FEMA Reinstates Federal Flood Risk Standards
The Federal Emergency Management Agency (FEMA) on Aug. 27 announced a new interim policy to partially implement the Federal Flood Risk Management Standards (FFRMS) that would require certain structures located in Special Flood Hazard Areas to conform to higher flood elevation standards if they use Hazard Mitigation Assistance (HMA) grant funds.
Although the FFRMS was reinstated through Executive Order 14030 Climate-Related Financial Risk, signed by President Biden on May 20, the interim policy — effective immediately — is the first step toward implementation.
While further actions are anticipated by FEMA and other agencies to fully implement FFRMS, the interim policy applies to certain projects funded through hazard mitigation grant programs. Specifically, the interim policy applies to Fiscal Year 2021 funding for the Building Resilient Infrastructure and Communities (BRIC) and Flood Mitigation Assistance (FMA) programs; the Hazard Mitigation Grant Program (HMGP) for any major disaster declared on or after Aug. 27 and assistance authorized for all 59 COVID-19 disaster declarations. In addition, it applies to HMGP Post Fire for any Fire Mitigation Assistance Grant (FMAG) declarations issued on or after Aug. 27.
The interim policy partially implements the FFRMS by requiring higher flood elevations for three types of actions — elevation, dry floodproofing and mitigation reconstruction — when done in the Special Flood Hazard Area. FEMA’s approach requires additional elevation (Base Flood Elevation plus 2 feet) except in situations where doing so would result in the project being unable to meet applicable cost-effectiveness requirements.
For more information on the Hazard Mitigation Assistance Grants, visit FEMA’s website.
Latest from NAHBNow
Year-end offers on commercial trucks make this an ideal time for residential construction pros to upgrade the vehicles that keep their businesses moving. And for NAHB members, there’s even more reason to shop thanks to exclusive savings from Ram.
The Department of Housing and Urban Development (HUD) issued a mortgagee letter to announce it is revising its policy to expand access to HUD-insured Federal Housing Administration (FHA) financing for built-to-rent developments.
Latest Economic News
Diversifying the construction labor force remains a key priority amid persistent skilled labor shortages. According to NAHB analysis of the 2024 American Community Survey, non-Hispanic White workers account for the majority of the construction industry at 55.8%. Hispanic workers now represent nearly one-third of the labor force at 32.8%, followed by non-Hispanic Black workers at 5% and non-Hispanic Asian workers at 1.8 %.
The total market share of non-site-built single-family homes (modular and panelized) was just 3% of single-family homes in 2025, according to NAHB analysis of completion data from the U.S. Census Bureau’s Survey of Construction (SOC).
Single-family housing starts declined in September as builders faced higher financing, building material costs, and ongoing labor shortages.