I 
117TH CONGRESS 
1ST SESSION H. R. 5556 
To require the Secretary of Housing and Urban Development to provide 
a disclosure notice to homebuyers of properties owned by the Department 
of Housing and Urban Development that are located in special flood 
hazard areas, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 12, 2021 
Mr. DIAZ-BALART (for himself, Ms. LOIS FRANKEL of Florida, Mr. WALTZ, 
Mrs. MURPHY of Florida, Mr. BILIRAKIS, Mr. LAWSON of Florida, Mr. 
GARBARINO, Mrs. HINSON, Mrs. DEMINGS, and Ms. SALAZAR) introduced 
the following bill; which was referred to the Committee on Financial Serv-
ices 
A BILL 
To require the Secretary of Housing and Urban Development 
to provide a disclosure notice to homebuyers of properties 
owned by the Department of Housing and Urban Devel-
opment that are located in special flood hazard areas, 
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 ‘‘Flood Risk Trans-
parency for Homebuyers Act’’. 
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SEC. 2. DEFINITIONS. 
In this Act: 
(1) ADMINISTRATOR.—The term ‘‘Adminis-
trator’’ means the Administrator of the Federal 
Emergency Management Agency. 
(2) COVERED PROPERTY.—The term ‘‘covered 
property’’ means a 1-to-4 unit residential property— 
(A) acquired by the Department as a re-
sult of a foreclosure action on a mortgage in-
sured by the Federal Housing Administration 
under title II of the National Housing Act (12 
U.S.C. 1707 et seq.); and 
(B) located in a special flood hazard area 
according to a flood hazard boundary map or 
flood insurance rate map issued by the Admin-
istration. 
(3) DEPARTMENT.—The term ‘‘Department’’ 
means the Department of Housing and Urban De-
velopment. 
(4) NATIONAL FLOOD INSURANCE PROGRAM.— 
The term ‘‘National Flood Insurance Program’’ 
means the program established under the National 
Flood Insurance Act of 1968 (42 U.S.C. 4001 et 
seq.). 
(5) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Housing and Urban Development. 
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(6) SEVERE REPETITIVE LOSS PROPERTY.—The 
term ‘‘severe repetitive loss property’’ has the mean-
ing given the term in section 1307(h) of the Na-
tional Flood Insurance Act of 1968 (42 U.S.C. 
4014(h)). 
SEC. 3. REQUIREMENT TO PROVIDE DISCLOSURE TO 
HOMEBUYERS OF PROPERTIES LOCATED IN 
SPECIAL FLOOD HAZARD AREAS. 
(a) IN GENERAL.—When listing a covered property 
for sale by the Department, the Secretary shall provide 
a disclosure notice that includes— 
(1) the estimated monthly cost of insurance for 
the covered property under the National Flood In-
surance Program for the zip code in which the cov-
ered property is located; and 
(2) whether the covered property is a severe re-
petitive loss property. 
(b) ANNUAL REPORT.—Not later than 1 year after 
the date of enactment of this Act, and annually thereafter, 
the Secretary and the Administrator shall submit to Con-
gress a joint report on covered properties sold by the De-
partment for which claims were filed under the National 
Flood Insurance Program during the year covered by the 
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