,,ii #aafth ,,congress #ast ,session ,s4 #bahg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,july #ah1 #bjai ,mr4 ,menendez 7for himself1 ,mr4 ,cassidy1 ,mr4 ,schumer1 ,mrs4 ,hyde-,smith1 ,mrs4 ,gillibrand1 ,mr4 ,kennedy1 ,mr4 ,reed1 ,mr4 ,rubio1 ,mr4 ,booker1 ,ms4 ,warren1 and ,mr4 ,van ,hollen7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to reauthorize the ,national ,flood ,insurance ,program1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,national ,flood ,insurance ,program ,reauthorization and ,reform ,act of #bjai4 #b4 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title4 ,sec4 #b4 ,table of contents4 ,sec4 #c4 ,definitions4 ,,title ,i--,reauthorization and affordability ,sec4 #aja4 ,reauthorization4 ,sec4 #ajb4 ,cap on annual premium increases4 ,sec4 #ajc4 ,means tested affordability voucher4 ,sec4 #ajd4 ,optional monthly installment premium payment plans4 ,sec4 #aje4 ,study on business interruption coverage4 ,sec4 #ajf4 ,cooperative coverage fairness4 ,sec4 #ajg4 ,coverage limits4 ,sec4 #ajh4 ,study on participation rates4 ,,title ,,ii--,mitigation and mapping ,sec4 #bja4 ,mitigation for high-risk properties4 ,sec4 #bjb4 ,increased cost of compliance coverage4 ,sec4 #bjc4 ,flood mitigation assistance grants4 ,sec4 #bjd4 ,urban mitigation opportunities4 ,sec4 #bje4 ,community ,rating ,system ,regional ,coordinator4 ,sec4 #bjf4 ,mitigation loan program4 ,sec4 #bjg4 ,revolving loan funds4 ,sec4 #bjh4 ,mapping modernization4 ,sec4 #bji4 ,protected areas4 ,sec4 #baj4 ,community-wide flood mitigation activities4 ,,title ,,iii--,solvency ,sec4 #cja4 ,forbearance on ,,nfip interest payments4 ,sec4 #cjb4 ,cap on ,write ,your ,own company compensation4 ,sec4 #cjc4 ,taxpayer protection4 ,sec4 #cjd4 ,vendor costs2 transparency4 ,sec4 #cje4 ,availability of ,,nfip claims data4 ,sec4 #cjf4 ,refusal of mitigation assistance4 ,,title ,,iv--,policyholder protection and fairness ,sec4 #dja4 ,earth movement fix and engineer standards4 ,sec4 #djb4 ,coverage of pre-,,firm condominium basements and study on street raising4 ,sec4 #djc4 ,guidance on remediation and policyholder duties4 ,sec4 #djd4 ,appeal of decisions relating to flood insurance coverage4 ,sec4 #dje4 ,accountability for underpayments and overpayments by ,write ,your ,own companies4 ,sec4 #djf4 ,policyholders' right to know4 ,sec4 #djg4 ,increasing statute of limitations for lawsuits4 ,sec4 #djh4 ,authority to terminate contractors and vendors4 ,sec4 #dji4 ,easing proof of loss requirements4 ,sec4 #daj4 ,deadline for claim processing4 ,sec4 #daa4 ,no manipulation of engineer reports4 ,sec4 #dab4 ,improved training of floodplain managers1 agents1 and adjusters4 ,sec4 #dac4 ,attorney fee shifting4 ,sec4 #dad4 ,,doj defense against policyholder lawsuits4 ,sec4 #dae4 ,pilot program for pre-existing structural conditions4 ,sec4 #daf4 ,agent ,advisory ,council4 ,sec4 #dag4 ,disclosure of flood risk information upon transfer of property4 #c4 ,definitions ,in this ,act3 7#a7 ,administrator ,the term ,administrator means the ,administrator of the ,federal ,emergency ,management ,agency4 7#b7 ,federal flood insurance ,the term ,federal flood insurance means an insurance policy made available under the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djja et seq474 7#c7 ,national ,flood ,insurance ,program ,the term ,national ,flood ,insurance ,program means the program established under the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djja et seq474 7#d7 ,national ,flood ,mitigation ,fund ,the term ,national ,flood ,mitigation ,fund means the fund established under section #acfg of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajd;d74 7#e7 ,write ,your ,own ,company ,the term ,write ,your ,own ,company means a private property insurance company that participates in the ,write ,your ,own ,program4 7#f7 ,write ,your ,own ,program ,the term ,write ,your ,own ,program means the program under which the ,federal ,emergency ,management ,agency enters into a standard arrangement with private property insurance companies to-- 7,a7 sell contracts for ,federal flood insurance under their own business lines of insurance2 and 7,b7 adjust and pay claims arising under the contracts described in subparagraph 7,a74 ,i ,reauthorization and affordability #aja4 ,reauthorization 7a7 ,financing ,section #acji7;a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaf7;a77 is amended by striking ,september #cj1 #bjai and inserting ,september #cj1 #bjbd4 7b7 ,program expiration ,section #acai of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djbf7 is amended by striking ,september #cj1 #bjai and inserting ,september #cj1 #bjbd4 7c7 ,program continuation 7#a7 ,in general ,section #acaj of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djag7 is amended by adding at the end the following3 7g7 ,amounts in the ,national ,flood ,insurance ,reserve ,fund established under section #acaj;,a may be credited to the ,national ,flood ,insurance ,fund to enter into1 and renew1 contracts for flood insurance under this title during any lapse in appropriations4 4 7#b7 ,technical and conforming amendments ,section #acaj;,a7a77#b7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djag;,a7a77#b77 is amended-- 7,a7 in subparagraph 7,b71 by striking and at the end2 7,b7 in subparagraph 7,c71 by striking the period at the end and inserting 2 and2 and 7,c7 by adding at the end the following3 7,d7 for the purpose described in section #acaj7;g74 4 #ajb4 ,cap on annual premium increases 7a7 ,definition ,in this section1 the term covered cost means-- 7#a7 the amount of an annual premium with respect to any policy for flood insurance under the ,national ,flood ,insurance ,program2 7#b7 any surcharge imposed with respect to a policy described in paragraph 7#a71 including a surcharge imposed under-- 7,a7 section #acjd7;b7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa7;b772 or 7,b7 section #acjh;,a7a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae;a7a772 and 7#c7 a fee described in paragraph 7#a77;,b77iii7 or 7#b7 of section #acjg7;a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djad7;a774 7b7 ,limitation on increases ,during the #e-year period beginning on the date of enactment of this ,act1 and notwithstanding section #acjh7;e7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7;e771 the ,administrator may not1 in any year1 increase the amount of any covered cost by an amount that is more than #i percent1 as compared with the amount of the covered cost during the previous year4 7c7 ,rule of construction ,nothing in subsection 7b7 may be construed as prohibiting the ,administrator from reducing1 in any year1 the amount of any covered cost1 as compared with the amount of the covered cost during the previous year4 7d7 ,average historical loss year ,section #acjh of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7 is amended by striking subsection 7h7 and inserting the following3 7h7 ,rule of construction ,for purposes of this section1 the calculation of an average historical loss year shall be computed in accordance with generally accepted actuarial principles4 4 7e7 ,disclosure with respect to the affordability standard ,section #acjh7;j7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7;j77 is amended1 in the second sentence1 by inserting and shall include in the report the number of those exceptions as of the date on which the ,administrator submits the report and the location of each policyholder insured under those exceptions1 organized by county and ,state after of the ,senate4 #ajc4 ,means tested affordability voucher ,chapter ,i of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa et seq47 is amended by adding at the end the following3 #acbf4 ,affordability assistance 7a7 ,affordability assistance fund 7#a7 ,establishment ,the ,administrator shall establish in the ,treasury of the ,united ,states an ,affordability ,assistance ,fund 7referred to in this section as the ,fund71 which shall be-- 7,a7 an account separate from any other accounts or funds available to the ,administrator2 and 7,b7 available without fiscal year limitation4 7#b7 ,use of funds ,amounts from the ,fund shall be available to provide financial assistance under subsection 7b74 7#c7 ,source of funds ,the ,fund shall be credited with the amounts saved as a direct result of the limitation imposed under section #acaa7;b74 7b7 ,financial assistance 7#a7 ,definitions ,in this subsection-- 7,a7 the term adjusted gross income has the meaning given the term in section #fb of the ,internal ,revenue ,code of #aihf2 7,b7 the term eligible household means a household for which-- 7i7 housing expenses exceed #cj percent of the adjusted gross income of the household in a year2 and 7ii7 7,i7 the total assets owned by the household are in an amount that is not greater than #bbj percent of the median household income for the ,state in which the household is located2 or 7,,ii7 with respect to a household that has a total household income that is not greater than #abj percent of the area median income for the area in which the household is located1 the amount of premiums1 surcharges1 and fees for a flood insurance policy provided under this title in a year for the household exceeds #a percent of the coverage limit of that policy under section #acjf7;b72 and 7,c7 the term housing expenses means1 with respect to a household1 the total amount that the household spends in a year on-- 7i7 mortgage payments2 7ii7 property taxes2 7iii7 homeowners insurance2 and 7iv7 premiums for flood insurance under the national flood insurance program4 7#b7 ,authority 7,a7 ,other financial assistance ,the ,administrator shall provide a voucher1 grant1 or premium credit to an eligible household for a year in an amount that1 subject to subparagraph 7,b71 is equal to the lesser of-- 7i7 the difference between-- 7,i7 the housing expenses of the household for the year2 and 7,,ii7 #cj percent of the adjusted gross income of the household for the year2 and 7ii7 the cost of premiums for the household for flood insurance under the national flood insurance program for the year4 7,b7 ,reduction ,the amount of the assistance provided under subparagraph 7,a7 to an eligible household shall be reduced by #a percent for each percent that the income of the eligible household exceeds #abj percent of the median household income for the ,state in which the property that is the subject of the assistance is located4 7#c7 ,relationships with other agencies ,the ,administrator may enter into a memorandum of understanding with the head of any other ,federal agency to administer the paragraph 7#b77;,a74 4 #ajd4 ,optional monthly installment premium payment plans ,section #acjh7;g7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7;g77 is amended-- 7#a7 by striking ,with respect to and inserting the following3 7#a7 ,annual or monthly option ,subject to paragraph 7#b71 with respect to 2 and 7#b7 by adding at the end the following3 7#b7 ,monthly installment ,with respect to a policyholder that opts under paragraph 7#a7 to pay premiums on a monthly basis1 the ,administrator may charge the policyholder an annual fee of not more than #ae4 7#c7 ,exemption from rule making2 pilot program ,during the period beginning on the date of enactment of this paragraph and ending on the date on which the ,administrator promulgates regulations carrying out paragraph 7#a71 the ,administrator may1 notwithstanding any other provision of law-- 7,a7 adopt policies and procedures to carry out that paragraph without-- 7i7 undergoing notice and comment rule making under section #eec of title #e1 ,united ,states ,code2 or 7ii7 conducting regulatory analyses otherwise required by statute1 regulation1 or ,executive order2 or 7,b7 carry out that paragraph by establishing a pilot program that gradually implements the requirements of that paragraph4 4 #aje4 ,study on business interruption coverage 7a7 ,in general ,the ,administrator shall conduct a study on the feasibility and soundness of offering coverage for interruption business losses caused by a flood under the ,national ,flood ,insurance ,program 7referred to in this section as business interruption coverage74 7b7 ,contents ,in conducting the study under subsection 7a71 the ,administrator shall1 at a minimum-- 7#a7 evaluate insurance industry best practices for offering business interruption coverage1 including the types of coverage provided and the utilization rate2 7#b7 estimate the potential risk premium rates for business interruption coverage based on the flood risk reflected in the flood insurance rate map or other risk metrics in effect at the time of purchase2 7#c7 analyze the operational and administrative expenses associated with providing business interruption coverage and adjusting claims2 7#d7 identify potential obstacles that may prevent the ,administrator from offering business interruption coverage2 7#e7 evaluate the benefits of providing business interruption coverage2 7#f7 analyze any potential impacts on the financial position of the ,national ,flood ,insurance ,program2 and 7#g7 develop a feasibility implementation plan and projected timelines for offering business interruption coverage4 7c7 ,availability of experts ,in conducting the study under subsection 7a71 the ,administrator may accept and utilize the personnel and services of any other ,federal agency1 and appoint and fix the compensation of temporary personnel without regard to the provisions of title #e1 ,united ,states ,code1 governing appointments in the competitive service1 or employ experts and consultants in accordance with the provisions of section #caji of such title1 without regard to the provisions of chapter #ea and subchapter ,,iii of chapter #ec of such title relating to classification and ,general ,schedule pay rates4 7d7 ,deadline ,the ,administrator shall complete the study required under subsection 7a7 not later than ,september #cj of the second full fiscal year after the date of enactment of this ,act4 #ajf4 ,cooperative coverage fairness 7a7 ,in general ,section #acjf of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djac7 is amended by adding at the end the following3 7e7 ,cooperatives 7#a7 ,definition ,in this subsection1 the term cooperative building has the meaning given the term in section #acab7;d74 7#b7 ,equal treatment with condominiums ,notwithstanding any other provision of law1 an owner of a share of a cooperative building shall be eligible to purchase flood insurance coverage under the national flood insurance program on the same terms as a condominium owner4 4 7b7 ,payment of claims ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai7 is amended-- 7#a7 in subsection 7c7-- 7,a7 in the subsection heading1 by inserting and cooperative after condominium2 7,b7 by inserting or owners of a share of a cooperative building after condominium owners2 and 7,c7 by inserting or cooperative association after condominium association each place that term appears2 and 7#b7 by adding at the end the following3 7d7 ,definitions ,in this section1 the terms cooperative association and cooperative building have the meanings given the terms by the ,administrator4 4 #ajg4 ,coverage limits 7a7 ,in general ,section #acjf of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djac71 as amended by section #ajf7;a71 is amended-- 7#a7 in subsection 7b7-- 7,a7 in the matter preceding paragraph 7#a71 by striking ,in addition to any other terms and conditions under subsection 7a71 such regulations and inserting ,the ,administrator2 7,b7 in paragraph 7#b7-- 7i7 by striking shall be made and inserting may be made2 and 7ii7 by striking #bej1jjj and inserting the baseline amount2 7,c7 in paragraph 7#c7-- 7i7 by striking shall be made and inserting may be made2 and 7ii7 by striking #ajj1jjj and inserting #ej percent of the baseline amount2 and 7,d7 in paragraph 7#d7-- 7i7 by striking shall be made each place that term appears and inserting may be made2 and 7ii7 by striking #ejj1jjj each place that term appears and inserting #bjj percent of the baseline amount2 and 7#b7 by adding at the end the following3 7f7 ,definition 7#a7 ,in general ,subject to paragraph 7#b71 in this section1 the term baseline amount1 with respect to a property1 means the maximum original principal obligation of a conventional mortgage that may be purchased by the ,federal ,national ,mortgage ,association in the area in which the property as located1 as established under section #cjb7;b77#b7 of the ,federal ,national ,mortgage ,association ,charter ,act 7#ab ,u4,s4,c4 #agag7;b77#b774 7#b7 ,clarification ,if1 after the date of enactment of this subsection1 the baseline amount1 as defined in paragraph 7#a71 decreases as compared with the baseline amount in effect on the day before the date of enactment of this subsection1 the baseline amount that was in effect on the day before the date of enactment of this subsection shall be deemed to be the baseline amount for the purposes of paragraphs 7#b71 7#c71 and 7#d7 of subsection 7b74 4 7b7 ,authority of ,administrator ,to sell policies ,the ,administrator may sell a policy for flood insurance under the ,national ,flood ,insurance ,program that meets the requirements of paragraphs 7#b71 7#c71 and 7#d7 of section #acjf7;b7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djac7;b771 as amended by subsection 7a71 without regard to-- 7#a7 section #fa4f of title #dd1 ,code of ,federal ,regulations1 as in effect on the day before the date of enactment of this ,act2 or 7#b7 any other provision of law4 #ajh4 ,study on participation rates 7a7 ,definitions ,in this section-- 7#a7 the term #ejj-year floodplain has the meaning given the term in section #ajjbjb7;a7 of the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab 7#dj ,u4,s4,c4 #djjd7;a772 7#b7 the terms ,federal agency lender1 improved real estate1 and regulated lending institution have the meanings given those terms in section #c7;a7 of the ,flood ,disaster ,protection ,act of #aigc 7#db ,u4,s4,c4 #djjc7;a772 and 7#c7 the term property with a ,federally backed mortgage means improved real estate or a mobile home securing a loan that was-- 7,a7 made by a regulated lending institution or ,federal agency lender2 or 7,b7 purchased by the ,federal ,national ,mortgage ,association or the ,federal ,home ,loan ,mortgage ,corporation4 7b7 ,study ,the ,comptroller ,general of the ,united ,states shall conduct a study that proposes to address1 through programmatic and regulatory changes1 how to increase the rate at which properties in the ,united ,states are covered by flood insurance4 7c7 ,considerations ,in conducting the study required under subsection 7b71 the ,comptroller ,general of the ,united ,states shall-- 7#a7 consider-- 7,a7 expanding participation in the ,national ,flood ,insurance ,program beyond areas having special flood hazards to areas of moderate or minimum risk with respect to flooding2 7,b7 automatically enrolling consumers in the ,national ,flood ,insurance ,program and providing those consumers with the opportunity to decline such enrollment2 and 7,c7 bundling flood insurance coverage that diversifies risk across all or multiple forms of peril2 and 7#b7 determine-- 7,a7 the percentage of properties with ,federally backed mortgages located in an area having special flood hazards that are covered by flood insurance that satisfies the requirement under section #ajb7;b7 of the ,flood ,disaster ,protection ,act of #aigc 7#db ,u4,s4,c4 #djab;a7b772 and 7,b7 the percentage of properties with ,federally backed mortgages located in the #ejj-year floodplain that are covered by flood insurance that would satisfy the requirement described in subparagraph 7,a7 if that requirement applied to such properties4 7d7 ,report ,not later than #ah months after the date of enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives a report regarding the results of the study conducted under subsection 7b74 ,,ii ,mitigation and mapping #bja4 ,mitigation for high-risk properties 7a7 ,in general ,section #bjc of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eacc7 is amended by adding at the end the following3 7n7 ,flood mitigation activities ,the ,president shall set aside from the ,disaster ,relief ,fund an amount equal to #aj percent of the average amount appropriated to the ,fund during the preceding #aj fiscal years to provide assistance for mitigation activities under section #acff of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajd;c7 for-- 7#a7 severe repetitive loss structures2 and 7#b7 properties insured under the national flood insurance program with the largest increase in the actuarial risk for the property compared to the actuarial risk for the previous fiscal year as a result of ,risk ,rating #b4j1 as in effect on ,october #a1 #bjbj4 4 7b7 ,applicability ,the amendment made to section #bjc of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eacc7 by subsection 7a7 shall apply to funds appropriated on or after the date of enactment of this ,act4 7c7 ,technical and conforming amendment ,effective on ,october #e1 #bjbc1 section #bjc of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eacc7 is amended by redesignating subsection 7n71 as added by subsection 7a7 of this section1 as subsection 7m74 #bjb4 ,increased cost of compliance coverage ,section #acjd7;b7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa7;b77 is amended-- 7#a7 in paragraph 7#d71 by redesignating subparagraphs 7,a7 through 7,d7 as clauses 7i7 through 7iv71 respectively1 and adjusting the margins accordingly2 7#b7 by redesignating paragraphs 7#a7 through 7#c7 as subparagraphs 7,a7 through 7,c71 respectively1 and adjusting the margins accordingly2 7#c7 in subparagraph 7,c71 as so redesignated1 by striking the period at the end and inserting a semicolon2 7#d7 by redesignating paragraph 7#d7 as subparagraph 7,f71 and adjusting the margins accordingly2 7#e7 by inserting after subparagraph 7,c71 as so redesignated1 the following3 7,d7 properties identified by the ,administrator as priorities for mitigation activities before the occurrence of damage to or loss of property which is covered by flood insurance2 7,e7 properties outside an area having special flood hazards if the communities in which the properties are located have1 under section #acfa1 established land use and control measures for the areas in which the properties are located2 and 2 7#f7 by inserting before ,the national flood insurance program the following3 7#a7 ,in general4--2 7#g7 in the flush text following subparagraph 7,f77iv71 by striking ,the ,administrator and inserting the following3 7#b7 ,premium ,the ,administrator 2 and 7#h7 by adding at the end the following3 7#c7 ,amount of coverage ,each policy for flood insurance coverage made available under this title shall provide coverage under this subsection having an aggregate liability for any single property of #fj1jjj4 7#d7 ,eligible mitigation activities 7,a7 ,in general ,eligible mitigation methods the cost of which is covered by coverage provided under this subsection shall include-- 7i7 alternative methods of mitigation identified in the guidelines issued pursuant to section #acfa7;d72 7ii7 pre-disaster mitigation projects for eligible structures2 and 7iii7 costs associated with the purchase1 clearing1 and stabilization of property that is part of an acquisition or relocation project that complies with subparagraph 7,b74 7,b7 ,acquisition and relocation project eligibility and requirements 7i7 ,in general ,an acquisition or relocation project shall be eligible to receive assistance pursuant to subparagraph 7,a77iii7 only if-- 7,i7 any property acquired1 accepted1 or from which a structure will be removed shall be dedicated and maintained in perpetuity for a use that is compatible with open space1 recreational1 or wetland and natural floodplain management practices2 and 7,,ii7 any new structure erected on such property will be-- 7aa7 a public facility that is open on all sides and functionally related to a designated open space2 7bb7 a restroom2 or 7cc7 a structure that the ,administrator approves in writing before the commencement of the construction of the structure4 7ii7 ,further assistance ,if an acquisition or relocation project is assisted pursuant to subparagraph 7,a77iii7-- 7,i7 no person may apply to a ,federal entity for disaster assistance with regard to any property acquired1 accepted1 or from which a structure was removed as part of such acquisition or relocation project2 and 7,,ii7 no ,federal entity may provide disaster assistance for such property4 7iii7 ,requirement to maintain flood insurance coverage 7,i7 ,in general ,notwithstanding any other provision of law1 any assisted structure shall1 at all times1 maintain insurance against flood damage1 in accordance with ,federal law1 for the life of such structure4 7,,ii7 ,transfer of property 7aa7 ,duty to notify ,if any part of a property on which an assisted structure is located is transferred1 the transferor shall1 not later than the date on which such transfer occurs1 notify the transferee in writing1 including in all documents evidencing the transfer of ownership of the property1 that such transferee is required to-- 7,,aa7 obtain flood insurance in accordance with applicable ,federal law with respect to such assisted structure1 if such structure is not so insured on the date on which the structure is transferred2 and 7,,bb7 maintain flood insurance in accordance with applicable ,federal law with respect to such structure4 7bb7 ,failure to notify ,if a transferor fails to make a notification in accordance with item 7aa7 and such assisted structure is damaged by a flood disaster1 the transferor shall pay the ,federal ,government an amount equal to the amount of any disaster relief provided by the ,federal ,government with respect to such assisted structure4 7,,iii7 ,assisted structure defined ,for the purposes of this clause1 the term assisted structure means a structure on property that is part of an acquisition or relocation project assisted pursuant to subparagraph 7,a7 that was1 as part of such acquisition or relocation project-- 7aa7 altered2 7bb7 improved2 7cc7 replaced2 7dd7 repaired2 or 7ee7 restored4 7,c7 ,eligible structure defined ,for purposes of this paragraph1 the term eligible structure means any structure that-- 7i7 was constructed in compliance with the ,flood ,insurance ,rate ,map and local building and zoning codes in effect on the date of construction of the structure2 and 7ii7 has not previously been altered1 improved1 replaced1 or repaired using assistance provided under this subsection4 7#e7 ,treatment of coverage limits ,any amount of coverage provided for a property pursuant to this subsection shall not be considered or counted for purposes of any limitation on coverage applicable to such property under section #acjf7;b7 and any claim on such coverage shall not be considered a claim for purposes of section #acjg7;h7 or subsection 7a77#c7 or 7h77#c7 of section #acff4 7#f7 ,implementation ,notwithstanding any other provision of law1 the ,administrator may implement this subsection by adopting #a or more standard endorsements to the ,standard ,flood ,insurance ,policy by publication of such standards in the ,federal ,register1 or by comparable means4 4 #bjc4 ,flood mitigation assistance grants 7a7 ,flood ,mitigation ,assistance ,grant ,program priority ,section #acff of the ,national ,flood ,insurance ,act 7#db ,u4,s4,c4 #dajd;c7 is amended-- 7#a7 in subsection 7a7-- 7,a7 by redesignating paragraphs 7#a71 7#b71 and 7#c7 as subparagraphs 7,a71 7,b71 and 7,c71 respectively1 and adjusting the margins accordingly2 7,b7 in the second sentence of the matter preceding subparagraph 7,a71 as so redesignated1 by striking assistance shall be and inserting the following3 assistance shall-- 7#a7 be 2 7,c7 in paragraph 7#a77;,c71 as so redesignated1 by striking the period at the end and inserting 2 and2 and 7,d7 by adding at the end the following3 7#b7 in addition to the requirement under paragraph 7#a77;,c71 give priority to properties-- 7,a7 that are repetitive loss structures2 7,b7 with respect to which the ,administrator makes a determination that the premium rates with respect to a policy for flood insurance coverage under this title-- 7i7 are unaffordable2 or 7ii7 will soon become unaffordable as a result of a risk adjustment under ,risk ,rating #b4j1 as in effect on the date of that determination2 and 7,c7 for which aggregate losses exceed the replacement value of the properties4 2 and 7#b7 in subsection 7h71 by adding at the end the following3 7#d7 ,unaffordable ,the term unaffordable means1 with respect to the premium rates for a policy for flood insurance coverage under this title1 that1 in a year1 those rates are in an such an amount that the housing expenses 7as defined in section #acbf7;b77#a77 of the household that is the subject of the policy are1 for that year1 more than #cj percent of the adjusted gross income 7as defined in section #acbf7;b77#a77 of the household for that year4 4 7b7 ,additional mitigation assistance 7#a7 ,appropriations from general fund of ,treasury ,for each of the first #e full fiscal years after the date of enactment of this ,act1 there is authorized to be appropriated #a1jjj1jjj1jjj to the ,national ,flood ,mitigation ,fund to provide mitigation assistance under this subsection4 7#b7 ,rule of construction ,the authorization of appropriations under subparagraph 7,a7 shall not be construed to authorize the transfer or crediting to the ,national ,flood ,mitigation ,fund of any amounts from the ,national ,flood ,insurance ,fund4 #bjd4 ,urban mitigation opportunities 7a7 ,mitigation strategies ,section #acfa7;d77#a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajb7;d77#a77 is amended-- 7#a7 in subparagraph 7,a71 by striking and at the end2 7#b7 in subparagraph 7,b71 by striking and at the end2 and 7#c7 by inserting after subparagraph 7,b7 the following3 7,c7 with respect to buildings in dense urban environments1 methods that can be deployed on a block or neighborhood scale2 and 7,d7 elevation of mechanical systems2 and 4 7b7 ,mitigation credit ,section #acjh7k7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7k77 is amended-- 7#a7 by striking shall take into account and inserting shall-- 7#a7 take into account 2 7#b7 in paragraph 7#a71 as so designated1 by striking the period at the end and inserting 2 and2 and 7#c7 by adding at the end the following3 7#b7 offer a reduction of the risk premium rate charged to a policyholder in an amount that is not less than #aj percent of that rate if the policyholder implements any mitigation method described in paragraph 7#a74 4 #bje4 ,community ,rating ,system ,regional ,coordinator ,section #acae7;b7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djbb7;b77 is amended by adding at the end the following3 7#e7 ,regional coordinator 7,a7 ,in general ,the ,administrator shall appoint a regional coordinator in each region served by a ,regional ,office 7as defined in section #eja of the ,homeland ,security ,act of #bjjb 7#f ,u4,s4,c4 #caa77 to provide technical assistance to small communities to enable those communities to effectively participate in and benefit from the community rating system program4 7,b7 ,authorization of appropriations ,there are authorized to be appropriated such sums as may be necessary to carry out this paragraph1 which shall remain available until expended4 4 #bjf4 ,mitigation loan program 7a7 ,definition ,in this section1 the term mitigation measure means1 with respect to a structure1 a measure undertaken to reduce the risk of flood damage to the structure4 7b7 ,establishment ,the ,administrator may establish a pilot program through which the ,administrator may provide low-interest loans to policyholders under the ,national ,flood ,insurance ,program for the purposes described in subsection 7c74 7c7 ,purposes of loans ,a loan provided to a policyholder under the pilot program established under subsection 7b7 shall be used to undertake mitigation measures with respect to the insured property that cost less than the cost of the estimated amount of premiums that would be paid with respect to the property during the #ej-year period beginning in the year in which the loan is made and if those mitigation measures were not undertaken4 7d7 ,sale of property ,if a property with respect to which a loan has been made under this section is sold1 upon that sale1 the outstanding loan balance shall-- 7#a7 be repaid using the proceeds of the sale2 or 7#b7 carry over to the purchaser of the property if the purchaser so consents before the execution of the sale4 #bjg4 ,revolving loan funds 7a7 ,in general ,chapter ,i of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa et seq471 as amended by section #ajc1 is amended by adding at the end the following3 #acbg4 ,state revolving loan funds for flood mitigation 7a7 ,definitions ,in this section3 7#a7 ,community rating system ,the term ,community ,rating ,system means the community rating system program carried out under section #acae7;b74 7#b7 ,eligible state ,the term eligible ,state means a ,state1 the ,district of ,columbia1 and the ,commonwealth of ,puerto ,rico4 7#c7 ,insular area ,the term insular area means-- 7,a7 ,guam2 7,b7 ,american ,samoa2 7,c7 the ,commonwealth of the ,northern ,mariana ,islands2 7,d7 the ,federated ,states of ,micronesia2 7,e7 the ,republic of the ,marshall ,islands2 7,f7 the ,republic of ,palau2 and 7,g7 the ,united ,states ,virgin ,islands4 7#d7 ,intended use plan ,the term intended use plan means a plan prepared under subsection 7d77#a74 7#e7 ,low-income geographic area ,the term low-income geographic area means an area described in paragraph 7#a7 or 7#b7 of section #cja7;a7 of the ,public ,works and ,economic ,development ,act of #aife 7#db ,u4,s4,c4 #cafa7;a774 7#f7 ,low-income homeowner ,the term low-income homeowner means the owner of a primary residence1 the household income of which in a taxable year is not more than #hj percent of the median income for the area in which the residence is located4 7#g7 ,participating ,state ,the term participating ,state means an eligible ,state that-- 7,a7 has entered into an agreement under subsection 7b77#a72 and 7,b7 agrees to comply with the requirements of this section4 7#h7 ,pre-,,firm building ,the term pre-,,firm building means a building for which construction or substantial improvement occurred before the effective date of the initial ,flood ,insurance ,rate ,map published by the ,administrator under section #acfj for the area in which the building is located4 7#i7 ,repetitive loss structure ,the term repetitive loss structure has the meaning given the term in section #acgj7;a74 7#aj7 ,severe repetitive loss property ,the term severe repetitive loss property has the meaning given the term in section #acjg7;h74 7#aa7 ,state loan fund ,the term ,state loan fund means a flood mitigation assistance revolving loan fund established by an eligible ,state under this section4 7#ab7 ,tribal government ,the term tribal government means the recognized government of an ,indian tribe1 or the governing body of an ,alaska ,native regional or village corporation1 that has been determined eligible to receive services from the ,bureau of ,indian ,affairs4 7b7 ,general authority 7#a7 ,in general ,the ,administrator may enter into an agreement with an eligible ,state to provide a capitalization grant for the eligible ,state to establish a revolving fund that will provide funding assistance to help homeowners1 businesses1 nonprofit organizations1 and communities reduce flood risk in order to decrease-- 7,a7 the loss of life and property2 7,b7 the cost of flood insurance2 and 7,c7 ,federal disaster payments4 7#b7 ,timing of deposit and agreements for distribution of funds 7,a7 ,in general ,not later than the last day of the fiscal year following the fiscal year in which a capitalization grant is made to a participating ,state under paragraph 7#a71 the participating ,state shall-- 7i7 deposit the grant in the ,state loan fund of the ,state2 and 7ii7 enter into #a or more binding agreements that provide for the ,state to distribute the grant funds for purposes authorized under subsection 7c7 such that-- 7,i7 in the case of the initial grant made to a ,state under this section1 not less than #ge percent of the amount of the grant shall be distributed before the end of the #b-year