Hiring a contractor in Idaho: registration, state licenses and permits

Idaho gives homeowners more to check than people expect, and most of it is free and public. There is a state registration for general contractors, separate state licenses for the trades that can burn a house down or flood it, a disclosure the contractor owes you before you sign, and a city permit for more jobs than you might think. None of it says whether the work will be good. It does say whether the person you are about to pay is working inside the rules.

This is general information, not legal advice. For anything that turns into a dispute, talk to a lawyer.

The $2,000 line

Idaho requires anyone who takes on a construction job worth more than $2,000, counting materials and labor, to register with the Idaho Contractors Board. The board sits inside the Division of Occupational and Professional Licenses, known as DOPL.

To register, a contractor has to show the state proof of workers' compensation insurance and a general liability policy. That is the useful part for you: a registration means those policies were on file with the state at some point. It does not prove they are in force today, so ask for current certificates as well.

A few people are exempt. Licensed electricians, plumbers and HVAC installers work under their own trade licenses instead, as long as they stay within what the license covers. Employees paid wages do not register separately. A homeowner doing work on their own house, with no plan to sell it within 12 months, is exempt too.

What happens to a contractor who skips it

The state's own FAQ spells it out. An unregistered contractor cannot get a building permit, loses the right to file a lien, and loses the right to go to court to collect payment. That last one should make you wary of anyone who offers a lower number to work "off the books." They are giving up protections they would normally have, and a job with no permit is usually a job with no inspection.

The same FAQ tells homeowners to get proof that everyone working on the project is registered. That includes subcontractors.

The trades with their own licenses

Electrical, plumbing and HVAC work each have a state license and a board of their own, all under DOPL. A roofer or a deck builder registers; an electrician is licensed. If a general contractor is bringing in an electrician or a plumber for part of your job, it is fair to ask who that is and look them up too.

How to look someone up

DOPL's website has a public search, labeled "Search for a License or Registration." It covers both the contractor registrations and the trade licenses. Look up the person or the company, and check that the status is current and that the name matches the one on your estimate. The same site has a page for filing a complaint against a licensee if something goes wrong.

Do this before you sign. It takes a few minutes.

The disclosure you are owed

Under Idaho Code section 45-525, a general contractor has to give a homeowner a disclosure before entering into any contract over $2,000. It has to tell you four things:

1. You may require the contractor to get lien waivers from subcontractors, at your reasonable expense.
2. You may ask for proof of general liability insurance, including completed operations, and proof of workers' compensation.
3. You may buy an extended title insurance policy that covers certain liens that have not been filed yet.
4. You may require a surety bond up to the value of the project.

Then, before final payment, the contractor has to give you a written list of the subcontractors, material suppliers and equipment rental companies who worked on the job above a threshold set in the statute.

If a contractor on a job this size has never mentioned any of this, that alone tells you something. Ask for the disclosure. Use the rights in it, especially the lien waivers. Idaho's lien statute gives a lien to every person who performs labor on a building or furnishes materials for it, whether the work was ordered by the owner or by the owner's contractor. That means a subcontractor or supplier who goes unpaid has a claim that can reach your property. A waiver from each one, as you pay, closes that door.

City permits in Idaho Falls

Inside city limits, permits come from the city's Building Division. A few points from the city's own pages:

• Building, electrical, mechanical and plumbing work all need permits, and the city charges a double fee if work starts before the permit is issued.
• No inspection happens until the permit exists.
• Replacing a water heater or a furnace needs a permit and an inspection.
• A new fence needs a permit.
• Patio covers, carports, and any detached structure over 120 square feet that will house people, equipment or property need a building permit.

It is fine to ask a contractor who is pulling the permit and to see it before work starts. Remember the rule above: an unregistered contractor cannot get one.

Put the scope and the payments in writing

A written scope protects both sides. It should name the products going in, say who hauls away the debris, and describe what happens when the crew finds something nobody expected once a wall or roof is open. Changes should be in writing and signed before the price moves.

Tie payments to finished stages rather than dates. Framing done and inspected, then a payment. Rough-in passed, then a payment. Keep the final payment until the city's final inspection has passed and you have lien waivers in hand.

Plan around the weather

Idaho Falls has a short season for exterior work. The airport's record lows for May and for September are both below 20 degrees, and snow averages around three feet a winter. Concrete, roofing, siding and exterior paint all want the warm months, so plan those jobs well ahead. If someone can start an exterior job next week in July, ask why the opening exists.

Using our listings

Our Remodeling and Contractors, Roofing, Electricians, Plumbers, and Heating and Air Conditioning categories list businesses working in the Idaho Falls area, by name, address and phone. We have not hired or checked any of them, and a listing here is not a registration or license check. Run every name through DOPL's search yourself.