ALJDEC - Licensing

2023A-10609-NPC-ROC · Registrar of Contractors · 2024-01-11

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

ADRA Contracting Inc.,

COMPLAINANT

v.

AFC-AZ Contracting LLC

License No. ROC 289417,

RESPONDENT

No. 2023A-10609-NPC-ROC

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: January 9, 2024

APPEARANCES: Carl Buetzow, Owner, appeared on behalf of Complainant ADRA Contracting Inc. Respondent AFC-AZ Contracting LLC did not appear.

ADMINISTRATIVE LAW JUDGE: Tammy L. Eigenheer

EXHIBITS ADMITTED INTO EVIDENCE: Complainant’s Exhibits 1 through 4 and the Hearing Packet submitted by the Registrar of Contractors.

_____________________________________________________________________

FINDINGS OF FACT

AFC-AZ Contracting LLC (Respondent) is the holder of License No. 289417 issued by the Registrar of Contractors (Registrar).

On or about September 12, 2023, ADRA Contracting Inc. (Complainant) filed a Complaint against Respondent with the Registrar alleging that Respondent had failed to pay Complainant the sum of $20,255.00 for fill dirt materials provided to Respondent.

The parties were unable to resolve their differences, and Complainant requested an administrative hearing. The Registrar then issued a Citation alleging a violation of Ariz. Rev. Stat. § 32-1154(A)(10).

The Registrar referred the matter to the Office of Administrative Hearings, an independent state agency, for an evidentiary hearing.

The Registrar issued a Notice of Hearing, setting a hearing at 1:00 p.m. on January 9, 2024. The Registrar mailed copies of the Notice of Hearing to Respondent at its address and email address of record. A December 12, 2023 order from the Office of Administrative Hearings advised the parties of how to connect to the hearing via Google Meet. The hearing was held via Google Meet on January 9, 2024.

Respondent did not request that the hearing be continued. Although the start of the hearing was delayed 15 minutes, Respondent did not appear through an authorized member, employee, or attorney. Consequently, Respondent did not present any evidence to defend its license.

Mr. Buetzow testified that the total due to Complainant at the time of the hearing was $4,735.00. Mr. Buetzow stated that Complainant had obtained payment directly from the owners on other invoices and only one invoice remained open with a balance due from Respondent. Mr. Buetzow pointed out that Respondent’s Accounting Manager acknowledged $4,735.00 was still owing on the invoice in its November 21, 2023 answer to the Citation sent to the Registrar.

CONCLUSIONS OF LAW

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 a preponderance of the evidence.

A preponderance of the evidence is “such proof as convinces the trier of fact that the contention is more probably true than not.”

Ariz. Rev. Stat. § 32-1154(A)(10) includes among the grounds for suspension, revocation, or other disciplinary action against a contractor’s license,

[f]ailure by a licensee or agent or official of a licensee to pay monies in excess of $750 when due for materials or services rendered in connection with the licensee's operations as a contractor unless the licensee proves that the licensee lacks the capacity to pay and has not received sufficient monies as payment for the particular construction work project or operation for which the services or materials were rendered or purchased.

The evidence established that Respondent owed a total of $4,735.00 for materials provided.

Therefore, Complainant established that Respondent violated Ariz. Rev. Stat. § 32-1154(A)(10) by failing to pay Complainant $4,735.00 for materials rendered in connection with Respondent’s contracting business.

Based upon Respondent’s violation of the provisions of Ariz. Rev. Stat. § 32-1154(A)(10), grounds exist to impose discipline against Respondent’s license

RECOMMENDed order

Based on the foregoing, it is recommended that the Registrar suspend Respondent’s License No. 289417 issued by the Registrar until it has provided to the Registrar, and the Registrar has accepted, documents that establish that it has paid Complainant $4,735.00 in certified funds.

It is further recommended that when and if the Registrar receives and accepts Respondent’s evidence that it has paid Complainant $4,735.00 in certified funds, the Registrar may close the Complaint in Case No. 2023-10609.

Pursuant to A.R.S. § 41-1092.08(I), the licensee may accept the Administrative Law Judge Decision by advising the Office of Administrative Hearings in writing not more than ten (10) days after receiving the decision. If the licensee accepts the Administrative Law Judge Decision, the decision shall be certified as the final decision by the Office of Administrative Hearings.

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 forty (40) days from the date of that certification.

Done this day, January 11, 2024.

/s/ Tammy L. Eigenheer

Administrative Law Judge

Transmitted by either mail, e-mail, or facsimile to:

Tom Cole, Director

Registrar of Contractors

ADRA Contracting Inc.

[email redacted]

AFC-AZ Contracting LLC

[email redacted]

By: OAH Staff