North Dakota requires any contractor working on projects exceeding $4,000 to hold a state contractor license. The North Dakota Secretary of State oversees general contractor licensing, while specialty trades like electrical, plumbing, and water well drilling are regulated by their own dedicated boards.

Compared to many states, North Dakota's general contractor licensing process is relatively straightforward. There is no state-level exam requirement, no mandatory bonding for general contractors, and no continuing education obligation for license renewal. The primary requirements are a completed application, proof of liability insurance, and payment of the appropriate fee based on your license class.

That said, specialty trades carry more rigorous requirements, including examinations, apprenticeship hours, and continuing education. This guide covers every license type, fee, deadline, and requirement you need to know to work legally in North Dakota.

Types of Contractor Licenses in North Dakota

General Contractor License Classes

The North Dakota Secretary of State issues four classes of general contractor licenses, differentiated by the maximum contract value per job:

License Class Maximum Contract Value Per Job Initial License Fee
Class A Over $500,000 (unlimited) $450
Class B Up to $500,000 $300
Class C Up to $300,000 $225
Class D Up to $100,000 $100

Any work where the cost, value, or price per job exceeds $4,000 requires at least a Class D license. You can always upgrade your license class later as your business grows.

Specialty Trade Licenses

In addition to the general contractor license, North Dakota requires separate licenses for specific trades. These are administered by their own boards:

  • Electrical: Licensed by the North Dakota State Electrical Board (NDSEB). License types include Apprentice, Journeyman, Class B (residential/farm), Master, and Power Limited electricians.
  • Plumbing: Licensed by the North Dakota State Plumbing Board. License types include Apprentice, Journeyman, and Master plumber.
  • Water Well Drilling: Licensed by the North Dakota Board of Water Well Contractors. Requires examination and a surety bond.
  • HVAC/Mechanical: No state-level HVAC license exists. Individual municipalities (Fargo, Bismarck, Minot, etc.) issue their own mechanical and fuel gas licenses.
  • Asbestos Abatement: Licensed by the North Dakota Department of Environmental Quality.

If your work involves multiple trades, you may need both a general contractor license from the Secretary of State and one or more specialty trade licenses from the relevant boards.

Licensing Requirements

General Contractor License Requirements

North Dakota's general contractor licensing requirements are among the most straightforward in the country:

  • Experience: No minimum experience requirement at the state level.
  • Education: No formal education requirement.
  • Examination: No state exam required for general contractors.
  • Financial statements: Not required.
  • Background check: Not required at the state level.
  • Insurance: Certificate of liability insurance is required (see Insurance and Bond Requirements).
  • Workers' compensation: If you have employees in North Dakota, proof of coverage through Workforce Safety & Insurance (WSI) is required.
  • Business registration: Your business must be registered with the North Dakota Secretary of State.

Electrician License Requirements

The North Dakota State Electrical Board sets the following requirements:

  • Journeyman Electrician: 8,000 hours of experience (minimum 3 years), registration as an apprentice, completion of approved apprentice training, and passing the journeyman exam. Graduates of a two-year or longer electrical program may receive credit for 2,000 hours.
  • Class B Electrician (Residential/Farm): 3,000 hours of experience in farmstead or residential wiring under a master or Class B electrician, plus passing the Class B exam. An approved two-year electrical program counts for 1,000 hours.
  • Master Electrician: Must hold a journeyman license and have 2,000 hours (one year) of experience working under a contracting master electrician or master of record, plus passing the master exam.

Plumber License Requirements

The North Dakota State Plumbing Board requires:

  • Apprentice Plumber: Must be at least 18 years old. Must register within 30 days of beginning employment.
  • Journeyman Plumber: Must be at least 18 years old with four years (7,600 hours) of apprenticeship experience, plus passing the journeyman exam. License fee is $100.
  • Master Plumber: Must be at least 21 years old with two years (3,400 hours) of experience as a journeyman plumber, plus passing the master exam. License fee is $200.

