RESILIENCY IN ACTION
Loss Avoidance Studies
What Are Loss Avoidance Studies, and Why Do We Conduct Them?
Loss avoidance studies (LAS) assess the effectiveness of mitigation projects by estimating the value of damage prevented from future disasters. These studies are essential for demonstrating the economic benefits of investments in risk reduction. By quantifying avoided cost such as property damage, business disruptions, and emergency response we provide evidence that mitigation efforts pay off over time and help secure continued funding for future initiatives.
How Do We Perform Loss Avoidance Studies?
Loss avoidance studies compare conditions before and after a mitigation project is implemented. Utilizing data from past disasters and advanced modeling techniques, the Cal OES Assessment Unit can estimate the damage that would have occurred without the mitigation project. This helps us quantify the economic value of these preventive measures and document their success in protecting communities.
Who Benefits from Loss Avoidance Studies?
Communities, governments, and stakeholders all benefit from loss avoidance studies. These studies provide a clear understanding of the effectiveness of mitigation efforts, ensuring that public funds are well-spent and communities are better protected from future disasters. They also support transparency and accountability, helping stakeholders make informed decisions about future investments in mitigation.
Lick Observatory: Defensible Space
The Lick Observatory underwent significant wildfire risk reduction measures to protect its facilities, critical research equipment, and infrastructure. This project includes vegetation management, infrastructure improvements, and enhancements to access and egress routes. The initiative was a collaborative effort between FEMA, Cal OES, and UC Santa Cruz. The Pre-disaster Mitigation (PDM) funded project was submit to FEMA on behalf of the UC Santa Cruz and completed in 2005 at a total cost of $864,330. Using the FEMA Benefit-Cost Analysis (BCA) module, the losses avoided calculated due to the hazard mitigation project amounted to $73,022,963.
Sonoma County: Flood Elevation
The Sonoma County Flood Elevation Program was created in response to catastrophic flood events in Sonoma County in 1986, 1992-1993, 1995, and 1997. Funding was provided to Sonoma County to elevate the floor levels of approximately 290 residences above the base flood elevation, providing protection from 100-year flood events. A loss avoidance study was conducted in response to the 2019 Sonoma County Russian River flood that affected approximately 1,900 homes and 578 businesses with total estimated damages exceeding $150 million. The total of project costs for all 290 houses to date is $20,380,443. Losses avoided (benefits) from the elevation program were calculated using the FEMA BCA module and FEMA Hazus software, were calculated at $50,665,565.
Tahoe-Truckee USD: Snow Load Retrofit
Snow load retrofits were completed from 2013-2015 for five schools on behalf of the Tahoe-Truckee Unified School District. Mitigation involved strengthening the roof snow load system to increase pre-mitigation snow load capacity. Before implementation of the project, snow had to be manually removed, totaling an annual maintenance cost of $31,157. A loss avoidance study was conducted in response to a record-setting snow event in the winter of 2022. Total project costs of the mitigation action for all five schools was $2,637,825.00. Funding programs. Losses avoided (benefits) were calculated using the FEMA BCA module. Benefits resulting from the 2023 Winter storms were calculated at $25,960,690.
FEMA’s HMA Program Success Stories
The Hazard Mitigation Grant Program (HMGP) and other FEMA-funded programs have been instrumental in enhancing California’s disaster resilience.
Awarded HMGP Projects (CA Grants Portal)
HMGP focuses on reducing risks and enhancing resilience to natural disasters like wildfires, earthquakes, and floods. These projects aim to protect lives, property, and infrastructure through various measures such as vegetation management, structural retrofits, and community education programs. For more information, including a list of awarded HMGP projects, project descriptions, and award amounts, you can visit the California Grants Portal.
FEMA’s Mitigation Action Portfolio
FEMA’s Mitigation Action Portfolio (MAP) is a resource that provides detailed documentation on innovative hazard mitigation projects. These projects are eligible for funding under FEMA’s Hazard Mitigation Assistance (HMA) programs. The MAP showcases successful hazard mitigation and serves as a guide for applicants seeking grants and offers inspiration for new mitigation project ideas
Fiscal Year 2022 In Review
FEMA released the Hazard Mitigation Assistance Division Year in Review report to highlight the successes and lessons learned from the various mitigation projects awarded. It includes an overview of completed projects, the total funds allocated, the impact on communities, and the return on investment in terms of avoided losses and enhanced safety.
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