The Construction Economy in Haiti, James Murphy Senior Essay 2011

TheBuildingEconomyinHaiti
UnravelingthewebofroadblocksinhibitingasuccessfulbuildingeconomyinHaiti
JamesMurphy
SeniorEssayintheHumanities
YaleUniversity
Spring,2011

Acknowledgements

Thank
you
to
Professor
Michelle
Addington,
for
her
guidance.

Thank
you
to

Professor
Norma
Thompson,
Professor
Maria
Menocal
and
the
rest
of
the

Humanities
Department
for
such
an
enriching
major
experience.

Thank
you
to
the

Dania
Foundation
for
giving
me
the
opportunity
to
get
involved
in
Haiti,
for
Father

John
for
kick
starting
my
interest
in
panels,
and
to
my
family
for
supporting
me
in

this
journey.

Thank
you
to
all
the
Haitian
partners
along
the
way,
especially
Baby,

Jay,
and
the
workers
who
worked
by
my
side.

Thank
you
to
the
Credit
Development

Institute.

Thank
you
to
Dave,
and
Jimmy
who
have
provided
valuable
insights.

Thank
you
Haiti
for
opening
your
borders
to
me.

Most
of
all
I
would
like
to
thank

Yale
University
for
providing
me
with
this
extraordinary
education
experience.

Table
of
Contents

Forward………………………………………………….

1

Introduction……………………………………………

3

History……………………………………………….…...

9

Politics……………………………………………………

17

Economy………………………………………………...

27

Building………………………………………………….

37

Conclusions
and
Going
Forward………………

53

James Murphy | The Building Economy in Haiti
1
Forward
My passion is building. I did not always know it, but looking back it seems
so obvious. At first, it was Legos, Kinex, and cardboard forts; in high school, tree
forts, pottery, and furniture; and at Yale, a new deck at the frat house, a grant to
replicate the Morse Lipstick sculpture in Swing Space, and a dock staining and
repair business.
When I went to Mexico City for Thanksgiving in 2009 I was introduced to
Alfonso Serrano, the CEO of Construyendo. Construyendo builds houses for the
poor in rural Mexico using volunteer labor. The reason they can build safely with
unskilled labor is their building method - a steel frame panel with foam that merely
requires assembly and an inch of mortar concrete applied to either side.
Construction is cheap, simple, fast, and strong. I was sold.
Throughout the year, I established a pretty good working knowledge of the
panel system, wrote a few papers on it, and was even working with a company as a

2
broker to sell the panels. That is, until they thought I asked too many questions and
dropped me. (I think they thought I was their competition).
When disaster struck Haiti, it seemed like the perfect place to implement
this building technology and a real opportunity for me to make a difference. I was
serendipitously connected with a family foundation (the Dania Foundation) that
was working on reconstruction in Haiti. They were working with the same panel
system I had become acquainted with and needed someone on the team who knew a
bit more about the panels.
One resume, two phone calls, and a week later I met the family in the airport
on our way to Haiti. What started as an earnest effort to implement a technology to
help rebuild a nation turned into so much more. What I have discovered from my
time in Haiti, and my research, is that helping Haiti to rebuild is so much more than
just building codes, materials, the economy, and the politics. It is all those and more.
It would be too simplistic to confine the issues to a few short sentences. Rather, it
requires a study of the full picture and an understanding of the linkages.
The following pages are my thesis on the building economy in Haiti. I have
included my personal story in italics in-between sections, and kept the research in
the body of the work. The pictures are mostly images that I, or my friends, took
while we were in Haiti. I hope the images help complement my message in a way
that helps you, the reader, connect. Working in Haiti is so much more than a
formula and checklist; it is about getting down there with the people and helping
them rebuild their lives, their families, their homes, and their futures.
Haiti is where I will work next year, doing exactly what I love; building. I
look forward to sharing my experiences and research with you, and building a
stronger Haiti.

3
Introduction
I would be dead
Mr. Mehu is the president of the APCH, an Association of Drivers in Haiti. On
January 12, 2010, he was installing a radio in a car when his world started shaking.
“I took 3 steps back to avoid the house and then I fell on my back,” at that
moment a masonry fence wall fell on him. “No one was able to help and I
looked in every direction and I looked at my hand and realized that my hand
was crushed and I made the effort to crawl on the floor, when I looked around
and found myself on the floor I could not understand what was going on...........
you know...... what I mean ... I am asking myself if what I see is reality....
Because right away I am not realizing what is happening; the whole country is
“broken” damaged, dust, and I can’t see anything, it is as if I am in a dream and
I could not believe it was reality.”
“I couldn’t find anyone to help me at the hospital. We drove around
downtown and we still couldn’t find help or a solution. While we were driving
around we found a child who was urinating blood so I told the driver to leave
Carlos Barria/Reuters via Corbis

4
me and take the child and try and find help for him because I only had a
broken wrist. He could come back for me afterwards…The whole day went by
and we couldn’t find help, we slept in the car because we had no more home
and the homes that were not destroyed everyone was afraid to go inside them.
So we pulled down the car seats and slept in the car so we could start our
search for help the next day.”
“When I finally made it back home I was already told that my house had
been destroyed, but I didn’t believe it. I thought that maybe it was only
leaning, but it was destroyed. Nothing could be saved except my passport, all
the other stuff got damaged even the fridge was totally flattened like a
pancake, destroyed. The house was a 2 story and everything was flattened… I
lived there for ten years, if I was at home, or in any part of the house, I would
be dead.”1

The Earthquake
It seems almost everyone in Haiti could share a very similar story. The 7.0
magnitude earthquake that hit Haiti on January 12 killed over 250,000 people, and
caused over 120 percent of the nation’s GDP worth of damage; by that standard, it
was the worst natural disaster a nation has ever faced in recorded history.2
No one was immune. “The poor construction practices were so pervasive
that they even crossed class boundaries — while the poorly-constructed slums
collapsed during the quake, so did Port-au-Prince’s luxury hotels and the UN’s
AP photo/United Nations
Inside Disaster

5
mission headquarters”3 Hundreds of thousands of homes, 60 percent of the
country’s hospitals, 80 percent of its schools, and all but one government building
were destroyed by the quake; even the presidential palace collapsed.
Buildings and the Humanities
It can be surprising how often we forget the connection between buildings
and the humanities. Buildings correlate to the state of a nation socially, politically,
economically, and more. For example, the Sistine Chapel provided the canvas for
Michelangelo, the Roman Senate gave the stage for Cicero, and the concert hall gives
a venue for Shakespeare and Beethoven performances. Building images
characterize currency, postcards, and logos for institutions. On Yale’s campus,
buildings determine the status of residential colleges or senior societies.
Buildings are an ubiquitous presence in society. At a basic level, they provide
us safety and comfort. Buildings also offer a space for thinkers, writers, painters,
and musicians alike. Look around us at Yale; these hallowed halls are exactly what
allow academic discourse. On another level, buildings reflect the personality of
society; take for example the flashy Las Vegas strip reflecting glitz and greed, the
gaudy towers of Dubai showcasing excessive wealth, or the lost empire of Rome
leaving us with remnants of a fallen empire. Architecture and design can be a
hallmark of status while structural integrity might highlight a nation’s prowess and
intelligence.
In the United States we take for granted the structural integrity of our
buildings. We hardly stop to wonder if the building we are about to enter is safe. It
Port au Prince- National Palace
Las Vegas- Bellagio

6
is so far removed from the cognizant brain to worry about a roof falling on your
head, to scrape the wall and wonder if the concrete was mixed properly for the brick
mortar, or to wonder if the builders had enough steel to put in the proper roof tie-
downs. We lean against the chalkboard fully expecting it to withstand our body
weight.
Imagine what life would be like if we did worry about the structural
integrity of our buildings. What if with each building we entered we had to suppress
a wave of fear as we fought flashbacks to a family member buried alive under the
roof of our previous home, like Mehu does? What if we knocked on the walls to see
if the cinder blocks were filled with concrete or if they merely had mortar on the
edges? What if during a storm we had to hold down the roof of WLH and continue
class in rotating shifts? What if our buildings were not safe? This is the reality in
Haiti.
The Research Question
This essay will focus on the current state of the building economy in Haiti.
Assessing the building economy requires a top-down approach. First, the historical
context which has informed the current state of affairs in politics and the economy;
second, the political sphere that shapes the law of the land; third, the national
economy. Each of these threads has multiple, intricate, implications on the building
economy and is not easily boiled down to a few distinct factors.
Haiti is shaped by its violent and storied history. The political climate
remains volatile and under-serving of the people. As a result, the economy has
suffered greatly. The educated and well-off citizens flee the country in what is
known as “brain drain,” and the cycle continues.
Inside Disaster

