,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #gcg  ,,9 ,,! ,,h\se ,,(            
,,repres5tatives  ,febru>y #ad1 #bjac   
,ms4 ,wilson ( ,florida 7= h]self & ,ms4
 ,br[n ( ,florida7 introduc$ ! foll[+   
bill2 :i* 0 ref]r$ to ! ,committee on   
,f9ancial ,s]vices  ,a ,,bill  ,to      
e/abli% a national cata/rophic risk     
consortium to ensure ! availability &   
af=dability ( home[n]s' insurance       
cov]age = cata/rophic ev5ts4  #a4 ,%ort 
title2 table ( cont5ts  7a7 ,%ort title 
,?is ,act may be cit$ z ! ,home[n]s'    
,def5se ,act ( #bjac4  7b7 ,table (     
cont5ts ,! table ( cont5ts = ?is ,act is
 z foll[s3  ,sec4 #a4 ,%ort title2 table
 ( cont5ts4 ,sec4 #b4 ,f9d+s & purposes4
 ,sec4 #c4 ,e/abli%m5t2 /atus2 pr9cipal 
(fice2 memb]%ip4 ,sec4 #d4 ,functions4  
,sec4 #e4 ,p[]s4 ,sec4 #f4 ,nonpr(it    
entity2 conflicts ( int]e/2 audits4     
,sec4 #g4 ,managem5t4 ,sec4 #h4 ,/aff2  
exp]ts & consultants4 ,sec4 #i4 ,f$]al  
liability4 ,sec4 #aj4 ,au?orization (   
appropriations4  #b4 ,f9d+s & purposes  

7a7 ,f9d+s ,! ,congress f9ds t--  7#a7 !
 ,unit$ ,/ates has a hi/ory (           
cata/rophic natural disa/]s1 includ+    
hurricanes1 tornadoes1 flood1 fire1     
e>?quakes1 & volcanic eruptions2  7#b7  
al?\gh cata/rophic natural disa/]s occur
 infrequ5tly1 !y w cont9ue to occur &   
are pr$ictable2  7#c7 su* disa/]s g5]ate
 l>ge economic losses & a major compon5t
 ( ^? losses comes f damage & de/ruction
 to homes2  7#d7 = ! majority (         
,am]icans1 _! inve/m5t 9 _! home        
repres5ts _! s+le bigge/ asset & !      
protection ( t inve/m5t is p>am\nt to   
economic & social /ability2  7#e7 !     
,unit$ ,/ates ne$s to take & support    
,/ate actions to be bett] prep>$ = &    
bett] protect$ f cata/rophes2  7#f7 z ! 
risk ( cata/rophic losses gr[s1 s d !   
risks t any premiums collect$ by private
 insur]s = ext5d+ cov]age w be          
insuffici5t to cov] future cata/rophes1 
& private insur]s1 9 an ef=t to protect 
_! %>ehold]s & policyhold]s 79 ! case ( 
mutually own$ companies71 h ?us         

significantly rais$ premiums & curtail$ 
insurance cov]age 9 ,/ates expos$ to    
major cata/rophes2  7#g7 su* effects on 
! insurance indu/ry h be5 h>mful to     
economic activity 9 ,/ates expos$ to    
major cata/rophes & h plac$ significant 
burd5s on resid5ts ( su* ,/ates2  7#h7  
,hurricanes ,katr9a1 ,rita1 & ,wilma    
/ruck ! ,unit$ ,/ates 9 #bjje1 caus+ ov]
 #bjj1jjj1jjj1jjj 9 total economic      
losses1 & insur$ losses to home[n]s 9   
excess ( #ej1jjj1jjj1jjj2  7#i7 :ile !  
total co/s ( ,hurricane ,s&y h n yet be5
 calculat$1 ,fit* ,rat+s1 a global cr$it
 rat+s ag5cy1 has e/imat$ t insur$      
losses w am\nt to betwe5 #bj1jjj1jjj1jjj
 & #be1jjj1jjj1jjj2  7#aj7 ! ,f$]al     
,gov]nm5t has provid$ & w cont9ue to    
provide res\rces to pay = losses f      
future cata/rophes2 &  7#aa7 x is !     
prop] role ( ! ,f$]al ,gov]nm5t to      
prep>e = & protect its citiz5s f        
cata/rophes & to facilitate consum]     
protection1 victim assi/ance1 & recov]y1
 includ+ f9ancial recov]y4  7b7         

