New Law Change w/ CSLB on Criminal Background History
Since July 1, 2020, the CSLB has handled criminal history differently. Assembly Bill 2138 changed what the Board can ask, what it can consider, and what it can deny a license for. Six years on, a lot of applicants still assume a conviction rules them out. Often it does not.
What changed on the application
The Board stopped asking applicants whether they have been convicted of a crime, and disclosure statements are no longer required up front.
Fingerprinting is still required. Every license candidate submits fingerprints for a background check run through the Department of Justice and the FBI. The difference is that the Board reviews what comes back and contacts the applicant later in the process if it needs more information, rather than asking for disclosure at the outset.
What the CSLB can actually consider
AB 2138 narrowed this significantly.
A conviction has to be substantially related to the qualifications, functions or duties of a contractor before it can be used to deny a license. CSLB staff evaluate felony convictions within seven years of the application date, and misdemeanor convictions within three years.
Things that are no longer grounds for denial include arrests that did not lead to conviction, infractions, citations, juvenile adjudications, and acts involving dishonesty or fraud that never resulted in a conviction or formal discipline.
The exceptions to the seven year rule
Three categories fall outside the seven year window and can be considered regardless of age. Serious felonies as defined in Penal Code section 1192.7. Crimes requiring sex offender registration under Penal Code section 290. And, for the CSLB specifically, felony financial crimes, because contracting is one of a small number of professions where those are treated as directly relevant.
What counts as substantially related
The CSLB has publishedits own criteria. Broadly, an offense is substantially related if it bears on your ability to perform contracting work safely and responsibly. In practice that tends to mean violations of contractors license law, crimes involving fraud, theft, deceit or dishonesty, crimes of violence, offenses showing a repeated disregard for public health and safety, and price gouging during a declared emergency under Penal Code section 396.
Rehabilitation has to be taken into account
The Board is required to weigh evidence of rehabilitation for any conviction. Its regulations set out what that looks like, including the passage of time without further offenses, completion of probation or parole, and completion of relevant programs where the offense involved drugs, alcohol or anger.
The CSLB can also issue a probationary license under Business and Professions Code section 7073, typically running two to four years with conditions attached, which converts to a standard license once the term is served.
If your application is denied
You are entitled to written notice of the denial, an explanation of how to challenge it or request reconsideration, and a copy of the conviction history record the decision was based on so you can check it for errors. Background records do contain mistakes, and it is worth reviewing yours.
You can read the CSLB's original notice on the change in itsindustry bulletin.
Talk to us first
If you have a conviction in your history and you are unsure where you stand, it is worth a conversation before you file anything. In many cases the record has no bearing on the application at all.
Call us for a free confidential consultation on (800) 580-8129, orget in touch and we will talk it through.
Your Trusted Partner for Contractors Licenses in California
Let us help build your business. Streamline your licensing process with expert guidance, trusted by contractors for over 18 years.
Email: info@lic-experts.com
Phone: (800) 580-8129