What additional amount must a contractor repay to the Residential Contractors recovery fund besides the awarded claim?

In Arizona, when a contractor is required to repay an awarded claim from the Residential Contractors Recovery Fund, they must also repay an additional amount that accrues interest. The law dictates that this interest is set at a rate of 10% per annum. This stipulation is meant to ensure that funds are not only recouped for claims made against contractors but also that they are compensated for the time value of money that was lost due to the claim.

Thus, when a contractor is ordered to repay, in addition to the actual awarded claim amount, they must include this 10% annual interest on the repayment, reflecting the legal framework governing such financial responsibilities within the context of residential contracting in Arizona. This provision helps maintain the integrity and availability of the recovery fund while also discouraging contractors from neglecting their financial obligations to clients and consumers.