FINACT2019A-04878-CHC-ROC.pdf

2019A-04878-CHC-ROC · Registrar of Contractors · 2020-06-02

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Aaron Cole Largo , Case No. 2019-04878 COMPLAINANT, Docket No. 2019A-04878-CHC-ROC v. Phx Renovations LLC, FINAL ADMINISTRATIVE License No. ROC 300467, DECISION AND ORDER RESPONDENT.

Under A.R.S. § 41-1092.08(B), the Registrar may review and accept, modify, or reject an administrative law judge’s written decision. If the Registrar modifies or rejects that decision, then the Registrar must provide written justification setting forth the reasons for the modification or rejection of each finding of fact or conclusion of law. REGISTRAR’S ACCEPTANCE In this case, a hearing was held, and the administrative law judge issued a written decision. See Administrative Law Judge Decision, attached. The Registrar reviewed that decision and accepts it. CONCLUSION AND ORDER Because the Registrar has accepted the administrative law judge’s decision, that decision is the final administrative decision in this case and becomes effective on June 24, 2020. IT IS FURTHER ORDERED that Respondent pay a civil penalty in the amount of $300.00 payable to the Registrar on or before 30 days from the effective date of this Order. Payment may be hand-delivered to the Registrar’s physical address or mailed to:

of 2 REGISTRAR OF CONTRACTORS 1700 W. Washington St.– Ste. 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 Toll Free (877)692-9762 Lg131 8/19 Registrar of Contractors P.O. Box 6748 Phoenix, Arizona 85505-6748 Dated May 15, 2020. By: /s/ Joseph Citelli Joseph Citelli Chief Counsel Chief of Legal Department and Recovery Fund Arizona Registrar of Contractors

Copy mailed via USPS First Class mail May 15, 2020 to:

Respondent Phx Renovations LLC 16169 W Young St Surprise, AZ 85374

Complainant Aaron Cole Largo 157 W Linda Ln Chandler, AZ 85225

Copy sent electronically this same date to: Office of Administrative Hearings Roger Geddes, Administrative Law Judge Respondent at email address on record with the Registrar Complainant at email address on record with the Registrar

Case No. 2019-04878 / MB

of 2 REGISTRAR OF CONTRACTORS 1700 W. Washington St.– Ste. 105 – Phoenix, AZ 85007-2812 Telephone (602)542-1525 Toll Free (877)692-9762 Lg131 8/19 RECEIVED 5.4.2020 ROC LEGAL

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

Aaron Cole Largo, No. 2019A-04878-CHC-ROC COMPLAINANT v. ADMINISTRATIVE LAW JUDGE Phx Renovations LLC, DECISION ROC License: ROC 300467, RESPONDENT

HEARING: April 14, 2020, 1:00 P.M.

APPEARANCES: Complainant Aaron Largo appeared on his own behalf; Sean

Pollard, owner, appeared on behalf of Respondent ADMINISTRATIVE LAW JUDGE: Roger A. Geddes _____________________________________________________________________

FINDINGS OF FACT BACKGROUND AND PROCEDURE 1. Phx Renovations, LLC, (Respondent), is the holder of License Number 300467 issued by the Registrar of Contractors (Registrar). 2. On or about September 26, 2019, Aaron Largo (Complainant) filed a Complaint against Respondent with the Registrar alleging poor work in connection with a bathroom remodels of a residence for Complainant in Chandler, Arizona.

