I 

108TH CONGRESS 

1ST SESSION H. R. 98

To amend the National Flood Insurance Act of 1968 to provide a 50 percent 

discount in flood insurance rates for the first 5 years that certain 

low-cost properties are included in flood hazard zones. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 7, 2003

Mr. GREEN of Texas introduced the following bill; which was referred to the 

Committee on Financial Services 

A BILL

To amend the National Flood Insurance Act of 1968 to 

provide a 50 percent discount in flood insurance rates 

for the first 5 years that certain low-cost properties 

are included in flood hazard zones.

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 ‘‘Low-Income Families 

5 Flood Insurance Access Act’’. 
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1 SEC. 2. DISCOUNTED PREMIUM RATES FOR LOW–COST 

2 PROPERTIES NEWLY DETERMINED TO BE IN 

3 FLOOD HAZARD AREAS. 

4 (a) IN GENERAL.—Section 1308 of the National 

5 Flood Insurance Act of 1968 (42 U.S.C. 4015) is amend6 ed—

7 (1) in subsection (c), by striking ‘‘limitation 

8 under subsection (e)’’ and inserting ‘‘limitations 

9 under subsection (e) and (f)’’; and 

10 (2) by adding at the end the following new sub11 section: 

12 ‘‘(f) 5-YEAR LIMITATION ON PREMIUM RATES FOR

13 NEWLY COVERED LOW-COST PROPERTIES.—

14 ‘‘(1) IN GENERAL.—In the case of any area not 

15 previously designated as an area having special flood 

16 hazards that becomes designated as such an area, 

17 during the period specified in paragraph (2), the 

18 chargeable premium rate for flood insurance under 

19 this title with respect to any low-cost property that 

20 is located within such area shall be the amount 

21 equal to 50 percent of the applicable estimated risk 

22 premium rate for such area (or subdivision thereof) 

23 under section 1307(a)(1). 

24 ‘‘(2) PERIOD OF DISCOUNT.—The period speci25 fied in this paragraph is the period that—
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1 ‘‘(A) in the case of a property located with2 in an area that was initially designated as an 

3 area having special flood hazards during the 2-

4 year period ending upon the effective date 

5 under section 2(b) of the Low-Income Families 

6 Flood Insurance Premium Relief Act—

7 ‘‘(i) begins upon such effective date; 

8 and 

9 ‘‘(ii) ends (I) 5 years later, or (II) 

10 upon the occurrence of the first flood event 

11 after such effective date that causes any 

12 damage to such property, whichever occurs 

13 first; and 

14 ‘‘(B) in the case of a property located 

15 within an area that is initially designated as an 

16 area having special flood hazards after the ef17 fective date under section 2(b) of such Act—

18 ‘‘(i) begins upon such designation; 

19 and 

20 ‘‘(ii) ends (I) 5 years later, or (II) 

21 upon the occurrence of the first flood event 

22 after such effective date that causes any 

23 damage to such property, whichever occurs 

24 first. 
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1 ‘‘(3) LOW-COST PROPERTY.—For purposes of 

2 this subsection, the term ‘low-cost property’ means 

3 a single-family dwelling, or a dwelling unit in a resi4 dential structure containing more than one dwelling 

5 unit, that—

6 ‘‘(A) is the principal residence of the owner 

7 or renter occupying the dwelling or unit; and 

8 ‘‘(B) has a value, at the time of the initial 

9 designation of the area having special flood haz10 ards, that does not exceed $75,000.’’. 

11 (b) EFFECTIVE DATE.—The amendments under sub12 section (a) shall be made on, and shall apply beginning 

13 upon, the expiration of the 30-day period beginning on the 

14 date of the enactment of this Act.

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