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Benefits from Building Contractor Registration
Building Contractor Registration is in contractors' interests - Contractors will receive notices and news from S&B via email and on the Building Contractor Program Web page. Contractors have repeatedly said they cannot keep track of code changes, which causes them problems with inspectors and causes loss of time and money. For example, important electrical credential changes are coming which can affect how a number of self-employed contractors might run their businesses. Another exmple is that communication of employment obligations helps limit possibilities of liability or penalties problems. Information also will be available on education classes. - Contractors have an interest in having competitors identified publicly; people who do not want to be known publicly have more of a tendency to not want public responsibility for the their work. If contractors do not want to be known publicly, they may be trying to hide income or not follow codes, both of which could allow them to work more cheaply. - Contractors want their competition to be playing by the rules in terms of costs for worker's compensation and unemployment funds. Also, with those programs being stressed, there may be extra assessments in the near future to maintain the programs. Contractors are interested in having the assessments spread over the complete population of companies which should be paying, not just those currently fulfilling their legal employment responsibilities. Information on Workers Compensation and Unemployment Insurance - Wisconsin Dept. of Workforce Development - Contractors will note that the effort to level the playing fields does not come with harsh enforcement of subjective quality standards. The registration process is not difficult, time consuming, or expensive. $25 per year over four years. Registration is available 24/7 online with credit card (possible from job site by cell connection), or by paper if someone does not have a computer. - In marketing their businesses, contractors can point out they are part of BCR system, that they do keep themselves involved with code compliance. - The BCR system can provide more recognition of Right to Cure procedures (see PDF brochure), which are in businesses' interests to publicize, and of other contractor-customer information, such as the federal lead pre-renovation information mandate (which is not well known). - Contractor registration is not in the interests of fake contractors, who can charge less because they're not paying taxes or worker employee support costs, nor are they following safety regulations or recognizing liability. They may not be providing quality work because they don't have to stand behind it. - Contractor registration helps identify itinerant workers in times of disaster hiring. - The registration is not required of employees working for a registered contractor. Building Contractor Registration is for consumers - Ask to see the registration card! Dealing with a business that has the building contractor registration lets the consumer know that state and local officials have some record of that contractor. It is a layer of effort that a fly-by-night contractor may not wish to deal with. Contractor registration helps identify itinerant workers in times of disaster hiring. Contractors who have the registration have more opportunity to keep track of code requirements and have more information on their business requirements concerning safety practices. Information on legal responsibilities is provided to registered building contractors. Building Contractor registration does not reflect honesty or competence on the part of the contractor. The Safety and Buildings Division of the Department on Commerce cannot investigate and judge consumer-versus-contractor disputes. Consumers should be aware that there is information about dispute resolution which a contractor must provide to the owner before beginning work. See the "Right to Cure" brochure, PDF file. - See a list of registered Building Contractor businesses. Excel file PDF file - Building Contractors must put their number on any bid or contract. The validity of the number can be checked. - File a complaint with the Safety and Buildings Division Online complaint registration or complaint paper form to print, mail, or email. - Building Contractors cannot hire a subcontractor businesses, even a one-person business, which does not have the building contractor registration. Therefore, contractor registration helps identify subcontractors who currently are not identified through being part of the dwelling contractor / building permit process, or from having one of the other contractor credentials. - Neither building contractors nor dwelling contractors can start work without a building permit if the local municipality requires a building permit. If plan review is required for the project, the project cannot start without that plan review. Projects started without plan review, when a review is required, can face a financial penalty. Owners and Building Permits- If a contractor obtains a building permit for a project on a one- or two-family dwelling, the contractor needs to have both of the two Dwelling Contractor certifications. An owner may obtain the building permit without holding those credentials. If the owner obtains the permit, subcontractors still need to be registered as building contractors if they're working under the Uniform Dwelling Code (one- and two-family dwelling built after 1980). When an owner obtains the building permit, they should be aware that there can be legal consequences. Read cautionary statement that is on the one- and two-family building permit. Read more comparison of building contractors and dwelling contractors. Even if there is no local permit for the work, the registration may be needed. Some specific trade licenses may be required - Neither dwelling contractors nor building contractors may do work which requires a statewide or local license, such as HVAC, plumbing, or (in some communities) electrical, unless they hold the specific required license. -------------------------- Tips for Consumers How to file a complaint with the state Dept. of Ag, Trade, and Consumer Protection, PDF file Wisconsin Dept. of Ag, Trade, and Consumer Protection info on home improvement laws - "Three-Day Right to Cancel" - "Warranties" - List of DATCP fact sheet s - Look up license holders at the Dept. of Regulation and Licensing (See list of those licenses.) Building Contractor Registration assists government agencies - Contractor registration is not a mandate costing local governments tax money. - Registration provides identification of more contractors, which local inspectors can use to evaluate which jobs need more or less scrutiny. - Registration provides the municipality with another way to help property owner-constituents and local housing stock, getting the jobs completed successfully. Local inspectors want to know who’s working in their area and who’s generally up-and-up. - Registration can be used for local reasons via ordinance, with less stress than a completely local registration system. - The state Department of Ag, Trade, and Consumer Protection will have another means of following complaints and an outlet through S&B for consumer contracting information. - Communication of employment and tax obligations can be done through the BCR system by the Departments of Workforce Development and Revenue. - The Worker's Compensation Insurance system will be able to access registration lists. - The Department of Health can appreciate BCR system efforts to get information on lead and other hazards to contractors and the public. - The Unemployment Insurance system will be able to access registration lists. - The state income tax system will be able to access registration lists. - Federal census statistics related to contractor populations can be double-checked. - Registration can be a point of reference for the Federal Emergency Management Administration for identifying itinerant contractors is times of disaster hiring . Cautionary Statement To Owners Obtaining Building Permits 101.65(lr) of the Wisconsin Statutes requires municipalities that enforce the Uniform Dwelling Code to provide an owner who applies for a building permit with a statement advising the owner that: If the owner hires a contractor to perform work under the building permit and the contractor is not bonded or insured as required under s. 101.654 (2) (a), the following consequences might occur: (a) The owner may be held liable for any bodily inquiry to or death of others or for any damage to the property of others that arises out of the work performed under the building permit or that is caused by any negligence by the contractor that occurs in connection with the work performed under the building permit. (b) The owner may not be able to collect from the contractor damages for any loss sustained by the owner because of a violation by the contractor of the one- and two- family dwelling code or an ordinance enacted under sub. (1) (a), because of any bodily injury to or death of others or damage to the property of others that arises out of the work performed under the building permit or because of any bodily injury to or death of others or damage to the property of others that is caused by any negligence by the contractor that occurs in connection with the work performed under the building permit. County Web sites || City/Town/Village Web sites || State Portal || Build Your Business Email this page's manager, Todd Taylor, ttaylor@commerce.state.wi.us or 608-267-3606 The Department of Commerce Safety and Buildings Division is an equal opportunity service provider and employer. If you need assistance to access services or need material in an alternate format, please contact us, 608-266-3151, TDD Relay dial 711 in Wisconsin or 800-947-3529, or ttaylor@commerce.state.wi.us |
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