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How to pass the Idaho Public Works Contractor exam

Idaho has no state exam for private work. Public works is different: a license, a bid limit set by your finances, and one open-book exam. Here’s how it works and how to study, checked against the state’s own documents.

At a glance

Private workRegistration only. Unless exempt, anyone working as a contractor in Idaho must register with the Idaho Contractors Board through DOPL. The registration law has no exam. You show liability insurance and workers’ comp instead.
Public workA Public Works Contractor License from the Public Works Contractors License Board (part of DOPL) is required to build, repair or rebuild public works. This is the license with the exam.
Who needs the licenseThe law exempts any single project with an estimated cost under $100,000. At $100,000 and up on a public job, you need the license. Some older DOPL pages still say $50,000; the statute was changed in 2024.
Classes and bid limitsSeven classes: C ($200,000), CC ($400,000), B ($600,000), A ($1,250,000), AA ($3,000,000), AAA ($5,000,000) and Unlimited. Your class is set mainly by your company’s net worth and working capital.
The examOne exam: 100 questions, 240 minutes, open book. You need 70 to pass. The only reference allowed is DOPL’s Contractor’s Business and Law Reference Manual.
Who runs itPSI. You test on computer at PSI sites in Boise, Lewiston, Moscow, Twin Falls, Idaho Falls or Spokane Valley, WA. DOPL now has you pass the exam before you apply for the license.

The exams

ExamQuestionsTimeTo passBooks allowed
Public Works Contractor
One reference only: DOPL’s Contractor’s Business and Law Reference Manual, printed in a three-ring binder.
100240 minutes70Yes

Question count, time, passing score and the $75 fee are from PSI’s Idaho candidate bulletin effective 7/9/2026. Every question is drawn from the 13 sections of DOPL’s reference manual. The three biggest are Section 5, Accounting & Finance (20 questions), Section 6, Human Resources (20) and Section 7, Insurance and bonding (20). Then come Project Management (10), Contracts (8), Estimating & Bidding (7), Safety (5), Licensing (2), Business Organization (2), Professional Relationships (2), Lien Laws (2), Business Plan (1) and Taxes (1). Your score shows on screen when you finish.

Before you apply

  • License types: Idaho law splits public works into four branches: heavy, highway, building and specialty construction. Your license shows the types of work you can bid and perform, and you must back each type with your work history.
  • Building construction means: work on a structure that needs more than two unrelated building trades or crafts. Work needing special skill and specially skilled trades is specialty construction.
  • Finances set your class: the rule sets minimums for each class. For example, Class C needs $25,000 net worth and $7,500 working capital; Class A needs $300,000 and $100,000; Unlimited needs $1,000,000 and $600,000.
  • Financial statement: Class A, AA, AAA and Unlimited need a reviewed statement or one with an independent auditor’s report. Class B and CC need at least a CPA-compiled statement. Class C can also use the administrator’s form.
  • Experience and qualifier: the law asks for experience and general knowledge of Idaho’s building, safety, health and lien laws and contracting basics. One person qualifies the company by exam. The application lists your contract work for the past three years and your equipment.
  • The rule most people miss: your class limits the whole bid. The total includes every subcontractor’s bid, plus split bids and alternates. Two licensees can’t combine their limits to bid a bigger job.

Step by step

  1. Decide which one you needPrivate jobs only? Register with the Idaho Contractors Board. Public jobs of $100,000 or more? Get the Public Works Contractor License. A public works licensee gets a contractor registration certificate with no registration fee.
  2. Pick your type and classMatch your work history to heavy, highway, building or specialty. Then check your net worth and working capital against the class table, and order the right type of financial statement.
  3. Register and pay PSICreate an account at test-takers.psiexams.com/idcon, pick the Public Works Contractor exam and pay the $75 fee. The fee is good for one year and is not refundable.
  4. Print and tab the manualDownload DOPL’s Contractor’s Business and Law Reference Manual. Print it, hole-punch it and put it in a three-ring binder. Highlight and add permanent tabs before test day.
  5. Pass the examYou need 70. If you don’t pass, you can retake it as many times as needed, paying the fee each time. To cancel or reschedule without losing your fee, give PSI notice at least 2 days before.
  6. Apply to DOPLAfter you pass, apply through DOPL’s online services. Send your financial statement, work history and the fee for your class. Once licensed, put your license number on every public works bid and contract.

