Politics in Action: H.R. 1309

STATEMENT OF ADMINISTRATION POLICY

H.R. 1309 – Flood Insurance Reform Act of 2011

(Rep. Biggert, R-IL, and 19 cosponsors)

The Administration supports House passage of H.R. 1309 to reauthorize the National Flood Insurance Program (NFIP). This bill would strengthen the NFIP’s current financial position and increase its ability to fund future claims.

The Administration is pleased that the bill would provide the Federal Emergency Management Agency (FEMA) with greater flexibility to set premium rates. The bill provides improved protection for American taxpayers by requiring FEMA to use actuarial principles in determining full flood risk rates for certain properties. The bill would also phase in changes to let policyholders and communities adjust. The bill would authorize studies and pilots to test alternative approaches to flood insurance that is sustainable and cost-effective.

The Administration recognizes the importance of improving the quality of flood risk information to the public and looks forward to working with the Congress to ensure that implementation concerns related to notification requirements are addressed in the final version of the bill. The Administration looks forward to working with the Congress on further reform to strengthen the NFIP.

Image courtesy of http://www.flood-pictures.com/.