How have you guys been handling lead regs - REO Property Preservation Forum
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post #1 of 20 (permalink) Old 01-21-2015, 07:17 PM Thread Starter
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How have you guys been handling lead regs

specifically 40 CFR Part 745 on bids. I have been able to avoid any conflicts so far, through denying bids on older houses, and a bit of luck. But, sooner or later it's going to hit the fan. I am a RRP certified renovator, and I have a firm cert also. but, how do you handle the bid. Do you charge for testing up front, or do you add all the cost of compliance right on. It seems like a crappy situation all around. I would like to give them the option for up front testing, but that likely won't fly. Any ideas or experience would be appreciated.
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post #2 of 20 (permalink) Old 01-21-2015, 08:15 PM
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specifically 40 CFR Part 745 on bids. I have been able to avoid any conflicts so far, through denying bids on older houses, and a bit of luck. But, sooner or later it's going to hit the fan. I am a RRP certified renovator, and I have a firm cert also. but, how do you handle the bid. Do you charge for testing up front, or do you add all the cost of compliance right on. It seems like a crappy situation all around. I would like to give them the option for up front testing, but that likely won't fly. Any ideas or experience would be appreciated.
I'm also certified. Actually took my refresher course 3 weeks ago.

DISCLAIMER: WI is a non EPA lead state. Our regulations are handled through the WI department of health and safety. As such, this may or may not apply to you.

Any way, with that being said, I can not test for lead unless I am specifically asked to do so. I have to assume it is present on all pre1978 homes and follow protocols.

This was put in place for all future disclosures as it could potentially negatively impact the property value. If you test for lead, and it comes back positive, that must be disclosed on the sale of the property every time going forward, unless it has been completely abated and passed a clearance test.

Everyone around here doesn't want to know. Then they can use the disclaimer "This house was constructed prior to 1978 and the seller has no knowledge of lead-based paint and/or lead based paint hazards." People tend to feel better about that than the other disclaimer "This house was constructed prior to 1978 and the seller has knowledge of lead-based paint and/or lead based paint hazards are present."

I have three rentals built before 1978, that I won't test myself. All repairs are done with RRP protocols. That way when I sell them, I don't really know if lead exists and don't have to disclose anything.

I'd personally like to see regulation that requires all homes built prior to 1978 be tested when they are sold or when a building permit is pulled for renovation. It'd make my job a lot easier (and more profitable) as a contractor. I think it would also make enforcement easier.

Can you imagine how much the value on these shacks would drop if the banks, HUD, FNMA, etc. had to disclose the lead, mold or asbestos is present? Hence ignoring lead and asbestos and calling mold discoloration.



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post #3 of 20 (permalink) Old 01-21-2015, 08:17 PM
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I charge a 30.00 flat fee. to lead test each area needed to comply and get them back on repair work only. Then i bid the repairs to comply with lead removal and get them back.

Only FHA though. and only on must needed repairs, soffit, fascia, wood siding. Painted drywall.
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post #4 of 20 (permalink) Old 01-21-2015, 09:26 PM Thread Starter
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I guess the best thing is to just add the costs

and shut up about it. Got it. I sort of figured it but, sometimes I feel I need to justify additional costs. If they ask, I will do it on the phone.
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post #5 of 20 (permalink) Old 01-21-2015, 09:46 PM
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Here is a place where a detailed bid might help. Explaining the law, extra steps and material involved, etc.

I would guess, that they'll just keep looking for bids until they find someone who isn't in knowledgeable about the RRP regulations and will do the work cheap. Kind of like the thread about 150' of plumbing being replaced for $250.......



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post #6 of 20 (permalink) Old 01-21-2015, 11:49 PM Thread Starter
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i have been getting a lot of service error bids

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Here is a place where a detailed bid might help. Explaining the law, extra steps and material involved, etc.

I would guess, that they'll just keep looking for bids until they find someone who isn't in knowledgeable about the RRP regulations and will do the work cheap. Kind of like the thread about 150' of plumbing being replaced for $250.......
I have been pricing them high and getting them. I don't want them, but neither does anyone else, so I'm running with it.
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post #7 of 20 (permalink) Old 01-22-2015, 02:46 PM Thread Starter
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I'm going with $30 a swab.

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I charge a 30.00 flat fee. to lead test each area needed to comply and get them back on repair work only. Then i bid the repairs to comply with lead removal and get them back.

Only FHA though. and only on must needed repairs, soffit, fascia, wood siding. Painted drywall.

And a base fee.
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post #8 of 20 (permalink) Old 01-22-2015, 06:36 PM
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And a base fee.
The flat 30 bucks from what Ive been told is the going rate per area tested, the discount only comes into play when the lead repair bids are approved.

Not many contractors are approved to remove lead so most of my bids com back. Im approved to remove and dispose of lead but i dont like doing the work. I bid the repairs vary high, and like i said before FHA is the only ones Ive seen come back so far, approved bid wise.

Most disclaimers on sold properties now have the lead disclaimers attached when they are sold as is condition which allows the banks off the hook and reduces repair payouts.
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post #9 of 20 (permalink) Old 01-22-2015, 11:27 PM Thread Starter
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I asked for a bid order

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The flat 30 bucks from what Ive been told is the going rate per area tested, the discount only comes into play when the lead repair bids are approved.

Not many contractors are approved to remove lead so most of my bids com back. Im approved to remove and dispose of lead but i dont like doing the work. I bid the repairs vary high, and like i said before FHA is the only ones Ive seen come back so far, approved bid wise.

Most disclaimers on sold properties now have the lead disclaimers attached when they are sold as is condition which allows the banks off the hook and reduces repair payouts.
and outlined my pricing, it came back right away. The EPA has been cracking down around here, even on small companies. On private work you can always have the homeowner do the demo, and you're in the clear. With bank work, I keep it as squeaky clean as I can. I even went for my WRT, and applied microbial during the off season this year. When there is an issue, and I'm the only one in the courtroom with the right paperwork we can sing my tune. The disclosure issue was a concern, but it really isn't my problem, as long as I go by the book. Of course, I still don't want to ruffle any feather needlessly.
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post #10 of 20 (permalink) Old 01-23-2015, 09:36 AM
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I inform client they need a certified company to test and remediate. Not enough lead work here to justify the cost of Pollution Liability Insurance. There are a couple painting contractors in the valley that take care of any of these for me IF the client is willing to pay......
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