Roofing Contractors Adjusting to New Licensing Rules in Alabama

Todd Bryant Beginning in January, a new category of home builders contractor licenses went into effect in Alabama. The new category, a so-called "roofers license" was introduced in May last year through legislation that amended sections of the Home Builders Licensure Law.

Under these amendments, contractors who perform residential roofing work over a certain dollar amount are required to obtain this type of license from the state’s Home Builders Licensure Board (HBLB). Such contractors must also post a $10,000 bond for contractors before they are issued their license.

Alabama Roofing Contractor License Requirement

To perform residential roofing over $2,500, contractors in Alabama require a roofer’s license. This license was introduced last year when Chapter 14A, Title 34 of the Code of Alabama was amended to include the definition of residential roofer. This amendment does not, however, concern contractors who are currently licensed with the HBLB but only those who are applying for a new license.

Under the amended law, a residential roofer is "a person that installs products or repairs surfaces on the external upper covering of a residence or structure that seals, waterproofs, or weatherproofs the residence or structure."

Unlike other contractor license types, residential roofers will not need to pass an exam to qualify for their license. Roofers will need to provide proof of current or prior qualification though. Here is the full list of licensing requirements that roofers in Alabama will need to comply with:

Complete the license application package in full;
Provide a copy or other proof of a currently held, or held on or before one year prior to the date of application, business or occupational contractors license in the state. Such license may be issued by a municipality, county, township;
Additional proof (if needed) that the applicant has sufficient roofing experience and qualifications;
Submit a $10,000 contractor license bond that guarantees their compliance with the sections of the Code of Alabama that govern their business;
Pay an annual license fee of $150.

The requirement to obtain a surety bond is new to the licensing process for contractors in Alabama. The purpose of this bond is to serve as a financial guarantee that bonded roofing contractors will perform work in accordance with state laws. Requiring contractors to get licensed and bonded is also a way to guarantee that mostly qualified and capable contractors are conducting work.

If a roofing contractor violates the bond agreement by not performing according to requirements or by performing in a way which causes losses or damages to a homeowner, the latter may file a claim against the bond. Such a claim would lead to them being compensated for the roofer's violation and can be as high as the full amount of the bond.

Other Changes to the Home Builders Licensure Law

Apart from the introduction of a new license, the Home Builders Licensure Law was also amended to include several other items. Some of these are as follows:

Like roofers, applicants for a limited license must also show proof of having or having had a business or occupational contractors license issued in the state;
Applicants that fall under the Military Family Jobs Opportunity Act may receive a waiver of the licensing fee for at least 180 days;
In cases in which a state of emergency is declared by the governor, requirements for the roofers license (with the exception of the surety bond) may be waived and emergency licenses can be issued. Such licenses will be valid for no more than 60 days;
A list of violations of the law which includes: failing of a contractor to notify the Board within 10 days of any verdicts against themselves, failure to use written contracts, using the logo of the Board for commercial purposes.

Thoughts on the New Requirements

What do you think about the new licensing requirements and amendments to the Home Builders Licensure Law? Do you think the roofing contractor license will help achieve the goal of introducing more qualified and skilled labor in the field?

Leave a comment and let us know what you think!