3. After an inspection performed by the Registrar on October 16, 2019, the

Registrar issued a Written Directive, dated November 13, 2019, supplemented by an Amended Written Directive, dated November 18, 2019 (“Directive”), requiring Respondent to correct various alleged deficiencies in Respondent’s work by December 19, 2019, as follows: Complaint Item 1: Craftsman ship / drainage of shower / water running of curb Investigator’s Observation: At the time of this inspection I observed that shower curb is sloped towards the bathroom floor and not towards the shower pan, this RECEIVED 5.4.2020 ROC LEGAL

causes water to run into the bathroom floor. I checked the area with the level, and confirmed that the slope (Pitch) measured 3/8” therefore the water is running off in the wrong direction once it lands on the curb. Also the shower pan (Floor) does not have enough pitch to drain water out towards the drain like it should, therefore an area below the shower head holds water and does not drain properly. Respondent shall correct by the appropriate means. Governing Rule: Workmanship Rule: ARS §32-1154 (A) (3), namely R4-9-108,

Poor work not performed in accordance with professional industry standards.

Complaint Item 2: Drywall repairs & texturing Investigator’s Observation: Upon this investigation the Complainant showed me areas in the guest bathroom including wall area above the tub, wall around the light fixture, wall next to bathtub, and next to the toilet where the wall texture was not consistent in its application, it shows defects, and it didn’t match the texture on the rest of the walls. The area next to the toilet deflects and a crease is produce when little or mild pressure is applied to the drywall. The Respondent shall correct by the appropriate means. Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not

performed in accordance with professional industry standards.

Complaint Item 3: Thoroughness & cleanliness of repairs / drywall & paint compound on tub Investigator’s Observation: Complainant showed me the area along the top part of the bathroom tub in the guest bathroom were compound and paint residue did not get removed and the area was left unclean. The Respondent shall correct by the appropriate means. Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards.

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Complaint Item 4: Plumbing coming out of shower wall /bracket Investigator’s Observation: Upon this investigation I observed that the hand held shower was loose. Respondent stated that there was a screw that has to be change in order to properly adjust tis fixture. See. Respondent shall correct by the appropriate means. Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards.

Complaint Item 5; Damage on guest bathroom tub

Investigator’s Observation: This allegation refers to a dent on the left side of the tub surround panel. The damage area is approximately 1 ½” in length by 3/8” in depth. I asked the Respondent if the tub was delivered this way, or if it happened at the time of the installation, and the Respondent replied that he didn’t remember. The dent is visible from a distance of 3” and the area is finish (texture, paint calking). The Respondent shall correct by the appropriate means. Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 6: Sheet rock installation around tub

Investigator’s Observation: Refer to Complaint item # 2. The Respondent shall

correct by the appropriate means. Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 7: Back of guest vanity/ damage & installation Investigator’s Observation: At the time of this investigation I observed that the cutouts made on the back wood panel of the vanity are not cut to fit the plumbing. Cuts are oversize and do not have a trim of any kind or escutcheon ring installed around it. The Respondent shall correct by the appropriate means.

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Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 8: Loose toilet in guest bathroom Investigator’s Observation: Upon this investigation I noticed that the toilet in the guest bathroom had an anchor bolt on the left side of its base that was completely loose. All toilet bolts have to be secure and toilet caps were also missing. See (P 9) The Respondent shall correct by the appropriate means

Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not

performed in accordance with professional industry standards. Complaint Item 9: Mismatch installation of tile & metal trim in both sides of shower Investigator’s Observation: At this investigation I noticed that the finish trim on both sides of the master bathroom shower are different from each other. The left side had the face of the tile and metal trim installed on top of the wall covering, and the right side had the tile and related trim recessed from the surface of the wall covering. The invoice description under Shower tile install states “Install shower tile on floor, walls, and niche and grout. Schluter decorative trim will be installed on edges so tile isn’t

expose, giving it an elegant finish. The Respondent shall correct by the appropriate

means Governing Rule: ARS §32-1154 (A) (3), namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 10: Drywall blemishes in master bathroom Investigator’s Observation: At the time of this investigation I observed the drywall texture blemishes, defects, and how the texture was not consistence in its application in some areas of the master bathroom walls. The areas in question are the left wall in front of tile face trim, right side in front of tile face trim, under light switches on

