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(c) ANNUAL 10-PERCENT PREMIUM RATE INCREASE
CAP.—Section 1306(b) of the National Flood Insurance Act
of 1968 (42 U.S.C. 4013(b)) is amended by adding at the
end the following:
‘‘(7) the Director may not increase the premium
rate applied to a structure in any 12-month period
by more than 10 percent over the rate previously ap-
plied to that structure during the preceding 12-month
period.’’.
(d) CONFORMING AMENDMENTS.—Section 1306(b)(5)
of the National Flood Insurance Act of 1968 (42 U.S.C.
4013(b)(5)) is amended—
(1) by striking ‘‘(A), (B), or (C)’’ and inserting
‘‘(A) or (B)’’; and
(2) by striking ‘‘(1)(C),’’.
SEC. 662. ADDITIONAL COVERAGE FOR COMPLIANCE WITH
LAND USE AND CONTROL MEASURES.–
(a) IN GENERAL.—Section 1304 of the National Flood
Insurance Act of 1968 (42 U.S.C. 4011) is amended—
(1) by redesignating subsection (b) as subsection
(c); and
(2) by inserting after subsection (a) the following
new subsection:
‘‘(b) The national flood insurance program established
pursuant to subsection (a) shall enable the purchase of in-
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surance to cover the cost of compliance with land use and
control measures for—
‘‘(1) properties that are repetitive loss structures;
‘‘(2) properties that have flood damage in which
the cost of repairs equals or exceeds 50 percent of the
value of the structure at the time of the flood event;
and
‘‘(3) properties that have sustained flood damage
on multiple occasions, if the Director determines that
it is cost-effective and in the best interests of the Na-
tional Flood Insurance Fund to require compliance
with the land use and control measures.
The Director shall impose a surcharge on each insured of
not more than $50 per policy to provide cost of compliance
coverage in accordance with the provisions of this sub-
section.’’.
(b) APPLICABILITY.—The provisions of subsection (a)
shall apply only to structures that sustain flood-related
damage after the date of enactment of this title.
SEC. 663. FLOOD INSURANCE PROGRAM ARRANGEMENTS
WITH PRIVATE INSURANCE ENTITIES.
Section 1345(b) of the National Flood Insurance Act
of 1968 (42 U.S.C. 4081(b)) is amended by striking the pe-
riod at the end and inserting the following: ‘‘and without
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regard to the provisions of the Federal Advisory Committee
Act.’’.
SEC. 664. UPDATING OF FLOOD INSURANCE RATE MAPS.
Section 1360 of the National Flood Insurance Act of
1968 (42 U.S.C. 4101) is amended by adding at the end
the following new subsections:
‘‘(e) ASSESSMENT OF NEED TO UPDATE AREAS.—
‘‘(1) PERIODIC
ASSESSMENTS.—Not less than
once during each 5-year period (the first such period
beginning on the date of enactment of the National
Flood Insurance Reform Act of 1994), or more often
as the Director determines necessary, the Director
shall assess the need to revise and update each flood
insurance rate map, based on an analysis of all natu-
ral hazards affecting flood risks.
‘‘(2) UPON
REQUEST.—Upon the request of a
State or community stating that a flood insurance
rate map needs revision or updating, the Director
shall review and update the flood insurance rate map
for the State or community. The Director may require
the State or community to pay a portion of the cost
of updating the map.
‘‘(f) AVAILABILITY.—To promote compliance with the
requirements of this title, the Director shall make flood in-
surance rate maps and related information available free
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of charge to Federal agencies and to State agencies directly
responsible for coordinating the National Flood Insurance
Program and to appropriate representatives of communities
participating in the National Flood Insurance Program,
and at a reasonable cost to all other persons pursuant to
section 1310.
‘‘(g) NOTIFICATION.—The Director shall publish in the
Federal Register or by other comparable method, notice of
each revision to or update of a flood insurance rate map,
issued in the form of a Letter of Map Amendment or Letter
of Map Revision. Each map revision or update shall become
effective upon publication. Such comparable methods shall
include all pertinent information, provide for regular and
frequent distribution, and be at least as accessible to map
users as the Federal Register. Notices published in the Fed-
eral Register, or otherwise, shall also include information
on how to obtain copies of the revisions or updates.
‘‘(h) AVAILABILITY.—On March 1 and October 1 of
each year, the Director shall publish separately and make
available in their entirety within a compendium, all revi-
sions to and updates of flood insurance rate maps and all
Letters of Map Amendment and Letters of Map Revision
that were published in the Federal Register or distributed
through other comparable methods during the preceding 6
months, free of charge, to Federal agencies, States, and com-
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munities participating in the National Flood Insurance
Program pursuant to section 1310 and at cost to all other
persons.’’.
