Final Text
A. All complaints against contractors and residential building energy analyst firms may be filed with the Department of Professional and Occupational Regulation at any time during business hours, pursuant to § 54.1-1114 of the Code of Virginia.
B. The following acts are prohibited acts:
1. Failure in any material way to comply with provisions of Chapter 1 (§ 54.1-100 et seq.) or Chapter 11 (§ 54.1-1100 et seq.) of Title 54.1 of the Code of Virginia or the regulations of the board.
2. Furnishing substantially inaccurate or incomplete information to the board in obtaining, renewing, reinstating, or maintaining a license.
3. Failure of the responsible management, designated employee, or qualified individual to report to the board, in writing, the suspension or revocation of a contractor license by another state or conviction in a court of competent jurisdiction of a building code violation.
4. Publishing or causing to be published any advertisement relating to contracting that contains an assertion, representation, or statement of fact that is false, deceptive, or misleading.
5. Negligence or incompetence in the practice of contracting or residential building energy analyses.
6. Misconduct in the practice of contracting or residential building energy analyses.
7. A finding of improper or dishonest conduct in the practice of contracting by a court of competent jurisdiction or by the board.
8. Failure of all those who engage in residential contracting, excluding subcontractors to the contracting parties and those who engage in routine maintenance or service contracts, to make use of a legible written contract clearly specifying the terms and conditions of the work to be performed. For the purposes of this chapter, residential contracting means construction, removal, repair, or improvements to single-family or multiple-family residential buildings, including accessory-use structures as defined in § 54.1-1100 of the Code of Virginia. Prior to commencement of work or acceptance of payments, the contract shall be signed by both the consumer and the licensee or the licensee's agent.
9. Failure of those engaged in residential contracting as defined in this chapter to comply with the terms of a written contract that contains the following minimum requirements:
a. When work is to begin and the estimated completion date;
b. A statement regarding total cost of the project with regards to the type of contract being specified:
(1) Standard total value project: a statement of the total cost of the project;
(2) Cost plus: a statement identifying the type of cost-plus contract, fee or percentage, and a cap that the total dollar amount cannot exceed; or
(3) Time and materials: a fixed price for labor that includes wages, overhead, general and administrative costs, and cost of materials;
c. The amounts and schedule for progress payments, including a specific statement on the amount of the down payment;
d. A listing of specified materials and work to be performed, which is specifically requested by the consumer;
e. A "plain-language" exculpatory clause concerning events beyond the control of the contractor and a statement explaining that delays caused by such events do not constitute abandonment and are not included in calculating timeframes for payment or performance;
f. A statement of assurance that the contractor will comply with all local requirements for building permits, inspections, and zoning;
g. Disclosure of the cancellation rights of the parties;
h. A signed acknowledgment by the consumer that the consumer has been provided with and read the Department of Professional and Occupational Regulation statement of protection available to consumers through the Board for Contractors;
i. Contractor's name, address, license number, class of license, and classifications or specialty services;
j. A statement providing that any modification to the contract that changes the cost, materials, work to be performed, or estimated completion date must be in writing and signed by all parties; and
k. A statement notifying consumers of the existence of the Virginia Contractor Transaction Recovery Fund that includes information on how to contact the board for claim information.
10. Failure to make prompt delivery to the consumer before commencement of work of a fully executed copy of the contract as described in subdivisions 8 and 9 of this subsection for construction or contracting work.
11. Failure of the contractor to maintain for a period of five years from the date of contract a complete and legible copy of all documents relating to that contract, including the contract and any addenda or change orders.
12. Refusing or failing, upon request, to produce to the board, or any of its agents, any document, book, record, or copy of it in the licensee's possession concerning a transaction covered by this chapter or for which the licensee is required to maintain records.
13. Failing to respond to an agent of the board or providing false, misleading, or incomplete information to an investigator seeking information in the investigation of a complaint filed with the board against the contractor. Failing or refusing to claim certified mail sent to the licensee's address of record shall constitute a violation of this regulation.
14. Abandonment, defined as the unjustified cessation of work under the contract for a period of 30 days or more.
15. The intentional and unjustified failure to complete work contracted for or to comply with the terms in the contract.
16. The retention or misapplication of funds paid, for which work is either not performed or performed only in part.
17. Making any misrepresentation or making a false promise that might influence, persuade, or induce.
18. Assisting another to violate any provision of Chapter 1 (§ 54.1-100 et seq.) or Chapter 11 (§ 54.1-1100 et seq.) of Title 54.1 of the Code of Virginia or this chapter or combining or conspiring with or acting as agent, partner, or associate for another.
19. Allowing a firm's license to be used by another.
20. Acting as or being an ostensible licensee for undisclosed persons who do or will control or direct, directly or indirectly, the operations of the licensee's business.
21. Action by the firm, responsible management as defined in this chapter, designated employee, or qualified individual to offer, give, or promise anything of value or benefit to any federal, state, or local employee for the purpose of influencing that employee to circumvent, in the performance of the employee's duties, any federal, state, or local law, regulation, or ordinance governing the construction industry.
