Who issues a concrete contractor license in Arkansas
Concrete work in Arkansas is licensed at state level. The Arkansas Contractors Licensing Board issues the license, and the board sits inside the Arkansas Department of Labor and Licensing. There is no standalone concrete license. Concrete is a classification or a specialty inside a broader contractor license, and which license you need depends on whether the job is commercial or residential. The board regulates commercial contractors under Ark. Code Ann. 17-25-101 through 17-25-315, and it administers the state contractors bond law under 17-25-401 through 17-25-409. A separate body, the Arkansas Residential Contractors Committee, licenses residential building contractors, residential remodelers and home improvement contractors under 17-25-501 through 17-25-515. The committee answers to the same board, and one office handles applications, renewals, hearings and complaints for both sides. Cities do not issue the contractor license. Cities issue building permits, and a city building inspector may not issue a permit for work costing fifty thousand dollars or more until the applicant proves a state license or an exemption. That one rule is why the state license controls access to commercial concrete work even in towns with light permitting. A flatwork crew replacing driveways on existing houses answers to the Residential Contractors Committee. A crew pouring footings and slabs for a retail building answers to the commercial side of the board. A paving crew on a state highway project answers to the commercial side too, and also needs permission from the transportation department for anything inside the right of way. Decide which side you are on before you quote the job.
Sourceslabor.arkansas.gov 1labor.arkansas.gov 2labor.arkansas.gov 3labor.arkansas.gov 4
Commercial law or residential law: where your concrete work falls
The dividing line is the single-family residence. Arkansas defines a single-family residence as a project of one unit but not more than four units built for residential occupancy. Five units or more is multifamily housing, and multifamily counts as a commercial project. Everything that is not a single-family residence falls under the commercial law. A four-plex slab is residential work and a five-plex slab is commercial work, and the paperwork changes with it. On the commercial side, a license or registration is required when the cost of the work the contractor does, including labor and materials, is fifty thousand dollars or more. The commercial law reaches prime contractors and subcontractors alike. On the residential side the thresholds are much lower. A home improvement license is required for specialty work on a single-family residence when the project is more than two thousand dollars. A residential remodeler license covers major structural changes or additions to an existing single-family residence over two thousand dollars. A residential builders license covers building the house over two thousand dollars and also allows remodeling. For a concrete business that usually means two licenses are in play at once. Residential driveways, patios, sidewalks and foundation repair sit in the home improvement lane. Commercial slabs, footings, curb and gutter and paving sit in the commercial lane. Holding one does not authorize the other. A contractor licensed by another Arkansas licensing agency, board or commission is exempt from residential licensure only while performing work within the scope of that other license, so a plumbing license does not cover your flatwork.
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Concrete and masonry inside the commercial classifications
The board has power to limit a license by proper classification to the character of work the applicant is qualified to perform, and the classification printed on the certificate is what you may legally do. Performing work not listed under the classification may constitute a violation. Concrete appears in several commercial classifications. Under Building, the specialty list includes Concrete, Masonry, Chimneys and fireplaces, Foundation construction or drilling, pile driving and stabilization, Concrete paving, and a miscellaneous concrete group covering sidewalks, driveways, curb and gutter, and box culverts. Under Highway, railroad and airport construction, Concrete is its own item, with Concrete paving under base and paving, Gunite, and pavement rehabilitation items including pressure grouting, grinding and grooving, concrete joints and underdrains. Under Municipal and utility construction, Concrete and Masonry appear inside the water and sewer plant group alongside Foundation construction and Concrete paving. Under Heavy construction, Concrete sits inside oil refinery, power and energy plant construction, next to tower and stack construction and foundation work. Scope follows the letter on the certificate. A contractor licensed as Heavy construction, Highway railroad and airport, Municipal and utility, Building, Light building, Mechanical or Electrical may perform any specialty associated with that classification. A contractor licensed as a specialty may perform only the functions of the specific specialty it holds. That is the real choice in front of a concrete business. Take the Building classification and the whole specialty list under it opens up. Take Concrete as a specialty and you pour concrete only, which costs less to qualify for and narrows what you can bid.
