ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fifth Legislature

Second Regular Session

House: GE DP 12-0-0-1


HB 2152: residential contractors' recovery fund; eligibility

Sponsor: Representative Kavanagh, LD 23

House Engrossed

Overview

Modifies the criteria for eligibility for the Residential Contractors' Recovery Fund.

History

The Residential Contractors' Recovery Fund (Fund) is administered by the Registrar of Contractors in order to benefit a claimant who is damaged by an act, transaction, representation or conduct of a licensed residential contractor that is in violation of statute (A.R.S. § 32-1132).

The following claimants are eligible for an award from the Fund:

1)   An individual who meets outlined requirements;

2)   A limited liability company (LLC) to which all of the following apply:

a)   The LLC owns the residential real property that is damaged by the failure of a residential contractor to adequately build or improve a residential structure;

b)   All of the LLC members actually occupy or intend to occupy the residential real property; and

c)   A member of the LLC has not received monies from the Fund in the last two years.

3)   A trust to which all of the following apply:

a)   The trust is a revocable living trust;

b)   The trust owns the residential real property that is damaged by the failure of a residential contractor to adequately build or improve a residential structure;

c)   All of the trustors actually occupy or intend to occupy the residential real property; and

d)   A trustor has not received monies from the Fund in the last two years.

4)   A statutorily defined planned community or unit owners' association; and

5)   A lessee of residential real property that meets outlined requirements (A.R.S. § 32-1132).

Provisions

1.   Removes the requirement that a member of the LLC has not received monies from the Fund in the last two years for an LLC to be eligible for an award from the Fund. (Sec. 1)

2.   Repeals the requirement that a trustor has not received monies from the Fund within the last two years to be eligible for an award from the Fund. (Sec. 1)

3.   Specifies that, to be eligible for an award from the Fund, all of the LLC members actually occupy or will occupy the residential real property as their primary residence. (Sec. 1)

4.   ☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal NoteMakes technical and conforming changes. (Sec. 1)

5.    

6.    

7.   ---------- DOCUMENT FOOTER ---------

8.                     HB 2152

9.   Initials SJ  Page 0 House Engrossed

10.   

11.  ---------- DOCUMENT FOOTER ---------