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Old 11-26-2009, 11:40 AM
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Ayatollahgondola Ayatollahgondola is offline
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http://www.cslb.ca.gov/GeneralInform...in20091008.asp

CSLB Industry Bulletin - 10/08/2009Contractors State License Board Stresses Importance of Carrying Appropriate Workers’ Compensation Insurance for Employees


SACRAMENTO -The Contractors State License Board (CSLB) is urging its 315,000 licensees to make sure all employees are covered by the appropriate amount of workers’ compensation insurance. By law, employers are required to carry insurance that covers employees who are injured on the job or become ill due to the job. That’s the case even if they have as few as one employee or if the employees are temporary. All Roofing (C-39) licensees are required to carry workers’ compensation insurance, even if they don't have any employees. In addition, the Employment Development Department considers most home improvement salespersons to be employees. Carrying less than the required amount is considered to be insurance premium fraud.

CSLB licensees must submit proof of their workers' compensation insurance coverage to CSLB (Certificate of Workers’ Compensation Insurance from insurer or Certificate of Self-Insurance from the Department of Industrial Relations). This proof must be received by CSLB within 90 days of hiring someone. If the licensee does not have any employees, they are required to submit to CSLB an Exemption from Workers' Compensation form, under penalty of perjury.

"We understand why businesses try to cut expenses, but cheating on workers’ compensation insurance is illegal," said CSLB Registrar Steve Sands. "Employees are left unprotected if they get hurt, and contractors who break the law have an unfair business advantage over those who follow the rules. Fraud also drives up the price of insurance for all of us."

In the coming months, CSLB and other state government agencies will concentrate some of their enforcement efforts—including sting and sweep operations—on companies that either don’t carry workers’ compensation insurance, or misrepresent the number of employees they have in order to get lower insurance rates.

Penalties for not carrying workers’ compensation insurance can be severe. The penalty for a first offense of Labor Code Section 3700.5 is up to one year in county jail and a $10,000 fine. A stop order can also be issued on work projects, with fines of $1,000 per employee on the payroll at that time, up to $100,000. There are additional penalties if an injured worker files a workers’ compensation claim and the employer doesn’t have the proper insurance. That employee can also file a civil action against the employer.

The penalties for workers’ compensation insurance premium fraud are even stiffer. In addition to felony charges, failure to maintain the appropriate workers’ compensation insurance can result in a company’s CSLB license being suspended. In addition, any work performed with a suspended license is considered to be unlicensed and CSLB can take disciplinary action against the license.

Getting Workers’ Compensation Insurance

There are a number of ways to purchase workers' compensation insurance in California. Policies can be purchased through an agent or a broker from any of the privately licensed insurers that are authorized to write policies in California. A list of authorized insurers is available on the California Department of Insurance Web site (www.insurance.ca.gov). If a company can't find an insurer willing to cover them, the State Compensation Insurance Fund (www.scif.com) is required to provide coverage. Some trade groups negotiate special rates for members. A local chamber of commerce may also be a source of good advice.

Companies can also choose to be self insured. Historically, only large companies could do this because of legal requirements; however, in recent years group self insurance, in which several small employers pool their workers' compensation liabilities, has become available. Learn more from the California Department of Industrial Relations (www.dir.ca.gov/SIP/sip.html).
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Old 11-26-2009, 11:45 AM
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Ayatollahgondola Ayatollahgondola is offline
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And there's this too:

CSLB Press Release - 10/30/09Contractors State License Board Goes Undercover to Trick Phony Contractors in Southwestern Riverside County
Two-day undercover sting operation no treat for those who contract without state license



SACRAMENTO —The Contractors State License Board (CSLB) got an early chance to spook suspected unlicensed contractors during a pre-Halloween undercover sting operation this week in the city of Murrieta (Riverside County).


Bin Zhou Zhou was arrested
during CSLB sting operation.
The sting was conducted by CSLB’s Statewide Investigative Fraud Team (SWIFT) with back-up from the Murrieta Police Department. SWIFT investigators posed as homeowners and invited suspected unlicensed contractors to bid on a variety of home improvement projects including painting, flooring, tile, concrete, landscaping, fencing, iron fencing, and cabinets. By law, a state contractor license is needed by anyone hired for a home improvement project valued at $500 or more (materials and labor).

