2023A-03929-CHC-ROC Notice of Hearing and Packet MAILED

2023A-03929-CHC-ROC · Registrar of Contractors · 2023-09-14

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

James Schinner , Case No. 2023-03929 COMPLAINANT, Docket No. 2023A-03929-CHC-ROC v. NOTICE OF HEARING ON Hale's Construction LLC CONTESTED CASE License No. ROC 332016,

RESPONDENT.

This Notice of Hearing is issued under A.R.S. § 41-1092.05(D).

HEARING INFORMATION

The hearing is set for:

October 30, 2023 9:00 AM Sondra Vanella Google Meet. A link will be provided directly from The Office of Administrative Hearings. Go to www.azoah.com to request to appear in-person.

If you have requested to appear in-person at the hearing, the hearing will

be held at 1740 W Adams Street, Phoenix, AZ 85007.

You must attend this hearing. This is an adversarial hearing before an administrative

law judge, and is conducted in a similar manner as judicial proceedings. Thus, you must be

prepared to present evidence, including witness testimony and documents, in support of your

case.

STATEMENT OF LEGAL AUTHORITY AND JURISDICTION The State of Arizona has determined that the licensing and regulation of construction

contractors is a proper state function, and has vested authority in the Registrar of Contractors

to administer Title 32, Chapter 10 of the Arizona Revised Statutes. A.R.S. §§ 32-1101 et seq.

All hearings for alleged violations of Title 32, Chapter 10 are conducted under Title 41,

Chapter 6, Article 10. A.R.S. § 32-1156.

The statutes and rules governing the hearing can be found at: Arizona Revised

Statutes §§ 41-1092 to -1092.12, and Arizona Administrative Code R2-19-101 to -122.

PARTICULAR ARIZONA STATUTES AND RULES INVOLVED The statutes and rules the Respondent is alleged to have violated are cited in the

complaint and citation, which were served on the Respondent on August 21, 2023

SHORT AND PLAIN STATEMENT OF THE MATTERS ASSERTED The complaint and citation allege that the Respondent committed the following act(s):

Charge: 1 A.R.S. § 32-1154(A)(3) - R4-9-108(a) Charge: 2 A.R.S. § 32-1154(A)(22)

THE PARTIES TO THE ADMINISTRATIVE HEARING Because Respondent is a licensee and is charged with an act(s) or omission(s) that is cause for the suspension or revocation of a license, Respondent is a party to this case and will be a party to the hearing. Because Complainant alleged Respondent committed an act(s) or omission(s) that is cause for the suspension or revocation of a license, Complainant is a party to this case and will be a party to the hearing. Respondent and Complainant, as the parties to the hearing, will present evidence and argument to the administrative law judge. The Registrar’s assigned investigator will appear as a witness at the hearing.

RIGHT TO BE REPRESENTED The parties to the administrative hearing may choose to be represented by an attorney.

A.R.S. § 41-1092.07(B). If one of the parties is a company, the company may be represented

by an officer or employee if that person satisfies the conditions set forth in A.R.S. § 32-

1156(B).

CHANGE OF ADDRESS Each party must inform the Registrar and the Office of Administrative Hearings of

any change of address within five (5) days of the change. A.R.S. § 41-1092.04.

HEARING PROCEDURES AND RULES The administrative hearing will be conducted in accordance with A.R.S. §§ 41-1092

to -1092.12, and A.A.C. R2-19-101 to -122. The parties should review the statutes, rules, and

processes governing the administrative hearing. Copies of the statutes, rules, and articles

regarding the administrative hearing process can be found at https://www.azoah.com/.

REGISTRAR’S APPEARANCE BY VIDEO CONFERENCE OR TELEPHONE The Registrar’s investigators, employees, and attorneys will appear at the hearing via video conference or telephone unless requested by a party to appear in-person. Requests for the Registrar’s investigators, employees, or attorneys to appear in-person must be filed with the Registrar and the Office of Administrative Hearings no later than seven (7) calendar days prior to the hearing date. HEARING PACKET In the interests of administrative efficiency, the Registrar compiles and discloses certain documents to the parties and the Office of Administrative Hearings. These documents are attached to this Notice of Hearing as the “Hearing Packet.” If any party wishes to submit additional evidence, they must do so during the hearing after completing a disclosure statement. See “Disclosure Statement” section below.

SUBPOENAS FOR TESTIMONY FROM A WITNESS OR DOCUMENTS The parties to the hearing must be prepared to present evidence in support of their case. If a party wants to obtain testimony from a witness or documents not in the party’s possession, the party must prepare and file a written subpoena for the Administrative Law Judge to review and sign, if approved. A.R.S. § 41-1092.07(C). Forms for requesting a subpoena can be found on the Office of Administrative Hearings’ website at www.azoah.com. The party seeking a subpoena must serve notice on all the parties to the hearing, and on the Registrar. A.R.S. § 41-1092.04. DISCLOSURE STATEMENT At least seven calendar days before the hearing, each party must prepare and serve a disclosure statement on all other parties, and file it with the Office of Administrative Hearings. A.A.C. R4-9-118; A.A.C. R2-19-108. The disclosure statement must include any exhibit the party will use at the hearing. A party’s failure to timely disclose any witness or exhibit, without good cause, may result in the administrative law judge excluding those witnesses or exhibits from being used at the hearing. A.A.C. R4-9-118(C). A sample disclosure form is available on the Registrar’s website at https://roc.az.gov/content/prehearing-disclosure- statement.

