2024A-09017-CHC-ROC Notice of Hearing & Packet MAILED 2024-09017.pdf

2024A-09017-CHC-ROC · Registrar of Contractors · 2024-10-29

REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Katy Horgan , Case No. 2024-09017

COMPLAINANT, Docket No. 2024A-09017-CHC-ROC

v. NOTICE OF HEARING ON CONTESTED CASE Sun Valley General Contractors LLC License No. ROC 345270,

RESPONDENT.

This Notice of Hearin g is issued under A.R.S. § 41-1092.05(D). HEARING INFORMATION The hearing is set for:

December 5, 2024 1:00 PM 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 October 4, 2024. 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)(12) - A.R.S. § 32-1158

Charge: 3 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/forms/RC-L-800A%20- %20Prehearing%20Disclosure%20Statement%2020191007v4.pdf

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 October 28, 2024.

By: /s/ Erika Hoskin Erika Hoskin Legal Assistant II Legal Department Arizona Registrar of Contractors

Copy mailed via USPS First Class mail October 28, 2024 to:

Respondent(s) Sun Valley General Contractors LLC 2390 E Camelback Rd Ste. 130 Phoenix, AZ 85016

Complainant(s) Katy Horgan 1907 W Holly St Phoenix, AZ 85009

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. 2024-09017 /

Hearing Packet FAQ What is the The Hearing Packet is a packet of certain documents collected or Hearing Packet? issued by the Registrar over the course of its investigation. Who gets the The Hearing Packet is assembled and distributed to all parties and Hearing Packet? to the Office of Administrative Hearings (“OAH”) prior to an administrative hearing. What types of The Registrar prepares a Hearing Packet for Complainant-Handled cases does the Cases and No-Pay Cases. Note: If the Docket Number on the Registrar prepare a Notice of Hearing contains a “CHC” or “NPC”, your case is a Hearing Packet for? Complainant-Handled Case or a No-Pay Case. What is in the The Hearing Packet contains essential case-specific documents and Hearing Packet? at a minimum will include the following documents: ● Original complaint; ● 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 If there is any evidence you submitted to the Registrar that are not documents missing included in the Hearing Packet it is your responsibility to introduce from the Hearing that evidence at the administrative hearing. Note: The Packet? 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

How do I disclose You must properly disclose any and all documents and witnesses evidence I intend to you intend to use at your hearing according to the Registrar’s use at a Hearing? 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 If you previously submitted documents to the Registrar and need a documents I copy of these documents, please contact the Registrar’s Legal previously submitted Department or submit a public records request at to the Registrar? 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

Complainant: Katy Horgan 1907 W Holly St Phoenix, AZ 85009

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 Respondent: Sun Valley General Contractors LLC DBA: 2390 E Camelback Rd Ste 130 Phoenix, AZ 85016

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 August 9, 2024

Re: Complaint No. 2024-09017

Dear Complainant and Respondent:

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

A jobsite inspection is scheduled for Wednesday, September 11, 2024 at 10:30 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 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 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,

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 105 Phoenix, AZ 85007

Cc: File

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 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 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 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 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 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 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 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 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 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C008 12/23 Complainant: Katy Horgan 1907 W Holly St Phoenix, AZ 85009

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Respondent: Sun Valley General Contractors LLC 2390 E Camelback Rd Ste 130 Phoenix, AZ 85016

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 September 12, 2024

License No. ROC 345270

Re:Complaint No. 2024-09017

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 Friday, September 27, 2024.

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 reasons1, 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.

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 12/23 DIRECTIVE REQUIREMENTS You are directed to remedy the following violations by the appropriate means:

Complaint Item: 1 - My project has stalled as the city inspector has visited and indicated several violations. Investigator’s Observation: Confirmed. The project is currently sitting at the framing stage. The current deficiencies include but are not limited to: Unauthorized trusses. (Not engineered). Single top plate. Improper top plate corner connections. Inadequate headers. Studs too short in several locations. Roof sheathing applied incorrectly. The project should be completed per plans, specifications and contract. All inspections should be signed off and CO obtained. Contractor should finish the project by appropriate means. 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. A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

Complaint Item: 2 - The concrete is not level causing gaps under the framing. Investigator’s Observation: Confirmed. There are large gaps under the bottom plates because the concrete is not level. The respondent shimmed the walls level. The walls should sit on load bearing concrete. Contractor should repair by appropriate means. 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. A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

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

Sincerely,

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 105 Phoenix, AZ 85007

CC: Respondent Complainant

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Complainant: Katy Horgan 1907 W Holly St Phoenix, AZ 85009

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 9/24 Respondent: Sun Valley General Contractors LLC DBA: 2390 E Camelback Rd Ste 130 Phoenix, AZ 85016

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 9/24 Compliance Notes Case No.: 2024-09017 Investigator: Mike Wiskow Inspection Date: Wednesday, September 30th, 2024 Inspection Time: 12:00 PM Respondent Not Present at Compliance Inspection: ☒ Compliance Inspection Not Conducted: ☐

