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What Is RRP And Why You Need To Know

By
Services for Real Estate Pros with TheHousingGuru.com

What is RRP? Renovation, Repair, and Painting (RRP), is a new federally mandated program to deal with the issue of lead paint in homes, primarily those homes built prior to 1978. The program takes effect April 22, 2010. It’s important that general contractors, real estate agents, plumbers, remodelers, handy-men, painters, property owners, carpenters, electricians, and all others who work in home repair or maintenance be aware of the rules and the requirements for compliance. Failure to do so can result in a fine of $37,500 per day, per violation!

 

The basic requirement is that work in homes containing lead paint which may include, but is not limited to, the replacement of windows or disturbing painted surfaces of more than six square feet inside a home or twenty square feet outside a home, be done by a Certified Renovator. And, it isn’t enough that a contractor be certified, the work must be continually supervised by someone who has taken a HUD approved training course. Additionally, spot testing for lead paint must now be done by a Certified Renovator.

 

painting toolsThere are exemptions for homeowners or tenants doing work on their own homes or rentals, but those doing such work, should be familiar with the guidelines to avoid creating future liability for themselves or danger for others. And while work not disturbing paint, such as merely applying an additional coat, isn’t covered by RRP, if sanding or otherwise disturbing the underlying surface is involved, compliance is required.

 

With an estimated 35 million homes in the U. S. containing lead paint, virtually all remodelers, builders, painters, property managers, and real estate agents will at some time encounter homes with lead-based paint. Therefore, it is critical that all those with the potential to have contact with homes containing lead-based paint familiarize themselves with both the necessary practices and requirements of the program.

 

While the EPA has produced a booklet, “Renovate Right,” to address the issues and requirements of the new program, real estate agents are still required to provide the EPA pamphlet, “Protect Your Family From Lead in Your Home,” as a part of the lead hazard disclosure in sales and leases. And those agents who are involved in property management or who recommend contractors, should be familiar with the new rules in order to confirm compliance with RRP.

 

The RRP rules are far-reaching, burdensome; and compliance will be costly and in many cases difficult. Additionally, EPA continues to make rule modifications. Those whose business involves homes that may contain lead paint should familiarize themselves with RRP and any changes that may be forthcoming. Failure to do so could not only be financially harmful, but could result in the potential for lawsuits which may be filed by anyone who is aware of non-compliance.

 

Disclaimer: The above information, while believed to be accurate, does not address all components of the new RRP rules. It is recommended that persons whose jobs require working with, marketing, or managing homes with lead-based paint, or who may otherwise be involved with any of the above mentioned issues, visit the EPA and HUD websites for more information.

 

For a copy of the EPA/HUD booklet describing the program, click HERE.

NAR also has an overview of the new rules HERE.

Additional information is available through: National Center for Healthy Housing

 

The Housing Guru: The expert source for all your housing questions

John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Nick - You can't just wait until the home is vacant, the work rules are very specific and address the issues of dust that may be generated by the work and remain on surfaces. And trying to circumvent the rules can cost up to $37,500 per day, per offense.  I doubt it's worth the risk.

Additionally, I can see the door being opened for future lawsuits and a whole new series of lawyer ads on TV, "Do your children suffer from lead poisoning?  Did you ever reside in a home built prior to 1978?" I suspect that contractors' liability insurance rates will reflect the potential for future damages.

The rules further address demolition or exterior work on homes that are less than 20' from other structures and requires containment measures to eliminate the risk of contamination. I think it will be a big deal to many.

Tina - Thanks for the info.

Catherine - Unfortunately the govt. doesn't agree.

 

 

 

Apr 07, 2010 06:11 AM
Nick Snow
North Port, FL

Emergency repairs are exempt from the warning sign, containment, waste handling, training, and certification requirements, to the extent necessary to respond to the emergency. All they are required to do is clean up afterward and verify the cleaning.

I would wager that we're going to see more landlords who put off repairs until either the units are emergencies.

 

However, perhaps the .PDF pamphlet is incorrect, but it states that the penalties are UP TO $32,500 per day, depending on factors such as number, length, and severity of violations, economic benefit obtained by the violator, and ability to pay.

 

The sky isn't falling, mom and pop aren't going to get fined hundreds of thousands of dollars for scraping the paint and repainting in a garage at a rental property, and it will all be ok.

 

I have a feeling that you'll see the larger and older apartment and condo buildings getting hit the hardest by these new rules, and actually I believe the biggest liability will rest on the owners of small home repair/paint/plumbing/electrical firms. Roofing companies should take note as well, since a lot of times they are required to cut into the siding of older homes in order to properly flash the joint between the roof and siding.

