The new Del Webb project at San Juan Oaks is using a state law that allows for the formation of a Geologic Hazard Abatement District to curtail risks of building in earthquake country.
County supervisors Tuesday signed off on the new district. It is an assessment district, so the new homeowners must agree to charge themselves a given amount set aside for repair and prevention of geologic issues that might arise.
Resource Management Agency Director Brent Barnes told supervisors it will be the first GHAD in San Benito County and that San Juan Oaks was the only applicant for one. Barnes said the districts act as an “insurance policy.”
According to GHAD.org: By pooling insurance, the districts can “reduce insurance costs, share risk, pool financial resources, and share insurance options.” There are at least 35 GHADs set up so far in California, according to the website.
The financing districts have municipal powers, too, including eminent domain, according to a county agenda report.
San Juan Oaks, as part of a development agreement, requested the formation of the district, according to the county. The five supervisors would act as the GHAD board, but the funds can go only toward GHAD activities.
“In this case, the property owners initiated the request for this,” said Deputy County Counsel Shirley Murphy.
Pulte Homes subsidiary Del Webb is set to build 1,017 single-family, age-restricted homes on the San Juan Oaks property outside Hollister targeted toward active adults 55 years and older, along with a host of amenities that include a resort, community center and a skilled-nursing facility. Additionally as part of the project, San Juan Oaks will build 67 market-rate homes along the golf course. The builder initially hoped to have a model home showing by the end of 2016.
