[StBernard] Waters Applauds Passage of Bipartisan Amendment to Delay Flood Insurance Rate Increases

[Westley Annis]

Waters Applauds Passage of Bipartisan Amendment 

to Delay Flood Insurance Rate Increases

 

WASHINGTON, D.C. - Congresswoman Maxine Waters, Ranking Member of the House
Financial Services Committee, made the following statement yesterday on the
floor of the U.S. House of Representatives. Ranking Member Waters called for
bipartisan support to an amendment, offered by Rep. Bill Cassidy (R-LA) that
would delay implementation of Section 207 of the Biggert-Waters Flood
Insurance Reform Act of 2012
<http://democrats.financialservices.house.gov/FinancialSvcsDemMedia/file/005
%20Maxine%20Waters%20Bills/B-W%20Flood%20Insurance.pdf> , and provide relief
for many homeowners across the nation facing significant increases in their
flood insurance premiums. The amendment, which Ranking Member Waters
co-sponsored, passed the House of Representatives by a vote of 281-146
<http://clerk.house.gov/evs/2013/roll203.xml> .

 


>>Click here <http://www.youtube.com/watch?v=IH5RSg4zt64>  to view Ranking

Member Waters' statement at the House Floor

Statement as prepared for delivery:

Thank you, Mr. Chairman.

 

I rise in support of this amendment offered by the gentleman from Louisiana,
Mr. Cassidy. I am pleased to say that my colleagues, Mr. Cassidy and Mr.
Richmond and I have worked to address this important issue in an ongoing,
bipartisan way.

 

The national flood insurance program was created in 1968 after record
flooding led the private sector to abandon the flood insurance market and
stop writing flood policies. The program is a key component of the federal
government's efforts to minimize the damage and financial impact of floods.
It is the only source of insurance against flood damage for most residents
and provides much needed coverage for 5.5 million homeowners and their
families. 

 

This is why I worked across the aisle with my colleague, Rep. Judy Biggert,
to reauthorize this program. Before this reauthorization, the flood
insurance program was plagued by repeated lapses in authority, placing many
local communities at risk. During those lapses, FEMA was not able to write
new policies, renew expiring policies, or increase coverage limits, causing
great uncertainty for millions of homeowners who depend on the program's
existence.  

 

The Biggert-Waters bill was instrumental in stabilizing the flood insurance
program. It provided a five year reauthorization and made critical
improvements to the program. The reforms in Biggert-Waters give communities
more input into flood maps, and strengthen the financial position of the
flood insurance program. In drafting this bill with then Chairwoman Judy
Biggert, I sought to strike the right balance between protecting homeowners
and strengthening the flood insurance program. This law was intended to
reauthorize the flood insurance program in a sustainable way. The intent was
not to impose punitive or unaffordable rate hikes that could make it
difficult for some to remain in their homes. 

 

This is why I am extremely concerned about reports that homeowners in
certain areas are facing high and unsustainable flood insurance rates. I
have committed to work with FEMA and with my colleagues here in Congress to
address this unintended consequence of this otherwise helpful legislation so
I am supporting the gentleman's amendment today. This would prohibit FEMA
from using funds made available in this Act to implement one provision from
Biggert-Waters that has raised an unintended consequence and requires
further study before being implemented.

 

While the gentleman's amendment is a positive first step in addressing this
issue, more needs to be done. 

 

Last month, my friend from Louisiana, Mr. Richmond, and I introduced H.R.
2199, the Flood Insurance Implementation Reform Act of 2013, a bill, on
which Mr. Cassidy is an original cosponsor, that would take additional steps
to provide meaningful relief and address the issue of affordability.  The
bill would delay implementation of changes to grandfathered rates, the
subject of Mr. Cassidy's amendment, for three years instead of one. It would
also delay implementation of rate changes that FEMA is currently rolling
out. 

 

I look forward to continuing to work with my friends on both sides of the
aisle to ensure that Biggert-Waters Act is implemented in a balanced way to
ensure the flood insurance program's stability and affordability. FEMA's
current implementation schedule could upset that delicate balance and
unintentionally impact families and local communities. For these reasons I
urge my colleagues on both sides of the aisle to support H.R. 2199, and to
also vote "aye" this amendment.

 

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