Built to Last ; Resilience Through Seismic Retrofitting in Portland, Oregon

BUILT TO LAST: RESILIENCY THROUGH SEISMIC RETROFITTING IN Portland, Oregon

www.fema.gov PORTLAND, OR

In 2014, the City of Portland, Oregon’s ❱❱ Addressing equity goals by expanding Office of Emergency Management (OEM) service reach to below-median value and the Federal Emergency Management per foot homes, ensuring access for Agency (FEMA) approved a pilot project underserved populations. to use federal emergency monies to The pilot was successful, both in seismically retrofit several dozen homes. completion of home retrofits and by This project leveraged the customer drawing awareness to the problem engagement and contractor infrastructure (earthquake preparedness)— and established by northwest nonprofit, the solution (bolting homes to their Enhabit, an organization that focuses on foundations). There are 100,000 social impact through better living spaces. additional homes in Portland that need The pilot successfully demonstrated that upgrading, so the City, OEM, and FEMA homes are a powerful leverage point for began work on Pilot 2.0 to strengthen strengthening for Portland homes. The City of Portland Seismic Retrofit pilot action—delivering simultaneous outcomes more homes. These two media moments generated set out to demonstrate how a $3,000- for multiple public policy objectives. urgency and interest from thousands per-home incentive to mitigate seismic In July 2015, the New Yorker article, For the City of Portland, these included: of homeowners interested in seismic damage could not only yield dramatic The Really Big One, presented a sobering retrofits—urgency that continues today. savings for local and federal government ❱❱ Mitigating future seismic damage and doomsday narrative on the expected agencies, but could also increase a keeping people in their homes; aftermath of a seismic event in the The pilot partnership benefitted from a community’s ability to survive inevitable Pacific Northwest. The timing was $100,000 FEMA grant address some of ❱❱ Supporting aggressive climate and challenges like windstorms, heat waves, fortuitous for a pre-planned press event the 100,000 homes in Portland in need energy reduction goals by bundling and natural disasters. energy efficiency and seismic services with City of Portland Commissioner Steve of seismic retrofits. On average, FEMA into one convenient package; and Novick announcing the potential for invests approximately $30,000 per FEMA grant dollars to invest in seismic home for disaster recovery efforts.

1 Goal of Showcase: This booklet highlights the City of Portland’s success in developing a residential retrofit program to increase the seismic resiliency of the city to help residents stay in place after a seismic event. This booklet, telling Portland’s story, is part of a collection, the FEMA Region X Mitigation Showcase, to illustrate different ways in which local communities have leveraged partnerships and collaborated with state and federal partners to complete mitigation projects that address vulnerabilities to earthquakes and/or tsunamis. These narratives describe how project partners worked together to effectively navigate FEMA Hazard Mitigation Assistance requirements, build political and public support, and describe what lessons were learned throughout the project process. Information provided in each booklet intends to inspire and support other communities that wish to pursue similar mitigation action.

Mitigation Project: In an ongoing project, as of January 2018, the City of Portland has completed over 100 retrofits of residential homes. The city established a critical partnership with Portland-based nonprofit, Enhabit. Enhabit is a company specializing in home energy upgrades and provided the city increased capacity to manage grant requirements, market and advertise the opportunity of the residential retrofit program, and conduct training to contractors to help streamline reimbursement requirements. Success of the project is attributed to this public-private partnership as well as through sustained political and public support.

Defining the Hazard: The City of Portland is at-risk from earthquake impacts from the Cascadia Subduction Zone (CSZ). An estimated 100,000 homes were built before statewide codes were implemented in the 1970s. This leaves many vulnerable to the impacts of seismic events. The last major earthquake occurred in January 1700, over 300 years ago. To help meet the city’s goal of helping residents stay in place after a seismic event, HMA funds were leveraged to develop a residential seismic retrofit program.

