Reform and Modernization Act of 2006, shall estab-
lish a program under which the Director shall re-
view, update, and maintain national flood insurance 
program rate maps in accordance with this sub-
section. 
‘‘(2) INCLUSIONS.—
‘‘(A) COVERED
AREAS.—Each map up-
dated under this subsection shall include a de-
piction of—
‘‘(i) the 500-year floodplain; 
‘‘(ii) areas that could be inundated as 
a result of the failure of a levee, as deter-
mined by the Director; and 
‘‘(iii) areas that could be inundated as 
a result of the failure of a dam, as identi-
fied under the National Dam Safety Pro-
gram Act (33 U.S.C. 467 et seq.). 
‘‘(B) OTHER
INCLUSIONS.—In updating 
maps under this subsection, the Director may 
include—
‘‘(i) any relevant information on 
coastal inundation from—
‘‘(I) an applicable inundation 
map of the Corps of Engineers; and
‘‘(II) data of the National Oce-
anic and Atmospheric Administration 
relating to storm surge modeling; 
‘‘(ii) any relevant information of the 
Geographical Service on stream flows, wa-
tershed characteristics, and topography 
that is useful in the identification of flood 
hazard areas, as determined by the Direc-
tor; and 
‘‘(iii) a description of any hazard that 
might impact flooding, including, as deter-
mined by the Director—
‘‘(I) land subsidence and coastal 
erosion areas; 
‘‘(II) sediment flow areas; 
‘‘(III) mud flow areas; 
‘‘(IV) ice jam areas; and 
‘‘(V) areas on coasts and inland 
that are subject to the failure of 
structural protective works, such as 
levees, dams, and floodwalls. 
‘‘(3) STANDARDS.—In updating and maintain-
ing maps under this subsection, the Director shall 
establish standards to—
‘‘(A) ensure that maps are adequate for—
‘‘(i) flood risk determinations; and 
‘‘(ii) use by State and local govern-
ments in managing development to reduce 
the risk of flooding; 
‘‘(B) facilitate the Director, in conjunction 
with State and local governments, to identify 
and use consistent methods of data collection 
and analysis in developing maps for commu-
nities with similar flood risks, as determined by 
the Director; and 
‘‘(C) ensure that emerging weather fore-
casting technology is used, where practicable, in 
flood map evaluations and the identification of 
potential risk areas. 
‘‘(4) HURRICANES KATRINA AND RITA MAPPING 
PRIORITY.—In updating and maintaining maps 
under this subsection, the Director shall—
‘‘(A) give priority to the updating and 
maintenance of maps of coastal areas affected 
by Hurricane Katrina or Hurricane Rita to pro-
vide guidance with respect to hurricane recovery 
efforts; and 
‘‘(B) use the process of updating and 
maintaining maps under subparagraph (A) as a
model for updating and maintaining other 
maps. 
‘‘(5) EDUCATION
PROGRAM.—The Director 
shall, after each update to a flood insurance pro-
gram rate map, in consultation with the chief execu-
tive officer of each community affected by the up-
date, conduct a program to educate each such com-
munity about the update to the flood insurance pro-
gram rate map and the effects of the update. 
‘‘(6) ANNUAL REPORT.—Not later than June 
30 of each year, the Director shall submit a report 
to the Congress describing, for the preceding 12-
month period, the activities of the Director under 
the program under this section and the reviews and 
updates of flood insurance program rate maps con-
ducted under the program. Each such annual report 
shall contain the most recent report of the Technical 
Mapping Advisory Council pursuant to section 
576(c)(3) of the National Flood Insurance Reform 
Act of 1994 (42 U.S.C. 4101 note). 
‘‘(7) AUTHORIZATION
OF
APPROPRIATIONS.—
There is authorized to be appropriated to the Direc-
tor to carry out this subsection $300,000,000 for 
each of fiscal years 2007 through 2012.’’.
(b) ONE-TIME REVIEW
AND UPDATING
OF ALL 
FLOOD ZONES AND ANNUAL MAP MODERNIZATION RE-
PORTS.—
(1) REQUIRED REVISION.—The Director of the 
Federal Emergency Management Agency shall, as 
soon as possible after the date of the enactment of 
this Act, conduct a review of all floodplain areas and 
flood-risk zones identified, delineated, or established 
pursuant to such section 1360 and shall revise and 
update all such areas and zones. The revisions and 
updating under this paragraph shall not be subject 
to the requirements of section 1360(k) of the Na-
tional Flood Insurance Act of 1968 (as added by 
subsection (a) of this section). 