Compliance Jobsite General Notes: Photos taken with Pixel 6 Pro. Respondent not invited to CJSI

Compliance Findings:

Complaint Item: 1 - My project has stalled as the city inspector has visited and indicated several violations. Investigator’s Initial Observation: Confirmed. The project is currently sitting at the framing stage. The current deficiencies include but are not limited to:Click or tap here to enter text. Unauthorized trusses. (Not engineered).Click or tap here to enter text. Single top plate.Click or tap here to enter text. Proper top plate corners needed.Click or tap here to enter text. Inadequate headers.Click or tap here to enter text. Studs too short in several locations.Click or tap here to enter text. Roof sheathing applied incorrectly.Click or tap here to enter text. The project should be completed per plans, specifications and contract. All inspections should be signed off and CO obtained.Click or tap here to enter text. Contractor should finish the project by appropriate means. Compliance Observation: Framing Not Corrected. 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. ☐ CORRECTED ☒ NOT CORRECTED

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 9/24 Complaint Item: 2 - The concrete is not level causing gaps under the framing. Investigator’s Initial Observation: Confirmed. There are large gaps under the bottom plates because the concrete is not level. The respondent shimmed the walls level.Click or tap here to enter text. The walls should sit on load bearing concrete.Click or tap here to enter text. Contractor should repair by appropriate means. Compliance Observation: Some work was attempted, but uneven and cracking. 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. ☐ CORRECTED ☒ NOT CORRECTED

Note:

Please review the complaint items listed above. If any of the items have not been corrected this complaint will be forwarded to the Registrar’s legal department and a citation may be issued.

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,

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 105 Phoenix, AZ 85007

CC: Respondent Complainant

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013 9/24 REGISTRAR OF CONTRACTORS OF THE STATE OF ARIZONA

Katy Horgan, Case No. 2024-09017 COMPLAINANT, v. Sun Valley General Contractors LLC CITATION License No. ROC 345270, RESPONDENT.

The Registrar issues this Citation to Sun Valley General Contractors LLC (“Respondent”) under A.R.S. § 32-1155(A). If Respondent fails to answer this Citation by October 19, 2024, 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(s). THE WRITTEN COMPLAINT On August 8, 2024, Katy Horgan (“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 violation(s) of Title 32, Chapter 10 of the Arizona Revised Statutes. Respondent is charged with violating: 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)(12) - A.R.S. § 32-1158

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 Failure in any material respect to comply with this chapter; Namely A.R.S. § 32- 1158. Charge :3 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(s) 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(s) 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. 2024-09017. How to File a Written Answer: Respondent’s written answer may be submitted in the 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] 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

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 October 19, 2024. 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(s). 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 Administrative Hearings. RESPONDENT’S RIGHT TO REQUEST AN INFORMAL SETTLEMENT CONFERENCE

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 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(s) 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(s) should not be suspended or revoked. A.R.S. § 32-1155(A). This Citation does not constitute proof that any 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.

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Dated October 4, 2024. By: /s/ Shaquira Adebule Shaquira Adebule Legal Assistant II Legal Department Arizona Registrar of Contractors COPY of the foregoing mailed by Certified Mail, Return Receipt Requested, October 4, 2024 to: Respondent Certified Mail No: [number redacted] Sun Valley General Contractors LLC 2390 E Camelback Rd Ste 130 Phoenix, AZ 85016

Copy mailed by USPS First Class mail this same date to: Respondent Sun Valley General Contractors LLC 2390 E Camelback Rd Ste 130 Phoenix, AZ 85016 Complainant Katy Horgan 1907 W Holly St Phoenix, AZ 85009 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. 2024-09017

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1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov Lg101 8/21 Licensed Complaint Form Departmental Use Only For Current or Suspended Licensees

Person Filing Complaint Full Name (First Middle Last) Business Name (if a licensed contractor or supplier) ROC License Number(s) (if any)

Katy P Horgan Mailing Address (Enter jobsite in Contract/Project section) City State Zip

1907 W Holly St Phoenix Arizona 85009 Phone Number Email

[number redacted] [email redacted] I consent to receive communications electronically in connection with this case Name of Attorney (if any)

Street Address of Attorney City State Zip

Phone Number of Attorney Email of Attorney

Contractor Information Name (as shown on contract/invoice) ROC License Number(s)

Sun Valley General Contractors LLC ROC 345270 Street Address City State Zip

Phone Number Email

[number redacted] [email redacted] Name of Person(s) Representing License

Alin Ghetes Contract/Project Information Contract Date Contract Amount Amount Paid

November 21, 2023 $62,700.00 $34,486.00 Date Work Started Date Work Stopped Date Work Was Completed

February 15, 2024 August 1, 2024 Close of Escrow (New Home) Move-In Date (New-Home)

