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See theTexas Judiciary & Civil Jurisprudence Arbitration Hearing, Video of Homeowners Testimony Advance to 1:55

Billions for Home Builder Corporate Welfare from Washington 
 New York Times, by Gretchen Morgenson
 
Read and Post Remarks in The Huffington Post 
American Banking News: Tax Breaks Worth Billions to Big Business
Call and Write President Obama and Your Elected Officials
Related Articles:  NY Times: Building Flawed American Dreams 
Rise and Fall of Predatory Lending and Housing

Richmond American Homes - 50 irritated homeowners claim shoddy construction
Monday, 04 September 2006

Builder denies blame despite claims of shoddy roof work
Richmond American Homes has built more than 125,000 houses across the country, raking in billions of dollars each year...Of the more than 10,000 houses the company has built in Tucson, several dozen stand in Continental Ranch, where residents claim shoddy roof construction has left them with leaks, rotting wood and even fungi growing inside their homes. More than 50 irritated homeowners filled Marana's Town Council chambers last week to voice their frustrations.

Builder denies blame despite claims of shoddy roof work

August 23, 2006 - Last spring, five Marana homeowners formed a group to confront what Fortune magazine recently called one of America's "most admired companies."

Richmond American Homes has built more than 125,000 houses across the country, raking in billions of dollars each year. The company prides itself on quality, "from the craftsmanship of your home to the service you receive," according to its Web site.

Of the more than 10,000 houses the company has built in Tucson, several dozen stand in Continental Ranch, where residents claim shoddy roof construction has left them with leaks, rotting wood and even fungi growing inside their homes.

More than 50 irritated homeowners filled Marana's Town Council chambers last week to voice their frustrations.

"We ask that no more homes be built in the town of Marana by Richmond American Homes," said the group's unofficial leader Ross Iwamoto, who lives at 6861 W. Rifle Way.

The residents went public with their complaints after several failed attempts to hold Richmond American accountable.

"This is just the beginning," said Iwamoto's neighbor Rick Herrier, adding that in the future the group might picket at Richmond American's office on Oracle Road.

Herrier faces a complete re-roofing, which could cost $14,000. Earlier this year, the University of Arizona professor noticed that his neighbor's roof contained several more cement tiles despite their houses being identical in size and design.

Richmond American's subcontractor, Headlee Roofing Co., stretched the tiles, Herrier believes.

General contractors usually will award roof work to the lowest-bidding subcontractor, which needs to cut its costs somehow, "and that's how this occurs," explained Charles Miller, president of Phoenix-based Rooftop Consultants Inc.

Miller last summer inspected about 20 roofs in Continental Ranch at the request of the homeowners, who paid hundreds of dollars for the independent evaluations. Miller found dozens of deficiencies and problems across the board, from inconsistencies in nail and tile size to the absence of proper closures, which would prevent rain from seeping into homes and causing damage.

"Most of it's for saving money," the roofer said.

Miller called the homeowners' dilemma unfortunate. Because it rains so infrequently in Southern Arizona, "it takes this long for these (problems) to be discovered."

Before Miller, Richmond American had a "third party" inspect some of the homes. Representatives from Headlee Roofing - the company responsible for the original installation of the roofs and the alleged source of the problems - determined all of the homeowners' problems stemmed from lack of "routine maintenance." In letters to the residents, Richmond American also made sure to mention that expired warranties would prevent the company from undertaking any repairs.

Residents claim that Richmond American's inspectors never lifted a tile on the roof to reveal deteriorating plywood and soaked insulation - they simply observed the roof from the ground. The company abandoned the inspections after only conducting a handful, according to residents.

Meanwhile, residents had leaks inside their homes, causing stains to streak across their ceilings. They resorted to pots and buckets to catch water cascading through their roofs.

A portion of Larry Gaskell's roof collapsed.

Each speaker at last week's council meeting relayed a personal experience.

"We have mushrooms growing in our roof," Stacey Lee said.

"This roof will not outlast some of the original light bulbs in my house," said Larry Shoof.

Jim Hemingway accused Richmond American of "perjury," citing the company's initial acknowledgement of problems. The company offered to make repairs before changing its stance and accepting no responsibility for the defective roofs, Hemingway and others have said.

At least nine residents have paid between $10,000 and $15,000 to have their roofs replaced. Several more wait their turn.

Council members sympathized with the group, particularly Patti Comerford and her father Jim Blake, both of whom live in Continental Ranch and have experienced similar problems.

"Every time it rains, I can walk out my front door and a get a free shower courtesy of Richmond American Homes," Blake said of leaks in a portion of the roof above his front door.

Headlee Roofing Co. failed to return a phone call for this story.

Richmond American representatives refused to answer specific questions regarding the homeowners' complaints but released a statement credited to Lou Smith, the company's regional president.

"Richmond American Homes is very concerned with the satisfaction of each of our homebuyers. We endeavor to construct our homes in accordance with applicable building codes and accepted construction practices and do not comment in the media on individual disputes with any of our homeowners."

The disgruntled Continental Ranch neighbors have sought help from the Better Business Bureau, the Southern Arizona Homebuilders Association and the town of Marana. Only the town seems interested in their plight.

In fact, SAHBA Government Liason Alex J�come in April sent what residents have called a "threatening" letter to Iwamoto. In the letter, J�come defends Richmond American, writing: "The contractor would not be responsible for owner neglect, modification or abnormal use."

J�come goes on to insinuate that the homeowners' "expert inspector" Miller had few, if any, credentials.

"I would hope you do not pursue any further allegations that SAHBA and its members are misrepresenting and defending questionable construction practices," J�come wrote.

For its part, the town has met several times with various homeowners and even offered the town council chambers for a meeting between residents and Richmond American. The builder declined the offer.

After failed attempts at a settlement, town officials urged residents to speak at last week's council meeting.

A group representative in May sat down with Richmond American officials and lobbyist Michael Racy, who has represented both the town of Marana and Richmond American.

The talks resulted in nothing more than "an inconclusive exchange of ideas and perspectives," Racy said.

Hours before last week's meeting, Town Manager Mike Reuwsaat received a letter from Richmond American's attorney, who claimed that residents tried to "coerce" the company into making repairs. The attorney stopped short of asking the town to prevent the residents from speaking at the meeting.

"We do not feel that a council meeting is the appropriate forum for allowing a group...to disparage the name of Richmond American Homes and would hope that the Mayor and Council Members would agree," the letter stated.

Iwamoto and others have begun circulating a petition, asking the town to ban Richmond American from building in the town. The company owns land and has pending projects in northern Marana, including a much-hyped subdivision in Marana's future downtown area.

"We have to stick to what code and state statute requires of us," Reuwsaat said. "If an applicant meets all the requirements, we can't exclude them."

The town will compile information about the roofing issues, check with other sources and send a letter back to residents with recommendations. Officials also will examine the town's building codes, Reuwsaat added.

"We don't hold the town of Marana responsible," Johnson said. "Marana can't inspect every last nut and bolt."

The group has consulted with attorneys and decided it has no legal recourse, mainly because warranties have expired on all the affected homes.http://www.explorernews.com/articles/2006/08/23/marana/marana01.prt

 
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