California Governor Arnold Schwarzenegger’s proposal to inflict a 4.8 percent statewide surcharge on all CA Home Insurance and commercial property insurance premiums for fire suppression efforts was not fulfilled.
The proposal, known as the Emergency Response Initiative (ERI), would have used monies gained from the surcharge to enhance the state’s emergency response capabilities, including enhancements for CAL FIRE, the California Emergency Management Agency, the Military Department, and assistance to local first response agencies in support of the state’s mutual aid system.
Schwarzenegger had estimated $238 million would have been gained in the current budget year, and about $480 million per year would be gained in subsequent years.
