HI HB1877

Amends section 444-2 of Hawaii Revised Statutes to raise the handyman exemption threshold for contractor licensing requirements, removing the current $1,000 limit and replacing it with an unspecified dollar amount.

Exemption applies to projects where aggregate contract price for labor, materials, taxes, and other items does not exceed the new threshold, but does not apply if a building permit is required or if the project is part of a larger operation.

Legislature finds that housing and material costs have increased significantly since 1992 when the $1,000 threshold was last set, making small home repair projects easily exceed the current limit.

Act addresses concerns that increased penalties for unlicensed contracting (fines raised from $500 to $2,500 for first offense under Act 195, Session Laws of Hawaii 2009) disproportionately affect handymen and notes shortage of available licensed contractors, particularly in rural areas.

Effective date set for January 1, 2050.