[FoCHAT] CHATNews: Estimated Cost of Damage Evaluators 6/28/09

Sun Jun 28 11:48:01 CDT 2009

June 28, 2009 
Dear CHAT Members, 
1. Home Evaluations For the Road Home Program 
Photo legend from a newspaper article (highlighting added) 
... a home evaluation expert contracted by the Road Home Program, takes notes in Cheryle Collins’ home in the Little Woods Section of eastern New Orleans in January 2007. 
http://www.nola.com/news/index.ssf/2009/06/icfs_oversight_of_road_home_pr.html 

CHAT Response: The implication is that ICF’s home evaluation staff were generally experts. Of course, we cannot speak about all these staff. Some may have had very good qualifications and may have been allowed to do their job well. But the implication of that statement is that this was the norm. This is contrary to what applicants have told us about the background, qualifications, and conduct of the home evaluation staff at many meetings.   
It is also contradicted by the secrecy that surrounded these staff. 
Why if the home evaluation determinations were done by “experts,” was the database for home evaluations kept secret from housing advisors, who were there to help the applicants? 
Why were the procedures for doing damage estimate reports (Compensation Allowance Documents, CADs) not explained to most of the applicants whose grants were determined by a CAD? This lack of information and explanation was especially problematic for 40% of all applicants who do not have access to the internet.
Why were CAD reports of the estimated cost of damage done by these “experts” kept from very many applicants asking for them, sometimes for a year, when RH rules were that they were to be sent to the applicants after they were completed without the applicants even having to ask for them? 
Why did we get reports from many applicants that their friendly housing advisors told them it was useless to appeal a wrong house evaluation damage assessment or CAD report because applicants with good reasons to appeal damage assessments usually lost? 

Here are some comments from our third online CHAT survey about home evaluations done by ICF for the Road Home Program.  (The link to our survey can be found at http://chatushome.com ) 
CHAT Survey #3 Question 15. If Road Home decided that you had less than 51% damage, they estimated your house damage instead of giving you a house valuation. If you had an estimated cost of damage (also called cost estimate or CAD report) from Road Home, was it too low?  
76% said yes; 
 197 respondants answered the question 
193 skipped the question 
08/05/2008 I do not know about exact numbers on damages, however I do know that a number of 1 1/2 story homes similar to mine were classified Type 1 while RH refused to give me that classification 

08/06/2008 I have spoken to many neighbors and friends nearby with similar houses that were deemed over 50% but do not wish to give their names due to fear of being asked to return the grant. 

08/06/2008 This is all news to me. I have not received any information about these things 

08/06/2008 Neighbors with similar homes have been given grants based on the houses 
being classified as 51% damaged. These are 2 story homes like ours. These neighbors also had maximum insurance. Our home had the same amount of water and damage but was classified by Road Home as being less than 51% damaged. I want to appeal the decision that our home was damaged 
less than 51%. The property backs up to the 17th Street Canal and marinated in 5-6 feet of water. 

08/08/2008 The estimated cost of damage for the 4 condos in my building eligible for RH vary GREATLY & are inconsistent. According to RH, condo #1 (1312 sq ft) est cost of damage = $101,398; condo #2 (1132 sq ft) est cost of damage = $87,578; condo #3 (1312 sq ft) est cost of damage = $169,783.32; condo #6 (1132 sq ft) est cost of damage = $87,538. Why are condos #1 & #3 so different when they are the same layout? Why are condos #2 & #6 so much less than the other 2 when they are not much 
smaller? Why are the amounts so much less than pre-storm value (option#2) & the building burned down completely? 100% damage. 

08/13/2008 Our damage was estimated at 60,000, whereas our actual damage was close to 140. Our neighbor’s house to the left, which is the same size and design, was considered "totaled." 

08/14/2008 I fought over the est. of damage for 1.5 years and they finally adjusted it but then lowered my pre-storm value. 

08/18/2008 my house is the only house in my neighborhood that is considered <50% damaged. All others are >51%. Not logical at all especially being located 4 blocks from the 17th St. canal breach. 

08/20/2008 Neighbors had the same amount of damage but didn't have to have a CAD report. Road Home insisted that was the way we had to go. Not fair. 

