NY HOME IMPROVEMENT
CONTRACTOR STUDY GUIDE EXAM
REVIEW QUESTIONS AND ANSWERS
When is Painting or decoration of a building, residence, home, or apartment considered
H.I.? - ANSWER -When there is painting work being done as part of other home
improvement work.
When is Painting or decoration of a building, residence, home, or apartment NOT
considered H.I.? - ANSWER -When it is a standalone job not part of of other home
improvement work.
Who is a "contractor"? - ANSWER -Anyone who owns, operates, maintains, conducts,
controls, or transacts a home improvement business and undertakes or agrees to
perform any home improvement.
What legal entity is a contractor required to be? - ANSWER -A contractor may be an
individual, a firm, a company, a partnership, or a corporation.
What is a H.I. contract? - ANSWER -An agreement between a contractor and a
consumer or tenant for performance of a home improvement
What must a H.I. contract detail? - ANSWER -All labor, services, and materials to be
furnished and performed.
Who is a "salesperson"? - ANSWER -Someone who negotiates a H.I. contract with a
consumer or tenant, or solicits a home improvement contract from an owner or tenant.
Who must have a DCA license? - ANSWER -Any person who solicits, canvasses, sells,
performs, or obtains a H.I. contract as a contractor or salesperson must have a DCA
license.
What is "home improvement" (H.I.)? (C R R R R A A I) - ANSWER -the construction,
repair, remodelling, alteration, rehabilitation, renovation, improvement, or addition to any
land or building used as a residence or dwelling place.
What parts of a home can a H.I. include? - ANSWER -Any part of the home OR land
(including basements, driveways, fences, garages, landscaping, patios, porches,
sidewalks, swimming pools, and terraces.)
What system installations are part of H.I.? (4) - ANSWER -Central heating/air
conditioning, Central vacuum, Doors, windows, awnings, and Communication systems.
, What is NOT considered H.I.? - ANSWER -Construction of a new home or building,
Sale of goods or materials in connection with the installation of or application of goods
or materials, Work performed on a residence owned or controlled by the state or
municipality
Does an individual employee of a contractor, who does not solicit or negotiate contracts,
need to be licensed? - ANSWER -No
What is the maximum amount an H.I. job can be to not require a licensed contractor? -
ANSWER -$200
Do plumbers and electricians who do not perform work outside their trade need a H.I.
license? - ANSWER -No, they have their own trade licenses.
When would an architect or engineer involved with an H.I. project need a contractor's
license? - ANSWER -If they are physically performing H.I. functions outside the scope
of an architect or engineer.
Must a H.I. Contractor license be posted? - ANSWER -Yes, it must be posted in the
Contractor's office where all consumers can see it, or show it to consumers upon
request.
Change of business address, ownership, management, or trade name must be reported
to DCA within how many days? - ANSWER -10 days
How many business locations can a H.I. Contractor's license cover? - ANSWER -One.
A separate license is required for each place of business.
When and how does a H.I. Contractor's license get renewed? - ANSWER -About three
months before license expiration, DCA will mail a renewal package. It can be renewed
by mail, online, or in person at the DCA Licensing Center.
May a H.I. Contractor assign the task of getting permits, exemptions or C/O to the home
owner (customer)? - ANSWER -No, The prime contractor must secure all necessary
permits, licenses, Certificates of Occupancy, or exemptions necessary to complete the
contract in accordance with state and local building laws.
How many years must a H.I. Contractor maintain copies of contracts, books of account,
and other records reflecting all transactions related to the home improvement business?
- ANSWER -Six (6) years or the length of time of any contractual guarantee, whichever
is longer.
What percentage of a customers payments can a Contractor use for administrative,
overhead, and other projects? - ANSWER -The contractor may not use funds received
to pay expenses unrelated to the home improvement, unless the home improvement is
CONTRACTOR STUDY GUIDE EXAM
REVIEW QUESTIONS AND ANSWERS
When is Painting or decoration of a building, residence, home, or apartment considered
H.I.? - ANSWER -When there is painting work being done as part of other home
improvement work.
When is Painting or decoration of a building, residence, home, or apartment NOT
considered H.I.? - ANSWER -When it is a standalone job not part of of other home
improvement work.
Who is a "contractor"? - ANSWER -Anyone who owns, operates, maintains, conducts,
controls, or transacts a home improvement business and undertakes or agrees to
perform any home improvement.
What legal entity is a contractor required to be? - ANSWER -A contractor may be an
individual, a firm, a company, a partnership, or a corporation.
What is a H.I. contract? - ANSWER -An agreement between a contractor and a
consumer or tenant for performance of a home improvement
What must a H.I. contract detail? - ANSWER -All labor, services, and materials to be
furnished and performed.
Who is a "salesperson"? - ANSWER -Someone who negotiates a H.I. contract with a
consumer or tenant, or solicits a home improvement contract from an owner or tenant.
Who must have a DCA license? - ANSWER -Any person who solicits, canvasses, sells,
performs, or obtains a H.I. contract as a contractor or salesperson must have a DCA
license.
What is "home improvement" (H.I.)? (C R R R R A A I) - ANSWER -the construction,
repair, remodelling, alteration, rehabilitation, renovation, improvement, or addition to any
land or building used as a residence or dwelling place.
What parts of a home can a H.I. include? - ANSWER -Any part of the home OR land
(including basements, driveways, fences, garages, landscaping, patios, porches,
sidewalks, swimming pools, and terraces.)
What system installations are part of H.I.? (4) - ANSWER -Central heating/air
conditioning, Central vacuum, Doors, windows, awnings, and Communication systems.
, What is NOT considered H.I.? - ANSWER -Construction of a new home or building,
Sale of goods or materials in connection with the installation of or application of goods
or materials, Work performed on a residence owned or controlled by the state or
municipality
Does an individual employee of a contractor, who does not solicit or negotiate contracts,
need to be licensed? - ANSWER -No
What is the maximum amount an H.I. job can be to not require a licensed contractor? -
ANSWER -$200
Do plumbers and electricians who do not perform work outside their trade need a H.I.
license? - ANSWER -No, they have their own trade licenses.
When would an architect or engineer involved with an H.I. project need a contractor's
license? - ANSWER -If they are physically performing H.I. functions outside the scope
of an architect or engineer.
Must a H.I. Contractor license be posted? - ANSWER -Yes, it must be posted in the
Contractor's office where all consumers can see it, or show it to consumers upon
request.
Change of business address, ownership, management, or trade name must be reported
to DCA within how many days? - ANSWER -10 days
How many business locations can a H.I. Contractor's license cover? - ANSWER -One.
A separate license is required for each place of business.
When and how does a H.I. Contractor's license get renewed? - ANSWER -About three
months before license expiration, DCA will mail a renewal package. It can be renewed
by mail, online, or in person at the DCA Licensing Center.
May a H.I. Contractor assign the task of getting permits, exemptions or C/O to the home
owner (customer)? - ANSWER -No, The prime contractor must secure all necessary
permits, licenses, Certificates of Occupancy, or exemptions necessary to complete the
contract in accordance with state and local building laws.
How many years must a H.I. Contractor maintain copies of contracts, books of account,
and other records reflecting all transactions related to the home improvement business?
- ANSWER -Six (6) years or the length of time of any contractual guarantee, whichever
is longer.
What percentage of a customers payments can a Contractor use for administrative,
overhead, and other projects? - ANSWER -The contractor may not use funds received
to pay expenses unrelated to the home improvement, unless the home improvement is
