In an important victory for NAHB, House Financial Services Committee Chair Maxine Waters (D-Calif.) and Ranking Member Patrick McHenry (R-N.C.) have reached an agreement on a five-year reauthorization of the National Flood Insurance Program (NFIP) through Sept. 30, 2024.
For the past seven years, NAHB has made passage of a long-term NFIP reauthorization a top legislative priority to ensure that federally backed flood insurance remains available, affordable, predictable and financially stable. During this time, the program had 12 short-term extensions. The most recent occurred last week when Congress approved disaster relief legislation that provides a four-month extension
of the NFIP through Sept. 30.
The NFIP has played a critical role in determining the use and development of flood-prone areas and managing the risk of flooding for residential properties. A strong NFIP helps ensure that the housing industry can provide safe, decent and affordable housing to consumers under the direction of local jurisdictions.
Due to a congressional mandate, all structures built within the 100-year floodplain that have a federally backed mortgage must carry flood insurance.
The Waters-McHenry bill would:
- Increase funding for flood risk mapping and mitigation.
- Provide premium credits for not currently recognized mitigation activity.
- Create a new zone to account for levee-protected areas.
- Establish umbrella coverage options for multifamily development.
Senate Banking Committee Chair Mike Crapo (R-Idaho) has indicated he will consider the legislation in the Senate.
NAHB will urge Congress to swiftly pass this legislation.
For more information, contact Jessica Hall
at 800-368-5242 x8253.