McDermott make his point with the news media

Representative McDermott blasts Abercrombie administration’s obstruction of VA loans.

Arbitrary ruling by Department of Health blocks VA loans for up to 60,000 affordable Big Island homes for Hawaii’s Veterans.

 HONOLULU – June 20, 2013 –Today Representative Bob McDermott held a press conference at the State Capitol to outline his efforts to work with the Abercrombie administration to alter an arbitrary DOH (Department of Health) ruling posted on their Website that blocks VA loans to homes with rainwater catchment systems.

“We tried working with Gary Gil at the DOH and Blake Oshiro at the Governor’s Office for over sixty days,” explained Rep. McDermott.

“Everyone seemed to understand the situation, but absolutely nothing was done to correct the problem.”

McDermott was first apprised of the problem by VA loan administrators who pointed out that the policy statement on the DOH Website was causing the VA to balk at home loans and re-fi’s for thousands of homes with catchment systems.  They were also concerned that other lenders such as Fanny Mae and Freddy Mac might follow suit paralyzing mortgage lending for a huge segment of the Big Island real estate inventory.

According to McDermott the problem has a simple solution.  Just change the Website copy.

“This isn’t a law, or an official rule,” said McDermott.  “it is just something…an opinion…that some nameless bureaucrat put up on the Website that has become de facto policy.”

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