ALJDEC decisions subject to certification as final

2011A-5795-ROC · Registrar of Contractors · 2012-09-13

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: August 24, 2012 APPEARANCES: Gecko Trucking, L.L.C., doing business as Green Gecko Construction, was represented by its authorized representative, Barbara Sparrgrove. The Registrar of Contractors was represented by Assistant Attorney General Elizabeth Campbell. 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. On May 4, 2011, Gecko Trucking, L.L.C., doing business as Green Gecko Construction (“Applicant”), filed an application with the Registrar of Contractors (“Registrar”) for a Class KB-1 Dual Building Contractor license. The Registrar designated Applicant’s application as Pending Application P273055. The Registrar later re-designated Applicant’s application as Pending License No. KB-1.273055-D. 2. Applicant’s application listed Christopher Ray McDannell, as Applicant’s qualifying party and employee, and Barbara Renea Sparrgrove, as Applicant’s member. 3. By letter dated September 15, 2011, the Registrar informed Applicant that its application had been denied because Ms. Sparrgrove had failed to establish good character and reputation. The reasons given for the denial were Ms. Sparrgrove’s criminal history and the status of Applicant’s compliance with workers’ compensation and work history in Arizona. 4. Applicant timely filed an appeal of the Registrar’s denial of its application for licensure. The Registrar designated Applicant’s appeal as Case No. 2011-5795. 5. The Registrar forwarded Case No. 2011-5795 to the Office of Administrative Hearings, an independent agency, for an evidentiary hearing. 6. On October 24, 2011, Mr. McDannell filed a Notice of Disassociation/Resignation with the Registrar disassociating himself as Applicant’s qualifying party. 7. The hearing in this matter was originally scheduled for December 12, 2011, at 8:00 a.m. The hearing was subsequently continued several times to allow the parties an opportunity for settlement negotiations. The parties failed to conclude a settlement agreement in this matter. The hearing eventually convened on August 24, 2012, at 8:00 a.m. 8. On June 6, 2007, Ms. Sparrgrove plead guilty to two counts of attempt to make a false statement as to financial condition or identity, both class 6 undesignated felonies, in Maricopa County Superior Court Case No. CR2007-005813. These offenses involve moral turpitude and dishonesty. Effective January 1, 2009, Ms. Sparrgrove’s convictions were designated as misdemeanors. 9. At the hearing, it was established that Applicant had resolved the workers’ compensation and Arizona work history issues with the Registrar. 10. Applicant failed to establish good character and reputation for Ms. Sparrgrove. 11. The Registrar presented credible evidence that Ms. Sparrgrove’s two misdemeanor convictions supported its determination that Applicant failed to establish Ms. Sparrgrove’s good character and reputation as required by A.R.S. § 32-1122(D). 12. Although Applicant’s qualifying party resigned after the Registrar denied Applicant’s license application, Applicant is also ineligible for licensure at this time due to the lack of a qualifying party. CONCLUSIONS OF LAW 1. The Registrar has jurisdiction over the subject matter of this appeal. 2. Pursuant to A.A.C. R2-19-119(B), Applicant has the burden of proof in this matter. The standard of proof is by a preponderance of the evidence. A.A.C. R2-19-119(A). 3. The evidence of record supports the conclusion that Applicant failed to establish Ms. Sparrgrove’s good character and reputation as required by A.R.S. § 32-1122(D). 4. The Registrar established that Ms. Sparrgrove’s two misdemeanor convictions supported the Registrar’s determination that she lacks good character and reputation necessary for licensure as required by A.R.S. § 32-1122(D). 5. The evidence of record supports the Registrar’s denial of Applicant’s Pending Application P273055. RECOMMENDED ORDER Based upon the foregoing, Applicant’s appeal in Case No. 2011-5795 is denied. The Registrar’s denial of Pending License No. KB-1.273055-D is upheld and affirmed. 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, September 13, 2012.

/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