7
With over three quarters of the country below the poverty line most
Haitians hardly have enough money to get by, let alone enough money to construct
safe buildings. Haiti is almost completely unregulated, especially in the building
industry. The little resources that the government has are typically spent on law
enforcement and public safety.
Land rights are unenforced or non-existent and the infrastructure of the city
makes transport a nightmare. Day to day operation, transportation, and unexpected
delays raise costs and margins considerably. For most, financial loans are nearly
impossible to get and reputable construction companies are few and far between.
There is little government enforcement of contracts and building codes, not to
mention the lack of educated workers with the proper experience to make building
assessments in the first place.
This combination of low purchasing power, volatile politics and
enforcement, and poor infrastructure make for a less than ideal building scenario.
The devastation from the earthquake of January 12, 2010 exposed the flaws of the
building economy to the world. Strengthening Haiti’s building economy does not
have a simple answer, and will require improvements across multiple sectors from
politics to the economy. Things need to change in Haiti, for the sake of its citizens
and for the sake of the nations prosperity, and the building economy plays a key
role. I hope to be able to highlight many of the issues and start to unravel what is a
web of roadblocks inhibiting a successful building economy.

8

9
History
Land “Gifts”
Baby and JP made a right off Delmar 65 down an unnamed road. The turn had
been indicated to them by a red shack and garbage pile about 200 feet before the turn.
Navigating the road is a bit like trying to guide a marble through a wooden maze
avoiding the holes. There are no lanes or rules; people drive on the right side of the
road, unless, of course, they decide to drive on the left. The speed limit is usually
determined by how much discomfort the passengers can endure.
Another twenty minutes down the road and they stopped. Nous y voilà! Baby,
the driver says. “We are here.” The reason for this journey goes back a few weeks to
February 28th, 2010 when Peter Bak, the Chairman and founder of the Dania
Foundation, met with Interior Minister, Paul Antoine Bien-Aimé. JP, as he is
affectionately known, had explained his low-income mortgage housing idea and the
minister was sold. Bein-Aimé and JP agreed that they should work together to build a
housing community with over 6,000 homes consisting of 3 villages on land near Lake
Azuil and the border to the Dominican Republic. JP and the minister agreed that JP

10
should first build one house, for approval by the minister, before operating on a bigger
scale. The minister said that if JP could find the financing for the first 200 homes, the
Haitian government would finance the following 5,800 homes. They land shook hands,
and took a picture to commemorate the event.
Stepping out of the car spirits were high. JP was about to look out on land that
might start the future of housing in Haiti.

History Introduction
In order to understand the current political and economic conditions in Haiti
it is essential to first understand the nation’s history. The French colonists once
referred to Haiti as the “Pearl of the Antilles” because it was the most lucrative
territory in West Indies. Today, Haiti it is the poorest nation in the Western
Hemisphere.4 Haiti thrived on agriculture and export commodities that are still
valuable today such as coffee, sugar, and cocoa. Haiti’s location and climate has not
changed in the last 200 years yet the economy has completely polarized. We must
turn to history for a fuller understanding of Haiti’s decline.
History, Colonization-2011
Christopher Columbus discovered the island of Hispaniola in 1492.
Hispaniola (La Isla Española) is the island that both Haiti and The Dominican
Republic share. In 1697 Spain ceded the western third of Spain’s Hispaniola to the
French, which they called Saint-Domingue (today known as Haiti). For the next 140
years the French ran one of the most lucrative and particularly cruel slave

11
plantations in the world. The French had thousands of plantations: 800 sugar, 3,000
coffee, 800 cotton, and 3,000 indigo.5 Saint-Domingue’s (Haiti’s) exports accounted
for 30 percent of France’s GDP annually. 6 Adam Smith, in The Wealth of Nations,
asserted Saint-Domingue as "the most important of the sugar colonies of the West
Indies."7 By the 1780s, nearly 40 percent of all the sugar imported by Britain and
France and 60 percent of the world’s coffee came from the small colony. For a brief
time, Saint-Domingue produced more exportable wealth annually than all of
continental North America. 8
Slave trade was essential to driving cash crop production. Under
particularly harsh conditions the French imported up to 50,000 African slaves
annually in order to keep up with the death toll and growth of the economy. In
1789, slaves outnumbered free people 4 to 1 with about 500,000 slaves occupying
Saint-Domingue.9
There was a strict hierarchical class structure in place in Saint-Domingue’s
society based on skin color, class, and wealth. At the bottom were the African slaves
and slightly above them were the Creole slaves, who were born on the island and
spoke French-Creole. The next rung was comprised of the mixed-race mulatto
slaves. Above them the mulatto free people. At the very top were the whites, with a
clear distinction between the shopkeepers and smallholder class (petit blancs) and
the high-class plantation owners; wealthy merchants and high officials (grands
blancs). 10

12
At the end of the 18th century the class structure began to unravel: slaves ran
away and formed militant groups, mulattoes vied for citizenship including the right
to own slaves, and the French Revolution was heating up back in France. In 1791,
Toussaint Lourverture emerged as the leader of Haiti’s revolution and in 1804 Haiti
claimed the title of the first free black republic.
The revolution devastated agriculture output. The profit driving returns
that slavery drove were gone. While the nation was now egalitarian, the
hierarchical system still remained with deep wealth disparities between the freed
blacks and mulattoes.
Haiti struggled to regain prosperity in its infancy. The nation was burdened
with a heavy trade embargo from France as well as bitter inner political struggles
that led to territorial partition. In 1825, Haitian President Jean-Pierre Boyer and
France negotiated the recognition of The Republic of Haiti as a free nation and the
removal of burdening trade blockage in exchange for a debt of 150 million Francs.11
To put the debt into perspective, France had sold the Louisiana Territory in 1803
(an area 74 times the size of Haiti) to the U.S. for 60 million Francs. 150 million
Francs accounted for over 5 times the annual export revenue of Haiti. 12 French
warships with 150 cannons backed up the debt. While this move helped Haiti
secure its political independence, it burdened growth and prosperity for over 100
years.
France later reduced the debt to 60 million Francs,12 however, Haiti was a
nation born bankrupt. In 1900, some 80 percent of the national budget was put

13
towards debt repayments.13 Money that could have been spent on infrastructure,
education, and Haiti’s future, was siphoned to foreign nations.
At first, Haiti had a thriving economy under heavy investment from the
French. After the revolution, and about 20 years of internal conflict, investment
capital was dried up. Haiti was mainly run by the mulatto elites, who were
generally former slaves with little education and political experience. The lack of
capital from France, as well as an uneducated post-slavery workforce, led to the
economic downturn of the “Pearl of the Antilles.”
The 19th century was rife with political instability. Coups and assassinations
of political leaders were commonplace and the Haitian constitution was abolished
and redrafted at will by each successor. The economy remained stagnant as
governments repeatedly subdivided land and continued to be burdened by the debt
to France.
In the early 20th century, economic and political instability left Haiti open to
European encroachment, so the United States deployed U.S. marines to the island in
order to protect its interests. The U.S. expanded occupation to the whole island of
Hispaniola and disbanded the military. During the two-decade occupation the
United States stabilized the economy, added roads, installed automatic telephones,
built bridges, erected schools, dredged harbors, constructed clinics, and improved
other public works.14 The troops left in 1934 but economic advisors remained until
1941 to manage the national treasury. By 1947, the debt to France was paid off and
the Haitian economy enjoyed economic growth through the 40’s and 50’s mainly
due to infrastructure and improved prices on exports.15

14
Francois Duvalier took power in 1957 under suspicious conditions.16
Duvalier, or “Papa Doc,” as he was known, ran on a platform of pro-black
nationalism, strong military support, and state acceptance of voodoo. Nationalist
policies were enacted that outlawed non-Haitians from owning land and obtaining
dual citizenship. Ever since then, in order to become a citizen of any other country,
Haitians must revoke their Haitian citizenship. Duvalier removed the bicameral
legislature to replace it with a unicameral one and appointed himself president for
life. He created strong military groups for purposes of averting coups and used
blackmail and terror to control the citizens.17 Duvalier heavily taxed the citizens to
fuel his military and family’s expenses. The government was wrought with
corruption following Duvalier’s example; the most notorious of which was the
administration’s taxation agency, Régie du Tobac, which had no accounting records.
As a result, many Haitians fled the country in a movement that has come to
be known as “brain drain.” During that time, both the rich and poor, and educated
and non-educated, left for places like the United States and Canada. “In 1969, for
example, some observers believed that there were more Haitian health
professionals in Montreal than in all of Haiti.”18 Tourism at the time was nearly non-
existent.
Overall, Duvalier’s policies had extremely detrimental effects on Haiti. The
United Nations reports that Haiti was the only country with no real economic
growth during the 1950’s and 1960’s while the rest of the world was experiencing
its most rapid expansion in history.19

