FILED © SEP 2.5 2008 Chief Financial Officey Docketed by: ALEX SINK CHIEF FINANCIAL OFFICER STATE OF FLORIDA IN THE MATTER OF: PROINT CORPORATION Case Number: 89324-07-WC FINAL ORDER THIS PROCEEDING came on for final agency action and Alex Sink, Chief Financial - Officer of the State of Florida, or her designee, having considered the record in this case, including the Stop-Work Order and Order of Penalty Assessment and the Amended Order of Penalty Assessment served in Division of Workers’ Compensation Case No. 07-005-D2, and being otherwise fully advised in the premises, hereby finds that: 1. On January 9, 2007, the Department of Financial Services, Division of Workers’ Compensation (hereinafter “Department”) issued a Stop-Work Order and Order of Penalty Assessment in Division of Workers’ Compensation Case No. 07-005-D2 to PROINT CORPORATION. The Stop-Work Order and Order of Penalty Assessment included a Notice of Rights wherein PROINT CORPORATION was advised that any request for an administrative proceeding to challenge or contest the Stop- Work Order and Order of Penalty Assessment must be filed within twenty-one (21) days of receipt of the Stop-Work Order and Order of Penalty Assessment in accordance with Sections 120.569 and 120.57, Florida Statutes. 2. On January 10, 2007, the Stop-Work Order and Order of Penalty Assessment was served by personal service on PROINT CORPORATION. A copy of the Stop-Work Order and Order of Penalty Assessment is attached hereto as “Exhibit A” and incorporated herein by reference. 3. PROINT CORPORATION, failed to answer the Stop- Work Order and Order of Penalty Assessment or request a proceeding in accordance with Sections 120.569 and 120.57, Florida Statutes. 4. On January 23, 2007, the Department issued an Amended Order of Penalty Assessment in Case No. 07-005-D2 to PROINT CORPORATION. The Amended Order of Penalty Assessment assessed a total penalty of $567,642.64 against PROINT CORPORATION. The Amended Order of Penalty Assessment included a Notice of Rights wherein PROINT CORPORATION was advised that any request for an administrative proceeding to challenge or contest the Amended Order of Penalty Assessment must be filed within twenty-one (21) days of receipt of the Amended Order of Penalty Assessment in accordance with Sections 120.569 and 120.57, Florida Statutes. 5. On January 24, 2007, the Amended Order of Penalty Assessment was served on PROINT CORPORATION by personal service. A copy of the Amended Order of Penalty Assessment is attached hereto as “Exhibit B” and incorporated herein by reference. 6. On February 13, 2007, PROINT CORPORATION served a Petition for Hearing on the Department. The Petition for Hearing was forwarded to the Division of Administrative Hearings on February 19, 2007. 7. On July 27, 2007, the Department issued a subsequent Amended Order of Penalty Assessment to PROINT CORPORATION, in Case No. 07-005-D2. The Amended Order of Penalty Assessment assessed a total penalty of $454,594.17 against PROINT CORPORATION. The Amended Order of Penalty Assessment was filed with the Division of Administrative Hearings, which granted the motion to amend the penalty, and served on counsel for PROINT CORPORATION. A copy of the Amended Order of Penalty Assessment is attached hereto as “Exhibit C” and incorporated herein by reference. 8. Prior counsel for PROINT CORPORATION communicated the Department PROINT CORPORATION’; intention of entering into a Payment Agreement Schedule for Periodic Payment of Penalty, although PROINT CORPORATION has been unresponsive to the Department. 9. On October 19, 2007, the Division of Administrative Hearings issued an Order Granting Motion To Withdraw as Counsel For Petitioner And Order For Petitioner To Show Cause Why This Case Should Not Be Closed. 10. On November 19, 2007, the Division of Administrative Hearings issued an Order Closing File, relinquishing jurisdiction over the-matter to the Department for final disposition. A copy of the Order Closing File is attached hereto as “Exhibit D” and incorporated herein by reference. 11. Despite a former expression of interest in entering into a Payment Agreement. Schedule for Periodic Payment of Penalty, PROINT CORPORATION has been unresponsive to the Department and the Department has been unable to locate PROINT CORPORATION. FINDINGS OF FACT 12. The factual allegations contained in the Stop-Work Order and Order of Penalty Assessment issued on January 9, 2007, and the Amended Orders of Penalty Assessment issued on January 23, 2007, and July 27, 2007, which are fully incorporated herein by reference, are hereby adopted as the Department’s Findings of Fact in this case. CONCLUSIONS OF LAW 13. Based upon the Findings of Fact adopted herein, the Department concludes that PROINT CORPORATION violated the specific statutes and rules alleged in the Stop-Work Order and Order of Penalty Assessment and the Amended Orders of Penalty Assessment and hereby adopts the violation(s) charged in the Stop-Work Order and Order of Penalty Assessment and the Amended Orders of Penalty Assessment as the Conclusions of Law in this case. PENALTY IMPOSED 14. The dismissal of the petition for hearing submitted in reference