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seismic analysis. Many apartment buildings and residents could be in danger. The City of San Jose in conjunction with San Jose State University took pro-active steps to help Apartment Owners identify the seismic hazards in apartment buildings. The booklet is part of San Jose's Residential Seismic Safety Program. Recommendations: The City needs to consider adopting the San Jose's guide: The Apartment Owner's Cruide to Earthquake Safety and distribute to all owners of apartment buildings in San Leandro. Secondly, the City needs to work with other cities in lobbying state/federal government to consider use of HUD low-cost loans for retrofitting of apartments used by low-income citizens. This could be considered in FEMA's efforts on disaster mitigation. Home Owner Retrofit Program: It is estimated that 300,000 will be displaced by failed housing structures. San Leandro has an estimated 4,000 homes that may not survive a major earthquake on the Hayward Fault. Retrofitting to preserve homes needs to be a core effort of our city. The loss of homes will increase the demand for emergency sheltering which could go of for months. Kobe, Japan, similar geographically to the Bay Area, still has residents in temporary shelters. Recommendations: Consider rebating part of the property transfer tax if a home has been retrofitted. This is the model in Berkeley that has increased retrofitting compliance. Secondly, consider using the ABAG video on cable TV/government channel to promote greater awareness of risks.Work with the insurance industry for consideration of retrofitting in establishing insurance rates. 4. Neighborhood Islands: Based on the experience of Red Cross, their analysis of risks, it is strongly believed that freeway/street failures will create "neighborhood islands" of need. These islands need to be prepared for up to 72 hours to survive. Schools/ shopping malls/public buildings must be prepared to assume role of emergency shelters. 12 military bases with their personnel that formerly served the area are now closed. The response time of the military will be dependent on other disasters/global commitments. Cities of Berkeley, Oakland, San Jose are actively promoting and training neighborhood response teams. Recommendations: City needs to work pro-actively with schools/neighborhood business associations and Red Cross to create network of Neighborhood Emergency Response Teams (NERTS). Pace of installation of ARK's needs to increased to insure emergency supplies/equipment are in potential "islands" of the city/county. 5. WATER SUPPLIES: Currently, EBMUD is undertaking a massive seismic improvement plan. Until the Claremont Tunnel is replace, San Leandro's water supply is at risk in a major earthquake along the Hayward Fault. Oakland has acquired a special pumping truck to enable it to take water from the Bay to fight fires. 2