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Concrete and masonry inside the residential classifications
The Residential Contractors Committee publishes its own outline of classifications. The residential building contractor classification includes Concrete, Masonry, Chimneys and fireplaces, Foundation construction or drilling, pile driving and stabilization, and Concrete paving under base and paving. The specialty list that a home improvement or residential specialty contractor picks from includes Concrete, Masonry, Rebar, Retaining walls, Foundation construction or drilling, pile driving and stabilization, and Concrete paving. Lathe, plaster, stucco, Dryvit and EIFS is a separate specialty, which matters if you also sell decorative coatings. One rule decides scope. A contractor licensed as a residential building contractor or a residential remodeler is considered a general contractor and is authorized to perform any specialty associated with that classification. A contractor licensed as a residential specialty contractor is authorized to perform only the specific specialty for which the license is held. Performing work not listed under that classification may constitute a violation. So a concrete business has two routes on the residential side. Request the specialty classifications you actually pour, which is cheaper and faster, or qualify as a residential remodeler and carry general authority over the whole classification. Either way, you must show appropriate experience and qualifications for every classification you request and demonstrate the ability to perform it, and the board asks for experience on each specialty separately. Adding work later takes an amended class request form rather than a new application. Keep the certificate in front of you when you write estimates, because the classifications listed on it are the boundary of what you are allowed to sell.
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The dollar thresholds that decide whether you need a license
Four numbers decide what a concrete contractor in Arkansas needs. Two thousand dollars is the residential floor. A person or entity acting as a residential building contractor or a home improvement contractor is exempt when the cost of the work does not exceed two thousand dollars, and that exemption does not apply if the construction work needed to complete the project is divided into separate contracts of amounts less than two thousand dollars. Splitting a driveway into three small contracts does not avoid the license. Fifty thousand dollars is the commercial floor and also the ceiling on a limited residential license. A commercial license or registration is required at fifty thousand dollars or more, including labor and materials. A limited home improvement license restricts the holder to residential projects under fifty thousand dollars, and a limited licensee is not authorized to perform a project of fifty thousand dollars or more. An unlimited license carries no project size cap. Seven hundred fifty thousand dollars is the cap on the restricted commercial license offered on the board's commercial application. One million five hundred thousand dollars is the statutory line for financial reporting, because below that figure for a single commercial project an applicant may file a compiled financial statement instead of a reviewed one. Owners are treated differently. An owner acting as contractor on the construction of their own residence is exempt unless they build more than one residence in a calendar year, and an owner acting as their own home improvement contractor on their own property is exempt. A subcontractor of a contractor licensed by the committee is also exempt on the residential side.
Sourceslabor.arkansas.gov 1labor.arkansas.gov 2labor.arkansas.gov 3labor.arkansas.gov 4
Experience requirements and the qualifying party
Experience is proved per classification, not once for the company. On the commercial side, an application for Heavy construction, Highway railroad and airport, Municipal and utility, Building, Light building, Mechanical or Electrical must show a minimum of five years of appropriate experience or a passing score on the appropriate examination. An application for a specialty classification, which is where a straight concrete business usually lands, must show a minimum of one year of appropriate experience or a passing examination. On the residential side, residential building requires proof of four years of verifiable experience in the building industry, commercial or residential, or three verifiable references on the committee's forms, or a passing examination. Residential remodeler requires two years in the remodeling industry, or three references, or the examination. A residential specialty requires appropriate verifiable experience in the specialty area, or three references, or the examination. Project histories on the board's forms ask for the type of work, the dollar amount, the square footage and the approximate date, so keep that record on every pour instead of reconstructing it later. The license hangs on a qualifying party. A qualifying party is a person who has passed the business and law or trade examination, and must be a sole owner, a partner, an officer or member actively engaged in day to day activities, a partner of a limited liability partnership so engaged, or a full time employee. If the qualifying party leaves a licensed entity, written notice goes to the board within fifteen days and a fully qualified replacement must be in place within thirty days. An applicant holding a substantially equivalent license in good standing from another jurisdiction is not required to demonstrate experience.
