ALJDEC - Licensing

2024A-11813-CHC-ROC · Registrar of Contractors · 2025-05-01

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

Pamela K Fossen,

COMPLAINANT

v.

Crossroads Home Improvements LLC

License No. ROC 347744,

RESPONDENT

No. 2024A-11813-CHC-ROC

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: April 16, 2025

APPEARANCES: Complainant Pamela K. Fossen appeared on her own behalf. Eduardo Padron and Donald Cox II appeared on behalf of Respondent Crossroads Home Improvements LLC. Registrar of Contractors Investigator Lisa Melton appeared via Google Meet.

ADMINISTRATIVE LAW JUDGE: Adam D. Stone

EXHIBITS ADMITTED INTO EVIDENCE:

_____________________________________________________________________

FINDINGS OF FACT

Crossroads Home Improvements LLC (Respondent) is the holder of License No. 347744 issued by the Arizona Registrar of Contractors (Registrar).

On or about September 10, 2024, Complainant hired Respondent to perform work at her home in Glendale, Arizona.

On or about October 22, 2024, the Registrar received a Complaint against Respondent from Complainant alleging poor work with respect to project.

The Registrar assigned the complaint to Investigator Lisa Melton. The jobsite inspection was performed on December 5, 2024.

Investigator Melton then issued a Written Directive on or about January 2, 2025, which provided in pertinent part as follows:

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 February 4, 2025.

If the Respondent requires additional time due to delays outside their control, the Respondent should request additional time PRIOR to the expiration of this Written Directive. Respondent should provide sufficient documentation to substantiate the need for the request.

. . .

DIRECTIVE REQUIREMENTS

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

Compliance Item 1: Cuts are jagged and irregular causing gaps, exposed hardware, and leaks.

Investigator’s Observation: Specific workmanship concerns were not inspected and a water test was not performed. The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 2: Patio has 2 degree slope on east & 10 degree on west, causing 95% of water to pool in one corner and flow backward.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 3: That particular corner does not have the required footing depth, I'm almost positive.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 4: The header board is not the same length as the patio installation.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 5: I performed a water hose leak test and the patio failed. Water flows down the side of my house as well as other places.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 6: There are many holes with no screws as well as plain screws drilled through the ceiling without rubber gaskets.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 7: The rail was cut with something, maybe a sawzall, that scratched a ceiling panel and cut into the header board.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 8: Corner reinforcements on the top of the patio jut out and create a sharp blade on the corner edges.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 9: The manufacturer's website has patio post panels without gaps, but I was told those pictures were for advertising.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 10: There are caulking tubes, styrofoam, and other construction stuff in my recycling bin that I could be fined for.

Investigator’s Observation: Respondent is responsible for disposing of all construction debris by appropriate methods.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 11: I have some issues with the contract. It's a CA contract with provisions for a 10% down payment, and I paid 50%.

Investigator’s Observation: Per A.R.S. 32-1158.02 (E) The down payment section on the execution of a contract entered into pursuant to this section shall not require more than fifty per cent of the total contract. However, Respondent’s contract does not meet the minimum elements and they will be issued a Written Warning for Failure the Meet the Minimum Elements of a Contract. Respondent has already been issued a warning from the Registrar relative to this Complaint for failure to obtain the required permits and comply with building code.

Governing Rule:

A.R.S. § 32-1158 (A) Minimum elements of a contract.

Compliance Item 14: I complained about a lengthy gap in a ceiling panel. They placed an unsecured piece of aluminum above the panel to mask

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 15: I think when I requested a color change and didn't get it, I also didn't get the decorative rafters the salesman sold me

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity.

Compliance Item 16: Of all the misalignments I've pointed out, only two were corrected satisfactorily.

Investigator’s Observation: The work of the Respondent (attached patio) requires permit and inspection. The Registrar cannot inspect workmanship relative to work that is not complete or that has not been permitted/inspected as required by the building official. Respondent should complete their scope of work by appropriate methods and in accordance with estimate/contract, executed change orders, substantiated verbal agreements, specifications, drawings, building code/requirements of the local building authority (permit/inspection), manufacturer recommendations, industry and workmanship standards. Respondent should provide this Investigator with documentation of passed final permit/certificate of occupancy for the work they have performed.

