Does PML Close LADBS Soft-Story Order?
No. Freddie Mac Chapter 64 states that Scenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML) for Seismic Risk Assessment. An LADBS soft-story Order to Comply still needs Ordinance 183893 Department County Recorder certificate acts and the DBS Soft-Story Retrofit Program path — a lender PML/SEL alone does not close the Order.
Last updated: September 7, 2026
What is PML/SEL?
Freddie Mac Multifamily Seller/Servicer Guide Chapter 64 lists Seismic Risk Assessment Requirements and states that Scenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML). The chapter cites ASTM Standard Guide E2026-16a and Form 1102. That Seismic Risk Assessment is a Seller/Servicer underwriting package document for earthquake collateral risk — not an LADBS ordinance compliance close.
What does Ordinance 183893 say about recordation and plan statements?
Per Ordinance 183893, §91.9306.6 states that at the time the Department serves the order, the Department shall file with the Office of the County Recorder a certificate stating that the subject building has been determined to be within the scope of this division. The same section states that the Department shall file a certificate terminating the above recorded status of the subject building if the building is thereafter demolished, found not to be within the scope, or is determined to be structurally capable of resisting minimum seismic forces as a result of structural alterations or analysis. §91.9310.2 lists the Engineer’s or Architect’s Statement on the approved plans — design-time plan text, not an Order-dismiss act. §91.9305.1 states that a civil or structural engineer or architect licensed by the state of California prepares the structural analysis. A lender PML/SEL does not close the LADBS Order.
| Document | Purpose | Satisfies LADBS Order? |
|---|---|---|
| PML/SEL (SEL-475; older term PML) | Freddie Mac Seismic Risk Assessment for earthquake collateral risk (Chapter 64; ASTM E2026-16a title) | No |
| County Recorder certificate (§91.9306.6) | At order service: Department files scope/order certificate with County Recorder; may later file certificate terminating recorded status (§91.9306.6) per Ordinance 183893 | Published ordinance text |
| Statement on approved plans (§91.9310.2) | Engineer’s or Architect’s Statement on the approved plans (design-time text, not an Order-dismiss act) (§91.9310.2) | Published ordinance text |
LADBS Soft-Story Compliance Timelines
Per the DBS Soft-Story Retrofit Program, the property owner must comply with the ordinance within the following time limit from the receipt of the Order to Comply:
| Deadline | Requirement |
|---|---|
| 2 years | Submit proof of previous retrofit, or plans to retrofit or demolish |
| 3.5 years | Obtain permit to start construction or demolition |
| 7 years | Complete construction |
Source: DBS Soft-Story Retrofit Program (Ordinance 183893 / Ordinance 184081). Soft Story Retrofit Program Status as of February 1, 2024 lists 12,347 soft story buildings and OBTAINED CERTIFICATES OF COMPLIANCE.
Frequently asked questions
Does PML Close LADBS Soft-Story Order?
No. Freddie Mac Multifamily Seller/Servicer Guide Chapter 64 states that Scenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML) for Seismic Risk Assessment — not an LADBS Order close. Ordinance 183893 §91.9306.6 lists Department County Recorder certificate acts; the DBS Soft-Story Retrofit Program lists an order to comply. A lender PML/SEL alone does not close the Order.
Can I send the PML/SEL to LADBS instead?
No. A lender Seismic Risk Assessment (SEL-475 / older PML term) does not meet LADBS Order requirements. Per Ordinance 183893, §91.9306.6 states that at the time the Department serves the order, the Department shall file with the Office of the County Recorder a certificate stating that the subject building has been determined to be within the scope of this division. The same section states that the Department shall file a certificate terminating the above recorded status of the subject building if the building is thereafter demolished, found not to be within the scope, or is determined to be structurally capable of resisting minimum seismic forces as a result of structural alterations or analysis. §91.9310.2 states that the responsible engineer or architect shall provide statements on the approved plans — design-time plan text, not an Order-dismiss act. §91.9305.1 states that a civil or structural engineer or architect licensed by the state of California prepares the structural analysis.
Why doesn't PML/SEL satisfy LADBS?
Freddie Mac Chapter 64 lists Seismic Risk Assessment Requirements and that SEL-475 is used instead of the older term PML. That SRA sits in the Seller/Servicer underwriting package — not the city's Order path. Per Ordinance 183893, §91.9306.6 lists County Recorder recordation at order service and a later certificate terminating the recorded status after demolition, not-in-scope finding, or structural alterations or analysis. §91.9310.2 lists engineer/architect statements on the approved plans. §91.9305.1 lists civil or structural engineer or architect. These are separate requirements with different purposes.
Does a lender PML/SEL satisfy the LADBS Order?
No. A lender PML/SEL (Probable Maximum Loss / Scenario Expected Loss-475) is a Freddie Mac Seismic Risk Assessment for the underwriting package and does not satisfy the LADBS Order. County Recorder certificate (§91.9306.6) and statement on approved plans (§91.9310.2) are published ordinance text. The lender's PML/SEL is not part of this process.
What deadline ladder does the DBS Soft-Story Retrofit Program list after an Order to Comply?
The DBS Soft-Story Retrofit Program states that each property owner will be sent an order to comply, then: 2 years — submit proof of previous retrofit, or plans to retrofit or demolish; 3.5 years — obtain permit to start construction or demolition; 7 years — complete construction. Ordinance 184081 lists the amended two (2) year and three and a half (3.5) year service-of-order windows. A lender PML does not substitute for that ladder.
Related
- Does a lender PML close an LADBS soft-story Order, or does the owner still buy a separate ordinance engineering package?
- PML/SEL Report Close City Order?
- LADBS Soft-Story Order Close Process
- Retrofit Order Dismissal Documentation
- Lender PML/SEL vs City Compliance
- City Structural Engineer vs Lender Engineer