Water Well Contractor Requirements

The North Dakota Board of Water Well Contractors requires:

  • Minimum one year of apprenticeship or experience in water well drilling under a certified contractor, or completion of a vocational program of at least one year in water well construction
  • Three professional references
  • Passing the water well contractor examination ($100 exam fee)
  • A surety bond ($2,000 for installing wells; $15,000 for constructing wells)
  • Certification fee of $200

Application Process

General Contractor License Application

All general contractor license applications are submitted through the FirstStop Portal, the North Dakota Secretary of State's online business services platform.

Step-by-step process:

  1. Register your business. If you haven't already, register your business entity with the North Dakota Secretary of State through the FirstStop Portal.
  2. Create an NDLogin account. You will need a North Dakota Login (NDLogin) to access the FirstStop system.
  3. Choose your license class. Select the class (A, B, C, or D) that matches the maximum contract value of jobs you intend to take.
  4. Obtain liability insurance. Get a certificate of liability insurance in the exact name you are requesting for the contractor license. The certificate must list the North Dakota Secretary of State as the certificate holder at: 600 E. Boulevard Ave., Dept 108, Bismarck, ND 58505.
  5. Obtain WSI verification (if applicable). If you have employees in North Dakota, get a current certificate of payment from Workforce Safety & Insurance. Instructions are provided in the FirstStop Portal.
  6. Submit application and fee. Complete the online application and pay the license fee for your chosen class.
  7. Receive your license. Once approved, you will receive your contractor license. Processing is typically handled within a few business days for complete applications.

Specialty Trade License Applications

For specialty trades, apply directly to the relevant board:

Examination Requirements

General Contractor

North Dakota does not require a state-level examination for general contractor licensing. This is a significant difference from states like California, Florida, and Arizona, which require extensive trade and business law exams.

Electrician Exams

All electrician license types (except apprentice) require passing an examination administered by the North Dakota State Electrical Board:

License Type Exam Fee Key Requirements
Class B Electrician $40 3,000 hours experience
Journeyman Electrician $25 8,000 hours experience
Master Electrician $50 Journeyman license + 2,000 hours

Exams are based on the 2023 National Electrical Code (NEC). The Electrical Board schedules exam dates and locations throughout the year. Contact the NDSEB for the current exam schedule.

Plumber Exams

Journeyman and Master plumber exams are administered by the North Dakota State Plumbing Board. Contact the board at (701) 328-9977 for exam scheduling and study materials.

Water Well Contractor Exam

The Board of Water Well Contractors administers its own examination. The exam fee is $100. Contact the board at (701) 328-2754 for exam scheduling.

Municipal HVAC/Mechanical Exams

Since HVAC licensing is handled at the municipal level in North Dakota, exam requirements vary by city. In Fargo, for example, mechanical and fuel gas exams cost $125 each (or $125 for both if taken the same day). Applicants need at least 3 years of journeyman-level experience and 5 years of total related experience.

License Fees and Costs

General Contractor License Fees

Fee Type Class A Class B Class C Class D
Initial License Fee $450 $300 $225 $100
Annual Renewal Fee $90 $60 $45 $30

Late renewals are subject to a late filing fee. Contact the Secretary of State at (701) 328-3665 for the current late fee amount.

Electrician License Fees

License Type Exam Fee Annual Renewal Fee
Class B Electrician $40 $40
Journeyman Electrician $25 $25
Master Electrician $50 $50
Power Limited Electrician Verify with NDSEB $50

Plumber License Fees

License Type License Fee
Journeyman Plumber $100
Master Plumber $200

Water Well Contractor Fees

  • Examination fee: $100
  • Certification fee: $200
  • Surety bond: $2,000 (installing) or $15,000 (constructing)

Insurance and Bond Requirements

General Liability Insurance

A certificate of general liability insurance is required for all general contractor license applications and renewals. Key requirements:

  • The insurance must be in the exact same name as the contractor license being requested.
  • The certificate must list the North Dakota Secretary of State as the certificate holder: 600 E. Boulevard Ave., Dept 108, Bismarck, ND 58505.
  • The state does not specify a minimum coverage amount for general contractors, but most contractors carry at least $500,000 to $1,000,000 in general liability coverage as an industry standard.

