I 

118TH CONGRESS 

1ST SESSION H. R. 1307 

To repeal the mandatory flood insurance coverage requirement for commercial 

properties located in flood hazard areas, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 1, 2023 

Mr. LUETKEMEYER introduced the following bill; which was referred to the 

Committee on Financial Services 

A BILL 

To repeal the mandatory flood insurance coverage requirement for commercial properties located in flood hazard 

areas, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. OPT-OUT OF MANDATORY COVERAGE REQUIRE4 MENT FOR COMMERCIAL PROPERTIES. 

5 (a) AMENDMENTS TO FLOOD DISASTER PROTECTION

6 ACT OF 1973.—The Flood Disaster Protection Act of 

7 1973 is amended— 

8 (1) in section 3(a) (42 U.S.C. 4003(a))— 

9 (A) in paragraph (10), by striking ‘‘and’’ 

10 at the end; 


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1 (B) in paragraph (11), by striking the pe2 riod at the end and inserting ‘‘; and’’; and 

3 (C) by adding at the end the following new 

4 paragraph: 

5 ‘‘(12) ‘residential improved real estate’ means 

6 improved real estate that— 

7 ‘‘(A) is primarily used for residential pur8 poses, as defined by the Federal entities for 

9 lending regulation; and 

10 ‘‘(B) secures financing or financial assist11 ance provided through a federally related single 

12 family loan program, as defined by the Federal 

13 entities for lending regulation.’’; and 

14 (2) in section 102 (42 U.S.C. 4012a)— 

15 (A) in subsection (b)— 

16 (i) in paragraph (1)(A)— 

17 (I) by inserting ‘‘residential’’ be18 fore ‘‘improved real estate’’; and 

19 (II) by inserting ‘‘residential’’ be20 fore ‘‘building or mobile home’’; 

21 (ii) in paragraph (2)— 

22 (I) by inserting ‘‘residential’’ be23 fore ‘‘improved real estate’’; and 

24 (II) by inserting ‘‘residential’’ be25 fore ‘‘building or mobile home’’; and 


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1 (iii) in paragraph (3)— 

2 (I) in subparagraph (A), by in3 serting ‘‘residential’’ before ‘‘improved 

4 real estate’’; and 

5 (II) in the matter after and 

6 below subparagraph (B), by inserting 

7 ‘‘residential’’ before ‘‘building or mo8 bile home’’; 

9 (B) in subsection (c)(3), by striking ‘‘, in 

10 the case of any residential property, for any 

11 structure that is a part of such property’’ and 

12 inserting ‘‘for any structure that is part of a 

13 residential property’’; 

14 (C) in subsection (e)— 

15 (i) in paragraph (1)— 

16 (I) by inserting ‘‘residential’’ be17 fore ‘‘improved real estate’’; and 

18 (II) by inserting ‘‘residential’’ be19 fore ‘‘building or mobile home’’ each 

20 place such term appears; and 

21 (ii) in paragraph (5)— 

22 (I) in subparagraph (A)— 

23 (aa) by inserting ‘‘residen24 tial’’ before ‘‘improved real esVerDate Sep 11 2014 22:38 Mar 16, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1307.IH H1307

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1 tate’’ each place such term ap2 pears; and 

3 (bb) by inserting ‘‘residen4 tial’’ before ‘‘building or mobile 

5 home’’ each place such term ap6 pears; 

7 (II) in subparagraph (B), by in8 serting ‘‘residential’’ before ‘‘building 

9 or mobile home’’ each place such term 

10 appears; and 

11 (III) in subparagraph (C), by in12 serting ‘‘residential’’ before ‘‘building 

13 or mobile home’’; and 

14 (D) in subsection (h)— 

15 (i) by inserting ‘‘residential’’ before 

16 ‘‘improved real estate’’ each place such 

17 term appears; and 

18 (ii) in the matter preceding paragraph 

19 (1), by inserting ‘‘residential’’ before 

20 ‘‘building or mobile home’’. 

21 (b) AMENDMENTS TO NATIONAL FLOOD INSURANCE

22 ACT OF 1968.—The National Flood Insurance Act of 

23 1968 is amended— 

24 (1) in section 1364(a) (42 U.S.C. 4104a(a))— 


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1 (A) in paragraph (1), by inserting ‘‘resi2 dential’’ before ‘‘improved real estate’’; 

3 (B) in paragraph (2), by inserting ‘‘resi4 dential’’ before ‘‘improved real estate’’; and 

5 (C) in paragraph (3)(A), by inserting ‘‘res6 idential’’ before ‘‘building’’; 

7 (2) in section 1365 (42 U.S.C. 4104b)— 

8 (A) in subsection (a)— 

9 (i) by inserting ‘‘residential’’ before 

10 ‘‘improved real estate’’; and 

11 (ii) by inserting ‘‘residential’’ before 

12 ‘‘building’’; 

13 (B) in subsection (b)(2)— 

14 (i) by inserting ‘‘residential’’ before 

15 ‘‘building’’ each place such term appears; 

16 and 

17 (ii) by inserting ‘‘residential’’ before 

18 ‘‘improved real estate’’ each place such 

19 term appears; 

20 (C) in subsection (d), by inserting ‘‘resi21 dential’’ before ‘‘improved real estate’’ each 

22 place such term appears; and 

23 (D) in subsection (e)— 

24 (i) by inserting ‘‘residential’’ before 

25 ‘‘improved real estate’’; and 


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1 (ii) by inserting ‘‘residential’’ before 

2 ‘‘building’’ each place such term appears; 

3 and 

4 (3) in section 1370 (42 U.S.C. 4121)— 

5 (A) in paragraph (8), by inserting ‘‘resi6 dential’’ before ‘‘improved real estate’’; 

7 (B) by redesignating paragraphs (14) and 

8 (15) as paragraphs (15) and (16), respectively; 

9 and 

10 (C) by inserting after paragraph (13) the 

11 following new paragraph: 

12 ‘‘(14) the term ‘residential improved real estate’ 

13 means improved real estate that— 

14 ‘‘(A) is primarily used for residential pur15 poses, as defined by the Federal entities for 

16 lending regulation; and 

17 ‘‘(B) secures financing or financial assist18 ance provided through a federally related single 

19 family loan program, as defined by the Federal 

20 entities for lending regulation;’’. 

21 (c) RULE OF CONSTRUCTION.—This section and the 

22 amendments made by this section may not be construed 

23 to prohibit the Administrator of the Federal Emergency 

24 Management Agency from offering flood insurance cov25 erage under the National Flood Insurance Program for 


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1 eligible non-residential properties, other residential multi2 family properties, or structures financed with commercial 

3 loans, or to prohibit the purchase of such coverage for 

4 such eligible properties. 

Æ 


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