15
“Papa Doc” died in 1971 and his 19-year-old son Jean-Claude Duvalier
(“Baby Doc”) took over the country. “Baby Doc” continued many of his father’s
practices and saw his nation decline even further. Unemployment was above 30
percent and corruption grew incredibly worse. Drug trade, illegal resale of
subsidized oil, rigged lotteries, export of cadavers and blood plasma, skimming of
the budget, and much more plagued the nation. As the corruption was uncovered, it
was reported that at least 36 percent of government funds were embezzled. Haiti
was deemed the most mismanaged country in the region. In 1982, a report was
released by Canada categorizing “Baby Doc’s” Haiti as a “kleptocracy.”20 In 1986,
Haitian citizens revolted and, along with pressure from the United States, “Baby
Doc” fled to France in exile.
Post “Baby Doc” Haiti was political chaos. Various military groups were
formed and multiple violent political takeovers included assassinations and
violence. Under such conditions, thousands of Haitians tried to flee. The U.S. Coast
Guard picked up over 40,000 Haitians in 1991 and 1992 and thousands more likely
perished at sea.21 “In the summer of 2000, in response to credible evidence of
government corruption, election fraud, and widespread human rights violations,
Haiti’s foreign donors suspended all development assistance…. So low was
confidence in Haiti’s government that only 5 to 15 percent of the electorate is
believed to have voted.”22 Violence was rampant and the gross domestic product
(GDP) growth turned negative. Riots and rebellions ruled the streets, including
those from the police and armed forces. “Responding to an emerging humanitarian
crisis, a United States-led Multilateral Interim Force made up of troops from the

16
United States, Canada, France, and Chile, was dispatched to secure Haiti’s ports and
restore the flow of food and medical supplies into the country.”23 In April 2004, the
UN Security Council adopted Resolution 1542, creating the UN Stability Mission in
Haiti (MINUSTAH). The Stability Mission was authorized with 6,700 troops and
1,622 civilian police. Over the next few years MINUSTAH struggled to restore law
and order as well as lay the foundation for another election. In 2006, René Préval
won a controversial reelection and was in power until the official results announced
Michel Martelly’s victory on April 18, 2011.
Under Préval’s rule, security remained fragile but improved. Efforts to
advance public administration and economic management were gaining traction
and the economy was starting to see growth again after many years of decline.24 On
January 12, 2010, at 4:53 pm, a 7.0 magnitude earthquake devastated Haiti.25
History Conclusion
Haiti’s tumultuous political history has been detrimental to the nation’s
development. Poor leadership and circumstances have lead to unproductive
policies that have driven away investors as well as some of Haiti’s most qualified
citizens. The political climate remains volatile and gets overhauled with each new
political regime. The nation was born bankrupt and has suffered from corrupt
financial leadership. A lack of economic strength has crippled the nation. Often,
poor and destitute citizens resort to violence and crime. The lack of taxable revenue
diminishes the government’s ability to keep the peace, enforce laws, and improve
infrastructure and education. Education has been a consistent issue of funding and

17
institutional capacity. Currently less than 20 percent of children attend secondary
school26 and the nation’s literacy is 53 percent.27 The lack of education limits the
number of qualified officials and voters and diminishes the number of skilled
workers.

18

19
Politics
Political “Gifts” Uncovered
JP built the first house after the earthquake in the Concern camp of Tabarre28,
and the Minister came out to approve it. In a disappointing realization, this would not
be the future of housing in Haiti, just not yet at least. Paul Antoine Bien-Aimé
informed JP that their arrangement was not going to work out. On March 31st, 2010
an international donors conference was held in New York City29 and a committee was
formed to allocate the 5.3 billion of aid money in Haiti. The committee was called the
Interim Haiti Recovery Commission (IHRC)30 and was co-chaired by Bill Clinton and
Haitian Prime Minister Jean Max Bellerive.31
Paul Antoine Bien-Aimé told JP that he tried his best, but that jurisdiction over
the available financing had been removed from his office with the creation of the new

20
IHRC commission. The approved house JP built, and the arrangement JP and the
Minister had worked out, were no longer valid.
The flights to Haiti, 24-hour armed protection, a private driver, imported
bottled water and meals, days of extreme heat and traveling with no air-conditioning,
risking both health and safety, all to figure out that the political landscape had
changed and made all the previous efforts obsolete. JP was frustrated and It was time
to work directly with the hard working Haitians who needed houses rather than
waiting on the “big funds,” to come in.


Politics Introduction
Haiti’s tumultuous political history, wrought with corruption, debt, and poor
leadership, has led the nation to become the poorest country in the Western
Hemisphere today. The political climate shapes the laws and practices for all the
land. Laws and political practices surrounding the building economy in Haiti make
it difficult for prosperity and investment.
Land Rights
Official land rights are mostly non-existent; squatters’ rights are the law of
the land. Before the earthquake, merely 5 percent of Haiti’s land was properly titled

21
and accounted for in public records.32 Even when deeds are produced, and
endorsed by the government no less, there is no guarantee of ownership. "It's very
hard to tell who started cheating first," says President Rene Preval. "If you put one
after another, all of the titles in Haiti, you will find Haiti is bigger than the United
States."33 To make matters worse, thousands of land titles were destroyed in the
earthquake, along with the lives of a quarter of the government employees that
oversaw the land bureaucracy. Establishing a clear system of land ownership
remains a huge challenge for Haiti.
Raw from historical mistreatment, land rights policies are focused on
preserving Haitian ownership and preventing non-Haitians from exploiting Haitians.
However, this poses a serious issue with the Haitian Diaspora by hindering
successful Haitians from returning to their homeland to invest. Nationalist political
policies prevent dual citizenship. Therefore, Haitians wanting to obtain citizenship
in any other country, such as the United States or Canada, must first revoke their
Haitian citizenship. “If the new President (Michel Martelly) allows me to get dual
citizenship, I will be able to return home and open up a car shop,” says Michel, a
family man running a car service in Connecticut, USA. “I hope to be able to take my
family back to Haiti.”34
"The disaster has exacerbated land tenure claims and we will see many
more. With around 250,000 people dead, inheritance and sale of land after the
earthquake raises all sorts of questions: is the property owner dead? are there
children entitled to land?"35 How Haiti deals with the issue of land rights will play a

22
big part in the rebuilding process because property and building investment relies
heavily on clear and enforced land rights.
Enforcement
Consistent and fair enforcement and in Haiti is hard to find. Walking with
the biggest stick is often better than a signature on paper. Enforcement is more
about who you know than what you have done.36
Haiti has one enforcement body, the Haitian National Police (Police
Nationale d’Haïti PNH). The United Nations Stabilization Mission in Haiti
(MINUSTAH) helps in providing peacekeeping activities, but not in contractual and
policy enforcement.37 Like the nation itself, Haiti’s police force (PNH) has suffered
from mismanagement, corruption, and lack of funding.
Due to the earthquake, about 80 percent of the justice sector was destroyed
in Port au Prince. The damaged ranged from the city’s police officers and courts, to
prisons and paperwork. After the earthquake, most of the policing and enforcement
has been focused on basics and essentials: “establishing and maintaining the rule of
law, restoring violence prevention services, protecting vulnerable groups,
enhancing democratic processes, and strengthening administrative, government
and public services.”38
Landowners in Haiti do not enjoy land tenure security. Insecurity stems
from confusing land laws and weak institutions of enforcement. Most land holdings
are not covered by updated titles because of the high transaction costs.
Furthermore, those with updated titles cannot adequately defend their rights in a

23
court of law due to political instability.39 "The lack of governance makes the
enforcement of land rights very difficult, and legal protection is close to zero…Haiti's
clogged law courts take on average five years to resolve a case.”40 “Recent research
on land conflicts adjudicated by the courts has concluded that the courts are often
unable to arrive at a definitive judgment, and that the judicial apparatus is generally
unable to enforce its judgments.” 41 “What emerges from field studies is a
generalized distrust of the law, and primary reliance on social relations and
customary arrangements to ensure access to land.”42
Building Regulations
Very few regulatory bodies exist in Haiti, and those that do are underfunded
and corrupt. Haiti has building codes, adopted from France and Canada, which are
not catered to Haiti’s specific location and materials43. Even though codes exist on
paper, it is up to the contractor to follow them. There is no regulatory body that
properly oversees construction methods. These issues are present throughout the
industry, and not just in the poorest sectors.

