Guest guest Posted February 13, 2002 Report Share Posted February 13, 2002 February 6, 2002 Honorable Delahunt U. S. Congress Washington, DC Dear Congressman Delahunt; A few years ago, I had the opportunity to watch a few minutes of the House Banking Sub-Committee hearing on H.R. 3899, the American Homeownership Act of 1988. In investigating the inspection process of the legislation, I discovered that there is no legal requirement for any inspections for new home construction. The only requirement is that a potential home buyer may use the services of a private home inspector. While this approach is a good start, it, by no means, goes far enough to protect the prospective homeowner, the bank providing the loan or the Federal agency insuring the loan. More is needed to protect all involved. I speak on this issue as an individual who has seen the entire inspection process be nothing more than a shame upon the home buyer. My family has lost over five hundred thousand dollars due to illegal and incompetent inspections. My family's health and safety has also been placed at risk due to these illegal acts. These acts were made possible due to the lack of any, at the local/state/federal level, laws to protect American citizens from the largest issue of consumer/bank fraud in history. We have already found millions of dollars of illegal/unsafe/unhealthy construction and other millions of dollars of failed banks/credit unions that were involved with this construction. Many home owners, such as we, have lost their entire lives savings. All citizens are paying to bail out these failed lending institutions as well as the retirement pensions of the inspectors that allowed this illegal construction. Most of the home owners also have to pay property taxes on property that the local/state government know has no value. Some people may have even lost their lives due to this illegal construction. In an effort to prevent this illegal construction from continuing, I have made the following, proposed, additions to H.R. 3899. See enclosed. My reasoning for this proposal is that unless you provide a severe monetary penalty when local/state inspectors knowingly allow illegal construction and their respective government employers know but do nothing about it, nothing will ever happen. By placing a high dollar cost on these illegal acts will force the local/state governments to insure that there employees enforce all the laws they were hired to. This does not penalize a local/state inspector who, unknowingly or by human error, allows illegal construction to occur. It only penalizes those inspectors that are incompetent and/or corrupt. No Americans should have to suffer this type of injustice from their government, at any level, as we have. When you next campaign on the Cape, we will meet with you and are willing to testify before your any House Committee on this issue by using our story and all of the documentation we have been able to gather. Our story, and others like it, is a compelling reason for the U. S. Government to finally take action to protect the citizens. This action must make local/state government responsible to individual citizens who have suffered financial loss due to illegal acts of these local/state governments employees. Anything less would continue the insult we all face. Thank you for your time in this matter. Should you have any questions or require further information, feel free to contact me. Yours Truly, HADD – (Homeowners Against Deficient Dwellings) Ken Moulton, Co-President CT., MA., NH., NY. And RI. State Chapters E-Mail: themoultons@... 203.(a)(1)(1)(A) " (1) in regards to new home construction, the prospective mortgagor must utilize and reliable upon a completed and signed building permit and a signed Certificate Of Occupancy from the local or state regulator of new building standards, health and safety compliance's. The Certificate Of Occupancy will constitute an Implied Warranty for the Mortgagor " . 203.(a)(1)(1)© " (1) if the municipal/state inspection referred to in subparagraph (A)(1) is found, at any later time, to have not uncovered, reported or, (due to a lack of due diligence, corruption or malice) allowed sub- standard or illegal building practices or unsafe/unhealthy to have occurred, the local/state inspectors and municipal/state government that employs them will be considered legally liable to the mortgagor for the following specified damages: (a) if the local government inspector is responsible for the problems referred to in subparagraph ©(1), the municipal government that employs said inspector will: (1) pay the mortgagor the sum of the entire mortgage, interest the mortgagor paid to date and interest of 12% per year on the total amount; and (2) pay the mortgagor the sum of five thousand dollars a month commencing with the date on the certificate of occupancy with interest of 12 % per year on the annual amount. ( if the state government inspector is responsible for the problems referred to in subparagraph ©(1), the state government that employs said inspector will: (1) pay the mortgagor the sum of the entire mortgage, interest the mortgagor paid to date and interest of 12 % per year on the total amount; and (2) pay the mortgagor the sum of ten thousand dollars a month commencing with the date on the certificate of occupancy with 12 % interest per year on the annual amount. © should an inspection referred to in subparagraph (A)(1) have been performed by both a local and state inspector, and both inspections fall under subparagraph ©(1), the penalties referred to in subparagraphs ©(1)(a)(1) and (2) through subparagraphs ©(1)((1) and (2) will apply. " . Quote Link to comment Share on other sites More sharing options...
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