I asked because you might be filing  as "married filing separately" compared to both single filing "single returns". 

He does not want to fill out these forms because he does not want you to issue him a 1099 which would subject him to income tax + self-employment taxes.If you have employees or property in another state - you may now have nexus in the state which would require a state tax return filing requirement.

As much as we like to help others I suggest you meet with a CPA who does tax filings for you.

The only "technology" I might consider offering is a security system if a tenant really felt unsafe, though they can easily get their own.

A "deed of trust" is a security instrument. 

I have a lot of friends still in the area and a great property manager that only charges 7%, so it feels secure. 

I know you mentioned potentially a larger security deposit or paying six months rent upfront, but I have a feeling holding her to different standards than other tenants might cause you some issues based on information I have studied (I haven't finished the course for my real estate license yet and I'm no expert or attorney), but better safe than sorry!  

So all you need is to file the deed in the county where the property is located.

Does the town have a septic design on file?

File a lawsuit with the company and the insurance company .