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Home My WebLink AboutSS2 - ISO Grading ClassificationIll NORTH CANAL STREET SUITE 950 CHICAGO, IL 60&08 -7270 TEL: (312) 930 -0070 (800) 444 -4554 FAX (312) 930 -0017 June 8, 2009 Mr. Homer Bludau , City Manager City of Newport Beach 3300 Newport Blvd Newport Beach, CA 92658 RE: Building Code Effectiveness Grading Schedule Newport Beach, Orange County, California Dear Mr. Bludau: Study Session Agenda.SS2 June 23, 2009 We wish to thank you and Jay Elbettar for the cooperation given to our representative, Timothy Perella, during our recent survey. We have completed our analysis of the building codes adopted by your community and the efforts put forth to properly enforce those codes. The resulting Building Code Effectiveness Grading Classification is 1 for 1 and 2 family residential property and 1 for commercial and industrial property. The Insurance Services Office, Inc. (ISO) is an insurer- supported organization with the primary mission of providing advisory insurance underwriting and rating information to insurers. There is no requirement that insurers use our advisory material. Insurers may have adopted, or may be in the process of adopting, an ISO insurance rating program that will provide rating credits to individual property insurance policies in recognition of community efforts to mitigate property damage due to natural disasters. These insurers may use the Building Code Effectiveness Grading Classification we have recently developed for your community as a basis for the credits used. While individual insurers may use different credits or different effective dates, the ISO program will apply credits to new construction within Newport Beach that has been issued a Certificate of Occupancy in the year 2009 and forward. We have attached a copy of our report which provides additional information about our classification process and how we have graded various aspects of your community's building codes and their enforcement. We want to highlight the fact that the Building Code Effectiveness Grading Schedule is an insurance underwriting and information tool; it is not intended to analyze all aspects of a comprehensive building code enforcement program nor is it for purposes of determining compliance with any state or local law or for making property/casualty loss prevention and life safety recommendations. If you have any questions about the Classification that was developed, please let us know. Additionally, if you are planning on any future changes in your building codes or their enforcement, please advise us as these changes may affect our analysis and your community's grading classification. Sincerely, Building Code Department (800) 930 -1677 ext. 6208 Enclosure cc: Jay Elbettar w /enclosure Jurisdiction: Newport Beach County: Orange State: CA Survey Date: 2/26/2009 Sectiono Executive Summary Not all communities have rigorous building codes, nor do all communities enforce their codes with equal commitment. Yet the effectiveness of local building codes can have a profound effect on how the structures in your community will fare in a hurricane, earthquake, or other natural disaster. Studies conducted following recent natural disasters concluded that total losses might have been as much as 50% less if all structures in the area had met current building codes. Building -code enforcement can have a major influence on the economic well -being of a municipality and the safety of its citizens. Insurance Services Office (ISO) helps distinguish amongst communities with effective building -code adoption and enforcement through a comprehensive program called the Building Code Effectiveness Grading Schedule (BCEGSTM) ISO is an independent statistical, rating, and advisory organization that serves the property /casualty insurance industry. ISO collects information on a communiVs building -code adoption and enforcement services, analyzes the data, and then assigns a. Building Code Effectiveness Classification from 1 to 10. Class 1 represents exemplary commitment to building -code enforcement. The concept behind BCEGSTM is simple. Municipalities with well- enforced, up-to -date codes demonstrate better loss experience, and their citizens' insurance rates can reflect that The prospect of minimizing catastrophe- related damage and ultimately lowering insurance costs gives communities an incentive to enforce their building codes rigorously. The following management report was created specifically for Newport Beach based on a BCEGSTM survey conducted on 2126/2009. This report can help you evaluate your community's building -code enforcement services utilizing benchmarking data collected throughout the country. The report is designed to give your management team an expanded prospective for dealing with the important issues surrounding effective building code enforcement. This is accomplished through comparisons of your code enforcement to that of others in your