TO: Board of Supervisors
FROM: Ryan J. Alsop, County Executive Officer
REPORT BY: Andrew M. Mize, Legislative & Policy Analyst
SUBJECT: Return of Referred Item on Property Insurance
RECOMMENDATION
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Authorize transmittal of a letter to the Commissioner of the California Department of Insurance regarding reforms to California’s property insurance regulations and efforts to reduce the number of policyholders in California’s FAIR Plan. (No Fiscal Impact)
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BACKGROUND
On December 17, 2024, Supervisor Cottrell referred an item to the County Executive Officer for consideration by the Board in January 2025. Specifically, Supervisor Cottrell requested that staff draft a five-signature letter to the Commissioner of the California Department Insurance that covers the Board’s ongoing commitment to working with the state to address the property insurance crisis in California; outlines the severity of the crisis in Napa County and the rise in local FAIR Plan policyholders over time; reinforces that the Governor’s emergency powers are not the long-term fix for this problem; and shares the Board’s expectations that the Commissioner hold insurers accountable to their admitted market growth commitments in order to shrink the FAIR Plan.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
No |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.