Jobsite Street Address City State Zip

1907 W Holly St Phoeniix AZ 85009 Name of Construction Site Owner Construction Site Name (if applicable)

Phone Number of Construction Site Owner Email of Construction Site Owner

This complaint is for Poor Work;Other I have contacted the contractor by Have you filed a complaint in court? No Has any work been corrected? No

RCC099 12/05/18 Page 1 of 3 Licensed Complaint Form Departmental Use Only For Current or Suspended Licensees

The contract was Both All change orders were N/A This project was Residential This project involved Other Guest House A building permit was obtained by Contractor [number redacted] Phoenix List and briefly describe each complaint item (Please do not write "see attached" or use additional pages unless necessary to further describe issues or list more complaint items) (limited to 100 characters per line)

The contractor does not show up and/or shows up at the end of the day, has performed poor quality work, incorrect work, and has not been following the guidelines and specifications of the site plans. I have no receipts or proof of sub-contracted work completed and the job should have been completed by the beginning of April. Allegations Listed on Complaint:

The following are per city inspection requests: Sight built trusses not allowed

Only single top plate allowed if studs fall under roof member

Proper corner connection needed at top plate

Provide full support for all headers

Provide proper sized headers for larger openings

Anchor bolts wrong size and holes over board

Sheathing applied in wrong orientations in several locations

Two way clean out not per plan

All other trades to cease until pass strap & brace inspection

Sealed architectural plans are not being followed

The following are per 3rd party inspection: Concrete foundation poor quality with significant bowing

Wall between bedroom & bathroom is bowed, among other bowed areas

Plumbing shower drain in bathroom in the wrong position (in middle of doorway)

RCC099 12/05/18 Page 2 of 3 Licensed Complaint Form Departmental Use Only For Current or Suspended Licensees

Multiple studs cut short & not adequately installed

Gusset plates are coming loose

No header support for windows

No flashing for any of the windows

Damaged studs in existing structure

Conduit from main house to ADU requires 18 inch minimum depth

Signature I declare under penalty of perjury that the information and documents contained on this Complaint Form, included with this complaint, or hereafter submitted in support of this complaint are true and accurate to the best of my knowledge. I will assist in the investigation or in the prosecution of the contractor or other parties, and will, if necessary, attend hearings and testify to facts. Printed Name Signature Date

Katy P Horgan \complainant1\ \complainantd1\

RCC099 12/05/18 Page 3 of 3 Checklist:

1. 1.a No contract 1.b (i) I do not have a contract as I just signed the bid that was provided to me. There was just a bid I had to sign electronically. The contractor did not provide a contract. (ii) I have a copy of the bid and including them with the complaint form. (iii) Schedule of all work included with this complaint document. (iv) Existing garage to be remodeled to a total of ‘216 S/F and build a 379’ S/F addition and together will be a new ADU for a total of 595 S/F at the rear of the property as per the plan. (v) I, Katy Horgan, and Alin Ghetes negotiated the contract. (vi) The agreed upon payment schedule is also included with the schedule of all work to be performed included with this complaint document. (vii) Alin Ghetes of Sun Valley General Contractors LLC was to receive payment. (viii) The work was to be completed by the beginning of April, 2024, at the latest.

2. 2.a Included on the pages at the end of this complaint document. 11/21/23, 2:39 PM Proposal Print

Approved by Katy Horgan on Nov 21, 2023 Approved

Sun Valley General Contractors LLC PO Box 32416 • Phoenix, AZ 85064 • Phone: 480-797-4030 Katy Horgan Cell: + Print Date: 11-21-2023 Proposal for 1907 W Holly St Good afternoon Katy! Please view your estimate for 1907 W Holly St. In order to start work, we need all city and architectural permits to be approved. We will need the main deposit as soon as possible so we can get the plans submitted and approved. If you have any questions on any line item, feel free to contact Alin. We will need this estimate to be signed electronically to start work. Your deposit schedule is located below:

https://buildertrend.net/app/owner/share/ZplVsoXVsXk/Proposal/Print/gZAB7hFNOrIeZyhi2_L31A/JEp3-fV7gsc 1/3 11/21/23, 2:39 PM Proposal Print