2 3 Project Timeline:

1990s City Increased Efforts to Raise Public Awareness of Potential Earthquake Impacts

PHOTO: Participating homeowner points to a retrofit project. 2000s City Enabled Volunteer Seismic Retrofit Program The City of Portland is vulnerable to earthquake impacts from the distant Cascadia subduction zone, as well as smaller, yet much closer, crustal faults. Buildings in the city would be significantly impacted, especially buildings built before 1970. City government took steps to increase public awareness of this vulnerability and advertised what homeowners could do to retrofit, prepare, or 2014 City, OEM, FEMA partnership funds Seismic look for in new homes or businesses. This work included developing a volunteer Retrofit Pilot Program seismic retrofit program in the early 2000s. Development Services completed their first version of a code guide for homeowners and posted it to their website to provide at least some guidance for the more than 100,000 homes built before statewide building codes were implemented in the 1970s. While the 2014 City Awarded HMGP Grant for Seismic Retrofit city conducted public outreach around this guidance and risk, public interest in Demonstration Project voluntary retrofitting was minimal. In 2014, momentum for earthquake preparedness increased, following strong local political support from Portland City Commissioner, Steve Novick, and U.S. Representative, Earl Blumenauer. With this political support that included contributions from the city’s general fund, the Portland Bureau of Emergency 2015 The Really Big One, by Kathryn Schulz, New Yorker Article Management (PBEM) worked with the Oregon State Hazard Mitigation Officer (SHMO) to secure just over $100,000 through FEMA’s Hazard Mitigation Grant Program (HMGP) to develop a pilot program for residential retrofits. 2015 City Awarded PDM Grant for Residential “One of Portland’s goals for building a resilient community is Seismic Strengthening Project to keep people in their homes following an earthquake. With tens of thousands of homes constructed before 1970 and modern seismic codes, a large percentage of our building 2017 City Increased Pool of Homes to Consider for Retrofitting stock is vulnerable. This program successfully demonstrated how local government partnering with a non-profit to leverage federal funds could incentivize homeowners to take 2018 Period of Performance for PDM Grant Ends action to retrofit their homes before the next earthquake.” – Carmen Merlo, Deputy Chief Administrative Officer, City of Portland 4 5 The pilot program, the Seismic upgrade projects. Through the Demonstration Project, was modeled pilot program, a seismic retrofit after a City of Seattle small retrofit component was added to their project. Planners with the City of home projects, through early 2015. Seattle emphasized the importance In 2015, PBEM worked with the of reaching out to neighboring SHMO to explore other FEMA funding communities for information that opportunities and submitted a sub- could support addressing risk across application to the state for a FEMA jurisdictional boundaries. Pre-Disaster Mitigation (PDM) grant. Through this pilot project, the PBEM Complementary efforts occurring at coordinated with a local nonprofit, the same time in the city’s Bureau Enhabit, to build project/construction of Development Services led to management capacity. Enhabit is the strategic release of updated dedicated to pursuing a positive guidance on engineering standards “social impact through better for seismic retrofits, in accordance living spaces” and was already an with FEMA guidance and the established entity within the Portland Structural Engineer’s Association community for their work increasing of Oregon. This update included the energy efficiency of homes. While training for contractors on the the city maintained communication details of choosing retrofit plans and coordination with FEMA Hazard and anchors, how to navigate the city Mitigation Assistance (HMA) staff permitting process, and other keys and the SHMO, Enhabit capitalized to successful residential retrofitting. on its network of contractors In 2015, the city was awarded over to serve as the project’s initial $500,000 through a PDM grant coordinator and point of contact for to fund the Residential Seismic homeowners. Enhabit also managed Strengthening Program to retrofit reimbursement collection and worked 150 homes. with homeowners and contractors to provide that information to the SHMO. Wherever possible, Enhabit The initial program successfully encouraged and supported energy retrofitted 23 homes in Portland. efficiency upgrades and other home betterment projects as residents These initial homes were selected were already installing earthquake because they were already engaged retrofit improvements. with Enhabit in 2014 for energy

