Jul 2 2009 19:27 arfa2/20e9 19:21 8589219186 DEPR PAGE 3/13 STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION CONSTRUCTION INDUSTRY LICENSING BOARD DIVISION. I DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, Petitioner, v. Case No. 2008-020498 KEVIN D. CLEVELAND, D/B/A KTG Builders, LLC., Respondent. ADMINISTRATIVE COMPLAINT Petitioner, DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, ("Petitioner"), files this Administrative Complaint before the Construction Industry .Licensing Board, against KEVIN D. CLEVELAND, ("Respondent"), and says: 1. Petitioner is the state agency charged with regulating the practice of contracting pursuant to Section 20.165, Florida Statutes, and Chapters 455 and 489, Florida Statutes. 2. Respondent is, and has been at all times material hereto, a Certified General Contractor in the State of Florida, having been issued license number CGC 1511242, which is in current and active status. GAOGC\Fortunas\New Format Admin. Complaints\Kevin Cleveland, 489.129( IX e)GMmyi) Casc# 2008-020498,doe 1 Jul 2 2009 19:27 arfa2/20e9 19:21 8589219186 DEPR PAGE @4/13 3. Respondent's last known addresses of record are 301 Kay larkin Dr. Apt. D5, Palatka, Florida 32177 and P.O. Box 726 Palatka, Florida 32177. 4. At all times material hereto, Respondent was doing business as KTG Builders, hereinafter (“KTG”). 5. At all times material hereto, Respondent possessed a current certificate of authority as required by Section 489,119(2) Florida Statutes, Qualified Business License #47887. 6. Section 489.1195(1) (a), Florida Statutes, provides that all primary qualifying agents for a business organization are jointly and equally responsible for supervision of all operations of the business organization; for all field work at all sites; and fox financial matters, both for the organization in general and for each specific job. 7. On or about March 14, 2007, Respondent entered into a contract with Raymond & Patricia Lee, hereinafter (“Lee”) to construct residential stucture on property located at 23014 NW 178" Place, High Springs, Florida 32655. 8. The total contract price was $338,400.00, of which Respondent has been paid approximately $267,590.00 or 79% of the contract price. 9. Respondent failed to pay the following subcontractor (s) or suppliers: Synergy Construction, for services rendered and/or materials supplied to the Lee project. GAOGC\Fortmas\New Format Admin, Complaints\Kevin Cleveland, 489.129(1)(g)()(m)@) Case# 2008-020498.doc 2 Jul 2 2009 19:27 arfa2/20e9 19:21 8589219186 DEPR PAGE 5/13 10. Respondent’s failure to pay above subcontractor (s) resulted in lien(s) being filed on Lee’s property. 11. Respondent performed approximately 32% percent of the work contracted for and has been paid approximately 79% of the contract price. 12. Respondent iast performed work on the Lee’s home on ‘or about December 22, 2007, and thereafter performed no work on the Lee project. 13. Respondent’s contract failed to notify the residential homeowner of. the Florida Homeowners’ Construction Recovery Fund. COUNT ONE 14. Petitioner realleges and incorporates the allegations set forth in paragraphs 1 through 13 as though fully set forth herein. 15. Section 489.1425, Florida Statutes, provides that: Any agreement or contract for repair, restoration, improvement, or construction to residential real property must contain a written statement explaining the consumer’s rights under the mecovery fund except where the value of all labor and materials does not exceed $2,500.00. 16. Based on the foregoing, Respondent violated Section 489,1239(1) (i), Florida Statutes, by failing in any material respect to comply with the provisions of this part or violating a rule or lawful order of the board, by having violated Section 489.1425, FPlorida Statutes. GAOGC\Fortimas\New Format Admin, Complaints\Kevin Cleveland, 489.129(1}(a)G)(m)(i). Case# 2008-020498. doc 3 Jul 2 2009 19:28 arfa2/20e9 19:21 8589219186 DEPR PAGE 46/13 COUNT TWO 17. Petitioner realleges and incorporates the allegations set forth in paragraphs 1 through 13 as though fully set forth hergin. 18. Based on the foregoing, Respondent violated Section 489.129(1) (4), Florida Statutes, by abandoning a construction project in which the contractor is engaged or under contract as a contractor. A project may be presumed abandoned after 90 days if the Contractor terminates the project without just cause or without proper notification to the owner, ineluding the reason for termination, or fails to perform work without just cause for 90 consecutive days. COUNT THREE 19. Petitioner realleges and incorporates the allegations set forth in paragraphs 1 through 13 as though fully set forth herein. 20. Based on the foregoing, Respondent violated Section 489.129(1)(g) (1), Florida Statutes, by committing mismanagement or misconduct in the practice of contracting that causes financial harm to a customer. Financial mismanagement or misconduct occurs when: valid liens have been recorded against the property of a contractor’s customer for supplies or services ordered by the contractor for the customer’s job. GAQGC\Fortunas\New Format Admin. Comptaints\Kevin Cleveland, 489,129(1)(e)G)(m)() Case# 2008-020498, doc 4 Jul 2 2009 19:28 arfa2/20e9 19:21 8589219186 DEPR PAGE 7/13 COUNT FOUR 21. Petitioner realleges and incorporates the allegations set forth in paragraphs 1 through 13 as though fully set forth herein. 22, Based on the foregoing, Respondent violated Section 489.129(1)(g) (2), Florida Statutes, by committing mismanagement er misconduct in the practice of contracting that causes financial harm to a customer. Financial mismanagement or misconduct occurs when: The contractor has abandoned the customer’s job and the percentage of completion is less than the percentage of the total contract price paid to the contractor as of the time of abandonment. COUNT FIVE 23. Petitioner realleges and incorporates the allegations set forth in paragraphs 1 through 13 as though fully set forth herein. 24. Based on the foregoing, Respondent violated Section 489.129(1)(m), Florida Statutes, by committing incompetence or misconduct in the practice of contracting. WHEREFORE, Petitioner respectfully requests the Construction Industry Licensing Board enter an Oxder imposing one or more of the following penalties: place on probation, reprimand the licensee, revoke, suspend, deny the issuance or renewal of the certificate or registration, require financial restitution to a consumer, impose an administrative fine not to GA\OGC\Fortunas\New Format Admin, Complaints\Kevin Cleveland, 489, 129 12) imi) Case# 2008-020498. dec § Jul 2 2009 19:28 @?/@2/2689 19:21 8589219186 DEPR PAGE exceed $10,000 per violation, require continuing education, assess costs associated with investigation and prosecution, impose any or all penalties delineated within Section 455,227(2), Florida Statutes, and/or any other relief that the Board is authorized to impose pursuant to Chapters 489, 455, Florida Statutes, and/or the rules promulgated thereunder. ge/13 th. Signed this ZG day of PC Found: August 26, 2008 Div. I: Bonuso & Thornton , 2008. James Fortunas Assistant General Counsel Florida Bar No. 21635 Department of Business and Professional Regulation Office of the General Counsel 1940 N. Monroe Street, Ste. 42 Tallahassee, FL 32399- 2202 GAOGC\Fortunas\New Format Admin. Complaints\Kevin Cleveland, 489,129(1e)7)(m)(i). Casci 2008-020498.doc 6

Docket for Case No: 09-003551