HI HB846

Raises the handyman exemption threshold under Hawaii Revised Statutes Section 444-2 from $1,500 to $2,500 for contractor licensing requirements.

Exemption applies to projects where aggregate contract price for labor and materials does not exceed $2,500, but does not apply when a building permit is required or for projects divided to evade licensing requirements.

Legislature cites rising construction costs (3.9% increase between 2023-2024), shortage of licensed contractors in Hawaii, and inflation of nearly 20% since 2021 as justification for the increase.

Notes that only seven states have lower exemption thresholds than Hawaii, with comparisons to Alabama and Delaware ($50,000), North Dakota ($40,000), and North Carolina ($30,000).

Takes effect upon approval.