 

By and large, though, do not most contractors already take steps to contain their messes? Do they not clean up after themselves? For most we're just adding guidelines for both of those steps, as well as testing procedures to verify they've been done properly. Exterior projects will require more work and equipment, especially in windy areas, but honestly I don't see this as the huge ordeal that it's being made out to be. There will be an added expense as contractors update their equipment to add HEPA filtration to their saws, sanders, drills, or whatnot, and certainly we're going to have additional charges for plastic wrap and the disposal of the plastic. Do you suppose the EPA considered the environmental impact of all of this additional plastic wrap getting sent to landfills?

 

In our industry we get used to legislators enacting laws that they later (within the first year or two) decide wasn't such a great idea. I think this might be one of them.

 

The government makes hoops for us to jump through. Either you get smart and figure out how to bypass their systems, or you jump through their hoops. Life goes on though. Let's try not to blow it all out of proportion.

Apr 07, 2010 07:19 AM
Kathryn Acciari
Central One Federal Credit Union - Shrewsbury, MA
Mortgage Loan Originator

I've been dreading this.  I live and work in a historic area.  Many homes were built in 1800's, and they attract do-it-yourselfers and renovaters. 

Apr 07, 2010 07:33 AM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Nick - Standard contractor clean-up does not meet the new guidelines which require a "white glove" inspection procedure following the work.  Additionally, the waste generated is considered hazardous and must be disposed of accordingly.  But none of us will really know the ultimate impact until enforcement begins.  We'll see.

Kathryn - I would imagine historic homes to be a significant problem as the program unfolds.

Apr 07, 2010 07:48 AM
Marcia Clausen
Clausen Properties - Marco Island, FL

I posted on this subject last week. My husband is a general contractor, who did the certification training recently. In an earlier comment from Andrew Hazlett, you said there should be quite a few qualified contractors, given that this has been around awhile. Would it surprise you to know that even our local building department was in the dark about the particulars of these new regulations?  As far as I know, my husband is one of only a few Certified Renovators in our area. Most people in the industry know little or nothing about these new regulations, and of the ones who do, it's estimated that about half don't plan to comply.

As far as increasing costs, everything everyone said about it is true. A standard liability policy for a contractor does not cover hazardous materials. This is going to require a rider at an increased cost of several thousand dollars a year. On remodeling industry blogs, those in that industry are estimating the cost of a project will increase by around 1%-2%, with some standard base charge irregardless of the size of the project, just for the overhead involved in the materials and stringent record keeping requirements.  And according to the NAR site, the EPA estimates that job costs should only increase by about $65 per job! They want the public to have that expectation because they don't want the heat for the increased costs to the client.

And those of you who thought of the personal injury suits that could take place, based on my experience connected to the building industry for over 35 years, that's a sure thing. The last draw on a project is the hardest to collect, and there are a significant percentage of homeowners who will use the threat of a lawsuit to avoid paying all they owe. Anyone doing work will have to document, document, document, but that may not stop someone from filing suit. Anyone can sue anyone for anything. You can be put out of business defending yourself, even if the other side doesn't have a valid case.

And as far as the exemption goes for homes without children or pregnant women, don't count on that. The Sierra Club is lobbying to have that removed, and it's said that by the time the law goes into effect, that will have taken place.

Are there still people, especially children being poisoned by lead paint? Yes. Is this only an inner city problem? No. In Ohio, there are high risk zip codes which include some very well to do areas. In a home built before 1940, there is a 90% chance of finding lead paint, and it sometimes comes to light because someones children or pets get sick during a renovation.

But here's the thing. The biggest source of that is the windows. Even with newer coats of paint, the friction from opening and shutting them causes dust. So, instead of putting this on the backs of an industry that is dominated by small business owners who are already struggling to comply with all the other regulations, why don't they: 1) sue the paint manufacturers who knowingly put a poison in their product, then 2) take the money from those lawsuits to help homeowners and landlords with the cost of window replacement? One article I read said that replacing old windows would virtually eliminate the problem.

There is one good thing that may come of this. Unlicensed contractors and subcontractors who don't pull permits and don't do work to code, may be weeded out. (There is more to fear out there in some of these properties than lead paint, believe me!)

I just hope this doesn't kill off the "good guys" who are honestly striving to comply. Many of the compliance practices are impossible to do. You can't cover up the neighbors landscape plants with plastic on a hot day, just because they are within 20 feet of the property getting new windows. What if the neighbors refuse to let you on their property?

BTW: Did you know who will be in charge of enforcing these regulations? The IRS and the FBI. No kidding. It's a federal mandate, therefore non-compliance is a federal offense.

