Price gouging by contractors targets residents who need flood repairs in Mississauga: councillor

Numerous residents in Mississauga’s northwest end whose homes suffered significant water damage during historic summer flooding say some contractors are price gouging as they seek to do repair work for people.

In some cases, contractors are reported to be charging double the usual rate “to remove mouldy drywall” or other “astronomical amounts,” said Mississauga Ward 10 Coun. Sue McFadden in raising the matter Wednesday at the City of Mississauga’s general committee meeting.

McFadden said she heard from many among the 400 or so residents who attended a flood relief meeting on Tuesday night that they were being drastically overcharged for renovation/repair work.

Some 500 homes in the Ward 10 area, which includes west Mississauga communities Churchill Meadows and farther north into Meadowvale, were flooded during two historic summer rainstorms in July and again in August.

Ward 10 Coun. Sue McFadden said it’s sad that some contractors would take advantage of people who’ve seen their homes damaged by historic summer flooding.

“We had a lot of complaints about contractors now gouging residents with astronomical amounts for renovations because they know (residents are) stuck,” McFadden told senior city staff and other councillors. “And now that the (city’s) subsidy (to residents) has gotten a little larger, they’re taking advantage of that and making residents pay more, which is after signing an agreement for whatever the (initial) cost was.”

The councillor asked staff if the city is in a position to do something about the reported price gouging.

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She suggested keeping a record of any contractors authorized by the city to do flood-related renovations/repairs who might be among the offenders.

“And if we hear about these kinds of things, we take them off that list as authorized agents for the city,” said McFadden, adding an effort to contact all city-authorized contractors might be a worthwhile first step. “Maybe we could send them a nice letter saying it’s unfortunate we’re hearing these things out in the community.

“… it’s sad that we have people out there that take advantage of a poor situation like this.”

Sam Rogers, the city’s commissioner of transportation and works, said public education is one way to fight price gouging.

Sam Rogers, the city’s commissioner of transportation and works, said staff has dealt in the past with contractors out to take financial advantage of people.

He noted they’ve been dealt with in different ways, depending on the situation, and that public education is often a good place to start.

As such, Rogers said information on how residents can protect themselves against price gouging will be included at an upcoming city-wide public information session on flood relief efforts.

Mississauga residents whose homes suffered significant water damage during the historic summer floods learned last week they can soon apply for a one-time $1,000 payment to help cover costs.

The cash will come from the City of Mississauga and is part of a larger plan approved on Sept. 25 by city council that includes measures to provide both immediate relief and long-term solutions to help lessen the impact of devastating storms.

The $1,000 payment, termed a Residential Compassionate Flood Relief Grant, is available to Mississauga residential property owners who suffered basement flooding damage during severe rainstorms on July 16 and/or Aug. 17 and 18.

In addition, the city is also offering rebates of up to $6,800 for eligible flood prevention measures, “making it easier for property owners to protect their properties from future flooding,” the city said.

Residents can apply for the $1,000 flood relief grant starting Dec. 1 while the rebate money will be available as of next February.

In the first of the two historic rainstorms that hit Mississauga and the Greater Toronto Area, an Environment and Climate Change Canada weather station at Pearson Airport recorded 122.9 mm of rain between late evening July 15 and early during the day on July 16.

It was the most rain received in any one area across southern Ontario during the storm.

(Photos: City of Mississauga/Mississauga Fire and Emergency Services)