is partnering with the MHIC and the Montgomery County Office of Consumer Protection to protect homeowners from unlicensed contractors who do not follow-through on the agreed upon services. Unlicensed contractors can cost consumers thousands of dollars resulting from poor or incomplete workmanship.
State law protects the consumer by screening contractors for criminal records, requiring them to have trade experience, and testing contractors to ensure they know how to comply with Maryland’s home improvement laws. Most importantly, if they suffer a loss when doing business with a licensed contractor, consumers can file a claim of up to $15,000 from the Home Improvement Guaranty Fund.
Montgomery County’s Office of Consumer Protection advises consumers never to hire an unlicensed contractor and to follow these steps before contracting for any home improvement work:
1. Contact the Maryland Home Improvement Commission at 410-230-6309 or online at www.dllr.state.md.us to see if a firm is licensed.
2. Check to see if any complaints have been filed against the contractor with the Office of Consumer Protection by calling 240-777-3636 or go to www.montgomerycountymd.gov/consumer. Also check with the Better Business Bureau at 202-393-8000 or at www.dc.bbb.org. Consult CHECKBOOK Magazine at local public libraries or at www.checkbook.org for recommendations regarding good contractors.
3. Check the Maryland Judiciary Case Search at http://casesearch.courts.state.md.us/inquiry/inquiry-index.jsp to see if an individual is involved in any legal actions.
4. Beware of any contractors who solicit business by saying that they “have material left over from another job in the area and can give you a real good price.” This is a classic sign that the contractor may be unlicensed and just passing through the area.
5. Read OCP’s brochure, “Guide to Home Improvements,” before selecting a contractor. By law, a contractor must provide a written contract stating the contractor’s license number and he/she cannot charge a down payment that exceeds 33 percent of the total job.
For more information, call the Department of Permitting Services at 240-777-6370 or the Office of Consumer Protection at 240-777-3636.