II 

118TH CONGRESS 

1ST SESSION S. 602 

To require the Administrator of the Federal Emergency Management Agency 

to take certain actions relating to the National Flood Insurance Program, 

and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 1, 2023 

Mr. KENNEDY (for himself and Mrs. HYDE-SMITH) introduced the following 

bill; which was read twice and referred to the Committee on Banking, 

Housing, and Urban Affairs 

A BILL 

To require the Administrator of the Federal Emergency 

Management Agency to take certain actions relating to 

the National Flood Insurance Program, 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. SHORT TITLE. 

4 This Act may be cited as the ‘‘Risk Rating 2.0 Trans5 parency Act’’. 

6 SEC. 2. TRANSPARENCY REQUIREMENTS. 

7 (a) DEFINITIONS.—In this section— 


kjohnson on DSK79L0C42PROD with BILLS
2 

•S 602 IS

1 (1) the term ‘‘Administrator’’ means the Ad2 ministrator of the Federal Emergency Management 

3 Agency; and 

4 (2) the term ‘‘National Flood Insurance Pro5 gram’’ means the program established under the Na6 tional Flood Insurance Act of 1968 (42 U.S.C. 4001 

7 et seq.). 

8 (b) REQUIRED ACTIONS.—Not later than 1 year after 

9 the date of enactment of this Act, the Administrator shall 

10 complete each of the following actions: 

11 (1) Make available to the public all data and 

12 methods used to prescribe chargeable premium rates 

13 for types and classes of properties for which insur14 ance coverage is available under the National Flood 

15 Insurance Act of 1968 (42 U.S.C. 4001 et seq.) (re16 ferred to in this subsection as ‘‘chargeable premium 

17 rates’’) under Risk Rating 2.0, or any substantially 

18 similar methodology. 

19 (2) Create an online database that is available 

20 to policyholders under the National Flood Insurance 

21 Program that provides each such policyholder with 

22 information regarding what the chargeable premium 

23 rate for the applicable property of the policyholder 

24 would be— 


kjohnson on DSK79L0C42PROD with BILLS
3 

•S 602 IS

1 (A) under Risk Rating 2.0, or any sub2 stantially similar methodology; and 

3 (B) assuming that the limitation under 

4 section 1308(e) of the National Flood Insur5 ance Act of 1968 (42 U.S.C. 4015(e)) were not 

6 in effect. 

7 (3) Complete and publish a comprehensive as8 sessment of the economic and social impacts of im9 plementing Risk Rating 2.0 (or any substantially 

10 similar methodology) during the 20-year period be11 ginning in the year in which the assessment is made, 

12 which shall include an evaluation of the effect that 

13 such implementation will have, during that 20-year 

14 period, on— 

15 (A) the affordability and availability of 

16 flood insurance under the National Flood Insur17 ance Program; 

18 (B) property values; and 

19 (C) non-Federal Government revenues. 

20 (4) Supplement (and revise, as appropriate) the 

21 Record of Decision for the final nationwide pro22 grammatic environmental impact statement evalu23 ating the environmental impacts of proposed modi24 fications to the National Flood Insurance Program 

25 (83 Fed. Reg. 24328) to include the impacts of imVerDate Sep 11 2014 05:15 Mar 11, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S602.IS S602

kjohnson on DSK79L0C42PROD with BILLS
4 

•S 602 IS

1 plementing Risk Rating 2.0, or any substantially 

2 similar methodology. 

3 (5) Demonstrate that the data and methods 

4 used to prescribe chargeable premium rates under 

5 Risk Rating 2.0, or any substantially similar meth6 odology, satisfy the requirements under section 515 

7 of the Consolidated Appropriations Act, 2001 (Pub8 lic Law 106–554; 114 Stat. 2763A–153), including 

9 that, in implementing that methodology, the Admin10 istrator ensures and maximizes the quality, objec11 tivity, utility, and integrity of information dissemi12 nated by the Administrator. 

13 (6) Conduct public notice and comment rule14 making under chapter 5 of title 5, United States 

15 Code, regarding Risk Rating 2.0, or any substan16 tially similar methodology, which shall include the 

17 development of a fair, transparent, and streamlined 

18 process to manage— 

19 (A) disputes over chargeable premium 

20 rates; and 

21 (B) other factors with respect to the imple22 mentation of that methodology. 

23 (7) For each county in the United States, pub24 lish the distribution of chargeable premium rates 

25 showing the median, mean, lower and upper quarVerDate Sep 11 2014 05:15 Mar 11, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S602.IS S602

kjohnson on DSK79L0C42PROD with BILLS
5 

•S 602 IS

1 tiles, maximum amount, and minimum amount of 

2 chargeable premium rates under each of the fol3 lowing: 

4 (A) The method used to prescribe charge5 able premium rates, as of September 30, 2021. 

6 (B) The methodology projected to be used 

7 to prescribe chargeable premium rates, as of 

8 April 1, 2022, assuming that the limitations 

9 under section 1308(e) of the National Flood In10 surance Act of 1968 (42 U.S.C. 4015(e)) are 

11 applied. 

12 (C) The methodology described in subpara13 graph (B), assuming that the limitations de14 scribed in that subparagraph are not applied. 

15 (D) The methodology described in sub16 paragraph (B), assuming that— 

17 (i) the limitations described in that 

18 subparagraph are applied; and 

19 (ii) the administrative costs of the Na20 tional Flood Insurance Program are allo21 cated on a uniform, per contract basis 

22 rather than as allocated under Risk Rating 

23 2.0, or any substantially similar method24 ology. 


kjohnson on DSK79L0C42PROD with BILLS
6 

•S 602 IS

1 (E) The methodology described in subpara2 graph (B), assuming that— 

3 (i) the limitations described in that 

4 subparagraph are not applied; and 

5 (ii) the administrative costs of the Na6 tional Flood Insurance Program are allo7 cated on a uniform, per contract basis 

8 rather than as allocated under Risk Rating 

9 2.0, or any substantially similar method10 ology. 

11 (8) Submit to the Committee on Banking, 

12 Housing, and Urban Affairs of the Senate and the 

13 Committee on Financial Services of the House of 

14 Representatives a report detailing the satisfaction of 

15 the requirements under paragraphs (1) through (7). 

Æ 


kjohnson on DSK79L0C42PROD with BILLS