“Having an entity like Enhabit has helped Portland accomplish the project in a timely, professional manner. Their expertise has been welcome.” – Angie Lane, Oregon State Hazard Mitigation Officer PHOTO: Residential retrofit projects can include bracing and strengthening foundations with plywood or automatic shut-off valves for gas and utility lines. 6 7 An awareness and customer At the same time, Enhabit A common question from As with the initial Seismic demand boost stemming from The recognized an opportunity to homeowners throughout both Demonstration Project, Enhabit New Yorker article by Kathryn Shultz continue raising public awareness, programs was, “Should I buy extensively manages the program resulted in nearly 4,000 people specifically targeted to those earthquake insurance?” Through and coordinates communication signing up to retrofit their homes. who originally indicated interest. this process, the city and Enhabit with homeowners and contractors. Enhabit was tasked with managing Enhabit published an Earthquake learned that when choosing between Enhabit additionally developed and sustaining the enormous Preparedness guide, purchased retrofitting and earthquake insurance, training for contractors to introduce demand and with creating an online advertisements, and created retrofitting is preferred because retrofitting principles, codes, or equitable lottery system to choose ongoing communication campaigns it provides safety to inhabitants. best practices, where needed, as which homes would receive the to encourage action for earthquake Insurance, however, may offset well as describing the process and FEMA incentives. Low-income or strengthening. some of the costs from earthquake- requirements for reimbursement under-represented homeowners caused damages, especially those through the FEMA PDM grant. This were given preference. These that are non-structural. Through the training strengthened positive additional factors were considered Lesson learned: pilot demonstration program and the relationships with the contractors and in the prioritization: current residential retrofit program, smoothed out the reimbursement ❱❱ Building foundation subgrade is Communicate expected the city is making significant strides process. Key partnerships with not steeper than 3 horizontal feet timelines at the start towards helping its community contractors, city planners and to 1 vertical foot remain safely in place following an officials, Enhabit, state, and federal earthquake event. This will contribute partners were strengthened over ❱❱ Structure may not be in the of the project. to the community’s ability to more the course of the project. These floodplain Due to the unexpected amount quickly return to regular life, thereby relationships and open lines of ❱❱ Cripple wall height cannot exceed of time it took to connect with reducing economic impacts and communication contributed to the 48 inches in one or two-story homeowners, verify interest, confirm preserving the community’s identity. success of the program. buildings and does not exceed that the owner could provide the 50 As of December 2017, the program 14 inches in three story buildings percent grant match requirement, has completed 120 home retrofits ❱❱ Structure has a continuous and select contractors, some and is expected to complete all 150 concrete foundation around its homeowners opted to not participate homes by October 2018. entire perimeter in the program. Enhabit tried to ❱❱ Structure may not be in proximity engage all 300 homeowners, but only to or contain critical habitat; and, 90 moved forward with a retrofit. To meet the grant requirements for 60 ❱❱ Structure may not be more than additional retrofit projects, Enhabit three stories. revisited the original pool of 4,000 The lottery system filtered homeowners to select an additional candidates to a smaller pool of 500. The project is ongoing as of eligible homeowners: 150 homes December 2017 with the assumption were selected for incentivized that the 60 additional retrofit projects retrofits, with another 150 identified will be complete. as backups should the initial pool decline to participate.

PHOTO: Danny Kelley, Enhabit

8 9 “We measure the impact of our work by how well we are building stronger communities in the markets we serve,” says Enhabit CEO, Tim Miller. “This initiative demonstrates once again the power of public-private partnerships to solve complex problems facing our neighbors, and to protect investments they’ve made in their homes.”

While overall public interest in this residential retrofit program has diminished somewhat, overall city-wide public awareness of earthquake risk has increased since the pilot project in 2014. City and state seismic mitigation and risk-reduction efforts continue for existing structures and measures are being taken to further ensure new or substantially improved structures are built taking earthquake risk into account. In June 2017, Oregon Governor Kate Brown signed HB2140 into law, effective January 1, 2018, to require seismic disclosure: Sellers simply state whether they know the house has been retrofitted — it does not require them to find out or make remedies. Because selling a home is a time when owners often get an inspection and make safety repairs, this measure brings the issue to people’s attention at a time when they are more likely to act on the information. The initial Seismic Demonstration Project and the larger residential retrofit program were targeted efforts for specific homeowners. However, both programs were strongly connected to broader city and statewide campaigns for increasing the public’s awareness of earthquake risk. As Portland grows and changes in the future, these programs, outreach, and guidelines will reduce overall risk and serve as an opportunity to bring together people and partnerships that collectively support this goal.