(2) CERTIFICATION
OF
COMPLETION.—Upon 
completing the review, revision, and updating re-
quired under paragraph (1), the Director shall sub-
mit to the Congress a report certifying such comple-
tion. 
(3) ANNUAL REPORTS.—During the period that 
ends upon certification under paragraph (2) of this 
subsection by the Director, the Director shall include 
in the annual report required under section 
1360(k)(5) of the National Flood Insurance Act of 
1968 (as added by subsection (a) of this section) a
description of the extent to which the review and up-
dating required under paragraph (1) of this sub-
section has been completed. 
(c) REESTABLISHMENT
OF TECHNICAL MAPPING 
ADVISORY COUNCIL.—
(1) REESTABLISHMENT.—There is reestab-
lished the Technical Mapping Advisory Council, in 
accordance with this subsection and section 576 of 
the National Flood Insurance Reform Act of 1994 
(42 U.S.C. 4101 note). 
(2) MEMBERSHIP.—Paragraph (1) of section 
576(b) of the National Flood Insurance Reform Act 
of 1994 (42 U.S.C. 4101 note) is amended—
(A) by redesignating subparagraphs (E), 
(F), (G), (H), (I), and (J) as subparagraphs 
(F), (G), (H), (K), (M), and (N), respectively; 
(B) by inserting after subparagraph (D) 
the following new subparagraph: 
‘‘(E) a representative of the Corps of Engi-
neers of the United States Army;’’; 
(C) by inserting after subparagraph (H) 
(as so redesignated by subparagraph (A) of this 
paragraph) the following new subparagraphs: 
‘‘(I) a representative of local or regional 
flood and stormwater agencies;
‘‘(J) a representative of State geographic 
information coordinators;’’; and 
(D) by inserting after subparagraph (K) 
(as so redesignated by subparagraph (A) of this 
paragraph) the following new subparagraph: 
‘‘(L) a representative of flood insurance 
servicing companies;’’. 
(3) APPOINTMENT.—The Director of the Fed-
eral Emergency Management Agency, or the Direc-
tor’s designee, shall take action as soon as possible 
after the date of the enactment of this Act to ap-
point the members of the Technical Mapping Advi-
sory Council pursuant to section 576(b)(1) of the 
National Flood Insurance Reform Act of 1994, as 
amended by paragraph (2) of this subsection. 
(4) DUTIES.—Subsection (c) of section 576 of 
the National Flood Insurance Reform Act of 1994 
(42 U.S.C. 4101 note) is amended to read as fol-
lows: 
‘‘(c) DUTIES.—The Council shall—
‘‘(1) make recommendations to the Director for 
improvements to the flood map modernization pro-
gram under section 1360(k) of the National Flood 
Insurance Act of 1968 (42 U.S.C. 41010(k));
‘‘(2) make recommendations to the Director for 
maintaining a modernized inventory of flood hazard 
maps and information; and 
‘‘(3) submit an annual report to the Director 
that contains a description of the activities and rec-
ommendations of the Council.’’. 
(5) TERMINATION.—Subsection (k) of section 
576 of the National Flood Insurance Reform Act of 
1994 (42 U.S.C. 4101 note) is amended by striking 
‘‘under subsection (b)(1)’’ and inserting ‘‘pursuant 
to subsection (b)(1) of this section and section 
16(c)(3) of the Flood Insurance Reform and Mod-
ernization Act of 2006’’. 
(d) POST-DISASTER FLOOD ELEVATION DETER-
MINATIONS.—Section 1361 of the National Flood Insur-
ance Act of 1968 (42 U.S.C. 4101), as amended by the 
preceding provisions of this Act, is further amended by 
adding at the end the following new subsection: 
‘‘(l) 
INTERIM
POST-DISASTER
FLOOD
ELE-
VATIONS.—
‘‘(1) AUTHORITY.—Notwithstanding any other 
provision of this section or section 1363, the Direc-
tor may, after any flood-related disaster, establish by 
order interim flood elevation requirements for pur-
poses of the national flood insurance program for 
any areas affected by such flood-related disaster. 
‘‘(2) EFFECTIVENESS.—Such interim elevation 
requirements for such an area shall take effect im-
mediately upon issuance and may remain in effect 
until the Director establishes new flood elevations 
for such area in accordance with section 1363 or the 
Director provides otherwise.’’. 