CHANGING THE HEARING DATE

The date of the hearing may only be advanced or delayed on the agreement of the

parties or on a showing of good cause. A.R.S. § 41-1092.05(C). The date of the hearing may

be changed by filing a written agreement of the parties to change the date of the hearing. The

written agreement must be filed with the Office of Administrative Hearings, directed to the

assigned Administrative Law Judge, and transmitted to the Registrar and all other parties. The

assigned Administrative Law Judge may be found on the Office of Administrative Hearings’

web portal at www.azoah.com

If a party would like to move the date of the hearing without agreement of all parties, the party must file a written motion with the Office of Administrative Hearings, directed to the assigned Administrative Law Judge, and transmit a copy to the Registrar and all other parties. The motion must state in detail good cause for why the date of the hearing should be advanced or delayed, and the position of all other parties regarding the advancement or delay. A party may also file a motion asserting a right to an expedited hearing upon a showing of extraordinary circumstances or the possibility of irreparable harm. A.R.S. § 41-1092.05(E).

RESOLUTION SHORT OF ADJUDICATION

In any case which is resolved or settled by the parties, or which is withdrawn by the

Complainant without objection from Respondent after the Notice of Hearing is issued, the

parties must notify the Office of Administrative Hearings of the resolution or settlement. Any

such cases will be listed on the Registrar’s website and its records under the category: “Closed

Complaints – Resolved/Settled/Withdrawn.”

Dated September 14, 2023.

By: /s/ Erika Hoskin Erika Hoskin Legal Secretary Legal Department Arizona Registrar of Contractors Copy mailed via USPS First Class mail September 14, 2023 to: Respondent(s) Hale's Construction LLC PO Box 3369 Sedona, AZ 86340 Complainant(s) James Schinner 814 W Chapel Rd Sedona, AZ 86336

Copy sent electronically this same date to: Respondent at email address on record with the Registrar Complainant at email address on record with the Registrar

Case No. 2023-03929 /

Katie Hobbs, Governor Martin Quezada, Director

Hearing Packet FAQ What is the Hearing Packet?

The Hearing Packet is a packet of certain documents collected or issued by the Registrar over the course of its investigation.

Who gets the Hearing Packet?

The Hearing Packet is assembled and distributed to all parties and to the Office of Administrative Hearings (“OAH”) prior to an administrative hearing.

What types of cases does the Registrar prepare a Hearing Packet for?

The Registrar prepares a Hearing Packet for Complainant-Handled Cases and No-Pay Cases. Note: If the Docket Number on the Notice of Hearing contains a “CHC” or “NPC”, your case is a Complainant-Handled Case or a No-Pay Case.

What is in the Hearing Packet?

The Hearing Packet contains essential case-specific documents and at a minimum will include the following documents:

● Original complaint;

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

Katie Hobbs, Governor Martin Quezada, Director

● Citation; and ● Answer.

The Hearing Packet will also contain the following documents (if applicable):

● Jobsite inspection notices, notes, and photos; ● Written directives; and ● Compliance inspection notices, notes, and photos.

What if there are documents missing from the Hearing Packet?

If there is any evidence you submitted to the Registrar that are not included in the Hearing Packet it is your responsibility to introduce that evidence at the administrative hearing. Note: The administrative law judge assigned to your case does not have access to the entire Registrar record.

If there is additional evidence you submitted to the Registrar during the investigation that you also want to introduce as evidence during your hearing, it is your responsibility to:

● Properly disclose that evidence to the other party; and ● Introduce the evidence during your hearing.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

Katie Hobbs, Governor Martin Quezada, Director

How do I disclose evidence I intend to use at a Hearing?

You must properly disclose any and all documents and witnesses you intend to use at your hearing according to the Registrar’s Prehearing Disclosure Rules. See Arizona Administrative Code Section R4-9-118.

A sample prehearing disclosure form and instructions are provided to the parties by the Registrar.

How do I obtain documents I previously submitted to the Registrar?

If you previously submitted documents to the Registrar and need a copy of these documents, please contact the Registrar’s Legal Department or submit a public records request at https://roc.force.com/AZRoc/s/roc-public-request.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov Hearing Packet FAQ

Katie Hobbs, Governor Martín Quezada, Director

Complainant: Christine Adams 181 Paramount Drive Sedona, AZ 86336 ,

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C010 04/21 Katie Hobbs, Governor Martín Quezada, Director

Respondent: Surebuild LLC DBA: 4141 E Western Dr Cottonwood, AZ 86326

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C010 04/21 Katie Hobbs, Governor Martín Quezada, Director

April 14, 2023

Re: Complaint Number 2023-03690

Dear Complainant and Respondent:

Due to a conflict in scheduling of one of the parties, the jobsite inspection scheduled for April 26, 2023 at 09:00 has been rescheduled for May 2, 2023 at 9:00 AM.

If either party is unable to attend, the Registrar requires 36-hours advance notice for cancellation or continuance.

Complainant: Safe access is required to any area to be inspected.

Should you have any questions regarding the above, please contact me.

Sincerely,

Brandon Smith Brandon Smith, Investigator (520) 628-5021 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C010 04/21 Complaint # 2023-03929 P 1 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 2 CJSI 08/02/23 11:30 AM CJSI PHOTOS

What was large blisters, appeared to have bene patched, however the patch wasn’t floated and blended into the wall Complaint # 2023-03929 P 3 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 4 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 5 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 6 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Painter tested an area on the perimeter wall. Was wrong color. Instead of correcting it, left it as is. Now there is an obvious stripe on wall Complaint # 2023-03929 P 7 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 8 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 9 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 10 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Crack above electrical panel entry door was supposed to be corrected and wasn’t Complaint # 2023-03929 P 11 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 12 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 13 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Wall was supposed to be floated in and blended with rest of wall. Job appears to uneven and not blended Complaint # 2023-03929 P 14 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 15 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 16 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 17 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Paint spilled and cleaned up on patio wall, both sides

Paint spilled and cleaned up on patio wall, both sides Complaint # 2023-03929 P 18 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Paint spilled and not cleaned up, both sides of patio wall Complaint # 2023-03929 P 19 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 20 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Repair wasn’t blended, obvious seam left where parapet wall changes angle from house wall Complaint # 2023-03929 P 21 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 22 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 23 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Door not painted/cut in around hardware Complaint # 2023-03929 P 24 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 25 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Patch job not blended, texture not even Complaint # 2023-03929 P 26 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 27 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 28 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 29 CJSI 08/02/23 11:30 AM CJSI PHOTOS

Minor drywall cracks from work that was done on the opposite side of the wall. Cracks appear in inside corners of sheetrock Complaint # 2023-03929 P 30 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 31 CJSI 08/02/23 11:30 AM CJSI PHOTOS Complaint # 2023-03929 P 32 CJSI 08/02/23 11:30 AM CJSI PHOTOS REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

James Schinner, Case No. 2023-03929 COMPLAINANT, v. Hale's Construction LLC, CITATION License No. ROC 332016,

RESPONDENT.

