LA PML Versus

PML/SEL Report Close City Order?

No — a PML/SEL report does not close a city Order to Comply. Freddie Mac Chapter 64 lists Seismic Risk Assessment Requirements and that Scenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML). City close under Ordinance 183893 still needs Department County Recorder certificate acts and engineer statements on approved plans.

Last updated: September 7, 2026

What is the difference?

PML/SEL answers the mortgage underwriting question: Freddie Mac Chapter 64 lists Seismic Risk Assessment Requirements and that Scenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML), citing ASTM Standard Guide E2026-16a and Form 1102 for the underwriting package. The city package answers the ordinance question under Ordinance 183893: Department County Recorder certificate acts and engineer statements on approved plans. Different recipients, different purposes, different standards.

DocumentPurposeRecipientCloses Order?
PML/SEL (SEL-475; older term PML)Freddie Mac Seismic Risk Assessment for the underwriting package (Chapter 64; ASTM E2026-16a title)Lender or servicerNo
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 183893LADBS / County RecorderPublished ordinance text (Department act)
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)LADBSPublished ordinance text (design-time)

What closes the Order?

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 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. The lender PML/SEL is not submitted to LADBS and does not satisfy these city requirements.

RequirementDocumentSubmitted to LADBS?
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)Yes (Department act)
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)Yes (via design professional)
Lender Seismic Risk Assessment (SEL-475 / older PML)Freddie Mac underwriting package (Chapter 64)No

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:

DeadlineRequirement
2 yearsSubmit proof of previous retrofit, or plans to retrofit or demolish
3.5 yearsObtain permit to start construction or demolition
7 yearsComplete 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.

ClaimURLListed
Ordinance 183893cityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdf183893
§91.9305.1 Generalcityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdf91.9305.1. General.
CA licensed engineer/architectcityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdfcivil or structural engineer or architect licensed by the state of California
§91.9306.1 Issuance of Ordercityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdf91.9306.1. Issuance of Order.
§91.9306.6 Recordationcityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdf91.9306.6. Recordation.
County Recorder certificate at ordercityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdffile with the Office of the County Recorder a certificate
Certificate terminating recorded statuscityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdfcertificate terminating the above recorded status
found not within scopecityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdffound not to be within the scope of this division
structurally capable after alterations/analysiscityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdfstructurally capable of resisting minimum seismic forces as a result of structural alterations or analysis
§91.9310.2 plan statementcityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdf91.9310.2. Engineer’s or Architect’s Statement.
shall provide statements on approved planscityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdfshall provide the following statements on the approved plans
Ordinance short titlecityclerk.lacity.org/onlinedocs/2014/14-1697-S1_ord_183893_11-22-15.pdfMANDATORY EARTHQUAKE HAZARD REDUCTION IN EXISTING WOOD-FRAME BUILDINGS WITH SOFT, WEAK OR OPEN-FRONT WALLS
DBS program names Ord 183893dbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-programOrdinance 183893
DBS program names Ord 184081dbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-programOrdinance 184081
DBS Soft-Story Retrofit Programdbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-programSoft-Story Retrofit Program
DBS order to complydbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-programorder to comply
DBS Order to Complydbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-programOrder to Comply
DBS 2-year plans/proof stepdbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-program2 years: Submit proof of previous retrofit, or plans to retrofit or demolish
DBS 3.5-year permit stepdbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-program3.5 years : Obtain permit to start construction or demolition
DBS 7-year complete stepdbs.lacity.gov/services/specialized-services/mandatory-retrofit-programs/soft-story-retrofit-program7 years : Complete construction
Compliance report as-of datedbs.lacity.gov/sites/default/files/styles/medium/public/soft-story-compliance-report.pdfSOFT STORY RETROFIT PROGRAM STATUS AS OF February 1, 2024
Soft-story building countdbs.lacity.gov/sites/default/files/styles/medium/public/soft-story-compliance-report.pdf12,347
Obtained certificates labeldbs.lacity.gov/sites/default/files/styles/medium/public/soft-story-compliance-report.pdfOBTAINED CERTIFICATES OF COMPLIANCE
Chapter 64 titlemf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfChapter 64
SRA chapter namemf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfSeismic Risk Assessment Requirements
SEL-475 replaces older PML termmf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfScenario Expected Loss-475 (SEL-475) is used instead of the older term Probable Maximum Loss (PML)
ASTM E2026-16a cited in Ch64mf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfASTM Standard Guide E2026-16a
Seismic Risk Assessmentmf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfSeismic Risk Assessment
Form 1102mf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfForm 1102
underwriting packagemf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfunderwriting package
SEL-475mf.freddiemac.com/docs/chapters/mf_guide_ch_64.pdfSEL-475
Ch64 guide index linkmf.freddiemac.com/lenders/guide/Chapter 64 - Seismic Risk Assessment Requirements
ASTM E2026 public titlewww.astm.org/e2026-16a.htmlE2026 Standard Guide for Seismic Risk Assessment of Buildings

Frequently asked questions

PML/SEL Report Close City Order?

No. A PML/SEL report does not close a city Order to Comply. 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 LADBS Order dismissal. Ordinance 183893 §91.9306.6 lists Department County Recorder certificate acts; §91.9310.2 lists engineer/architect statements on the approved plans. A lender PML/SEL does not close the city Order.

Why doesn't LADBS accept the PML/SEL?

PML/SEL answers the mortgage underwriting question. Freddie Mac Chapter 64 lists Seismic Risk Assessment Requirements and that SEL-475 is used instead of the older term PML for the underwriting package. The Soft-Story Retrofit Program Order to Comply path under Ordinance 183893 is separate: §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 (design-time text, not an Order-dismiss act). §91.9305.1 lists civil or structural engineer or architect.

What is the difference between a PML/SEL and the city Order?

PML/SEL is a Freddie Mac Seismic Risk Assessment (SEL-475; older term PML) for the Seller/Servicer underwriting package per Chapter 64 and ASTM Standard Guide E2026-16a. The city Order to Comply under the Soft-Story Retrofit Program requires ordinance compliance documentation under Ordinance 183893 — Department County Recorder certificate acts and engineer statements on approved plans. Separate requirements, different recipients, different standards.

What does Ordinance 183893 say about what closes the Order?

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 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. The lender PML/SEL is not submitted to LADBS and does not satisfy these city requirements.

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 amends service-of-order windows. A PML/SEL report does not substitute for that ladder or close the Order.

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