Oct 30 2009 10:29 laf29/2889 ad: ae 8584146749 DEPR OGA PAGE 99/15 FILED Department of business and Professional Repulntion CLERK Date Deputy Agency Clerk Brandrn Nichols 2/12/2008 Fila # STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION ELECTRICAL CONTRACTORS’ LICENSING BOARD DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, Petitioner, Vv. ARNALDO DELGADO d/b/a ARNOLD J. ELECTRIC, Inc. Respondent. / ADMINISTRATIVE COMPLAINT Petitioner, DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION, (“Petitioner”) before the Bleectrical Contractors’ Licensing Board against Case Number 2007-064564 files this Administrative Complaint Arnaldo Delgado d/b/a Arnold J. Electric, Inc. (“Respondent”) and says: 1. Petitioner ig the state agency charged with regulating the practice of electrical contracting pursuant to section 20.165, Flerida Statutes, and chapters 455 and 489, Part 1 Florida Statutes. 2. Respondent is, hereto, a licensed REGISTERED ELECTRICAL CONTRACTOR in the of Florida, having been issued license number ER 15306. 3. Respondent’s address of record is 68658 Southwest Court, Miami, Florida 33193. ” GAOGC\Professions Baardstelestrical ACA2O0R Delgado, Arnaldo 2007-0645 64\AC dlc and has been at all times material State 159 Oct 30 2009 10:29 18/29/2889 4:88 g58d146749 DEPR OGA PAGE 10/15 4. Respondent is the Registered Agent and Officer/Director of Arnold J. Electric, Inc. an Respondent routinely subcontracted electrical wark to Pedro Machuat (“Machuat”). 6. Machuat is not a duly registered or certified electrical contractor in the State of Florida. 7. From 2003 to 2006, Arnold J. Rlectric, Inc. reported fo the Interna] Revenue Service compensation paid to Machvat using Form 1099-MIS5c. 8. Form 1O89-MISC i6 customarily used by companies to report compensation paid to non-employees for tax purposes. 9, From 2003 to 2006, each Form 1099-MISC from Arnold J. Electric reported no Federal Income Tax or F.1.C.A tax withheld from compensation paid to Machuat. “ 10. Section 489.516(2), Florida Statutes, states “no person who is not certified or registered shall engage in the business of contracting in this state.” i. Section 489.505(9), Florida Statutes, defines contracting as “engaging in business as a contractor or performing electrical or alarm work for compensation and includes, but is not limited to, performance of any of the acts found in subsections (2) and (12), which define the services which a contractor is allowed to perform. The attempted sale of contracting services and the negotiation or bid for a contract GAOGO\Professinns Boards\electricah AC Z008\Delgade. Amaldo 2007-064564\AC. doc Oct 30 2009 10:29 1la/29/2689 84:88 8584146749 DEPR OGA PAGE 11/15 on these services also comstitutes contracting. If the services offered require licensure or agent qualification, the offering, negotiation for a bid, or attempted sale of these services requires the corresponding licensure.” 12. Section 489.505(12), Florida Statutes, defines an electrical contractor as “a person who conducts business in the electrical trade field and who has the experience, knowledge, and skill to install, repair, alter, add to, or design, in compliance with law, electrical wiring, fixtures, appliances, apparatus, raceways, conduit, or any part thereof, which generates, transmits, transforms, or utilizes electrical energy in any form, including the electrical installations and systems within plants and substations, all in compliance with applicable plans, specifications, codes, laws, and regulations. The term means any person, firm, or corporation that engages in the business of electrical contracting under an express or implied contract; or that undertakes, offers to undertake, purports to have the capacity to undertake, or submits a bid to engage in the business of electrical contracting; or that does itself or by or through others engage in the business of electrical contracting.” 13. Section 489.503(1), Florida Statutes, provides an exemption from licensure for “an employee of a certificateholder, registrant, or business organization GAOGC\Professions Roards\electricall AC\2008\Nelgado, Arnaldo 2007-0645 64\AC. dos ua Oct 30 2009 10:30 laf29/2889 ad: ae 8584146749 DEPR OGA PAGE 12/15 authorized to engage in contracting whe is acting within the scope of the license held by that certificateholder or registrant and with the knowledge and permission of the licenseholder.” The statute defines an employee as “a person who receives compensation from, and is under the supervision and ceantrel of, an employer who reqularly deducts the F.1.C.A and withholding tax and provides workers’ compensation.” 