• New Law Changes in 2025 Affecting Licensees, Applicants and Stakeholders


    Sacramento, CA – The Contractors State License Board (CSLB) is advising licensees, applicants, and other stakeholders of key legislative updates following the implementation of Senate Bill 1455 (Ashby, 2024).

    This bill, effective January 1, 2025, extends the Board’s “sunset” date from 2025 to 2029 and makes other changes to the law, which are described below.

    Key Provisions of SB 1455  

     
    1. Public Works Project Licensing
    • What’s New?  Awarding authorities must now ensure that public works project bidders hold the correct license classification for the work being performed.  
    • Why It Matters:  This ensures public works projects are performed by qualified professionals under the appropriate CSLB license classifications.
     2. Accountability for Workmanship Complaints  
    • What’s New?  Contractors subject to workmanship complaints that result in a letter of admonishment or citation will now be required to reimburse CSLB for industry expert costs.  
    • Why It Matters:  This change encourages higher quality workmanship and ensures fairness in covering costs associated with complaint resolution.
    3. Licensing of Tribal Businesses  
    • What’s New?  CSLB will license tribal businesses, which must be organized under the jurisdiction of a federally recognized tribe.  
    • Why It Matters:  This change would allow licensed tribal businesses to undertake construction projects off tribal lands, fostering economic growth in tribal communities.  
    4. Delay in Mandatory Workers’ Compensation Insurance             Law  
    • What’s New?  The full implementation of mandatory workers’ compensation insurance for all licensees regardless of whether they have employees is delayed from January 1, 2026, to January 1, 2028.  
    • What It Means: Licensees in all trades (except C-39, C-8, C-20, C-22, and D-49) can continue to claim exemptions if they have no employees, until January 1, 2
    The delay allows CSLB time to determine possible exemption eligibility.

    5. Direct Payment for PSI Exams 
    • What’s New?  Candidates will pay PSI Exams directly to schedule and reschedule exams. This eliminates CSLB’s role in handling these fees.  
    • Cost Details: $45.65 per exam or $91.30 for two exams. CSLB will no longer charge a $100 rescheduling fee.  
    • Process Overview:  Eligible candidates will receive a notification from CSLB and then contact PSI to schedule exams via PSI’s website or by calling (877) 392-6422.  


       
     

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