to the Stop-Work Order and Order of Penalty Assessment and the Amended Orders of Penalty Assessment, taken together with the Findings of Fact and Conclusions of Law adopted herein, constitute grounds for the Chief Financial Officer to impose the penalty and order the cessation of business operations as set forth herein. IT IS THEREFORE ORDERED that: a. PROINT CORPORATION shall immediately pay the total penalty of $454,594.17 in full to the Department of Financial Services for deposit into the Workers’ Compensation Administration Trust Fund; and b. PROINT CORPORATION shall immediately cease all business operations in the State of Florida until such time as the Department issues an order releasing the Stop-Work Order and Order of Penalty Assessment. The Department shall not issue an order releasing the Stop- Work Order and Order of Penalty Assessment until PROINT CORPORATION has come into compliance with the coverage requirements of Chapter 440, Florida Statutes, and has paid the total penalty of $454,594.17 to the Department. DONE and ORDERED thiso@5_ day ot aplombec , 2008. pbb LO IN DEPUTY CHIEF FINANCIAL OFFICER NOTICE OF RIGHTS Any party to these proceedings adversely affected by this Order is entitled to seek review of this Order pursuant to Section 120.68, Florida Statutes, and Rule 9.1 10, Florida Rules of Appellate Procedure. Review proceedings must be instituted by filing a Notice of Appeal with the General Counsel, acting as the agency clerk, at 612 Larson Building, Tallahassee, Florida 32399-0333, and a copy of the same and filing fee with the appropriate District Court of Appeal within thirty (30) days of rendition of this Order. COPIES FURNISHED TO: KENNETH L. MINERLEY, ESQ. BLOCH, MINERLEY & FEIN, P.L. 980 N. FEDERAL HIGHWAY SUITE 412 BOCA RATON, FLORIDA 33432 KATHLEEN PETRACCO FLORIDA DEPARTMENT OF FINANCIAL SERVICES DIVISION OF COMPLIANCE : 3111 SOUTH DIXIE HIGHWAY SUITE 123 WEST PALM BEACH, FLORIDA 33405 NESTOR AMORTEGUI 5300 NW 12 AVENUE FORT LAUDERDALE, FLORIDA 33309 FEB-13-2007 12:32 DIV OF WC WPB 561 837 5416 P.@5712 STATE OF FLORIDA, DEPARTMENT OF FINANCIAL SERVICES DIVISION OF WORKERS' COMPENSATION STOP-WORK ORDER No.: 07-005-D2 ISSUANCE DATE: 1/9/2007 EMPLOYER NAME; Proint Corporation FEIN: 650954525 EMPLOYER ADDRESS: 5300 NW 12th Ave Bay 7 CITY: Fort Lauderdale STATE: FL ZIP: 33309 WORKSITE POSTING ADDRESS: 6302 SE Canterbury Lane CITY; Stuart STATE: FL ZIP; 34997 INDUSTRY OF EMPLOYER: fl Construction oO Non-construction im Agriculture STOP-WORK ORDER Pursuant to section 440.107, F.S., the above-referenced Employer is hereby ORDERED TO CEASE ALL BUSINESS OPERATIONS FOR ALL WORKSITES IN THE STATE based on the following violation(s): (W] Failure to secure the payment of workers’ compensation in violation of sections 440,10(1), 440.38(1), and 440, 107(2) F.S., by: . A failing to obtain coverage that meets the requirements of chapter 440, F. S., and the Insurance Code; materially understating or concealing payroll; materially misrepresenting or concealing employee duties so as to avoid proper classification for premium calculations; {J materially misrepresenting or concealing information pertinent to the computation and application of an experience rating modification factor. ; Failure to produce réquired business records within 5 business days in violation of section 440.107(7)(a), F.S. Fallure to produce required documents within 3 business days in violation of section 440.05(11), F.S. THIS STOP-WORK ORDER MAY BE AMENDED TO INCLUDE ADDITIONAL VIOLATIONS AND SHALL REMAIN IN EFFECT UNTIL THE DIVISION ISSUES AN ORDER RELEASING THE STOP-WORK ORDER FOR ALL WORKSITES. IF THE EMPLOYER CONDUCTS ANY BUSINESS OPERATIONS IN VIOLATION OF THIS STOP-WORK ORDER, A PENALTY OF $1,000.00 PER DAY FOR EACH DAY OF VIOLATION SHALL BE ASSESSED. ORDER OF PENALTY ASSESSMENT: A penalty against the Employer Is hereby ORDERED in an amount: Co] Equal to 1.5 times the amount the employer would have paid in premium when applying approved manual rates to the employer's payroll during periods for which it failed to secure the payment of workers’ compensation required by this chapter within the preceding 3-year period, or $1,000, whichever is greater. Section 440.107(7)(d). F.S. (Up to $5,000 for each employee who the Employer misclassified as an independent contractor. Sections 440.10(1)() . and 440.107(7)(f), F. 8. The penalty may be amended until a Final Order or an Order of Conditional Release fram Stop-Work Order is issued. Pursuant to section 440.107(11), F.S., the Department may initiate lien proceedings to collect any penalty due that has not been paid. In addition, the Department may refer any unpaid penalty that is due to a collection agency fer the initiation of proceedings to collect the unpaid penalty. CERTIFICATE OF SERVICE Pursuant to saction 440,107(4), F.S., Kathleen P. Petracco, Compliance investigator Rame an ie served a true copy of this Stop-Work Order: [i] By posting at the Worksite: Date: 1/9/2007 Time, 12:10:27 PM - gener: ESt6y hand delivery: Date: Lio faeerime: (44 (by certified mail: Date: nal EXHIBIT A S61 837 5416 = P.B6712 FEB-13-2887 12:32 ~ Source:  Florida - Division of Administrative Hearings