SB1397 - Registrar of Contractors Omnibus

• Expands the definition of "contractor" to include subcontractors, specialty contractors, and consultants who supervise or manage construction projects, and adds a new "qualifying party" definition for persons responsible for a licensee's actions.

• Establishes a residential contractors' recovery fund with eligibility limited to individual owner-occupants, certain LLCs, trusts, and lessees of residential property; sets maximum individual awards at $30,000 and requires claimants to pursue existing bonds first.

• Creates new enforcement mechanisms including cease and desist orders for unlicensed contractors and civil penalties of $200-$2,500 per violation, with additional penalties for non-compliance.

• Requires contractors to notify the registrar within 15 days when a qualifying party disassociates and to requalify through another person within 60 days or face automatic license suspension.

• Transfers and reorganizes prompt pay provisions (sections 32-1129 through 32-1129.07) into a new Article 5, with clarifications on billing cycles, payment timelines, and requirements for owners to release retention within seven days of certification.