,purposes ,! purpose ( ?is ,act is to   
e/abli% a national cata/rophic risk     
consortium to ensure ! availability &   
af=dability ( home[n]s' insurance       
cov]age = cata/rophic ev5ts4  #c4       
,e/abli%m5t2 /atus2 pr9cipal (fice2     
memb]%ip  7a7 ,e/abli%m5t ,!re is       
e/abli%$ an entity to be kn[n z !       
,national ,cata/rophe ,risk ,consortium 
79 ?is ,act ref]r$ to z ! ,consortium74 
7b7 ,/atus ,! ,consortium is n a        
dep>tm5t1 ag5cy1 or in/rum5tality ( !   
,unit$ ,/ates ,gov]nm5t4  7c7 ,pr9cipal 
(fice ,! pr9cipal (fice & place (       
bus9ess ( ! ,consortium %all be su*     
location )9 ! ,unit$ ,/ates det]m9$ by !
 ,bo>d ( ,directors to be ! mo/         
advantage\s = c>ry+ out ! purpose &     
functions ( ! ,consortium4  7d7         
,memb]%ip ,any ,/ate t has e/abli%$ a   
re9surance fund or has au?oriz$ !       
op]ation ( a ,/ate residual insurance   
m>ket entity1 or ,/ate-sponsor$ provid] 
( natural cata/rophe insurance1 %all be 
eligible to p>ticipate 9 ! ,consortium4 

#d4 ,functions ,! ,consortium %all--    
7#a7 "w ) all ,/ates1 p>ticul>ly ^?     
p>ticipat+ 9 ! ,consortium1 to ga!r &   
ma9ta9 an inv5tory ( cata/rophe risk    
obligations held by ,/ate re9surance    
funds1 ,/ate residual insurance m>ket   
entities1 & ,/ate-sponsor$ provid]s (   
natural cata/rophe insurance2  7#b7 at !
 discretion ( ! affect$ memb]s & on a   
conduit basis1 issue securities & o!r   
f9ancial in/rum5ts l9k$ to ! cata/rophe 
risks insur$ or re9sur$ ?r\gh memb]s ( !
 ,consortium 9 ! capital m>kets2  7#c7  
coord9ate re9surance contracts betwe5   
p>ticipat+1 qualifi$ re9surance funds & 
private p>ties2  7#d7 act z a c5traliz$ 
repository ( ,/ate risk in=mation t c be
 access$ by private-m>ket p>ticipants   
seek+ to p>ticipate 9 ! transactions    
describ$ 9 p>agraphs 7#b7 & 7#c7 ( ?is  
section2  7#e7 e/abli% a cata/rophe risk
 database to p]=m rese>* & analysis t   
enc\rages /&>dization ( ! risk-l9k$     
securities m>ket2  7#f7 p]=m any o!r    
functions1 o!r ?an assum+ risk or       