Items Description Qty/Unit Unit Price Price City Plans and architect - Allocated cost for full architectural plans 1 $9,000.00 $9,000.00 01.00 - Architectural Plans - All plans have to be approved by the city before any work starts Demo - Remove all pavers and anything that will be in the way of new 1 $1,500.00 $1,500.00 03.20 - Demolition Labor footings - haul away and trash out Prepare area for footings - Dig out area for new footings 1 $1,500.00 $1,500.00 04.05 - Footing Footings and foundation - Add footings and pour new foundation 1 $4,000.00 $4,000.00 04.05 - Footing Underground plumbing - Reroute plumbing for water lines and piping 1 $3,500.00 $3,500.00 work 07.01 - Plumbing Rerouting Underground electric - Add sub panel to feed all electrical for structure 1 $2,500.00 $2,500.00 08.00 - Electrical - Connect all new wiring Frame in structure - Frame in structure based on architectural plans 1 $5,500.00 $5,500.00 05.00 - Frame Labor New Roof - New shingle roof to be installed 1 $2,500.00 $2,500.00 06.00 - Roofing Install Windows and doors - Install new windows and doors according to specs 1 $3,000.00 $3,000.00 13.30 - Interior Doors Stucco - Stucco siding 1 $3,500.00 $3,500.00 05.10 - Siding Materials Bathroom - Walk in shower with tiling 1 $5,500.00 $5,500.00 11.05 - Shower - Vanity, mirror, and fixtures - new toilet - Hardware (towel rack, toilet paper holder, etc) Build kitchenette/ laundry - Appliance package from Spencer's 1 $7,000.00 $7,000.00 room - Mostly upper cabinets with few lower cabinets 12.05 - Cabinets Install - Quartz countertop for full kitchenette Labor - Washer/dryer stack - Sink and all hardware and pulls Interior Drywall - Installation of all interior drywall and texture 1 $2,500.00 $2,500.00 10.05 - Drywall Paint - All one color (white) prime and paint 1 $1,200.00 $1,200.00 14.00 - Paint Flooring - LVP free floating flooring install throughout 1 $1,500.00 $1,500.00 15.05 - Flooring Lighting, fans, hardware - Lighting fixtures and install 1 $1,500.00 $1,500.00 08.05 - Lighting - Wire and install fans - material and install of door hardware and pulls/handles on cabinetry Baseboards - Baseboards installed throughout 1 $1,000.00 $1,000.00 15.05 - Flooring Rework existing garage - Add drywall and baseboards to garage to finish 1 $3,000.00 $3,000.00 13.25 - Garage Doors

https://buildertrend.net/app/owner/share/ZplVsoXVsXk/Proposal/Print/gZAB7hFNOrIeZyhi2_L31A/JEp3-fV7gsc 2/3 11/21/23, 2:39 PM Proposal Print

Items Description Qty/Unit Unit Price Price A/C - Install dual zone mini split A/C 1 $3,000.00 $3,000.00 09.00 - HVAC

Total Price: $62,700.00 Deposit Schedule: 40% deposit for city permit and ordering materials 15% after footings and framing is done 15% after drywall and flooring is finished 15% after bathroom is completed Remaining balance due after completion of the project

I confirm that my action here represents my electronic signature and is binding.

Signature: Date: Nov 21, 2023, 2:28 PM Approved by: Katy Horgan

https://buildertrend.net/app/owner/share/ZplVsoXVsXk/Proposal/Print/gZAB7hFNOrIeZyhi2_L31A/JEp3-fV7gsc 3/3 Inspection report for the property at

1907 W. Holly St., Phoenix, AZ 85009 This report is prepared exclusively for Katy Horgan Inspected On: 07-30-2024

Company Information [email redacted] www.foresightpropertyinspection.com Foresight Property Inspections, LLC Published Report 480-694-7199

Inspected By:

Christopher Stinnett, AZ State License #65688 Limited Written Consultation THIS IS A LIMITED WRITTEN CONSULTATION REPORT. THE SCOPE OF THIS CONSULTATION AND REPORT IS LIMITED ONLY TO ITEMS IN THIS REPORT. THIS IS NOT A WARRANTY OR GUARANTEE. THE REPORT, OBSERVATIONS, AND FINDINGS ARE THE OPINIONS OF THE INSPECTOR. OTHER CONTRACTORS AND PROFESSIONALS MAY HAVE DIFFERING OPINIONS. THIS IS NOT A COMPLETE HOME INSPECTION REPORT AND DOES NOT SATISFY THE REQUIREMENTS OF AN ARIZONA STATE HOME INSPECTION REPORT.

Consultation General Comments...................................................................................................................................................................... p. 3 Building Characteristics, Conditions and Limitations .........................................................................................................................................................p. 3

Structure and Basement............................................................................................................................................................ p. 3 Foundation .....................................................................................................................................................................................................................................p. 3 Floor, Wall and Ceiling Framing ................................................................................................................................................................................................p. 4

Copyright © 2024 Foresight Property Inspections, LLC. All rights reserved. Software by ScribeWare. 2 General Comments Building Characteristics, Conditions and Limitations Type of Building : Single Family (1 story with Basement) Approximate Square Footage: 831 Approximate Year of Original Construction: 1930 Occupancy: Occupied

(GC-1) Significant Repairs/Concerns: I was called to this home to consult/inspect the work performed on the garage, which is being converted from a garage to a guest house. Several red flags were noted at the time of the inspection/consultation. I recommend contacting the ROC and the opinion of a third-party contractor as, in my opinion, this is subpar work and may need to be redone.

Structure and Basement Foundation Foundation Description: Poured concrete

(SB-1) Significant Repairs/Concerns: The concrete foundation was of poor quality, had significant sloping, and was very uneven. This did not appear to be professional work. I recommend repairing/replacing the foundation.

