I

103D CONGRESS

1ST SESSION H. R. 3185

To amend the National Flood Insurance Act of 1968 to provide insurance

benefits for elevating structures incurring serious damage from floods

and increase the maximum coverage amounts under the national flood

insurance program, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

SEPTEMBER 29, 1993

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

Committee on Banking, Finance and Urban Affairs

A BILL

To amend the National Flood Insurance Act of 1968 to

provide insurance benefits for elevating structures incurring serious damage from floods and increase the maximum coverage amounts under 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 ‘‘Flood Insurance Re5 form and Relief Act of 1993’’.
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1 SEC. 2. LIMITATION ON ELEVATION REQUIREMENTS FOR

2 FLOOD-DAMAGED STRUCTURES UNDER LAND

3 MANAGEMENT AND USE CRITERIA.

4 Section 1361 of the National Flood Insurance Act of

5 1968 (42 U.S.C. 4102) is amended by adding at the end

6 the following new subsection:

7 ‘‘(d) Notwithstanding any other provision of this title,

8 the criteria established under this section may require the

9 adoption of a State or local measure that requires a struc10 ture sustaining damage caused by floods to be elevated

11 to or above the level of the 100-year frequency flood only

12 if the measure applies only to structures sustaining dam13 age for which the cost of repairing the structure to its

14 condition before such damage would equal or exceed 75

15 percent of the value of the structure before the damage

16 occurred.’’.

17 SEC. 3. MAXIMUM FLOOD INSURANCE COVERAGE

18 AMOUNTS.

19 (a) MAXIMUM COVERAGE AMOUNTS.—Section

20 1306(b) of the National Flood Insurance Act of 1968 (42

21 U.S.C. 4013(b)) is amended as follows:

22 (1) RESIDENTIAL PROPERTIES.—In paragraph

23 (2), by striking ‘‘so as to enable’’ and all that fol24 lows through the end of the paragraph and inserting

25 ‘‘up to an amount (including the limits specified in
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1 paragraph (1)(A)(i)) of $250,000 multiplied by the

2 number of dwelling units in the building;’’.

3 (2) CONTENTS OF RESIDENTIAL PROP4 ERTIES.—In paragraph (3), by striking ‘‘so as to en5 able’’ and all that follows through the end of the

6 paragraph and inserting ‘‘up to an amount (includ7 ing the limits specified in paragraph (1)(A)(ii)) of

8 $100,000 for any single-family dwelling and

9 $250,000 for any residential structure containing

10 more than one dwelling unit;’’.

11 (3) NONRESIDENTIAL PROPERTIES.—By strik12 ing paragraph (4) and inserting the following new

13 paragraph:

14 ‘‘(4) in the case of any nonresidential property,

15 including churches, for which the risk premium rate

16 is determined in accordance with the provisions of

17 section 1307(a)(1), additional flood insurance in ex18 cess of the limits specified in subparagraphs (B) and

19 (C) of paragraph (1) shall be made available to

20 every insured upon renewal and every applicant for

21 insurance up to an amount (including the limits

22 specified in subparagraphs (B) and (C) of paragraph

23 (1)) of $2,500,000 for each structure and

24 $1,000,000 for any contents related to each struc25 ture; and’’.
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1 (b) ELIMINATION OF CEILING ON REQUIRED COV2 ERAGE AMOUNT.—Section 1306(b) of the National Flood

3 Insurance Act of 1968 (42 U.S.C. 4013(b)) is amended—

4 (1) in paragraph (5), by striking ‘‘; and’’ at the

5 end and inserting a period; and

6 (2) by striking paragraph (6).

7 SEC. 4. EFFECTIVE DATE OF FLOOD INSURANCE POLICIES.

8 Section 1306 of the National Flood Insurance Act of

9 1968 (42 U.S.C. 4013) is amended by adding at the end

10 the following new subsection:

11 ‘‘(d) EFFECTIVE DATE OF FLOOD INSURANCE POLI12 CIES.—Notwithstanding any law, regulation, or provision

13 of a contract for flood insurance coverage under this title

14 relating to the time of the effectiveness of such contract,

15 the Director shall provide that a new contract for flood

16 insurance coverage (or any modification of a contract for

17 flood insurance coverage) entered into on or after July 15,

18 1993, shall be considered to have taken effect upon the

19 satisfactory completion of the application for such cov20 erage, payment of any initial premiums owed, and the ful21 fillment of any other obligations for such coverage, but

22 only if the insured under the contract demonstrates to the

23 satisfaction of the Director that the insured would have

24 entered into (or increased coverage under) a flood insur25 ance contract under this title earlier than the time of such
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1 fulfillment of obligations but for erroneous information

2 provided to such person by officers or employees of the

3 Federal Emergency Management Agency.’’.

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