I 

118TH CONGRESS 

1ST SESSION H. R. 6304 

To increase coverage under the National Flood Insurance Program for costs 

of compliance, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 8, 2023 

Mr. LALOTA (for himself and Mr. VICENTE GONZALEZ of Texas) introduced 

the following bill; which was referred to the Committee on Financial Services 

A BILL 

To increase coverage under the National Flood Insurance 

Program for costs of compliance, 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 ‘‘Increased Cost of Com5 pliance Modernization Act of 2023’’. 

6 SEC. 2. INCREASED COST OF COMPLIANCE COVERAGE. 

7 Section 1304(b) of the National Flood Insurance Act 

8 of 1968 (42 U.S.C. 4011(b)) is amended— 


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1 (1) in paragraph (4), by redesignating subpara2 graphs (A) through (D) as clauses (i) through (iv), 

3 respectively, and adjusting the margins accordingly; 

4 (2) by redesignating paragraphs (1) through 

5 (4) as subparagraphs (A) through (D), respectively, 

6 and adjusting the margins accordingly; 

7 (3) by striking ‘‘(b) ADDITIONAL COVERAGE

8 FOR COMPLIANCE WITH LAND USE AND CONTROL

9 MEASURES.—The national’’ and inserting the fol10 lowing: 

11 ‘‘(b) ADDITIONAL COVERAGE FOR COMPLIANCE

12 WITH LAND USE AND CONTROL MEASURES.— 

13 ‘‘(1) IN GENERAL.—The national’’; 

14 (4) by striking the last sentence (relating to 

15 surcharge); and 

16 (5) by adding at the end the following: 

17 ‘‘(2) COVERAGE AMOUNTS.— 

18 ‘‘(A) BASIC COVERAGE.—Unless a policyholder 

19 chooses additional coverage pursuant to subpara20 graph (B), the Administrator shall make available 

21 coverage provided under paragraph (1) in an 

22 amount equal to 20 percent of the maximum amount 

23 of flood insurance coverage allowable under section 

24 1306(b)(2) (42 U.S.C. 4013(b)(2)) with respect to a 

25 residential building described in such section. 


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1 ‘‘(B) ADDITIONAL COVERAGE.—The Adminis2 trator may offer, and a policyholder may choose to 

3 purchase for an additional premium, coverage pro4 vided under paragraph (1) in an amount greater 

5 than that offered pursuant to subparagraph (A), but 

6 not exceeding an amount equal to 40 percent of the 

7 maximum amount of flood insurance coverage allow8 able under section 1306(b)(2) (42 U.S.C. 

9 4013(b)(2)) with respect to a residential building de10 scribed in such section. 

11 ‘‘(C) TREATMENT OF COVERAGE LIMITS.—Any 

12 amount of coverage for a property provided pursuant 

13 to this subsection shall not be considered or counted 

14 for purposes of any limitation on coverage applicable 

15 to such property under section 1306(b) and any 

16 claim on such coverage shall not be considered a 

17 claim for purposes of identifying properties with 

18 multiple losses. 

19 ‘‘(3) PREMIUMS.—The Administrator shall charge 

20 risk premium rates for coverage made available pursuant 

21 to this subsection in accordance with section 1307(a)(1). 

22 ‘‘(4) ASSIGNMENT OF COVERAGE FOR MITIGATION

23 GRANT COST SHARE REQUIREMENT.— 

24 ‘‘(A) IN GENERAL.—A policyholder may assign 

25 the rights or benefits of the coverage made available 


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1 under this subsection to a governmental entity for 

2 the purposes of using payments made for a claim 

3 against coverage made available under this sub4 section to satisfy a required non-Federal contribu5 tion for a flood-related mitigation project funded by 

6 a mitigation assistance program described in clause 

7 (i), (ii), or (iii) of paragraph (1)(D). 

8 ‘‘(B) ELIGIBLE EXPENSES.—If a policyholder 

9 assigns rights or benefits of coverage pursuant to 

10 subparagraph (A), a required non-Federal contribu11 tion for a flood-related mitigation project funded by 

12 a mitigation assistance program described in clause 

13 (i), (ii), or (iii) of paragraph (1)(D) shall be an eligi14 ble expense for coverage made available under this 

15 subsection. 

16 ‘‘(C) TERMS AND CONDITIONS.—The Adminis17 trator may adopt procedures for assigning rights or 

18 benefits of coverage pursuant to subparagraph (A). 

19 ‘‘(5) IMPLEMENTATION.—Notwithstanding any other 

20 provision of law, the Administrator may implement this 

21 subsection by adopting one or more standard endorse22 ments to the Standard Flood Insurance Policy by publica23 tion of such standards endorsement in the Federal Reg24 ister or by comparable means.’’. 

Æ 


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