Significant, uneven foundation. At least an inch and a half of The floor to the bedroom had space between the outer edges significant sloping. to the center of the bathroom area foundation.

Copyright © 2024 Foresight Property Inspections, LLC. All rights reserved. Software by ScribeWare. 3 There was over an inch of gap This is the bedroom section of The concrete foundation did not from the outer edge to the the addition. have an adequate stem wall. center of the floor. Without the ground being regraded, the cladding will not meet the necessary clearance above the finished grade.

This was a detail on the prints for the perimeter stem wall and footing detail.

(SB-2) Due Diligence: Will there be any plans to correct the grading around the existing part of the garage, add flashing, or use another method to prevent water penetration and keep the cladding above grade at least 2-4 inches? I recommend inquiring about this information to prevent damage in the future.

Floor, Wall and Ceiling Framing Wall Framing: 2x4 Wall Sheathing: Plywood (Existing Portion), None (Addition)

(SB-3) Significant Repairs/Concerns: There were several red flags in the framing. It did not appear to be professional work, and I recommend repair/replacement of the framing. Examples of observations include but are not limited to:

The wall between the bedroom, This thin piece of wood closes The center of the wall is bowed and the bathroom is bowed. the gap on the north end of the at least an inch or more at the This appears to be due to the wall. center. foundation/concrete slab.

The south end of the wall is A gusset plate does not connect Multiple studs are cut short and within an inch of the truss. the bottom chord of the trusses not adequately installed. The at splices. side splice is not adequate, especially for a structure wall. If not corrected, this will cause cracking and ongoing repairs.

Many of the gaps between the Many of the gaps between the Bottom plates are damaged. studs and the top plate are 1 studs and the top plate are 1 With this much damage, an 1/2 inches. 1/2 inches. anchor may be needed on each side of the cut.

Copyright © 2024 Foresight Property Inspections, LLC. All rights reserved. Software by ScribeWare. 5 Closet Loction No gusset plates for the trusses Gusset plates were present on on one side. Both sides should the south side of the trusses. The have gusset plates at each trusses appear to be built and connection. not manufactured.

Gusset Plates coming loose. Damaged Truss Web General Loaction

No jack stud for header support. No header support for most of Here is an example of header the windows. The headers support. should be supported by a jack stud.

There was a damaged stud in General Loaction the existing structure.

There was no flashing for any of Windows was installed, and No flashing Installed the windows. cladding was in place, but no flashing was visible.

Property inspected for: Katy Horgan 1907 W. Holly St. Phoenix, AZ 85009

Inspection Fee W/ Report $350.00 $0.00 $350.00 PAID

Thank you for your business!

Foresight Property Inspections, LLC 714 N. Hassett Mesa, AZ 85207 480-694-7199

Foresight Property Inspections, LLC 480-694-7199 www.foresightpropertyinspection.com [email redacted]

Inspected by:

Gaps throughout framing at sole plate. Inspection Date: Inspection Date:

Trusses are homemade. Not engineered

Studs don’t reach top plate Inspection Date: Inspection Date: Inspection Date:

Single top plate Inspection Date:

Vertical seams not on truss

Header made of (2) 2x4

Gap

King stud too short was blocked Inspection Date: Inspection Date: Inspection Date: Inspection Date: Inspection Date: Inspection Date: Complainant: Katy Horgan 1907 W Holly St Phoenix, AZ 85009

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 September 12, 2024

License No. ROC 345270

Re:Complaint No. 2024-09017

WRITTEN DIRECTIVE FROM THE REGISTRAR

Dear Respondent:

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).

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

Sincerely,

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 105 Phoenix, AZ 85007

CC: Respondent Complainant

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C009 12/23 Complainant: Katy Horgan 1907 W Holly St Phoenix, AZ 85009

Compliance Jobsite General Notes: Photos taken with Pixel 6 Pro. Respondent not invited to CJSI

Compliance Findings:

Note:

Please review the complaint items listed above. If any of the items have not been corrected this complaint will be forwarded to the Registrar’s legal department and a citation may be issued.

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 105 Phoenix, AZ 85007

CC: Respondent Complainant

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013f 04/21 September 30, 2024

WARNING LETTER

Re: Complaint No. 2024-09017; License No. ROC 345270

Dear Respondent:

It appears that you may have violated A.R.S. § 32-1158(A). Under that statute, any contract for more than $1,000.00 between a contractor and a property owner must contain nine specific elements. Your contract is missing at least one of the required elements. For your reference, a copy of A.R.S. § 32-1158(A) is included here:

A.R.S. § 32-1158. Minimum elements of a contract A. Any contract in an amount of more than one thousand dollars entered into between a contractor and the owner of a property to be improved shall contain in writing at least the following information. 1. The name of the contractor and the contractor's business address and license number. 2. The name and mailing address of the owner and the jobsite address or legal description. 3. The date the parties entered into the contract. 4. The estimated date of completion of all work to be performed under the contract. 5. A description of the work to be performed under the contract. 6. The total dollar amount to be paid to the contractor by the owner for all work to be performed under the contract, including all applicable taxes. 7. The dollar amount of any advance deposit paid or scheduled to be paid to the contractor by the owner. 8. The dollar amount of any progress payment and the stage of construction at which the contractor will be entitled to collect progress payments during the course of construction under the contract. 9. That the property owner has the right to file a written complaint with the registrar for an alleged violation of section 32-1154, subsection A.

