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Business News

FAIR Plan ordered to cease and desist fire insurance moratorium

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Written by: Editor
Published: 14 December 2017
SACRAMENTO – California Insurance Commissioner Dave Jones said Thursday that he’s taken action to end the California FAIR Plan’s moratorium on new fire insurance coverage.

"This morning I issued a cease and desist order requiring the California FAIR Plan to terminate immediately the moratorium it initiated on writing new fire insurance coverage in wildfire-impacted areas and ordering the FAIR Plan to make its fire insurance products available to all eligible Californians in keeping with its statutorily mandated purpose,” Jones said Thursday. “I've been advised the FAIR Plan, after being notified of the cease and desist, agreed to lift its moratorium on writing new policies.”

Jones said he originally took this action after receiving information that the FAIR Plan imposed a moratorium on writing new policies in current active fire zones across California.

The FAIR Plan was established as the fire insurer of last resort to make certain California property owners have access to fire insurance coverage, Jones said.

Jones said there is no statutory allowance for the FAIR Plan to discontinue writing fire insurance policies for applicants anywhere in the state who need fire insurance coverage to protect themselves from financial loss.

While the FAIR Plan is required to write coverage, Jones said any individuals or entities who attempt to commit insurance fraud by placing FAIR Plan or any other insurance coverage on damaged property to cover losses that already occurred will be investigated and prosecuted.

If anyone is denied the opportunity to purchase a FAIR plan policy, Jones said they should contact his agency’s consumer hotline at 800-927-4357.

Gas prices are dropping just in time for the holiday travel season

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Written by: Editor
Published: 14 December 2017


BAY AREA, Calif. – Californians will end 2017 with another busy travel holiday, and they're getting some much-needed relief at the pump as an early Christmas present.

According to a survey commissioned by AAA this month, more than one-third of Californians are planning to travel between Dec. 23 and Jan. 1, with most planning to drive to their destination.

The survey results:

– More than one-third (34%) of Californians say they will travel between Saturday, Dec. 23 and Monday, Jan. 1.
– Three-quarters (77%) of respondents said they will travel within the state of California, with the remainder traveling out of state.
– Of those traveling, 82 percent will drive to their destination, 16 percent are flying and 2 percent will take public transportation.
– One-quarter (27%) of respondents planned to travel solo, 43 percent will travel with one other person, and 30 percent planned to travel with family or friends.
– More than 80 percent of respondents say they will visit family, with about 11 percent of respondents saying they are planning to spend time outdoors (skiing, camping).

"The holiday season is all about spending time with family and friends. For those who aren't traveling this season, many will be hosting guests – including Santa Claus, of course," said Mike Blasky, a spokesman for AAA Northern California.

The good news: Gas prices have dropped an average of 12 cents across the state since November.

That's due to several factors, including decreased travel demand after the busiest Thanksgiving in a decade.

More gas stations are also selling the cheaper winter blend of gasoline, which is less refined and cheaper to produce.

Northern California commercial Dungeness crab season opener pushed back to Dec. 31

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Written by: Editor
Published: 13 December 2017
NORTHERN CALIFORNIA – The director of the California Department of Fish and Wildlife has announced an additional 15-day delay for the upcoming commercial Dungeness crab season, based on the results of another round of pre-season quality testing conducted on Dec. 5.

The tests continued to show that Dungeness crab are not yet ready for harvesting.

The delay affects Fish and Game Districts 6, 7, 8 and 9 (Mendocino, Humboldt and Del Norte counties). The season in these districts is now scheduled to open on 12:01 a.m. Dec. 31, 2017, to be preceded by a 64-hour gear setting period that would begin no earlier than 8:01 a.m. on Dec. 28, 2017.

Crab quality tests are conducted regularly to ensure that crab are filled out enough prior to harvesting. Tests follow guidelines established by the Tri-State Dungeness Crab Committee, which is overseen by the Pacific States Marine Fisheries Commission.

Additional testing will be scheduled to occur by Dec. 22. If quality remains low, an additional delay until Jan. 15, 2018 will be issued by the director. This date is the latest the season can be delayed due to quality testing.

No vessel may take or land crab within Districts 6, 7, 8 and 9 during the closure period. In addition, any vessel that lands crab from ocean waters outside of Districts 6, 7, 8 and 9 is prohibited from participating in the crab fishery in Districts 6, 7, 8 and 9, or any other delayed opening areas in Oregon or Washington, for 30 days following the opening of those areas as outline in California's Fair Start Provision (Fish and Game Code, section 8279.1).

The updated Frequently Asked Questions for the current 2017-18 season addresses questions regarding the Fair Start provision.

For more information on health advisories related to fisheries, please visit www.wildlife.ca.gov/Fishing/Ocean/Health-Advisories.

For more information about Dungeness crab fisheries in California, please visit www.wildlife.ca.gov/crab.

State controller reports November revenues; exceed expectations as retail sales remain strong

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Written by: Editor
Published: 11 December 2017
SACRAMENTO – State Controller Betty T. Yee reported on Monday California’s total revenues of $8.31 billion for November were $449.8 million above expectations, powered by strong retail sales.

Personal income tax (PIT), the largest state revenue source, fell short by nearly $200 million.

For the first five months of the 2017-18 fiscal year, total revenues of $40.96 billion are outpacing budget projections by 2.5 percent, with retail sales and use taxes and corporation tax beating expectations.

Sales tax receipts of $3.30 billion for November were $538.1 million higher than anticipated in the budget. For the fiscal year, sales tax receipts of $10.16 billion are $733.4 million above budget estimates.

Corporation taxes for November came in at negative $18.9 million as refunds outpaced receipts. That is not unusual, as there also was a negative for corporation taxes last November and the Department of Finance estimated negatives for the month in both years.

However, this year’s shortfall was better than expected, leading total corporation tax receipts for the month to beat budget estimates by $89.2 million, or 83 percent.

For the fiscal year to date, total corporation tax receipts of $1.79 billion are $233.1 million above assumptions in the 2017-18 Budget Act.

PIT receipts for November totaled $4.64 billion, 4.0 percent below projections. For the fiscal year, PIT receipts of $27.60 billion are under budget estimates by 0.1 percent.

Unused borrowable resources through November exceeded projections by $2.37 billion, or 12.3 percent.

Outstanding loans of $20.15 billion at the end of November were $294.4 million less than 2017-18 Budget Act estimates. This loan balance consists of borrowing from the state’s internal funds.
  1. CDFA honors McNamara’s tenure and leadership on the California State Board of Food and Agriculture
  2. Attorneys general call for Consumer Financial Protection Bureau independence
  3. Keep focus on fire prevention for a safe and joyous holiday season
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