The reference books

Only one book is allowed in the exam room: the Division of Occupational & Professional Licenses Contractor’s Business and Law Reference Manual. It’s a free download from DOPL and PSI. The Idaho statutes and rules aren’t on the allowed list, so learn the key licensing and bond rules before test day.

The manual has 13 sections: business plan, professional relationships, business organization, licensing, accounting and finance, human resources, insurance and bonding, estimating and bidding, contracts, project management, safety, taxes, and lien laws.

Where the points are: 60 of the 100 questions come from three sections: accounting and finance, human resources (federal and Idaho labor laws), and insurance (unemployment, workers’ comp and bonding). Tab those sections first.

Binder rules: the manual must be printed, hole-punched and in a three-ring loose-leaf binder. Highlighting, underlining and permanent tabs are fine. Post-its, extra papers and writing during the exam are not. If you’re caught writing in it, your binder is taken and you’re reported to DOPL.

A 6-week study plan

Week 1Download and print the manual. Put it in a binder and read the table of contents. Read Idaho Code 54-1902 through 54-1904 so you know who needs the license and the bid limits.
Week 2Section 5, Accounting & Finance (20 questions): financial statements, accounting methods, cash management, financial ratios and depreciation. Tab each topic.
Week 3Section 6, Human Resources (20 questions): the federal labor laws (FLSA, Davis-Bacon, Civil Rights Act, ADA, FMLA and others) and the Idaho laws. Practice finding each one fast.
Week 4Section 7, Insurance (20 questions): unemployment insurance, workers’ comp and bonding. Then Section 12 (Taxes) and Section 13 (Lien Laws).
Week 5Sections 8 to 11: estimating and bidding, contracts, project management and safety. Practice markup, margin and ratio math.
Week 6Timed practice: 100 questions in 240 minutes. Fix the tabs where you were slow. Schedule your exam with PSI.

On test day

  • Arrive 15 minutes before your appointment. If you arrive late, you won’t be admitted and you lose your fee.
  • Bring one current government-issued ID with your name, signature and photo. A temporary paper DMV ID only counts with your original expired ID.
  • Bring the manual in its three-ring binder, highlighted and permanently tabbed. No Post-its or loose papers.
  • Phones, smart watches, calculators and other electronics go in storage, along with bags, wallets, pens, food and hats. Close-fitting jackets or sweatshirts are allowed.
  • Watch the clock: 240 minutes for 100 questions is 2.4 minutes each. Answer what you know, then look up the rest.
  • Your score shows on screen at the end. If you fail, the score report shows your strong and weak areas so you know what to study.

Quick answers

Do I need a license to build privately in Idaho?

Not a public works license. Private residential and commercial contractors register with the Idaho Contractors Board through DOPL. Registration requires $300,000 in general liability insurance and proof of workers’ comp (or a statement of why it isn’t required). There’s no exam.

What happens if I don’t register for private work?

Working as a contractor without registration is a misdemeanor. An unregistered contractor also loses the right to file a lien on the property and can’t sue to collect payment for the work.

Do subcontractors on public jobs need the license?

Usually yes. The exception: a subcontractor working under the direct supervision of a Class Unlimited, AAA, AA or A licensee doesn’t need a license if the subcontract is under $100,000. Prime contractors can’t subcontract more than 80% of the work unless the specs allow it.

Can I bid a federally funded job before I’m licensed?

Yes. On public works paid in whole or part with federal aid funds, you can bid without the license. You must have the license at or before award and signing.

What bonds do public jobs need?

Public contracts of $50,000 or more need a performance bond and a payment bond, each at least 85% of the contract amount. When the bonds are over 50% of the contract, the owner can hold back no more than 5% retainage.

How often do I renew?

The law now sets a 24-month license period, and DOPL began moving public works licenses to two-year renewals on April 1, 2026. Since January 1, 2026, DOPL has waived renewal fees for public works licenses. New applicants still pay the standard fees.

Get the printable study plan

The 6-week plan, a book-tabbing checklist and a test-day checklist for the Idaho public works contractor exam, all in one free PDF.

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Licensed? Now go win the work.

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