I see other people are having SQL Server issues on the install.  I suspect that is where my problem lies as well.

On install, I have consistently received “Error 1920.ServiceMSDTC (MSDTC) failed to start.  Verify that you have sufficient privileges to start system services.” 

I have uninstalled, reinstalled.  Verified that I had administrator privileges; Reinstalled Windows XP SP3, added IIS (as I read something in SQL Server Express 2005, that it needed that to run successfully), completely uninstalled and reinstalled ArcView 9.3SP1 and Phython 2.5.  But, it still freezes about 3/4 of the way in to the install with that error message.  When you cancel the install at the frozen point, it gives “Error: -1603:  Fatal error during installation.  Consult Windows Installer Help (Msi.chm) or MSDN for more information.”  Oh, and I also uninstalled the MSXML version with the windows (un)installer utility that is noted on the FEMA HAZUS web site and put the older MSXML version recommended by that document as a fix for SQL Server Express SP2 v.s. Windows XP SP3 problem, where a newer version (than is needed by the SQL component) of MSXML is put on the machine by the Windows Service Pack.

Anyone have this error message too?  Did anyone that had it resolve it, or give up and revert to MR-3, which did work fine and installed without problems.

I also checked the SQL Server Services in Administrative Tools, Services, to attempt to start them and receive the error “Could not start the SQL Server (HAZUSPLUSSRVR) service on Local Computer.  Error 3: The system cannot find the path specified”.  These SQL files and services are there after the failed HAZUS install.  Three out of the four SQL Server services give this error message when you try to start it.  The only one that does start is the VSS Writer component.  I thought maybe I could get them on then HAZUS would link with them on the next install attempt.  I also noticed that the path(s) to the executable)s) for the three services that will not start are nonexistent folders in the Program Files directory.  Can anyone help or have this issue?

We hit this wall today too. 

By the grace of a forum elsewhere for others having problems with SQL we found this link:

http://support.microsoft.com/kb/290301 and downloaded the utility.

Uninstalled everything arc, sql and hazus. Then ran the utility and then installed everything in sequence.

This also cleared up an issue with the toolboxes in Arc not being populated after the HAZUS install.

Running Win XP SP3,  Arc 9.3 SP1 and now HAZUS MR4.

This cost us two staff at a full day each.

Cheers!

I truly appreciate your response.

Unfortunately, I already tried that one before posting my message.  Not sure what to try next.
I’m going to redo the cleanup utility for all again, yet can’t clear out SP3.  I even downloaded and reinstalled XP SP3, after the Arc and HAZUS uninstall, hoping to get a successful SP3 install so that I could try to remove it as it looked (from a log) like the first SP3 install had an error with it.  I’m glad to hear you solved your problem with it though.  Will be sending this all to HAZUS Help Desk people again… They suggested that it was the MSDTC Service that was not installed.  I found it in the Windows/System32 folder, and then after research found this referred to the Distributed Transaction Coordinator in the Control Panel, Administrative Tools, Services.  I set it to “Started” and then attempted the entire install again, to get a new error message.

Error 27502.  Could not connect to Microsoft SQL Server’.\HAZUSPLUSSRVR’.[DBNETLIB]ConnectionOpen(Connect()).]SQL Server does not exist or access denied. (17).

So, let’s see if that MSDTC answer helps anyone else out there, by my posting it here.
I will post whatever they respond to next.

I have spent about double the time you have so far…very frustrating.  I really need version 4 as the BIT tool was corrupt in version 3, several people I talked with could not get the BIT tool to work in version 3 either.

I’m glad to hear of your success though! 

Got the following response from the HAZUS Help desk:

Error: Error 27502. Could not connect to Microsoft SQL Server

Condolences.

Well.  After a long time…I got the machine re-imaged, and am about to try it all over again.  I will be running Windows XP SP3, and this time using ArcGIS 9.3.1, and SP1.  Will report back if it was successful.  Stopped by to see if anyone posted any relevant information before I did the install.