Workers' Compensation Insurance (WSI)

North Dakota operates a monopolistic state workers' compensation system through Workforce Safety & Insurance (WSI). This means:

  • All employers with employees working in North Dakota must obtain coverage through WSI. Private workers' comp policies do not satisfy North Dakota law.
  • Coverage must be secured before employees begin work.
  • If you do not have employees in North Dakota, you must provide a letter of good standing from WSI.
  • Penalties for non-compliance: Up to $10,000 plus $100 per day for each day the violation continues. Employers may also be liable for actual costs of any workplace injury claims during the uninsured period.

Surety Bond Requirements

North Dakota does not require a surety bond for general contractor licensing at the state level. However, be aware of these exceptions:

  • Water well contractors: $2,000 bond (installing wells) or $15,000 bond (constructing wells), required by the Board of Water Well Contractors.
  • Municipal bonds: Many cities impose their own bonding requirements. For example, Grand Forks requires a $5,000 bond for building, mechanical, plumbing, excavating, and sign-hanging contractors. Jamestown requires a $10,000 bond for building, master electrician, master plumber, gas fitter, and house mover license applicants.

Always check with the local city or county building department where you plan to work for additional bonding requirements.

License Renewal

General Contractor License Renewal

All general contractor licenses must be renewed on or before March 1 of each year through the FirstStop Portal.

Renewal requirements:

  • Pay the annual renewal fee (Class A: $90, Class B: $60, Class C: $45, Class D: $30).
  • Provide an updated certificate of liability insurance.
  • List each project, contract, or subcontract completed in North Dakota during the preceding calendar year that exceeded $50,000.
  • Certify that all payroll taxes, WSI premiums, and unemployment insurance premiums have been paid.
  • If applicable, provide current WSI verification.

Continuing education: North Dakota does not require continuing education for general contractor license renewal.

Late renewals: Renewals received after March 1 are subject to a late filing fee. The registrar may not renew, reinstate, or issue a new license until any outstanding civil penalties or restitution have been paid.

Electrician License Renewal

Electrician licenses are renewed annually. Renewal requires:

  • 8 hours of continuing education per year
  • At least 50% of CE hours must be based on the 2023 National Electrical Code
  • Payment of the annual renewal fee ($25 for Journeyman, $40 for Class B, $50 for Master/Power Limited)

Approved CE courses are listed on the NDSEB website.

Plumber License Renewal

Journeyman and Master plumber licenses require 4 hours of continuing education within each two-year renewal period. Contact the State Plumbing Board at (701) 328-9977 for approved courses and renewal deadlines.

Reciprocity with Other States

General Contractor Reciprocity

North Dakota does not offer reciprocal licensing for general contractors. Out-of-state contractors who want to work in North Dakota must obtain a license from the Secretary of State regardless of what licenses they hold elsewhere. North Dakota also does not accept the NASCLA Accredited Examination as a substitute for its own process (though since no exam is required, this is a moot point).

Electrical License Reciprocity

The North Dakota State Electrical Board participates in a Multi-State Reciprocal Licensing Agreement for Master and Journeyman electricians. North Dakota has reciprocal agreements with the following states:

  • Alaska
  • Colorado
  • Iowa
  • Minnesota
  • Montana
  • Nebraska
  • New Hampshire
  • New Mexico
  • Oklahoma
  • South Dakota
  • Texas
  • Wyoming

For details and application forms, visit the NDSEB reciprocal licensing page.

Plumbing License Reciprocity

The North Dakota State Plumbing Board has reciprocal agreements with select neighboring states:

  • South Dakota: Current SD Journeyman holders (who are SD residents) may apply for an ND Journeyman license without examination. Current SD Contractor holders may apply for an ND Master license without examination.
  • Minnesota and Montana: Similar reciprocal arrangements exist. Contact the Plumbing Board for current details.

How to Verify a Contractor's License

Before hiring a contractor in North Dakota, verify their license status using these official tools:

General Contractor License Lookup

Use the North Dakota Secretary of State Contractor Search to look up any licensed contractor. You can search by contractor name, business name, or license number to confirm their license class, status, and standing.