Governing Rule:

ARS §32-1154 (A) (3), Violation of any rule adopted by the Registrar; Namely A.A.C. R4-9-108(b): A contractor shall perform all work in accordance with any applicable building codes and professional industry standards. For work to be performed in accordance with professional industry standards, a contractor shall use such skills, prudence, and diligence in performing and completing tasks undertaken that the completed work meets the standards of a similarly licensed contractor possessing ordinary skill and capacity....

On February 12, 2025, the Registrar issued a Citation against Respondent, charging possible violations of A.R.S. § 32-1154(A)(3), namely A.A.C. R4-9-108(B); and A.R.S. § 32-1154(A)(22).

On or about February 26, 2025, Respondent submitted an Answer to the Registrar.

On or about March 12, 2025, a Notice of Hearing was issued setting a hearing on April 16, 2025, at the Office of Administrative Hearings, an independent state agency.

At hearing, Investigator Melton testified as to the Registrar’s involvement and the above timeline and findings.

Investigator Melton testified that Respondent failed provide any evidence that the permit issue had been resolved.

Complainant testified that while she received a call from Respondent on January 17, 2024, there was no message left.

Further, Complainant testified that she did a public records request, and found no approved permit.

Mr. Pardon testified that he tried to call Complainant three times Mr. Pardon also detailed the number of times he contacted the building department to inquire as to the status of the permit. Further, Mr. Pardon testified that he needed to get a zoning letter in order for the final permit to be issued, but that Complainant has failed to allow him to come back to the residence.

Mr. Pardon testified that he was unaware of the need for a permit until the December 5, 2024 jobsite inspection despite receiving the Warning Letter on October 23, 2024 from Investigator Melton.

Administrative notice was taken of Respondent’s prior License record on May 1, 2025. Such prior License record reflected that Respondent’s License No. 347744 was first issued on September 20, 2023, and reflected that there was one open case, namely the present case.

CONCLUSIONS OF LAW

This matter lies within the Registrar’s jurisdiction. See A.R.S. § 32-1101 et seq.

Complainant bears the burden of proof to establish Respondent’s statutory violations by a preponderance of the evidence. See A.R.S. § 41-1092.07(G)(2); A.A.C. R2-19-119(A) and A.A.C. R2-19-119(B)(1); see also Vazzano v. Superior Court, 74 Ariz. 369, 372, 249 P.2d 837 (1952). “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.” Morris K. Udall, Arizona Law of Evidence § 5 (1960).

The preponderance of the evidence established that there was a violation of A.R.S. § 32-1154(A)(3), namely A.A.C. R4-9-108(B), as Respondent failed to obtain a permit prior to the commencement of the work.

Finally, the preponderance of the evidence established Respondent failed to obtain the permit prior to the expiration of the Written Directive. Therefore, Complainant established that Respondent failed to take appropriate corrective action following a written directive from the Registrar in violation of A.R.S. § 32-1154(A)(22).

RECOMMENDED ORDER

Based on the foregoing, it is recommended that on the effective date of the Order, the Registrar shall suspend Respondent’s License No. 347744 for a period of three days.

It is further recommended that the Registrar require Respondent to pay the sum of $500.00 as a civil penalty pursuant to A.R.S. § 32-1154(E).

It is further recommended that if Respondent fails to pay the entire amount of the civil penalty on or before thirty days following the effective date of the Registrar’s final order, the Registrar revoke Respondent’s license, effective on such deadline date. No future license shall be issued to any entity consisting of persons associated with Respondent, as defined in A.R.S. § 32-1101(A)(7), unless Respondent tenders payment of any outstanding prior civil penalty.

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, May 1, 2025.

/s/ Adam D. Stone

Administrative Law Judge

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

Tom Cole, Director

Registrar of Contractors

Pamela K Fossen

[email redacted]

Crossroads Home Improvements LLC

[email redacted]

By: OAH Staff