Agency warns against illegal construction activity

Yahoo

5 days ago

The Honolulu Department of Planning and Permitting urges the public to take care when hiring contractors, designers, architects and engineers for building projects.
DPP says some of these construction professionals actually may be engaged in illegal activities—a problem that could prove costly to unsuspecting homeowners.
But if discovered and reported, the illegitimate construction contractors could pay as well.
This reminder, according to DPP, comes in the wake of recent disciplinary actions by the state Department of Commerce and Consumer Affairs, including a case involving falsified licensing and unlawful permitting practices.
DCCA and its respective state boards and commissions recently released a summary of disciplinary actions taken through April, DPP says.
Among them was a $10, 000 fine levied against a business owner who, according to the DCCA's Regulated Industries Complaint Office, was aiding and abetting an unlicensed contractor on Oahu.
In this instance, RICO investigations allege the business owner—identified as Alex G. Ramos, doing business as Triple A Electrical Service—obtained permits on behalf of the unlicensed contractor across multiple projects, putting them in violation of state law.
In April that RICO case ended in a state Contractors License Board-approved settlement agreement with Ramos—who did not admit to violating any law or rule, but agreed to pay a $10, 000 fine to DCCA's 'compliance resolution fund, ' the settlement document states.
DPP claims its building inspectors were the first to identify the unlicensed contractors and took immediate action by initiating revocations.
'Hiring an unlicensed contractor or design professional may seem like a way to save money upfront, but it can lead to serious consequences and additional corrective expenses down the line, ' DPP Director Dawn Takeuchi Apuna said in a statement. 'The DPP is committed to collaborating with the DCCA to identify these contractors and hold them accountable for their illegal actions.'
As part of these efforts, DPP offers tips to help homeowners verify whether a contractor is properly licensed and operating legally.
Homeowners looking to build or renovate their property should evaluate the following steps before hiring any contractor :—Verify licenses. Ensure contractor and design professionals hold a valid license with the DCCA that is 'Current, Valid and in Good Standing.' Visit DCCA's Professional and Vocational Licensing Search to confirm credentials.—Check for complaints or disciplinary actions. To do so, use RICO's resources to research past complaints and enforcement actions.—Get multiple bids. Compare estimates from multiple licensed contractors and professionals. Be cautious of bids that are too low and seem too good to be true.—Insist on written contracts and estimates. Avoid contracts that are vague and only show the total cost of the work. To better understand the work to be done, contracts and estimates should provide separate and specific descriptions of the various items to be performed, including payment terms, project timelines and permits required. Structure payments so they are done after work has been satisfactorily performed and appropriate inspections have been completed.—Confirm building permits. Request to review all plans and permit submittal documents before they are submitted to the city or state for approvals. Keep paper and electronic copies of all documents and approved permits.—Be wary of numerous excuses for why delays are occurring and frequent requests for more money.
DPP says projects that require permits but proceed without them will be issued a stop-work order and cited for work without a permit.
'Construction cannot continue until a proper permit is obtained through legitimate channels, ' DPP spokesperson Davis Pitner told the Honolulu Star-Advertiser via email. 'If the issue is not resolved, a notice of order will be issued to compel compliance.'
He added that 'in cases where an unlicensed contractor is involved, the matter may be referred to RICO for further investigation and action.'
'There will always be those who want to skirt the law for larger profits but for the most part the majority of contractors do the right thing and follow the law, ' Pitner said. 'DPP's concern is with homeowners being taken advantage of, misinformed /misled, and /or receiving faulty or not up to code construction.'
He asserted the number of cases or incidents DPP has investigated in the past year or so involving unlicensed contractors or other illegitimate building professionals has increased slightly.
'This hasn't been a common occurrence but we're seeing an uptick, ' Pitner said. 'Each case is different based on the circumstances but are dealt with appropriately, whether it is revoking a building permit, issuing a violation, and /or reporting the unlicensed work to the DCCA for further investigation.'
Ashton Stallings, a DCCA communications specialist, said her agency continues to deal with these cases.
'Each year, hundreds of complaints are received concerning unscrupulous and unlicensed contractors targeting and scamming consumers, ' she told the Star-Advertiser via email. 'The subject of contracting is consistently among the top three of all the industry complaints received by RICO annually.'
In past years, DPP had noted issues with its third-party reviewers—licensed professionals brought in to help relieve staffing shortages as well as reduce its months-long building permit process.
During a June 2023 City Council Zoning Committee meeting, Takeuchi Apuna told the panel that third-party reviewers—who are not regular DPP staff—review specific codes like mechanical, electrical and structural for commercial projects, and work on residential projects and the city's land use ordinance.
But on April 11, 2023, DPP faulted a third-party reviewer for granting an unwarranted building permit.
DPP said local architect Jimmy Wu—working on behalf of the city—reviewed and certified plans for what was later deemed a 'monster home ' in the Kalihi area.
DPP issued a building permit on March 28, 2022, for the project at 1532 Hanai Loop.
Based on an inquiry from Council member Tyler Dos Santos-Tam and former state Rep. John Mizuno, DPP 're-reviewed ' the plans and determined incorrect information was provided to DPP by the project applicants and that the planned two-story, single-family home with nine bathrooms, no side yards and insufficient parking was a gross violation of the city's 'monster homes ' ordinance, the city said.
DPP revoked the project's building permit and issued a notice of violation and a stop-work order to the owners, Junqin Chen and Maonan Wang.
This week, DPP said it was still reviewing its future use of third-party reviewers.
'DPP is doing its best to streamline and expedite building permit reviews so that the capacity provided by third-party reviewers is unnecessary, ' Pitner said. 'In time, DPP will be the best option for property owners when it comes to building permit review.'
Homeowners are encouraged to contact the DPP or visit for resources on permitting, inspections and selecting licensed professionals.
For information regarding contractor legitimacy, visit DCCA at or visit RICO at.