The Registrar issues this Citation to Hale's Construction LLC (“Respondent”) under

A.R.S. § 32-1155(A). If Respondent fails to answer this Citation by September 5, 2023, then

under A.R.S. § 32-1155(C), Respondent’s failure to answer may be deemed an admission of the

act or acts charged in the underlying complaint, and the Registrar may then suspend or revoke

Respondent’s license.

THE WRITTEN COMPLAINT

On April 3, 2023, James Schinner (“Complainant”) filed a written complaint with the

Registrar. A copy of that Complaint is attached to this Citation.

A FORMAL STATEMENT OF THE CHARGES AGAINST RESPONDENT

The Registrar investigated this matter and finds cause to charge Respondent with

violations of Title 32, Chapter 10 of the Arizona Revised Statutes. Respondent is charged

with violating:

of 5

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Charge :1 A.R.S. § 32-1154(A)(3) - R4-9-108(a) Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner. Charge :2 A.R.S. § 32-1154(A)(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. The written directive shall set forth the time within which the contractor is to complete the remedial action. The time permitted for compliance shall not be less than fifteen days from the date of issuance of the directive. A license shall not be revoked or suspended nor shall any other penalty be imposed for a violation of this paragraph until after a hearing has been held.

If the matter proceeds to a hearing and the administrative law judge determines that any of the charges listed above are supported by a preponderance of the evidence, then Respondent’s license may be subject to suspension or revocation, and Respondent may be subject to other penalties provided by law, including civil penalties under A.R.S. §§ 32-1154(E) and (F). FILING A WRITTEN ANSWER Respondent must appear by filing with the Registrar a written answer to the citation and complaint showing cause, if any, why Respondent’s license should not be suspended or revoked. A.R.S. § 32-1155(A). Respondent’s written answer should contain the heading “Written Answer to Citation and Complaint” and should include the case number, which is Case No. 2023-03929. How to File a Written Answer: Respondent’s written answer may be submitted in the of 5

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 following ways: In-Person: 1700 W. Washington St., Ste. 105, Phoenix, Arizona, 85007-2812 Mail: P.O. Box 18244, Phoenix, Arizona, 85005-8244 Email: [email redacted] The Registrar’s normal office hours are 8:00 a.m. to 5:00 p.m., Monday through Friday. If Respondent submits a written answer by mail, it is not filed with the Registrar until the Registrar actually receives it. Deadline for Filing a Written Answer: Respondent must file a written answer with the Registrar no later than September 5, 2023. This deadline is calculated under A.R.S. §§ 32-1155(A) and (B), which provides a deadline ten days after service of the Citation. Service of the Citation and Complaint is complete five days after the Registrar mails a copy of the Citation and Complaint to Respondent’s latest address of record in the Registrar’s office. Consequences for Failing to File a Written Answer: If Respondent fails to answer, Respondent’s failure may be deemed an admission of the act or acts charged in the written complaint. A.R.S. § 32-1155(C). The Registrar may then suspend or revoke Respondent’s license. THE ADMINISTRATIVE HEARING If Respondent files a timely written answer contesting any charges in the Complaint, then the Registrar will request the Office of Administrative Hearings set a date for an administrative hearing and will notify all the parties at least 30 days before that hearing. A.R.S. § 41-1092.05(D). INVESTIGATOR’S APPEARANCE AS A WITNESS The Registrar’s assigned investigator will appear as a witness at the hearing. If either party demands the attendance at the hearing of any other person, that party must obtain and serve a subpoena in compliance with the rules and processes established by the Office of of 5

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Administrative Hearings. RESPONDENT’S RIGHT TO REQUEST AN INFORMAL SETTLEMENT CONFERENCE Under A.R.S. § 41-1092.06, if Respondent submits a request to the Registrar for an informal settlement conference, the Registrar must hold a conference within 15 days after receiving the request. Respondent’s request for an informal settlement conference must be in writing and must be filed no later than 20 days before the administrative hearing. A.R.S. § 41- 1092.06(A). The Registrar will not close or settle any case without both parties’ appearance at the Settlement Conference. The parties participating in the settlement conference must have the authority to settle the case and must waive their right to object to the participation of the Registrar’s settlement conference representative in the final administrative decision. A.R.S. § 41-1092.06(B). Any statements, either written or oral, made by the parties at the conference, including a written document, created or expressed solely for the purpose of settlement negotiations, are inadmissible in the administrative hearing. A.R.S. § 41-1092.06(B). RESPONDENT’S PRIOR RECORD Under A.A.C. R4-9-117, in determining the appropriate discipline, the administrative law judge and the Registrar may consider not only facts in the current case, but also facts in prior cases and any documents regarding Respondent on file with the Registrar. Respondent’s prior disciplinary record and current license status may be considered as a mitigating or aggravating factor in determining the appropriate discipline. EVIDENTIARY DISCLAIMER By issuing this Citation, the Registrar is directing Respondent to file a written answer to the Citation and Complaint, showing cause, if any, why Respondent’s license should not be suspended or revoked. A.R.S. § 32-1155(A). This Citation does not constitute proof that any of 5

