I 
112TH CONGRESS 
1ST SESSION H. R. 1430 
To require regulated lending institutions, Federal agency lenders, and Govern-
ment-sponsored enterprises for housing to accept flood insurance coverage 
provided by a private entity that otherwise meets the requirements for 
the mandatory purchase of flood insurance to accept such flood insurance 
coverage as satisfaction of such requirements. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 7, 2011 
Mr. NUNES (for himself, Mr. CHAFFETZ, and Mr. PAUL) introduced the 
following bill; which was referred to the Committee on Financial Services 
A BILL 
To require regulated lending institutions, Federal agency 
lenders, and Government-sponsored enterprises for hous-
ing to accept flood insurance coverage provided by a 
private entity that otherwise meets the requirements for 
the mandatory purchase of flood insurance to accept 
such flood insurance coverage as satisfaction of such 
requirements. 
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 ‘‘Flood Insurance 
Choice Act’’. 
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SEC. 2. USE OF PRIVATE INSURANCE TO SATISFY REQUIRE-
MENT TO PURCHASE FLOOD INSURANCE TO 
RECEIVE A MORTGAGE LOAN. 
Section 102(b) of the Flood Disaster Protection Act 
of 1973 (42 U.S.C. 4012a(b)) is amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘lending institutions not to 
make’’ and inserting ‘‘lending institutions— 
‘‘(A) not to make’’; 
(B) in subparagraph (A), as designated by 
subparagraph (A) of this paragraph, by striking 
‘‘less.’’ and inserting ‘‘less; and’’; and 
(C) by adding at the end the following new 
subparagraph: 
‘‘(B) to accept private flood insurance as satis-
faction of the flood insurance coverage requirement 
under subparagraph (A) if the coverage provided by 
such private flood insurance meets the requirements 
for coverage under such subparagraph.’’; 
(2) in paragraph (2), by inserting after ‘‘pro-
vided in paragraph (1)’’ the following new sentence: 
‘‘Each Federal agency lender shall accept private 
flood insurance as satisfaction of the flood insurance 
coverage requirement under the preceding sentence 
if the flood insurance coverage provided by such pri-
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vate flood insurance meets the requirements for cov-
erage under such sentence.’’; 
(3) in paragraph (3), in the matter following 
subparagraph (B), by adding at the end the fol-
lowing new sentence: ‘‘The Federal National Mort-
gage Association and the Federal Home Loan Mort-
gage Corporation shall accept private flood insurance 
as satisfaction of the flood insurance coverage re-
quirement under the preceding sentence if the flood 
insurance coverage provided by such private flood in-
surance meets the requirements for coverage under 
such sentence.’’; and 
(4) by adding at the end the following new 
paragraph: 
‘‘(5) PRIVATE FLOOD INSURANCE DEFINED.—In 
this subsection, the term ‘private flood insurance’ means 
a contract for flood insurance coverage allowed for sale 
under the laws of any State.’’. 
Æ 
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