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The Arkansas Business and Law examination
Commercial applicants, residential builders and residential remodelers must pass a business and law test. The board does not run it. An independent testing company, PSI, administers the Arkansas Business and Law Examination, and the board's commercial application lists the examination fee as eighty four dollars, which is not refundable or transferable. The test is open book, multiple choice, fifty questions, with a two hour time limit. You are tested only from the NASCLA Contractors Guide to Business, Law and Project Management, Arkansas Edition, and you must bring that book plus one government issued photo identification. You may highlight, underline, annotate and add permanent tabs before the session, but reference material may not be written in during the session, and removable tabs such as sticky notes are not permitted. Testing runs Monday through Saturday at most sites, and you arrive thirty minutes before the appointment for admission procedures. PSI reports results immediately, and getting the passing score to the board's office is your responsibility, because results mailed by PSI can take weeks and delay release of the license. Anyone who fails may be reexamined at a regular examination period on payment of the regular fee. A residential specialty applicant has a way around the test. Appropriate verifiable experience in the specialty area, or three verifiable references, can stand in place of the examination, which is how many concrete subcontractors get licensed without testing. A sole proprietor applicant who is an active duty service member, a military spouse or a veteran who was not dishonorably discharged, and who holds a current contractor license from another state, does not have to take the Arkansas Business and Law exam or submit reference forms for the same classifications held in that state.
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Commercial license fees and subcontractor registration
A new commercial application carries a one hundred dollar filing fee, paid by check or money order to the Contractors Licensing Board, and it is not refundable or transferable. The statute caps the application fee at one hundred dollars and caps the annual renewal fee at one hundred dollars. Board rule then sets renewal at fifty dollars when the completed application reaches the board before the expiration date. A renewal received within thirty days after expiration costs one hundred dollars, and reinstatement does not cover the gap between expiration and receipt. A renewal received more than thirty days after expiration also costs one hundred dollars and may wait for the board's next available meeting, and the applicant does not hold a valid license until the board approves it. A license may be renewed up to two years after its expiration date. Past two years the applicant must requalify by examination and file a new application. Subcontractor registration is the cheaper route for a concrete sub. A subcontractor of a properly licensed contractor may work on a registration certificate instead of a full commercial license, and the registration fee is one hundred dollars for both the original and the renewal. The definition is where crews get caught. If the contract is with the owner, written or verbal, you are a prime contractor and not a subcontractor, and if the prime does not hold the appropriate commercial license then you need a full commercial license yourself. Registration covers the specialty classifications listed in the board's rules, and the contractor must certify its competence and financial ability to perform them. An incomplete application must be finished within ninety days or another application and filing fee are required.
Sourceslabor.arkansas.gov 1labor.arkansas.gov 2labor.arkansas.gov 3
Residential and home improvement license fees
Residential fees are set by rule and run lower than commercial. A new residential builder application from an individual or entity not already licensed by the board costs one hundred dollars. A new residential remodeler or residential specialty application costs fifty dollars, and the board's home improvement application states the same fifty dollar filing fee. These fees are nonrefundable and cash is not accepted. Renewals split the same way. A residential builder renewal filed on time costs fifty dollars, and one hundred dollars if it is not timely filed. A residential remodeler or residential specialty renewal filed on time costs twenty five dollars, and fifty dollars if it is not timely filed. A residential roofing contractor registration, which a concrete business needs only if it also roofs, costs twenty dollars new and at renewal. An individual or entity that already holds a contractors license from the board pays only the renewal fee for that license, with no additional fee for the residential class, and adds classifications through an amended class request form rather than a fresh application. Separately, the board warns that any application not complete by the expiration date, counting the completed renewal, the fee and the financials, owes a fifty dollar late fee. Timely renewals usually get the license extended about six weeks from the date the renewal application is received so the file can be finished, but the fifty dollar late fee still applies if the application was not complete by the expiration date. The statute caps the committee's fee for new licenses and renewals at one hundred dollars and permits renewal terms of one, two or three years at up to one hundred dollars per year.