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 charge or allegation in Complainant’s written complaint is in fact true. This Citation does not constitute proof that Respondent violated any statutory provision or rule adopted by the Registrar. Dated August 21, 2023. By: /s/ Doug Ulmer Doug Ulmer Legal Assistant Legal Department Arizona Registrar of Contractors COPY of the foregoing mailed by Certified Mail, Return Receipt Requested, August 21, 2023 to: Respondent Certified Mail No: [number redacted] Hale's Construction LLC PO Box 3369 Sedona, AZ 86340

Copy mailed by USPS First Class mail this same date to: Respondent Hale's Construction LLC PO Box 3369 Sedona, AZ 86340 Complainant James Schinner 814 W Chapel Rd Sedona, AZ 86336 Copy sent electronically this same date to: Respondent at email address on record with the Registrar Complainant at email address on record with the Registrar Case No. 2023-03929/du of 5

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Received 08/30/2023 ROC Legal

P. O. BOX 3369, SEDONA, AZ 86340 • 2100 SHELBY DRIVE, SEDONA, AZ 86336 928-282-4794 • 928-282-0067• ROC # 085860 • ROC #332016 – RESIDENTIAL & COMMERCIAL

CASE# 2023-03929 BELOW ARE THE RESPONSES TO THE 2 CHARGES BROUGHT TO US FROM THE INSPECTION CONDUCTED BY BRANDON SMITH.

Charge :1 A.R.S. § 32-1154(A)(3) - R4-9-108(a) Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Response: Hale’s Construction believes that the repairs made at the clients home were completed at the industry standard. Hale’s Construction agrees that there are some minor details that need to be addressed that we never had the opportunity to address due to weather concerns and clients being out of town. Hale’s Construction will and have always honored our warranties to our clients and are willing to make all corrections with a homeowner job walk for the minor details. Our reputation and standing in this community should prove Hale’s Construction has a long history of providing good quality work.

Charge :2 A.R.S. § 32-1154(A)(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. The written directive shall set forth the time within which the contractor is to complete the remedial action. The time permitted for compliance shall not be less than fifteen days from the date of issuance of the directive. A license shall not be revoked or suspended nor shall any other penalty be imposed for a violation of this paragraph until after a hearing has been held. Received 08/30/2023 Response: After the directive from the R.O.C. on the repairs that needed to be done due to ROC Legal warranty issues (May 9th), Hale’s Construction started work on the repair areas on May 22nd once weather permitted. We finished the stucco section of the repair on May 31st. On June 14th, Hale’s Construction then arrived at the clients home to check the PH levels of the stucco for painting purposes and was directed by the client that they wanted to wait a few more weeks for the curing process due to what they have seen on other homes and didn’t want any issues moving forward. On June 30th, Hale’s Construction applied the sealer and primer for the stucco to cure. On July 4th-6th the painting process started. We needed to finalize some small details with the paint and window frame with the client but were informed that Kathy and Jim went to Wisconsin for some medical issues and would not be back for a while. We agree that we need to do some minor paint details as well as removing the adhesive from the window frame. We are willing to finish these details or pay another contractor if that's what the client wants to complete these minor details.

If you have any questions or concerns please feel free to give us a call anytime at (928)282-4794. Thank you for your time with this issue. Dustin Sonn CEO Hale’s Construction Received 8/31/23, 8:08 AM State of Arizona Mail - CASE# 2023-03929 08/30/2023 ROC Legal

Answers - AZROC <[email redacted]>

CASE# 2023-03929 message

Dustin Sonn <[email redacted]> Wed, Aug 30, 2023 at 8:13 AM Reply-To: Dustin Sonn <user-RET4Dd_c0-MEzjbYe6BnS-PaHwNuFjkzFLILl_FpZdA1-mid- [email redacted]> To: [email redacted] Cc: [email redacted], [email redacted], [email redacted]

Hale's Construction LLC Sedona, AZ

928-282-0067

Hello, Attached is the response to case# 2023-03929. Thank you, Dustin

Customer contact information: SCHINNER, KATHY AND JIM Job: 1201 814 Chapel Road Sedona, AZ 86336 [email redacted] [email redacted] - Primary (928) 554-1028 - Primary

Thank you for considering Hale's

Dustin Sonn Estimator (928) 301-0656

Reply directly to this email to respond.

You can view the whole email thread here

Hale's Construction LLC | 2100 Shelby Dr | Sedona, AZ 86336

https://mail.google.com/mail/b/AEoRXRQO3bkmwrzLaUyrdElgHK9ycvZDgX3L4sMTLFT_4mDYOZsk/u/0/?ik=581c53cf5c&view=pt&search=all&permt… 1/2 Received 8/31/23, 8:08 AM State of Arizona Mail - CASE# 2023-03929 08/30/2023 ROC Legal

Case 2023-03929.docx 543K

https://mail.google.com/mail/b/AEoRXRQO3bkmwrzLaUyrdElgHK9ycvZDgX3L4sMTLFT_4mDYOZsk/u/0/?ik=581c53cf5c&view=pt&search=all&permt… 2/2 Complainant: James Schinner 814 W Chapel Rd Sedona, AZ 86336

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 Respondent: Hale's Construction LLC DBA: PO Box 3369 Sedona, AZ 86340

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 Case No.: 2023-03929 Investigator: Brandon Smith Inspection Date: August 2, 2023 Inspection Time: 11:30 AM

Compliance Jobsite General Notes:

Compliance Findings:

Compliance Item: 1 - Paint and stucco appears to be blistering on house in several areas. The blisters are large and are leaking a white lime substance on the side of the house. Investigator’s Observation: VERIFIED; I observed these blisters on the A, C and D sides of the house. The blisters are all up close to the parapet wall, and appear to be collecting water and leaking onto the building. Governing Rule: A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

Note:

Inspected at the request of the homeowner after the contractor made repairs. Contractor was not at the compliance inspection.

A side of building: During the JSI, I observed several water leaks, draining effervescence down the wall in the area above the entry of the house. It appeared that that area had bene corrected. Home owner was satisfied with it at the time of my CJIS.