The contract shall contain the registrar’s telephone number and website address and shall state that complaints must be made within the applicable time period as set forth in section 32-1162, subsection A.

1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013f 04/21 The information in this paragraph must be prominently displayed in the contract in ten point bold type, and the contract shall be signed by the property owner and the contractor or the contractor’s designated representative.

This paragraph does not apply to a person who is subject to and complies with section 12-1365.

A failure to comply with A.R.S. § 32-1158(A) violates § 32-1154(A)(12), and that violation can constitute grounds to suspend or revoke your license. You need to review A.R.S. § 32- 1158(A) and make sure you are complying with its requirements.

The Registrar does not presently intend to pursue disciplinary action for the alleged violations. However, this warning letter does not preclude the Registrar from electing to pursue action against your license for these violations in the future.

Sincerely,

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 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 C013f 04/21 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C013f 04/21 Jobsite Inspection Notes

Case No.: 2024-09017 Investigator: Mike Wiskow Inspection Date: Wednesday, September 11, 2024 Inspection Time: 10:30 AM

Jobsite Address: 1907 W Holly St Phoeniix, AZ 85009

Complainant: Katy Horgan Respondent: Sun Valley General Not Present: Contractors LLC Not Present:

Jobsite General Notes: Photos taken with Pixel 6 Pro. Audio recorded with Pixel Pro 6 digital voice recorder.

Complaint Item: 1 - My project has stalled as the city inspector has visited and indicated several violations. Investigator’s Observation: Confirmed. The project is currently sitting at the framing stage. The current deficiencies include but are not limited to: Unauthorized trusses. (Not engineered). Single top plate. Proper top plate corners needed. Inadequate headers. Studs too short in several locations. Roof sheathing applied incorrectly. The project should be completed per plans, specifications and contract. All inspections should be signed off and CO obtained. Contractor should finish the project by appropriate means. 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. A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

Complaint Item: 2 - The concrete is not level causing gaps under the framing. 1700 W. Washington Street, Suite 105 · Phoenix AZ 85007-2812 602.542.1525 · Toll Free 877.692.9762 · roc.az.gov C011 12/23

Investigator’s Observation: Confirmed. There are large gaps under the bottom plates because the concrete is not level. The respondent shimmed the walls level. The walls should sit on load bearing concrete. Contractor should repair by appropriate means. 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. A.R.S. § 32-1154(A)(3) - R4-9-108(a) Workmanship

Mike Wiskow, Investigator 602 7716750 [email redacted] 1700 W Washington StSte 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 C011 12/23

Received 10/20/2024 ROC Legal

Response to Complaint Filed by Katy Horgan

Contractor: Sun Valley General Contractors LLC ROC License Number: 345270 Project Address: 1907 W Holly St, Phoenix, AZ 85009

Date: October 14, 2024

Dear Registrar of Contractors,

Regarding the complaint filed by Ms. Katy Horgan about the work completed at 1907 W Holly St, Phoenix, AZ, we want to address the allegations seriously and provide clarification. We will refer to key documents such as the Truss Type #1 Sealed Calculation Drawing (August 15, 2024) and the Proposal Print document. We will also discuss relevant developments, including Alin Ilie Ghetes’ emergency dental surgery on September 23, 24, and 25. Furthermore, I will outline the progress achieved before Mr. Ghetes terminated the project.

1. Work Completed

Before Mr. Ghetes was terminated, considerable progress had been made on the project, including but not limited to the following:

- All necessary plans and permits for the project have been obtained.

- The demolition work has been completed.

- Underground water lines, gas lines, and connections to the main sewer have been successfully installed.

- All windows for the structure have been installed.

- Foundation digging has been completed.

- All footers have been approved with green tags from the city.

- All stem walls have been approved with green tags from the city.

- All rebar and compaction work have been approved with green tags from the city.

- Approximately 85% of the framing and trusses have been completed.

- 75% of the electrical wiring home runs to the new panel have been completed. Received 10/20/2024 ROC Legal

- The trench for the underground connection from the main panel to the sub-panel has been completed.

Additionally, Ms. Horgan requested the landscaping, including the turf grass, to be restored after all underground work was completed. However, this task was not included in the original contract.

Lastly, the roof sheathing was temporarily installed to provide relief from the heat and was intended to be properly reinstalled once the trusses were fully in place.

