State board steps up discipline of contractors

Tuesday, Jan. 11, 2000 | 9:56 a.m.

Contractors Board disciplinary actions have soared more than 500 percent over the last two years as the agency flexes new muscle gained from the Legislature.

The new laws were passed after many homeowners complained the board favored contractors, hired unqualified investigators and took too long to process complaints.

From July through December 1999, the board disciplined contractors 97 times and revoked 49 licenses. That compares to 18 disciplinary actions and seven revocations over the same period in 1997.

"I think we're much more effective," said Deborah Sheltra, the only consumer representative on the seven-member board. "We have members who do not tolerate contractors jerking people around."

Melvin "Frank" Gross, a Reno homeowner who has filed complaints with the board, praised its new direction.

"I think they're a lot more receptive," he told the Reno Gazette-Journal. "Here you have a young lady (Executive Officer Margi Grein) who is going up against Goliath companies. What is at stake here is more than anyone realizes."

Gross said his house in northwest Reno, built by McKim Homes, was fixed only after three years of persistent complaining to the board.

Last week, the board fined McKim $15,000 for taking too long to make repairs and ordered the builder to pay $17,953 for investigative costs. McKim's lawyer didn't return a phone call.

Not everybody is happy about the board's new direction.

At least a half-dozen board investigators have quit or been fired in recent months, with some saying the board is going too far in regulating contractors.

"The organization for a long time was run good," said Bob Kennedy, a veteran investigator who resigned last summer. "Now it has turned 100 percent pro-consumer. They are just beating the contractor to death.

"I have a great rapport with contractors and I could explain things to contractors and consumers. Most contractors will take care of what they need to - 99 percent of these boys do a good job."

The Builders Association of Northern Nevada plans to discuss the recent changes with the board, said Bob Jones, the group's executive director.

"We've always been happy with the Contractors Board, now we're hearing some rumbling ... We don't know necessarily there is a problem," he said.

Gov. Kenny Guinn will examine the board as part of a review of all state agencies to eliminate fiscal waste or organizational problems. No date has been set for the review.

Grein acknowledged she's under fire, but pledged to move forward with needed changes.

"We're making some headway, we're getting there," she told the Gazette-Journal. "I have given people every opportunity to change. If they can't change, they can leave."

Board member Michael Zech said some people are having trouble with change, but the new direction is what the Legislature demanded.

"I'm very proud to be part of it," he said.