B side of building: I did not prescribe work to be done on this side of the building in the written directive. I was surprised to see that there was patch work done on this side of the house. Mr. Schinner held up his phone and showed me a photo of the work in progress from the crew making the repairs soon after my JSI. I took a photo of this and added to the CJIS Photo page. The work shown in the photo is consistent with the patch work I observed and photographed in the CJIS.

The patch work texture was not blended in to the existing stucco on the wall. There is now obvious round spots on the wall where repairs are obvious. Also, it appears the painter sprayed the perimeter wall with a test color. The color did not match, and now the wall has a large noticeable stripe on it.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 There was a crack above the right side of the mechanical room door on the wall. Home owner claims this was supposed to be corrected, but it was not included in my Written Directive, as the entire B side of the building was excluded at the time of the JSI.

C Side of Building:

There is a large horizontal crack above the small rear window, under the video camera on the back patio. Home owner wants this corrected but it was not prescribed in the written directive

I observed paint spill and splatter on chimney wall connecting to house.

Stucco work done above large windows on back patio, in the general area of parapet wall appeared uneven, not smooth, not floated and blended.

Metal window frame (finish) that was damaged appeared corrected

D Side of Building:

Paint on door was poor. Spray shadow around door knob and other hardware. Paint did not extend all the way to ground. Landscape rocks should have been raked away so that the wall could be painted.

Above small window, extending away from wall house chimney wall, at the approximate line at where parapet wall extends above the roof line is a patch job in the stucco that wasn’t blended and floated in.

On the wall opposite of the fireplace in house there appears to be a patch in the stucco that runs horizontal, about 8 feet long. This patch was not floated in and blended into the wall. This sits above the AC units

_____________________________________________________________________

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 If all items are corrected after receipt of this letter, please notify the Registrar’s legal department by sending a notice of compliance signed by the complainant to fax number (602) 364-0416 or by mail to: Arizona Registrar of Contractors, P.O. Box 18244, Phoenix, Arizona 85005-8244. Sincerely,

Brandon Smith Brandon Smith, Investigator 520 6285021 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 (DELETE THIS ADDRESS/PAGE IF NOT WARRANTED)

Complainant Attorney:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 (DELETE THIS ADDRESS/PAGE IF NOT WARRANTED)

Respondent Attorney:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812

602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 4/21 Katie Hobbs, Governor Martín Quezada, Director

Jobsite Inspection Notes

Case No.: 2023-03929 Investigator: Brandon Smith Inspection Date: May 8, 2023 Inspection Time: 1:00 PM

Complainant: James Schinner Respondent: Hale's Construction Not Present: LLC Not Present:

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov RCC100 08/19

Jobsite General Notes: Respondent was contracted to complete stucco and paint work as a result of a previous ROC complaint against another contractor. Work was done to the A, C and D side of the house. I recorded and photographed the inspection with my agency issued google phone. Complainant and Respondent were present.

Complaint Item: 1 - Paint and stucco appears to be blistering on house in several areas. The blisters are large and are leaking a white lime substance on the side of the house. Investigator’s Observation: VERIFIED; I observed these blisters on the A, C and D sides of the house. The blisters are all up close to the parapet wall, and appear to be collecting water and leaking onto the building. Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Complaint Item: 2 - The finish on the window frames on the back side of the house is damaged. It appears that then the contractor taped plastic to protect the windows, the finish was damaged when the tape was removed. Investigator’s Observation: VERIFIED: I observed the finish on steel window trim on the back of the house. It appears the finish was damaged, and was more likely than not, caused by the chemicals in the tape adhesive that was used to attach plastic sheeting during construction Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Complaint Item: 3 - There is concrete efflorescence staining on the patio stones on the back patio. The staining is directly under the drip edge of the parapet wall by the windows and doors. Investigator’s Observation: UNVERIFIED: Respondent worked on the house as a result of another contractor not completing an initial contract. I have no way to verify if the staining is from a previous contractor or the respondent. While

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov RCC100 08/19

it is possible the respondent is responsible for the staining, I do not have enough evidence to conclude more likely than not it was. Governing Rule: A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov RCC100 08/19

Katie Hobbs, Governor Martín Quezada, Director

Complainant: James Schinner 814 W Chapel Rd Sedona, AZ 86336

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

Respondent: Hale's Construction LLC DBA: PO Box 3369 Sedona, AZ 86340

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

April 13, 2023

Jobsite Inspection Notice Re: Complaint Number 2023-03929

Dear Complainant and Respondent:

A formal complaint has been filed with the Arizona Registrar of Contractors.

A jobsite inspection is scheduled for April 28, 2023 at 9:00 AM. The Complainant is required to be present. The Respondent’s attendance is requested and encouraged. The Registrar encourages both parties to make a good faith effort to resolve this complaint prior to the jobsite inspection.

COMPLAINANT: 1. Under A.R.S. § 32-1155(D)(1), the Respondent must be allowed, upon request, the opportunity to inspect the work complained of within fifteen (15) days of receiving this notice. If Respondent is not provided an opportunity to inspect the work within the fifteen (15) day time period, the Registrar may be prohibited from taking further action on this complaint. 2. The Registrar may also be precluded from taking further action on this complaint, if the work that is the subject of the complaint is subject to neglect, modification, or abnormal use. A.R.S. § 32-1155(D)(2) 3. You must provide safe access to any area to be inspected. If access to a roof or other elevated area is required, you must provide a means to safely access the area (ladder or manlift as appropriate). Additionally, please secure any animals.

RESPONDENT: 1. Enclosed is a copy of the complaint. Under A.R.S. § 32-1155(D) you must be allowed, upon request, the opportunity to inspect the work complained of within fifteen days of the date of receipt of this notice. 2. To assist the assigned investigator in evaluating the merits of the complaint, please submit a response to the enclosed complaint to the assigned investigator prior to the scheduled inspection. 3. If you do not attend the jobsite inspection, your absence may negatively impact the investigation, and your interests. 4. If a building permit(s) was required for this project, please have the building permit information available at the jobsite inspection. If either party needs to reschedule the jobsite inspection, please notify the assigned investigator at least three business days prior to the inspection date to schedule a new date and time. 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

If the parties resolve the complaint prior to the inspection, please notify the assigned investigator in writing and by phone as soon as possible.

