The entire house is done like this. The code requires 6" clearance to dirt.
This furnace has been replaced by a wall furnace. It has been left in the attic because that's the cheapest way to go. The vent has been removed because it is easy to remove and they will probably try to use it. What they didn't do was seal the old roof jack so the rain is getting in. There is a puddle below the hole. It's not a big puddle and we did get a lot of rain last night and this morning.
You're kidding right? Why would we need a permit? We hired a licensed contractor.
Transite shall not be used in a vent system for a contemporary furnace.