SEC. 665. EVALUATION OF EROSION HAZARDS.
(a) IN GENERAL.—As soon as practicable and not
later than 2 years after the date of enactment of this Act,
the Director shall submit to Congress a report—
(1) listing all communities that are likely to be
identified as having an erosion hazard areas;
(2) estimating the amount of flood insurance
claims attributable to erosion;
(3) assessing the full economic impact of erosion
on the National Flood Insurance Fund;
(4) measuring the costs and benefits of expendi-
tures necessary from the National Flood Insurance
Fund to complete mapping of erosion hazard areas.
(b) AUTHORIZATION
TO
MAP
EROSION
HAZARD
AREAS.—In developing an estimate of the amount of flood
insurance claims attributable to erosion pursuant to sub-
section (a), the Director is authorized to map a statistically
valid and representative number of communities with ero-
sion hazard areas throughout the United States, including
coastal, Great Lakes and riverine areas.
(c) ECONOMIC IMPACT STUDY.—The report required
under subsection (a)—
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(1) shall assess the economic impact of—
(A) erosion on communities likely to be
identified as having erosion hazard areas; and
(B) the denial of flood insurance and the es-
tablishment of actuarial rates in communities
likely to be identified as having erosion hazard
areas;
(2) shall be prepared by an independent private
sector firm;
(3) provide for consultation with a statistically
valid and representative number of communities like-
ly to be identified as having erosion hazard areas;
and
(4) address all significant economic factors, in-
cluding the impact on—
(A) the value of residential and commercial
properties in communities with erosion hazards;
(B) community tax revenues due to poten-
tial changes in property values or commercial
activity;
(C) employment, including the potential
loss or gain of existing and new jobs in the com-
munity;
(D) existing businesses and future economic
development; and
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(E) the estimated cost of Federal and State
disaster assistance to flood victims.
(d) COST AND BENEFITS OF MAPPING.—The report re-
quired under subsection (a), shall—
(1) measure the costs and benefits of mapping
erosion hazard areas based upon the Director’s esti-
mate of the actual and prospective amount of flood
insurance claims attributable to erosion. If the Direc-
tor determines that the savings to the National Flood
Insurance Fund will exceed the cost of mapping ero-
sion hazard areas, the Director shall assess whether
the expenditures to map erosion hazard areas is the
most cost-beneficial use of flood insurance premiums
in light of alternative uses of those funds, including—
(A) funding the mitigation assistance pro-
gram under section 1367 of the National Flood
Insurance Act of 1968 (as added by section 643
of this Act);
(B) funding additional coverage for compli-
ance with land use and control measures under
section 1304(b) of the National Flood Insurance
Act of 1968 (as added by section 662 of this Act);
and
(C) revising and updating flood insurance
rate maps under section 1360(e) of the National
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Flood Insurance Act of 1968 (as added by section
664 of this Act).
(2) measure the costs and benefits of mapping
erosion, other than those directly related to the finan-
cial condition of the National Flood Insurance Pro-
gram, and the cost of not mapping erosion.
(e) DEFINITION.—For purposes of this section the term
‘‘erosion hazard area’’ means, based on erosion rate infor-
mation and other historical data available, an area where
erosion or avulsion is likely to result in damage to or loss
of buildings and infrasturcture within a 60-year period.
(f) AUTHORIZATION OF APPROPRIATION.—There are
authorized to be appropriated to the Director $5,000,000
to carry out this section.
SEC. 666. COORDINATION OF FLOOD INSURANCE RATE MAP
REVISIONS AND UPDATES WITH COASTAL
ZONE MANAGEMENT PROGRAMS.
IN GENERAL.—In the implementation of revisions to
and updates of flood insurance rate maps, the Director shall
consult and share information with the Under Secretary of
Commerce for Oceans and Atmosphere and representatives
from State coastal zone management programs.
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SEC. 667. TECHNICAL MAPPING ADVISORY COUNCIL.
(a) ESTABLISHMENT.—There is established a council
to be known as the Technical Mapping Advisory Council
(hereafter in this section referred to as the ‘‘Council’’).
