Study guide Questions with ANSWERs
2026/2027
1. What must a H.I. contract detail? - ANSWER-All labor, services, and
materials to be furnished and performed.
2. 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.
3. 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.
4. Does an individual employee of a contractor, who does not solicit or
negotiate contracts, need to be licensed? - ANSWER-No
5. What is the maximum amount an H.I. job can be to not require a licensed
contractor? - ANSWER-$200
6. 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.
7. 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.
8. 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.
9. Change of business address, ownership, management, or trade name must be
reported to DCA within how many days? - ANSWER-10 days
10.How many business locations can a H.I. Contractor's license cover? -
ANSWER-One. A seperate license is required for each place of business.
, 11.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.
12.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.
13.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.
14.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 completed and all expenses
for direct labor, material, and subcontractors related to the home
improvement have been paid.
15.What is "home improvement" (H.I.)? (C R R R R A A I) - ANSWER-the
construction, repair, remodeling, alteration, rehabilitation, renovation,
improvement, or addition to any land or building used as a residence or
dwelling place.
16.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.)
17.What system installations are part of H.I.? (4) - ANSWER-Central
heating/air conditioning, Central vacuum, Doors, windows, awnings, and
Communication systems.
18.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