In addition to lack of proper workspace in front of the disconnect covered by Article 110 the following rule is also violated.
Was this another one that fell through the $$$ cracks?
440-14. Location Disconnecting means shall be located within sight from and readily accessible from the air-conditioning or refrigerating equipment. The disconnecting means shall be permitted to be installed on or within the air-conditioning or refrigerating equipment.
So, does this qualify as a piece of equipment that will be "likely to require examination, adjustment, servicing, or maintenance while energized" per 110.26(A)? You've got to shut it off to open the cover.
(George wins the prize, it already has some evidence of water damage inside. One good El Nino winter and it's history)