Electrical License Lookup

The North Dakota State Electrical Board provides a Find a Licensed Contractor tool on their website.

Plumbing License Lookup

The North Dakota State Plumbing Board offers license verification through their website at ndplumbingboard.gov.

Professional Engineers and Land Surveyors

The NDPELS Board offers a professional license search tool for verifying engineers and land surveyors.

Contact for Verification

You can also contact the North Dakota Secretary of State directly to verify a contractor's license status and check for complaints:

  • Phone: (701) 328-3665 or toll-free 1-800-352-0867
  • Address: 600 E. Boulevard Ave., Dept 108, Bismarck, ND 58505
  • Email: [email protected]

Penalties for Working Without a License

North Dakota takes unlicensed contracting seriously. Under NDCC Chapter 43-07, the penalties include:

Criminal Penalties

Acting as a contractor without a license on projects exceeding $4,000 is a Class A misdemeanor under North Dakota law. Penalties for a Class A misdemeanor include:

  • Up to 360 days imprisonment
  • Up to $3,000 in fines
  • Or both

Civil Penalties

The registrar (Secretary of State) may impose additional administrative penalties:

  • A civil penalty of up to three times the license fee amount that would have been required
  • A civil penalty of up to $1,000
  • Restitution of up to $5,000
  • License suspension or revocation (if the contractor subsequently obtains a license)

Loss of Legal Protections

The North Dakota Supreme Court has ruled that unlicensed contractors may face significant consequences beyond fines and jail time. An unlicensed contractor may be unable to enforce contracts or file mechanic's liens, effectively losing the legal right to collect payment for work performed.

Construction Fraud

NDCC 43-07 also addresses construction fraud. A contractor who accepts payment but fails to commence work within 60 days of the agreed start date (or 90 days if no start date was specified), or fails to complete work within 90 days of the agreed completion date (or 180 days if no completion date was specified), may face additional penalties.

Frequently Asked Questions

Do I need a license for jobs under $4,000?

No. North Dakota law only requires a contractor license when the cost, value, or price per job exceeds $4,000. However, you may still need to register your business with the Secretary of State and comply with local municipal licensing requirements.

Is there a contractor exam in North Dakota?

Not for general contractors. North Dakota is one of the few states that does not require a state-level exam for general contractor licensing. However, specialty trades (electrical, plumbing, water well) all require trade-specific examinations administered by their respective boards.

Do I need a bond to get a North Dakota contractor license?

Not at the state level for general contractors. The state does not require a surety bond for general contractor licensing. However, water well contractors need a bond ($2,000-$15,000), and many municipalities require bonds for local licenses. Always check with the city where you plan to work.

Can I use my out-of-state contractor license in North Dakota?

Not for general contracting. North Dakota does not offer reciprocity for general contractor licenses. You must obtain a North Dakota license regardless of your credentials elsewhere. Electricians and plumbers, however, may qualify for reciprocal licensing with certain states.

When do I need to renew my contractor license?

General contractor licenses must be renewed on or before March 1 of each year. Renewal is done through the FirstStop Portal. Late renewals incur additional fees.

Does North Dakota require workers' compensation insurance?

Yes, if you have employees working in North Dakota. North Dakota is a monopolistic state, meaning you must obtain workers' compensation coverage exclusively through Workforce Safety & Insurance (WSI). Private workers' comp policies from other states do not satisfy North Dakota law. Penalties for non-compliance include up to $10,000 plus $100 per day.

Conclusion

North Dakota's general contractor licensing process is among the most accessible in the United States. With no exam requirement, no mandatory bonding, and no continuing education obligation, the primary hurdles are obtaining liability insurance and submitting your application through the FirstStop Portal. The annual renewal deadline of March 1 is the key date to keep on your calendar.

Specialty trade contractors face more rigorous requirements, particularly electricians and plumbers who must complete apprenticeships, pass examinations, and fulfill continuing education obligations. The monopolistic workers' compensation system through WSI is another critical compliance point that out-of-state contractors often overlook.

For the most current information, contact the relevant licensing authority directly: