An Act to expand the national flood insurance program by substantially increasing limits of coverage and total amount of insurance authorized to be outstanding and by requiring known flood-prone communities to participate in the program, and for other purposes.
PL 93-234 (H.R.8449), enacted 12/31/1973

87 STAT.] 
PUBLIC L
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975 
thereof the following new sentence: "Effective with respect to compen-
sation for weeks of unemployment beginning before April 1,1974, and 
beginning after December 31,1973 (or, if later, the date established 
pursuant to State law), the State may by law provide that the deter-
mination of whether there has been a State 'on' or 'off' indicator 
be^nning or ending any extended benefit period shall be made under 
this subsection as if paragraph (1) did not contain subparagraph 
(A) thereof.". 
Approved December 31, 1973. 
Public Law 93-234 
A
N ACT 
To expand the national flood insurance program by substantially increasing 
limits of coverage and total amount of insurance authorized to be outstanding 
and by requiring known 
flood-prone 
communities to participate in the pro-
gram, and for other purposes. 
Be it enacted hy the Senate and House of Representatives of the 
United States of America in Congress assembled^ That this Act may 
be cited as the "Flood Disaster Protection Act of 1973". 
December 31, 1973 
[H. R. 8449] 
Flood Disaster 
Protection Act of 
1973. 
FINDINGS AND DECLARATION OF PURPOSE 
SEC. 2. (a) The Congress finds that— 
(1) annual losses throughout the Nation from floods and mud-
slides are increasing at an alarming rate, largely as a result of 
the accelerating development of, and concentration of population 
in, areas of flood and mudslide hazards; 
(2) the availability of Federal loans, grants, guaranties, 
insurance, and other forms of financial assistance are often 
determining factors in the utilization of land and the location 
and construction of public and of private industrial, commercial, 
and residential facilities; 
(3) property acquired or constructed with grants or other 
Federal assistance may be exposed to risk of loss through floods, 
thus frustrating the purpose for which such assistance was 
extended; 
(4) Federal instrumeiitalities insure or otherwise provide 
financial protection to banking and credit institutions whose assets 
include a substantial number of mortgage loans and other indebt-
edness secured by property exposed to loss and damage from 
floods and mudslides; 
976 
PUBLIC L
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[87 STAT. 
(5) the Nation cannot afford the tragic losses of life caused 
' 
annually by flood occurrences, nor the increasing losses of prop-
erty suffered by flood victims, most of whom are still inadequately 
compensated despite the provision of costly disaster relief bene-
fits ; and 
(6) it is in the public interest for persons already living in 
A 
flood-prone 
areas to have both an opportunity to purchase flood 
insurance and access to more adec[uate limits of coverage, so that 
they will be indemnified for their losses in the event of future 
flood disasters, 
(b) Tlie purpose of this Act, therefore, is to— 
(1) substantially increase the limits of coverage authorized 
under the national flood insurance program; 
(2) provide for the expeditious identification of, and the dis-
semination of information concerning, flood-prone areas; 
(3) require States or local communities, as a condition of 
future Federal financial assistance, to participate in the flood 
insurance program and to adopt adequate flood plain ordinances 
with effective enforcement provisions consistent with Federal 
standards to reduce or avoid future flood losses; and 
(4) require the purchase of flood insurance by property owners 
•who are being assisted by Federal programs or by lederally 
supervised, reflated, or insured agencies or institutions in the 
acquisition or improvement of land or facilities located or to be 
V 
located in identified areas having special flood hazards. 
' 
DEFIXITIOXS 
SKC. 8. (a) As used in this Act, unless the context otlierwise requires, 
the term— 
(1) "community" means a State or a political subdivision 
thereof which has zoning and building code jurisdiction over a 
particular area having special flood hazards ; 
„ 
(2) "Federal agency" means any department, agency, corpora-
tion, or other entity or instrumentality of the executive branch 
of the Federal Grovernment, and includes the Federal National 
Mortgage Association and the Federal Home Loan ^Mortgage 
Corporation; 
(8) "financial assistance" means any form of loan, grant, guar-
anty, insurance, payment, rebate, subsidy, disaster assistance loan 
or grant, or any other form of direct or indirect Federal assistance, 
other than general or special revenue sharing or formula grants 
made to States; 
87 STAT.] 
PUBLIC L
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977 
(4) "financial assistance for acquisition or construction pur-
poses" means any form of financial assistance which is intended 
in whole or in part for the acquisition, construction, reconstruc-
tion, repair, or improvement of any publicly or privately owned 
building or mobile home, and for any machinery, equipment, 
fixtures, and furnishings contained or to be contained therein, and 
shall include the purchase or subsidization of mortgages or mort-
gage loans but shall exclude assistance for emergency work essen-
tial for the protection and preservation of life and property 
performed pursuant to the Disaster Relief Act of 1970 or any 
42u?c44o/' 
subsequent Act of Congress which supersedes or modifies the note. 
Disaster Relief Act of 1970; 
(5) "Federal instrumentality responsible for the supervision, 
approval, regulation, or insuring of banks, savings and loan asso-
ciations, or similar institutions" means the Board of Governors 
of the Federal Reserve System, the Federal Deposit Insurance 
Corporation, the Comptroller of the Currency, the Federal Home 
Loan Bank Board, the Federal Savings and Loan Insurance 
Corporation, and the National Credit Union Administration; and 
(6) "Secretary" means the Secretary of Housing and Urban 
Development. 
(b) The Secretary is authorized to define or redefine, by rules and 
regulations, any scientific or technical term used in this Act, insofar 
as sucli definition is not inconsistent with the purposes of tliis Act. 
TITLE I—EXPANSION OF NATIONAL FLOOD 
INSURANCE PROGRAM 
IXCREASED LIMITS OF COVERAGE 
SEC. 101. (a) Section 1306(b)(1)(A) of the National Flood 
Insurance Act or 1968 is amended to read as follows: 
^^ ^^^ IJ^^* 
" (A) in the case of residential properties— 
"(i) $35,000 aggregate liability for any single-family 
dwelling, and $100,000 for any residential structure contain-
ing more than one dwelling unit, 
"(ii) $10,000 aggregate liability per dwelling unit for 
any contents related to such unit, and 
''(iii) in the States of Alaska and Hawaii, and in the 
Virgin Islands and Guam, the limits provided in clause (i) of 
this sentence shall be: $150,000 aggregate liability for any 
single-family dwelling, and $150,000 for any residential 
structure containing more than one dwelling unit;". 
22.180 0 - 7 5 - 6 4 
978 
PUBLIC LAW 93-234-DEC. 31, 1973 
[87 STAT. 
82 Stat. 575. 
42 u s e 4013. 
85 Stat. 775. 
83 Stat. 397. 
42 u s e 4012. 
(b) Section 1306(b) (1) (B) of such Act is amended by striking out 
"$30,000" and "$5,000" wherever they appear and inserting in lieu 
thereof "$100,000". 
(c) Section 1306(b)(1)(C) of such Act is amended to read as 
follows: 
"(C) in the case of church properties and any other properties 
which may become eligible -for flood insurance under section 
1305— 
"(i) $100,000 aggregate liability for any single structure, 
and 
"(ii) $100,000 aggregate liability per unit for any contents 
related to such unit; and." 
82 Stat. 572. 
42 u s e 4001 
note. 
State-owned 
property, exemp-
tion. 
List, publica-
tion. 
REQUIREMENT TO PURCHASE FLOOD INSURANCE 
SEC. 102. (a) After the expiration of sixty days following the date 
of enactment of this Act, no Federal officer or agency shall approve 
any financial assistance for acquisition or construction purposes for 
use in any area that has been identified by the Secretary as an area 
liaving special flood hazards and in which the sale of flood insurance 
lias been made available under the National Flood Insurance Act of 
1968, unless the building or mobile home and any personal property 
to which such financial assistance relates is, during the anticipated 
economic or useful life of the project, covered by flood insurance in 
an amount at least equal to its development or project cost (less esti-
mated land cost) or to the maximum limit of coverage made avail-
able with respect to the particular type of property under the National 
Flood Insurance Act of 1968, whichever is less: Provided, That if the 
financial assistance provided is in the form of a loan or an insurance 
or guaranty of a loan, the amount of flood insurance required need 
not exceed the outstanding principal balance of the loan and need 
not be required beyond the term of the loan. 
(b) Each Federal instrumentality responsible for the supervision, 
approval, regulation, or insuring of banks, savings and loan associa-
tions, or similar institutions shall by regulation direct such institutions 
not to make, increase, extend, or renew after the expiration of sixty 
days following the date of enactment of this Act any loan secured by 
improved real estate or a mobile home located or to be located in an 
area that has been identified by the Secretary as an area having special 
flood hazards and in which flood insurance has been made available 
under the National Flood Insurance Act of 1968, unless the building 
or mobile home and any personal property securing such loan is 
covered for the term of the loan by flood insurance in an amount at 
least equal to the outstanding principal balance of the loan or to the 
maximum limit of coverage made available with respect to the partic-
ular type of property under the Act, whichever is less. 
(c) Notwithstanding the other provisions of this section, flood 
insurance shall not be required on any State-owned property that is 
covered under an adequate State policy of self-insurance satisfactory 
to the Secretary. The Secretary shall publish and periodically revise 
the list of States to which this subsection applies. 
82 Stat. 576. 
42 u s e 4015. 
ESTABLISHMENT O r CHARGEABLE RATES 
SEC. 103. Section 1308 of the National Flood Insurance Act of 
1968 is amended by striking out subsection (c) and inserting in lieu 
thereof the following new subsection: 
"(c) Notwithstanding any other provision of this title, the charge-
able rate with respect to any property, the construction or substantial 
improvement of Avhich the Secretary determines has been started after 
87 
STAT.] 
PUBLIC LAW 93-234-DEC. 31, 1973 
979 
December 31, 1974, or the effective date of the initial rate map pub-
lished by the Secretary under paragraph (2) of section 1360 for the 
area in which such property is located, whichever is later, shall not 
be less than the applicable estimated risk premium rate for such area 
(or subdivision thereof) under section 1307(a) (1).''. 
82 Stat. 587. 
42 u s e 4101. 
42 u s e 4014. 
FINANCING 
SEC. 104. Section 1309(a) of the National Flood Insurance Act of 
1968 is amended by striking out all after the semicolon and inserting 
in lieu thereof the following: "except that the total amount of notes 
and obligations which may be issued by the Secretary pursuant to 
such authority (1) without the approval of the President, may not 
exceed $500,000,000, and (2) with the approval of the President, may 
not exceed $1,000,000,000. The Secretary shall report to the Committee 
on Banking and Currency of the House of Representatives and the 
Committee on Banking, Housing and Urban Affairs of the Senate 
at any time when he requests the approval of the President in accord-
ance with the preceding sentence,". 
82 Stat. 577. 
42 u s e 4016. 
Report to con-
gressional com-
mittees. 
PROGRAM 
EXPIRATION 
SEC. 105. Section 1319 of the National Flood Insurance Act of 1968 
is amended to read as follows: 
82 Stat. 581. 
42 u s e 4026. 
'PROGRAM 
EXPIRATION 
"SEC. 1319. No new contract for flood insurance under this title shall 
be entered into after June 30,1977.". 
EMERGENCY IMPLEMENTATION or PROGRAM 
SEC. 106. Subsection (a) of section 1336 of the National Flood 
Insurance Act of 1968 is amended by striking the date "December 31, 
1973" and inserting in lieu thereof "December 31,1975". 
83 Stat. 396; 
85 Stat. 775. 
42 u s e 4056. 
DEFINITION o r FLOOD 
, 
^
^ 
SEC, 107. Section 1370(b) of the National Flood Insurance Act of 
1968 is amended by inserting "proximately" before "caused". 
EXTENSION or FLOOD INSURANCE PROGRAM TO COVER LOSSES FROM EROSION 
AND UNDERMINING OF SHORELINES 
SEC. 108. (a) Section 1302 of the National Flood Insurance Act of 
1988 is amended by adding at the end thereof the following new sub-
section : 
"(g) The Congress also finds that (1) the damage and loss which 
may result from the erosion and undermining of shorelines by waves 
or currents in lakes and other bodies of water exceeding anticipated 
cyclical levels is related in cause and similar in effect to that which 
results directly from storms, deluges, overflowing; waters, and other 
forms of flooding, and (2) the problems involved m providing protec-
tion against this damage and loss, and the possibilities for making such 
protection available through a Federal or federally sponsored pro-
gram, are similar to those which exist in connection with efforts to 
provide protection against damage and loss caused by such other forms 
of flooding. It is therefore the further purpose of this title to make 
available, by means of the methods, procedures, and instrumentalities 
which are otherwise established or available under this title for pur-
poses of the flood insurance program, protection against damage and 
loss resulting from the erosion and undermining of shorelines by waves 
82 Stat. 588; 
83 Stat. 397. 
42 u s e 4121. 
42 u s e 4001, 
980 
PUBLIC LAW 93-234-DEC. 31, 1973 
[87 STAT. 
82 Stat. 588; 
!3 Stat. 397. 
42 u s e 4121. 
" F l o o d . " 
or currents in lakes and other bodies of water exceeding anticipated 
cyclical levels.". 
(b) Section 1370 of such Act is amended by adding at the end there-
of the following new subsection: 
"(c) The term 'flood' shall also include the collapse or subsidence 
of land along the shore of a lake or other body of water as a result of 
erosion or undermining caused by waves or currents of Avater exceed-
ing anticipated cyclical levels, and all of the provisions of this title 
shall apply with respect to such collapse or subsidence in the same 
manner and to the same extent as with respect to floods described in 
paragraph (1), subject to and in accordance with such regulations, 
modifying the provisions of this title (including the provisions relat-
ing to land management and use) to the extent necessary to insure 
that they can be eifectively so applied, as the Secretary may prescribe 
to achieve (with respect to such collapse or subsidence) the purposes 
of this title and the objectives of the program.". 
82 Stat. 576. 
42 u s e 4014. 
Ante, 
p. 975. 
ESTIMATES OF PREMIUM 
RATES 
SEC. 109. Section 1307 of the National Flood Insurance Act of 1968 
is amended by adding at the end thereof the following new sub-
section : 
"(d) Notwithstanding any other provision of law, any structure 
existing on the date of enactment of the Flood Disaster Protection 
Act of 1973 and located within Avoyelles, Evangeline, Rapides, or 
Saint Landry Parish in the State of Ivouisiana, wmich the Secretary 
determines is subject to additional flood hazards as a result of the con-
struction or operation of the Atchafalaya Basin Levee System, shall 
be eligible for flood insurance under this title (if and to the extent it 
is eligible for such insurance under the other provisions of this title) 
at premium rates that shall not exceed those which would be applicable 
if such additional hazards did not exist.". 
82 Stat. 587. 
42 u s e 4101. 
APPEALS 
SEC. 110. Chapter III of the National Flood Insurance Act of 1968 
is amended by adding at the end thereof tlie following neAv section: 
a 
42 u s e 4102. 
Publication in 
Federal Register. 
Flood elevation 
determinations, 
publication. 
APPEALS 
"SEC. 1363. (a) In establishing projected flood elevations for land 
use purposes with respect to any community pursuant to section 1361, 
the Secretary shall first propose such determinations by publication 
for comment in the Federal Register, by direct notification to the chief 
executive officer of the community, and by publication in a prominent 
local newspaper. 
"(b) The Secretary shall publish notification of flood elevation 
determinations in a prominent local newspaper at least twice during 
the ten-day period following notification to the local government. 
During the ninety-day period following the second publication, any 
owner or lessee of real property within the community who believes 
his property rights to be adversely affected by the Secretary's proposed 
determination may appeal such determination to the local govern-
ment. The sole basis for such appeal shall be the possession of knowl-
edge or information indicating that the elevations being proposed by 
the Secretary with respect to an identified area having special flood 
hazards are scientifically or technically incorrect, and the sole relief 
which shall be granted under the authority of this section in the event 
that such appeal is sustained in accordance with subsection (e) or (f) 
is a modification 
of 
the 
Secretary's 
proposed 
determination 
accordingly. 
Review. 
87 STAT.] 
PUBLIC L
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981 
"(c) Appeals by private persons shall be made to the chief execu- 
,fy^'^"'e,g^ng 
tive officer of the community, or to such agency as he shall publicly ^^""'" pe"on»-
designate, and shall set forth the data that tend to negate or contradict 
the Secretary's finding in such form as the chief executive officer may 
specify. The community shall review and consolidate all such appeals 
and issue a written opinion stating whether the evidence presented is 
sufficient to justify an appeal on behalf of such persons by the com-
munity in its own name. Whether or not the community decides to 
appeal the Secretary's determination, copies of individual appeals 
shall be sent to the Secretary as they are received by the community, 
and the community's appeal or a copy of its decision not to appeal 
shall be filed with the Secretary not later than ninety days after the 
date of the second newspaper publication of the Secretary's 
notification. 
"(d) In the event the Secretary does not receive an appeal from the 
community within the ninety days provided, he shall consolidate and 
review on their own merits, in accordance with the procedures set forth 
in subsection (e), the appeals filed within the community by private 
persons and shall make such modifications of his proposed determina-
tions as may be appropriate, taking into account the written opinion, 
if any, issued by the community in not supporting such appeals. The 
Secretary's decision shall be in written form, and copies thereof shall 
be sent both to the chief executive officer of the community and to 
each individual appellant. 
"(e) Upon appeal by any community, as provided by this section, 
the Secretary shall review and take fully into account any technical 
or scientific data submitted by the community that tend to negate or 
contradict the information upon which his proposed determination 
is based. The Secretary shall resolve such appeal by consultation with 
officials of the local government involved, by administrative liearing, 
or by submission of the conflicting data to an independent scientific 
body or appropriate Federal agency for advice. Until the conflict in 
data is resolved, and the Secretary makes a final determination on the 
basis of his findings in the Federal Register, and so notifies the gov-
erning body of the community, flood insurance previously available 
within the community shall continue to be available, and no person 
shall be denied the right to purchase such insurance at chargeable 
rates. The Secretary shall make his determination within a reason-
able time. The community shall be given a reasonable time after the 
Secretary's final determination in which to adopt local land use and 
control measures consistent with the Secretary's determination. The ^'^.^°'^^."°"' 
reports and other information used by the Secretary in making his °"°"'°'^' "" 
final determination shall be made available for public inspection and 
shall be admissible in a court of law in the event the community seeks 
judicial review as provided by this section. 
"(f) Any appellant aggrieved by any final determination of the 
Secretary upon administrative appeal, as provided by this section, 
may appeal such determination to the United States district court 
for the district within which the community is located not more than 
sixty days after receipt of notice of such determination. The scope 
of review by the court shall be as provided by chapter 7 of title 5, 
United State Code. During the pendency of any such litigation, all 
final determinations of the Secretary shall be effective for the pur-
poses of this title unless stayed by the court for good cause shown.". 
availability. 
80 Stat. 392. 
5 u s e 701. 
FLOOD INSURANCE PREMIUM EQUALIZATION PAYMENTS 
SEC. 111. Section 1334 of the National Flood Insurance Act of 1968 
H use/o54. 
is amended by striking out subsection (b) and by redesignating sub-
section "(c)" as subsection "(b)". 
982 
PUBLIC LAW 93-234-DEC. 31, 1973 
[87 STAT. 
TITLE II—DISASTEE MITIGATION REQUIREMENTS 
82 Stat. 587. 
42 u s e 4101. 
Public hearing. 
Notifications 
to other commu-
nity officers. 
' NOTIFICATION TO FLOOD-PRONE AREAS 
SEC. 201. (a) Not later than six months following the enactment of 
this title, the Secretary shall publish information in accordance with 
subsection 1360(1) of the National Flood Insurance Act of 1968, and 
shall notify the chief executive officer of each known flood-prone com-
munity not already participating in the national flood insurance pro-
gram of its tentative identification as a community containing one 
or more areas having special flood hazards. 
(b) After such notification, each tentatively identified community 
shall either (1) promptly make proper application to participate in 
the national flood insurance program or (2) within six months submit 
technical data sufficient to establish to the satisfaction of the Secretary 
that the community either is not seriously flood prone or that such flood 
hazards as may have existed have been corrected by floodworks or 
other flood control methods. The Secretary may, in his discretion, 
grant a public hearing to any community with respect to which con-
flicting data exist as to the nature and extent of a flood hazard. If 
the Seci'etary decides not to hold a hearing, the community shall be 
given an opportunity to submit written and documentary evidence. 
