The bill H. 4518 seeks to amend the South Carolina Code of Laws to strengthen regulations for residential builders, trade contractors, and registrants. A key provision is the introduction of a new section, 40-59-225, which requires applicants for a residential builder's license to submit a surety bond of at least $15,000. This bond ensures compliance with regulations and allows homeowners to file claims against it in cases of non-compliance, provided they first file a formal complaint with the commission and adhere to the South Carolina Notice and Opportunity to Cure Construction Dwelling Defects Act. The bill also mandates that residential trade contractors and registrants obtain similar bonds for projects exceeding $500. Additionally, it revises the composition of the South Carolina Residential Builders Commission and updates definitions related to licensees, including renaming "residential specialty contractors" to "residential trade contractors."

Further amendments include the requirement for criminal background checks for new applicants, the establishment of a tiered licensing system, and the clarification that residential trade registrants cannot construct additions without supervision from a licensed builder. The bill allows registered trade registrants to employ unregistered workers under their supervision and outlines the conditions under which the commission can deny or revoke licenses. It also introduces civil penalties for violations, with increasing fines for repeat offenses, and specifies that homeowners can build for personal use without a license under certain conditions. Overall, the bill aims to enhance accountability and professionalism in the residential construction industry while providing specific exemptions for homeowners and charitable organizations.

Statutes affected:
05/06/2025: 40-59-225, 40-59-10, 40-59-20, 40-59-25, 40-59-30, 40-59-50, 40-59-105, 40-59-110, 40-59-140, 40-59-220, 40-59-230, 40-59-240, 40-59-250, 40-59-260, 40-59-300, 40-59-400, 40-59-410, 40-59-530, 40-59-580, 40-59-600, 40-59-820
Latest Version: 40-59-225, 40-59-10, 40-59-20, 40-59-25, 40-59-30, 40-59-50, 40-59-105, 40-59-110, 40-59-140, 40-59-220, 40-59-230, 40-59-240, 40-59-250, 40-59-260, 40-59-300, 40-59-400, 40-59-410, 40-59-530, 40-59-580, 40-59-600, 40-59-820