A total of 19 suspected unlicensed contractors were arrested; 18 of them received a Notice to Appear (NTA) and were released. They must appear in Riverside County Superior Court on January 27 and 28, 2010, to answer misdemeanor charges of contracting without a license and illegal advertising. The potential sentence for those violations is up to six months in jail and/or a $500 fine. Penalties increase if suspects are caught a second time.

One person, Bin Zhuo Zhou, 45, of Arcadia, was taken to Riverside County Jail on October 28, 2009, for an outstanding $40,000 arrest warrant. Zhou is a former licensed contractor (#702341) and now faces felony charges that include grand theft and diversion of construction funds. Zhou has a long history of complaints with CSLB. A case against him has been referred to the Attorney General’s Office to revoke his license, which expired on February 28, 2007.

In another instance, a convicted felon who is in the country illegally quoted a SWIFT investigator $7,000 for some iron work. When police officers identified themselves, the suspect took off. He was captured a short time later and turned over to U.S. Customs and Border Protection agents.

"Consumers might think they’re saving money by only considering the lowest bid," said CSLB Registrar Steve Sands. "Unfortunately, that person is probably not licensed. You also can’t presume that someone is licensed just because they say they are. You need to check their license first with CSLB."

Homeowners face serious risk if a worker is hurt on their property and the person is not covered by workers’ compensation insurance. The property owner could be held liable for any medical expenses.

Licensed contractors are required to carry bonds that enable consumers to recoup losses should a mistake or accident occur, and workers’ compensation insurance for their employees, when necessary. If the contractor is unlicensed, the homeowner’s only recourse may be through small claims court if the homeowner is even able to find the unlicensed operator.

CSLB urges consumers to remember the following tips when hiring a contractor:

Be especially hesitant when approached by someone offering home improvement services door-to-door.
Verify the contractor's license by checking online at www.cslb.ca.gov, or via CSLB’s automated phone system at 1-800-321-CSLB (2752).
Don't pay more than 10% down or $1,000, whichever is less. There is an exception made for about two dozen licensees who carry special coverage to ensure consumer protection and may ask for more than a ten percent down payment. Those exceptions are noted on the CSLB Web site.
Don't pay in cash, and don't let the payments get ahead of the work.
Check references, and get at least three bids and a written contract before your project begins.
Contact CSLB if you have a complaint against a contractor.
CSLB offers a host of helpful consumer publications that can be downloaded at www.cslb.ca.gov or www.CheckTheLicenseFirst.com, or ordered by calling, toll-free:1-800-321-CSLB (2752).

In 2009, CSLB, which operates under the umbrella of the Department of Consumer Affairs, marks its 80th anniversary of protecting consumers by regulating California’s construction industry. Today, CSLB licenses about 315,000 contractors. In any given year, complaints are filed against only 3% of licensed contractors. In fiscal year 2008-09, CSLB helped consumers recover nearly $36 million in ordered restitution
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Old 11-26-2009, 07:31 PM
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This last week there's been a roofing Company re-roofing a local bank, and where I live, waaaaay off the beaten-path, and there's a local roofing company that only hires Americans.

The "Other" Company doing the work for the Bank was from well-over 100 miles away, and guess Who They hire to do the work?

Our Lil' Border-Buddies, that's who...erg...

My small Town has been so strongly hit by the economy that even this semi-small job would have given a few Citizens a little bit nicer Holiday.

The sad part is, this area's about 10-years, or so backwards in time, or so it feels, and when ever I bring-up anything immigration-related, people really don't believe it...it's weird.

I've even recently been hit with the old line..."We "stole" this land" line from some....well let's just call Them "Ex-Friends"...

CB.
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Old 11-26-2009, 07:53 PM
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Ayatollahgondola Ayatollahgondola is offline
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Where we keep the mobile billboard these days I had to pass by a roofing company parking lot. Several times I passed them as they were hanging out after work, and I had the usual messages on the sign. there's been some bravado and insults, but thus far no attacks. They're all pretty much mexican, and I even complained to the management over a sign they posted out front when they were hiring that was only in spanish. They didn't answer my complaint via email, but they did remove the sign.
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Old 11-26-2009, 10:04 PM
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That sounds like an "Un-equal opportunity Employer"...is'nt there a law about that?

Oh, how quickly I forget, those laws don't apply to Some...

CB.
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Old 11-27-2009, 06:31 AM
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Ayatollahgondola Ayatollahgondola is offline
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Quote:
Originally Posted by Commander Bunny View Post
That sounds like an "Un-equal opportunity Employer"...is'nt there a law about that?.
Yes, but there has to be a victim come forward
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