ALJDEC decisions subject to certification as final

2011A-450-ROC · Registrar of Contractors · 2011-06-13

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: May 26, 2011 APPEARANCES: C S S Properties2, L.L.C. was represented by its attorney, Nat Clarkson, Esq. Sonoran Framing, L.L.C. and Del Sol Development, L.L.C. were represented by their authorized representative, Steve Robinson. ADMINISTRATIVE LAW JUDGE: Brian Brendan Tully _____________________________________________________________________ Based upon the evidence of record, the Administrative Law Judge makes the following Findings of Fact, Conclusions of Law, and Recommended Order: FINDINGS OF FACT 1. CSS Properties2, L.L.C. (“Complainant”) is the owner of a property located at 323 S. Roosevelt Street, Tempe, Arizona. 2. Sonoran Framing, L.L.C. (“Sonoran”) is the holder of License No. 265002, a Class KB-2 contracting license issued by the Registrar of Contractors (“Registrar”). 3. Del Sol Development, L.L.C. (“DSD”) is the holder of License No. 259721, a Class KB-2 contracting license issued by the Registrar. 4. On September 20, 2010, Complainant entered into a contract with Sonoran for rough carpentry work on the subject property. 5. Complainant filed a written Complaint with the Registrar alleging that Sonoran failed to pay its vendors. The Registrar designated the Complaint as Case No. 2010-[number redacted] 6. Complainant also filed a written Complaint with the Registrar with similar allegations against DSD. The Registrar designated that Complaint as Case No. 2011-450. 7. The Registrar issued a Citation and Complaint in Case No. 2010- [number redacted] charging Sonoran with violating the provisions of A.R.S. § 32-1154(A) (2) and (11). 8. The Registrar issued a Citation and Complaint in Case No. 2011-450 charging DSD with violating the provisions of A.R.S. § 32-1154(A) (2) and (11). 9. The Registrar forwarded Case Nos. 2010-[number redacted] and 2010-450 to the Office of Administrative Hearings, an independent agency, for an evidentiary hearing. 10. At the hearing, Sonoran’s authorized representatives acknowledged that it did not pay its vendors as alleged in Complainant’s Complaint. 11. The evidence of record did not establish that Sonoran deviated from plans or specifications, or that Sonoran failed to comply with local building code requirements. 12. DSD did not perform any contracting on the subject project. 13. A review of the Registrar’s electric licensing records reveals that Sonoran’s License No. 265002 was voluntarily cancelled on December 22, 2010. There are three open complaints against the license. Sonoran’s members are Stephan Bruce Robinson, Warren Thomas Kunish, and RK Arizona Holdings, L.L.C. A review of the licensing records for DSD reveals that its members are Mr. Robinson and Mr. Kunish. CONCLUSIONS OF LAW 1. The Registrar has jurisdiction over Sonoran, DSD, and the subject matter in these consolidated matters. 2. Pursuant A.R.S. § 32-1154(C), the voluntary cancellation of Sonoran’s contracting license does not deprive the Registrar of the authority to discipline that license for proven statutory violations. 3. Pursuant to A.A.C. R2-19-119(B), Complainant has the burden of proof in these consolidated matters. The burden of proof is by a preponderance of the evidence. A.A.C. R2-19-119(A). Case No. 2010-[number redacted] 4. Sonoran violated the provisions of A.R.S. § 32-1154(A) (11), as cited in the Citation and Complaint issued by the Registrar. It is undisputed that Sonoran failed to pay its vendors as alleged by Complainant. 5. Complainant failed to sustain its burden of proving that Sonoran violated the provisions of A.R.S. § 32-1154(A) (2), as charged in the Citation and Complaint issued by the Registrar. The evidence of record does not support the charged violation. Case No. 2011-450 6. Complainant failed to sustain its burden of proving that DSD violated the provisions of A.R.S. § 32-1154(A) (2) and (11), as charged in the Citation and Complaint issued by the Registrar. The evidence of record does not support the charged violations. RECOMMENDED ORDERS Case 2010-[number redacted] Sonoran’s License No. 265002 shall be revoked on the effective date of the Order entered in Case No. 2010-[number redacted]. Case No. 2011-450 The Citation and Complaint in Case No. 2011-450 shall be dismissed on the effective date of the Order entered in Case No. 2011-450. Certification In the event of certification of the Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order will be 40 days from the date of that certification.

Done this day, June 13, 2011.

/s/ Brian Brendan Tully Administrative Law Judge

Transmitted electronically to:

William A. Mundell, Director Registrar of Contractors -----------------------

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