24
"So now we need to work with the Haitian authorities to develop a building
code that is suited to Haiti and its peculiar conditions."44 “Earthquakes don’t kill
people, bad buildings kill them,”45 and Haiti had some of the worst buildings in
world. “There are building codes, but in a country that has been ranked as the 10th
most corrupt in the world, enforcement is lax at best.”46 Building codes are perhaps
not what they should be, but even worse is that the government does not have the
institutional capacity or resources to enforce proper codes.47
The World Bank reports that the cost of dealing with construction permits in
Haiti is 525 percent of income per capita.48 When building in such a low margin,
low-income area, it is very difficult to afford the regulatory practices necessary for
proper construction, much less the cost of following those rules.
An easy comparison comes from Chile. Chile was hit with an earthquake 500
times stronger than Haiti’s less than two months after Haiti, on February 27, 2010.
However, the death toll was less than 1 percent of Haiti’s.
What was the difference? There were variations in population density as
well as closeness of epicenter, but the key was the enforced building regulations.
Chile was hit with a massive 9.5 earthquake in 1960, the strongest ever recorded,
and has since developed some of the strongest and best enforced seismic codes in

25
the world.49 In particular a method called, “strong columns weak beams” system,
designed to keep buildings upright even under high stress scenarios.50 Implemented
technology and engineering such as this is what made all the difference when the
ground started shaking.51
Infrastructure
The infrastructure and operational cost of doing business in Haiti is
unpredictable and relatively high. Corruption leads to a game of bribes. Poor
streets, ports, and institutional capacity of the country make transactions
unpredictable and costly. Basic amenities are hard to come by or very expensive to
use.
Haiti is about the size of the state of Maryland. To drive from one end to the
other in Maryland takes about 4 hours. In Haiti, it takes two days to travel this same
distance. Roughly 100 miles, the drive from the capital to Gonaives takes six to nine
hours depending on traffic and road conditions.52 Simple trips of a few miles can
turn into hour-long excursions as construction efforts or gatherings of people spill
into the streets. There are no enforced traffic laws, signs, or lights. One-way streets
quickly become two-way as drivers change direction on a whim. “It is best to allow

26
for at least a few hours leeway for tardiness when scheduling a meeting.”53 The
streets alone make business take much longer.54
Most of the country is without sanitation, running water, or electricity.
Some of the more affluent areas are able to provide these services, but the lack of a
centralized system greatly increases costs. In the nicest areas of Haiti, waste
removal is done with septic or holding tanks, water is brought in with trucks, and
generators power electricity. At one of the most reputable beach hotels in Haiti,
Club Indigo, the trash is thrown into the ocean overnight during high tide in hopes
that low tide will sweep it out to sea. During high tide the cleanup crews are busy
collecting and re-depositing the trash out further in the ocean.55
“Haiti's infrastructure was among the world's worst even in the best of
times,” Raymond Joseph, Haiti’s ambassador to the United States, said.56
Port capacity is back to normal and even functioning better than before the
earthquake thank to relief efforts57 but navigating customs remains difficult due to
corruption and other inefficiencies of the agency.58

27
Haiti is ranked 162 out of 183 nations worldwide on an “ease of doing
business in” scale for 2011 and is ranked last in the Caribbean.59 “A high ranking
(low number) on the ease of doing business index means the regulatory
environment is more conducive to the starting and operation of a local firm.”60 The
index is based on a number of factors from construction permits, to protecting
investors, enforcing contracts, getting credit etc.
Education
Haiti’s 1987 Constitution, which is still in effect today, guarantees free
education for all citizens. However this is only a reality on paper. “Although public
education is free, the cost is still quite high for Haitian families who must pay for
uniforms, textbooks, supplies, and other inputs.”61 Due to a lack of funding from the
government, private and parochial institutions make up 90 percent of the primary
schools. Both public and private institutions are not well attended with only 65
percent of Haitians attending primary school and a dismal 20 percent moving on to
secondary.62 “Few can afford to send their children to secondary school and

28
primary school enrollment is dropping due to economic factors.”636465 The literacy
rate is 53 percent66 for the nation, and only 1.8 percent of the population ever
attends a university.67
Political Conclusion
Haiti has many opportunities and areas for improvement. It is the hope with
the newly elected government, official as of April 18th 2011, things will take a turn
for the better. New legislature should be passed that is more effective in promoting
Haitian prosperity. “Improving legislature will be essential for the stimulation of the
economy by private investors…Some local low level politicians cannot even write
their own name.”68 Infrastructure needs improvement, as well as the institutional
capacity of the country. Nationalistic legislature and the volatile political climate
has pushed away and discouraged investment. Moving forward, maintaining
security and safe environments for businesses will be essential. There is strong
agricultural and manufacturing potential with Haiti’s wealth of resources and close
proximity to the United States and other wealthy countries.

29
While many things look good on paper, such as Haiti’s education policy or
borrowed building codes, the government desperately needs more taxable revenue
and resources to be able to implement policies. Until the wheels of the economy
pick up, not much can be done to expand government programs.
Haiti’s ambassador to the United States agrees the nation needs to: change
laws to allow business investment to flow in, welcome back Haitian natives living
elsewhere in the world, and encourage tourism. The chance to reinvent a country
that had become the poorest in the Western Hemisphere also represents a chance to
flush out crime and corruption, he said. "Sorry for those people who think they're
going to be able to do things in Haiti the way they did before…The earthquake has
shaken up everything and everybody."69

30

31
Economy
Settling In
The Dania Foundation’s mission is to empower hard working Haitians and
help them rebuild their homes. The idea is not to perpetuate a welfare state, but
rather to kick-start a sustainable building enterprise; one that could be mimicked all
over the country. Local labor is used whenever possible and the homes are sold at
market value in order to keep the private building enterprise in Haiti alive. All profits
in the Foundation are returned back to the people through the program. (Although
actual profits are yet to be realized).
Instead of going through the government, JP turned to his driver, Baby, who
works for Mehu. Baby mentioned that he and many of his co-workers were in need of
housing and had the income to afford it, so long as they could get financing. Since
mortgage financing was still in the works, JP started ahead on building Mehu’s house
because Mehu had the financial capacity to purchase the house upon completion.
I was fortunate enough to join this team in the middle of the summer when the
Dania Foundation was about to start work on the house for Mehu. I met JP, and his

32
children, Eva (26) and Christian (24) for the first time in the Miami airport on the way
to Haiti. Eva and Christian were both Phd. candidates at Cambridge University in
England, and the CEO and COO (respectively) of the Foundation. I was told I would
oversee construction, as “chief technical advisor,” a title I thought was worth more in
words than in practice. Until I got there. I was indeed overseeing the construction for
the foundation, and along with the help of my father’s construction company on speed
dial, I was ready to take on the challenge.
  
Economics Introduction
Haiti has been blessed with an incredible agriculture climate; it is ideal for
goods such as sugar, cocoa, mangoes and coffee. At one point Haiti accounted for 30
percent of France’s GDP under harsh slave-plantation farming. For a brief time the
production in Haiti even surpassed that of the United States. Unfortunately, Haiti
has also been plagued with detrimental financial leadership, both foreign and
domestically. France imposed a massive debt and trade embargo in the nation’s
infancy that Haiti could not shake for 140 years. The tumultuous political climate
has driven away foreign investors and tourism. The hierarchical structure has seen
the elites thrive on the oppression of the poor. Political leaders have stolen and
squandered billions from the people with little regard for domestic improvements.

