Good afternoon Mark,
I'm Doug, and I'm very sorry to hear of your situation. My goal is to provide you with excellent service today.\
This seems like a very crucial matter for you, and your questions and issues suggest that an in-depth conversation might best suit your needs. If you are interested, for a very nominal charge I can offer you a personal phone conference during which there is no limitation on the number of questions you can ask of me, as opposed to continuing in this question and answer thread which is searchable and viewable by the public.
Let me know if you don't want a call and I will be happy continue here with an answer for you.
Either way, whether I call you or not, in order to give you a clear and concise answer, I will need some additional information about the circumstances, please.
1. What existing part of the home was damaged by water?
2. What money are you referring to that the builder was counting on to keep him solvent?
3. Why was the builder working on something that he was not contracted to do? Did you have a side agreement?
4. You say much more is involved. What is that? It is difficult to give a useful answer if I don't know what the relevant facts are.
5. Why is it that the township is involved?
Thanks in advance,