“To establish a means-tested assistance program for national flood insurance program policyholders, and for other purposes.”
No CRS summary available for this bill.
This section directs the FEMA Administrator to establish, not later than one year after enactment, a means-tested program providing graduated discounts on National Flood Insurance Program (NFIP) premiums for eligible policyholders of covered properties, such that the chargeable premium rate does not exceed 1 percent of the area median income for the property's location. (The NFIP provides flood insurance to property owners in participating communities.) It appropriates $250 million annually to FEMA for the program, requiring expenditure of at least 95 percent each fiscal year, with assistance unavailable once fiscal year funds are exhausted. The section further requires the Administrator to issue implementing regulations and guidance within one year, including a hardship metric for small businesses and nonprofits to qualify; and to submit a report to Congress within one year assessing alternative eligibility criteria based on principal, interest, taxes, and insurance costs or income thresholds from other federal programs.
This section directs the FEMA Administrator, not later than 180 days after the date of enactment, to implement monthly installment payments for National Flood Insurance Program (NFIP) premiums as provided under current law (42 U.S.C. 4015(g)) or to submit to Congress an explanation of why implementation cannot occur within that period. (Thus, this fulfills a statutory requirement authorizing such payments, enabling NFIP policyholders to spread annual premiums over 12 months.)
This section defines key terms for purposes of the Act, including "(1) Administrator" as the Administrator of the Federal Emergency Management Agency; "(2) covered property" as a primary residential dwelling or personal property relating to such a dwelling; "(3) eligible policyholder" as a National Flood Insurance Program (NFIP) policyholder on or after enactment who meets specified criteria—such as household income not exceeding 120% of area median income, for individuals; not more than 100 employees and satisfaction of a hardship metric, for businesses; or satisfaction of a hardship metric, for not-for-profit organizations; and "(4) insurance costs" as specified NFIP risk premiums, fees, and surcharges (i.e., under 42 U.S.C. 4014, 4015, 4011, 4015a, and 4017a).