22. Where the firm, responsible management as defined in this chapter, designated employee, or qualified individual has been convicted or found guilty, after initial licensure, regardless of adjudication, in any jurisdiction, of any felony or non-marijuana misdemeanor, there being no appeal pending therefrom or the time of appeal having elapsed.
23. Failure to inform the board in writing, within 30 days, that the firm, a member of responsible management as defined in this chapter, its designated employee, or its qualified individual has pleaded guilty or nolo contendere or was convicted and found guilty of any felony or of a Class 1 misdemeanor or any non-marijuana misdemeanor conviction for activities carried out while engaged in the practice of contracting.
24. Having been disciplined by any county, city, town, or any state or federal governing body, including action by the Virginia Department of Health, which action shall be reviewed by the board before it takes any disciplinary action of its own.
25. Failure to abate a violation of the Virginia Uniform Statewide Building Code (13VAC5-63).
26. Failure of a contractor to comply with the notification requirements of the Virginia Underground Utility Damage Prevention Act, Chapter 10.3 (§ 56-265.14 et seq.) of Title 56 of the Code of Virginia (Miss Utility).
27. Practicing in a classification, specialty service, or class of license for which the contractor is not licensed.
28. Failure to satisfy any judgments.
29. Contracting with an unlicensed or improperly licensed contractor or subcontractor in the delivery of contracting services.
30. Failure to honor the terms and conditions of a warranty.
31. Failure to obtain written change orders, which are signed by both the consumer and the licensee or the licensee's agent, to an already existing contract.
32. Failure to ensure that supervision, as defined in this chapter, is provided to all helpers and laborers assisting licensed tradesman.
33. Failure to obtain a building permit or applicable inspection, where required.
34. Failure of a residential building energy analyst firm to ensure that residential building energy analyses conducted by the firm are consistent with the requirements set forth by the board, the U.S. Environmental Protection Agency, the U.S. Department of Energy, or the Energy Star Program.
35. Failure of a residential building energy analyst firm to maintain the general liability insurance required in 18VAC50-22-62 C at any time while licensed by the board.
36. Failure of a contractor holding the drug lab remediation specialty to ensure that remediation work conducted by the firm or properly licensed subcontractors is consistent with the guidelines set forth by the U.S. Environmental Protection Agency, Virginia Department of Environmental Quality, Virginia Department of Health, or Virginia Department of Forensic Science.
37. Failure of a contractor to appropriately classify all workers as employees or as independent contractors as provided by law.
38. Failure to comply with the provisions of 18VAC50-22-265.
A. In accordance with § 54.1-1117.1 of the Code of Virginia, any sale, lease, or power purchase agreement for a solar energy system requires the execution of a written contract that meets the requirements of § 54.1-1117.1 of the Code of Virginia and this section. The provisions of this section do not preclude compliance with applicable provisions of 18VAC50-22-260 pertaining to those engaged in residential contracting. As used in this section, the terms "lease," “power purchase agreement,” “solar energy system,” and “solar installation company” have the meanings ascribed to them in § 54.1-1117.1 A of the Code of Virginia.
B. Any contract for sale, lease, or power purchase agreement of a solar energy system must include the following in at least 10-point font:
1. The name, address, telephone number, email address, and Virginia contractor license number of the solar installation company and third party providing the lease, as applicable;
2. If the solar installation company will be using subcontractors known at the time the contract is executed, the name, address, telephone number, email address, and Virginia contractor license number, if applicable, of each subcontractor used. If information on subcontractors is not available at the time of executing the written contract, the installer must provide such information to the customer within five business days of contracting with any subcontractor;
3. Information on the amounts and schedule for progress payments, including a specific statement of the down payment amount;
4. Solar energy system design assumptions, including system size, estimated first year production, estimated annual system production degradation, presence of energy storage, energy storage capacity, maximum power output of energy storage, and energy storage model information. If there are equipment substitutions that differ from the contracted system design, the solar installation company must notify the customer within five business days. A copy of any documents presented to the customer or purchaser using solar energy system design assumptions, such as sales proposals, must be provided at the same time as the written contract;
5. Payment due dates, the manner in which the customer will receive invoices, and how to pay for the lease of the solar energy system or the purchase of power from the solar energy system. No payment will be due from the customer to a third-party owner of a solar energy system until the solar energy system is installed, has achieved permission to operate and interconnection, and is functioning;
6. Any one-time or recurring fees, including the circumstances triggering any late fees, estimated solar energy system removal fees, Uniform Commercial Code notice removal and refiling fees, internet connection fees, or Automated Clearing House fees. If the solar installation company obtains, arranges for, negotiates, places, or finds credit for the consumer in connection with the purchase of a solar energy system, the solar installation company must disclose all loan fees, dealer fees, program fees, or buyer or seller points, provided that the provisions of this subdivision do not affect or limit disclosures otherwise required under the laws of the Commonwealth or federal law;
7. A description of all performance or production guarantees or estimates of performance or production; and
8. The right to cancel the contract, without penalty, within five business days of contract execution.
C. Any sale, lease, or power purchase agreement for a solar energy system must include the written disclosures required by this subsection in at least 10-point font. Such disclosures must be provided to the customer or purchaser either through a separate document signed by the consumer or purchaser prior to execution of the written contract, or through disclosures that are included as a cover sheet to the written contract. A solar installation company must provide such disclosures through a board-provided disclosure form that must be signed by the consumer or purchaser and the solar installation company. The following disclosures are required:
1. Whether and to what extent maintenance and repairs are included, and any solar energy system maintenance costs for which the customer will be responsible.
