Safeguard has received a number of non-performance letters for inoperable or improperly installed sump pumps. This issue was previously addressed in contractor Memo 1113 HUD Non-Performance Letters. Unfortunately, in most cases the only documentation we have to dispute these letters is one before and one after photo. This has not be sufficient defense from the M&M contractors issuing the letters of non-performance, nor are the photos good protection for the contractor that completed the work.

Safeguard is requiring contractors to submit a receipt for new sump pumps installed to serve as documentation and proof. In addition, we will require better photo documentation to support the correct installation of the sump pump. This documentation and proof will assist Safeguard in disputing the claims of non-performance and reduce the chargebacks to the contractors.

The following photos should accompany the receipts to support sump pump replacements:

1. Before photos to show the water in the basement or the inoperable sump pump in the crock
2. The inoperable pump removed and laying next to the empty crock
3. The new sump pump laying next to the crock (and if possible, the box it came in)
4. After photo of sump pump installed and plugged into the outlet

If any additional work was completed to make the sump pump functional (i.e. discharge line had to be installed) provide photos to support the additional work and advise of those additional details on your update. The photos need to clearly document that a new sump pump was installed and installed properly.

There are two main types of sump pumps: submersible and pedestal. The new sump pump should be of the same like, kind, and quality as the pump that was originally installed. Thus, if a submersible pump was in place you should bid and install a submersible pump.

At a minimum, a 1/2 to 3/4 HP sump pump must be installed. If the basement has no evidence of flooding but has a non-functional sump pump it may not be necessary to install a 3/4 HP pump. When purchasing a sump pump, please consider the condition of the property and the weather conditions in the area. If the basement had 6 feet of water at the time of the initial secure or there is evidence of prior basement flooding a 3/4 HP (or better) sump pump must be installed. Bids to replace sump pumps must reflect the HP of the pump to be installed.

If no sump pump exists but there is a crock a bid to install a sump pump is required.

If no sump pump exists and there is no crock, but the basement is flooded, or shows evidence of prior flooding, a sump pump is necessary. You must submit a bid to include digging a crock for the pump, installation of a proper discharge line, and electric hook up.

Below is a diagram of a typical set up for a sump pump:

Please contact our High Risk Manager, Steve Meyer (steve.meyer@safeguardproperties.com, ext. 1179) for additional information regarding the requirements of this memo. Once again, thank you for your continued support.