Maine Municipal Association 2012 Convention October 3 rd & 4 th , 2012

1. Maine Municipal Association2012 ConventionOctober 3rd & 4th, 2012 Presenter: James D. Nadeau P.L.S., C.F.M., C.F.S. Session 1: 8:45-10:00 AM Mortgage Loan Inspections vs. Boundary Surveys Session 2: 1:30-3:00 PM Understanding Flood Zones

2. Session 1: 8:45 – 10:00 AMMortgage Loan Inspections vs. Boundary Surveys • Differences between MLIs and Boundary Surveys • Common misconceptions about their use • Breakdown of a Boundary Survey

3. MLIs vs. Boundary SurveysWhat they do

4. MLIs vs. Boundary SurveysHow determinations are made

5. Inspections vs. SurveysDefinitionsfrom Black’s Law Dictionary, 6th edition

6. MLI Sketch • They’re called “Inspections” for a reason • No evidence is shown • No records research performed • Measurements not necessarily performed • Determination is made by provided deed or reference from the title company, Realtor, or lending institution

7. Boundary Survey • Research to determine order of lot sequence • Identify evidence in operative documents • Perform accurate measurements • Perform precise computations • Document preparation

8. MLIs vs. Boundary SurveysWho should use them

9. MLIs vs. Boundary SurveysHow they are used

10. Pop Quiz 1: Mortgage Loan Inspection should ONLY be used for these 2 things: Determine if dwelling (improvements to be used as collateral) was in compliance with municipal setback requirements at the time of construction. Determine if dwelling is located within a Special Flood Hazard Area, based solely on horizontal scaling, no elevations are used.

11. Statements often found on a Mortgage Loan Inspection, qualifying the product

12. Mortgage Loan InspectionsCommon Misconceptions • A Mortgage Loan Inspection has never been called a Class D Survey. • A Class D Survey pertains to Positional Accuracy of Field Measurements. • Also called a plot plan, site plan, mortgage survey. • Closing statement

13. Mortgage Loan Inspections MLIs SHOULD NOT be used for: • Land Divisions/Subdivisions • Land Feasibility • Acreage Calculations • Site Plans • Building Permits

14. Mortgage Loan Inspections MLIs DO NOT identify: • Deed overlaps • Junior/Senior rights • Easements and Rights of Way not in current deed • Any land conveyance not in current deed • Typographical errors in current deed • Encroachments • Original boundary evidence

15. POP QUIZ 2! • Q: What is the area of a 100' x 200' parcel of land?

16. POP QUIZ! Answer…

17. Boundary SurveysThe Breakdown

18. Boundary SurveysPrivate & Public Records Research • Collect information NOT recorded at the Registry of Deeds • Municipal offices • Abutters • Other land surveyors • Registry of Probate • County commissioner’s office • State agencies • Historical societies

19. Boundary SurveysRegistry Research • Perform chains of title at registry of deeds • Determine: • Sequence of conveyance • Original called for boundary line or corner evidence • Easements/rights of way • Typographical errors

20. Boundary SurveysPreparation of Deed Sketch • Worksheet that identifies the various record calls along each boundary line • Original deed used to identify the intent of the original grantor • Evidence found relative to locative information within the deeds • Differing surveyor opinions

21. Boundary SurveysChain of Title

22. Locus Chain of Title for our office • 1899 - Present: Portland • 1871 - 1899: Deering • 1814 - 1871: Westbrook • Pre – 1814: Falmouth • From 1814 – 1820 Westbrook was part of Massachusetts • Prior to 1760 records would be located in York County. • Cumberland County was not established until November 1, 1760. Also, both counties were still within the boundaries of Massachusetts until 1820.

23. Significant Dates in Cumberland County History • Portland was part of Falmouth until 1786. • Yarmouth was part of North Yarmouth until 1849. • Scarborough - July 14, 1658 • Falmouth - November 12, 1718 • North Yarmouth - 1732 • Brunswick - January 26, 1739 • Harpswell - January 25, 1758 • Cumberland County - November 1, 1760 • Lincoln County - November 1, 1760 • Windham - June 12, 1762 • Gorham - October 30, 1764 • Cape Elizabeth - November 1, 1765

24. Deed Sketch

25. Boundary SurveysField Recon & Instrument Location • Using the deed sketch, we field locate all applicable boundary evidence, improvements, and lines of occupation (tree lines, fences, stone walls). • Not uncommon to find occupation lines and record lines to be in different locations.

26. Boundary SurveysData Entry/Office Computations • Review, validate, and verify data for mathematical accuracy • Can now determine acreage, encroachments, boundary corner locations, easements, rights of way, etc. • Determine deed excess and deficiency • We create our professional opinion

27. Boundary SurveysPreparation of Final Plan • Depicts all rendered services, final findings, and recommendations. • Should hold up to professional scrutiny in a discussion or dispute. • Product is prepared in compliance with State requirements.

28. Boundary SurveysMark Property Corners • Return to site to mark boundary corners and lines with steel rebar and survey caps. • Provides notice to abutters and future surveyors that the parcel was formally surveyed. • Other monuments can be placed as requested.

29. Summary of Key Points • Mortgage Loan Inspections are only to be used to determine investment risk in mortgage loan transactions. • Any determinations made based on accurate measuring of the land would require a formal land survey. • Permits made for development projects should never be based on an Mortgage Loan Inspection Plan.

