ALJDEC

01F-L0232-ROC · Registrar of Contractors · 2001-12-21

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: December 13, 2001. APPEARANCES: Bryan Peters, Complainant; and Cliff Corlett, Registrar of Contractors Inspector. ADMINISTRATIVE LAW JUDGE: Dorinda M. Lang. _____________________________________________________________________

After filing a complaint regarding Tri-State Concrete’s workmanship in pouring his driveway, Bryan Peters established that this contractor violated the relevant Arizona statutes governing its conduct. Considering the facts of the matter and the contractor’s license record, it is recommended that that license be revoked, regardless of the fact that it has been canceled. FINDINGS OF FACT 1. On May 22, 2001, Bryan Peters filed a complaint with the Registrar of Contractors against Tri-State Concrete owned by Steven Dean Griffith. The complaint alleged that the concrete poured in the driveway in front of Mr. Peters’ two garages was cracking and did not drain properly. On June 6, 2001, Cliff Corlett, Registrar of Contractors Inspector, conducted a job site inspection and found numerous deficiencies in the concrete. It was heaving, its cracks were excessive, and it was in need of expansion and control joints. On June 7, 2001, he issued a Corrective Work Order ordering Tri-State Concrete to remove and replace the entire driveway. 2. On December 6, 2001, Mr. Corlett conducted a pre-hearing inspection. There was no change in the condition of the concrete; it had not been replaced. Mr. Corlett testified that Tri-State Concrete’s contracting license has been canceled. Its answer to the Citation and Complaint issued on August 10, 2001 denies any wrongful or fraudulent act, accepts responsibility for the workmanship and explains that it is unable to complete the Corrective Work Order at this time due to financial hardship. It contemplates closing its doors for business. 3. Mr. Peters appeared at hearing and testified that he had allowed Tri-State Concrete extra time to do the work but nothing was done. No one appeared at the hearing on behalf of Tri-State Concrete. 4. According to the records of the Registrar of Contractors, the license in this matter has one open and two closed complaints and was suspended indefinitely on April 11, 2001 for failure to post additional bond. It was canceled on July 13, 2001. CONCLUSIONS OF LAW 1. This matter is within the jurisdiction of the Registrar of Contractors pursuant to A.R.S. §§ 32-1104(A)(4), 32-1154(B) and 32-1156. 2. The Citation and Complaint issued by the Registrar of Contractors in this matter alleged potential violations of A.R.S. § 32-1154(A)(3), (7) and (23) and A.A.C. R4-9-108. 3. The Arizona Revised Statutes at § 32-1154(A)(3) provides grounds for suspension or revocation of a contractor’s license for “[v]iolation of any rule adopted by the registrar.” The Arizona Administrative Code provides that Arizona contractors must meet minimum workmanship standards in the projects they undertake. A.A.C. R4-9-108. According to the testimony of the Registrar of Contractors Inspector at hearing and the Registrar of Contractors booklet A Guide for Contractors: Minimum Workmanship Standards for Licensed Contractors, January 2000, pp. 15-17, excessive cracking, poor drainage, improper expansion and control joints, and uneven or wavy floors (such as is caused by heaving) do not meet minimum workmanship standards. Tri-State Concrete’s work had all of these problems. Therefore, it has violated A.R.S. § 32-1154(A)(3). 4. The Arizona Revised Statutes at § 32-1154(A)(7) provides for suspension or revocation of a contractor’s license for the “doing of a wrongful or fraudulent act by the licensee as a contractor resulting in another person being substantially injured.”. Although Tri-State Concrete denies any fraudulent actions in its Answer, it was wrongful to leave a customer with a product so deficient that it must be completely replaced. The cost to Mr. Peters for the driveway was $2,854.86. Considering what he paid and the length of time he has had to live with the problems created by Tri-State Concrete, it is fair to conclude that he has suffered a substantial injury. Therefore, Tri-State Concrete has violated A.R.S. § 32- 1154(A)(7). 5. The Arizona Revised Statutes at § 32-1154(A)(23) provides grounds for suspension or revocation of a contractor’s license for failure to take appropriate corrective action on a Corrective Work Order without valid justification and within a reasonable period of time. It is undisputed that Tri-State Concrete closed its doors and did not replace Mr. Peters’ driveway. Financial hardship being the basis of that action according to the Answer, it did not have a valid justification for failure to take corrective action. Therefore, Tri-State Concrete has violated A.R.S. § 32- 1154(A)(23). 6. The Registrar of Contractors may consider the prior record of a contractor in any disciplinary proceeding provided the records are introduced into evidence. A.A.C. R4-9-117. On standing motion by the Registrar of Contractors, the computer records of the Registrar of Contractors may properly be considered to be evidence in the event the Administrative Law Judge finds a violation of any of the statutory provisions cited in the Citation and Complaint. In this case, the “canceled” status of this contractor foreclosed the option of recommending a provisional suspension. Pursuant to A.R.S. § 32-1140, the Registrar still has the authority to take disciplinary action against the license. Considering the facts of the case, imposition of discipline is appropriate. . . . . . . . . . 7. The evidence and testimony adduced at hearing established that Tri-State Concrete violated A.R.S. § 32-1154(A)(3) and (7) by its poor workmanship in pouring Mr. Peters’ driveway. It further violated A.R.S. § 32-1154(A)(23) by failing to correct the problems within a reasonable time following the Corrective Work Order. In consideration of the facts of this case and the Respondent’s record with the Registrar of Contractors, it is recommended that the Respondent’s license be revoked. RECOMMENDED DECISION In view of the foregoing, it is recommended that Respondent’s Class K- license shall be revoked on the effective date of the Order entered in this matter.

Done this day, December 21, 2001.

OFFICE OF ADMINISTRATIVE HEARINGS

_____________________________________ Dorinda M. Lang Administrative Law Judge

Original transmitted by mail this ____ day of ____________, 2001, to:

Registrar of Contractors Michael P. Goldwater ATTN: Joyce Armijo 800 West Washington, 6th Floor Phoenix, AZ 85007

By ___________________________

-----------------------

Office of Administrative Hearings 1400 West Washington, Suite 101 Phoenix, Arizona 85007 (602) 542-9826