VERY expensive to remediate but only a small part of the problem was within the footprint of the house. 

Do I need this remedied, or can a bank still issue a mortgage on a Pending violation - meaning the violation is not actually issued yet or may never be issued?

Cash for keys may be the best remedy.

If Buyer does not obtain the loan and as a result does not purchase the Property, Seller may be entitled to Buyer's deposit or other legal remedies. 

I would tell her I would hire a professional cleaning company to try and remedy the situation.

(The hope is that by 2021, that remedies for this virus, will have been created; however, creating viable vaccines can be a long process, given that many vaccines are defective, due to they create what is called disease enhancement, that is that they also have the undesirable effect, of making a virus worse, while designed to precipitate human immune response to a virus.

I'm not there locally so doing it myself or trying to remediate the issue won't work.

The latest was after telling me the plans were submitted 1.5 weeks ago I called the city last week and they said they have nothing from him.I called the architect to figure out what was going on and he said that there was a glitch in the system that the city uses to upload plans and he is just waiting for the city to remedy it.

Paying the 26K up front will of course not be fun, but it is always better to do preventative work compared to remedial work which would likely be more expensive. 

First you have to find out why the mold is happening and remedy that.