II 

118TH CONGRESS 

2D SESSION S. 3649 

To require the Secretary of Housing and Urban Development to provide 

a disclosure notice to homebuyers of properties owned by the Department 

of Housing and Urban Development that are located in special flood 

hazard areas, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 24, 2024 

Mr. RUBIO introduced the following bill; which was read twice and referred 

to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To require the Secretary of Housing and Urban Development 

to provide a disclosure notice to homebuyers of properties 

owned by the Department of Housing and Urban Development that are located in special 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. SHORT TITLE. 

4 This Act may be cited as the ‘‘Flood Risk Trans5 parency for Homebuyers Act’’. 

6 SEC. 2. DEFINITIONS. 

7 In this Act: 


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1 (1) ADMINISTRATOR.—The term ‘‘Adminis2 trator’’ means the Administrator of the Federal 

3 Emergency Management Agency. 

4 (2) COVERED PROPERTY.—The term ‘‘covered 

5 property’’ means a 1-to-4 unit residential property— 

6 (A) acquired by the Department as a re7 sult of a foreclosure action on a mortgage in8 sured by the Federal Housing Administration 

9 under title II of the National Housing Act (12 

10 U.S.C. 1707 et seq.); and 

11 (B) located in a special flood hazard area 

12 according to a flood hazard boundary map or 

13 flood insurance rate map issued by the Admin14 istration. 

15 (3) DEPARTMENT.—The term ‘‘Department’’ 

16 means the Department of Housing and Urban De17 velopment. 

18 (4) NATIONAL FLOOD INSURANCE PROGRAM.— 

19 The term ‘‘National Flood Insurance Program’’ 

20 means the program established under the National 

21 Flood Insurance Act of 1968 (42 U.S.C. 4001 et 

22 seq.). 

23 (5) SECRETARY.—The term ‘‘Secretary’’ means 

24 the Secretary of Housing and Urban Development. 


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1 (6) SEVERE REPETITIVE LOSS PROPERTY.—The 

2 term ‘‘severe repetitive loss property’’ has the mean3 ing given the term in section 1307(h) of the Na4 tional Flood Insurance Act of 1968 (42 U.S.C. 

5 4014(h)). 

6 SEC. 3. REQUIREMENT TO PROVIDE DISCLOSURE TO 

7 HOMEBUYERS OF PROPERTIES LOCATED IN 

8 SPECIAL FLOOD HAZARD AREAS. 

9 (a) IN GENERAL.—When listing a covered property 

10 for sale by the Department, the Secretary shall provide 

11 a disclosure notice that includes— 

12 (1) the estimated monthly cost of insurance for 

13 the covered property under the National Flood In14 surance Program for the ZIP Code in which the cov15 ered property is located; and 

16 (2) whether the covered property is a severe re17 petitive loss property. 

18 (b) ANNUAL REPORT.—Not later than 1 year after 

19 the date of enactment of this Act, and annually thereafter, 

20 the Secretary and the Administrator shall submit to Con21 gress a joint report on covered properties sold by the De22 partment for which claims were filed under the National 

23 Flood Insurance Program during the year covered by the 


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1 report, including whether the covered property is a severe 

2 repetitive loss property. 

Æ 


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