(b) MEMBERSHIP.—
(1) IN GENERAL.—The Council shall consist of
the Director, or the Director’s designee, and 12 addi-
tional members to be appointed by the Director or his
designee, and shall include—
(A) the Under Secretary of Commerce for
Oceans and Atmosphere (or his or her designee);
(B) a member of recognized surveying and
mapping professional associations and organiza-
tions;
(C) a member of recognized professional en-
gineering associations and organizations;
(D) a member of recognized professional as-
sociations or organizations representing flood
hazard determination firms;
(E) a representative of the United States
Geologic Survey;
(F) a representative of State geologic survey
programs;
(G) a representative of State national flood
insurance coordination offices;
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(H) a representative of the Federal National
Mortgage Association and the Federal Home
Loan Mortgage Corporation; and
(I) a representative of a regulated lending
institution.
(2) QUALIFICATIONS.—Members of the Council
shall be appointed based on their demonstrated knowl-
edge and competence regarding surveying, cartog-
raphy, remote sensing, geographic information sys-
tems, or the technical aspects of preparing and using
flood insurance rate maps.
(c) DUTIES.—The Council shall—
(1) make recommendations to the Director on
how to improve in a cost-effective manner the accu-
racy, general quality, ease of use, and distribution
and dissemination of flood insurance rate maps;
(2) recommend to the Director mapping stand-
ards and guidelines for flood insurance rate maps;
and
(3) transmit an annual report to the Director
describing—
(A) the activities of the Council;
(B) an evaluation of the status and per-
formance of flood insurance rate maps and map-
ping activities to revise and update flood insur-
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ance rate maps, as established by the amend-
ments made under section 664; and
(C) a summary of recommendations made
by the Council to the Director.
(d) CHAIRPERSON.—The members of the Council shall
elect 1 member to serve as the chairperson of the Council
(hereafter in this section referred to as the ‘‘Chairperson’’).
(e) COORDINATION.—To ensure that the Council’s rec-
ommendations are consistent to the maximum extent prac-
ticable with national digital spatial data collection and
management standards, the Chairperson shall consult with
the Chairperson of the Federal Geographic Data Committee
(established pursuant to OMB Circular A–16).
(f) COMPENSATION.—Members of the Council shall re-
ceive no additional compensation by reason of their service
on the Council.
(g) MEETINGS AND ACTIONS.—
(1) IN GENERAL.—The Council shall meet not
less than twice each year at the request of the Chair-
person or a majority of its members and may take ac-
tion by a vote of the majority of the members.
(2) INITIAL MEETING.—The Director, or a person
designated by the Director, shall request and coordi-
nate the initial meeting of the Council.
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(h) OFFICERS.—The Chairperson may appoint officers
to assist in carrying out the duties of the Council under
subsection (c).
(i) STAFF OF THE FEDERAL EMERGENCY MANAGE-
MENT AGENCY.—Upon the request of the Chairperson, the
Director may detail, on a nonreimbursable basis, personnel
of the Federal Emergency Management Agency to assist the
Council in carrying out its duties.
(j) POWERS.—In carrying out this section, the Council
may hold hearings, receive evidence and assistance, provide
information, and conduct research as it considers appro-
priate.
(k) TERMINATION.—The Council shall terminate 5
years after the date on which all members of the Council
have been appointed under subsection (b)(1).
SEC. 668. FUNDING FOR INCREASED ADMINISTRATIVE AND
OPERATIONAL RESPONSIBILITIES.
(a) AVAILABILITY OF FUND.—Section 1310(a) of the
National Flood Insurance Act of 1968 (42 U.S.C. 4017(a)),
as amended by section 632, is amended in the matter pre-
ceding paragraph (1), by inserting ‘‘(except as otherwise
provided)’’ after ‘‘without fiscal year limitation’’.
(b) CREDITS OF FUND.—Section 1310(b) of the Na-
tional Flood Insurance Act of 1968 (42 U.S.C. 4017(b)) is
amended—
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(1) in paragraph (5), by striking ‘‘and’’ at the
end;
(2) by redesignating paragraph (6) as para-
graph (7); and
(3) by inserting after paragraph (5) the follow-
ing new paragraph:
‘‘(6) any penalties collected under section 102(f)
of the Flood Disaster Protection Act of 1973; and’’.
SEC. 669. SEPARATE ACCOUNT FOR NATIONAL FLOOD IN-
SURANCE FUND.
Section 1310(a) of the National Flood Insurance Act
(42 U.S.C. 4017(a)) is amended by inserting before ‘‘which
shall be available’’ the following: ‘‘which shall be main-
tained in the Treasury as an account separate from any
other funds available to the Director, and’’.
SEC. 670. NONWAIVER OF FLOOD PURCHASE REQUIREMENT
FOR RECIPIENTS OF FEDERAL DISASTER AS-
SISTANCE.
