Welcome to the Orchid Board.
I am sorry on the loss of your Retriever.
I don't think your orchid is fatally ill. I suspect that bump is a root that is trying to emerge, and the hole is a spot where a root tried to emerge, but died.
I have some suggestions, but we also need some more information from you for a more complete answer. There is enough time to think a little before you need to act, so relax a little.
You mentioned temperatures of 35-40C / 95-104 F during the day. Is this inside your house, too? If not, what is the temperature where the orchid grows?
What is the ambient relative humidity inside your house?
Sphagnum moss can be used successfully for Phals, but many beginners struggle to get the watering right. Ideally the moss will be lightly moist most of the time, and never completely soggy. Some people wait to water a Phal in sphagnum moss until the moss is crispy dry.
Many beginners water too much in sphagnum, and the moss stays very wet. Roots often rot when kept like this. When it is very hot, though, sphagnum may be a reasonable choice, since coarse bark might dry out too fast under such circumstances. I would probably use sphagnum moss for my Phals if my growing area were routinely in the 35-40C range.
Most orchids come to market having been in the pot for 2 years or so, and it is time to repot very soon after arrival. The moss in your pot looks pretty old to me. Phals can be repotted at almost any time, so now would be a good time to do so.
Your plant's leaves are wrinkled in a way that makes me think it's dessicated. Is the moss completely dry when you go to water? Watering once a week in temperatures like yours is probably not enough. Fortunately Phals are able to withstand a long spell of inadequate watering, though their leaves may wrinkle badly.
New roots also will struggle when it's very hot, with low humidity, and infrequent watering. I suspect this is what happened to cause the black hole and the black bump.
Once I know your ambient temperatures and humidity, I will be able to make some suggestions for how to repot.
You will probably also find a sticky thread here in the beginner's forum interesting. Click on Forums in the left menu, then Beginners, then look at the top section of sticky threads. Read some of the messages in the thread The Phal Abuse Stops Here.
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