State Lawmakers Strive to Resolve Crumbling Foundations

May 22, 2017

NewGuglielmo 2017-05-22 Crumbling Foundation Press Conference 4 of 9%...

HARTFORD – State Representatives Tim Ackert (R-8), Tom Delnicki (R-14), and State Senator Tony Guglielmo (R-35) joined their fellow lawmakers and The Capitol Region Council of Governments (CRCOG) to discuss current legislation that would address residents crumbling foundations.

Per the legislation, SB-806, An Act Establishing the Crumbling Foundations Assistance Program and Assisting Homeowners with Crumbling Foundations, would provide assistance to those homeowners of residential buildings who have been affected by a faulty foundation. The program would aid in the repair or replacement of such dwelling by offering $150,000 or $75% of the cost to remediate the issue.

The bill would seek to add a $12 surcharge on each homeowner’s insurance policy, renter’s insurance policy, or a master policy. Lawmakers estimate that approximately $11.8 million worth of revenue would be generated and deposited into a newly created Crumbling Foundations Assistance Fund to assist with the remediation process. This fee is scheduled to sunset in 2025.

“As I’ve stated in the past, this is a tremendous step in the right direction, but we aren’t finished yet,” Rep. Ackert said. “We owe it to each of our residents who have seen their foundations fall apart to pass legislation that provides them with some assurance that they will be fixed. I will continue to work toward providing a workable and realistic resolution to this unfortunate issue.”

“I am optimistic that we will be able to get legislation passed that will take the first steps in addressing this problem,” said Sen. Guglielmo. “These homeowners have done everything right, they paid their mortgages and paid their insurance, and now are losing their largest investment – it’s absolutely heartbreaking. The state can either pay for this problem now or pay for it later – as for me I would rather start now.”

“This is a state-wide issue,” said Rep. Delnicki. “This is an issue that will affect not only banking, but real estate and the desirability of Connecticut as a state to move to. It is imperative that we get something passed to begin the process of addressing people that are victims of the crumbling foundations problem.”

SB-806 has been referred to the Finance, Revenue and Bonding Committee for further action. The committee is currently scheduled to meet tomorrow morning to discuss the bill.