14. Machuat does not meet the exemption for employees of certified electrical contractors because Respondent did not regularly deduct &.2.C.A and withholding tax from Machuat’s compensation reported to the Internal Revenue Service. Therefore, Machuat needed to be licensed ta perform electrical cantracting work. 15. Although Machuat was not Respendent’s employee, Respondent regularly allowed Machuat to perform electrical work by assigning Machuat to electrical jobs while knowing that Machuat was not a certified or registered electrical contractor. 16. On December 18, 2007, in response to the investigation, Respondent submitted a signed letter to the Department stating that Machuat worked for Arnold J. Electric, Inc. as an Electrical Helper and as a Self Employee for only a few weeks in 2002. 17. On July 21, 2007, Respondent submitted a signed and notarized affidavit to the Department in Machuat’s application GAOGC Professions Boards\electricaKAC\2008\Nelgado, Arnaldo 2007-064564\AC. doc Oct 30 2009 10:30 laf29/2889 ad: ae 8584146749 DEPR OGA PAGE 13/15 for an electrical license stating that Machuat worked for Arnold J. Blectric, Inc. in a Supervisory Position for four (4) years. 18. 1099-MISC forms for tax years 2003, 2004, 2005, and 2006 were provided to the Department in Machuat'’s application for an electrical license showing that Machuat received compensation from Arnold J. Electric for each of the mentioned Tax years. COUNT ONE 19, Petitioner realleges and incorporates by reference the allegations set forth in paragraphs one (1) through sighteen (18) as though fully set forth herein. 20. Section 489.532(1) (4), Florida Statutes, states “performing any act which assists a person or entity in engaging in the prohibited uncertified and unregistered practice of contracting, if the certificateholder or registrant knows or hes reasonable grounds to know that the person or entity was uncertified and unregistered shall constitute grounds for disciplinary actions as provided in subsection (2).” 21. Based on the following, Respondent has violated Section 489.533(1) (3), Plorida Statutes, by subcontracting electrical work to an unlicensed individual. COUNT TWO 22, Petitioner realleges and incorporates by reference the allegations set forth in paragraphs one (1) through eighteen GAQGC\ Professions Boards\eicctrica NAC 2008\ Delgado, Arnaldo 2007-064 564\AC clog Oct 30 2009 10:30 1la/29/2689 84:88 8584146749 DEPR OGA PAGE 14/15 (18) as though fully set forth herein. 23. Section 489.531(1)(£), Florida Statutes, states that “a person may not knowingly give false or forged evidence to the department, the board, or a member thereof.” 24. Based on the foregoing, Respondent has violated Section 489.531(1) (f), Florida Statutes, by knowingly submitting a letter to the Department claiming that Machuat worked for Arnold J. Electric, Inc. for only a few weeks, when Respondent submitted notarized paperwork to the Department that showed Machuat worked for Arnold J. Electric, Inc. for four (4) years. WHEREFORE, Petitioner respectfully requests the Electrical Contractors’ Licensing Board enter an Order 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 correction, impose an administrative fine not to exceed $5,000 per violation, require continuing education, assess costs associated with investigation ‘and prose@cution, impose any or all penalties delineated within chapters 455 and 489 Part II, Florida Statutes, and/or any other relief that the Board is authorized to impose pursuant to chapters 489 and 455, Florida Statutes, and/or the rules promulgated thereunder. GAQGC\Professions Boardsiclectrical\AC\Z008\Delgado, Arnaldo 2007-064564\AC doc Oct 30 2009 10:30 laf29/2889 ad: ae 8584146749 DEPR OGA PAGE Signed this 3 day of Euan ions 2004, CHARLES W. DRAGO, Secretary Department of Business and Professional Regulation Chea C. Parson Assistant General Counsel FL Bar No. 0016869 Department of Business and Professional Regulation 1940 North Monroe Street, Ste. 42 Tallahassee, FL 32399-0972 (850) 410=+1537 Telephone (850) 414-6749 Pacsimile POP Date: PCP Members: LP/cag L- a) Pienres Bedemere i ja i lo G GAQGC\ Professions Boardsi¢lectrical\ AC\2ZNOR Delgado, Amulde 2007-06456NAC. doc 15/15

Docket for Case No: 09-005983