area and state. The analysis goes further to allow you to compare your jurisdiction to others across the country with similar permit, plan review and inspection activity. ISO thanks you for your participation and we encourage you to take advantage of the information contained in this report to assist in making decisions regarding the level of code enforcement best suited for Newport Beach. r The survey conducted has resulted in a BCEGSTM class of 1 for 1 and 2 family dwellings and a class 1 for all other construction. More information regarding how this recent survey compares to previous surveys is located in section 6 of this report. VSO PROPERTIES, INC 2005 SECTION 1 PAGE 1 OF 1 "RECEIVED�1FiER AGENDA PRINTED." b5 2 41,1-30 v, City of Newport Beach Building Department ISO Application and Award June 2009 What is ISO ? ISO stands for Insurance Services Office, which is an independent statistical rating and advisory organization that serves the insurance industry Insurance companies may utilize ISO ratings in underwriting and determining property insurance rates What is the Rating Process.? ISO sends a questionnaire and survey ISO sends trained field representatives to municipalities to survey and collect information through review of the data including multiple face -to -face interviews ISO collects information on a community's building -code adoption and enforcement services, analyzes the data and assigns a Building Code Effectiveness Classification from 1 -10 (1 being the best) The rating process is designed to evaluate participating communities every 5 years BCEGS Point Analysis BCEGS is the Building Code Effectiveness Grading Schedule There is a separate score for residential construction (one- and two - family dwellings) and another score for commercial construction The Grading Schedule is divided into three sections: • Administration of Codes • Plan Review • Field Inspection Administration of Codes ► Code Adoption Adopt and implement the revised code within two years of publication of the building code Building Code published in 2007 City of Newport Beach adopted Jan 1, 2008 BCEGSTm BCEGSTm County State National Points Points Average Average Average awarded possible Commercial Building 8 8.0 4.11 3.76 5.09 Residential Building 8 8.0 4.11 3.75 5.03 Administration of Codes (Cont'd) ► Education By maintaining highly qualified, well trained staff the building department is equipped to encourage the construction compliant buildings better of code BCEGS credit can be earned for hours of training taken, dollars spent on training, incentives for outside training, and hiring requirements - Admin op. Training The Building Department offers incentives for training istration of Codes (Cont"d) Table 4 -3 BCEGS "' points earned by Newport Beach for training incentives Commercial Points earned Residential Points earned Department pays for certifications and exam fees Provides incentive for outside training or certification Pays for continuing education Yes 0.5 Yes 0.5 0.5 1 Yes 0.5 Yes i 0.5 1 Yes 1 0.5 Table B 4 -4 Comparison of training incentive points Commercial Residential County % State % i National % County % State % National % °io of Departments that pay for certifications and exam fees 1 1 71.85 169,02 % of Departments that provides incentive 50.00 4472 21.25 that pays for continuing education 17 1 72.70 37.93 1 38.1 or certification 27.59 24.19 39.66 137.68 1 7 Administration of Codes (Cont'd) ►Certification Hiring only certified code enforcement employees is a valued practice which elevates the quality and consistency of the code enforcement process All Inspector and Engineers are ICC certified; 1 Ad i ��4 All Plan Check Engineers are kj 4 `'`� � registered Professional Engineers D I leuOlIeN■ alels wi Ajunojo y:)eag :podmaNE uosiaedwo:) uoile�i jilaa� Hels ,..., P'N• elvlCtl Alunojg uo,pipuunf InoA■ paw,o},fad saitlnp letivapiseN 9 -v9 IeuQ,IrN@ &t''ISO Aluno:)• uu�lphxi,n� lno,�� seq Ion -f 6u10unyd leanlr47 V4 le.luiot3 Owppng %0 %O L %07 %0£ %OV %Oci %09 %OL %09 %06 ,pool m n t7 a A' a r rt � Plan Review Existing Staffing Experience of Personnel Detail of Plan Review Performance Evaluation for Quality Field Inspection Existing Staffing Manage Inspection and Re- Inspection Activity Experience of Personnel 1 �SA • Inspection Checklist ° Special Inspections r.. Final Inspections .�- • Certificate of Occupancy ` • Inspection for Natural Hazard Mitigation is Performance Evaluation for Quality Assurance How have we scored in the past.? 1997 Application resulted in score of 3 POINTS: 78.61 2001 Application resulted in score of POINTS: 88.30 H ow d i d we rate i n 2009 ? We scored 93.26 in commercial classification and 92.86 in residential classification Resulting BCEGS classification rating of " 1 " 1 13 3500 3000 2500 2000 1500 1000 500 0 How do we compare? I50 Ratings Countrywide ]7S 6 Cities out of 9,454 cities countrywide received rating 1 nPersonal Lines ❑Comirercial Lines 1 2 3 4 5 6 T 8 9 1 )