CA SB1189

Creates a new "B-2 Residential Remodeling Contractor" classification for contractors whose principal business involves improvements to existing residential wood frame structures requiring at least 3 unrelated building trades or crafts per contract.

Residential remodeling contractors are prohibited from contracting for structural changes to load-bearing portions of structures and from installing, replacing, or substantially altering electrical, mechanical, or plumbing systems unless they hold appropriate licenses or subcontract with licensed contractors.

Expands the definition of "home improvement" to include reconstruction, restoration, or rebuilding of residential property damaged or destroyed by natural disasters for which the Governor proclaims a state of emergency or the President declares an emergency or major disaster.

Increases criminal penalties for unlicensed contracting related to disaster repairs, expanding prosecution to include damage to property and grounds, and doubles maximum fines for fraud schemes involving disaster repairs.

Adds one-year sentence enhancement for felony convictions involving fraud schemes in disaster repairs and requires mandatory restitution with minimum five-year probation period.