Appendix 314-B Client Contractor Guidance | HCBS-5300-MANUAL

If it sounds too good to be true, it probably is.

Be cautious of contractors with estimates much less than others. For example, if two bids come in at $5,000 and a third bid comes in at $1,000, it is likely that the third contractor will have to cut corners during performance of the work.

Confirm insurance, licensing and permitting.

Only licensed contractors should perform work on your property. It must be a contracting license, not just a business license. Also, even if the contractor produces a copy of his insurance, you should call the insurance company to confirm coverage is still effective. Finally, talk to local code enforcement office to make sure the appropriate permits are taken out.

Compare bids.

Contractors should be able to defend every line item. If something is priced on one bid and not another, ask why it is missing.

Contact references.

Ask the contractor for four references, preferably two clients of current projects and two clients from the last two projects. Verify the contractor’s work is good.

Carefully consider upfront costs.

DAS/AAA discourages payment of upfront costs. If you must pay such costs, they should only equal materials costs. Understand that AAA cannot reimburse a project until it is complete. AAA will not pay for upfront costs.

Reputable contractors will likely have a waiting list.

Beware of scammers who knock on your door and tell you a job just fell through and they can give you a good deal.

Plan for surprises.

Modifications may reveal pre-existing issues or structural integrity problems with your home. For example, demolition of walls may reveal hidden defects. The Home Repair and Modification Program cannot fund repairs of these issues. Ask the contractor what they see as potential problem areas. You are responsible for costs associated with pre-existing issues or structural integrity problems that fall outside the scope of work approved by the AAA. Before contracting with the contractor, know that you may have to fund repairs of these issues so that the contractor can complete the work.

Remember that the Home Modification and Repair Program is unable issue payment to a contractor until the work is completely finished. If a contractor completes half the work before discovering the issue(s), you will be responsible for remedying the issue(s) so the contractor can continue.

Be cautious of bringing friends in to help or repair issues.

Friends not under contract with you may not be liable to you for substandard or delayed timeliness of work. Conversely, the law requires a Georgia licensed contractor to provide you a written warranty.

Develop a very specific work scope.

You should work with the contractor to make sure each material and item of performance is as detailed as possible so each party understand what is expected. Being specific up front can prevent disputes later on.

Warranties.

Make sure you obtain and read a copy of the contractor’s written warranty before construction begins. The materials used will also have manufacturer’s warranties, which you should ask for as well.

Note:

Home modification and Repair service workers may not perform all tasks identified as necessary through the proper assessment tool(s) due to budgetary constraints. Information regarding those needs should be referred to appropriate AAA staff for a referral to other community resources.