(e) GAO STUDY OF LOW-INCOME DISCOUNT.—
(1) IN GENERAL.—The Comptroller General of 
the United States shall conduct a study of potential 
methods, practices, and incentives that would in-
crease the extent to which low-income families (as 
such term is defined in section 3(b) of the United 
States Housing Act of 1937 (42 U.S.C. 1437a(b))) 
that own residential properties located within areas 
having special flood hazards purchase flood insur-
ance coverage under the national flood insurance 
program. In conducting the study the Comptroller 
General shall analyze—
(A) the feasibility and effectiveness of pro-
viding such coverage to low-income families at 
rates that are discounted from the rates at 
which such coverage is otherwise provided, the 
amounts by which such rates should be dis-
counted to ensure that coverage is affordable to 
such families and to encourage purchase of cov-
erage by such families, and the effects of such 
discounts on the national flood insurance pro-
gram; and 
(B) the extent to which residential prop-
erties occupied by low-income families would be 
affected by expanding the mandatory purchase 
requirements of the national flood insurance 
program to the areas included in the national 
flood insurance program rate maps pursuant to 
section 1360(k) of the National Flood Insur-
ance Act of 1968 (42 U.S.C. 4101(k)), as 
amended by subsection (a) of this section. 
(2) REPORT.—The Comptroller General shall 
submit to the Congress a report setting forth the 
conclusions of the study under this subsection not 
later than 12 months after the date of the enact-
ment of this Act. 
SEC. 17. NOTIFICATION AND APPEAL OF MAP CHANGES; 
NOTIFICATION 
OF 
ESTABLISHMENT 
OF 
FLOOD ELEVATIONS. 
Section 1363 of the National Flood Insurance Act of 
1968 (42 U.S.C. 4104) is amended by striking the section
designation and all that follows through the end of sub-
section (a) and inserting the following: 
‘‘SEC. 1363. (a) In establishing projected flood ele-
vations for land use purposes with respect to any commu-
nity pursuant to section 1361, the Director shall first pro-
pose such determinations—
‘‘(1) by providing the chief executive officer of 
each community affected by the proposed elevations, 
by certified mail, with a return receipt requested, 
notice of the elevations, including a copy of the maps 
for the elevations for such community and a state-
ment explaining the process under this section to ap-
peal for changes in such elevations; 
‘‘(2) by causing notice of such elevations to be 
published in the Federal Register, which notice shall 
include information sufficient to identify the ele-
vation determinations and the communities affected, 
information explaining how to obtain copies of the 
elevations, and a statement explaining the process 
under this section to appeal for changes in the ele-
vations; 
‘‘(3) by publishing the elevations in a prominent 
local newspaper; and
‘‘(4) by providing written notification, by first 
class mail, to each owner of real property affected by 
the proposed elevations of—
‘‘(A) the status of such property, both 
prior to and after the effective date of the pro-
posed determination, with respect to flood zone 
and flood insurance requirements under this 
Act and the Flood Disaster Protection Act of 
1973; 
‘‘(B) the process under this section to ap-
peal a flood elevation determination; and 
‘‘(C) the mailing address and phone num-
ber of a person the owner may contact for more 
information or to initiate an appeal.’’. 
SEC. 18. NATIONAL LEVEE INVENTORY. 
To identify levees for the national flood insurance 
program, the Director of the Federal Emergency Manage-
ment Agency shall maintain and periodically publish an 
inventory of levees in the United States, and shall consult 
with the Secretary of the Army as necessary to maintain 
such inventory. 
SEC. 19. CLARIFICATION OF REPLACEMENT COST PROVI-
SIONS, FORMS, AND POLICY LANGUAGE. 
Not later than the expiration of the 3-month period 
beginning on the date of the enactment of this Act, the
Director of the Federal Emergency Management Agency 
shall—
(1) in plain language using easy to understand 
terms and concepts, issue regulations, and revise any 
materials made available by such Agency, to clarify 
the applicability of replacement cost coverage under 
the national flood insurance program; 
(2) in plain language using easy to understand 
terms and concepts, revise any regulations, forms, 
notices, guidance, and publications relating to the 
full cost of repair or replacement under the replace-
ment cost coverage to more clearly describe such 
coverage to flood insurance policyholders and infor-
mation to be provided by such policyholders relating 
to such coverage, and to avoid providing misleading 
information to such policyholders; 
(3) revise the language in standard flood insur-
ance policies under such program regarding rating 
and coverage descriptions in a manner that is con-
sistent with language used widely in other home-
owners and property and casualty insurance policies, 
including such language regarding classification of 
buildings, basements, crawl spaces, detached ga-
rages, enclosures below elevated buildings, and re-
placement costs; and
(4) include in each standard flood insurance 
policy a one-page description of the policy using 
plain language and easy to understand terms and 
concepts. 