period beginning on the date on which the funds are deposited in the ,state loan fund of the ,state2 and 7,,ii7 in the case of any subsequent grant made to a ,state under this section1 not less than #ij percent of the amount of the grant shall be distributed before the end of the #a-year period beginning on the date on which the funds are deposited in the ,state loan fund of the ,state4 7,b7 ,noncompliance ,except as provided in subparagraph 7,c71 if a participating ,state does not comply with subparagraph 7,a7 with respect to a grant1 the ,administrator shall reallocate the grant in accordance with paragraph 7#c77;,b74 7,c7 ,exception ,the ,administrator may not reallocate any funds under subparagraph 7,b7 to a participating ,state that violated subparagraph 7,a7 with respect to a grant made during the same fiscal year in which the funds to be reallocated were originally made available4 7#c7 ,allocation 7,a7 ,in general ,the ,administrator shall allocate amounts made available to carry out this section to participating ,states-- 7i7 for the participating ,states to deposit in the ,state loan funds established by the participating ,states2 and 7ii7 except as provided in paragraph 7#f71 in accordance with the requirements described in subparagraph 7,b74 7,b7 ,requirements ,the requirements described in this subparagraph are as follows3 7i7 ,fifty percent of the total amount made available under subparagraph 7,a7 shall be allocated so that each participating ,state receives the percentage amount that is obtained by dividing the number of properties that were insured under the national flood insurance program in that ,state in the fiscal year preceding the fiscal year in which the amount is allocated by the total number of properties that were insured under the national flood insurance program in the fiscal year preceding the fiscal year in which the amount is allocated4 7ii7 ,fifty percent of the total amount made available under subparagraph 7,a7 shall be allocated so that each participating ,state receives a percentage of funds that is equal to the product obtained under clause 7iii77,,iv7 with respect to that participating ,state after following the procedures described in clause 7iii74 7iii7 ,the procedures described in this clause are as follows3 7,i7 ,divide the total amount collected in premiums for properties insured under the national flood insurance program in each participating ,state during the previous fiscal year by the number of properties insured under the national flood insurance program in that ,state for that fiscal year4 7,,ii7 ,add together each quotient obtained under subclause 7,i74 7,,iii7 ,for each participating ,state1 divide the quotient obtained under subclause 7,i7 with respect to that ,state by the sum obtained under subclause 7,,ii74 7,,iv7 ,for each participating ,state1 multiply the amount that is #ej percent of the total amount made available under subparagraph 7,a7 by the quotient obtained under subclause 7,,iii74 7iv7 ,except as provided in paragraph 7#e71 in a fiscal year-- 7,i7 a participating ,state may not receive more than #ae percent of the total amount that is made available under subparagraph 7,a7 in that fiscal year2 and 7,,ii7 if a participating ,state1 based on the requirements under clauses 7i7 through 7iii71 would1 but for the limitation under subclause 7,i7 of this clause1 receive an amount that is greater than the amount that the ,state is authorized to receive under that subclause1 the difference between the authorized amount and the amount otherwise due to the ,state under clauses 7i7 through 7iii7 shall be allocated to other participating ,states-- 7aa7 that1 in that fiscal year1 have not received an amount under subparagraph 7,a7 that is more than the authorized amount under subclause 7,i7 of this clause2 and 7bb7 by using the requirements under clauses 7i7 through 7iii71 except that a participating ,state may receive an allocation under this subclause only if the allocation does not result in the ,state receiving a total amount for the fiscal year under subparagraph 7,a7 that is greater than the authorized amount under subclause 7,i74 7#d7 ,no revolving fund required 7,a7 ,in general ,notwithstanding any other provision of this section1 and subject to subparagraph 7,b71 a participating ,state that receives less than #d1jjj1jjj under paragraph 7#c77;,b7 in a fiscal year may distribute the funds directly in the form of grants or technical assistance for a purpose described in subsection 7c77#b71 without regard to whether the ,state has established a ,state loan fund4 7,b7 ,state matching ,a participating ,state that exercises the authority under subparagraph 7,a7 in a fiscal year shall provide matching funds from non-,federal sources in an amount that is equal to #be percent of the amount that the ,state receives under paragraph 7#c77;,b7 in that fiscal year for purposes described in subparagraph 7,a74 7#e7 ,allocation of remaining funds ,after allocating amounts made available to carry out this section for a fiscal year in accordance with paragraph 7#c71 the ,administrator shall allocate any remaining amounts made available for that fiscal year to participating ,states1 using the procedures described in clauses 7i7 through 7iii7 of paragraph 7#c77;,b74 7#f7 ,reservation of funds ,the ,administrator shall reserve not more than #a4e percent of the amount made available to carry out this section in a fiscal year-- 7,a7 for administrative costs incurred in carrying out this section2 7,b7 to provide technical assistance to recipients of grants under this section2 and 7,c7 to enter into grant agreements with tribal governments and insular areas1 with the grant funds to be distributed-- 7i7 according to criteria established by the ,administrator2 and 7ii7 for a purpose described in subsection 7c77#b74 7c7 ,use of funds 7#a7 ,in general ,amounts deposited in a ,state loan fund1 including repayments of loans made from the fund and interest earned on the amounts in the fund1 shall be used-- 7,a7 consistent with paragraph 7#b7 and subsection 7g71 to provide financial assistance for-- 7i7 homeowners1 businesses1 and nonprofit organizations that are eligible to participate in the national flood insurance program2 and 7ii7 any local government that participates in the national flood insurance program2 7,b7 as a source of revenue and security for leveraged loans1 the proceeds of which shall be deposited in the ,state loan fund2 or 7,c7 for the sale of bonds as security for payment of the principal and interest on revenue or general obligation bonds issued by the participating ,state to provide matching funds under subsection 7f71 if the proceeds from the sale of the bonds are deposited in the ,state loan fund4 7#b7 ,purposes ,a recipient of financial assistance provided through amounts from a ,state loan fund-- 7,a7 shall use the amounts to reduce-- 7i7 flood risk2 or 7ii7 potential claims for losses covered under the national flood insurance program2 7,b7 shall use the amounts in a cost-effective manner under requirements established by the ,state1 which may require an applicant for financial assistance to submit any information that the ,state considers relevant or necessary before the date on which the applicant receives the assistance2 7,c7 shall use the amounts for projects that-- 7i7 meet design and construction standards established by the ,administrator2 7ii7 are located in communities that-- 7,i7 participate in the national flood insurance program2 and 7,,ii7 have developed a ,state or community flood risk mitigation plan that has been approved by the ,administrator under section #acff2 7iii7 address-- 7,i7 a repetitive loss structure or a severe repetitive loss property2 or 7,,ii7 flood risk in the #ejj-year floodplain1 areas of residual flood risk1 or other areas of potential flood risk1 as identified by the ,administrator2 and 7iv7 address current risk and anticipate future risk1 such as sea-level rise2 7,d7 may use the amounts-- 7i7 for projects relating to-- 7,i7 structural elevation2 7,,ii7 floodproofing2 7,,iii7 the relocation or removal of buildings from the #ajj-year floodplain or other areas of flood risk1 including the acquisition of properties for such a purpose2 7,,iv7 environmental restoration activities that directly reduce flood risk2 7,v7 any eligible activity described in subparagraphs 7,a7 through 7,g7 of section #acff7;c77#c72 or 7,,vi7 other activities determined appropriate by the ,administrator2 7ii7 with respect to a project described in clause 7i71 only for expenditures directly related to a project described in that clause1 including expenditures for planning1 design1 and associated pre-construction activities2 and 7iii7 to acquire1 for the purposes of permanent protection1 land1 buildings1 or a conservation easement from a willing seller or grantor2 7,e7 may not use the amounts-- 7i7 to construct buildings or expand existing buildings1 unless the activity is for the purpose of flood mitigation2 7ii7 to improve any structure1 unless the recipient has obtained flood insurance coverage1 which shall be maintained for the useful life of the structure1 in an amount that is not less than the lesser of-- 7,i7 the eligible project costs with respect to the structure2 and 7,,ii7 the maximum insurable limit for the structure under the national flood insurance program coverage for the structure2 7iii7 to improve a residential property with an appraised value that is not less than #abe percent of the limitation on the maximum original principal obligation of a conventional mortgage that may be purchased by the ,federal ,national ,mortgage ,association or the ,federal ,home ,loan ,mortgage ,corporation in the area in which the property is located1 as established under section #cjb7;b77#b7 of the ,federal ,national ,mortgage ,association ,charter ,act 7#ab ,u4,s4,c4 #agag7;b77#b77 and section #cje7;a77#b7 of the ,federal ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #aded7;a77#b772 7iv7 for the direct benefit of a homeowner if the annual household adjusted gross income of the homeowner during the previous fiscal year was not less than #bjj1jjj1 as annually adjusted by the ,administrator to reflect changes in the ,consumer ,price ,index for ,all ,urban ,consumers1 as published by the ,bureau of ,labor ,statistics of the ,department of ,labor and rounded to the nearest #be2 or 7v7 to acquire real property or an interest in real property unless the property is purchased from a willing seller2 and 7,f7 to the maximum extent practicable1 shall1 in using those amounts1 give priority to projects that assist low-income homeowners and low-income geographical areas4 7d7 ,intended use plans 7#a7 ,in general ,after providing the opportunity for public review and comment1 each participating ,state shall annually prepare a plan that identifies1 for the year following the date of issuance of the intended use plan1 the intended uses of the amounts available in the ,state loan fund of the participating ,state4 7#b7 ,consultation during preparation ,each participating ,state1 in preparing an intended use plan1 shall ensure that the ,state agency with primary responsibility for floodplain management-- 7,a7 provides oversight with respect to the preparation of the intended use plan2 and 7,b7 consults with any other appropriate ,state agency1 including agencies responsible for coastal and environmental management4 7#c7 ,contents ,a participating ,state shall1 in each intended use plan-- 7,a7 include-- 7i7 an explanation of the mitigation and resiliency benefits the ,state intends to achieve1 including by-- 7,i7 reducing future damage and loss associated with flooding2 7,,ii7 reducing the number of severe repetitive loss properties and repetitive loss structures in the ,state2 7,,iii7 decreasing the number of flood insurance claims in the ,state2 and 7,,iv7 increasing the rating under the ,community ,rating ,system for communities in the ,state2 7ii7 information with respect to the availability of1 and the application process for receiving1 financial assistance from the ,state loan fund of the ,state2 7iii7 the criteria and methods