I 

111TH CONGRESS 

1ST SESSION H. R. 777 

To prohibit the Administrator of the Federal Emergency Management Agency 

from updating flood maps until the Administrator submits to Congress 

a community outreach plan, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 28, 2009 

Mr. PALLONE introduced the following bill; which was referred to the Committee on Financial Services, and in addition to the Committee on Ways 

and Means, for a period to be subsequently determined by the Speaker, 

in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To prohibit the Administrator of the Federal Emergency 

Management Agency from updating flood maps until the 

Administrator submits to Congress a community outreach plan, 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. MORATORIUM ON FLOOD MAP UPDATES. 

4 The Administrator of the Federal Emergency Man5 agement Agency may not revise and update a floodplain 

6 area or flood-risk zone under section 1360(f) of the Na7 tional Flood Insurance Act of 1968 (42 U.S.C. 4101(f)) 


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1 until the date on which the Administrator submits to Con2 gress a community outreach plan for the updating of 

3 floodplain areas and flood-risk zones. 

4 SEC. 2. REFUNDABLE CREDIT FOR RESIDENTIAL PROP5 ERTY LOCATED IN EXPANDED FLOOD ZONE. 

6 (a) IN GENERAL.—Subpart C of part IV of sub7 chapter A of chapter 1 of the Internal Revenue Code of 

8 1986 (relating to refundable credits) is amended by insert9 ing after section 36 the following new section: 

10 ‘‘SEC. 36A. NEW FLOOD ZONE PREMIUM CREDIT. 

11 ‘‘(a) ALLOWANCE OF CREDIT.—In the case of an eli12 gible individual, there shall be allowed as a credit against 

13 the tax imposed by this chapter for the taxable year an 

14 amount equal to the premium paid by the taxpayer for 

15 flood insurance under the National Flood Insurance Act 

16 of 1968 (42 U.S.C. 4001 et seq.) covering any residential 

17 property of the taxpayer which is a qualified flood risk 

18 property. 

19 ‘‘(b) LIMITATIONS.— 

20 ‘‘(1) LIMITATION BASED ON INCOME.— 

21 ‘‘(A) IN GENERAL.—The amount which 

22 would (but for this subsection) be allowable as 

23 a credit under this section shall be reduced (but 

24 not below zero) by the amount determined 

25 under subparagraph (B). 


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1 ‘‘(B) AMOUNT OF REDUCTION.—The 

2 amount determined under this subparagraph is 

3 the amount which bears the same ratio to the 

4 amount which would be so taken into account 

5 as— 

6 ‘‘(i) the excess of— 

7 ‘‘(I) the taxpayer’s modified ad8 justed gross income for such taxable 

9 year, over 

10 ‘‘(II) $50,000 ($100,000 in the 

11 case of a joint return), bears to 

12 ‘‘(ii) $100,000 ($200,000 in the case 

13 of a joint return). 

14 ‘‘(C) MODIFIED ADJUSTED GROSS IN15 COME.—For purposes of subparagraph (B), the 

16 term ‘modified adjusted gross income’ means 

17 adjusted gross income determined— 

18 ‘‘(i) without regard to this section and 

19 sections 199, 222, 911, 931, and 933, and 

20 ‘‘(ii) after application of sections 86, 

21 135, 137, 219, 221, and 469. 

22 ‘‘(2) LIMITATION BASED ON PERIOD.—No 

23 amount shall be allowed as a credit under subsection 

24 (a) with respect to any residential property after the 

25 end of the 4th calendar beginning after the calendar 


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1 year in which the map referred to in subsection 

2 (c)(1) first became effective. 

3 ‘‘(c) QUALIFIED FLOOD RISK PROPERTY.—For pur4 poses of this section, the term ‘qualified flood risk prop5 erty’ means a residential property (within the meaning of 

6 the National Flood Insurance Act of 1968) which— 

7 ‘‘(1) is located in a floodplain area or flood-risk 

8 zone, as depicted on a flood insurance rate map re9 vised and updated pursuant to section 1360(f) of the 

10 National Flood Insurance Act of 1968 (42 U.S.C. 

11 4101), 

12 ‘‘(2) was outside of any floodplain area or 

13 flood-risk zone prior to such revision and updating, 

14 and 

15 ‘‘(3) with respect to which— 

16 ‘‘(A) the taxpayer owned such property on 

17 the date such revised and updated map first be18 came effective, or 

19 ‘‘(B) the purchase or construction of which 

20 by the taxpayer was subject to a binding writ21 ten contract on such date.’’. 

22 (b) CONFORMING AMENDMENTS.— 

23 (1) Paragraph (2) of section 1324(b) of title 

24 31, United States Code, is amended by inserting ‘‘, 

25 36A’’ after ‘‘36’’. 


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1 (2) The table of sections for subpart C of part 

2 IV of subchapter A of chapter 1 of the Internal Rev3 enue Code of 1986 is amended by inserting after the 

4 item relating to section 36 the following new item: 

‘‘Sec. 36A. New flood zone premium credit.’’. 

5 (c) EFFECTIVE DATE; WAIVER OF LIMITATIONS.— 

6 (1) IN GENERAL.—The amendments made by 

7 this section shall apply with respect to any flood in8 surance rate map which becomes effective pursuant 

9 to section 1360(f) of the National Flood Insurance 

10 Act of 1968 (42 U.S.C. 4101). 

11 (2) WAIVER OF LIMITATIONS.—If refund or 

12 credit of any overpayment of tax resulting from the 

13 amendments made by this section is prevented at 

14 any time before the close of the 1-year period begin15 ning on the date of the enactment of this Act by the 

16 operation of any law or rule of law (including res ju17 dicata), such refund or credit may nevertheless be 

18 made or allowed if claim therefor is filed before the 

19 close of such period. 

20 SEC. 3. GRANT PROGRAM TO IMPROVE COMMUNITY RAT21 ING. 

22 Section 1315(b) of the National Flood Insurance Act 

23 of 1968 (42 U.S.C. 4022(b)) is amended— 

24 (1) by redesignating paragraph (4) as para25 graph (5); and 


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1 (2) by inserting after paragraph (3) the fol2 lowing new paragraph: 

3 ‘‘(5) GRANTS.—The program shall provide 

4 grants to communities for projects to improve the 

5 community rating of the communities under the pro6 gram.’’. 

Æ 


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