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wall by the sink/mirror area and under the sink around the plumbing. The Respondent shall correct by the appropriate means. Governing Rule: namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 11: Master shower niches not draining / holding water Investigator’s Observation: Upon this inspection I was able to verify that the niches on the master bathroom shower did not properly drain. We did a test by pouring

water inside the niches’ area and it showed the pitch on both niches is sloped towards

the back of the wall and not towards the front of the niche which would allow water to drain out. The Respondent shall correct by the appropriate means. Governing Rule: namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 13: Leakage bathroom sink Investigator’s Observation: At the time of this investigation I observed a plumbing fitting that went from Plastic pipe (PVC) to metal and it was located in the master bathroom sink. The metal pipe fitting connection is corroded and in bad condition therefore it leaks water. The Respondent shall correct by the appropriate

means.

Governing Rule: namely R4-9-108, Poor work not performed in accordance with professional industry standards. Complaint Item 14: Fan on bathroom. Investigator’s Observation: At this investigation the Complainant showed me the fan in the master bathroom. The exhaust fan is installed on the ceiling, but it has to be connected so it ventilates out of the house. At the time of this inspection that installation was not completed and the Respondent stated that they were going to finish the install and then proceed to call the city to schedule the pertinent inspection. The

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Respondent shall correct by the appropriate means. Governing Rule: namely R4-9-108, Poor work not performed in accordance with professional industry standards. 4. After being informed that Respondent had failed to fully comply with Directive, the Registrar then issued a Citation to Respondent, dated January 3, 2020, for the alleged violation of the following: a. A.R.S. § 32-1154(A)(3) (violation of Arizona Administrative Code

Rule 4-9-108 for failure to meet minimum workmanship standards);

b. A.R.S. § 32-1154(A)(22) (failure to perform corrective action without valid justification). 5. The Registrar issued a Notice of Hearing, setting a hearing for April 14, 2020, at 1:00 P.M. At the hearing, Complainant Aaron Largo testified on his own behalf. Respondent presented the testimony of Sean Pollard, owner of Respondent. Albert Bernal, the Registrar Investigator (Investigator), testified on behalf of the Registrar. The Tribunal received and admitted Respondent’s Exhibit numbers 1-6.1 6. The Investigator testified on behalf of the Registrar as to his communications with Complainant and Respondent, his inspections of the job site, and

the Directive issued by the Registrar as a result of his observations from his inspection.

He stated further that Complainant allowed Respondent additional time to correct the Directive items. He also testified that he performed a pre-hearing inspection on March 10, 2020, and determined that Respondent had only corrected Complaint Item numbers 4, 7, 8, 11, 12 (not listed in Directive), and 13 in the Amended Directive. 7. Complainant Aaron Largo testified that Complaint Item numbers 1, 2, 3, 5, 6, 9, 10, and 14 in the Amended Directive were not corrected. With regard to Complainant Item number 1, he stated it was corrected but that the shower door was The Tribunal also took administrative notice of the Registrar’s document submissions to the Arizona Office of Administrative Hearings. 6 RECEIVED 5.4.2020 ROC LEGAL

not reinstalled. He further stated he would only not allow further work at some point after the Directive expiration date.

8. Sean Pollard testified on behalf of Respondent that Complaint Item number 1 was corrected in terms of the pitch of the shower curb and the floor but that the shower door was not reinstalled because of the bracket alignment issues. He stated that with respect to Complaint Item numbers 2, 5, and 6, he had a verbal agreement

with Complainant that Complainant would “live with it” and Respondent would give a

refund. However, he further admitted that the parties could not come to an agreement on the credit amount. 9. Mr. Pollard further testified that with regard to Complaint Item number 9, it was not corrected because he would have had to take out a wall. With regard to Complaint Item numbers 10 and 14, he stated that they were not corrected because of scheduling difficulties. CONCLUSIONS OF LAW 1. The Registrar has jurisdiction over this matter, pursuant to A.R.S. § 32- 1101, et seq., which authorizes the Registrar to impose disciplinary sanctions against

licenses for violations of A.R.S. § 32-1154.