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The contractor bond and the net worth test
Every commercial contractor files a ten thousand dollar contractor's bond with the board before commencing work in the state. The bond is a condition of licensure and the license is not released until the bond has been properly filed. It must be in the principal name and EIN as registered with the Secretary of State, written by a surety authorized to do business in Arkansas, executed by an agent or producer licensed by the Arkansas Insurance Department, and filed with a power of attorney. It is payable to the State of Arkansas and conditioned on complying with state tax laws, local ordinances and rules, the Division of Workforce Services Law and the Workers Compensation Law. Cancellation requires sixty days written notice to the board. Net worth is the second test, and the figure depends on the classification requested. Heavy construction, Highway railroad and airport, Municipal and utility, and Building each require fifty thousand dollars of business related net worth. Light building, Mechanical and Electrical each require twenty thousand dollars. A specialty classification requires five thousand dollars. New applicants must hold one half of the minimum in cash in the bank, so a specialty applicant needs two thousand five hundred dollars in cash and a Building applicant needs twenty five thousand dollars. Property not used for business purposes does not count, and new applicants must also show positive working capital. A bond in lieu of a financial statement is allowed, with the amount set by classification, and it does not replace the ten thousand dollar contractors surety bond. Residential builders, unlimited remodelers and unlimited specialty contractors file a compiled financial statement showing positive net worth excluding the applicant's homestead and retirement accounts.
Sourceslabor.arkansas.gov 1labor.arkansas.gov 2labor.arkansas.gov 3labor.arkansas.gov 4
Workers compensation and insurance proof
Arkansas ties the residential license directly to workers compensation. A contractor required to be licensed by the Residential Contractors Committee must secure and maintain workers compensation coverage, and the committee requires proof of current coverage before issuing or renewing a license. If a contractor fails to maintain coverage, or fails to keep proof of current coverage on file with the committee, the committee shall revoke the license. A revoked license may be reinstated on receipt of proof that coverage has been secured. There is one carve out. A home improvement contractor is not required to secure workers compensation or provide proof to the committee when the cost of the work in Arkansas, including labor and materials, is less than fifty thousand dollars, unless other law requires it. The board states the same rule in plainer words. Residential builders and unlimited home improvement contractors must show proof of workers compensation if they have one or more employees, and limited home improvement contractors do not. That carve out is narrow and easy to misread. Generally all contractors with at least one employee are required to carry workers compensation under Ark. Code Ann. 11-9-102, and the Workers Compensation Commission enforces that separately from the license. A concrete crew with employees can therefore hold a limited home improvement license without filing a certificate at the board and still be in violation of the workers compensation law. The commercial application asks directly whether the applicant has workers compensation insurance, and an applicant with one or more employees must provide a current certificate of insurance verifying coverage.
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Renewal, late fees, inactive status and continuing education
Commercial certificates of license or registration expire at midnight on the day before the anniversary date of issuance unless the board designates otherwise, and they become invalid that day unless renewed. Residential licenses expire one year after the date of issuance unless the committee provides otherwise. Both sides allow renewal for one, two or three years at up to one hundred dollars per year. Renewal notices go out about sixty days before expiration, but failure to receive a notice does not excuse a late renewal, and the duty to renew rests on the license holder. A renewal is timely only if a completed application reaches the board by the expiration date. Renewal is more than a fee. Commercial licensees file a current financial statement or a bond in lieu of a financial statement, reviewed or audited for a regular license and compiled for a restricted license, each with a signed accountant report on letterhead. Residential builders and unlimited home improvement licensees file a current balance sheet, which can be completed inside the online renewal portal. The portal handles the application and the fee only, so financials go by email or fax, and once an online renewal is complete the portal cannot be used again until the next year. Inactive status is available at renewal. An inactive holder pays all renewal fees but files no financial information, and may not bid on any contract, pull any permit or perform work that requires a license. Reactivating means asking the committee or board and supplying everything an active renewal needs. The licensing law and rules the board publishes set no continuing education requirement for these licenses.
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Out of state contractors, temporary licenses and military applicants
Arkansas does not hand you a license because you hold one elsewhere, but it removes steps. An applicant who holds in good standing a substantially equivalent license from another jurisdiction is not required to demonstrate experience, and that applies on both the commercial and the residential side. The board may also develop reciprocal agreements with other states that have similar licensing responsibilities. Temporary licenses bridge the gap while the full file is processed. A ninety day temporary license is issued to an applicant who submits a completed application, a completed temporary license application and the fee, if the applicant holds in good standing a substantially equivalent license from another jurisdiction. The same ninety day temporary license goes to an applicant from a jurisdiction that does not issue a substantially equivalent license, if the applicant demonstrates appropriate competence by experience or appropriate testing. The board's application pages add hard limits. A temporary license is valid for ninety days once issued, it may be issued only once regardless of classification, and a licensee whose temporary license expires is ineligible for a later temporary license. The temporary applications are also open to contractors who supply references on the board's preprinted reference forms instead of an out of state license. Active duty service members, their spouses and veterans get an expedited application. An applicant in that group who holds a license in good standing from another jurisdiction with a similar scope of practice is not required to demonstrate experience or to take the examination, and a license held by a service member or spouse deployed outside Arkansas does not expire until one hundred eighty days after the return to the state.