33
Haiti has potential for prosperity, but
without jobs to keep the wheels of industry
churning, the country cannot move forward. In a
place such as Haiti, where the most of the
economy relies on foreign imports, the low PPP
(purchasing power parity)70 of the nation really
makes it hard to afford goods. After the
earthquake the compassion of the world brought
billions of dollars in aid money to Haiti. But that
is not what will lift Haiti into the future. The aid
money is a good spark to get things rolling, but an
increase in employment and industry is what will
ultimately put Haiti back on its feet.
National Level Industry
Haiti is not only the poorest country in the
Western Hemisphere, but also the most unequal.
It has a Gini Index of 59.2.71 The Gini Index is a
standardized measure of income disparity of a
nation’s population. A higher number means a greater income gap. Haiti’s income
disparity is the seventh highest in the world. The wealthiest 10 percent of the
population holds 47 percent of the nation’s wealth while the poorest 10 percent,

34
less than 1 percent72. A mere 5 percent of the nation’s population owns 75 percent
of the arable land.73 More than three quarters of the nation lives below the poverty
line, with over half the nation in abject poverty.74. Haiti’s Prime Minister said that if
his people were living in poverty it would be a gift; Haiti first needs to get people out
of misery before they reach poverty.
Haiti exports 500 million dollars (US$) worth of goods, and imports over 2
billion dollars worth, annually. Haiti imports almost everything from food and
clothing, to oil and cement. Before the earthquake government expenditures were
over a billion dollars annually, with revenue of only 900 million.75 As a result, Haiti
has had to borrow money from various nations and banks. As of July 2010 the G7
nations (the seven most developed nations) and the World Bank76 have agreed to
cancel the debt Haiti owes.77 85 percent of Haiti’s tax revenue came from the
decimated Port au Prince area and the area has been slow to recover.78
` “According to Yale University, Haiti ranks 155th out of 163 countries when it
comes to general environmental degradation, while the bordering country, the
Dominican Republic ranks 36th.”79 Less than 3 percent of Haiti is covered by forest,
as compared to over 60 percent less than a century ago. As one crosses the border
Haiti on the left | Dominican Republic on the right

35
into the Dominican Republic the “moonscape” that is Haiti disappears into lush
forests.80
Individual level
On an individual level, most Haitians have very little
formal education. Less than 20 percent finish secondary
school and only 1.8 percent of Haitians have graduated from a
University.81 80 percent (the highest percentage in the world)
of the nation’s educated workforce now lives abroad. 8283
About 50 percent of the economic revenue is driven by
the service industry, another 30 percent in agriculture, and
about 20 percent in manufacturing.84 Agriculture employs
over two thirds of the work force, mostly on small-scale
subsistence farming. However, approximately three quarters
of Haitian citizens rent or live on land they do not own; as the
wealthy top 5 percent owns most the arable land.85 The
service industry employs merely 10 percent of the working
population but takes the largest share of the economy mainly
due to relatively wealthy foreign visitors and the high cost of
fuel. Most of Haiti’s exports come from the apparel sector,
which accounts for one-tenth of the nations GDP.

36
Remittances (regular monetary transfers
from family or friends abroad) make up 30 percent of
an average household’s income.86 Remittances equal
nearly 20 percent of GDP (more than twice the
earnings from exports) and account for half of the
nation’s tax revenue.
Accurate data on employment is hard to find.
For example, the CIA world factbook uses the phrase,
“widespread unemployment and underemployment”87
in place of a statistic. Formal employment accounts for
a mere 5 percent of the workforce.88 Unemployment is
estimated to be around 30 percent with an additional
30 percent categorized as underemployed.8990 Most of
the economy functions in an informal, unregulated,
marketplace.

37
Finance
The real spark that every successful economy has is
financing; the ability to borrow money now, in order to
generate more in the future. Every successful nation has
mortgage and lending systems. It is crucial to homes and
businesses alike. Without an economy and jobs, a financial
system cannot succeed.
As the United States has seen recently with the
housing crisis, mortgages and credit extensions are essential
to a vibrant building economy. Amid political uncertainty
and such economic stagnation as found in Haiti, it is very
difficult for banks to extend credit. “Banks in Haiti simply
lack the tools to analyze risk. They offer credit only to fail-
proof enterprises, which are few and far between – or worse,
to friends and family. They neglect the difficult credit
segments if only to avoid the arduous work of analyzing
risk... The credit system remains largely underdeveloped
with credit available to only but a few privileged individuals
and corporations.”91 Less than 1 percent of the loans made
to households are done through banks.92
There does not seem to be much movement against

38
this trend. In fact, banks have reduced their housing loan portfolios by 9 percent
since the earthquake.93 Banks are highly liquid, but function more as piggy banks
with little incentive to lend. “Even the leading lender for housing (SOGEBEL)
probably grants less than 100 mortgage loans per year. Because banks fear risks in
housing lending, terms and conditions are stiff and transaction costs high… Whether
they wish to or not, households have been forced to adopt the traditional approach
and make housing acquisition a very long-term, phased, and self-financed
process.”94
Whether it is an issue of poor client base, or the banks lacking the tools to
properly asses the credit risk, or both,95 there do not seem to be any incentives for
banks to change their lending practices without significant changes in political
stability, growth in the economy, or subsidized lending programs.
Economic Conclusion
Haiti has very low employment, production, and education numbers. These
numbers have a very tangible effect on the building economy. Haiti imports nearly
everything for their buildings (oil for energy, cement for concrete, steel for rebar,
screws and nails, heavy machinery, etc.). With such a low purchasing power relative
to the world, Haiti has to pay relatively high prices for goods,96and these high prices

39
suck up the already depleted resources. The United States has a PPP per capita of
$47,000, the Dominican Republic $8,600 and China $7,400; Haiti’s PPP per capita is
a mere $1,200.97 This means that on average the citizens of the Dominican republic
(the nation on the same island) have the resources to purchase over 7 times the
amount of goods, on an international level, than Haiti can. The purchasing power of
most of Haiti’s citizens lies below the poverty line, making it is hard enough for them
to feed their family, much less afford the imported goods for a house.98
As it stands today, the local agriculture economy is shattered having had to
compete with foreign subsided rice and other products.99 With large unemployment
and underemployment numbers, Haiti has an overwhelming excess of labor.
However, high infrastructure costs make it difficult for Haiti to compete with places
such as China and Mexico in manufacturing and agriculture exports.100 There is a
large market for Haitians to compete domestically, and internationally, in the
manufacturing and agriculture industries, but the investment capital is generally not
available.101

40
The forests have been devastated with little naturally occurring resources
left. Even though Haiti’s climate remains ripe for agriculture, and the population
ready to work, the investment capital is reluctant to invest in such a politically
volatile, and unpredictable, economy. The financial credit sector offers very few
options to the masses and remains a small player in the economy.
High remittances are an indicator of the strength of Haiti’s large Diaspora
community in Canada and the United States. This is a community that could provide
much of the needed expertise and human capital should the political and economic
conditions make it attractive for return. However, as Jimmy Toussaint notes, “if
Haiti made it attractive for the Diaspora’s return, all the political and economic
leaders would be out of a job… because the there would then be smarter and
wealthier candidates.”102

41
Building
He sold us; we were in and ready to go
In an informal economy, it seems recommendations are crucial. The Dania
Foundation took the recommendation of our good friend and bodyguard, Jay, when
looking for a builder to partner with. Jay introduced us to Phillip. Phillip had been
educated in the United States and had worked construction for ten years before
returning to Haiti to continue his career. He spoke great English, Creole, and French.
During Phillip’s interview we explained that the mission was to empower hard
working Haitians to get into homes. We were trying to implement efficient, low-
income housing, coupled with a new mortgage system. In order to do this, we needed a
partner, of sorts, that knew the local building economy and that could open his books
to us in order to create the best pricing program for the Haitian people.
Phillip was totally on-board. The next day he took Christian and me on a tour
of his operations. We saw his head office and talked to the two administrators in
charge. This is where he processed the orders and hired employees. He had housing
plans and employment paperwork as well as a construction company certification,

42
albeit two years outdated. When Phillip stepped out of the office I asked the men who
worked in the office full-time who the boss was; the “big” boss. They both assured me
that Phillip was in charge of everything.
Afterwards, we made our way to Phillip’s block making factory where he
churned out hundreds of cinder blocks a day. Making materials in house would be key
for assuring our supply chains and the best prices possible. I stepped into the office
while no one was looking and asked the large man at the desk with sunglasses who the
boss was, and he replied it was Phillip. The man gave me his card and we shook hands.
After the block factory Christian and I saw Phillip’s iron welding shop where
they produced doors and windows. Around the back was his fine woodworking shop
where he made cabinets and furniture. Phillip gathered together about 30 men and
Christian explained the mission of the Dania Foundation, in French, and how we hoped
to work with the men. The men were anywhere from 15- 60 years old and all eager to
work with us. They asked when we would start and how much we would pay. Neither
of those questions had immediate answers, but we told them we would try to get things
going as soon as we could.
Next we took a quick peek into his showroom of custom metal sculptures and
carvings. Here he would do plaster and crown molding interior and exterior work:
mirrors, doors, windows etc.
The final stop was Phillip’s house. He showed us an amazing three-story house
with custom woodwork and architecture details beyond much of what I had seen in
Haiti so far. There were flat screen TV’s and music blasting. We met his brothers and
kids who also stayed with him. Phillip told us he built the house in a few months
because he had his crew working day and night.
He sold us; we were in and ready to go.


