Evening star. [volume] (Washington, D.C.) 1854-1972, 1960-11-27
Home Contractors
Regulations Drawn
License, Bond
Proposals to Go
To D. Heads
BY SAM EASTMAN
Star stan Writer


Scaled down proposals to
safeguard District residents
against INSCRIPTIONS home-im-
provement contractors are to
be presented this week to the
Commissioners.
These protective regulations,
including licensing and bonding
requirements, would be limited
to jobs amounting to at least
$500 where the home-owner
makes any payment before the
work is completed.
The recommended regula-
lions were drafted by city Off
Gals after conferences with
representatives of the industry
and other groups concerned
with the problem.
The regulations were drawn
under legislation passed by the
last Congress. This measure
was enacted in the wake of The
Stars Home owner Beware"
series, which outlined fraudu-
lent and unethical practices
here in this repair and remod-
cling field.
Action Awaits Hearing
No action will be taken by
the Commissioners until after
they hold a public hearing on
the proposals.
The new feature in the final
draft is the $500 advance-pay-
ment yardstick for the munich
pal controls.
The goal under this setup,
officials said, is to give the
homeowner adequate protection
while holding the city's admin
istrative chore within reason
able limits.
c. T. Nottingham, chief Of
licenses and inspections, esti-
mated that 1000 contractors
will be licensed and bonded if
the regulations are adopted.
Without the limitations, as
many as 10000 firms would
come under the controls, he
said.
LoophoIe Plugged
To avoid one possible dodge,
the proposed rules state that
if a firm handles more than
one job for particular home
owner during a calendar year,
the total cost for the contracts
will apply. This bars the pos
sible escape maneuver of di-
viding the work into several
jobs Of .less than $500 each.
Assistant Corporation Coun-
sci Robert F. Kneipp said,
however that it would be wise
for the homeowner to deal
only with a licensed firm. even
though the job itself might
not fall under the licensing
bonding regulations.
In addition to licensing the
contractors, the regulations
call for licensing the proposed
home improvement sales
man" This term would apply
to any agent for a licensed
contractor, except one who
works exclusively in the Office.
Identification cards, including
a picture, would be required.
Fee Figures Proposed
The proposed annual fee for
for the contractor is $25 and
for the salesman, IS.
A major protective device is
the bonding proposal. The
licensed contractor would be
required to post a $4,000 bond.
OF $1,000 in cash, or $4,000
worth of negotiable securities.
With this requirement, a
homeowner would be able to go
to court and collect when the
improvement work is not up
to par.
Another proposed provision
would require the licensed con-
tractor to carry public liability
and property damage insur-
ance, or meet stiff financial re-
quirements to qualify as self
insurer.
Clear and detailed contracts
also are called for under the
proposals. The form of the
contract would be subject to
approval by city officials.
The Commissioners already
had the authority to license the
home improvement contrac-
tors. The new legislation was
needed, however, to adopt the
bonding requirement,