Legislation proposed by state Rep. Pete Daley, D-California, to fight home improvement fraud and to protect legitimate contractors has been passed by the state House.
House Bill 1543 would allow the state attorney general’s office to “bolster needed enforcement and oversight of fraud involving shady home-improvement contractors,” according to a news release from Daley.
“The measure guarantees that the fees paid by the contractors registering with the state, as well as any fines and any interest, go toward protecting consumers and contractors,” said Daley, the Democratic chairman of the House Consumer Affairs Committee.
Under the Home Improvement Consumer Protection Act, contractors performing any home improvement work in excess of $5,000 annually must register with the attorney general’s office and pay a $50 fee. That fee must be paid every two years.
The legislation also would streamline time and material agreements between homeowners and contractors. It now goes to the Senate for consideration.