2. The burden of proof at an administrative hearing falls to the party asserting a claim, right, or entitlement and the standard of proof on all issues in these matters is by preponderance of the evidence. See Arizona Administrative Code Rule 2- 19-119. 3. To warrant such sanctions by the Registrar, Complainant must demonstrate by a preponderance of the evidence that Respondent violated the statutory section cited. Proof by a “preponderance” means that “the evidence is sufficient to persuade the finder of fact that the proposition is more likely true than not.” In re: Arnold and Baker Farms,

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177 B.R. 648 (9th Cir. BAP (Ariz.) 1994). See also Culpepper v. State of Arizona, 187 Ariz. 431, 930 P.2d 508 (App. 1996). It is “evidence which is of greater weight or more convincing than the evidence which is offered in opposition to it; that is, evidence which as a whole shows that the fact sought to be proved is more probable than not.” BLACK’S LAW DICTIONARY 1182 (Rev. 6th ed. 1990). 4. A.R.S. § 32-1154(A) includes in pertinent part among the grounds for suspension, revocation, or other disciplinary action against a contractor’s license, any of

the following acts: …

3. Violation of any rule adopted by the registrar. …

22. Failure to take appropriate corrective action to comply with this chapter or with rules adopted pursuant to this chapter without valid justification within a reasonable period of time after receiving a written directive from the registrar…. 5. As it relates to A.R.S. § 32-1154(A)(3) concerning a violation of any rule adopted by the Registrar, Arizona Administrative Code Rule 4-9-108(A), provides that “[a] contractor shall perform all work in a professional and workmanlike manner.” 6. A.R.S. § 32-1154(A)(3). Complainant has presented sufficient evidence to establish cause to discipline Respondent’s contractor’s license under A.R.S. § 32- 1154(A)(3) for Respondent’s failure to perform the work in a professional and

workmanlike manner. Respondent did not dispute that Complaint Item numbers 1 (with

regard to shower door), 2, 3, 5, 6, 9, 10, and 14 were deficient and were not corrected.

7. A.R.S. § 32-1154(A)(22). Complainant has presented sufficient evidence to establish cause to discipline Respondent’s contractor’s license under A.R.S. § 32- 1154(A)(22). No evidence was presented to support a finding of a valid justification for failing to take appropriate corrective action. With regard to Respondent’s contention that some of the items were not corrected because of a verbal agreement between the 8 RECEIVED 5.4.2020 ROC LEGAL

parties in which Complainant would receive a credit, even Respondent conceded that the parties could not agree upon a credit amount. With regard to some of the items, Respondent indicated that a conflict of scheduling dates prevented corrective action, but the evidence reflected that such conflict, if any, were with regard to dates after the Directive expiration. There was no evidence presented of efforts to perform corrective action after the Directive was issued and before the Directive expiration date. 8. Complainant has established that Respondent’s license should be disciplined for a violation of A.R.S. § 32-1154(A)(3) with regard to Complaint Item numbers 1 (with regard to reinstall of shower door and any repairs relating thereto), 2, 3, 5, 6, 9, 10, and 14, and A.R.S. § 32-1154(A)(22). RECOMMENDED ORDER Based on the foregoing, it is recommended that on the effective date of this Phx Renovations, LLC’s, License Number 300467 is suspended for two calendar days.

IT IS FURTHER RECOMMENDED that pursuant to A.R.S. § 32-1154(E),

Respondent must pay to the Registrar, a civil penalty of $300.00 in certified funds on or

before 30 days from the effective date of this Order. Payment may be hand-delivered

to the Registrar’s physical address or mailed to: Registrar of Contractors P.O. Box 6748 Phoenix, Arizona 85505-6748 IT IS FURTHER RECOMMENDED that if Respondent fails to pay the entire amount of the civil penalty on or before thirty days following the effective date of the

Registrar’s final order, the Registrar revoke Respondent’s license, effective on such

deadline date. No future license shall be issued to any entity consisting of persons

associated with Respondent, as defined in A.R.S. § 32-1101(A)(7), unless Respondent tenders payment of the outstanding prior civil penalty.