08/21/2008 We were 16 feet above sea level. Our damage came from water from river, MRGO, and swamp areas in St. Bernard and Plaquemines Parish, thus not in the usual flood area. A large tree fell on the roof, which had just been replaced, so no insurance covered the flooding. We had just completed 
three years of internal home improvement. Age and physical conditions prevented our following up, as needed. We gutted the home, lost everything, and moved to our daughter's home in Knoxville. We are 
approaching 80, with three years of psychological counseling completed. What do we do now? We have received no written explanations from LRH. 

08/22/2008 Most of my neighbors were classified as a Type 1 and did not have to do 
the Estimated Cost of Damage. 

08/22/2008 My neighbor who lives directly across the street and several of my neighbor 
cost of damage was much higher than my with same amount of damage 

08/25/2008 The RH estimated my damages to be 25% compared to 99.9% damages of my neighbors. 
I would think almost 100% were considered over 51% damage. We are talking about the heart of Chalmette. 

02/02/2009 Most of my neighbors were over 51% damaged and Type I assessments. 
My home is Type 2, less than 51% even though it had 9 ft of water over two weeks. Bill H… says they cannot conclusively determine that the rotted wood subfloors and floor joist damages are due to Katrina, so they will not pay for foundation and structural repairs. 

04/11/2009 ROAD HOME CLAIMED I HAD LESS WATER THAN NEIGHBORS EVEN 
THOUGH OUR HOMES ARE THE SAME ELEVATION. 

04/14/2009 Every home 4 doors next to me left and right and across the street got all of their road home money .they can't believe we got nothing. Our first evaluator came to Baton Rouge and interviewed us said our home was liveable. We gave him the address, we told him we lived with this friend who took us in and we gave her a donation every month who passed in october 2008. We told him we did not live there but he turned it in that this was our address in baton rouge. In hurrying or oversight we signed not noticing ont he other page the wrong address was on the paper. That was the begining of our hell. 

Tue, Jun 16, 2009 9:31 AM RH initailly said $5,200 of damages. I have bill, receipts & invoices totalling $58,000. They re-did the cost of damages to $21,000. Two years later. They totally disreagrded my bills, cancelled checks etc. 
Sun, Jun 7, 2009 10:47 AM  2 story homes in our neighborhood were assessed at over 51% damaged. Our 2 story home was assessed at under 51%. Our home is similar to these homes. 

2. Applicants Are Still Being Told That Highly Detailed Rules Made Up by LRA or OCD Are Dictated By HUD 
At http://chatushome.com 
See the citation for HUD’s Rule of Maximum Feasible Deference 
Also see more information about our last newsletter. 
                “Mr. Rainwater said the 20% appraisal is a HUD rule and when he started in January 2008, the former administration had set a policy of no more than 20% and did not tell anybody. He said that he has tried to be very transparent about this process and told his team that they would write HUD. He went up to HUD National and met with the Secretary and program managers said down in Louisiana you are telling us that the differential can be no more than 20%. Louisiana Recovery Authority Board of Directors sent a letter to the HUD Secretary asking for clarification asking if they could exceed the 20% appraisal. Mr. Rainwater said HUD sent a letter back very clearly which was made public to the media that they cannot exceed 20% and if so chose to exceed it then it would come out of state general fund money. That was the clear guidance that received from HUD…. He said he was told that it was a HUD regulation because they use FHA's
 rule which is about 5%, but HUD said we will allow up to 20%, which may not be enough, but it is the rule that HUD set forth. Mr. Rainwater said he has two letters from HUD stating that and would be happy to provide them to the committee or the full legislature.” http://www.lla.la.gov/legislativeservices/advisorycouncil/  p. 7 - 8 

3. COX 10 TV’s Airing of the May 27 CHAT Meeting Focused on Our In-Process Complaint to the Office of the HUD Inspector General 
Thanks to Carleen Dunn and COX 10! 
Wed., June 10, Noon-1:30 PM; Fri., June 12, Noon-1;30 PM; Sun., June 14, 10:00-11:30; Mon., June 15, 8:00-10:00; Thurs., June 18, 8:00-10:30; Sat., June 20, 11:00-1:00;  Mon., June 22, 12 - 2 PM; Fri., June 26, 8-10 AM; Wed., July 1, 3 PM; Thurs. July2, 2:30 PM; Fri., July 3, 3 PM. 

Best wishes, 
Melanie Ehrlich 
Co-Chairman, Citizens’ Road Home Action Team (CHAT) 
http://chatushome.com 
chatlra at yahoo.com 

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