Virginia Contractor Law, Regulations & the Recovery Fund
The Virginia portion of the exam tests board regulations, the statewide building code, erosion and sediment control, and the Contractor Transaction Recovery Fund. This chapter walks through each and explains the role of the designated employee.
Board regulations, the USBC, and erosion control
The Board for Contractors' regulations live at 18VAC50-22 in the Virginia Administrative Code, implementing Title 54.1, Chapter 11. Building construction is governed statewide by the Virginia Uniform Statewide Building Code (USBC), so a contractor works under one consistent code rather than differing local codes. Land-disturbing construction must control erosion and sediment to protect water quality, and the Virginia exam portion tests these requirements alongside board rules.
The Contractor Transaction Recovery Fund
The Contractor Transaction Recovery Fund reimburses eligible consumers who obtain a court judgment against a licensed contractor for improper or dishonest conduct but cannot collect it. It is funded by assessments on licensees and is a payer of last resort: the consumer must first sue, win a judgment, and show it is uncollectible before the Fund pays. This consumer-protection mechanism is one of the most heavily tested Virginia-specific topics.
The designated employee and unlicensed activity
A Virginia contracting business qualifies through a designated employee, the qualified individual who takes the licensing exam and remains responsible for the firm's compliance with board rules. If that person leaves, the firm must qualify a replacement. Contracting for work of $1,000 or more without the required license is unlawful unlicensed activity under §54.1-1115 and can bring penalties, so licensure must precede the contract.
State-specific details
State exam facts
Does Virginia require a state contractor license?
Yes. The Board for Contractors, within the Department of Professional and Occupational Regulation (DPOR), licenses contractors under a Class A / B / C system (Va. Code §54.1-1100) plus regulations at 18VAC50-22.
What are the current Virginia contractor license classes?
Under the current monetary limits: Class C covers work over $1,000 to under $30,000 (no net worth requirement); Class B covers $30,000 to under $150,000 (net worth $15,000); Class A covers $150,000 or more (net worth $45,000 or a $50,000 bond). The older $10,000/$120,000/$750,000 figures are superseded.
What is on the Virginia contractor exam?
The exam is multi-part and class-dependent, so an overall question count, time, and passing score are not published as a single figure. The exam also covers the Virginia Uniform Statewide Building Code, erosion and sediment control, and the Contractor Transaction Recovery Fund.
Sources: https://www.dpor.virginia.gov