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What unlicensed concrete work costs
Unlicensed contracting is a crime and a money problem at once. On the commercial side, contracting for work of fifty thousand dollars or more without first procuring a license or registration with the proper classification is a violation, and a violation is a Class A misdemeanor with each day of activity a separate offense. The same applies to presenting or filing another contractor's certificate, giving false or forged evidence to the board, impersonating another, and using an expired or revoked certificate. On the residential side, failing to procure the required license is also a Class A misdemeanor with each day in violation a separate offense. The civil penalty is the part that bites. A contractor found by the board after notice and hearing to have violated the law, or to have used a contractor in violation of it, pays a civil penalty of not less than one hundred dollars and not more than four hundred dollars per day for the activity, and on the commercial side the total may not exceed three percent of the project being performed. Interest runs at ten percent per year, and the penalty plus interest must be paid before a license will be issued. The board may issue an order of abatement, withhold approval of an application for up to six months, and sue in Pulaski County Circuit Court for a penalty unpaid after thirty days. Then there is the contract itself. No action may be brought at law or in equity to enforce any provision of a contract entered into in violation of the chapter. An unlicensed contractor may sue only for unjust enrichment or quantum meruit, and only after paying all fines and properly applying for a license. Proceedings must begin within three years of the act or omission.
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Job site signs, license numbers and the name you advertise under
Arkansas regulates the job site more tightly than the advertisement. The display rule is the one to know. Each contractor holding a license from the Residential Contractors Committee must display, in a prominent and legible manner, the license number and the contractor's name as licensed, in letters not less than three inches high, on a sign prominently displayed at all residential job sites. That is a per site duty, not a one time filing, so a driveway crew working out of a truck still needs the sign on every address. Names are policed as well. Contractors licensed under the residential subchapter may act as such only in the name under which the committee licensed them. On the commercial side, licenses and registrations are issued under the name and address listed on the front of the application, and the use of any other name may constitute a violation. Any change of name, address, ownership or anything else relating to the license must be reported to the board in writing within fifteen days. For a concrete business that means the name on the truck, the estimate and the website should match the name on the certificate, not a shortened trade name nobody registered. The licensing law and rules the board publishes do not add a separate requirement to print the license number in advertising, on vehicles or on written estimates, and no advertising specific penalty is published there. Treat the job site sign and the licensed name as the enforceable requirements, print the license number on estimates and marketing by choice, and never describe yourself as holding a classification that is not listed on the certificate.
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Permits beyond the license, and how a customer checks you out
The state license is not the last permission a concrete job needs. A city building inspector may not issue or allow the issuance of a building permit for work costing fifty thousand dollars or more until the applicant furnishes evidence that it is licensed under the contractors law or exempt from it, so the state license is what releases the permit. Cities add a layer of their own. Little Rock requires a city business license and states that all professional contractors and persons working on another's residence must also obtain a license from the Arkansas Contractors Licensing Board when the project is two thousand dollars or more. Anything touching a state highway goes through the transportation department. An access driveway permit is required whenever access to a state highway is needed for residential or commercial purposes, and the permit officer for the district where the driveway sits issues it. Other work inside the department's right of way needs a special permit from the same district officer. Before breaking ground, start a ticket with Arkansas 811. Member utilities locate their underground lines within two full working days, and the service lists laying a foundation and using earthmoving equipment among the jobs that require a ticket. Public bidding has its own rule: a project advertised for bid in Arkansas must be bid by a licensed prime contractor, though the holder of a single licensed classification making up eighty percent or more of the total project may bid as prime. Customers verify a contractor through the board's Find A Licensed Contractor page. The online search was unavailable on the date this page was verified, so the board's office is the fallback.
Sourceslabor.arkansas.gov 1littlerock.gov 2ardot.gov 3ar811.org 4labor.arkansas.gov 5