What is the proper name for the new stucco being used. It looks like EIFS, however it is usually installed on an OSB backer board with mesh tape and the stucco coating. The trim is still styrofoam, but the home is not wrapped with it.
Shane are you talking about a Cement Board Stucco System? It is pretty much all that is being installed here currently. It is installed on top of a cement backer board which is on top of OSB. They use foam details just like in an EFIS installation. If so here are some installation guidelines for you.
Carl, I am thinking that he is seeing the OSB wall sheeting behind the cement board. If is flashed at the bottom he will not see the cement board. I would hope that it is not directly on top of the OSB!