The Sleeping Environmental Monster(s) -

SandyPresented by: Lee E. Wasserman

President of: LEW Corp. www.LEWCorp.com

What Happened

Then?

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And then

Why am I qualified to discuss• 22 Years Pres. of LEW Corp. (full Service Env. Co.) I

have seen 98% of all • National respected Env. Subject Expert.

– HUD/State of NJ DOHSS, Toll Brothers, EPA/HUD assignments, Healthy homes Certified Specialist

– Nationally respected Env. Risk Manager/Team• Synapse Risk Management LLC

• Was retained to write IREM Mold Key report– “What every Professional Real Estate Manager

Needs to Know”• 1 of 4 nationally to be Acknowledge in HUD Lead Paint

June 20-12 Guidelines• 8 Years Board Member Amer. Council Accred. Cert.

(National Body of Microbial oriented certs)• AND THIS IS WHAT I DO!!

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Biology 101 - What is Mold?

Molds or fungi are simple microscopic living organisms.

They are found virtually everywhere, indoors and outdoors.

Over 1.5 million species of fungi, only 72,000 described.

They break down dead organic material for food. Ex. Dry leaves, twigs AND building material.

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What is Mold?

Spores(conidia)

Hyphae

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Should you be concerned about Mold?

• Yes, if the contamination is extensive. When airborne mold spores are present in large enough numbers to cause allergic reactions, asthma episodes, and other respiratory problems.

• Are all molds hazardous? NO. Of the thousands of types of molds, only a relatively few have been associated with health effects in humans.

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How does the issue start?

• Three factors needed for mold growth to occur:

1) Mold spores• Spores are found everywhere.

2) Food source• Most building materials are potential food sources for

mold. Ex: Drywall, wood framework, carpetingThe final and most important factor…

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MOISTURE!!!!!!!

Black, Gray and White (clean) Water

Floods Plumbing Leaks

(toilets, sinks, tubs, etc.)

Roof and Wall Leaks

Condensation & Relative Humidity

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What are signs and symptoms of mold exposure

Respiratory problems

Nasal and Sinus Congestion

Eyes-Burning, watery, blurry

Dry, Hacking cough

Sore Throat Nose and Throat irritation

Shortness of breath

Skin irritation Central nervous system problems

Aches and Pains Possible fever Etc.

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Health Effects

• 1) Infections (Mycosis)– Immunocompromised individuals

• 2) Toxigenic – mVOCs & mycotoxins

• 3) Allergenic– Majority of health effects

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Summarize Fungi and Indoor Air Quality• Ubiquitous in nature, indoors and outdoors

• Decompose carbon materials by excreting chemical enzymes

• Will colonize any available carbon material, needing only moisture– Examples of Carbon material include

• Naturally produce by-products that can be antigenic to humans– Particulate (spores and body parts)– Chemical (enzymes, mycotoxins, organic chemicals)

Rule #1: Microbial amplification in the indoor environment should not be tolerated

What's currently occurring• Since Sandy and right up till today, there has been substantial chaos of;

– Contractors - do they do mold work or not, are they properly insured, do they know what they are doing, will they cross contaminate and make worse, do they warranty, Fees for services all over place.

– Insurance claims – people not getting thru to carrier, mold exclusions, mold 10k limitations, public adjusters being ignored, claims not be processed, small settlement amounts offered-not enough in many cases to properly correct to “Pre-loss condition”.

– Industry Standards - Corrective MOLD procedures & treatments by many are not following any industry standards, what are the standards (air or dryness), how will anyone know when problem resolved, what happens when mold grows back, who is responsible. Is the new mold from Mold spores that pre-existed Sandy, from mold spores related to sandy or new spores?

– FEMA literally put handouts in ALL doors about how scary MOLD is and that “It can make you sick.” (see attached)

– Here today – gone tomorrow! Substantial amount of work has/is by out of state contractors who are NOT properly trained in mold remediation AND NJ laws. (here today, gone tomorrow – new car magnet).

What's currently occurring- continued

• Litigation is already beginning and will continually increase if the MOLD issue is not properly addressed very timely

– Claims over mold growing back already occurring– Claims over insufficient insurance funds provided or lack of

insurance entity to work with public adjusters costs expectations– Claims by guests in rental properties claiming they don’t feel well

after a NJ shore vacation, – Tenants living in hurricane Sandy rental Apartments that were not

properly addressed will claim aliments related to mold and other Sandy impact.

– Real Estate sales/purchases litigation of moisture intrusion is already occurring. Every property will have a mold real-estate disclosure issue without formal direction & some form of closure to the matter.

What happens if not properly addressed?

1. Grows Back (needing only moisture and food source)

2. Can cause allergenic symptoms3. Will cause structural issues4. Will cause property transfers

disclosure issues5. Could cause employee exposure issue6. Litigation ?

Sandy/FEMA/Mold/Env.-What to do?

Build a team of qualified Professionals to assist you!

Mold & other env. concerns MUST be Discussed!

Mold/Environmental discussions should be documented.

#1 Build a team of qualified Professionals to assist you!

i. Legal Council/Public Adjusterii. Environmental/Project Risk

Manager iii. Environmental Consultantiv. Environmentally qualified

contractor

#2 Mold & other environmental concerns MUST be Discussed

• Action #1 (Moisture/Water and Mold germination assessment)• Action #2 - (Quantification of Material to achieve "Clear

Margins" & Pre-loss reconstruction)• Action #3 (Environmental Lab Sampling)• Action #4 (Preparation of Bid Document)• Action #5 (Env. Project Monitoring & oversight)• Action #6 (Full Project Management & Project Microbial

Insurance Coverage )• Action #7 (Project completion validation assessment)

• NOTE: Asbestos, Lead, Oil & other HQS should be discussed throughout this process

#3 Mold/Environmental discussions should be documented “ a Picture is worth a 1000 words” What proof do you have? $? Document, Document, Document….

What to document:1. Photo logs of ALL personal belongings, interior &

exterior of property and all potentially impacted property. (BEFORE & AFTER– mold can grow back)

2. All correspondence3. All environmental & other assessments/inspections4. All contractor estimates, quotes, bills, invoices,

reports, govt. communication………..

When to document Sampling

1. Prior to rebuild2. Prior to move in3. Prior to sale/rental4. Prior to closing an insurance claim

Have documented corrective actions & maintain copies of report(s) for life of structure

Obtain a Moisture Intrusion corrective actions disclosure Statement (to be used to CYOA)

YOU need to Think about this OR

Take a Copy of Options Guidance literature

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