Apr 07, 2010 08:16 AM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Marcia - Thanks for the input from a contractor's perspective. As a former home builder, I too can see many unintended consequences and the potential for lawsuits. As the program rolls out, we'll see the results.

Apr 07, 2010 08:24 AM
Tamara Perlman
Referral Network Inc. - Truckee, CA

Hi John--

Thanks for the link to the booklet.  Have downloaded and filed for use!

Apr 07, 2010 08:36 AM
Dana Wilkinson
Connect Realty, The Woodlands, TX - The Woodlands, TX
Broker-Your TX agent for The Woodlands-Spring-Conr

Timely post for me to read...new windows going in and just under the wire in my 1970 home. 

Apr 07, 2010 10:20 AM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Tamara - Glad to help!

Dana - Tell the workers to hurry :  )

Apr 07, 2010 10:43 AM
Roberta Hord
Realty Associates, Boca Raton, FL Specializing in Palm Be - Boca Raton, FL

Thanks for this posting. I've read the new regs.....but many are still not aware. So we need to keep publishing. This is one of the great advantages of ActiveRain.....keeping us informed.

Apr 07, 2010 11:53 AM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Roberta - Posting on AR certainly keeps me busy; it's helped to get the "lead out."  :  )

Apr 07, 2010 12:41 PM
Anonymous
Mark Cohen, Broker, Eyemark Realty, Gainesville, Florida USA

The reason we keep getting more and more rules, regulations, codes, laws, statutes, ordinances, mandates, etc. is because we are sheep.  We put up with them instead of protesting, resisting, pressuring against them, and forcing repeal.

Stand up and fight back. 

Apr 07, 2010 01:05 PM
#91
Jirius Isaac
Isaac Real Estate &TriStar Mortgage - Kenmore, WA
Real Estate & loans in Kenmore, WA

I bet wwe are exempt unless we have evidence of lead based paint, which in my 13 years, only happenned 1 time.

Apr 07, 2010 04:21 PM
Debra Leisek
Bay Realty,Inc Homer Alaska - Homer, AK

anyone doing property management better be very afraid... if yo hire someone to work on the lnadlords home... this is another far reaching non broadcast issue that is really very dangerous to Realtors, property mangers, contractors, handy men and painters... and where is NAR ?

Apr 07, 2010 05:24 PM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Mark - While we need some regulation, much of what bureaucrats create is overkill.

Jirius - Homes built prior to 1978 will have to prove they have no lead paint.

Debra - It is a far-reaching program witht the potential to catch many unaware.

Apr 07, 2010 11:37 PM
Nick Snow
North Port, FL

Mark - This is true. We do put up with things far more than we should. Our government's top priority is spending as much money as they can in order to justify their jobs, and when they run out of money, they create more jobs as a reason to increase taxation. Eventually, the government will hit a brick wall, and the people will get fed up with it. It has happened before, a couple hundred years ago, and it will happen again. Maybe not in our lifetimes, but it will happen.

I would wager that about 75% of government activities and expenditures are wasteful and only serve to make those in power even more powerful and rich.

 

Follow the money - who is going to benefit financially from this? Whose brother just got appointed to oversee this additional layer of bureaucracy?

 

In the grand scheme of things, though, I will still wager that this legislation is just going to be a small hickup. I don't think it will be as awful as some are making it out to be. Yes, it will increase costs for the consumer as well as the contractors, and it adds liability, but the rules change over time and we adapt to them. If the implementation is bad enough, the rules change fairly quickly. 

I have a little bit of faith that our government wishes to delay the changing of the guard as long as possible, therefore they're not going to do anything to push the people over the edge.

Apr 08, 2010 10:02 AM
Denise Hamlin, Broker/Owner
Cardinal Realty ~ 319-400-0268 - Iowa City, IA
Helping Happy Clients Make Smart Choices

Hi John ~ Thanks for the heads up on what is definitely need to know info. Like many others commenting here I'm surprised that I learn this through your blog post. (Actually through Vickie's reblog, but you get the point...)

Denise

Apr 10, 2010 12:14 PM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Denise - Glad to help.

Apr 10, 2010 01:21 PM
Jay Markanich
Jay Markanich Real Estate Inspections, LLC - Bristow, VA
Home Inspector - servicing all Northern Virginia

Anything to bleed more money out of the private contractor and ruin the productive capacity of the people who make the country work.  The first rule of the statist:   CONTROL.

Apr 16, 2010 11:49 PM
Edward Gilmartin
CRE - Boston, MA

This is great informaiton. So few people understand the lead paint regulations and many vary from state to state I beleive.  It does however seem that this is just more government regulations where none should exist. It was afterall mandated that VA homes be painted with lead paint in the 1940s and 1950s.

Jan 01, 2012 01:10 AM