2025 was a busy year for the Georgia Legislature and Governor, and several key laws were enacted that impact construction in Georgia that took effect July 1, 2025. As you will see, certain House and Senate bills overlapped on some legal provisions, such as requirements for continuing education. Here is a brief overview of these laws, many of which may impact your construction company’s operations, such as licensing, continuing education, bidding, and retention thresholds for Georgia projects in 2026.
House Bill 137 – This law raised contract value thresholds that trigger bidding, competitive procurement requirements, and retention, as follows:
- Changes retention withholding on public works contracts from $150,000 to $250,000. (Bill Section 1)
- Revises trigger for open bidding on public school contracts to those contracts exceeding $250,000. (Bill Section 3)
- Increases the minimum threshold for Department of Administrative Services-managed procurements and bidding on public works to $250,000. (Bill Section 7)
- Eliminates requirement for multiple estimates and formal contract negotiation limits for county and municipal road contracts under $250,000. (Bill Section 4)
House Bill 635 – This law revised Georgia’s general contracting and licensing statutes, as follows:
- Creates categories for residential-basic, residential-light commercial, and commercial construction. (Code Sec. 43-31-6)
- Defines educational and experience requirements for licensure that can be supported by verified affidavits. (Code Sec. 43-41-6)
- Requires proof of financial responsibility at the time of initial license application and upon renewal of existing licenses. (Code Sec. 43-41-6)
- Requires license renewal every other year. (Code Sec. 43-41-6)
- Requires continuing education for each license class. (Code Sec. 43-41-6)
- Authorizes revocation of license for misconduct or for aiding in unlicensed practice. (Code Sec. 43-41-16)
Senate Bill 96 – This law altered existing environmental and developmental advisory bodies, as follows:
- Repeals the Environmental Advisory Council and Stakeholder Advisory Board. (Bill Section 2-2)
- Consolidates oversight of erosion control through the Erosion and Sediment Control Overview Council. (Bill Section 4-1)
Senate Bill 125 – This law addressed education and licensure requirements for electrical contractors, plumbers, HVAC contractors, low-voltage contractors, and utility contractors, as follows:
- Creates tracking system for required continuing education. (Code Sec. 43-1-4.1)
- Allows certain specialty engineers to meet eligibility requirements via exams. (Code Sec. 44-15-9)
- Establishes exam and license requirements for low-voltage contractors. (Code Sec. 43-14-6(D))
- Requires certified safety training and regular safety training renewals for utility managers. (Code Sec. 43-14-12)
- Enacts cease and desist authority and monetary penalties for unlicensed practice or misleading advertising. (Code Sec. 43-14-17)
Now is the time to review your team’s continuing education and license renewal needs, as well as confirm project sizes related to new bidding and retention thresholds, to ensure continuous service for your customers in the New Year.
