tion of the information under subsection (b) in the 
manner that the manager or landlord deems most 
appropriate, to each such tenant and to each new 
tenant upon commencement of such a tenancy. 
‘‘(b) NOTICE.—Notice to a tenant of a property in 
accordance with this subsection is written notice that 
clearly informs a tenant— 
‘‘(1) that the property is located in an area hav-
ing special flood hazards; 
‘‘(2) that flood insurance coverage is available 
under the national flood insurance program under 
this title for contents of the unit or structure leased 
by the tenant; 
‘‘(3) of the maximum amount of such coverage 
for contents available under this title at that time; 
and 
‘‘(4) of where to obtain information regarding 
how to obtain such coverage, including a telephone 
number, mailing address, and location on the World 
Wide Web of the Director where such information is 
available.’’.
SEC. 11. INCREASE IN ANNUAL LIMITATION ON PREMIUM 
INCREASES. 
Section 1308(e) of the National Flood Insurance Act 
of 1968 (42 U.S.C. 4015(e)) is amended by striking ‘‘10 
percent’’ and inserting ‘‘15 percent’’. 
SEC. 12. REPORT REGARDING BORROWING AUTHORITY. 
Not later than the expiration of the 6-month period 
beginning on the date of the enactment of this Act, the 
Director of the Federal Emergency Management Agency 
shall submit a report to the Congress setting forth a plan 
for repaying within 10 years all amounts that, as of the 
expiration of such period, have been borrowed under the 
authority of section 1309(a) of the National Flood Insur-
ance Act of 1968 (42 U.S.C. 4016(a)) and not yet repaid 
as of such date. 
SEC. 13. FEMA PARTICIPATION IN STATE DISASTER CLAIMS 
MEDIATION PROGRAMS. 
Chapter I of the National Flood Insurance Act of 
1968 (42 U.S.C. 4011 et seq.) is amended by adding at 
the end the following new section: 
‘‘SEC. 1325. FEMA PARTICIPATION IN STATE DISASTER 
CLAIMS MEDIATION PROGRAMS. 
‘‘(a) REQUIREMENT TO PARTICIPATE.—In the case 
of the occurrence of a natural catastrophe that may have 
resulted in flood damage covered by insurance made avail-
able under the national flood insurance program and a loss
covered by personal lines residential property insurance 
policy, upon request made by the insurance commissioner 
of a State (or such other official responsible for regulating 
the business of insurance in the State) for the participa-
tion of representatives of the Director in a program spon-
sored by such State for nonbinding mediation of insurance 
claims resulting from a natural catastrophe, the Director 
shall cause such representatives to participate in such 
State program, when claims under the national flood in-
surance program are involved, to expedite settlement of 
flood damage claims resulting from such catastrophe. 
‘‘(b) EXTENT OF PARTICIPATION.—Participation by 
representatives of the Director required under subsection 
(a) with respect to flood damage claims resulting from a 
natural catastrophe shall include— 
‘‘(1) providing adjusters certified for purposes 
of the national flood insurance program who are au-
thorized to settle claims against such program re-
sulting from such catastrophe in amounts up to the 
limits of policies under such program; 
‘‘(2) requiring such adjusters to attend State- 
sponsored mediation meetings regarding flood insur-
ance claims resulting from such catastrophe at times 
and places as may be arranged by the State;
‘‘(3) participating in good-faith negotiations to-
ward the settlement of such claims with policy-
holders of coverage made available under the na-
tional flood insurance program; and 
‘‘(4) finalizing the settlement of such claims on 
behalf of the national flood insurance program with 
such policyholders. 
‘‘(c) COORDINATION.—Representatives of the Direc-
tor who participate pursuant to this section in a State- 
sponsored mediation program with respect to a natural ca-
tastrophe shall at all times coordinate their activities with 
insurance officials of the State and representatives of in-
surers for the purpose of consolidating and expediting the 
settlement of claims under the national flood insurance 
program resulting from such catastrophe at the earliest 
possible time. 
‘‘(d) MEDIATION PROCEEDINGS
AND PRIVILEGED 
DOCUMENTS.—As a condition of the participation of Rep-
resentatives of the Director pursuant to this section in 
State-sponsored mediation, all statements made and docu-
ments produced pursuant to such mediation involving rep-
resentatives of the Director shall be deemed privileged and 
confidential settlement negotiations made in anticipation 
of litigation.
‘‘(e) EFFECT
OF PARTICIPATION
ON LIABILITY, 
RIGHT, AND OBLIGATIONS.—Participation of Representa-
tives of the Director pursuant to this section in State- 
sponsored mediation shall not affect or expand the liability 
of any party in contract or in tort, nor shall it affect the 
rights or obligations of the parties as provided in the 
Standard Flood Insurance Policy under the national flood 
insurance program, regulations of the Federal Emergency 
Management Agency, this Act, or Federal common law. 
‘‘(f) EXCLUSIVE FEDERAL JURISDICTION.—Partici-
pation of Representatives of the Director pursuant to this 
section in State-sponsored mediation shall not alter, 
change or modify the original exclusive jurisdiction of 
United States courts as provided in this Act. 
‘‘(g) COST LIMITATION.—Nothing in this section 
shall be construed to require the Director or representa-
tives of the Director to pay additional mediation fees relat-
ing to flood claims associated with a State-sponsored me-
diation program in which representatives of the Director 
participate. 
‘‘(h) EXCEPTION.—In the case of the occurrence of 
a natural catastrophe that results in flood damage claims 
under the national flood insurance program and does not 
result in any loss covered by a personal lines residential 
property insurance policy—
‘‘(1) this section shall not apply; and 
‘‘(2) the provisions of the Standard Flood In-
surance Policy under the national flood insurance 
program and the appeals process established pursu-
ant to section 205 of the Bunning-Bereuter- 
Blumenauer Flood Insurance Reform Act of 2004 
(Public Law 108–264; 118 Stat. 726) and regula-
tions issued pursuant to such section shall apply ex-
clusively. 
‘‘(i) REPRESENTATIVES
OF DIRECTOR.—For pur-
poses of this section, the term ‘representatives of the Di-
rector’ means representatives of the national flood insur-
ance program who participate in the appeals process es-
tablished pursuant to section 205 of the Bunning-Bereu-
ter-Blumenauer Flood Insurance Reform Act of 2004 
(Public Law 108–264; 118 Stat. 726) and regulations 
issued pursuant to such section.’’. 
SEC. 14. FEMA ANNUAL REPORT ON INSURANCE PROGRAM. 
Section 1320 of the National Flood Insurance Act of 
1968 (42 U.S.C. 4027) is amended— 
(1) and inserting in the section heading, by 
striking ‘‘ANNUAL REPORT TO CONGRESS’’; 
(2) in subsection (a)— 
(A) by striking ‘‘biennially’’;