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In the event of certification of this Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order will be five days from the date of the certification. Done this day, May 4, 2020. /s/ Roger Geddes Administrative Law Judge

Transmitted electronically to:

Jeffrey Fleetham, Director Registrar of Contractors

10 ARIZONA REGISTRAR OF CONTRACTORS

Douglas A. Ducey, Governor Jeff Fleetha m , Director

Residential Recovery Fund Administrative Claim Instructions Eligibility and awards from the Recovery Fund ("Fund") are governed by the statutes that establish procedures and limitations for the Fund: • In order to be eligible to receive an award from the Fund, you must first either: (1) file an administrative complaint with the Registrar of Contractors, and the contractor’s residential or dual license must be suspended or revoked based upon a violation alleged in your complaint, or (2) file a civil action for judgment against the residential contractor and obtain a court order for payment from the Fund. A.R.S. §§ 32-1133.01(A), 32-1133(A),(E). • A claim for payment from the Fund must be filed within two years after the final judgment. A.R.S. § 32-1133.01(G). • Eligibility is limited to claimants that are the owners of residential real property, that occupy or intend to occupy the property as their primary residence, and that contracted with a licensed residential or dual licensed contractor. A.R.S. § 32-1132(B)(1). • The claimant cannot be the spouse of the residential contractor or the spouse’s representative. A.R.S. § 32-1132.01(G). • To be eligible, the residential or dual licensed contractor’s license must have been issued and active, and not expired, canceled, suspended, or revoked on one of the following dates: (1) the date the contract was signed, (2) the date the first payment was made, or (3) the date the work first commenced. A.R.S. § 32-1132(C),(D). • Prior to filing a claim for an award from the Fund, you must first file a claim against the residential contractor’s bond, and provide a copy of the results of that claim. A.R.S. § 32-1133.01(F). • If a claimant is eligible, the Registrar calculates “actual damages” as those damages suffered, if any, as a direct result of a contractor’s violation necessary to complete or repair the structure or appurtenance. A.R.S. § 32-1132.01(B). If a claimant has paid a deposit or down payment and no actual work is performed or materials delivered, the award of actual damages may not exceed the exact dollar amount of the deposit or down payment. A.R.S. § 32-1132.01(C). As such, not all damages reduced to a civil judgment may be reimbursable from the Fund. • If the claimant has recovered a portion of the claimant’s loss from sources other than the fund, the Registrar must deduct those amounts from the amount of actual damages suffered. A.R.S. § 32-1132.01(F). • Proof of cost to complete or repair must be based on bids supplied by, or work performed by licensed contractors, if the person is required to be licensed. A.R.S. 32-1132.01(B). • A payment from the Fund is limited to $30,000 per claimant per residence, with $200,000 as the maximum amount paid per residential or dual contractor’s license. A.R.S. §§ 32-1132.01(D), 32-1139(A).

Step 1 – Fill out the claim form electronically or by hand. Answer all questions. Failure to complete all portions of the claim form, including submission of copies of all required documents, will result in the Fund’s inability to process your claim. Step 2 - Deliver or mail the signed and dated original of the claim form, along with copies of all required supporting documents, to the Registrar of Contractors’ Phoenix office. Retain a copy for your records. For additional information or assistance visit our website at www.roc.az.gov or call 602-542-1525; TDD 602-542-1588; or toll-free within Arizona at 1-877-MY AZROC (1-877-692-9762). Mail to: P.O. Box 18247, Phoenix, AZ 85005-8247

1700 W. Washington Street ● Suite 105 ● Phoenix AZ 85007-2812 602.542.1525● Within AZ 877.692.9762 ● Fax 602.542.1599 ● RCRF30 9/19 www.roc.az.gov ARIZONA REGISTRAR OF CONTRACTORS

