A Class B contractor in Virginia wants to bid on a $750,000 project. What additional requirement must be met beyond the standard license?
Correct Answer
B) Obtain Class A license upgrade
Class B contractors are limited to projects under $750,000. For a $750,000 project, a Class A license is required.
Why This Is the Correct Answer
Virginia classifies contractor licenses into Class A, B, and C based on project value thresholds. Class B contractors are authorized for projects between $10,000 and under $750,000 (single project) or under $2,000,000 (annual). A $750,000 single project meets or exceeds the Class B ceiling, requiring a Class A license upgrade. Class A has no upper dollar limit on project size.
Why the Other Options Are Wrong
Option A: Provide proof of increased insurance coverage
Increased insurance coverage is not the specific statutory requirement for taking on larger projects. While Class A contractors generally carry higher insurance, simply increasing coverage without obtaining the Class A license does not authorize the contractor to legally bid on that project size.
Option C: Submit detailed project management plan
A detailed project management plan is not a Virginia licensing requirement for moving to a higher project value. Project management plans may be required by specific owners or agencies, but they are not a DPOR licensing prerequisite.
Option D: Post additional surety bond
An additional surety bond is not the required mechanism for bidding on larger projects under Virginia law. License classification — not bond adjustment — is the controlling requirement for project dollar thresholds.
Memory Technique
Remember the Virginia license ladder: C is for small (under $10K), B is for mid-range (up to but NOT including $750K per project), A is for anything at or above that ceiling. Think 'A = Anything goes, B = Below $750K.'
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