43

Introduction
Haiti’s political and economic history has paved the
path to the current state of Haiti’s building economy. In the
next section I will attempt to highlight day-to-day situation in
the building economy.
Household Industry Makeup
The Building sector remains largely informal and
basic; rarely are the bare essentials met for most families. To
give an idea of the amenities makeup of households: 31.4
percent of all Haitian households have access to some form of
intermittent electricity, 11.8 percent have water at home (by
home or courtyard tap), 7.6 have individual bathing facilities,
21.5 percent have a WC or residents-only latrine, and 18.7
percent have some form of fan for cooling.103
There is a set terminology to define kinds of houses
found in Haiti. These include very basic structures such as kay
atè, which resemble tents with the roof and walls combined,
made with straw, thatch, or palm leaves. Taudis are more
typical rural slum housing, made of waste and recycled
materials with earthen floors and a mixture of sheet metal,
block, wood, clay, sticks, twine, and fabric. Ajoupas are rural
huts similar to, but more rudimentary than, Taudis. These first

44
three are for the poor and extremely poor. The
more advanced construction methods include:
maison basse, a single story house usually made
with block masonry, multistory masonry (maison
à étage), apartment housing, and colonial and
villa style masonry. As detailed in the chart, the
vast majority of dwellings (80 percent) are made
with masonry and 72.5 percent are single-story.
The Majority of houses in Haiti have two
rooms and at least four occupants. The average
persons-per-house is 4.7, compared to the United
States’ average of 2.6.104 It is considered
“crowded” by U.S. standards if the number of
persons in residence exceeds the number of
total rooms, and “over-crowded” if the number
of persons in residence is 1.5 times the number
of rooms. The average persons per room in
Haiti is 2.2, more than twice the standard
“crowded” limit.
Destruction of the Earthquake
About 105,000 homes were totally
destroyed, and more than 208,000 damaged, by

45
the earthquake. 1.3 million Haitians have had to move into temporary shelters.
Housing suffered the most damage of any sector from the earthquake.105 Tent cities
now fill every public space in Port au Prince, from the parks to the street medians.
Rubble fills the streets and lots where houses used to stand. It is common to see
tents erected on top of, or in the rubble of, what used to be a house. The earthquake
destroyed some 30,000 commercial buildings and 180 government buildings.106
“This has hindered the operations of an already ineffective state; surviving ministers
and civil servants have been forced to work from makeshift premises, sometimes
outdoors.”107

Down to Business
I was in charge of overseeing much of the construction process, and I
sat down to have a meeting with Phillip to go over his itemized bid. In the first
meeting I had with Phillip he threw a round number at the problem. I had sent
him away asking him to return with an itemized bid for the foundation and
home.
In this meeting he presented me with a cost and labor breakdown of
$3,000 for the foundation and another $9,500108 for the house. During our
conversation I asked where he factored in overhead and the depreciation of his
capital expenses, such as shovels, mixers, trucks, and buckets. The concept
seemed foreign to him, but after I explained it he agreed it would be good to
factor those in.

46
Phillip also met with JP to discuss long term plans for the future of
Haiti’s building economy. During this meeting Phillip talked to JP about his
own financial situation and mentioned that he needed an advance of $1,000 to
cover some personal expenses. It was agreed that the $1,000 would be given as
an advance payment, and would come out of the $3,000 that was owed for the
foundation work.

Construction Labor Force
In an economy with excess labor, there are many people vying for jobs as
well as many construction “companies”109 willing to take on the task of construction.
Builders are consistently undercutting each other’s bids in order to secure jobs since
some work is better than no work. Often the margins are so tight that profits are
not realized, especially with the, “costs of housing construction steadily rising for all
types of housing.”110
As the economic studies show, most clients do not have much excess capital,
if enough at all, to dedicate to building. “Financial resources of consuming
households were very tight, and savings minimal.”111 Therefore, price becomes the
main consideration when reviewing bids. Constraints on resources make cost-
cutting a priority. “This pushes house construction into the informal sector with
modest (if any) inputs from architects and engineers, cheap and variable

47
construction materials, and work entrusted to building foremen with
on-the-job experience rather than to fully qualified technicians and
professionals.”112
Commercial housing and construction capacity was limited
before the earthquake. About 400 construction companies were
registered with 75 percent of those companies containing less than 5
employees or less. Unregistered and informal teams provided most
of the construction.113
“The people tend to do whatever they want to do. If I want to
build my house, I can just go and do it,”114

Onsite
The first day Phillip showed up with his crew to lay the foundation was
the first day Phillip had ever been to the site. Traditionally, a construction
company visits the site to survey the topography and other variables long
before they give a bid. That would have proved helpful in this case.
First there were squatters, who Phillip had to pay to vacate the land,
and next a 2-foot deep layer of trash. Much to chagrin of the crew, the back
part of the land had been used as the community toilet for the last few months.
The first week of construction was spent vacating the area of squatters, and

48
digging through the trash in order to get to soil that was suitable to lay a
foundation.
The construction site was not what I was used to from working on sites
back in the States. The men took the public transportation to the site, known
as “tap-taps” and arrival varied from 7-9am based on a number of factors.
Many of the employees were hired off the street from the local neighborhoods.
The materials for the foundation were strewn about, and a neighbor was paid
to keep watch overnight and prevent theft. Rebar would sit out and had
started to rust, and the aggregate was dumped onto the dirt road and left
uncovered until needed. Since the labor was employed from the local
neighborhood, turnover was happening each hour as workers left or were
fired. Phillip and his other foreman drank Prestige, a Haitian beer, while they
worked.
My first thought was to reshape how the operation was run.
Construction conduct was inefficient and careless. The people digging the
trenches for the footer were putting the excess dirt onto a pile next to the hole
they were digging. Dirt would slide back into the trench as it was dug. That
pile was then shoveled into a wheelbarrow and dumped at the front of the
property. Soon the front of the property had a mound of dirt and trash 4 feet
high that everyone had to climb over every time they moved anything in and
out of the site. There were 30 guys running around getting in each others way,
stepping on and packing down earth that needed to be moved again, and
shoveling the same dirt 4 or 5 times. I did not want to say anything for fear of
disrupting another culture’s way of constructing, and being sees as intrusive.
After all, I figured, we were under contract and it did not matter how they
accomplished the job, so long as it was done.

49
Rebar cages were placed into the trenches and sub-footers were
poured. It was a constant battle between the laborers who were hand-mixing
and myself about the consistency of the concrete. Those who were mixing were
calling for more water to make the concrete easier to work; I was calling for
less water to maintain the strength of the concrete. It would happen the way I
wanted it when I was looking and the way they wanted it when I walked
elsewhere. Phillip had no authority over what the mixture was.