2. The following statement: "Comparable equipment may be installed. Such comparable equipment shall be substantially similar equipment to the proposed solar energy system and will not result in a reduction of the estimated first year production by more than five percent, a decrease in the solar energy system's kilowatts-AC and kilowatts-DC size, or an increase in the purchase price for the solar energy system."
3. A description of the workmanship warranty that covers repairs for any damage to the customer's residential property in connection with the solar energy system installation.
4. For a lease, whether the cost of removal of the solar energy system is included in the contract.
5. A brief description of the basis for any savings estimates that were provided to the customer or purchaser, with a copy of such savings estimates, which must include the applicable electric utility rates for service, assumptions for increases to future rates for electric service, estimated solar energy system production, and the availability of programs that provide utility compensation for excess energy generated by the solar energy system at the time of contract execution.
6. Information concerning the retention and ownership of any renewable energy credits associated with the solar energy system.
7. The individual or entity responsible for obtaining electric interconnection approval for the solar energy system.
8. A notice that the customer or purchaser has the right to cancel the contract, without penalty, within five business days of contract execution, including the date and time at which such right expires and the method for canceling the contract.
9. The following statement: "The assumptions used to estimate savings such as utility rates may change. There may be fees and standby and demand charges that cannot be offset with solar energy, and excess electricity sent back to the grid may be credited at rates below what you pay for electricity. For further information regarding rates, you may contact your local utility or the State Corporation Commission. Tax and other state and federal incentives are subject to change or termination by executive, legislative, or regulatory action, which may impact savings estimates. Please read your contract carefully for more details."
10. If applicable, whether the owner or lessor of the solar energy system will be submitting a financing statement for the system. If a solar financing statement is submitted, the following statement must also be included: "A solar loan, lease, or power purchase agreement may affect your ability to sell your home. A buyer may not be willing to assume such obligations, which may affect a home sale."
11. If applicable, information regarding transferability of the lease and any conditions for lease transfers in connection with a customer selling the customer’s home.
D. A contract for the sale of a solar energy system must list the total cost of the system, including the costs of all equipment, the energy storage system, and other charges, as well as reasonable estimates of labor and installation costs. Any adjustment to the total cost of the system after execution arising from equipment substitutions, code or permitting requirements, interconnection requirements, or unforeseen site conditions requires a written change order signed by both parties before additional or modified work is performed.
E. A lease must also include the following information:
1. The term and amount of monthly payments under the lease, including any payment increases and the date of the first increase; and
2. The total number of payments and estimated payments over the term of the lease.
F. A power purchase agreement must also include the following information:
1. The term and amount of monthly payments under the power purchase agreement, including any payment increases and the date of the first increase;
2. Rates applicable for the first year under the power purchase agreement; and
3. The total number of payments and estimated payments over the term of the power purchase agreement.
Contractor Licensing Information, A501-27INTRO-v8 (rev. 9/2025)
Requirements for Qualified Individuals, A501-27EXINFO-v10 (rev. 9/2025)
Contractor's License Application, A501-27LIC-v16 (rev. 9/2025)
Surety Bond Form, A501-27BOND-v1 (eff. 7/2017)
Additional Specialty Designation Application, A501-27ADDSP-v15 (rev. 9/2025)
Adverse Financial History Reporting Form, A406-01AFIN-v2 (eff. 7/2020)
Change in Qualified Individual or Designated Employee Application, A501-27CH_QIDE-v14 (rev. 9/2025)
Change of Responsible Management Application, A501-27CHRM-v6 (rev. 9/2025)
Certificate of License Termination, A501-27TERM-v4 (rev. 12/2015)
Criminal Conviction Reporting Form, A406-01CCR-vs6 (eff. 9/2025)
Disciplinary Action Reporting Form, A406-01DAR-v3 (eff. 7/2020)
Education Provider Registration/Course Approval Application, A501-27EDREG-v5 (rev. 1/2014)
Education Provider Listing Application, A501-27EDLIST-v4 (rev. 1/2014)
Financial Statement, A501-27FINST-v4 (rev. 12/2012)
Change in License Class Application, A501CHLIC-v15 (rev. 9/2025)
Firm - Residential Building Energy Analyst Application, A501-2707LIC-v6 (rev. 8/2025)
Statement of Consumer Protections (eff. 7/2025)
Solar Energy System Disclosure Form, A501-27DIS-v1 (eff. 1/2027)
Contractor Temporary License Application, A501-2703LIC-v11 (rev. 9/2025)
Expedited Class A License Application, A501-2705A_ELIC-v17 (rev. 9/2025)