Douglas A. Ducey, Governor Jeff Fleetha m , Director IMPORTANT: Failure to answer all questions or provide all required Recovery Fund Claim Number (for Registrar use only) documentation will prevent the fund from processing your claim. A. PERSON(S) INJURED FILING THE CLAIM 1. Claimant’s name(s): 2. ROC complaint number: 3. Was contractor’s license disciplined as a direct result of your complaint? Yes No

4. Claimant’s mailing address: 5. City: 6. State: 7. Zip:

8A. Claimant’s phone number: 8B. Claimant’s alternate phone number: 9. Claimant's E-mail address:

10. Do you currently occupy or intend to occupy the subject properly as your primary residence Yes No (The Registrar may require additional documentation to confirm that the property is or will be your primary residence).

Complete boxes 11-17 only if represented by an attorney in this claim: 11. Attorney’s name: 12. Attorney’s phone number: 13. Attorney’s email address:

14. Attorney’s mailing address: 15. City: 16. State: 17. Zip:

B. CONTRACTOR INFORMATION 1. Licensed Contractor’s name: 2. ROC license number: 3. Phone number:

4. Contractor’s mailing address: 5. City: 6. State: 7. Zip:

C. CONTRACT AND JOBSITE INFORMATION 1. Date of 2. Contract was: 3. Contract amount: 4. Change order amount: 5. Total paid to contractor: contract: Verbal $ $ $ Written 6. Balance due on contract: 7. Job Abandoned? Yes No 8. Date work started by original 9. Date work last performed If yes, date: contractor? by original contractor? $

10. Date of first payment to original 11. Jobsite address (where the work was performed). 12. City 13. State 14. Zip contractor?

15. Has any of the work been repaired or completed by a new contractor(s)? Yes No

D. MONIES RECEIVED FROM OTHER SOURCES (enter amount or “0”) 1. Contractor’s bond: 2. Claimant's insurance:$ 3. Contractor’s Insurance: Date filed claim against bond: Total amount received: $ $

4. Monies received from previous RF claim(s): $ 5. Monies received back from credit card company $: Previous RF Claim #: E. AMOUNT OF CLAIMED “ACTUAL DAMAGES” (complete only those that apply) 1. Lowest bid to repair and/or complete the project. 2. Total monies already spent to repair and/or $ complete the project. $ 3. Amount of deposit to be refunded (ONLY if no work was done or materials delivered by original 4. How much money do you anticipate receiving contractor). from the Fund? $ $

1700 W. Washington Street ● Suite 105 ● Phoenix AZ 85007-2812 602.542.1525● Within AZ 877.692.9762 ● Fax 602.542.1599 ● RCRF30 9/19 www.roc.az.gov ARIZONA REGISTRAR OF CONTRACTORS

Douglas A. Ducey, Governor Jeff Fleetha m , Director F. LIST OF ALL PAYMENTS MADE TO ORIGINAL CONTRACTOR IN ORDER BY DATE (If you need additional lines, you may duplicate this page.) Please list below, and submit copies of all proofs of payment supporting your claim; i.e. cancelled checks, credit card statements, receipts, etc.

ROC License Date of Payment Person or Entity Paid Method of Payment Amount Paid Comments Number

Check/Credit 12/31/2009 ABC Contracting, Inc. 123456 $ 1.00 Card/Other

Total Paid 0.00 Amount must match Section C5

G. LIST OF MONIES SPENT TO COMPLETE/REPAIR THE PROJECT IN ORDER BY DATE (If you need additional lines, you may duplicate this page.) Please list below, and submit copies of all documents supporting your claim; i.e. contract(s), invoices, receipts, cancelled checks, credit card statements, etc.

