Introduction
When it comes to pursuing a career in the construction industry, obtaining a license is often a crucial step. However, navigating the maze of licensing requirements across different states can be challenging. To streamline the process, the National Association of State Contractors Licensing Agencies (NASCLA) has developed an exam that is recognized and accepted in multiple states. In this article, we will explore the NASCLA states, meaning the states that accept or administer the NASCLA exam and shed light on its significance in the construction industry.
The NASCLA Exam and it’s Purpose
The NASCLA exam, is a standardized test, taken through PSI Exams. It is designed to assess the knowledge and competence of contractors seeking licensure. It aims to establish a common standard for contractors working across state lines, simplifying the process of obtaining licenses in multiple jurisdictions.
States Accepting/Administering the NASCLA Exam
Currently, there are 16 states that accept the NASCLA exam as part of their contractor licensing requirements. These states include:
- Alabama
- Arkansas
- Arizona
- Florida
- Georgia
- Louisiana
- Mississippi
- Nevada
- New Mexico
- North Carolina
- Oregon
- South Carolina
- Tennessee
- Utah
- Virginia
- West Virginia
In addition to these NASCLA states, this exam is also recognized in the U.S. Virgin Islands.
About the NASCLA States
Each state has slightly different requirements to obtain a license, so it is important that you review the state contractors board for your state before you begin. Some NASCLA states accept the NASCLA in a different manner as well.
For example, in North Carolina the NASCLA exam is accepted as the trades exam to be licensed as a commercial and residential contractor. However, in Virginia the NASCLA exam is only accepted for a commercial general contractor. Tennessee is similar to Virginia in the fact that the NASCLA exam in used for a commercial general contractor license. However, a Tennessee commercial building contractor includes residential construction with more than four units or greater than three stories in height.
There are also states like Utah. Utah requires a supervised time on the job before applying for your license. However, if you have already passed the NASCLA exam you can bypass this training time.
Value of Work Limit
Georgia accepts the NASCLA exam for both a commercial and residential license. The value of work that Georgia requires a license is $2,500. With a value this low most contractors performing work in the state of Georgia should have a license. On the other hand, North Carolina has a value of work limit set at $30,000 before there is a requirement for a contractor’s license. You may be able to perform some work under this value. However, we recommend getting a license to not limit yourself. In South Carolina, you need a general contractor license to perform work on most residential, commercial, and industrial projections valued over $5,000.
As you can see, there are different rules and regulations for each state. Become familiar with your state to have a good understanding of what the requirements are. Knowing if the NASCLA exam is the right option for you is important.
NASCLA States Business and Law Exam
Most states required you to pass the state’s business and law exam after passing the NASCLA trades exam. The best way to explain this is that the NASCLA exam serves as the trade exam for these states, then a business and law exam specific to each state is required to practice in that state. The business and law exams vary between state to state, but are typically not as extensive as the NASCLA exam. Be sure to visit the PSI Exams candidate information bulletin for your state’s business and law exam.
Typically, this exam covers about 40-50 questions, is about 120 minutes long, and requires a 70% to pass. For example, Georgia’s business and law exam is 50 questions, 120 minutes long, and a 70% to pass. On the other hand, in Mississippi, the business and law exam is 50 questions, 200 minutes long, and a 70% to pass. The North Carolina business and law exam is 40 questions, 90 minutes long, and a 70% to pass.
Most business and law exams are testing on the specific NASCLA business and law book for that specific state. However, there are a few exceptions. For example, North Carolina also includes the 811 manual, North Carolina sedimentation control guide, and the North Carolina Sedimentation Pollution Control Act of 1973.
Florida Business and Finance Exam
Florida has a slightly different exam than the Business and Law exam. You will also need to pass the Business and Finance exam before getting your license. It is a bit different than the business and law exams in most states. The Florida Business and Finance exam is 120 questions, 390 minutes, and a 70% to pass. This exam is made up of six books. The Builder’s Guide to Accounting 2001; Contractors Manual, 2021; Florida Statutes Chapter 455, 2021; A201 General Conditions of the Contract for Construction, 2017; A701 Instructions to Bidders, 2018. This exam is taken through Pearson Vue.
As you can see, the NASCLA states that accept or administer the NASCLA exam have differing business and law exams. It is important to review your state’s candidate information bulletin to become familiar with what the testing requirements and information are.
Benefits of the NASCLA Exam
- Portability: One of the main advantages of the NASCLA exam is its portability. By passing this exam, contractors can obtain a license that multiple states recognize, eliminating the need to go through the process of taking separate full general contractor exams in each jurisdiction.
- Cost and Time Savings: For contractors who work in multiple states or plan to expand their operations, the NASCLA exam can save both time and money. Instead of investing resources into studying for and taking different exams for each state, the NASCLA exam offers a consolidated approach, reducing duplication of effort.
- Uniformity and Consistency: By adopting a standardized exam, the NASCLA ensures a consistent level of knowledge and expertise across states. This helps in maintaining a high standard of professionalism and competency within the construction industry.
Conclusion
The NASCLA exam plays a crucial role in simplifying the contractor licensing process for professionals in the construction industry. By recognizing the NASCLA exam, multiple states have created a standardized and portable licensing system that saves time and resources for contractors. Not to mention this exam is still growing. In 2023, New Mexico joined the NASCLA states to accept the exam. Understanding which states accept the NASCLA exam allows contractors to plan their careers strategically and expand their business operations more efficiently. Whether you are a seasoned contractor or a newcomer to the industry, the NASCLA exam is an essential consideration for your professional growth and success.