The 2014 spending bill released on Monday will provide for a much-sought delay in some National Flood Insurance Program premium increases under the 2012 Biggert-Waters Flood Insurance Reform Act.
Flood insurance premiums under Biggert-Waters began rising last year. The Federal Emergency Management Agency was directed to phase out some of the subsidies previously provided to homeowners as part of an effort to address the deficit in the NIFP resulting from Hurricane Sandy and its aftermath.
The one-year delay, which has been championed by Sen. Mary Landrieu (D-La.), provides temporary relief for some “grandfathered” properties. Landrieu said, however, that she will seek a permanent fix to provide additional relief to homeowners.
“We still have work to do and cannot rest until we pass the bipartisan, comprehensive Homeowner Flood Insurance Affordability Act that will provide greater relief to Louisiana homeowners and businesses who played by the rules and deserve nothing less,” Landrieu said in a press release.
The Homeowner Flood Insurance Affordability Act—which was introduced by Rep. Michael Grimm (R-N.Y.) and has 178 co-sponsors—would, among other things, prohibit FEMA from raising flood risk insurance premiums in certain areas subject to a mandatory adjustment or reducing subsidies for properties not insured by NFIP as of July 6, 2012.