Construction Methods
“Budget savings may have been achieved in construction prior to 12 January,
but too often by shortchanging quality and safety, with disastrous consequences.”115
Demand for housing remains high, and supply low. This might then seem
like a promising market opportunity, and it is. However many of those on the
demand side do not have the resources to afford the price the supply side offers. In
order to bridge this gap, construction companies cut costs as often as they can.
Contractors cut costs in hiring less skilled labor as well as using substandard or
inadequate amounts of materials. In this section I hope to highlight some of the
methods and practices of cost cutting.
A recent OAS116 report detailed an array of flaws in Haiti’s method of
construction: weak or missing reinforcement, structures on steep slopes with

50
unstable foundations, inadequate or nonexistent inspections, poor designs,
materials, and techniques.117
The lack of regulatory bodies within the construction sector allowed the
unsafe, cost cutting, methods to pervade the industry.118
To cut costs many companies resort to practices such as straightening used
rebar, using less rebar,119 putting sand in the cement bags,120 using homemade
blocks,121 adding more water to the concrete, using un-washed aggregate, using
beach sand with high salt content or even dirt and dust in as aggregate in the

51
concrete.122 Buildings are built without engineering advice or specific plans, as all of
that takes time and money.123 Often homes are built on steep slopes (because the
land is cheaper) without proper foundation work.124 Local, unskilled workers are
used to cut down on transportation costs and foreman presence is sporadic in order
to reduce oversight costs and to fit more projects in the schedule.125 Further,
workers themselves are generally trying to build their own houses and skim
materials off shipments for private use.126 These destructive methods have become
such a part of industry norms that even some of the educated architects are
proponents.127
Cameron Sinclair, executive director of Architecture for Humanity, said that
design and construction were far worse in Haiti than in other developing countries

52
he had visited. “In Haiti, most if not all of the buildings have major engineering
flaws,”128
“It is mind-boggling,” says Farzad Naeim,129 “All the attention to earthquakes
right now, in six months, is going to dim. I am practicing now in a field where the
cure is known. It is not rocket science, but people go back to building the buildings
that killed people.”130
"They are setting themselves up for the next devastating disaster,"131 and
that disaster could be right around the corner, with annual hurricanes and Haiti’s
location on the Enriquillo-Plantain Garden Fault. A fault that did not fully give way
in the January 12 earthquake, scientists say. The strain still remaining in the fault is
sufficient "to be released as a large, damaging earthquake during the lifetime of
structures built during the reconstruction effort,"132
  
A Family Would Build their life on the Concrete I Just Poured
Construction was incredibly slow. In the United States, a foundation of
this size would be poured in one or two days, however we were two weeks in
and still yet to pour the slab. As things progressed Phillip started showing up
less and less, and would blow off meetings with us at night to go over expenses.
Materials were running low and Phillip needed to order more rebar, concrete,

53
and aggregate. Phillip mentioned he needed more money than the initial
down payment because his finances were tight. JP took out the remaining
$2,000 and sent it with our driver out to the site. The money was to be handed
to me so that I could pay the suppliers and workers in person in order to keep
things moving.
Our driver, Baby, had become very close with us over the last few
months and was a trustworthy carrier. The traffic was bad that day and Baby
was late for his son’s parent-teacher conference at school. When baby got to
site, Phillip was out front and convinced Baby that he would bring me the cash.
In a hurry, Baby handed it over and took off. Phillip also took off.
The next day we called Phillip from the site in the morning and he said
he was ten minutes away, but never showed up.
We were on a schedule, and once the footers were poured and the
forms put up we were ready to pour the slab and we decided to move on
without Phillip. This is where we really started to uncover what had been
going on. When Christian and I went to the local hardware store to buy
concrete and rebar, the shop owner said we owed him money. Of course we
had never even met this guy before so we thought it preposterous.
Sure enough, all week Phillip had been charging the materials to “le
blancs,” the whites. We were the only people building anything in the area,
and certainly the only white people. As we soon found out, we, “the whites”
had charges all over the neighborhood that we were unaware of. The cement
guy to the left, the rebar guy to the right, the aggregate supplier from Port au
Prince, and all of the workers needed to be paid. Phillip had given them some
money; it seems he gave them just enough to make each believe they would see
full payment later.

54
It is still unclear exactly what happened with all the money. In review
of his receipts, it seems he was on the hook for more materials than were at the
site. It was also discovered that materials were disappearing over night.
Along with that, an 18” footer turned into a 36” footer because of the nature of
shovel digging. The 4”-6” thick slab ranged from 4”-10” thick because of the
nature of grade spread by hand. Phillip had completely under bid the project.
He was in over his head to begin with. It turns out Phillip was in fact primarily
a political candidate, and the construction company Phillip told us he owned?
That was not really his at all.
Phillip tried many methods to get himself out of the mess, one of which
involved trying to turn the workers against Christian, Tristan and I. One
afternoon, Phillip told the workers that we had the money to pay them for the
last two weeks worth of work, and then hurried off and left. The end of the day
was a bit tense when thirty Haitians gathered around, expecting payment for
two weeks worth of work. They needed to feed themselves and their families,
they were upset, and rightly so. For a while it was a bit unclear how things
would turn out. The crowd gathered around us with heated voices as
Christian, the only one of us who spoke French, vehemently explained that we
did not have their money and that Phillip had been given over $4,000 to pay
them. After a time, the workers understood; one man was crying because he
would have to go back to his family empty handed yet again that night.
Given all of this, we pushed through. Through negotiations, long hot
and sweaty days, and sheer perseverance, the foundation was finally poured!
It took over six weeks from when I first arrived in Haiti to get everything
together and finally pour a foundation.

55
On the two-hour car ride home, I shed a few tears thinking about the
family that would live on the concrete I had poured. Someone would build a
life, a family, on the work I had just completed. It was all worth it, I can tell
you that. 
Building Conclusion
"Maybe your child marries and they need a place to be for them and their
husband. You can build just a room on the roof of your house and put a tin roof on
it… Then when you have more money you can add more rooms or finish the entire
floor and create a new roof for the building. That is what we did at my house. We
added some rooms and a new roof to our house."133
The result of these construction mentalities and methods leads to a
structure built with no adherence to code, little oversight, and reduced quality and
quantity of materials. “The poverty in Haiti lends itself to people building where
they want, how they can”134
The situation was brought to the forefront after the January 12, 2010
devastated the region. The earthquake was bad in its magnitude, but devastating in
its affects because of poor construction. "You could tell very easily that these
buildings were not going to survive even a [magnitude] 2 earthquake."135
As Haiti rebuilds, most are reconstructing using former building tactics; the
same methods that caused the catastrophe. In a turbulent world, with a new

56
earthquake, tsunami, or hurricane popping up every few months, Haiti must reform
its building practices to ensure safety.
With construction costs now rising as much as 25 percent136 and the
economy devastated, the need for cost-effective, and sound construction
technologies is more apparent than ever.

57
Conclusions and Going Forward
The contract was never honored
Negotiations ensued with Phillip about how to cover the costs of the
construction. All parties involved were brought it, including Jay, our bodyguard and
local police chief. Phillips’s new position was that I had made changes to the plans
that cost thousands of extra dollars. Since Phillip made his position clear that was his
issue, I spent three hours covering the entire process with him. I took responsibility for
changes I made, and he took responsibility for his. At the end of the discussion he
agreed to, and signed a contract, that held him responsible for all the costs of
construction (on the order of $2,000). The contract was notarized by his own lead
foreman. For my part, I agreed to take on the added expense of a few extra rebar I
requested for additional wall tie downs, on the order of twenty dollars.
The contract was never honored. Phillip never paid his suppliers or workers.
JP decided that the last thing the foundation wanted to do was put out the very people
we were trying to serve, and paid in full all our workers and suppliers.

58

Conclusion
Haiti’s history has been violent, volatile, and impoverished. This has
certainly led a variety of political and economic issues: the political sphere lacks
stability and the resources to enforce its laws, leaders have been self-serving, and
the nation’s lack of education has reduced the quality of candidates and electorate,
the economy of the country has been burdened by debt and natural disasters, lack of
investment capital, and lack of skilled labor. The building economy is heavily
informed by the surrounding political and economic circumstances. However it
would be too simplistic to confine explanations of Haiti’s building economy to these
factors. Social and political problems exasperate the poor economic performance.
As does the poor economic performance deteriorate the political and social climate.
Poverty is the root cause of political, and economic underdevelopment, and
increases the volatility of politics, and weakens the Haitian state. This economic
weakness contributes to corruption, gang violence, and drug trade. The political
weakness allows such activities to flourish and the state to further deteriorate. To
make matters worse, most of those that get educated and become successful leave
the country.
To put it simply, there are no straightforward causes or easy answers to the
issues surrounding the building economy in Haiti. I hope I have been able to shed
some light on the complexity of the issues and the web of roadblocks inhibiting a
successful building economy.

59
Going Forward
In proposing things for the future of Haiti, I see two ways of thinking about
solutions: from the top down and from the bottom up.
The top down approach requires an assessment of the most pressing macro
issues, and attempting find solutions. For example a priority list might include;
policy reform to ease the cost of doing business, eradication of corruption,
infrastructure improvement, and cost effective building code oversight. To
prioritize and propose specific solutions goes beyond the scope of this essay, but I
hope that by shedding light on the issues, one might be able to consider what might
be done.
The bottom up approach would address the issues with buildings by
attempting to provide a building solution, technology, or method that would work
within the current political and economic state of Haiti. For example: pre-fabricated
houses with structural engineering “built in” to the design or the distribution of a
simple manual with safe building techniques that the common man could
understand.
I think ultimately the best solution will come from both ends. Political and
economic changes will not happen overnight, but the immediate need for housing
should be addressed. We need to try to provide safe, affordable, housing options
and methods that work within the current system, while at the same time working
towards the system’s improvement.
Haiti has so much potential, and I see a bright future ahead.