30. Mortgage Loan Inspections vs. Boundary Surveys Any Questions?

31. Maine Municipal Association2012 ConventionOctober 3rd & 4th, 2012 Presenter: James D. Nadeau P.L.S., C.F.M., C.F.S. Session 1: 8:45-10:00 AM Mortgage Loan Inspections vs. Boundary Surveys Session 2: 1:30-3:00 PM Understanding Flood Zones

32. Session 2: 1:30 – 3:00 PMUnderstanding Flood Zones • History and purpose of the National Flood Insurance Program • Creation of the flood zone • Flood Insurance Rate Maps & their inconsistencies • Flood zone determinations & the appeals process

33. We will not cover the following topics in great detail: • Elevation Certificates • Formal submissions • Insurance • Community Rating System • Creating elevations from flood studies • Substantial improvement and damage • Hazard mitigation • Regulatory and administrative measures But we are happy to provide more information at another time.

34. Evolution of the National Flood Insurance Program • During the early years of flood insurance provided by private industry, rates were too high because it was optional. • Data collected in the early to mid- 1900’s indicated most of the major flood disasters in previous decades were the result of urban expansion in flood zone areas, with little regard for the natural resource. • Traditionally, governments tried to keep water away from the people by constructing dams, levees, etc., but this was inadequate. NEW STRATEGY: Keep the people away from the water!

35. 1953: Tennessee Valley Authority initiates first floodplain regulations • Objectives: • Assure the retention of the required floodway areas without raising flood heights • Encourage sound land use in the floodplain, consistent with flood hazard and community land use needs • Initial approach: “Zero” flood height increase across the entire floodplain • Not very practical! Expanded regulation in a way that couldn’t address: • individual existing uses • development needs • social, economic, and natural benefits • private property rights, etc.

36. In an effort to gain approval and funding… • The Flood Insurance Administration (part of the U.S. Dept. of Housing and Urban Development) negotiated a compromise to satisfy Congress. • Engineered models of a floodway often show an area larger than those depicted on the flood maps due to the “no rise” strategy. • They achieved a smaller floodway width by squeezing the model to a point that a one foot rise at any point within the channel would occur.

37. 1968: Congress passed the National Flood Insurance Act, creating the National Flood Insurance Program • Program would: • Provide flood insurance coverage not generally available in the public market • Stimulate local floodplain management to guide future development • Emphasize less costly nonstructural flood control regulatory measures • Reduce Federal disaster costs by shifting burden from general taxpayer to floodplain occupants

38. 1973: Flood Disaster Protection Act • Lending institutions cannot make, increase, extend, or renew a loan for a building in the floodplain without NFIP flood insurance. • It is the responsibility of the lender to: • Determine if the property is in a Special Flood Hazard Area (SFHA) • Document the determination • Ensure the insurance is maintained through the life of the loan

39. 1994: National Flood Insurance Reform Act • Increased the maximum amount of flood insurance coverage • Establish a grant program for mitigation plans and projects • Enacted stricter penalties on lenders to comply • 5 year visit by FEMA to communities • Increased Cost of Compliance

40. The NFIP Approach The NFIP’s approach was based on the rational of selecting a minimum criterion (no more than one foot) to designate a floodway, that would be a compromise between prohibiting encroachments into the floodplain, while permitting economical land use and protection from unreasonable invasion of private and public rights.

41. Base Flood Elevation (BFE) • The height above sea level to which flood water would be expected to rise in a base, or 100 year flood event. • 100 year flood • 1 % annual chance of being equaled or exceeded in a given year • 100 year flood has a 26% chance of occurring over the life of a 30-year mortgage loan

42. The Floodway No development is permitted in the floodway, unless a licensed engineer can certify through scientific analysis that it will cause “no rise” to the BFE. Floodway: the main channel of a watercourse, including adjacent floodplains necessary to carry the selected flood without increasing flood elevations significantly.

43. The Effects of Fill on the Floodway

44. Oppositions • Officials from various states felt that “no more than one foot rise” was not an effective criterion. • Did not take into account: • Terrain topography • Stream slope and side slope • Upstream watershed development • Hydrology, hydraulics, water velocities, water depth • Ecological and environmental conditions • Economic and societal considerations • Degree of acceptance of land use regulations • State and federal statutes and criteria • Vegetation loss, impervious surfaces • Bridges, ice blocks, improper fill

45. Base Flood Elevation • Insurance - used as an accurate numerical value for determining flood risk. • Regulation – used as an accurate numerical value for permit approvals. • Design or planning – should only be used as an approximate or predicted elevation.

46. NFIP Basic Parts Insurance Regulations Maps

47. Permissible Rise • Permissible rise in flood elevation is based on the assumption that the floodway fringe is completely filled with structures or earth fill to the elevation of the selected flood, or is closed off by a wall so flood waters have to pass down the floodway in the floodway model. In real conditions, the walls do not exist and flood water will impact the floodway fringe on both sides of the floodway.

49. Special Flood Hazard Areas (SFHA) • FEMA-identified high-risk flood area where flood insurance is mandatory for property owners. • These areas have special flood, mudflow, or flood-related erosion hazards • Shown on a Flood Hazard Boundary Map or a Flood Insurance Rate Map (FIRM) as being in an A Zone or V Zone (coastal flood zones)

50. A Zones • AE - An area inundated by 100-year flooding, for which BFEs have been determined. • A - An area inundated by 100 year flooding, for which no BFEs have been established. • AH - An area inundated by 100-year flooding (usually an area of ponding), for which BFEs have been determined; flood depths range from 1 to 3 feet. • AO - An area inundated by 100-year flooding (usually sheet flow on sloping terrain), for which average depths have been determined; flood depths range from 1 to 3 feet. • A99 - An area inundated by 100-year flooding, for which no BFEs have been determined. This is an area to be protected from the 100-year flood by a Federal flood protection system under construction. • AR - An area inundated by flooding, for which BFEs or average depths have been determined.