Florida Seeks More Help on Chinese Drywall

Chinese drywall has devalued 2,505 homes and 846 more claims are pending.

Image: South Florida Business Journal

Contaminated Chinese drywall has devalued 2,505 Florida homes, and 846 more claims are pending for value adjustment due to the use of the high-sulfur building material in their construction, according to a new report by Florida’s Division of Emergency Management.

That’s enough to have the interim director of the emergency management department request additional assistance from the Federal Emergency Management Agency in the form of more detailed inspections and financial aid for families.

“These numbers result mostly from self-reporting,” interim director David Halstead wrote in a March 10 letter to FEMA. “However, there is the potential for a more widespread impact due to the number of homes built during the time that Chinese drywall was utilized in Florida.”

In January 2009, the South Florida Business Journal first reported that Chinese drywall had been found in the Keys Gate subdivision in Homestead, Florida.

Florida has been working with FEMA to conduct a preliminary damage assessment related to the issues caused by the degradation of the defective drywall used in home building. Although health implications from the degradation are still being investigated, Halstead said it was undisputed that the so-called Chinese drywall corrodes copper and other metal surfaces, causing the breakdown of wiring, plumbing, appliances, and smoke detectors in homes.

Homeowners insurance does not cover damages caused by the defective drywall, according to the Florida Office of Insurance Regulation. The manufacturers and builders associated with supplying and installing the drywall have denied liability, Halstead wrote in his letter.

“These homeowners have suffered greatly and often have no means by which to repair their home,” he wrote. “Some Florida residents have attempted to replace the drywall, but it is difficult.”

Many have been forced to move from their homes, fearing health risks and the unbearable noxious fumes, he said.

Halstead has asked FEMA to conduct a preliminary damage assessment in Florida, beginning with properties that have had a reduction in their taxable property value due to the impact of the defective drywall. Halstead also is asking for financial aid for families suffering as a result of the drywall, relaying a request originally made by Governor Charlie Crist.

Broward, Palm Beach, and Miami Dade were among the top four counties in the state with problem drywall. Eight other Florida counties—including Lee, Hillsborough, St. Lucie, Indian River, Collier, and Charlotte—have also reported issues.