established for the distribution of amounts from the ,state loan fund of the ,state2 7iv7 the amount of financial assistance that the ,state anticipates providing to-- 7,i7 local government projects2 and 7,,ii7 projects for homeowners1 business1 or nonprofit organizations2 7v7 the expected terms of the assistance provided under clause 7iv72 and 7vi7 a description of the financial status of the ,state loan fund and the short-term and long-term goals of the ,state loan fund2 and 7,b7 provide1 to the maximum extent practicable1 that priority for the use of amounts from the ,state loan fund shall be given to projects that-- 7i7 address severe repetitive loss properties and repetitive loss structures2 7ii7 assist low-income homeowners and low-income geographic areas2 and 7iii7 address flood risk for pre-,,firm buildings4 7#d7 ,publication ,each participating ,state shall publish and periodically update a list of all projects receiving funding from the ,state loan fund of the ,state1 which shall include identification of-- 7,a7 the community in which the project is located2 7,b7 the type and amount of assistance provided for each project2 and 7,c7 the expected funding schedule and date of completion of each project4 7e7 ,fund management ,amounts in a ,state loan fund shall-- 7#a7 remain available for providing financial assistance under this section until distributed2 7#b7 if the amounts are not required for immediate distribution or expenditure1 be invested in interest-bearing obligations2 and 7#c7 except as provided in subsection 7i71 include only-- 7,a7 amounts received from capitalization grants made under this section2 7,b7 repayments of loans made from the fund2 and 7,c7 interest earned on amounts in the fund4 7f7 ,matching funds 7#a7 ,full grant ,on or before the date on which a participating ,state receives a capitalization grant1 the ,state shall deposit into the ,state loan fund of the ,state1 in addition to the amount of the capitalization grant1 an amount from non-,federal sources that is not less than #bj percent of the total amount of the capitalization grant4 7#b7 ,reduced grant ,if1 with respect to a capitalization grant1 a participating ,state deposits in the ,state loan fund of the ,state an amount from non-,federal sources that is less than #bj percent of the total amount of the capitalization grant that the participating ,state would otherwise receive1 the ,administrator shall-- 7,a7 reduce the amount of the capitalization grant received by the ,state to the amount that is #e times the amount so deposited2 and 7,b7 in accordance with subsection 7b77#e71 allocate the difference between the amount that the participating ,state would have received if the ,state had complied with paragraph 7#a7 and the amount of the reduced grant that the participating ,state receives under subparagraph 7,a74 7g7 ,types of assistance ,unless otherwise prohibited by ,state law1 a participating ,state may use the amounts deposited into a ,state loan fund under this section only-- 7#a7 to make a loan1 on the condition that-- 7,a7 the interest rate for the loan is not more than the market interest rate2 7,b7 the recipient of the loan will begin making principal and interest payments on the loan not later than #a year after the date on which the project for which the loan was made is completed2 7,c7 the loan will be fully amortized not later than #bj years after the date on which the project for which the loan was made is completed1 except that1 in the case of a loan made for a project in a low-income geographic area or to a low-income homeowner1 the ,state may provide a longer amortization period for the loan if that longer period-- 7i7 ends on a date that is not later than #cj years after the date on which the project is completed2 and 7ii7 is not longer than the expected design life of the project2 7,d7 the recipient of the loan demonstrates1 based on verified and documented information that1 as of the date on which the loan is made1 the recipient has a reasonable ability to repay the loan1 according to the terms of the loan1 except that this subparagraph may not be construed to authorize any reduction or limitation in efforts to comply with the requirements of subsection 7c77#b77;,f72 and 7,e7 payments of principal and interest with respect to the loan will be deposited into the ,state loan fund2 7#b7 to buy or refinance the debt obligation of a local government at an interest rate that is not more than the market interest rate2 7#c7 to guarantee1 or purchase insurance for1 a local obligation1 the proceeds of which finance a project eligible for assistance under this section1 if the guarantee or purchase1 as applicable1 would-- 7,a7 improve credit market access2 or 7,b7 reduce the interest rate with respect to the obligation2 7#d7 as a source of revenue or as security for the payment of principal and interest on revenue or general obligation bonds issued by the ,state if the proceeds of the sale of the bonds will be deposited into the ,state loan fund2 or 7#e7 to earn interest on those amounts4 7h7 ,assistance for low-,income homeowners and low-,income geographic areas 7#a7 ,in general ,notwithstanding any other provision of this section1 if a participating ,state uses amounts from a ,state loan fund to provide financial assistance under subsection 7c7 in a low-income geographic area or to a low-income homeowner1 the ,state may provide additional subsidization to the recipient of the assistance1 including forgiveness of the principal of a loan4 7#b7 ,limitation ,for each fiscal year1 the total amount of additional subsidization provided by a participating ,state under paragraph 7#a7 may not exceed #cj percent of the amount of the capitalization grant allocated to the ,state for that fiscal year4 7i7 ,administration of fund 7#a7 ,in general ,a participating ,state may combine the financial administration of a ,state loan fund with the financial administration of any other revolving fund established by the ,state if-- 7,a7 combining the administration of the funds would-- 7i7 be convenient and avoid administrative costs2 and 7ii7 not violate the law of the ,state2 and 7,b7 the ,administrator determines that-- 7i7 amounts obtained from a grant made under this section1 amounts obtained from the repayment of a loan made from a ,state loan fund1 and interest earned on amounts in a ,state loan fund will be-- 7,i7 accounted for separately from amounts from other revolving funds2 and 7,,ii7 used only for purposes authorized under this section2 and 7ii7 after consulting with the appropriate ,state agencies1 the authority to establish assistance priorities and carry out oversight and related activities1 other than financial administration1 with respect to flood assistance remains with the ,state agency with primary responsibility for floodplain management4 7#b7 ,administrative and technical costs 7,a7 ,in general ,for each fiscal year1 a participating ,state may use the amount described in subparagraph 7,b7 to-- 7i7 pay the reasonable costs of administration of the programs under this section1 including the recovery of reasonable costs incurred in establishing a ,state loan fund2 7ii7 provide appropriate oversight of projects authorized under this section2 and 7iii7 provide technical assistance and outreach to recipients in the ,state of amounts under this section1 including with respect to updating hazard mitigation plans and participating in the ,community ,rating ,system1 in an amount that is not more than #d percent of the funds made available to the ,state under this section4 7,b7 ,description ,the amount described in this subparagraph is an amount equal to the sum of-- 7i7 any fees collected by a participating ,state to recover the costs described in subparagraph 7,a77i71 regardless of the source2 and 7ii7 the greatest of-- 7,i7 #djj1jjj2 7,,ii7 #j4b percent of the value of the ,state loan fund of a ,state1 as of the date on which the valuation is made2 and 7,,iii7 an amount equal to #g percent of all grant awards made to a participating ,state for the ,state loan fund of the ,state under this section for the fiscal year4 7#c7 ,audit and report 7,a7 ,audit requirement ,not less frequently than biennially1 each participating ,state shall conduct an audit of the ,state loan fund of the ,state4 7,b7 ,report ,each participating ,state shall submit to the ,administrator a biennial report regarding the activities of the ,state under this section during the period covered by the report1 including-- 7i7 the result of any audit conducted by the ,state under subparagraph 7,a72 and 7ii7 a review of the effectiveness of the ,state loan fund of the ,state with respect to-- 7,i7 the intended use plans of the ,state2 and 7,,ii7 meeting the objectives described in subsection 7b77#a74 7#d7 ,oversight ,in conducting oversight with respect to ,state loan funds established under this section1 the ,administrator-- 7,a7 shall-- 7i7 periodically audit the funds in accordance with procedures established by the ,comptroller ,general of the ,united ,states2 and 7ii7 not less frequently than once every #d years1 review each ,state loan fund to determine the effectiveness of the fund in reducing flood risk2 and 7,b7 may1 at any time-- 7i7 make recommendations to a participating ,state with respect to the administration of the ,state loan fund of the ,state2 or 7ii7 require specific changes with respect to a ,state loan fund in order to improve the effectiveness of the fund4 7j7 ,liability protections ,the ,federal ,emergency ,management ,agency shall not be liable for any claim based on the exercise or performance of1 or the failure to exercise or perform1 a discretionary function or duty by the ,agency1 or an employee of the ,agency1 in carrying out this section4 7k7 ,regulations ,the ,administrator shall promulgate such guidance or regulations as may be necessary to carry out this section1 including guidance or regulations that-- 7#a7 ensure that each participating ,state to which funds are allocated under this section uses the funds as efficiently as possible2 7#b7 reduce1 to the maximum extent practicable1 waste1 fraud1 and abuse with respect to the implementation of this section2 and 7#c7 require any party that receives funds directly or indirectly under this section1 including a participating ,state and a recipient of amounts from a ,state loan fund1 to use procedures with respect to the management of the funds that conform to generally accepted accounting standards4 7l7 ,authorization of appropriations ,there are authorized to be appropriated such sums as may be necessary to carry out this section for fiscal years #bjbj through #bjbi4 4 7b7 ,consideration of mitigation measures funded by state loan funds in flood insurance premium rates 7#a7 ,estimated rates ,section #acjg7;a77#a77;,a77ii7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djad7;a77#a77;,a77ii77 is amended by striking and similar measures and inserting similar measures1 and any activities funded through amounts from a ,state loan fund established under section #acbf4 7#b7 ,chargeable rates ,section #acjh7;b77#a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7;b77#a77 is amended by striking and similar measures and inserting similar measures1 and any activities funded through amounts from a ,state loan fund established under section #acbf4 #bjh4 ,mapping modernization 7a7 ,amendments to the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab ,the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab 7#db ,u4,s4,c4 #djjd et seq47 is amended-- 7#a7 in section #ajjbae 7#db ,u4,s4,c4 #daja;a7-- 7,a7 in subsection 7b77#a7-- 7i7 by redesignating subparagraphs 7,a7 through 7,e7 as subparagraphs 7,b7 through 7,f71 respectively2 7ii7 by inserting before subparagraph 7,b71 as so redesignated1 the following3 7,a7 the ,director of the ,united ,states ,geological ,survey2 2 and 7iii7 in subparagraph 7,f71 as so redesignated-- 7,i7 in the matter preceding clause 7i71 by striking #af and inserting #ag2 7,,ii7 in clause 7xiii71 by striking and at the end2 7,,iii7 in clause 7xiv71 by striking the period at the end and inserting 2 and2 and 7,,iv7 by