Consumer Watch : Opinions mixed on the fate of TRCC
Jeryl Bennett paid about $130,000 for her new home four years ago. The appraised value now: $77,000. That dramatic decrease resulted from what Bennett says is a foundation problem, symptoms of which she started noticing shortly after she moved in. But the builder, Lennar Homes, and the Texas Residential Construction Commission have told her the foundation is solid. Consumer advocates and some lawmakers contend that situations like Bennett's highlight their contention that the TRCC is an anti-consumer agency.  Nearly two weeks ago, the Sunset Advisory Commission said what TRCC opponents have been wanting to hear: The agency should be abolished because it is "fundamentally flawed."...Alex Winslow, executive director of Texas Watch, said he will encourage the sunset commission to go a step further to create a new agency that will "impose real protection for homeowners that ensures builder accountability, quality building standards and real oversight of the home-building industry."

Consumer Watch : Opinions mixed on the fate of TRCC
Many applaud panel's suggestion to scrap home builder agency
By DAVID ELLISON

91 Comments
Read and comment on this article

Jeryl Bennett paid about $130,000 for her new home four years ago. The appraised value now: $77,000.

That dramatic decrease resulted from what Bennett says is a foundation problem, symptoms of which she started noticing shortly after she moved in. But the builder, Lennar Homes, and the Texas Residential Construction Commission have told her the foundation is solid.

"They are in denial, saying nothing is wrong with the floor," Bennett said. "I said, 'How in the world (are) rafters going to break if the floor is stable? How's my frame going to break if the floor is stable?' "  

                              
                    Jeryl Bennett shows poor construction in her Spring home last week.

Consumer advocates and some lawmakers contend that situations like Bennett's highlight their contention that the TRCC is an anti-consumer agency.

Nearly two weeks ago, the Sunset Advisory Commission said what TRCC opponents have been wanting to hear: The agency should be abolished because it is "fundamentally flawed."

The decision has brought praise from those who contend the TRCC was created to protect home builders instead of homeowners. Those who support the agency, including the bill's sponsor, disagree, saying it provides statewide building standards that did not exist in Texas and prevents unnecessary litigation.

The sunset report also sets up a fight in next year's legislative session between lawmakers who want to abolish the commission and those who want it to remain intact.

With the support of home builders, the TRCC was established to create a system to resolve disputes between builders and homeowners before they headed to court.

The advisory commission's report, however, said only 12 percent of cases in which the state has sent inspectors to review alleged defects have resulted in a "satisfactory offer or repair or compensation over the life of the program."

Duane Waddill, the TRCC's executive director, said the 12 percent figure has increased to about 34 percent in the last six months. He said that if the agency, which averages about 1,000 complaints a year, is abolished, it would clear about 28,000 builders from regulatory oversight.

Stronger powers

Stacia Aliche of Spring said TRCC got her builder to take care of a list of cosmetic problems after she was unsuccessful getting them fixed. She said the builder would tell her that repairs would be completed on a particular day, but workers never showed up.

"I found (TRCC) to be very successful," Aliche said. "Once the builder received the complaint from TRCC, the builder was at my house at 8 o'clock every day till everything was done."

Rep. Allan Ritter, D-Nederland, who sponsored the 2003 bill that created TRCC, said he opposes abolishing the commission because it gives people who cannot afford a lawyer an opportunity to seek relief from builders.

Ritter, who is in the building materials business, said he passed a bill last year to strengthen the agency's enforcement powers and give it more resources, including extra personnel.

Coleman for abolition

Also, he said, the changes place more public members on the agency's governing board, which has been dominated by builder interests.

State Rep. Garnet Coleman, D-Houston, who voted against the TRCC's creation, said he has sponsored amendments to eliminate the agency's funding. He said he will fight to abolish the agency in next year's legislative session because it was created "to shield home builders from being responsible by forcing people into binding arbitration."

Alex Winslow, executive director of Texas Watch, said he will encourage the sunset commission to go a step further to create a new agency that will "impose real protection for homeowners that ensures builder accountability, quality building standards and real oversight of the home-building industry."

Could be improved

Bennett said she first went to the TRCC in 2006 after Lennar worked on cracks in her ceramic tile 18 times. Then, she said, she started noticing hairline cracks in the walls, dips in her floors and warped doors. Later, a portion of her roof began to sag.

She said an engineer she hired determined that the foundation had moved substantially. The movement still is active, according to the engineer's report, which suggests that the foundation be repaired.

Lennar officials have agreed to fix her rafters and roof, but have maintained the foundation is not defective, Bennett said. They have refused to fix the floor, a decision Bennett is appealing with TRCC.

Bennett has refused the company's offer to repair the roof because she and her engineer say it would do no good to fix it if the foundation is not repaired.

Repeated attempts to reach a Lennar spokeswoman last week were unsuccessful.

Waddill said Bennett's case is still pending. He said an engineer that the state sent to inspect her home found no foundation defects.

Jeff Hunt, owner of Heritage Construction Service in Houston and board member of the Greater Houston Builders Association, said the TRCC could be improved, but he's not in favor of scrapping it.

"Four years into it, almost five, yes, there are some things that need to be worked out. And that's continually being done. We think abolishing the commission will do more harm than good."

This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
http://www.chron.com/disp/story.mpl/front/5978163.html
 
88 Comments