House Financial Services Committee Ranking Member Maxine Waters (D-CA) and bipartisan group of 26 other House Members this week asked the Federal Emergency Management Agency (FEMA) to use whatever authority it has to mitigate rate increases for the National Flood Insurance Program.
“While [the Biggert-Waters Flood Insurance Reform Act] is intended to help the program become financially sound by moving policyholders to actuarial rates and phasing out some subsidies, we have recently become aware of an unintended consequence of this otherwise well-meaning legislation,” the Members wrote, explaining that some homeowners may see a substantial increase in their rates.
“While Congress has shown it is willing to act to address these issues, we believe that FEMA has the authority to administratively address some of the affordability issues arising from Biggert-Waters. We urge you to use whatever discretion you have in order to address these affordability concerns.”
ABA and other industry groups are planning a forum on Capitol Hill to address affordability issues.
Read the letter to FEMA.