Forum on Catastrophe Preparedness: Partnering to Protecting Workplaces

IIHS Crashes Cars IBHS Crashes Structures

All Hazards - National

Backbone of Economy Small businesses 98 % of all firms in US Employ 50% of workforce 85% of small businesses employ 10 or fewer 44% of nation’s payroll Generate 41% of US business receipts

Reality Check  One of every five businesses experiences a major disruption each year.  Small business owners have a higher probability of being impacted by a disaster.  Small business owners have fewer recovery resources and a lower tolerance for losses.  As many as 90% of small businesses do not have a business continuity plan in place.  More than 60% of small businesses do not have a backup power supply.

What Causes Disaster Losses? Where You Build How You Build –Design –Construction How Well You Maintain

OUR GOAL: Disaster-Resistant Businesses Make natural disasters a part of how we build and maintain businesses That Is: We Must Make disaster Protection a PUBLIC VALUE

OUR GOAL: Disaster-Resistant Businesses We Must Promote construction of disaster- resistant businesses Promote retrofitting of existing structures Promote maintenance of structures

Stronger Building Codes Work

So, We Know Buildings built under the latest codes where enforcement was good performed very well Keys are: –Good up to date code –Uniform and thorough enforcement –Builders and subs who understand and appreciate the risks –Special inspections for key functions

97% The 97% Problem What About Existing Structures? 97%

We will never be fully successful in protecting businesses until we solve the retrofit problem! What About Existing Structures?

We Must Keep Businesses Open Business Impact & Recover Planning Property & Asset Evaluation & Protection Pre-disaster Property Protection & Post Disaster Recovery Plans

FILLMORE, CA

“I think it’s time to activate our Plan”

You Must Give Me Incentives to Take Property Protection Action PUBLIC OPINION RESEARCH TELLS US

FEDERAL INCENTIVES  Income tax deductions / credits  Increased funding for states with a mandatory state-wide building code  Preferred SBA loans

STATE INCENTIVES  No sales tax on disaster- resistant materials  No increase in property assessment for disaster- resistant structures  Reduced property transfer tax

LOCAL GOVERNMENT INCENTIVES  Reduced permit fees  Fast tracking permit process  Also see property tax and sales tax incentives listed under state

BANKING INCENTIVES  Lower interest rates for construction loans  Lower interest rates for mortgages  Lower interest rates for business improvement loans  Reduced loan application fees  Reduced down-payment requirement

RETAIL INCENTIVES  Reduced architect / engineer fees  Material manufacturers discounts  Reduced moving company fees  Discounts from furniture / office supply dealers  Discounts on landscape design, installation and maintenance  Monthly discounts on utilities. For example: energy, telephone, cable and security

OUR ASSIGNMENTS Help make disaster protection a public value Help educate business owners & managers Promote New disaster-resistant construction Promote retrofitting of existent structures Promote adoption & enforcement of strong commercial building codes Establish Incentives

If not us, then who? If not now, then when?