Contractor Charging Liability Costs Twice?

[Zach S.]

Hello all,

This is my first time posting here. I've been a realtor for five years and just recently got into flipping. I'm in the middle of renovation of my first project. The contractor I'm using came as a somewhat trusted recommendation from my father. We're in Florida and he has a general builder's license. He's working for $25/hour and I am procuring all supplies. When we pulled the first permit, he charged me $500 plus the cost of the permit. I assumed the $500 is to cover his cost of liability insurance considering he's getting paid $25/hour for his time to get go get the permit, wait for inspections, etc.

On my first bill, he has the $500 fee plus reimbursement for the actual city permit fee for doors and windows. Then, shortly after, we end up having to pull a second permit, for general remodeling. On the second bill, he as the city's permit fee, plus his $500 again.

Does this seem correct? It seems that he has already collected the $500 to cover his liability insurance costs, and he's already being paid $25/hour to get the permit.

I'd appreciate any thoughts or input on this!

Thanks in advance,

Zach

[Wayne Brooks]

Why are you assuming it's for liability insurance, and asking us instead of asking him?  That may be his "charge for my ability as a GC to get your permit since you can't get one yourself" fee.