incurr+ debt1 t are deem$ necess>y to   
aid 9 ! transf] ( cata/rophe risk f     
p>ticipat+ ,/ates to private p>ties2 &  
7#g7 submit annual reports to ,congress 
describ+ ! activities ( ! ,consortium = 
! prec$+ ye>1 & ! fir/ su* annual report
 %all include an assessm5t ( ! co/s to  
,/ates & regions associat$ ) cata/rophe 
risk & an analysis ( ! co/s & b5efits1 =
 ,/ates n p>ticipat+ 9 ! ,consortium1 ( 
su* nonp>ticipation4  #e4 ,p[]s ,!      
,consortium--  7#a7 may make & p]=m su* 
contracts & o!r agreem5ts ) any         
individual or o!r private or public     
entity h[ev] designat$ & :]ev] situat$1 
z may be necess>y = c>ry+ out !         
functions ( ! ,consortium2 &  7#b7 %all 
h su* o!r p[]s1 o!r ?an ! p[] to assume 
risk or incur debt1 z may be necess>y & 
incid5t to c>ry+ out ?is ,act4  #f4     
,nonpr(it entity2 conflicts ( int]e/2   
audits  7a7 ,nonpr(it entity ,!         
,consortium %all be a nonpr(it entity & 
no "p ( ! net e>n+s ( ! ,consortium %all
 inure to ! b5efit ( any memb]1 f\nd]1  

contributor1 or individual4  7b7        
,conflicts ( int]e/ ,no director1 (fic]1
 or employee ( ! ,consortium %all 9 any 
mann]1 directly or indirectly1          
p>ticipate 9 ! delib]ation ^u or !      
det]m9ation ( any "q affect+ 8 or h]    
p]sonal int]e/s or ! int]e/s ( any      
,consortium1 p>tn]%ip1 or organization 9
 :i* he or %e is directly or indirectly 
int]e/$4  7c7 ,audits  7#a7 ,annual     
audit ,! f9ancial /atem5ts ( !          
,consortium %all be audit$ annually 9   
accordance ) g5]ally accept$ audit+     
/&>ds by indep5d5t c]tifi$ public       
acc\ntants4  7#b7 ,reports ,! report (  
ea* annual audit pursuant to p>agraph   
7#a7 %all be includ$ 9 ! annual report  
submitt$ 9 accordance ) section #d7g74  
7d7 ,prohibition on election & lobby+   
activities  7#a7 ,f$]al ,! ,consortium  
may n--  7,a7 make any contribution to a
 c&idate = election = ,f$]al (fice or to
 a political committee2  7,b7 employ or 
reta9--  7i7 a regi/]$ lobbyi/ "u !     
,lobby+ ,disclosure ,act ( #aiie 7#b    

,u4,s4,c4 #afja et seq472 or  7ii7 an   
organization t employs "o or m lobbyi/s 
& is regi/]$ "u section #d7;a77#b7 ( su*
 ,act 7#b ,u4,s4,c4 #afjc7;a77#b772 or  
7,c7 provide any ?+ ( value1 o!r ?an    
educational mat]ials or in=mation1 to   
any elect$ (ficial ( ! ,f$]al ,gov]nm5t4
  ,= purposes ( ?is p>agraph1 ! t]ms    
contribution1 c&idate1 ,f$]al (fice1 &  
political committee h ! mean+s giv5 su* 
t]ms 9 section #cja ( ! ,f$]al ,election
 ,campaign ,act ( #aiga 7#b ,u4,s4,c4   
#dca74  7#b7 ,consortium ,! ,consortium 
may n--  7,a7 make any contribution to a
 c&idate = election = any ,/ate or local
 (fice or to any committee1 club1       
association1 or o!r gr\p t receives     
contributions or makes exp5ditures = !  
purpose ( influ5c+ any su* election2    
7,b7 employ or reta9 any p]son :o       
engages 9 influ5c+ legislat+ 7z su* t]m 
is def9$ 9 section #diaa7;d7 ( !        
,int]nal ,rev5ue ,code ( #aihf 7#bf     
,u4,s4,c4 #diaa7;d777 ( any ,/ate or    
local legislative body2 or  7,c7 provide

