New Mexico contractor license requirements
By Mountain West Trades editors · Updated
Last verified
Do you need a contractor license in New Mexico?
New Mexico construction contractors are licensed by the Construction Industries Division (CID) of the New Mexico Regulation and Licensing Department (NMRLD), which licenses contractors by classification. (source) Anyone who acts as a contractor in New Mexico, including subcontractors and specialty contractors, needs a CID license classified for the work, and may not bid without one. Contracting covers constructing, altering, repairing, installing or demolishing buildings, roads, pipelines, transmission lines and similar projects, including electrical wiring, plumbing and mechanical work. Exemptions include a person building or improving a single-family home for their own use, and a handyman doing casual, minor or inconsequential work, one project at a time, for no more than $7,200 compensation a year, if the work is not part of a larger operation and the handyman does not advertise as a contractor; the handyman exemption does not cover electrical wiring, plumbing or gas fitting and requires an annual declaration filed with CID. (source)
This guide summarizes what New Mexico requires to run a contracting business, with a link to the state's own source for every requirement. Licenses for individual electricians, plumbers and HVAC technicians are separate; see the trade guides linked below. Rules change; check the linked source before you apply.
License classes
New Mexico contractor licenses are issued by classification. General construction includes GB-2 (residential: residences and apartment houses of up to four family units), GB-98 (general building, residential and commercial, including all GB-2 and GS work), GA (asphalt, bitumen and concrete), GF (fixed works) and GS (specialty trades); electrical includes EE-98, ER-1, EL-1 and ES specialties; mechanical and plumbing includes MM-1, MM-3, MM-98 and MS specialties. (source)
Experience and exams
Experience is required of the Qualifying Party and varies by classification. GB-2 (residential) requires two years of foreman-level practical or related trade experience, and GB-98 (general building) requires four years of foreman-level practical or related trade experience, two years of which must be commercial. EE-98, EL-1, GF-98, MM-1, MM-3, MM-98, MS-12 (fire sprinklers) and MS-14 (chemical suppression) require four years' experience; most GA, GF, GS, ER and ES classes, and MS-3 and MS-6, require two. (source)
Qualifying Party applicants must pass the exam(s) for the classification sought plus a Contractor's Business and Law exam; an approved Business and Law course can be taken instead of that exam. Applicants must be preapproved, after CID or PSI accepts their work experience, before scheduling, and PSI administers all Construction Industries exams. A passing score is valid for one year. (source)
Bond and insurance
Every applicant for a license or renewal must furnish CID a $10,000 bond from a corporate surety authorized to do business in New Mexico, and keep it in force for the entire license period. Payments from the bond go only to cure code violations that the division certifies and the licensee has not corrected. (source)
CID requires licensed contractors to carry workers' compensation insurance as required by New Mexico's Workers' Compensation Act. RLD says coverage is required for all licensed entities, but CID's license application notes that a sole proprietor with no employees may be exempt. Failing to maintain required coverage is grounds to suspend or revoke a license. (source)
Fees and renewal
PSI's fee sheet for CID lists a non-refundable $30 application fee plus a $6 certificate fee for a contractor license application, and a non-refundable $30 application fee per submittal plus a $6 certificate fee per classification for a Qualifying Party certificate. New and renewal license fees are $300 per classification for GB-2, GB-98, GA-98, GF-98, EE-98 and MM-98 and $150 for each other single classification, with a maximum of $300 for several classifications in one category (for example GB-98 plus any GS class). (source)
New Mexico contractor licenses are issued for three years and expire on the last day of the month in which they were issued (state law sets two years or a term CID chooses, but never less than one year). Renew through PSI, CID's licensing vendor, with the renewal fee and a bond covering the new three-year term. A license not renewed by its expiration date is suspended, and it is canceled if not renewed within 90 days. (source)
Check a contractor's license
New Mexico's public contractor license lookup: https://public.psiexams.com/search.jsp
Sources
- 14.6.3 NMAC – Contractor's License Requirements — last verified
- About the Construction Industries Division | New Mexico RLD — last verified
- Amendment to 14.6.6 NMAC – New Mexico Register, Volume XXXVII, Issue 12 (June 23, 2026) — last verified
- Apply for a Construction Industries License - NM RLD — last verified
- Chapter 60 - Business Licenses - NMOneSource.com — last verified
- Contractor License Application - NM Construction Industries Division (PSI) — last verified
- How to Renew a Contractor License - NM Construction Industries Division (PSI) — last verified
- New Mexico Licensing Fees - NM Construction Industries Division (PSI) — last verified
- Verify Professional Licenses | NM Regulation & Licensing Dept. — last verified