 A federal report in July 2008 identified toxic levels of formaldehyde in 42% of the trailers examined, attributing problems to poor construction and substandard building materials.As of 2012, two class-action lawsuits were settled, between residents of Louisiana, Mississippi, Alabama and Texas, and (1) manufacturers who built mobile homes for the Federal Emergency Management Agency (FEMA) and (2) FEMA contractors who installed and maintained them.FEMA trailers are the property of the U.S. Government and are expected to be returned after use.