10 11 GRANTS MANAGEMENT: RECOMMENDATIONS: ❱❱ Enhabit used publicly available data ❱❱ From PBEM – This type of grant is Technical Grant Information through Portland Maps and an in-house time intensive so communities with Grant 1: Hazard Mitigation Grant Program (HMGP), City of Portland, Seismic Retrofit GIS technician to conduct this search. less capacity than Portland would be Demonstration Project ❱❱ The SHMO, city project manager, encouraged to coordinate with adjacent Grant 2: Pre-Disaster Mitigation Grant Program (PDM), Grant EMS-2015-PC-0001, and Enhabit project manager worked communities or find a similar non-profit City of Portland, Portland Residential Seismic Strengthening Project together to manage different parts of as a partner. Alternatives would be to try the grants. Enhabit staff worked directly batches of properties or assumptions that with homeowners and contractors to would lead to a refinement in the overall gather and organize materials required process. Additionally, be aware of factors TOTAL COST OF PROJECT: ❱❱ The project useful lifetime was assumed for reimbursement. City and state that may contribute to a need for more to be only 30 years. However, 146 of the ❱❱ HMGP – $102,143 partners helped to navigate FEMA grant capacity, for example, a structure over 150 homes are more than 50 years old ❱❱ PDM – $526,257 requirements and coordinate with Enhabit 50-years old triggers a historic review. with 87 built before 1940. These older if more or different information was ❱❱ While the overall project has been a homes would likely have longer useful needed from a specific project. success, barriers were experienced SCOPE OF WORK DETAIL: lifetimes, with a commensurate increase ❱❱ PDM funds require a 25-percent match. throughout the process. A reoccurring From the Goettel Benefit-Cost Analysis in the net present value of benefits. barrier for homeowners was the time Report: “Identical BCA approaches and However, for this project the city required ❱❱ The calculated benefits do not FEMA grant approval took. Throughout data were used in the HMGP and PDM grant a 50-percent match to enable funding consider the reductions in losses and the approval process, a homeowner applications. Benefit-cost analysis for the to go further. The match contribution casualties from the reduced probability may buy or sell the structure, lose proposed residential seismic retrofit project was provided by the homeowners. Most of fire following earthquake which interest, or decide against the project was conducted using the FEMA Version homeowners covered this themselves, are attributable to the retrofits that for another reason. This requires clear 5.1 Damage-Frequency Assessment (DFA) but Enhabit also offers loan options for include gas water heater bracing and/ communication of timeline expectations Benefit-Cost Analysis module, rather than retrofitting. They are currently exploring or automatic seismic shutoff valves for at the start of projects. One of these the Earthquake Structural Seismic Module.” options to address low-income and gas lines. delays was the initial Benefit-Cost The BCA took a conservative approach to be affordable loans. Analysis for each parcel, including consistent with FEMA-approved guidelines. The residential seismic retrofit projects for ❱❱ An expectation for grants management environmental and historic review. The conservation approach includes some both the HMGP and PDM grants focused is a steep learning curve with each new Creative options may exist in the future, assumptions below: on structural retrofits for single-family, project. Relying on grant kickoff meetings such as an average cost per structure wood-frame homes with unbraced cripple and clear lines of communication between ❱❱ Benefits from avoiding content or a BCA waiver if a structure has been walls and/or sill plates that are not bolted state and city partners leads to overall damage from failure of cripple walls approved for a past project, but for now to the foundation. success of a project. or homes sliding off foundations this is an investment in time. ❱❱ The grant closeout process required were not considered. ❱❱ The project team dealt with each retrofit THESE SEISMIC RETROFITS ARE oversight for quality control and historic ❱❱ Displacement costs were estimated funding situation individually—this was a HIGHLY COST EFFECTIVE BECAUSE: preservation. To accommodate the large very conservatively at only $1.00/SF time-consuming task. The team explored ❱❱ They address major seismic deficiencies number of individual projects, the project for one-time costs and $1.00/SF for selecting a fixed-funding amount to apply in single-family wood-frame homes with team conducted spot checks or sampling. monthly costs. These values are much unbraced cripple walls and/or with sill across the board for those homes that lower than the FEMA values used in the plates not bolted to the foundation. meet the criteria. This would greatly flood BCA module, which are based on reduce the administrative burden and ❱❱ The retrofits are highly effective in the GSA per diem rates for temporary expedite the program’s implementation. lodging and meals. The GSA rates for reducing seismic risk. Portland are $137 per day for lodging ❱❱ The retrofit costs are very low relative and $66 per day (per person) for meals. to building values. ❱❱ Deaths and injuries from failures of the cripple walls and/or unbolted sill plates were assumed to occur only for the extensive or complete damage states, with none assumed for the slight and For more information, contact: [email protected] moderate damage states. 12 13 BUILT TO LAST: RESILIENCY THROUGH SEISMIC RETROFITTING IN Portland, Oregon