From Kevin Kawamoto:

The Hawaii Better Business Bureau had a booth at the recent Home Building and Remodeling Show at the Blaisdell Exhibition Hall. In a Power Point presentation, the BBB shared dependable tips about how to hire contractors and increase your chances of working with trustworthy, professional people.

Many business people who can help with home or property improvement are honest and will do a good job. Unfortunately, there are also untrustworthy and predatory people out there who will take advantage of elders. Many of us have heard stories about elders being victimized by such people. Perhaps they come to an elder's home and offer to do work on the property or fix something on (or in) the home, but end up cheating or overcharging the elder, doing shoddy work, or taking the money without completing the agreed-upon work. Sometimes the elder is too embarrassed or confused to report what happened.

Beware of people who come knocking on the door trying to sell their services, no matter how nice and articulate they may be. If you need work done to your home or property, ask trusted friends or family members for advice and help. Don't rely on strangers who promise to do the job for a good price but don't have the necessary credentials or are unwilling to provide you with the information you need. (See BBB tips, below.) Not everyone is a crook waiting to take advantage of you, but those kinds of people are out there, and you need to be careful of them.

The Hawaii Better Business Bureau shared these excellent tips for people who are planning to improve or remodel their home or property. Thank you to the Hawaii BBB's Communication Director Angela Ellenwood for allowing Caring for Hawaii's Elders to reprint this information here and to Lisa C. Nakao of the Hawaii BBB's Operations Team for the referral to Angela. This is a terrific resource, clearly written and informative.

Here are the tips. Please discuss and share these with elders and caregivers who may benefit from knowing this.

When planning the project:

• Plan your project from start to finish.
• Identify your specific needs.
• Be specific in explaining exactly what
you want.
• Compare costs before making a
financial commitment.
• Approve plans before work begins.

When hiring a contractor:

Get several written estimates based
on the same project specifications.
• Discuss the estimates in detail with
each contractor.
• Request local customer references for
projects similar to yours and find out
if these customers were satisfied with
the contractor’s work.

Go to bbb.org
to check out a potential
contractor’s BBB Reliability Report.
• Contact the Hawaii State Government
Consumer Resource Center for the
contractor’s license information.
• Find out if the contractor belongs to a
professional association.

Licensing Requirements:

If the total project cost –
including
labor, materials, taxes, and other items
–
is not over $1,000 and does not
require a building permit, a contractor's
license is not required.
• This exemption does not apply to
electrical or plumbing work requiring a
permit.
• Even if a permit is not required, the
work may still need to be performed by
a licensed electrician or plumber.

Hiring a Contractor:

Ask for a detailed written estimate of
the work, including:
– The type and costs of materials and
labor required.
– The method and procedures that
will be used.
–How long the work will take.

Insurance:

Ask if the company is insured against
claims for:
– Workers' compensation.
– Property damage.
–Personal liability.
• Verify the contractor's insurance
coverage with the carrier.

Payment Terms:

Never pay the entire cost in advance.
• Pay with a check or credit card, not
cash.
• If you have to make a partial advance
payment for materials, make your
check out to the supplier and the
contractor.

If paying for a home improvement
project with a loan, put a clause in
your contract stating the agreement
is valid only if financing is obtained.
• If your project is to repair damages,
check with your insurance company
or agent to determine the extent of
coverage before signing a contract.

Permits, Codes and Inspections:

When a government agency issues a
permit for home improvement work, it
will inspect the work for compliance
with codes and regulations.
• The contractor should apply for and be
named on the permit.
• It is the contractor’s responsibility to
call for inspections.

The Contract:

Before any work begins, ask for a
written contract.
• All agreements and oral promises
regarding the project should be put in
writing.
• Your contract should state that all
work is to be performed in accordance
to all applicable building codes for
your area of residence.

The written contract should include:
– A thorough description of the work
to be done.
–Specification of all materials to be
used in terms of quality, quantity,
weight, color, size or brand name.

The written contract should include:
–Agreed upon starting and completion
dates, and remedy if not met.
– Total cost, with breakdown of labor
and material charges.
– A payment schedule.
–Any warranties and guarantees of
workmanship.

The written contract should include:
– Who is responsible for obtaining the
building permit.
– The method for debris and material
removal when job is finished.
– The contractor’s full name, address,
telephone number, and professional
license number.

Do not sign an incomplete or blank
contract.
• Read every clause carefully.
• Ask questions if necessary.
• Keep a copy of the signed contract for
your records.

Cancellation Rights:

When you sign a home improvement
contract in your home and in the
presence of a contractor or their
representative, you have three
business days to change your mind and
cancel the contract.

The contractor is required to tell you
about your cancellation rights and
provide you with any cancellation
forms.
• If you cancel, it is recommended that
a notice of cancellation be sent to the
contractor via certified mail, return
receipt requested.

Lien Protection:

For a large remodeling job involving
subcontractors, protect yourself from
liens against your home in the event
the primary contractor does not pay
the subcontractors or suppliers.
• Add a release-of-lien clause to the
contract or place your payments in an
escrow account until work is
completed.

Warranty Clause:

Get the warranty in writing and read
it carefully.
• The warranty must state whether it is
a “full”
warranty or “limited”
warranty limiting certain consum er
rights.
• Warranty clauses should spell out all
terms and conditions in clear, easyto-
understand language.

Getting in touch with Hawaii's BBB:

Contact Hawaii’s BBB
www.bbb.org
twitter.com/HawaiiBBB
E-mail:
info@hawaii.bbb.org
Phone:
536-6956
1-877-222-6551
(Neighbor Islands toll free)
1132 Bishop Street #615 !
Honolulu, HI 96813