adding at the end the following3 7xv7 an expert in the field of catastrophic risk modeling4 2 and 7,b7 by adding at the end the following3 7m7 ,private or community flood maps 7#a7 ,standards and procedures ,in addition to the other duties of the ,council under this section1 not later than #a year after the date of enactment of this subsection1 the ,council shall develop and establish a set of standards1 guidelines1 and procedures for-- 7,a7 ,state and local governments1 federally or ,state-recognized metropolitan planning organizations 7commonly known as ,m,p,os71 federally or ,state-recognized councils of local governments1 and federally or ,state-recognized rural transportation planning organizations to use in mapping flood risks and developing alternative maps to the flood insurance rate maps developed by the ,administrator2 and 7,b7 certification1 by the ,administrator not later than #ij days after the date on which a map developed under subparagraph 7,a7 is submitted to the ,administrator1 for use under the ,national ,flood ,insurance ,program in the case of any area covered by a flood insurance rate map developed or approved by the ,administrator that has not been updated or reissued during the preceding #c-year period4 7#b7 ,treatment ,on and after the date on which the ,administrator certifies a map under paragraph 7#a77;,b71 the map-- 7,a7 shall be considered the flood insurance rate map in effect for all purposes of the ,national ,flood ,insurance ,program with respect to the area covered by the map2 and 7,b7 may not be revised1 updated1 or replaced in accordance with the standards1 guidelines1 and procedures established under paragraph 7#a7 before the expiration of the #c-year period beginning on that date of certification4 7#c7 ,exemption from rulemaking ,until the date on which the ,administrator promulgates regulations implementing paragraphs 7#a7 and 7#b71 the ,administrator may adopt policies and procedures1 notwithstanding any other provision of law1 necessary to implement those paragraphs without regard to section #eec of title #e1 ,united ,states ,code1 and without conducting regulatory analyses otherwise required by statute1 regulation1 or ,executive order4 2 and 7#b7 in section #ajjbaf 7#db ,u4,s4,c4 #daja;b7-- 7,a7 in subsection 7b7-- 7i7 in paragraph 7#a7-- 7,i7 in subparagraph 7,a71 by striking to-- and all that follows through the end of clause 7vi7 and inserting to all areas of the ,united ,states22 7,,ii7 in subparagraph 7,b71 by striking and at the end2 7,,iii7 in subparagraph 7,c71 by striking accurate topography and all that follows through the period at the end and inserting current and best remote sensing technology22 and 7,,iv7 by adding at the end the following3 7,d7 when appropriate1 partner with other ,federal agencies and private entities in order to meet the objectives of the program2 and 7,e7 consult and coordinate with the ,secretary of ,defense1 the ,director of the ,united ,states ,geological ,survey1 and the ,administrator of the ,national ,oceanic and ,atmospheric ,administration to obtain the most up-to-date maps and other information of those agencies1 including information relating to topography1 water flow1 watershed characteristics1 and any other issues that are relevant to identifying1 reviewing1 updating1 maintaining1 and publishing ,national ,flood ,insurance ,program rate maps4 2 and 7ii7 in paragraph 7#c7-- 7,i7 in subparagraph 7,a71 by redesignating clauses 7i7 and 7ii7 as subclauses 7,i7 and 7,,ii71 respectively1 and adjusting the margins accordingly2 7,,ii7 by redesignating subparagraphs 7,a7 through 7,e7 as clauses 7i7 through 7v71 respectively1 and adjusting the margins accordingly2 7,,iii7 in the matter preceding clause 7i71 as so redesignated1 by striking ,administrator shall include-- and inserting the following3 ,administrator-- 7,a7 shall include-- 2 7,,iv7 in subparagraph 7,a77v71 as so redesignated1 by striking the period at the end and inserting 2 and2 and 7,v7 by adding at the end the following3 7,b7 may include-- 7i7 any relevant information that is obtained under paragraph 7#a77;,d72 and 7ii7 cadastral features1 including1 for each cadastral feature-- 7,i7 the associated parcel identification data for that feature2 and 7,,ii7 to the maximum extent practicable1 using public and private sector address data1 the address of that feature4 2 7,b7 in subsection 7c77#b7-- 7i7 in subparagraph 7,b71 by striking and at the end2 7ii7 in subparagraph 7,c71 by striking the period at the end and inserting 2 and2 and 7iii7 by adding at the end the following3 7,d7 not later than #e years after the date on which the ,national ,geodetic ,survey completes the modernization of the ,national ,spatial ,reference ,system in #bjbb1 updated to conform with the geospatial data provided by that system2 and 7,e7 spatially accurate in accordance with the common protocols for geographic information systems under section #baf of the ,e-,government ,act of #bjjb 7#dd ,u4,s4,c4 #ceja note74 2 7,c7 by redesignating subsection 7f7 as subsection 7g72 7,d7 by inserting after subsection 7e7 the following3 7f7 ,incorporating building-,specific flood risk information 7#a7 ,establishment 7,a7 ,in general ,not later than #e years after the date of enactment of the ,national ,flood ,insurance ,program ,reauthorization and ,reform ,act of #bjai1 the ,administrator1 in coordination with1 and as recommended by1 the ,technical ,mapping ,advisory ,council1 shall establish a dynamic1 database-derived digital display environment for flood hazard risk production and dissemination4 7,b7 ,consultation with ,states and communities ,in designing and constructing the environment under subparagraph 7,a71 the ,administrator shall-- 7i7 leverage and partner with ,states and communities that have successfully implemented the same approach2 and 7ii7 consider adopting the techniques and technologies used by ,states and communities described in clause 7i7 and applying them nationwide4 7#b7 ,digital display 7,a7 ,in general ,in carrying out paragraph 7#a71 the ,administrator shall create a digital display prompted through dynamic querying of a spatial1 relational building database that includes-- 7i7 special flood hazard areas and base flood elevations for purposes of lender compliance with the requirements under section #ajb of the ,flood ,disaster ,protection ,act of #aigc 7#db ,u4,s4,c4 #djab;a72 and 7ii7 structure-specific flood risk information1 including1 for each property address-- 7,i7 the spatial footprint and elevation of the structure relative to special flood hazard areas and base flood elevations2 7,,ii7 the most current elevation certificate applicable to the property2 7,,iii7 any letter of map changes2 7,,iv7 the full risk premium rate estimated for the structure under section #acjg7;a77#a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djad7;a77#a77 based on elevation data2 7,v7 the disclosure described in section #acjh7l7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djae7l771 which shall include-- 7aa7 the extent to which1 if any1 the chargeable premium rate applicable to the property is less than the full risk premium rate under section #acjg7;a77#a7 of that ,act 7#db ,u4,s4,c4 #djad7;a77#a772 and 7bb7 an explanation of the difference described in item 7aa7 and the methodology used to rate the property2 7,,vi7 the estimated cost to repair the structure in the case of damage from floods with recurrence intervals ranging from the #aj percent annual chance event to the #j4b percent annual chance event2 7,,vii7 the cost-effectiveness of mitigating the structure using common methods and how the chargeable premium rate would change based on each mitigation method2 and 7,,viii7 the claims history of the structure1 including the amount and date of each loss4 7,b7 ,privacy requirements ,with respect to the database described in subparagraph 7,a71 including any data used to create that database1 the ,administrator may not disseminate the database to any person other than the owner or leaseholder of a property identified in the database4 7#c7 ,database 7,a7 ,in general ,the ,administrator shall-- 7i7 develop a spatial1 relational database of buildings in the ,national ,flood ,insurance ,program2 and 7ii7 obtain the data necessary to support the digital display created under paragraph 7#b74 7,b7 ,data ,the data obtained under subparagraph 7,a7 shall include1 at a minimum-- 7i7 footprints and elevations 7including lowest adjacent grade and first floor7 from ,light ,detection and ,ranging 7commonly known as ,li,d,a,r7 data collections or other data collection methods that meet or exceed the standards for buildings1 as determined by the ,administrator2 7ii7 elevation certificates2 7iii7 parcel1 address1 and imagery data necessary for the identification1 assessment1 and reduction of flood hazards for individual properties2 7iv7 flood insurance rate maps1 studies1 and supporting data2 7v7 letters of map change2 and 7vi7 any other data that the ,administrator determines necessary to collect to meet the objectives of this section4 7#d7 ,data procurement ,the ,administrator shall obtain any data necessary to establish the environment under paragraph 7#a71 including by-- 7,a7 directing communities participating in the ,national ,flood ,insurance ,program1 by regulation1 to collect and supply information1 including elevation data1 for each structure that obtains a construction or other development permit within-- 7i7 a special flood hazard area2 or 7ii7 an advisory special flood hazard area adopted by the community2 7,b7 issuing guidelines and standards1 as determined by the ,administrator2 7,c7 partnering with other ,federal1 ,state1 local1 and private stakeholders to the greatest extent possible to obtain and share existing data that meets or exceeds the standards determined by the ,administrator under subparagraph 7,b72 and 7,d7 contracting with private companies to obtain new ,li,d,a,r data collections or elevation certificates4 7#e7 ,,nfip premium credit ,the ,administrator shall provide a #a-time premium credit of not more than #ejj to a policyholder for-- 7,a7 the purchase of an elevation certificate2 or 7,b7 the purposes of appealing the chargeable premium rate with respect to the property to which the premium applies4 7#f7 ,mass letters of map change ,in coordination with ,states and communities that have successfully implemented a dynamic1 database-derived digital display environment for flood hazard risk production and dissemination1 the ,administrator shall issue guidelines for the adoption and integration into the program established under subsection 7a7 of ,li,d,a,r-based letter of map amendment approaches4 7#g7 ,annual report ,the ,administrator shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives an annual progress report on the implementation of this subsection1 which shall include recommendations to reduce the cost and improve the implementation of this subsection4 2 and 7,e7 in subsection 7g71 as so redesignated-- 7i7 by striking this section #djj1jjj1jjj and inserting the following3 this section-- 7#a7 #djj1jjj1jjj 2 and 7ii7 by striking the period at the end and inserting the following3 2 and 7#b7 #djj1jjj1jjj for each of fiscal years #bjbj through #bjbe4 4 7b7 ,appeals 7#a7 ,in general 7,a7 ,right to appeal ,section #acfj of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #daja7 is amended by adding at the end the following3 7k7 ,appeals of existing maps 7#a7 ,right to appeal ,subject to paragraph 7#f71 a ,state or local government1 or the owner or lessee of real property1 that makes a formal request to the ,administrator to update a flood insurance rate map that the ,administrator denies may at any time appeal the denial in accordance with this subsection4 7#b7 ,basis for appeal ,the basis for an appeal under this subsection shall be the possession of knowledge or information that-- 7,a7 the base flood elevation level or designation of any aspect of a flood insurance rate map is scientifically or technically inaccurate2 or 7,b7 factors exist that mitigate the risk of flooding1 including ditches1 banks1 walls1 vegetation1 levees1 