60
Finishing the Job
A Dominican Republic construction company handled the assembly of the
house. The company, M2, came recommended by an American contractor by the name
of Richard. A foreign company was required because the construction method was a
very specific paneling procedure, which required specific training. The idea was to
bring in the Dominican Republic Company to teach and train local construction
companies how to work with an alternate material so they too could use it in the
future.
The process was again, painfully slow. Workers sometimes did more harm
than good; all it took was one guy to use the counter as a cutting board for the tiles to
break and have to redo it all. Shipments of materials arrived late, incorrect, or not at
all. In the end perseverance won out.
In October 2010, a full four months after breaking ground, the keys to an 860
sq foot house were handed over to Mehu. The design started on my pad of yellow lined
paper, and now stands as a home for a family. I would feel safe standing under that
roof through an earthquake or hurricane, and it is my sincerest hope that Mehu’s
family feels the same way. Although I certainly cannot take credit for overseeing the
full completion of the house, (indeed it was completed while I was at school) this is my
proudest accomplishment to date. I thank you for reading and letting me share this
experience with you.

61

James
Murphy
|
The
Building
Economy
in
Haiti

1

Works
Cited

Books
and
Articles

Associated
Press
,
Haiti's
ambassador
to
U.S.
says
earthquake
gave
country
much

needed
attention,
April
07,
2010,

http://www.nj.com/news/index.ssf/2010/04/haitis_ambassador_to_us_says_e.html

Keith
Crane,
James
Dobbins,
Laurel
e.
Miller,
Charles
P.
Ries,
Christopher
s.
Chivvis,

Marla
C.
Haims,
Marco
Overhaus,
heather
Lee
Schwartz,
Elizabeth
Wilke,
Building
A

More
resilient
Haitian
State
(Santa
Monica,
CA:
RAND
Cooperation)
2010

CIA,
The
World
Factbook,
Haiti,
April
6,
2011

https://www.cia.gov/library/publications/the-‐world-‐factbook/geos/ha.html

Bob
Corbett,
Education
and
Adult
Literacy,
Issue
Papers,
7
February
2003,

http://www.hartford-‐hwp.com/archives/43a/514.html

Environmental
Performance
Index,
country
scores,
2010,

http://epi.yale.edu/Countries

Henry
Fountain,
Flawed
Building
Likely
a
Big
Element,
January
13,
2010,

http://www.nytimes.com/2010/01/14/world/americas/14construction.html

Homeland
Security
Newswire,
Engineers
urge
overhaul
of
Haiti's
archaic,
anarchic

building
practices,

26
January
2010,

http://homelandsecuritynewswire.com/engineers-‐urge-‐overhaul-‐haitis-‐archaic-‐
anarchic-‐building-‐practices?page=0,1

International
Finance
Corporation
and
the
World
Bank,
Ease
of
Doing
Business
in

Haiti,
Doing
Business,
2011

http://www.doingbusiness.org/data/exploreeconomies/haiti#dealing-‐with-‐
licenses

James
Murphy
|
The
Building
Economy
in
Haiti

2

Paul
Farmer,
The
Uses
of
Haiti
(Monroe,
Maine:
Common
Courage
Press
2005)

Pascal
Fletcher,
Haiti
port
capacity
boosted,
repairs
advancing,

February
24,
2010

http://www.montrealgazette.com/news/Haiti+port+capacity+boosted+repairs+ad
vancing/2608592/story.html

Philippe
Girard,
Haiti,
The
tumultuous
History-
from
Pearl
of
the
Caribbean
to
Broken

Nation
(United
States:
PALGRAVE
MACMILLIAN
2010).

Melissa
Lafsky,
The
Power
of
Building
Codes:
Chile
Death
Toll
Less
Than
1%
That
of

Haiti,
2010
The
Infrastructurist
http://www.infrastructurist.com/2010/03/01/the-‐
power-‐of-‐building-‐codes-‐chile-‐death-‐toll-‐less-‐than-‐1-‐that-‐of-‐haiti/

Melissa
Lafsky,
Earthquakes
Don’t
Kill
People…Bad
Buildings
Do’:
More
on
Haiti’s

Building
Codes,
January
20,
2010
,

http://www.infrastructurist.com/2010/01/20/earthquakes-‐dont-‐kill-‐peoplebad-‐
buildings-‐do-‐more-‐on-‐haitis-‐building-‐codes/

Library
of
Congress
,
Federal
Research
Division
Country
Profile:
Haiti,
May
2006

Alexis
Madrigal,
Can
Haitian
Homes
Be
Built
for
Resilience
and
Hackability?
January

25,
2010,
http://haitirewired.wired.com/profiles/blogs/can-‐haitian-‐homes-‐be-‐
built-‐for

Katie
McKenna,
Haiti’s
History,
2011
http://insidedisaster.com/haiti/the-‐
quake/haitis-‐history

Katie
McKenna,
Transformations,
Inside
Disaster,
2011

http://insidedisaster.com/haiti/recovery/transformations

News
Wires,
G7
nations
vow
to
cancel
Haiti
debt,
07/02/2010,

http://www.france24.com/en/20100206-‐g7-‐nations-‐vow-‐cancel-‐haiti-‐debt

James
Murphy
|
The
Building
Economy
in
Haiti

3

Okey
Oneyegbule,
Operating
Model,
Credit
Development
Institute,
2010

http://www.cdihaiti.com/operating-‐model/

Organization
of
American
States,
2011,

http://www.oas.org/en/about/what_we_do.asp

G.
Smucker,
,
T.
Anderson
White,
and
Michael
Bannister
(2000).
Land
Tenure

and
the
Adoption
of
Agricultural
Technology
in
Haiti,
International
Food

Policy
Research
Institute.

U.S.
Census
Bureau,
State
and
County
Quick
Facts,
04-‐Nov-‐2010,

http://quickfacts.census.gov/qfd/states/00000.html

U.S.
Department
of
State,
Bureau
of
Western
Hemisphere
Affairs,
December
7,
2010

http://www.state.gov/r/pa/ei/bgn/1982.htm

U.S.
Geology
State,
Magnitude
7.0
-
Haiti
Region,
Page
Last
Modified:
February
22,

2011http://earthquake.usgs.gov/earthquakes/recenteqsww/Quakes/us2010rja6.p
hp

USAID,
Housing
for
Haiti’s
Middle
Class,
Post-Earthquake
Diagnosis
and
Strategy,

(Nathan
Associates)
Final
Report,
29
September
2010

Tom
Watkins,
Problems
with
Haiti
building
standards
outlined,
CNN
World,
January

13,
2010,

http://articles.cnn.com/2010-‐01-‐
13/world/haiti.construction_1_building-‐code-‐haiti-‐earthquake?_s=PM:WORLD

World
Focus,
Haiti’s
Poor
Infrastructure
accelerates
heavy
death
toll,
2010,

http://worldfocus.org/blog/2010/01/14/haiti’s-‐poor-‐infrastructure-‐accelerates-‐
heavy-‐death-‐toll/9256/

World
Food
Program,
President
Bill
Clinton
On
School
Meals,
Apr
14,
2011,

http://www.youtube.com/watch?v=K9zQcCJFre4

James
Murphy
|
The
Building
Economy
in
Haiti

4

Primary
Sources

Michel
Adolphe,
in
person
interview
by
author
in
CT,
USA,
March
2011.

Jay,
in
person
interview
in
Haiti,
July
2010

Jimmy
Toussaint,
in
person
interview
by
the
author,
March
2011.

JP
Bak,
in
person
and
phone
interviews
by
author,
summer
2010.

Mr.
Mehu,
in
person
interview
by
Jamil
in
Haiti,
October
2010.
Full
transcript
can
be

found
at
www.DaniaFoundation.org

The Construction Economy in Haiti, James Murphy Senior Essay 2011

Recommandé

Recommandé

Contenu connexe

Similaire à The Construction Economy in Haiti, James Murphy Senior Essay 2011

Similaire à The Construction Economy in Haiti, James Murphy Senior Essay 2011 (20)

Dernier

Dernier (20)

The Construction Economy in Haiti, James Murphy Senior Essay 2011