Date of Receipt or Person or Entity Paid (Supplier ROC License Method of Payment Amount Paid Comments Invoice or Contractor) Number

Check/Credit 12/31/2009 ABC Contracting, Inc. 123456 $ 1.00 Card/Other

Total Paid 0.00 Amount must match Section E2

1700 W. Washington Street ● Suite 105 ● Phoenix AZ 85007-2812 602.542.1525● Within AZ 877.692.9762 ● Fax 602.542.1599 ● RCRF30 9/19 www.roc.az.gov ARIZONA REGISTRAR OF CONTRACTORS

Douglas A. Ducey, Governor Jeff Fleetha m , Director

H. REQUIRED DOCUMENTATION CHECKLIST 1. A copy of documentation from the contractor’s bonding company showing the final disposition of your claim. • Information regarding filing against the contractor’s bond can be found on our website under the Contractor Info & Searches tab

2. A copy of your property deed in effect at the time of the contract. IMPORTANT: IF THE PROPERTY IS HELD IN TRUST, A COPY OF THE TRUST DOCUMENT MUST BE PROVIDED. • For property deed information and copies, contact your County Recorder's Office

3. A copy of the contract. If purchase of new home, the Purchase Agreement. If written, a copy of original signed construction contract, including all addenda and change orders. If verbal, an original affidavit, signed and notarized, that includes the following information: • Parties to the contract [include ROC license number(s)] • Date of the contract • Terms of the contract (start date, completion date, etc.) • Detailed specifications of the work the contractor was to do, including all addenda and change orders • Cost breakdown and total price of contract • E-mails or other written communications from the contractor demonstrating the existence and terms of a contract 4. Copies of documents that verify all payment(s) made on the contract, including, but not limited to: • Front AND back sides of cancelled checks • Credit card statements • Final HUD-1 executed settlement statement (for purchase of new or existing home) • Bank/lender statements showing payments made directly to the contractor • Original affidavit to support any cash payments made directly to the contractor

5. Proof of cost to repair and/or complete the project. A. Submit copies of TWO itemized bids for each item requiring repairs or completion. • The bids must be from licensed residential contractors that are in good standing with the Registrar • NOTE: The bids you supply must match up with any written directive or findings from your underlying disciplinary case

B. IF REPAIRS ARE IN PROGRESS OR PROJECT IS COMPLETE: copies of new contract(s) with licensed residential contractor(s) that are in good standing, invoices, receipts and proof of payment as specified in Box 5. NOTE: Only those costs incurred to complete or repair the corrective work ordered by the Registrar are compensable as ‘actual damages.’ A.R.S. § 32-1132.01.

6. Proof of monies received from other sources. • Claims made upon your homeowner’s or other insurance policy, the insurance company’s resolution of the claim, and any checks or bank statements demonstrating payment from the insurance company. • Claims made against the contractor’s insurance policies, the insurance company’s resolution of the claim, and any checks or bank statements demonstrating payment from the insurance company. • Previous Recovery Fund claims, orders, and any checks or bank statements demonstrating payment on the previous Recovery Fund claim. • Any civil judgments, orders, or settlement agreements with the original contractor or other parties to pay monies for the claimant’s actual loss, and any checks or bank statements demonstrating payment on the judgment, order or settlement agreement. • Any claim made to your credit card company, the credit card company’s resolution of the claim, and any checks or bank statements demonstrating payment from the credit card company.

1700 W. Washington Street ● Suite 105 ● Phoenix AZ 85007-2812 602.542.1525● Within AZ 877.692.9762 ● Fax 602.542.1599 ● www.roc.az.gov RCRF30 9/19 ARIZONA REGISTRAR OF CONTRACTORS

I. SIGNATURE AND VERIFICATION Claimant(s) must sign this verification. I verify that the foregoing is true and correct to the best of my knowledge and further that I actually occupy or intend to occupy the subject property as my primary residence.

Signature of Homeowner Print Name Date

Signature of Homeowner Print Name Date

1700 W. Washington Street ● Suite 105 ● Phoenix AZ 85007-2812 602.542.1525● Within AZ 877.692.9762 ● Fax 602.542.1599 ● www.roc.az.gov RCRF30 9/19