Under South Carolina building codes, what is the maximum allowable project value for a Tier I residential contractor?
Correct Answer
A) $200,000
Tier I residential contractors in South Carolina are limited to projects with a value not exceeding $200,000.
Why This Is the Correct Answer
$200,000 is correct. South Carolina law classifies residential contractors into tiers based on project value limits. Tier I contractors are authorized to undertake residential projects with a total value not exceeding $200,000. This threshold balances allowing smaller contractors to operate without the full bonding and insurance requirements of higher tiers while still protecting consumers.
Why the Other Options Are Wrong
Option B: $100,000
$100,000 is incorrect. This figure is not the Tier I threshold under South Carolina law. It may be confused with sub-threshold amounts used in other states or other licensing categories, but SC sets the Tier I ceiling at $200,000.
Option C: $50,000
$50,000 is incorrect. This is well below the actual Tier I limit and corresponds to no recognized SC residential contractor tier threshold. It may be confused with permit value thresholds or exemption amounts in other jurisdictions.
Option D: No limit
No limit is incorrect. South Carolina's tiered licensing system exists precisely to impose project-value limits on lower-tier contractors. An unlimited project value applies to higher-tier or unrestricted general contractor licenses, not Tier I residential contractors.
Memory Technique
Think '200K for Tier One.' Both 'Tier' and 'Two-hundred' start with a hard sound — 'T' — reinforcing the link. Alternatively: a Tier I contractor can handle a house valued under the median U.S. home price (~$200K at the time SC set this rule).
More South Carolina Questions
What is the maximum contract value a Tier 1 residential contractor can undertake in South Carolina?
Under South Carolina law, a contractor discovers a material defect in their work 6 months after project completion. The owner demands immediate correction. What is the contractor's legal obligation?
A contractor has 15 employees and annual payroll of $780,000. The workers compensation rate is $4.25 per $100 of payroll. What is the annual premium?
According to SC building codes, what is the maximum allowable deflection for a residential floor joist with a 16-foot span under live load?
A subcontractor completes $25,000 of electrical work but is not paid by the general contractor. The general contractor was paid by the owner. What is the subcontractor's lien priority against the property?
A contractor receives a stop work order from the building official. Work continues for 3 additional days before stopping. What penalty applies per South Carolina building codes?
Under South Carolina workers compensation law, which of the following employees would be exempt from coverage requirements?
Under South Carolina contractor licensing law, how many hours of continuing education are required annually for license renewal?
A Class B contractor wants to bid on a $750,000 commercial project. What must the contractor do to be eligible?
A contractor's license expires on June 30th. They submit renewal application and fees on July 15th. What additional penalty must they pay?
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