I 
117TH CONGRESS 
2D SESSION 
H. R. 7221 
To increase coverage under the National Flood Insurance Program for costs 
of compliance, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 24, 2022 
Mr. RICE of South Carolina (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. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Increased Cost of Com-
pliance Modernization Act of 2022’’. 
SEC. 2. INCREASED COST OF COMPLIANCE COVERAGE. 
Section 1304(b) of the National Flood Insurance Act 
of 1968 (42 U.S.C. 4011(b)) is amended— 
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(1) in paragraph (4), by redesignating subpara-
graphs (A) through (D) as clauses (i) through (iv), 
respectively, and adjusting the margins accordingly; 
(2) by redesignating paragraphs (1) through 
(4) as subparagraphs (A) through (D), respectively, 
and adjusting the margins accordingly; 
(3) by striking ‘‘(b) ADDITIONAL COVERAGE 
FOR COMPLIANCE WITH LAND USE AND CONTROL 
MEASURES.—The national’’ and inserting the fol-
lowing: 
‘‘(b) ADDITIONAL
COVERAGE
FOR
COMPLIANCE 
WITH LAND USE AND CONTROL MEASURES.— 
‘‘(1) IN GENERAL.—The national’’; 
(4) by striking the last sentence (relating to 
surcharge); and 
(5) by adding at the end the following: 
‘‘(2) COVERAGE AMOUNTS.— 
‘‘(A) BASIC COVERAGE.—Unless a policyholder 
chooses additional coverage pursuant to subpara-
graph (B), the Administrator shall make available 
coverage provided under paragraph (1) in an 
amount equal to 20 percent of the maximum amount 
of flood insurance coverage allowable under section 
1306(b)(2) (42 U.S.C. 4013(b)(2)) with respect to a 
residential building described in such section. 
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‘‘(B) ADDITIONAL
COVERAGE.—The Adminis-
trator may offer, and a policyholder may choose to 
purchase for an additional premium, coverage pro-
vided under paragraph (1) in an amount greater 
than that offered pursuant to subparagraph (A), but 
not exceeding an amount equal to 40 percent of the 
maximum amount of flood insurance coverage allow-
able 
under 
section 
1306(b)(2) 
(42 
U.S.C. 
4013(b)(2)) with respect to a residential building de-
scribed in such section. 
‘‘(C) TREATMENT OF COVERAGE LIMITS.—Any 
amount of coverage for a property provided pursuant 
to this subsection shall not be considered or counted 
for purposes of any limitation on coverage applicable 
to such property under section 1306(b) and any 
claim on such coverage shall not be considered a 
claim for purposes of identifying properties with 
multiple losses. 
‘‘(3) PREMIUMS.—The Administrator shall charge 
risk premium rates for coverage made available pursuant 
to this subsection in accordance with section 1307(a)(1). 
‘‘(4) ASSIGNMENT OF COVERAGE FOR MITIGATION 
GRANT COST SHARE REQUIREMENT.— 
‘‘(A) IN GENERAL.—A policyholder may assign 
the rights or benefits of the coverage made available 
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under this subsection to a governmental entity for 
the purposes of using payments made for a claim 
against coverage made available under this sub-
section to satisfy a required non-Federal contribu-
tion for a flood-related mitigation project funded by 
a mitigation assistance program described in clause 
(i), (ii), or (iii) of paragraph (1)(D). 
‘‘(B) ELIGIBLE EXPENSES.—If a policyholder 
assigns rights or benefits of coverage pursuant to 
subparagraph (A), a required non-Federal contribu-
tion for a flood-related mitigation project funded by 
a mitigation assistance program described in clause 
(i), (ii) or (iii) of paragraph (1)(D) shall be an eligi-
ble expense for coverage made available under this 
subsection. 
‘‘(C) TERMS AND CONDITIONS.—The Adminis-
trator may adopt procedures for assigning rights or 
benefits of coverage pursuant to subparagraph (A). 
‘‘(5) IMPLEMENTATION.—Notwithstanding any other 
provision of law, the Administrator may implement this 
subsection by adopting one or more standard endorse-
ments to the Standard Flood Insurance Policy by publica-
tion of such standards endorsement in the Federal Reg-
ister or by comparable means.’’. 
Æ 
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