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How to pass the New Mexico GB-98 General Building Contractor exam
Three open-book exams, a 75% passing score on each, and one year to pass them all. Here’s how the New Mexico GB-98 license works and how to study for it, checked against the state’s own documents.
At a glance
The exams
| Exam | Questions | Time | To pass | Books allowed |
|---|---|---|---|---|
| Business and Law An approved business and law course can replace it | 50 | 130 minutes | 75% (38 points) | Yes |
| GB-98 Part 1 (GB-2 Residential) | 80 | 225 minutes | 75% (60 points) | Yes |
| GB-98 Part 2 (General Building) | 100 | 310 minutes | 75% (75 points) | Yes |
Question counts, times and passing scores are from PSI’s New Mexico candidate information bulletin (updated April 3, 2026). The 75% passing score is also set in 14.6.3 NMAC. All questions are multiple choice. If you fail one part, you retake only that part.
Before you apply
- Experience, 4 years: GB-98 requires four years of foreman-level practical or related trade experience, and at least two of those years must be commercial.
- Recent experience: you can’t take the qualifying exam until you document four years of experience within the 10 years before you apply.
- Training credit: accredited technical training counts as half a year of experience for each year of training, up to half of the total experience requirement.
- Bond: a $10,000 surety bond from a corporate surety authorized in New Mexico, kept in force for the whole license period. It is used to cure code violations the licensee doesn’t correct.
- Workers’ comp: failing to comply with workers’ comp law can make a license invalid.
- Use your certificate: a new qualifying party certificate expires if it doesn’t qualify a valid license within 12 months of your exam score being reported.
Step by step
- Check your experienceMake sure you have four years at foreman level, at least two of them commercial, within the last 10 years.
- Get pre-approved through PSIApply for exam approval. Once you are eligible, you must test within six months or reapply.
- Pay and scheduleBusiness and Law is $68.88. The two-part GB-98 exam is $269.06 and includes the GB-2 exam. A retake of one GB-98 part is $134.53.
- Pass Business and Law, or take an approved courseState law lets you take an approved business and law course instead of the exam.
- Pass both trade parts within one yearYou can’t take the same exam more than twice in 30 days. If you fail one part, retake only that part.
- Apply for your licenseWith your qualifying party certificate, apply to CID with your $10,000 bond and proof of workers’ comp compliance.
The reference books
The Business and Law exam allows the NASCLA Contractors Guide to Business, Law and Project Management (Basic 14th ed.), the Construction Industries Licensing Act (NMSA Chapter 60, Article 13) and the contractor licensing rules (14.6.3 NMAC).
Part 1 (GB-2 Residential) uses NMAC Title 14, the 2021 New Mexico Residential Building Code, the 2021 IRC and IECC, OSHA 1926 and several trade books, including Roofing Construction and Estimating and the BCSI truss guide.
Part 2 (General Building) uses the 2021 New Mexico Commercial Building Code, the 2021 IBC, Principles and Practices of Commercial Construction (9th ed.), Design and Control of Concrete Mixtures, ACI 318 and ACI 530, plus steel, gypsum, rebar and precast references. Its biggest section is general code, plan reading and estimating (27 questions).
Book rules: references must be bound. You may highlight, underline and index them, but books with any writing in them are not allowed. Permanent tabs only, no Post-it notes.
A 6-week study plan
On test day
- Bring every allowed book, bound, with permanent tabs only. Books with handwriting will be turned away.
- Calculators must be silent, non-printing and non-programmable.
- Watch the clock: about 2.6 minutes per question on Business and Law, 2.8 on Part 1 and 3.1 on Part 2.
- Answer every question. Go through once for what you know, then look up the rest.
- Part 2 is over five hours. Plan your food and rest the day before.
- Your passing scores are good for one year, so schedule the next exam soon after you pass one.
Quick answers
Do I have to take the Business and Law exam?
You either pass the PSI Business and Law exam or complete a business and law course approved by the commission. State law allows the course in place of the exam.
Can NASCLA replace the trade exam?
Possibly, for GB-98 only. The CID bureau chief may waive the state trade exam for a qualifying party who passed the NASCLA accredited exam, as long as all other requirements are met. NASCLA’s page for New Mexico also says you need a letter showing at least 1 year licensed in good standing in another state. It isn’t automatic, so ask CID. You still take the Business and Law exam.
Why do I take a residential exam for a commercial license?
GB-98 includes all GB-2 residential work, so the two-part GB-98 exam includes the GB-2 exam as Part 1.
Can a GB-98 contractor be the prime on any job?
A GB-98 contractor can be the prime on a mechanical, plumbing or electrical project that includes GB-98 work. But it can’t be the prime on a whole project where most of the dollar value is GA or certain GF work.
What happens if I work without a license?
It is a misdemeanor. If the work is over $5,000, the fine can be 10% of the dollar value of the work, and you lose the right to file a mechanic’s lien.
Official sources
Rules, fees and exam details change. Always confirm with the board before you apply. Last checked October 2026.
- PSI New Mexico candidate information bulletin (Apr. 3, 2026)
- 14.6.3 NMAC: licensing requirements, exams, bond
- 14.6.6 NMAC: classifications and scopes (GB-98)
- NMSA Chapter 60, Article 13: Construction Industries Licensing Act
- NMSA Chapter 48, Article 2: mechanics’ and materialmen’s liens
- New Mexico Construction Industries Division
ContractorDock is not affiliated with the licensing board or the testing company. This guide is general information, not legal advice.
Get the printable study plan
The 6-week plan, a book-tabbing checklist and a test-day checklist for the New Mexico GB-98 General Building Contractor exam, all in one free PDF.
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