Natural Disasters Past, Present and Future:  According to the U.S. Geological Survey (USGS) natural disasters cause hundreds of deaths and cost billions of dollars in disaster aid, disruption of commerce, and destruction of homes and critical infrastructure.  The economic cost of major disaster response and recovery continues to rise.  Each decade, property damage from natural hazards events doubles or triples.

On the average, wildfires burn 4.3 million acres in the United States annually.  Currently, the U.S. Government spends about $1 billion a year on wildfire suppression but urbanization of previously rural areas has contributed to “fuel” buildup and devastating wildfires, such as those in Los Alamos, New Mexico, and the California East Bay Hills (Oakland and Berkeley), throughout Colorado and across southern California.  Hurricanes in 2004 and 2005 are the most recent examples of devastating natural disasters, but 19^th Century America was not immune to natural disasters.  During the winter of 1811-1812 the most powerful earthquake in U.S. History rocked the central Mississippi Valley near the town of New Madrid, Missouri.  USGS scientists estimate that the probability of a magnitude 6 to 7 earthquake occurring in the “New Madrid” seismic zone within the next 50 years is higher than 90%.

Property casualty insurance is an indispensable component of real estate transactions for both homeowners and commercial property owners.  Without access to affordable property casualty insurance, real estate transactions can not be completed.  Homeowners insurance is required by lenders regardless of the availability of affordable insurance in the area.  Disasters can strike at any time and any where.  Although the physical damage from earthquakes, wildfires, hurricanes and other disasters is localized, the effect on the property casualty insurance market reaches every American.  The lack of available and affordable insurance increases the cost of post-disaster relief efforts.  In 2006 natural disaster relief programs cost every American taxpayer more than $800.00 to fund.  A strong real estate market is the linchpin of a healthy economy.  S. 292, S. 926, S. 927, S. 928, S. 930 and S. 931 have been introduced by members of Congress to address the issue.

AB 1366 (Portantino) Housing Impact Statement Requirement for Local Land Use Decisions was heard in the Assembly Local Government Committee on April 18^th.  The bill passed and is now scheduled to be heard on April 25^th in Housing and Community Development.  This bill is intended to help generate more focus by local jurisdictions on the regional implications of housing-related decisions.  REALTORS® have reported numerous experiences with zoning, planning, and permit decisions that do not adequately examine regional considerations.  The present annual Housing Element Report which local agencies must submit to the Department of Housing and Community Development (HCD) does not require inclusion of information regarding the actions planned to meet regional housing needs.  AB 1366 proposes to such a requirement.  It mandates that if regional housing needs have not been met, a “plan of action” with estimated completion dates must be included in the annual report. It is hoped that such increased focus on regional coordination will foster new programs of recognition and reward mechanisms related to positive regional housing decision-making by local agencies throughout the state.

SB 343 (Negrete McLeod) Housing Project Application Pre-Hearing Availability of Staff Reports was heard in the Senate Local Government Committee on April 18^th and granted reconsideration on April 25^th.  Many local governments direct their staff to prepare reports concerning pending actions impacting the citizens of the municipality.  Current law does not require that these reports be made available to an “applicant” or the public in advance of the hearing or meeting where the application or request for action is scheduled to be reviewed by the local legislative body.  Existing law also requires agendas to be made available not less than 72 hours prior to the scheduled public meeting.  SB 343 amends the Brown Act to provide that no action or discussion by a local legislative body on an item listed on its regular meeting agenda can be undertaken unless the analysis related to the agenda item has been made available to the public no later than the date the agency posts the agenda.

The Taxpayer Act of 2007 (H.R. 1677) has passed the House.  One provision of the bill would change the scheme for reporting a seller’s identity at closing.  Under current law, a seller must provide a buyer with an affidavit that he/she is a U.S. person.  This affidavit includes the seller’s Social Security number (SSN).  In recent years, as consumers seek to more fully protect themselves from identity theft, sellers have become reluctant to provide SSN information to buyers.  The legislation would continue to require verification that the seller is a U.S. person, but the tax laws would no longer require that sellers provide SSN information to buyers.  The legislation now goes to the Senate.