Sincerely, Brandon Smith Brandon Smith, Investigator (520) 628-5021 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

A Guide to Jobsite Inspections

Purpose of the Jobsite Inspection When the Registrar receives a complaint against a contractor’s license alleging poor workmanship, the Registrar generally schedules a Jobsite Inspection. The Jobsite Inspection serves two purposes: 1. To give the contractor an opportunity to inspect the complaint items; and 2. To give the Registrar an opportunity to determine if the contractor’s work violates Arizona law.

Jobsite Inspection Rights and Responsibilities Access to inspect: The property owner has complete control over who they allow on the property. However, if the Registrar’s investigator or the contractor cannot inspect the work, the Registrar will not move forward with a citation.

Cooperation: Arizona law enables injured parties to seek relief for damages through several paths. When dealing with a licensed contractor, the Registrar of Contractors’ administrative complaint process may serve as one of those possible paths. However, in order to use that path, the Registrar relies on the cooperation of all parties to a complaint.

Minimum workmanship: The Registrar investigates workmanship complaints for compliance with minimum workmanship and professional industry standards. The Registrar does not issue citations for work that meets these standards.

Scope: The scope of the Jobsite Inspection is limited to items listed in the complaint filed with the Registrar’s office. It is the complainant’s responsibility to point out the complaint item(s) and the Investigators role to review the item(s). If the complainant identifies additional workmanship items not listed in the original complaint, they must file an addendum to the complaint. The Registrar’s Investigator may identify additional administrative violations by the contractor (e.g. work performed out of scope of the license and failure to provide a contract that meets requirements set by Arizona law) at the time of the inspection.

The Role of the Investigator At the Jobsite Inspection, the Registrar’s investigator will: ● Only investigate the items listed on the complaint form filed with the Registrar. ● Will gather evidence to make an informed decision about the complaint items.

What to expect after a Jobsite Inspection After doing a Jobsite Inspection, the Registrar’s Investigator will leave the jobsite and review the evidence provided during the inspection. Generally, the investigator does not make any determination at the time of the jobsite inspection regarding whether the allegations listed in the complaint are supported. ● If the allegations are confirmed, the Registrar’s Investigator may issue a Written Directive telling the contractor to correct the poor or incomplete work. ● If the allegations are not confirmed, the Registrar’s Investigator will close the complaint.

Questions? If you have already filed a complaint and it was assigned to an investigator, you are encouraged to contact that investigator directly with the information listed in your jobsite inspection letter. If you have not filed a complaint yet or have not been assigned an investigator, you can reach the Registrar’s compliance department at (877) 692-9762. 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

A Guide to Written Directives Purpose of the Jobsite Inspection When the Registrar receives a complaint against a contractor’s license, the Registrar generally schedules a Jobsite Inspection. The Jobsite Inspection serves two purposes: 1. To give the contractor an opportunity to inspect the complaint items; and 2. To give the Registrar an opportunity to determine if the contractor’s work violates Arizona law.

What to expect after a Jobsite Inspection After doing a Jobsite Inspection, the Registrar’s Investigator will determine whether the allegations listed in the complaint are supported. ● If the allegations are confirmed, the Registrar’s Investigator may issue a Written Directive telling the contractor to correct the poor or incomplete work. ● If the allegations are not confirmed, the Registrar’s Investigator will close the complaint.

Written Directives Access: In order to use the administrative process offered by the Registrar, a property owner must provide reasonable access to allow the contractor to fix their work as directed by the Registrar in a Written Directive. Complainants may not put any additional, unnecessary restrictions on the Respondent above and beyond the initial contract requirements agreed upon at the beginning of the project. Respondents are required to make repairs on items identified on any Written Directive, not otherwise restricted by local code or HOA limitations. Complainants must make access available to the Respondent to make the required repairs and failure to provide reasonable access may result in the Registrar dismissing the complaint.

Contractor obligations: The Written Directive will set a deadline for compliance. This is the period of time determined by the Investigator as necessary to complete the items listed in the Directive. ● The deadline for compliance assumes the contractor will promptly begin working on the items listed in the Directive. ● Do not wait. Both parties should communicate quickly to schedule the work.

Extensions: If good cause exists to extend this deadline, either party may submit a written request to the Investigator. The Registrar will review requests for extension and determine if the Directive should be extended.

Manner and method of performance: The Registrar does not provide specific instructions for how to correct poor work. A licensed contractor is expected to have the skill and professionalism to complete the work. Moreover, the complainant may not dictate the manner of repair. If the contractor fails to appropriately correct the work according to the contract, the Registrar will issue a citation.

Compliance Inspection: After the Written Directive expires, the Registrar’s Investigator will contact the complainant to determine if the contractor performed any corrective work. ● If the contractor did corrective work, the Investigator may schedule a Compliance Inspection to determine if the poor work is corrected. ● If the contractor did not perform any corrective work, the Registrar’s Investigator will not do a Compliance Inspection and will determine whether to issue a citation based on the administrative record.