Section 311(b) of the Robert T. Stafford Disaster Relief
and Emergency Assistance Act (42 U.S.C. 5154(b)) is
amended by adding at the end the following: ‘‘The require-
ments of this subsection may not be waived under section
301.’’.
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SEC. 671. INSURANCE WAITING PERIOD.
Section 1308 of the National Flood Insurance Act of
1968 (42 U.S.C. 4014) is amended by adding at the end
the following new subsection:
‘‘(e)(1) The Director shall establish a waiting period
of not less than 10 days from the presentment of payment
of a premium for the initial purchase of flood insurance
under this title. Flood insurance coverage shall not be avail-
able with respect to any claim for damage incurred during
such waiting period.
‘‘(2) This subsection shall not apply to the initial pur-
chase of flood insurance under this title when the purchase
of insurance is in connection with the making, increasing,
extension, or renewal of a loan.’’.
SEC. 672. AGRICULTURAL STRUCTURES.
Section 1361 of the National Flood Insurance Act of
1968 (42 U.S.C. 4102) is amended by adding at the end
the following new subsection:
‘‘(d) AGRICULTURAL STRUCTURES.—
‘‘(1) EXEMPTION FROM FLOODWAY ACTIVITY RE-
STRICTIONS.—Notwithstanding any other provision of
law, the adequate land use and control measures
adopted in an area (or subdivision thereof) pursuant
to section 1315(a) may provide, at the discretion of
the appropriate State or local authority, for the re-
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pair and restoration to pre-damaged conditions of an
agricultural structure that—
‘‘(A) is a repetitive loss structure; or
‘‘(B) has incurred flood-related damage to
the extent that the cost of restoring the structure
to its pre-damaged condition would equal or ex-
ceed 50 percent of the market value of the struc-
ture before the damage occurred.
‘‘(2) DEFINITIONS.—For purposes of this sub-
section—
‘‘(A) the term ‘agricultural structure’ means
any structure used exclusively in connection with
the production, harvesting, storage, raising, or
drying of agricultural commodities; and
‘‘(B) the term ‘agricultural commodities’
means agricultural commodities and livestock.’’.
SEC. 673. IMPLEMENTATION REVIEW BY THE DIRECTOR.
Section 1320 of the National Flood Insurance Act of
1968 (42 U.S.C. 4027) is amended—
(1) by striking ‘‘The Director’’ and inserting
‘‘(a) IN GENERAL.—The Director’’; and
(2) by adding at the end the following new sub-
section:
‘‘(b) EFFECTS OF FLOOD INSURANCE PROGRAM.—The
Director shall include, as part of the biennial report sub-
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mitted under subsection (a), a chapter reporting on the ef-
fects on the flood insurance program observed through im-
plementation of requirements under the National Flood In-
surance Reform Act of 1994.’’.
SEC. 674. REGULATIONS.
The Director and the head of any appropriate Federal
agency may each issue any regulations necessary to carry
out the applicable provisions of this title and the applicable
amendments made by this title.
SEC. 675. PROHIBITED FLOOD DISASTER ASSISTANCE.
(a) GENERAL PROHIBITION.—Notwithstanding any
other provision of law, no Federal disaster relief assistance
made available in a flood disaster area may be used to make
a payment (including any loan assistance payment) to a
person for repair, replacement, or restoration for damage
to any personal, residential, or commercial property if that
person at any time has received flood disaster assistance
that was conditional on the person first having obtained
flood insurance under applicable Federal law and subse-
quently having failed to obtain and maintain flood insur-
ance as required under applicable Federal law on such
property.
(b) AMENDMENT TO THE FLOOD DISASTER PROTEC-
TION ACT OF 1973.—Section 102(a) of the Flood Disaster
Protection Act of 1973 (42 U.S.C. 4012a(a)) is amended—
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(1) by striking ‘‘, during the anticipated eco-
nomic or useful life of the project,’’; and
(2) by adding at the end the following: ‘‘The re-
quirement of maintaining flood insurance shall apply
during the life of the property, regardless of transfer
of ownership of such property.’’.
(c) DEFINITION.—For purposes of this section, the
term ‘‘flood disaster area’’ means an area with respect to
which—
(1) the Secretary of Agriculture finds, or has
found, to have been substantially affected by a natu-
ral disaster in the United States pursuant to section
321(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1961(a)); or
(2) the President declares, or has declared, the
existence of a major disaster or emergency pursuant
to the Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.), as a
result of flood conditions existing in or affecting that
area.
(d) EFFECTIVE DATE.—The amendments made by this
section shall apply to disasters declared after the date of
enactment of the National Flood Insurance Reform Act of
1994.