2. Project Delays and Attendance Issues

• Response: The project experienced delays in late September due to Alin Ilie Ghetes's emergency dental surgery, which temporarily affected his project oversight. On September 27, 2024, Torsten Coulson, a competing general contractor, and Ms. Horgan's friend removed Mr. Ghetes from the project and asked him to leave the site. Subsequently, Mr. Coulson proposed to Ms. Horgan that he could finish the remaining work. Additionally, Ms. Horgan and Mr. Coulson requested inspections before the work was ready, causing unnecessary delays and impeding the project's progress. Despite these disruptions, considerable progress has been achieved, as detailed above. All work performed until Mr. Ghetes's dismissal complied with A.A.C. R4-9-108, which requires professional and skillful standards.

3. Allegations of Poor Quality and Incorrect Work

• Response: Ms. Horgan raised concerns about the trusses. The trusses were not replaced but were approved by a certified truss engineer, as verified by the Truss Type #1 Sealed Calculation Drawing (August 15, 2024). This approval ensured that the trusses met the required structural standards. The project followed the specifications outlined in A.R.S. § 32-1154, ensuring that contractual obligations were met.

The Proposal Print document outlines the project’s broader scope, including foundation work, plumbing, framing, roofing, and interior finishes(Proposal Print). These elements were completed in alignment with the contract and project documentation. The Floorplan confirms the layout of the guest house, while the Exterior Elevations specify materials and finishes, including the San Kote Stucco System(Floorplan)(Exterior Elevations).

4. Request for Receipts and Subcontractor Documentation

• Response: Ms. Horgan requested documentation for the subcontractors involved. In compliance with A.R.S. § 32-1158(A), we were in the process of gathering and providing the necessary documentation. We remain committed to ensuring transparency regarding all subcontractor engagements and the project's progress.

5. Compliance with Sealed Architectural Plans Received 10/20/2024 ROC Legal

• Response: The project was conducted closely following the sealed architectural plans. Any necessary modifications due to site-specific conditions were submitted for approval as required, ensuring compliance with A.R.S. § 32-1158(A), which mandates the inclusion of detailed work descriptions in contracts. The Exterior Elevations, Floorplan, and Proposal Print documents reflect the intended structure and layout(Floorplan) (Exterior Elevations)(Proposal Print).

6. Allegations Concerning Foundation and Structural Integrity

• Response: Ms. Horgan raised concerns regarding the foundation. The September 30, 2024, compliance inspection noted gaps between the framing and the uneven concrete foundation(20240930 C013 Compliance…). We had engaged a structural engineer to assess and address these issues, ensuring the foundation met all applicable code requirements, per A.R.S. § 32-1154(A). The plumbing layout was also reviewed to ensure full compliance with city codes and A.A.C. R4-9-108.

7. Concerns About Structural Components

• Response: Ms. Horgan raised concerns about certain structural elements, including framing, headers, and window flashing(Complaint Form.pdf - 20…)(20240930 C013 Compliance…). Licensed subcontractors addressed these concerns to ensure that the work adhered to Arizona construction codes, as required by A.R.S. § 32-1154(A).

8. Contract Compliance with A.R.S. § 32-1158(A)

• Response: We acknowledge receipt of the warning letter from the Registrar of Contractors, dated September 30, 2024, which cited potential violations of A.R.S. § 32- 1158(A)(20240930 C013f Warning …). At the time, we reviewed the contract with Ms. Horgan to ensure it met all statutory requirements, including clear work descriptions, contractor details, and payment schedules.

Closing Statement

We are committed to ensuring that all work completed before Mr. Ghetes' dismissal meets the required standards and contractual obligations. Considering his termination of the project, we kindly request an inspection to verify the work conducted up to that point and to ensure that all necessary corrections were made following Arizona construction codes.

Sincerely, Alin Ilie Ghetes Sun Valley General Contractors LLC Received 10/21/24, 7:46 AM State of Arizona Mail - Kate Horgan 10/20/2024 ROC Legal

Answers - AZROC <[email redacted]>

Kate Horgan message

Alin Ghetes <[email redacted]> Sun, Oct 20, 2024 at 9:34 AM To: [email redacted]

Hi. Here is the response to this citation. Please let me know what the next step is.

