Aug 21

The DPOR Playbook: Compliance Tips for Virginia Contractors

Thursday, August 21, 2025

Written by: Callie Kyhl

As a contractor in Virginia, navigating the regulatory landscape is essential to staying compliant, competitive, and credible. The Virginia Department of Professional and Occupational Regulation (DPOR) oversees contractor licensing and ensures that businesses and individuals maintain professional standards. Ignoring these regulations can result in fines, license revocation, or even legal action.

Here’s what you need to know to stay on the right side of DPOR.

1. Licensing Classes and Classifications

DPOR requires all contractors to obtain the appropriate license before bidding, contracting, or performing work over $1,000. There are three classes:

  • Class A – No monetary cap on contracts; requires at least 5 years of experience and a net worth of at least $45,000.
  • Class B – Single projects up to $120,000, or total projects up to $750,000 annually; requires at least 3 years of experience and a net worth of at least $15,000.
  • Class C – Single projects up to $10,000, or total projects up to $150,000 annually; requires 2 years of experience but no net worth requirement.

Additionally, you must choose a specialty classification (e.g., electrical, plumbing, roofing) that aligns with the work you perform.

2. Responsible Management and Designated Employees

Each license must have a Responsible Management (owners, officers, members, etc.) and a Qualified Individual (QI) for each specialty who meets the experience and knowledge requirements. In some cases, a Designated Employee (DE) must also pass the applicable examination.

Tip: Ensure your QIs keep their qualifications current. If a QI leaves your company, you must notify DPOR and designate a new one within 90 days.

3. Continuing Compliance and Renewal

Licenses are valid for two years. Within 30 days of the expiration of the license, the completed renewal form and appropriate fees must be received by DPOR. Renewal requires:

  • Continued eligibility (e.g., still meeting class-level experience and net worth requirements)
  • Updated contact information
  • Payment of renewal fees

Working with an expired license is considered unlicensed contracting — a Class 1 misdemeanor.

4. Contract Requirements

DPOR requires a contractor to provide a written contract for any residential work, which must be signed by both parties.

  • A written contract must include:
    • Scope of work
    • Itemized pricing
    • Payment schedule
    • Estimated start and completion dates
    • License number

5. Prohibited Acts

The DPOR outlines several prohibited acts that can result in fines or license suspension, including:

  • Abandoning a project without cause
  • Performing beyond your classification
  • Misrepresentation of qualifications or project capabilities
  • Failing to complete work in a timely and workmanlike manner
  • Hiring unlicensed subcontractors

Reminder: Always vet your subs and document everything.

6. Dispute Resolution and Investigations

If a consumer files a complaint, DPOR may investigate. The Virginia Contractor Transaction Recovery Fund may pay consumers if damages are proven, but that typically follows license revocation. It’s best to resolve issues proactively and professionally before they escalate.

7. Stay Informed

DPOR regulations can change. Sign up for DPOR updates or regularly check their website to stay current on:

  • Regulatory changes
  • Updated licensing requirements
  • Approved continuing education providers (for trades like electrical or HVAC)

Conclusion:

Staying compliant with DPOR regulations isn’t just about avoiding fines — it’s about building trust with your clients, protecting your business, and maintaining your reputation. As the industry evolves, contractors who stay informed and follow the rules will continue to grow and thrive in Virginia’s competitive construction market.

Need help understanding DPOR requirements or preparing for a renewal? Let’s chat. Staying compliant keeps you competitive.

If you have questions about how these laws affect you or your business, consulting a licensed attorney is the best next step. Legal interpretations and enforcement can vary by locality, and staying proactive can help you avoid costly legal trouble.

If you have any questions, please Callie Kyhl at 703-369-4738 or info@vfnlaw.com.

This blog post is not intended to provide legal advice or substitute for the advice of legal counsel with respect to specific facts and situations. See disclaimer

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