A Qualify Contractor Checklist for Reconstruction Process

Given the amount of scammers that’s out in LA county due to the LA fire, we thought it’s best to compile a step-by-step guide to help anyone when it’s time to choose a reliable contractor for the rebuilding process:

1. Gather Recommendations and Research

• Ask for Referrals: Start with friends, family, neighbors, or others in your community who have experience with rebuilding after a disaster.

• Check Official Websites: Use resources CSLB or SAM (System for Award Management) to check their license in good standing and qualification as disaster relief contractor.

• FEMA/Insurance Recommendations: Insurance companies and disaster recovery programs (like FEMA) always maintain lists of approved contractors.

2. Verify Credentials

• Licensing: Confirm their license are in good standing. Use CSLB.ca.gov to verify their license.

• Insurance: Ensure the contractor has:

  • General liability insurance.

  • Worker’s compensation insurance (to protect you from liability for worker injuries).

• Bonded: A bonded contractor provides a financial guarantee that the job will be completed as agreed.

The Insurance and bonded is always updated in CSLB website as they should. If it’s not updated on CSLB, ask the contractor for their insurance COI for your reference.

3. Fire Debris Cleanup and Rebuilds

• Debris Cleanup or Removal **VERY IMPORTANT: Please note that debris removal will be handled by FEMA and licensed EPA contractors. There is grants offering by the FEMA so please contact them prior to any cleanups. Also do not start any debris removal before discussing with your insurance. Many require a debris inspection from their adjusters prior to the cleanup.

• Wildfire Rebuilds: Look for contractors experienced in rebuilding homes after fire damage, as they will be familiar with local wildfire-resistant building codes.

• Portfolio and References: Ask for examples of completed projects and contact past clients to ask about their experience.

4. Ensure Familiarity with Wildfire Building Codes

• Compliance: Confirm that the contractor understands and complies with wildfire-specific building codes, such as:

  • Using fire-resistant materials (e.g., Class A roofing, tempered glass windows, and ember-resistant vents).

  • Creating defensible space around the property. Two great examples are these owner/architect homes that are exempt from the Pacific Palisades fire

    • https://youtu.be/CceM_JljwqQ?si=zBxogt072HkKEUGj

    • https://nypost.com/2025/01/15/real-estate/passive-house-survives-fire-in-california-how-it-avoided-total-destruction/

      Airtight construction is key along with other Passive House elements

• Permits: The contractor should handle obtaining necessary permits and inspections.

5. Request Multiple Detailed Estimates

• Compare Bids: Obtain at least three detailed, written estimates to compare costs and timelines. Please always go back to each contractor and make sure they are clear with your rebuilding requests. Review the estimates with the contractors to ensure the bids are exactly match with what you are hoping to accomplish.

• Breakdown of Costs: Ensure estimates include:

  • Labor (Hours)

  • Materials (type and quantity)

  • Permits

  • Cleanup and debris removal for the building process, not cleanup

  **Be sure to be in contact with your insurance and making sure the format contractors submitting their progress report are approved by your insurance company.

• Avoid Lowball Offers: Be cautious of bids significantly lower than others; this could indicate substandard work or hidden costs.

6. Evaluate Communication

• Responsiveness: Choose a contractor who communicates promptly with the insurance company

• Written Agreement: Insist on a written contract detailing:

  • Project scope

  • Timeline

  • Payment schedule

  • Warranty or guarantee for work

7. Understand the Payment Schedule

• Down Payment: Typically, 10–15% of the total cost upfront is reasonable. Avoid paying more than 20% upfront.

• Progress Payments: Payments should align with project milestones (e.g., demolition, framing, finishing) and determines by your insurance company

• Final Payment: Hold back at least 10% until the project is complete and passes inspection.

8. Watch for Red Flags

• High-Pressure Sales Tactics: Be wary of contractors pushing you to sign immediately or pay large sums upfront.

• No License or Insurance: Never hire a contractor without proper credentials.

• Unrealistic Promises: Avoid contractors offering guaranteed timelines or prices without detailed assessments.

• Beware of Storm Chasers: Fraudulent contractors often target disaster-affected areas.

• Do Not Pay Cash: Use checks or credit cards to ensure a paper trail.

• Verify Local Presence: Ensure the contractor has a permanent business address and phone number.

9. Finalize the Contract

Before signing, ensure the contract includes:

1. Scope of Work: Detailed description of all work to be performed.

2. Materials: Specifications for materials, including brand, type, and quantity.

3. Timeline: Start and completion dates.

4. Cost: Total cost, including allowances for unexpected expenses.

5. Warranty: Coverage for materials and workmanship.

6. Termination Clause: Conditions under which either party can terminate the contract.

10. Supervise and Monitor Progress

• Regular Updates: Maintain communication and request progress reports.

• Inspections: Ensure all work passes local building inspections before proceeding to the next stage.

• Stay Involved: Visit the site regularly to monitor progress.