January 28, 2014

Senate continues consideration of flood insurance bill

Jan. 29, 2014 – The Senate is working toward possible passage this week of S. 1926, a NAFCU-backed bill that would postpone rate hikes for most affected by flood insurance premium hikes under the 2012 Biggert-Waters Flood Insurance Reform Act.

The Senate approved a motion to proceed on the bill Monday and is now debating the bill and taking proposed amendments from both sides of the aisle. Whether any amendments will be considered or voted on had yet to be determined at press time.

S. 1926 was introduced Jan. 14 by Sen. Bob Menendez, D-N.J. The bill would delay implementation of flood insurance premium hikes called for by the Biggert-Waters Act when flood maps are redrawn. Cosponsors include Sens. Johnny Isakson, R-Ga., Mary Landrieu, D-La., and David Vitter, R-La.

In a letter Monday, NAFCU Vice President of Legislative Affairs Brad Thaler reiterated the association's call to Senate leaders for action on legislation ensuring that National Flood Insurance Program premium hikes do not happen before an affordability study is completed and reviewed. Thaler warned that sharp increases in premiums could impede home sales, block home buyers' access to credit and harm the housing recovery.