Whether or not such hearing is granted, the Secretary's final deter-
mination as to the existence or extent of a flood hazard area in a par-
ticular community shall be deemed conclusive for the purposes of this 
Act if supported by substantial evidence in the record considered as 
a whole. 
(c) As information becomes available to the Secretary concerning 
the existence of flood hazards in communities not known to be flood 
prone at the time of the initial notification provided for by subsection 
(a) of this section he shall provide similar notifications to the chief 
executive officers of such additional communities, which shall then be 
subject to the requirements of subsection (b) of this section. 
(d) Formally identified flood-prone communities that do not qualify 
for the national flood insurance program within one year after such 
notification or bv the date specified in section 202, whichever is later, 
shall thereafter be subject to the provisions of that section relating to 
flood-prone communities which are not participating in the program. 
EFFECT OF NONPARTICIPATION I N FLOOD INSURANCE PROGRAM 
SEC. 202. (a) No Federal officer or agency shall approve any financial 
assistance for acquisition or construction purposes on and after July 1, 
1975, for use in any area that has been identified by the Secretary as an 
area having special flood hazards unless the community in which such 
area is situated is then participating in the national flood insurance 
program. 
(b) Each Federal instrumentality responsible for the supervision, 
approval, regulation, or insuring of banks, savings and loan associa-
tions, or similar institutions shall by regulation prohibit such institu-
tions on and after July 1, 1975, from making, increasing, extending, 
or renewing any loan secured by improved real estate or a mobile home 
located or to be located in an area that has been identified by the 
Secretary as an area having special flood hazards, unless the com-
munity in which such area is situated is then participating in the 
national flood insurance program. 
Repeal. 
82 Stat. 579. 
42 u s e 4021. 
REPEAL OF DISASTER ASSISTANCE PENALTY 
^ 
• 
SEC. 203. Section 1314 of the National Flood Insurance Act of 1968 
is repealed. 
87 STAT. ] 
PUBLIC LAW 93-234-DEC. 31, 1973 
983 
ACCELERATED IDENTIFICATION OF FLOOD-RISK ZONES 
SEC. 204. (a) Section 1360 of the National Flood Insurance Act of 
1968 is amended by inserting the designation " (a)" after "SEC. 1360." ^ stau ssr. 
and adding at the end thereof the following new subsections: 
"(b) The Secretary is directed to accelerate the identification of 
risk zones within flood-prone and mudslide-prone areas, as provided , 
by subsection (a)(2) of this section, in order to make known the 
degree of hazard within each such zone at the earliest possible date. 
To accomplish this objective, the Secretary is authorized, without ^^'^^l^^ ^^n^"^' 
regard to sections 3648 and 3709 of the Kevised Statutes, as amended l^c.V^uthoHll'-
(31 U.S.C. 529 and 41 U.S.C. 5), to make grants, provide technical tion. 
assistance, and enter into contracts, cooperative agreements, or other 
transactions, on such terms as he may deem appropriate, or consent to 
modifications thereof, and to make advance or progress payments in 
connection therewith. 
' 
"(c) The Secretary of Defense (through the Army Corps of Engi-
neers) , the Secretary of the Interior (through the United States 
Geological Survey), the Secretary of Agriculture (through the Soil 
Conservation Service), the Secretary of Commerce (through the 
National Oceanic and Atmospheric Administration), the head of the 
Tennessee Valley Authority, and the heads of all other Federal agencies 
engaged in the identification or delineation of flood-risk zones within 
the several States shall, in consultation with the Secretary, give the 
highest practicable priority in the allocation of available manpower 
and other available resources to the identification and mapping of 
flood hazard areas and flood-risk zones, in order to assist the Secretary 
to meet the deadline established by this section.". 
AUTHORITY TO ISSUE REGULATIONS 
SEC 205. (a) The Secretary is authorized to issue such regulations 
as may be necessary to carry out the purpose of this Act. 
(b) The head of each Federal agency that administers a program 
of financial assistance relating to the acquisition, construction, recon-
struction, repair, or improvement of publicly or privately owned land 
i 
or facilities, and each Federal instrumentality responsible for the 
supervision, approval, regulation, or insuring of banks, savings and 
loan associations, or similar institutions, shall, in cooperation with 
the Secretary, issue appropriate rules and regulations to govern the 
carrying out of the agency's responsibilities under this Act. 