Work performed after the directive ends: After the Directive period ends, a property owner may choose to allow the contractor to continue its work. The Registrar encourages parties to work cooperatively, but cannot 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Katie Hobbs, Governor Martín Quezada, Director

require a homeowner to continue to allow a contractor access to the property after the Directive period ends in order for the administrative process to continue. Denying access after the Directive ends is not grounds to close or dismiss a complaint.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Within AZ 877.692.9762 · Fax 602.542.1599 · roc.az.gov C008 05/21 Complaint # 2023-03929 P 1 JSI PHOTOS Complaint # 2023-03929 P 2 JSI PHOTOS Complaint # 2023-03929 P 3 JSI PHOTOS Complaint # 2023-03929 P 4 JSI PHOTOS Complaint # 2023-03929 P 5 JSI PHOTOS Complaint # 2023-03929 P 6 JSI PHOTOS Complaint # 2023-03929 P 7 JSI PHOTOS Complaint # 2023-03929 P 8 JSI PHOTOS Complaint # 2023-03929 P 9 JSI PHOTOS Complaint # 2023-03929 P 10 JSI PHOTOS Complaint # 2023-03929 P 11 JSI PHOTOS Complaint # 2023-03929 P 12 JSI PHOTOS Complaint # 2023-03929 P 13 JSI PHOTOS Katie Hobbs, Governor Martín Quezada, Director

Complainant: James Schinner 814 W Chapel Rd Sedona, AZ 86336

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 04/21 Katie Hobbs, Governor Martín Quezada, Director

Respondent: Hale's Construction LLC DBA: PO Box 3369 Sedona, AZ 86340

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 04/21 Katie Hobbs, Governor Martín Quezada, Director

May 9, 2023

License No. ROC 332016

Re:Complaint No. 2023-03929

WRITTEN DIRECTIVE FROM THE REGISTRAR

Dear Respondent:

After investigation, the Registrar determined that you failed to meet the requirements of A.R.S. § 32-1154(A), and now issues this Directive requiring you to take appropriate corrective action. Failure to comply with this Directive constitutes a violation of A.R.S. § 32-1154(A)(22) and may result in the issuance of a citation, discipline of your license, and a civil penalty pursuant to A.R.S. § 32-1154(E) of up to $500.00. You must notify the Registrar’s assigned Investigator of your compliance with this Directive prior to 5:00 p.m. on 7/1/23.

RESTRICTIONS • You may not perform or hire other contractors to perform work that is outside the scope of your license. • If your license is currently suspended for administrative reasons 1, or is inactive, expired, or cancelled, you may not perform any corrective work nor contract in any manner, which includes hiring other contractors to perform work, until the suspension of your license(s) has been lifted or your license(s) has been reactivated.

DIRECTIVE REQUIREMENTS You are directed to remedy the following violations by the appropriate means:

This means the license is suspended for lack of qualifying party, lack of bond, nonrenewal, Recovery Fund payout, or for any reason listed in A.R.S. § 32-1124(F).

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 04/21 Katie Hobbs, Governor Martín Quezada, Director

Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

Compliance Item: 2 - The finish on the window frames on the back side of the house is damaged. It appears that then the contractor taped plastic to protect the windows, the finish was damaged when the tape was removed. Investigator’s Observation: VERIFIED: I observed the finish on steel window trim on the back of the house. It appears the finish was damaged, and was more likely than not, caused by the chemicals in the tape adhesive that was used to attach plastic sheeting during construction Governing Rule: Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(a): A contractor shall perform all work in a professional and workmanlike manner.

ITEMS NOT REQUIRING CORRECTION The following complaint items require no action by the Respondent:

Compliance Item: 3 - There is concrete efflorescence staining on the patio stones on the back patio. The staining is directly under the drip edge of the parapet wall by the windows and doors. Investigator’s Observation: UNVERIFIED: Respondent worked on the house as a result of another contractor not completing an initial contract. I have no way to verify if the staining is from a previous contractor or the respondent. While it is possible the respondent is responsible for the staining, I do not have enough evidence to conclude more likely than not it was. Governing Rule: A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 04/21 Katie Hobbs, Governor Martín Quezada, Director

Please direct all questions regarding this Directive to the undersigned Investigator.

Sincerely,

Brandon Smith Brandon Smith, Investigator 520 6285021 [email redacted] 1700 W Washington St, Suite 105 Phoenix, AZ 85007

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 04/21 Mediation Notice

Mediation Services Mediation services are available to the parties. What is Mediation? Mediation is a method of resolving disputes where the parties can end conflict without the expense and time associated with the full administrative process. Who Participates in During mediation, a mediator will attempt to help the Mediation? parties find an optimal solution to the conflict. Both parties must agree to participate in mediation, and both parties must bring a representative to mediation that has full authority to settle the entire matter. Mediation Is Not Neither the Registrar nor the Office of Administrative Mandatory Hearings will penalize a party for not agreeing to mediation. Where do the Parties The parties will meet at the Office of Administrative Meet for Mediation? Hearings to participate in mediation.

The Office of Administrative Hearings is located at 1400 West Washington, Suite 101, Phoenix, Arizona 85007. When does Mediation can occur after the Registrar issues a citation, but Mediation Occur? before the administrative hearing. Why Should Parties Mediation can be an alternative to the full administrative Consider Mediation? process. Mediation is beneficial because it is (1) time- efficient, (2) cost-effective, (3) confidential, and (4) capable of providing flexible solutions to complex problems. How to Request If the parties wish to mediate this case, they must file a Joint Mediation Request for Mediation with the Office of Administrative Hearings. A Joint Request for Mediation is included with this Mediation Notice. REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA _________________________ Case No. _______________ COMPLAINANT,

v. JOINT REQUEST FOR MEDIATION _________________________ RESPONDENT.

REQUEST

The parties jointly request that this matter be referred to mediation in the Office of Administrative Hearings (OAH). ☐ This matter is set for hearing on __________________(date). ☐ This matter is not currently set for hearing. MEDIATION AGREEMENT By requesting this mediation and signing below, the parties understand, represent, and agree: 1. The parties are prepared to commence mediation and will be ready for mediation on _____________________(date); 2. The parties will participate in the mediation process in good faith; 3. This request for mediation is not intended to hinder or delay administrative proceedings; 4. No party will contend that the mediation limits the power of OAH and its administrative law judges to conduct an administrative hearing and issue decisions under A.R.S. §§ 41-1092 – 1092.12; 5. The parties will be courteous and respectful throughout the mediation process to all participants; 6. The mediation is completely voluntary and the principal purpose is to allow the parties a full and fair opportunity to discuss settlement; of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – PHOENIX, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762 7. The mediator may conduct joint and separate meetings with the parties and may suggest resolutions to the parties’ dispute, but the mediator has no authority to impose a settlement upon the parties; 8. The mediation process is confidential. Communications made, material created for or used during, and acts occurring during mediation are confidential and may not be discovered or admitted into evidence in any proceeding except as provided by A.R.S. § 12-2238; 9. The mediator is not subject to service of process or a subpoena to produce evidence or to testify regarding any evidence or occurrence relating to the mediation except as provided in A.R.S. § 12-2238(C); 10. Neither the mediator, nor the Registrar of Contractors, nor the Office of Administrative Hearings is subject to civil liability for any act or omission in connection with any mediation service or activity except for acts involving