Alin 480-797-4030

attachments Response to Complaint Filed by Katy Horgan (1).pdf 95K 20241004 Citation and Complaint 2024-09017 MAILED.pdf 6900K

https://mail.google.com/mail/b/AEoRXRTtxlDigROL2WDGEjjxqi4t_rqUBmLYzMl3G000DkN9jB00/u/0/?ik=581c53cf5c&view=pt&search=all&permthid=t… 1/1 Inspection Date: Inspection Date: Inspection Date:

Gaps throughout framing at sole plate. Inspection Date: Inspection Date:

Trusses are homemade. Not engineered

Studs don’t reach top plate Inspection Date: Inspection Date: Inspection Date:

Single top plate Inspection Date:

Vertical seams not on truss

Header made of (2) 2x4

Gap

King stud too short was blocked Inspection Date: Inspection Date: Inspection Date: Inspection Date: Inspection Date: Inspection Date: 9/30/24, 3:28 PM State of Arizona Mail - Re: Written Directive

Michael Wiskow <[email redacted]>

Re: Written Directive messages

Alin Ghetes <[email redacted]> Fri, Sep 27, 2024 at 3:04 PM To: Michael Wiskow <[email redacted]> Cc: [email redacted]

Hi Sir. I had a very bad week and a half. My dad had a stroke a month ago and have been non stop Dr visits etc and I had Mouth Surgery on Tue and it kicked my but for 2 days. I’m asking to be able to work through the weekend to get the called into the city for inspection on Mon. Please please give me the weekend. Please call or email me back if that’s ok 480-797- 4030

On Thu, Sep 12, 2024 at 12:30 PM Michael Wiskow <[email redacted]> wrote: Please see attachment. An extension may be granted if substantial progress is shown. (framing signed off).

-- Mike Wiskow Investigator #217 AZ State Registrar of Contractors 602.771.6750

Katy Horgan <[email redacted]> Fri, Sep 27, 2024 at 6:43 PM To: Michael Wiskow <[email redacted]>

Dear Inspector Wiskow,

Alin has not put in the time, nor has he completed the tasks. The project is still not done correctly. There have been many days without any work being done, again. (I was also not communicated with about any health issues. He has given me excuses throughout this entire project. I believe I was too lenient at the beginning and he took advantage of me.

This project was to be completed in April. He has had ample time to complete this project correctly. The directive ended today. I am pretty upset at the moment, but wanted to get an email out.

I would like an inspection done for framing as the directive was to be completed today, by 5:00pm and it is not completed.

I left you a message. I am so frustrated and I don't know how to communicate correctly. I look forward to your assistance.

I'm attaching pictures taken today (and he did not show up today as well).

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https://mail.google.com/mail/u/0/?ik=e45caa793b&view=pt&search=all&permthid=thread-a:r-[number redacted]&simpl=msg-f:[number redacted]… 1/5 9/30/24, 3:28 PM State of Arizona Mail - Re: Written Directive

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https://mail.google.com/mail/u/0/?ik=e45caa793b&view=pt&search=all&permthid=thread-a:r-[number redacted]&simpl=msg-f:[number redacted]… 2/5 9/30/24, 3:28 PM State of Arizona Mail - Re: Written Directive

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[Quoted text hidden] --

Katy Horgan <[email redacted]> Mon, Sep 30, 2024 at 10:39 AM To: Michael Wiskow <[email redacted]>

Hi Inspector Wiskow,

I'm following up on this. Did you receive the email and the pictures? I have left you a few messages.

https://mail.google.com/mail/u/0/?ik=e45caa793b&view=pt&search=all&permthid=thread-a:r-[number redacted]&simpl=msg-f:[number redacted]… 3/5 9/30/24, 3:28 PM State of Arizona Mail - Re: Written Directive Can you please let me know how to proceed? I am unsure of the timeline and/or process. I feel a bit lost. I trusted him and he has continuously not been forthright. I know that homeowners are protected through the contractor's bond and the recovery fund? This is to be for my elderly parents and I've lost a substantial amount of money not being able to rent it. The backyard being torn up is causing me stress also. I take pride in my yard and paid a lot for the turf. I'm afraid it's been damaged beyond repair. I'm just lost and need some guidance.

Thank you, so much. [Quoted text hidden] --

Katy Horgan <[email redacted]> Mon, Sep 30, 2024 at 10:54 AM To: Michael Wiskow <[email redacted]>

Also, here is another report from a 3rd party inspector. I have so many concerns. :-(

Thanks for your time, again. [Quoted text hidden] --

1907 W. Holly St., Phoenix, AZ 85009.Inspection on Directive Daypdf.pdf 1202K

Michael Wiskow <[email redacted]> Mon, Sep 30, 2024 at 3:28 PM To: Alin Ghetes <[email redacted]> Cc: [email redacted]

The directive period has expired. Please see the attachments. [Quoted text hidden] -- Michael Wiskow Investigator #217 Arizona Registrar of Contractors 602.771.6750 [email redacted]

https://mail.google.com/mail/u/0/?ik=e45caa793b&view=pt&search=all&permthid=thread-a:r-[number redacted]&simpl=msg-f:[number redacted]… 4/5 9/30/24, 3:28 PM State of Arizona Mail - Re: Written Directive

attachments 20240930 C013f Warning Letter - Elements of Contract - 32-1158(A).pdf 133K 20240930 C013 Compliance Notes.pdf 166K

https://mail.google.com/mail/u/0/?ik=e45caa793b&view=pt&search=all&permthid=thread-a:r-[number redacted]&simpl=msg-f:[number redacted]… 5/5 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