SEC. 20. AUTHORIZATION OF ADDITIONAL FEMA STAFF. 
Notwithstanding any other provision of law, the Di-
rector of the Federal Emergency Management Agency 
may employ such additional staff of such Agency as may 
be necessary to carry out all of the responsibilities of the 
Director pursuant to this Act and the amendments made 
by this Act. There are authorized to be appropriated to 
Director such sums as may be necessary for costs of em-
ploying such additional staff. 
SEC. 21. INVESTIGATION OF WRITE-YOUR-OWN INSURERS’ 
ADJUSTMENT OF CLAIMS RELATING TO HUR-
RICANE KATRINA. 
(a) INVESTIGATION.—The Inspector General of the 
Department of Homeland Security shall carry out an in-
vestigation of insurers making flood insurance coverage 
available under the Write-Your-Own program pursuant to 
section 1345 of the National Flood Insurance Act of 1968 
(42 U.S.C. 4081) and subpart C of part 62 of title 44, 
Code of Federal Regulations to determine—
(1) whether any such insurers, in adjusting and 
settling claims resulting from Hurricane Katrina,
improperly attributed damages from such hurricane 
to flooding covered under coverage provided under 
the national flood insurance program rather than to 
windstorms covered by other coverage provided by 
such insurers or by windstorm insurance pools in 
which such insurers participated; and 
(2) the extent to which such improper attribu-
tion of damages occurred. 
(b) REPORT.—Not later than the expiration of the 
6-month period that begins upon the date of the enact-
ment of this Act, the Inspector General of the Department 
of Homeland Security shall submit to the Congress a re-
port setting forth the conclusions of the investigation pur-
suant to subsection (a). 
SEC. 22. ELIGIBILITY OF PROPERTY DEMOLITION AND RE-
BUILDING 
FOR 
MITIGATION 
ASSISTANCE 
PROGRAM. 
Section 1366(e)(5)(B) of the National Flood Insur-
ance Act of 1968 (42 U.S.C. 4104c(e)(5)(B)) is amended 
by inserting after ‘‘flood risk’’ the following: ‘‘, or the dem-
olition and rebuilding of structures located in such areas 
to at least Base Flood Elevation or any greater elevation 
required by any local ordinance’’.
SEC. 23. SAMPLING METHODS FOR QUALITY ASSURANCE. 
Section 1345 of the National Flood Insurance Act of 
1968 (42 U.S.C. 4081) is amended by adding at the end 
the following new subsection: 
‘‘(d) SAMPLING METHODS
FOR QUALITY ASSUR-
ANCE.—In selecting the cases and claims for operational 
reviews and claims re-inspections regarding the national 
flood insurance program under this title, the Director shall 
use a statistically valid probability sample whose results 
can be generalized to the entire population of reviews and 
claims from which the sample is drawn and whose sam-
pling error can be quantified.’’. 
SEC. 24. EXTENSION OF DEADLINE FOR FILING PROOF OF 
LOSS. 
(a) IN GENERAL.—Section 1312 of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4019) is amend-
ed—
(1) by inserting ‘‘(a) PAYMENT.—’’ before ‘‘The 
Director’’; and 
(2) by adding at the end the following new sub-
section: 
‘‘(b) FILING DEADLINE FOR PROOF OF LOSS.—
‘‘(1) IN GENERAL.—In establishing any require-
ments regarding notification, proof, or approval of 
claims for damage to or loss of property which is 
covered by flood insurance made available under this
title, the Director may not require an insured to no-
tify the Director of such damage or loss, submit a 
claim for such damage or loss, or certify to or sub-
mit proof of such damage or loss, before the expira-
tion of the 180-day period that begins on the date 
that such damage or loss occurred. 
‘‘(2) 
EXCEPTIONS.— 
Notwithstanding 
any 
deadline established in accordance with paragraph 
(1), the Director may not deny a claim for damage 
or loss described in such paragraph solely for failure 
to meet such deadline if the insured demonstrates 
any good cause for such failure.’’. 
(b) APPLICABILITY.—Subsection (b) of section 1312 
of the National Flood Insurance Act of 1968, as added 
by subsection (a)(2) of this section, shall apply with re-
spect to any claim under which the damage to or loss of 
property occurred on or after September 18, 2003.
Passed the House of Representatives June 27, 2006. 
Attest:
Clerk.
109TH CONGRESS 
2D SESSION 
H. R. 4973
AN ACT 
To restore the financial solvency of the national 
flood insurance program, and for other purposes.