intentional misconduct or reckless disregard of a substantial risk of injury to the rights of others; 11. Throughout the mediation process, each party must have a representative present who will have full settlement authority to settle all claims at issue in the administrative

proceeding. 12. The mediation process will terminate when: a. The parties reach settlement; b. The mediator determines that further efforts at mediation are no longer likely

to achieve a settlement; or c. One of the parties withdraws from mediation. _____________________________________ _______________________ Complainant (or representative) Date

_____________________________________ _______________________ Respondent (or representative) Date

of 3 REGISTRAR OF CONTRACTORS 1700 W. Washington St. Suite 105 – PHOENIX, AZ 85007-2812 Telephone (602)542-1525 1-877-692-9762 PREHEARING DISCLOSURE STATEMENT INSTRUCTIONS ***DO NOT SUBMIT THESE INSTRUCTIONS WITH THE PREHEARING DISCLOSURE FORM***

ADMINISTRATIVE RULES A copy of the Arizona Administrative Code’s Rules for the Registrar of Contractors can be located on the Registrar’s Website.

PREHEARING DISCLOSURE REQUIREMENT Under A.A.C. R4-9-118(A), before a hearing, the parties must prepare a disclosure statement. The disclosure statement must contain: • A list of all the witnesses the party will call to testify, including the witnesses’ contact information and a brief description of the subject matter of the witnesses’ expected testimony; and • A list of all the exhibits that the party will use at the hearing.

FILE PREHEARING DISCLOSURE STATEMENTS • The Prehearing Disclosure Statements and Exhibits may be submitted to the Arizona Office of Administrative Hearings using any of the following: • Electronically: https://portal.azoah.com/submission/ • In-Person or by Mail: 1740 West Adams Street, Lower Level, Phoenix, Arizona 85007

EXCHANGING DISCLOSURE STATEMENTS AND EXHIBITS Under A.A.C. R4-9-118(B) (effective November 5, 2017), a party to the hearing must serve on every other party and file with the Office of Administrative Hearings a copy of: • The disclosure statement; and, • Any exhibit that the party will use at the hearing. Service: The disclosure statement and exhibits must be served on all parties in accordance with Arizona Administrative Code R2-19-108 Filing Documents. Under A.A.C. R2-19-108, service is completed by: • Personal delivery; • 1st class, certified or express mail; or • Facsimile. Timing: The disclosure statement and the exhibits must be served and filed not less than seven calendar days before the date of the hearing. Under A.A.C. R2-19-108, a document is served on a party: • On the date it is personally served; • Five days after it is mailed by express or 1st class mail; • On the date of the return receipt if it is mailed by certified mail; or • On the date indicated on the facsimile transmission.

CONSEQUENCES FOR FAILING TO DISCLOSE Under A.A.C. R4-9-108(C), if a witness or an exhibit is not timely disclosed as required the rules, and good cause for the failure to disclose is not shown, then the administrative law judge may: • Order that certain witnesses or exhibits not be used at the hearing; • Order that a particular fact is or is not established for the record; or, • Order that a charge, a defense, a claim, or some portion thereof, be dismissed.

Form RC-L-800A Prehearing Disclosure Statement Rev. 10/08/2019 Instructions Form PREHEARING DISCLOSURE STATEMENT FORM RC-L-800A

PART 1: WITNESS LIST DOCKET NO. Under A.A.C. R4-9-118(A), before a hearing, a party must prepare a disclosure statement containing a list of all the witnesses the party will call to testify, including the witnesses’ contact information and a brief description of the subject matter of the witnesses’ expected testimony. If you need additional space to list all witnesses, complete and attach additional Witness Lists. Example 1. Name 2. Telephone Number 3. Email Address

John Doe (123) 456-7890 [email redacted] 4. Subject Matter of Expected Testimony

John Doe will testify regarding the poor workmanship and poor installation of the Garage Door. Mr. Doe will also testify regarding the invoices and change orders for the project.

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Witness 1. Name 2. Telephone Number 3. Email Address

4. Subject Matter of Expected Testimony

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 1 of 3 PART 2: EXHIBIT LIST DOCKET NO. Under A.A.C. R4-9-118(A), before a hearing, a party must prepare a disclosure statement containing a list of all the exhibits that the party will use at the hearing. Note: All exhibits listed below must be provided to all parties to the hearing. See A.A.C. R4-9-118(B). If you need additional space to list all witnesses, complete and attach additional Exhibit Lists. Example Contract for new garage door. Invoice #10001 – Cost for garage door replacement.

Exhibit Exhibit Name

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 2 of 3 PART 3: ACKNOWLEDGEMENT & SIGNATURE I certify that the above information is true and correct and that I will serve a copy of this disclosure statement and any exhibits listed in Part 2 to all parties to the hearing in accordance with A.A.C. R4-9-118. I acknowledge and understand that if I fail to properly disclose a witness or exhibit, the administrative law judge may: • Order that certain witnesses or exhibits not be used at the hearing; • Order that a particular fact is or is not established for the record; or, • Order that a charge, a defense, a claim, or some portion thereof, be dismissed.

I am the (check one):  Complainant  Respondent Docket No.

Print Name Signature Date

Form RC-L-800A Prehearing Disclosure Statement Rev. 1/15/2019 Page 3 of 3