GC Laws — Colorado contractor-law checklist preview (free) Sources reviewed 2026-09-30. Public summaries remain free on gclaws.com. [ ] Licensing - Colorado contractors should check the city or county where the work will occur for local contractor licensing requirements. The Colorado Attorney General separately directs consumers to the Department of Regulatory Agencies for state licensing of electrical and plumbing contractors. Verify both the local construction requirements and any applicable state trade credential before starting work. [ ] Mechanic's liens - Colorado generally requires a lien statement within four months after the claimant last furnishes labor or materials. A special rule gives laborers working by the day or piece, without furnishing other laborers or materials, two months after building completion. At least ten days before filing, the claimant must serve notice of intent on the owner or reputed owner and the principal contractor or agent using the statutory service method, and file an affidavit of service with the lien statement. - Section 38-22-109(10) also permits a timely statutory notice extending the filing period to the earlier of four months after project completion or six months after the notice filing; the extension remains subject to subsections (10)–(11) and §38-22-125. [ ] Retainage - Colorado caps retainage at 5% on covered private contracts priced at least $150,000 and related subcontracts and supply agreements. The law excludes a single contract for one single-family dwelling or one multifamily dwelling of no more than four units, and public-entity contracts. For contracts created on or after August 12, 2026, a qualifying retainage bond can require release of the covered retained funds under §38-46-103. Covered public-entity contracts exceeding $150,000 separately provide for progress payment of at least 95% of completed work value. [ ] Prompt payment - For covered Colorado public-entity construction contracts exceeding $150,000, monthly progress payments are authorized for satisfactory completed work. Final settlement is due within 60 days after satisfactory completion and final acceptance, subject to the statutory settlement procedure. A prime must pay a performing subcontractor within seven calendar days after receiving the corresponding payment; failure to provide the required supplier and lower-tier list can suspend this downstream timing protection. [ ] Prevailing wage - Covered state-agency public-project contracts of $500,000 or more require prevailing wages under §§24-92-202 through -204. The defined agency excludes counties, municipalities, school districts and other political subdivisions. Part 2 excludes projects receiving federal funding. - CDOT is separately addressed by §24-92-202(2): contractors on CDOT public projects must pay according to federal Davis-Bacon wage requirements regardless of contract amount or funding source. [ ] Davis-Bacon (federal) - Under 40 U.S.C. section 3142, covered contracts require payment to laborers and mechanics employed directly on the site of the work at least weekly, at rates no lower than the applicable prevailing wage determination. The required compensation includes the basic hourly rate and required fringe benefits, which may be provided through qualifying benefits or cash as the statute permits. - Qualifying apprentices may receive a lower registered-program rate only when the applicable registration and program conditions are met. The Department of Labor’s apprenticeship rules govern those exceptions. - The Department of Labor determines the prevailing rates for the work classifications and locality. Contractors and subcontractors must use the wage determination applicable to their covered contract. - Federal assistance alone does not establish coverage: many, but not all, construction-assistance statutes include Davis-Bacon requirements. Identify the funding program and its governing Related Act. - SAM.gov publishes Davis-Bacon wage determinations. Search by the wage-determination number or the Davis-Bacon public-buildings-or-works category, and match the decision to the contract, locality, and work classification. This preview lists the topics and rules covered in the full state pack. The paid pack adds the complete source URLs, citations, review dates, and the three editable tools. GC Laws is owned and operated by GCExperts LLC, a Texas corporation.