carry out projects that were intended to be started shortly after the earthquake hit," Panetta said. "Because of the need for many emergency measures these cities do not have the available funds to carry out these projects. In some cases these projects would provide long-term assistance to those affected by the earthquake." He added, "The earthquake that hit California on october 17, 1989 has changed the lives of thousands of people. Many will not be able to resume a normal life for some time to come. We, as a nation, have always shown compassion to those whose lives have been disrupted by a disaster. "The people of California are grateful for the assistance that the American people have provided since the earthquake, but now that the headlines have ended and the nation's attention has turned to other subjects, the victims of the earthquake are left with problems still unsolved. I believe that our job today is to develop long-term permanent solutions to help these communities rebuild and revitalize." SEAL OF SONVILL ECAL CITY OF WATSONVILLE Mayor & City Council 728-6006 250 Main Administration 215 Union City Manager 728-6011 City Attorney 728-6013 Personnel 728-6012 City Offices 250 Main City Clerk 728-6005 Building Insp. 728-6017 Finance 728-6031 Planning 728-6020 Public Works 728-6049 Fire 728-6060 115 Second Library 728-6040 310 Union Purchasing 728-6029 231 Union Recreation 728-6081 20 Maple April 5, 1990 The Honorable Henry B. Gonzalez, Chairman Subcommittee on Housing and Community Development B303 Rayburn House Office Building SUBJECT: REPORT ON EARTHQUAKE DISASTER EFFECT ON Dear Chairman Gonzalez: INTRODUCTION AND OVERVIEW Many who have viewed the overall damages associated with the Loma Prieta earthquake feel Watsonville is the hardest hit urban area. The 7.1 earthquake, centered approximately 5 miles from the City, shook violently for over 22 seconds. Several of the 8,000 aftershocks were centered beneath the City limits. Eight of the aftershocks registered over 5 on the Richter scale. The City, County, State and Federal governments teamed together to combat the damages resulting from the October 17th earthquake. Millions of dollars and thousands of hours of labor by relief agencies, private businesses and tireless volunteers began to counter the negative effects of the earthquake. The recovery work continues today and will be ongoing for many years to come. The City lost approximately 8% of the housing stock. An estimated $60 million structural damage occurred to 1,900 buildings. A total of 106 mobile homes were severely damaged. The contents damage is estimated to match, if not exceed, the structural dollar loss. One cold storage facility lost over $15 million in product. Approximately 90% of the structural damage resulted from the failure of unreinforced masonry construction and wood frame construction not properly attached to a solid foundation. Rehab. Housing 728-6022 231 Union The Honorable Henry B. Gonzalez There were over 650 homes severely damaged, approximately 250 red tagged as uninhabitable. Most red-tagged homes had jumped off their foundations and had significant structural damage. Sixteen commercial buildings in the downtown area, housing nearly seventy businesses, were destroyed by the earthquake. Ten other commercial buildings and a large Catholic church are severely damaged. Some of these buildings may yet be demolished rather than rehabilitated. The earthquake has had a significant economic impact on the Watsonville community. Hundreds of jobs have been lost and approximately 1,200 people have been displaced by the earthquake. The City Finance Director estimates that the City has lost over $600,000 of property and sales tax revenue for the year ($200,000 property, $400,000 sales tax). In addition, an estimated $67,000 of revenue will be lost to the City's Redevelopment Agency due to the damage in the downtown area. As of June 30, 1989, there were tax anticipation notes outstanding totaling $1,830,000. The City cost associated with managing the disaster is near $4 million. The State and Federal reimbursement for City expenditures is yet to be decided. Recent audits reveal that the City may receive approximately two-thirds of the expenditures. The City annual budget is approximately $11 million. Obviously, the financial impacts have been significant. Disaster expense reimbursements and other financial support is urgently needed. ASSESSMENT OF FEDERAL HOUSING ASSISTANCE We want to be clear in our analysis of Federal housing assistance. Our first message is one of appreciation for the long hours and many dollars spent on supporting community members victimized by the Loma Prieta earthquake. While there are some shortfalls and issues where support The Honorable Henry B. Gonzalez could be improved, we do not want to give the feeling we do not appreciate all the positive efforts extended to the City of Watsonville by the Federal government. The emergency housing management challenges in Watsonville are different than most communities in America. The City had a significant shortage of housing before the earthquake. The local farming industry attracted many Hispanic farm workers (approximately 60% of our total population) to the Pajaro Valley. Watsonville is the urban hub of the Pajaro Valley. It is also located on the Monterey Bay which adds to the very high property value. The housing vacancy rate is less than one percent. There are many cases where families live in garages, sheds or group together in a single-family dwelling. The earthquake victims that could document their existence in the format approved by FEMA received fair and equitable treatment. Many feel that earthquake victims receiving housing support from FEMA should be treated less bureaucratically and more realistically. Residents of temporary housing should be prepared for a return to permanent housing. An affordable rental fee for living in temporary housing should be collected in a trust account available to be used when permanent housing is available. The FEMA services provided to earthquake victims should be coordinated with local housing service groups. Trained outreach personnel working directly with the disaster victims to develop a partnership approach in returning to permanent housing is vital. The outreach workers and FEMA management should work side by side with the local housing agencies to develop that same partnership relationship. long-term housing answers are not mutually exclusive from the local and federal service groups who service the disaster clients. The The Honorable Henry B. Gonzalez There are many housing services that are provided locally that should be blended into the services offered by Federal agencies The County and City have developed housing programs through the housing authority, planning departments, community action board, family and single room shelters, local housing coalitions and other related housing services. The FEMA support has worked at a distance from the local programs. The disaster victims they have targeted are an unknown component to the local disaster management problem. The sharing of information and support programs would add tremendously to the overall remedy to the disaster housing problem. There are several services that local housing groups and agencies can offer Federal housing assistance authorities. The local outreach workers know many of the families that are victims of the earthquake. Many of them had a past history of homelessness. The local authorities could provide temperance and individual guidance when providing housing assistance. Another acknowledged weakness that outside Federal service workers had that can be improved with local support is knowledge of the housing market. The Watsonville community has an identity associated with the Pajaro Valley farming industry. The housing stock, most damaged in the earthquake, supplies most of the farm and cannery workers. When looking for housing options, the disaster victims are reluctant to live in Central or North Santa Cruz County. There are too many cultural differences and very little identity with their cultural needs. The majority of the housing information used by FEMA was gathered from the newspapers. Local service groups have other reality knowledge and community ties that provide a greater depth of potential housing options. |