The insurance agency tasked with helping Connecticut homeowners with crumbling foundations says it won’t pay for new construction until it gets more money from the state.
Thousands of homes in Connecticut are damaged by pyrrhotite, a mineral some quarries mix with concrete.
Michael Maglaras is with an insurance company set up by the state.
“Early on in this process, we made a promise to homeowners that we would never approve a construction contract if we didn’t have funds in our bank account to pay for the entire project.”
Maglaras says the company will still fund existing construction contracts for about 80 homes. He says about 400 homes have applied but haven’t been funded yet.
The Department of Housing has $20 million in bonds set aside for construction.
A housing spokesperson says the agency can’t put that money toward the foundations until Governor Ned Lamont okays its contract.
