(a) Residential building contractors, unlimited residential remodelers, and unlimited residential specialty contractors.

1. (1) All new and renewal applications must be submitted with a compiled financial statement of the applicant, showing a positive net worth excluding the applicant's homestead and retirement accounts.

2. (2)

   1. (A) All financial statements must be submitted on the form approved by the Residential Contractors Committee or in a similar format such as to provide the committee with the information sufficient to adequately review the financial status of the applicant.
   2. (B) All financial statements must be sworn to be true and correct.
   3. (C) Corporations, partnerships, and limited liability companies, etc., must file a business financial statement, not a personal financial statement.

(b) Limited license residential remodelers, limited license residential specialty contractors.

1. (1) No financial statement shall be required.
2. (2) A contractor holding a limited license is not authorized to perform a project if the cost of the work to be done in the State of Arkansas, including without limitation, labor and material, is fifty thousand dollars ($50,000) or more.

(c)

1. (1) If the committee determines that the financial information provided by an applicant for a new or renewal license does not satisfy the financial requirements, the committee may, at its option, deny the application or place the application in improve status.

2. (2)

   1. (A) A renewal applicant who is placed in improve status will have its license extended until the next regular meeting of the committee, pending further information being provided and/or changes being made by the applicant to resolve any difficulties.
   2. (B) The license is effective only until the next regular meeting of the committee and will expire at the next regular meeting unless further action is taken by the committee.