Georgia Construction Law: 2025 Legislative Year In Review

With 2026 approaching, it is a good time for contractors and construction industry professionals to take stock of recent changes in Georgia law. During the 2025 legislative session, the General Assembly enacted a series of statutory amendments affecting contractor licensing, trade regulation, public procurement thresholds, and environmental oversight, all of which took effect July 1, 2025.

Contractor Licensing and Trades Regulation:

House Bill 635 follows prior revisions to Georgia's general contractor licensing statutes and clarifies several aspects of licensure, renewal, and enforcement under Title 43, Chapter 41 of the Georgia Code. The legislation addresses recurring areas of confusion while preserving the existing licensing framework.

Key provisions include:

• Distinct licensing categories for residential-basic, residential-light commercial, and commercial general contractors, each with updated eligibility paths.
• Defined education and experience requirements under O.C.G.A. § 43-41-6, based on relevant project experience and verified affidavits.
• Proof of financial responsibility, including minimum net worth and general liability insurance, required at the time of application and for license renewal.
• Biennial license renewal with continuing education requirements (3 to 8 hours annually depending on license class).
• Expanded enforcement tools, including revocation authority under O.C.G.A. § 43-41-16 for misconduct or aiding unlicensed practice.

Senate Bill 125 amended Title 43, Chapter 14, revising licensing provisions applicable to electricians, plumbers, HVAC contractors, utility contractors, low-voltage contractors, and professional engineers.

Key changes include:

• A new continuing education tracking system for all licensees (see O.C.G.A. §§ 43-14-6 and 43-14-5).
• Decoupling of the experience and exam timeline for certain specialty engineers under O.C.G.A. § 43-15-8, allowing earlier exam eligibility.
• Specific license classifications and exams for low-voltage contractors (LV-A, LV-T, LV-G, LV-U).
• Revised licensure provisions applicable to utility managers under O.C.G.A. §§ 43-14-10 and 43-14-11, requiring certified safety training and regular renewals.
• Enhanced enforcement measures, including cease-and-desist powers and financial penalties for unlicensed practice or misleading advertising under O.C.G.A. §§ 43-14-17 and 43-14-18.

Public Works Procurement Thresholds:

House Bill 137 amended several sections of the Georgia Code to raise contract value thresholds that trigger bidding, retention, or competitive procurement requirements:

• O.C.G.A. § 13-10-80(c): Exempts public works contracts under $250,000 (previously $150,000) from retention withholding.
• O.C.G.A. §§ 20-2-500 and 20-2-520: Public school contracts must now exceed $250,000 to trigger open bidding and Georgia manufacturer preference requirements.
• O.C.G.A. §§ 32-4-63 and 32-4-113: County and municipal road system contracts under $250,000 no longer require formal negotiation limits or multiple estimates.
• O.C.G.A. §§ 36-91-22 and 50-5-72: Increases to $250,000 the minimum threshold for public works bidding and DOAS-managed procurements.

These changes reflect modern construction pricing realities and aim to streamline small-scale public construction projects.

Environmental and Regulatory Alignment:

Senate Bill 96 repealed or consolidated several statutory advisory bodies involved in environmental and development oversight.

Key changes include:

• Repeal of the Environmental Advisory Council and Stakeholder Advisory Board under O.C.G.A. §§ 12-2-2 and 12-7-20.
• Consolidation of erosion control oversight under the Erosion and Sediment Control Overview Council (revised § 12-7-7.1).
• Elimination of the Georgia Volunteer Fire Service Council, with changes affecting O.C.G.A. Title 25 and training certifications relevant to fire service and emergency coordination related to construction activities.

Takeaway:

The 2025 legislative session produced incremental statutory changes affecting contractor licensing, trade regulation, public procurement, and regulatory administration. The core frameworks remain intact, but the amendments clarify compliance obligations, adjust procedural thresholds, and refine oversight mechanisms.

As construction industry stakeholders and professionals plan for 2026, this is an appropriate time to confirm that:

• License classifications and qualifying-agent arrangements align with current Title 43 requirements.
• Continuing education tracking and renewal calendars reflect the updated statutes.
• Public works procurement practices account for revised bidding and retention thresholds.
• Internal compliance policies reflect the enforcement provisions now in effect.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.