 any ?+ ( value1 o!r ?an educational    
mat]ials or in=mation1 to any elect$    
(ficial ( any ,/ate or local gov]nm5t4  
#g4 ,managem5t  7a7 ,bo>d ( directors2  
memb]%ip2 designation ( *airp]son  7#a7 
,bo>d ( directors ,! managem5t ( !      
,consortium %all be ve/$ 9 a bo>d (     
directors 7ref]r$ to 9 ?is ,act z !     
,bo>d7 compos$ ( n less ?an #c memb]s4  
7#b7 ,*airp]son ,! ,secret>y ( !        
,treasury1 or ! designee ( ! ,secret>y1 
%all s]ve z ! *airp]son ( ! ,bo>d4  7#c7
 ,memb]%ip ,! memb]s ( ! ,bo>d %all     
include--  7,a7 ! ,secret>y ( ,homel&   
,security & ! ,secret>y ( ,comm]ce1 or !
 designees ( su* ,secret>ies1           
respectively1 b only dur+ su* times z   
!re are few] ?an two ,/ates p>ticipat+ 9
 ! ,consortium2 &  7,b7 a memb] f ea*   
,/ate p>ticipat+ 9 ! ,consortium1 :o    
%all be appo9t$ by su* ,/ate4  7b7      
,bylaws ,! ,bo>d may prescribe1 am5d1 & 
repeal su* bylaws z may be necess>y =   
c>ry+ out ! functions ( ! ,consortium4  
7c7 ,comp5sation1 actual1 necess>y1 &   

transportation exp5ses  7#a7 ,non-,f$]al
 employees ,a memb] ( ! ,bo>d :o is n   
o!rwise employ$ by ! ,f$]al ,gov]nm5t   
%all be entitl$ to receive ! daily      
equival5t ( ! annual rate ( basic pay   
payable = level ,,iv ( ! ,executive     
,s*$ule "u section #ecae ( title #e1    
,unit$ ,/ates ,code1 z 9 effect f "t to 
"t1 = ea* day 7includ+ travel "t7 dur+  
:i* su* memb] is engag$ 9 ! actual      
p]=mance ( duties ( ! ,consortium4  7#b7
 ,f$]al employees ,a memb] ( ! ,bo>d :o 
is an (fic] or employee ( ! ,f$]al      
,gov]nm5t %all s]ve )\t additional pay  
7or b5efits 9 ! nature ( comp5sation7 = 
s]vice z a memb] ( ! ,consortium4  7#c7 
,travel exp5ses ,memb]s ( ! ,consortium 
%all be entitl$ to receive travel       
exp5ses1 includ+ p] diem 9 lieu (       
subsi/5ce1 equival5t to ^? set =? 9     
sub*apt] ,i ( *apt] #eg ( title #e1     
,unit$ ,/ates ,code4  7d7 ,quorum ,a    
majority ( ! ,bo>d %all con/itute a     
quorum4  7e7 ,executive director ,!     
,bo>d %all appo9t an executive director 

( ! ,consortium on su* t]ms z ! ,bo>d   
may det]m9e4  #h4 ,/aff2 exp]ts &       
consultants  7a7 ,/aff  7#a7 ,appo9tm5t 
,! ,bo>d ( ! ,consortium may appo9t &   
t]m9ate su* o!r /aff z are necess>y to  
enable ! ,consortium to p]=m its duties4
  7#b7 ,comp5sation ,! ,bo>d ( !        
,consortium may fix ! comp5sation ( !   
executive director & o!r /aff4  7b7     
,exp]ts & consultants ,! ,bo>d %all     
procure ! s]vices ( exp]ts & consultants
 z ! ,bo>d consid]s appropriate4  #i4   
,f$]al liability ,! ,f$]al ,gov]nm5t & !
 ,consortium %all n be> any liabilities 
aris+ f ! actions ( ! ,consortium4      
,p>ticipat+ ,/ates %all reta9 all       
cata/rophe risk until ! completion ( a  
transaction describ$ 9 p>agraphs 7#b7 & 
7#c7 ( section #d4  #aj4 ,au?orization (
 appropriations ,!re are au?oriz$ to be 
appropriat$ to c>ry out ?is ,act        
#bj1jjj1jjj = ea* ( fiscal ye>s #bjad   
?r\gh #bjah4