Minnesota Residential Contractor Exam — All Questions

9 questions

Minnesota Licensing & Classifications

Which agency licenses residential building contractors in Minnesota and also administers the licensing exam?

  • a.The Minnesota Department of Commerce
  • b.Each county's board of building appeals
  • c.The Minnesota Department of Labor and Industry (DLI)✓
  • d.PSI, under contract to the Secretary of State

Minnesota residential contractors are licensed by the Department of Labor and Industry (DLI) under Minn. Stat. Chapter 326B. Unlike most states, DLI administers the exam itself rather than outsourcing it to PSI or Prometric.Minn. Stat. Ch. 326B

Minnesota Licensing & Classifications

A Minnesota residential contractor is exempt from the license requirement if gross annual receipts from residential building work are no more than:

  • a.$100,000
  • b.$15,000✓
  • c.$600
  • d.$50,000

Under Minn. Stat. 326B.805, a person whose gross annual receipts from residential building or remodeling work are $15,000 or less is exempt from the licensing requirement. Above that figure, a license is required.Minn. Stat. 326B.805 (gross-receipts exemption)

Minnesota Licensing & Classifications

Besides the gross-receipts exemption, what other situation can exempt a Minnesota worker from the residential building contractor license?

  • a.Performing work in only a single special skill and not coordinating other trades✓
  • b.Owning a truck registered in Minnesota
  • c.Being at least 40 years old
  • d.Working only on weekends

Minnesota exempts a person who works in only one special skill and does not coordinate other trades. The general residential building contractor license is aimed at those who contract directly with homeowners across more than one special skill.Minn. Stat. 326B.805 (single-skill exemption)

Minnesota Licensing & Classifications

Which best describes the Minnesota residential contractor licensing examination?

  • a.An oral interview conducted by PSI
  • b.A closed-book exam scored 81 of 115
  • c.An open-book exam of 110 questions in 330 minutes, requiring 70% to pass✓
  • d.A closed-book exam of 50 questions in 75 minutes

The Minnesota exam is a single open-book test of 110 questions in 330 minutes (5.5 hours), and a candidate must score 70% to pass. Candidates may use the 2020 Minnesota Residential Code and the DLI reference manual.Minnesota DLI examination structure

Minnesota Licensing & Classifications

How does Minnesota treat a passing NASCLA Accredited Commercial General Building Contractor result for residential licensure?

  • a.It grants an automatic Minnesota license
  • b.It is not accepted; the candidate must still pass the DLI-administered Minnesota exam✓
  • c.It replaces the Minnesota exam entirely
  • d.It replaces the continuing-education requirement

Minnesota does not accept the NASCLA exam. A candidate must pass the DLI-administered Minnesota residential contractor examination regardless of any NASCLA credential.NASCLA acceptance (Minnesota)

Minnesota Licensing & Classifications

What is the difference between a Minnesota Residential Building Contractor license and a Residential Remodeler license?

  • a.There is no difference; the terms are interchangeable
  • b.The Building Contractor license covers new construction and additions, while the Remodeler license covers improvements to existing dwellings✓
  • c.The Remodeler license authorizes electrical utility work
  • d.The Building Contractor license is for commercial towers only

A Residential Building Contractor license covers new home construction and additions, while a Residential Remodeler license covers improvements and repairs to existing dwellings. An applicant chooses the category matching the work it performs.Minnesota residential license categories

Minnesota Licensing & Classifications

How does a Minnesota company satisfy the exam requirement for a residential contractor license?

  • a.The company registers its name only, with no individual examinee
  • b.Every field employee must individually pass the exam
  • c.It designates a qualifying person who passes the DLI examination on the company's behalf✓
  • d.The company posts a $50,000 bond in lieu of any exam

A Minnesota company designates a qualifying person who passes the DLI licensing examination. The company then holds the license through that qualifying person, who is responsible for its residential contracting.Minnesota qualifying person requirement

Minnesota Licensing & Classifications

A handyman who earned $12,000 last year in a single skill expects to grow, coordinate multiple trades, and bill $40,000 next year. What must happen?

  • a.Nothing; the $15,000 exemption is permanent once claimed
  • b.The worker must obtain a Minnesota residential contractor license, because receipts will exceed $15,000 and the work now spans multiple skills✓
  • c.The worker may keep operating unlicensed indefinitely
  • d.The worker must post a bond but needs no license

Once residential building receipts exceed $15,000 and the worker coordinates more than one special skill, the exemptions no longer apply, and a Minnesota residential contractor license (with a qualifying person passing the DLI exam) is required.Minn. Stat. 326B.805 (growth past exemption)

Minnesota Licensing & Classifications

A candidate expects to schedule the Minnesota contractor exam through PSI, like in other states. What is correct for Minnesota?

  • a.The exam is administered by the county building official
  • b.The exam is administered directly by DLI, not by PSI✓
  • c.Minnesota uses ProV for this exam
  • d.Minnesota uses Prometric for this exam

Minnesota administers the residential contractor exam directly through DLI, not through PSI or another third-party vendor, which is a distinctive feature of the Minnesota process.Minnesota DLI-administered exam logistics

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