CONSULTATION W I T H LOCAL OFFICIALS 
SEC. 206. In carrying out his responsibilities under the provisions 
of this title and the National Flood Insurance Act of 1968 which 
^2 stau^572^. 
relate to notification to and identification of flood-prone areas and the note. 
application of criteria for land management and use, including 
criteria derived from data reflecting new developments that may indi-
cate the desirability of modifying elevations based on previous flood 
studies, the Secretary shall establish procedures assuring adequate 
consultation with the appropriate elected officials of general purpose 
local governments, including but not limited to those local govern-
ments whose prior eligibility under the program has been suspended. 
' 
Such consultation shall include, but not be limited to, fully informing 
local officials at the commencement of any flood elevation study or 
investigation undertaken by any agency on behalf of the Secretary 
concerning the nature and purpose of the study, the areas involved, 
the manner in which the study is to be undertaken, the general prin-
ciples to be applied, and the use to be made of the data obtained. The 
984 
PUBLIC LAW 93-235-JAN. 2, 1974 
[87 STAT. 
Secretary shall encourage local officials to disseminate information 
concerning such study widely within the community, so that inter-
ested persons will have an opportunity to bring all relevant facts and 
technical data concerning the local flood hazard to the attention of the 
agency during the course of the study. 
TO PERMIT NATIONAL BANKS TO INVEST I N AGRICULTURAL CREDIT 
CORPORATIONS 
SEC. 207. That paragraph "Seventh"' of section 5136 of the Revised 
Statutes (12 U.S.C. 24) is amended by adding at the end thereof the 
following: "Notwithstanding any other provision in this paragraph, 
the association may purchase for its own account shares of stock issued 
by a corporation organized solely for the purpose of making loans to 
farmers and ranchers for agricultural purposes, including the breed-
ing, raising, fattening, or marketing of livestock. However, unless the 
association owns at least 80 per centum of the stock of such agricul-
tural credit corporation the amount invested by the association at any 
one time in the stock of such corporation shall not exceed 20 per 
centum of the unimpaired capital and surplus of the association.". 
82 Stat. 113; 
86 Stat. 405. 
56 Stat. 305; 
84 Stat. 1773. 
12 u s e . 1703. 
FLEXIBLE INTEREST RATE AUTHORITY FOR MOBILE H O M E LOANS 
S E C 208. Section 3(a) of the Act entitled "An Act to amend 
chapter 37 of title 38 of the United States Code with respect to the 
veterans' home loan program, to amend the National Housing Act 
with respect to interest rates on insured mortgages, and for other 
purposes", approved May 7, 1968, as amended (12 U.S.C. 1709-1), is 
amended by adding at the end thereof the following new sentence: 
"Notwithstanding the provisions of section 2(b) of the National 
Housing Act regarding the maximum interest rate which may be 
established for obligations with respect to which insurance is granted 
to financial institutions under section 2 of such Act, the Secretary 
of Housing and Urban Development is also authorized, until the 
date specified in the preceding sentence, to set the maximum interest 
rate for obligations with respect to which insurance is granted under 
such section, and which represent loans and advances of credit made 
for the purpose of financing purchases of mobile homes, at such 
level as he finds necessary to meet the loan market.". 
Approved December 31, 1973. 
January 2, 1974 
[S. J. Res.182] 
Public Law 93-235 
JOINT RESOLUTION 
Extending the datew for the transmission of the 1974 Economic Report and the 
report of the Joint Economic Committee. 
Economic report. 
Time extension. 
60 Stat. 24; 
70 Stat. 289. 
62 Stat. 16. 
Resolved hy the Senate and House of Representatives 
of the United 
/States of America in Congress assembled^ That (a) notwithstanding 
the provisions of section 3(a) of the Employment Act of 1946 (15 
U.S.C. 1022(a)), the President shall transmit the 1974 Economic 
Keport to the Congress not later than February 1, 1974, and (b) 
notwithstanding the provisions of clause (3) of section 5(b) of such 
Act (15 U.S.C. 1024(b)), the Joint Economic Committee shall file 
its report on the President's 1974 Economic Report with the Senate 
and the House of Representatives not later than March 13, 1974. 
Approved January 2, 1974.