A Class C-20 contractor wants to bid on a project worth $850,000. What additional requirement must be met beyond the standard license?
Correct Answer
A) No additional requirements beyond valid C-20 license
Class C specialty contractors have no monetary limit on projects within their classification scope, unlike the $500,000 limit for Class B contractors on specialty work.
Why This Is the Correct Answer
Class C specialty contractor licenses have no monetary cap on projects within their classification scope. The $500,000 limit applies to Class B General Building Contractors performing specialty work outside their normal scope, not to Class C contractors working within their specialty. A valid C-20 license is fully sufficient for any project value in that classification.
Why the Other Options Are Wrong
Option B: Obtain a Class B license
A Class B license is not required for a C-20 contractor to bid on a high-value project. The licensing requirement is tied to classification scope, not dollar amount. Requiring a B license would be incorrect because the work is within the C-20 specialty scope.
Option C: Increase bond amount to match project value
The contractor's license bond amount ($25,000 for most contractors) is fixed by statute and is not scaled to match project value. There is no provision requiring a bond increase proportional to individual project size.
Option D: File additional financial statements with CSLB
CSLB does not require contractors to file additional financial statements based on a single project's value. Financial documentation requirements are tied to license issuance and renewal, not individual project thresholds.
Memory Technique
Think: 'C is Classless on cost.' A Class C contractor working within their own classification has no dollar limit. The $500K rule is a Class B restriction for work outside their primary scope, not a universal rule.
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