lakes1 dams1 reservoirs1 basin1 retention ponds1 and other natural or manmade topographical features4 7#c7 ,appeals process 7,a7 ,administrative adjudication ,the ,administrator shall determine an appeal under this subsection by making a final adjudication on the record1 after providing an opportunity for an administrative hearing4 7,b7 ,rights upon adverse decision 7i7 ,optional arbitration ,if an appeal determined under subparagraph 7,a7 does not result in a decision in favor of the ,state1 local government1 owner1 or lessee1 that party may request that an appeal of the adverse decision be heard through independent1 non-binding arbitration4 7ii7 ,process ,the ,administrator shall establish a process for arbitration under clause 7i7 under which the arbitrator provides a non-binding recommendation to the ,administrator4 7#d7 ,relief 7,a7 ,wholly successful appeals ,if the ,administrator determines1 in an appeal under this subsection1 that the property of a policyholder that had been included in a special flood hazard area under the flood insurance rate map is actually not in a special flood hazard area-- 7i7 the policyholder may cancel the policy at any time during the year in which the ,administrator makes the determination2 and 7ii7 the ,administrator shall provide the policyholder a refund equal to the amount of-- 7,i7 any premiums that the policyholder paid during the year described in clause 7i72 and 7,,ii7 any premiums that the policyholder paid for flood insurance coverage that the policyholder was required to purchase or maintain during the #b-year period preceding the year described in clause 7i74 7,b7 ,partially successful appeals ,if the ,administrator determines in an appeal under this subsection that mitigating factors have reduced1 but not eliminated1 the risk of flooding to a property1 the ,administrator shall-- 7i7 reduce the amount of flood insurance coverage required to be maintained for the property by the ratio of the successful portion of the appeal as compared to the entire appeal2 and 7ii7 provide the policyholder a refund equal to the difference between-- 7,i7 the amount of any premiums that the policyholder paid during the period-- 7aa7 beginning on the later of-- 7,,aa7 the date on which the mitigating factor was created2 or 7,,bb7 ,january #a of the second year preceding the date on which the determination is made2 and 7bb7 ending on the date on which the reduction in the amount of flood insurance required1 as described in clause 7i71 takes effect2 and 7,,ii7 the amount of premiums that the policyholder would have been required to pay if the reduced amount of flood insurance coverage required1 as described in clause 7i71 had been in effect during the period described in subclause 7,i7 of this clause4 7,c7 ,additional relief ,the ,administrator may provide additional refunds in excess of the amounts required under subparagraphs 7,a7 and 7,b7 if the ,administrator determines that such additional refunds are warranted4 7#e7 ,recovery of costs 7,a7 ,appeal expenses ,if a ,state or local government1 or the owner or lessee of real property1 incurs any expense in connection with an appeal under this subsection that is based on a scientific or technical error made by the ,administrator and that is successful in whole or part regarding the designation of the base flood elevation or any aspect of a flood insurance rate map1 including elevation or designation of a special flood hazard area1 the ,administrator shall reimburse the ,state1 local government1 owner1 or lessee in accordance with subparagraph 7,b74 7,b7 ,reimbursable expenses ,the ,administrator-- 7i7 may reimburse a party under subparagraph 7,a7 for reasonable expenses described in that subparagraph-- 7,i7 including for a service provided by a surveyor1 engineer1 or scientific expert2 and 7,,ii7 to the extent measured by the ratio of the successful portion of the appeal as compared to the entire appeal2 and 7ii7 may not reimburse a party under subparagraph 7,a7 for-- 7,i7 the cost of legal services2 or 7,,ii7 the payment of any fee or expense1 the payment of which was agreed to be contingent upon the result of the appeal4 7#f7 ,guidance ,the ,administrator shall issue guidance to implement this subsection1 which shall not be subject to the notice and comment requirements under section #eec of title #e1 ,united ,states ,code4 4 7,b7 ,technical and conforming amendments ,section #acaj7;a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djag7;a77 is amended-- 7i7 in paragraph 7#g71 by striking and at the end2 7ii7 in paragraph 7#h71 by striking the period at the end and inserting 2 and2 and 7iii7 by adding at the end the following3 7#i7 for providing reimbursements of expenses of flood insurance rate map appeals under section #acfj7k77#e74 4 7#b7 ,deadline for issuance of guidance ,not later than #ahj days after the date of enactment of this ,act1 the ,administrator shall issue the guidance required under subsection 7k77#f7 of section #acfj of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #daja71 as added by paragraph 7#a77;,a74 #bji4 ,protected areas ,section #ajjbaf7;b7 of the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab 7#db ,u4,s4,c4 #daja;b7b77 is amended by adding at the end the following3 7#d7 ,zones protected by levee systems 7,a7 ,applicability ,subject to full implementation of this section1 and notwithstanding any other provision of law1 this paragraph shall apply to a community in which the ,administrator maps or re-maps a levee-impacted area in which the pertinent levee system fails to meet the minimum design1 operation1 and maintenance standards of the ,national ,flood ,insurance ,program required for levee accreditation on a ,national ,flood ,insurance ,program rate map4 7,b7 ,,al ,zones ,for levee-impacted areas described in subparagraph 7,a71 the ,administrator shall establish flood risk zones known as ,,al ,zones on the ,national ,flood ,insurance ,program rate map4 7,c7 ,actuarial rates 7i7 ,in general ,the ,administrator shall make available flood insurance to properties in ,,al ,zones at actuarial rates based upon the risk associated with structures within the applicable ,,al ,zone4 7ii7 ,temporary rates ,until the ,administrator promulgates actuarial rates for the various ,,al ,zones1 a structure within a portion of a community located within a levee-impacted area described in subparagraph 7,a7 shall be eligible for rates associated with areas of moderate flood hazards 7also known as ,standard ,x zone rates74 4 #baj4 ,community-wide flood mitigation activities ,it is the sense of ,congress that the ,administrator should consider flood mitigation activities that-- 7#a7 provide benefits to an entire floodplain or community1 or to a portion of such a community2 7#b7 consider all available and practicable approaches2 and 7#c7 the ,administrator determines-- 7,a7 are technically feasible2 7,b7 have the highest net benefits2 and 7,c7 are consistent with mitigation plans approved by the ,administrator4 ,,iii ,solvency #cja4 ,forbearance on ,,nfip interest payments 7a7 ,in general ,during the #e-year period beginning on the date of enactment of this ,act1 the ,secretary of the ,treasury may not charge the ,administrator interest on amounts borrowed by the ,administrator under section #acji7;a7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaf7;a77 that were outstanding as of that date of enactment4 7b7 ,use of saved amounts ,there shall be deposited into the ,national ,flood ,mitigation ,fund an amount equal to the interest that would have accrued on the borrowed amounts during the #e-year period described in subsection 7a71 which1 notwithstanding any provision of section #acfg of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajd;d71 the ,administrator shall use to carry out the program established under section #acff of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajd;c74 7c7 ,no retroactive accrual ,after the #e-year period described in subsection 7a71 the ,secretary of the ,treasury shall not require the ,administrator to repay any interest that1 but for that subsection1 would have accrued on the borrowed amounts described in that subsection during that #e-year period4 #cjb4 ,cap on ,write ,your ,own company compensation 7a7 ,in general ,section #acaa of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djah7 is amended-- 7#a7 by redesignating subsection 7b7 as subsection 7c72 and 7#b7 by inserting after subsection 7a7 the following3 7b7 ,limitation on compensation2 minimum agent commissions ,in negotiating with appropriate representatives of the insurance industry under subsection 7a71 the ,administrator shall ensure that-- 7#a7 any reimbursement paid to a property and casualty insurance company for selling1 writing1 and servicing flood insurance policies is not more than #bb4df percent of the aggregate amount of premiums charged by the insurance company2 and 7#b7 an insurance company pays a portion of the reimbursement described in paragraph 7#a7 to agents of the company as a commission1 in an amount that is not less than #ae percent of the aggregate amount of the premiums sold by the agent4 4 7b7 ,technical and conforming amendments ,section #acaa of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djah71 as amended by subsection 7a71 is amended-- 7#a7 in subsection 7a71 by striking ,the ,administrator and inserting ,in general4--,the ,administrator2 and 7#b7 in subsection 7c71 as so redesignated by subsection 7a7 of this section1 by striking ,for purposes of subsection 7a7 and inserting ,definitions4--,for purposes of this section4 #cjc4 ,taxpayer protection ,section #acfj7;g7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #daja7;g77 is amended-- 7#a7 in the first sentence1 by inserting 1 subject to the following sentence1 after at a reasonable cost2 and 7#b7 by inserting after the first sentence the following3 ,the ,administrator shall develop a fee schedule based on recovering the actual costs of providing flood insurance rate maps to such other persons1 and shall charge a fee based on the schedule to any private entity for the use of such a map44 #cjd4 ,vendor costs2 transparency 7a7 ,in general ,section #ajjbbd7;d7 of the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab 7#db ,u4,s4,c4 #djha note7 is amended-- 7#a7 by striking ,not later than #ab months after the date of enactment of this ,act1 the ,administrator and inserting the following3 7#a7 ,in general ,the ,administrator 2 and 7#b7 by adding at the end the following3 7#b7 ,vendor costs2 transparency ,in issuing the rule under paragraph 7#a71 the ,administrator shall-- 7,a7 develop a schedule to determine the actual costs of ,write ,your ,own vendors1 including claims adjusters and engineering companies2 7,b7 provide that if a ,write ,your ,own company requests reimbursement for the costs of a service or product provided to the company by a vendor1 the ,administrator only reimburses the company for the actual costs of the service or products2 and 7,c7 require that all reimbursements to ,write ,your ,own companies be made public1 including a description of the product or service provided to which the reimbursement pertains4 4 7b7 ,deadline for revised rule ,not later than #ij days after the date of enactment of this ,act1 the ,administrator shall issue a revised rule under section #ajjbbd7;d7 of the ,biggert-,waters ,flood ,insurance ,reform ,act of #bjab 7#db ,u4,s4,c4 #djha note71 as amended by subsection 7a74 #cje4 ,availability of ,,nfip claims data 7a7 ,study required 7#a7 ,in general ,the ,administrator shall study the feasibility of selling or licensing the use of historical structure-specific ,national ,flood ,insurance ,program claims data 7referred to in this section as covered claims data7 to nongovernmental entities4 7#b7 ,contents ,in conducting the study required under paragraph 7#a71 the ,administrator shall1 at a minimum-- 7,a7 investigate #a or more methods of providing the most specific covered claims data possible while reasonably protecting policyholder privacy2 7,b7 review existing means1 as of the date of enactment of this ,act1 by which the ,federal ,government and nongovernmental entities provide leases or licenses to private persons1 and the various regulations1 terms1 conditions1 and guidance employed2 7,c7 identify potential uses for covered claims data and any known risks concerning those uses1 including the risk that private insurance companies will use the data to issue flood insurance policies with respect to properties that have the lowest level of flood risk1 which would require the ,national ,flood ,insurance ,program to issue those policies with respect to properties with higher levels of flood risk2 7,d7 identify mechanisms for determining the likely market value for access to covered claims data2 7,e7 consider whether selling or licensing the use of covered claims data1 as described in paragraph 7#a71 would be in compliance with section #eeb;a of title #e1 ,united ,states ,code2 and 7,f7 recommend actions the ,administrator could take1 if any1 to prevent unintended consequences associated with the sale or licensing for private insurance purposes covered claims data4 7b7 ,report by ,administrator ,not later than #a year after the date of enactment of this ,act1 the ,administrator shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives a report that contains the results and conclusions of the study conducted under subsection 7a71 which shall include an analysis of any recommendations made by the study4 #cjf4 ,refusal of mitigation assistance ,section #acff of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #dajd;c7 is amended-- 7#a7 in subsection 7a71 in the matter preceding paragraph 7#a71 in the first sentence1 by inserting and1 with respect to financial assistance described in paragraph 7#b71 using amounts made available from the ,disaster ,relief ,fund in accordance with section #bjc7n7 of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eacc7n77 after section #acfg2 7#b7 by redesignating subsection 7h7 as subsection 7i72 and 7#c7 by inserting after subsection 7g7 the following3 7h7 ,refusal of assistance 7#a7 ,definition ,in this subsection1 the term bona fide offer of assistance means an offer of assistance made by the ,administrator to a policyholder under the national flood insurance program that-- 7,a7 relates to mitigation activities with respect to the structure insured under that program2 7,b7 covers #ajj percent of the cost of the mitigation activities described in subparagraph 7,a72 7,c7 permits the policyholder to continue to live in the structure to which the policy relates2 and 7,d7 is carried out under a mitigation plan4 7#b7 ,penalty ,if1 after the date of enactment of this subsection1 a policyholder under the national flood insurance program refuses a bona fide offer of assistance with respect to the property so insured1 the ,administrator shall1 notwithstanding any other provision of this title1 increase the chargeable risk premium rate for flood insurance under this title for the property by #be percent each year until-- 7,a7 the policyholder accepts the bona fide offer of assistance2 or 7,b7 that chargeable risk premium rate is actuarially sound4 4 ,,iv ,policyholder protection and fairness #dja4 ,earth movement fix and engineer standards 7a7 ,rebuttable presumption for foundation and structural damage 7#a7 ,in general ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai7 is amended by adding at the end the following3 7d7 ,rebuttable presumption for foundation and structural damage 7#a7 ,in general ,for the purposes of the ,administrator determining coverage under the standard flood insurance policy under the national flood insurance program1 a rebuttable presumption that physical damage to the foundation of1 or structural damage to1 a structure was not caused by earth movement shall apply if-- 7,a7 flood caused direct physical change to the structure2 and 7,b7 there is damage to the foundation of1 or structural damage to1 the structure that was not present before the flood1 as demonstrated by a certification from the policyholder4 7#b7 ,rebuttal ,in determining coverage as a result of the rebuttable presumption under paragraph 7#a71 an insurance company may rebut the presumption only by providing the ,administrator with an engineering report that-- 7,a7 meets standards issued by the ,administrator under paragraph 7#c72 and 7,b7 clearly demonstrates that the physical damage to the foundation of1 or structural damage to1 a structure described in paragraph 7#a7 was caused directly by earth movement that was not caused by-- 7i7 the horizontal pressure from standing or slow-moving floodwater 7commonly known as hydrostatic pressure72 7ii7 the force of floodwater that causes the vertical uplift from the underside of a horizontal foundation component1 such as a concrete slab1 footer1 or a structural floor assembly 7commonly known as buoyancy72 7iii7 pressure imposed on an object1 such as a wall of a building1 by high-velocity floodwater or waves flowing against and around the building 7commonly known as hydrodynamic force72 7iv7 floodwater moving along the surface of the ground causing soil to suddenly erode or undermine1 resulting in failure of a foundation or to one of the structural components of the foundation 7commonly known as scouring72 or 7v7 earth movement otherwise caused by flood4 7#c7 ,in general ,the ,administrator shall issue minimum standards-- 7,a7 regarding the form and content of engineering reports used to assist insurance claims adjusters with respect to carrying out this subsection2 and 7,b7 which shall-- 7i7 include a requirement that any such engineering report shall be signed and have a seal affixed by an engineer who is licensed in the ,state in which the property to which the claim relates is located2 and 7ii7 be consistent with generally accepted practices in-- 7,i7 the field of forensic engineering2 and 7,,ii7 the insurance industry4 7#d7 ,rule of construction ,nothing in this subsection may be construed to modify the terms and conditions of the standard flood insurance policy4 4 7#b7 ,application ,the amendments made by paragraph 7#a7 shall apply with respect to a claim with a date of loss that is on or after the date that is #ij days after the date of enactment of this ,act4 7b7 ,regulations ,not later than #ij days after the date of enactment of this ,act1 the ,administrator shall issue the standards required under subsection 7d77#c7 of section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as added by subsection 7a77#a74 #djb4 ,coverage of pre-,,firm condominium basements and study on street raising 7a7 ,basement clarification 7#a7 ,in general ,section #acje of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djab7 is amended by adding at the end the following3 7e7 ,availability of insurance for pre-,,firm condominium basements 7#a7 ,definition ,in this subsection1 the term pre-,,firm condominium building means a condominium building that was not constructed or substantially improved after the later of-- 7,a7 ,december #ca1 #aigd2 or 7,b7 the effective date of the initial flood insurance rate map published by the ,administrator under section #acfj for the area in which the building is located4 7#b7 ,coverage ,the ,administrator shall make flood insurance available to cover the basement of any pre-,,firm condominium building if that basement serves as a separate residential unit within that condominium building4 4 7#b7 ,amendments to regulations ,not later than #ahj days after the date of enactment of this ,act1 the ,administrator shall make any amendments to the regulations of the ,federal ,emergency ,management ,agency that are necessary as a result of the amendment made by paragraph 7#a74 7b7 ,study on consequences of street-,raising 7#a7 ,definition ,in this subsection1 the term affected property means a property containing an area-- 7,a7 the floor of which was located at or above grade before the community raised the street adjacent to the property2 and 7,b7 after the street-raising described in subparagraph 7,a71 that was designated as a basement because of the street-raising4 7#b7 ,study2 report ,not later than #a year after the date of enactment of this ,act1 the ,administrator shall study and submit to ,congress a report on the consequences of street-raising on flood insurance coverage for an affected property under the ,national ,flood ,insurance ,program1 including the cost implications for the property owner4 #djc4 ,guidance on remediation and policyholder duties 7a7 ,in general ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by section #dja7;a77#a71 is amended by adding at the end the following3 7e7 ,guidance on mold remediation 7#a7 ,in general ,the ,administrator shall issue guidance relating to the identification of reasonable actions that a policyholder of coverage for flood insurance made available under this title may take to inspect and maintain the property to which that coverage applies-- 7,a7 after a flood recedes2 and 7,b7 in order to avoid damage to the property that is caused by mold1 mildew1 moisture1 or water4 7#b7 ,considerations ,in developing guidance under paragraph 7#a71 the ,administrator shall consider-- 7,a7 any applicable laws and regulations2 7,b7 the terms and conditions of the standard flood insurance policy2 7,c7 technical best practices2 7,d7 the costs of remediation in relation to the condition of a property described in that paragraph2 and 7,e7 the actions that the ,administrator may reasonably expect a policyholder described in that paragraph to take1 given the likely challenges faced by the policyholder after a flood4 7#c7 ,regular review ,the ,administrator shall-- 7,a7 regularly review the guidance issued under paragraph 7#a72 and 7,b7 revise the guidance issued under paragraph 7#a7 as the ,administrator determines appropriate4 7#d7 ,annual distribution ,the ,administrator shall provide a copy of the guidance issued under paragraph 7#a7 to a policyholder at the time of the purchase or renewal of a flood insurance policy sold under this title4 4 7b7 ,initial issuance ,not later than #a year after the date of enactment of this ,act1 the ,administrator shall issue the guidance required under subsection 7e7 of section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as added by subsection 7a7 of this section4 7c7 ,accessibility1 reasonableness and degree of damage ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by subsection 7a71 is amended by adding at the end the following3 7f7 ,exclusion of certain damage ,for purposes of determining whether damage caused by mold1 mildew1 moisture1 or water to a property shall be excluded from coverage under the standard flood insurance policy-- 7#a7 subject to paragraph 7#b71 only the degree of damage caused by mold1 mildew1 moisture1 or water that could have been avoided through inspection and maintenance may be excluded from that coverage2 and 7#b7 the condition of the property to which the damage relates may not be considered to be attributable to the policyholder with respect to the property1 including any failure by the policyholder to inspect and maintain the property after a flood recedes1 if-- 7,a7 the policyholder was denied access to the property after the flood receded because of-- 7i7 a lawful government order2 7ii7 a determination by local authorities that the property-- 7,i7 is unsafe or unstable2 or 7,,ii7 shall be condemned2 or 7iii7 otherwise unsafe conditions2 7,b7 a reasonable individual exercising reasonable judgment could not be expected to inspect1 maintain1 or mitigate the damage to the property under the circumstances2 or 7,c7 the policyholder faced particular challenges1 including-- 7i7 practical or financial difficulty in inspecting or maintaining the property2 7ii7 the need to address other more immediate priorities1 including-- 7,i7 the health and well-being of the policyholder and the family of the policyholder2 7,,ii7 the preservation of basic items2 7,,iii7 displacement2 and 7,,iv7 other issues that make inspection and maintenance of the property a near-term challenge for the policyholder2 and 7iii7 the unavailability of contractors or other individuals to perform any required inspection and maintenance4 4 #djd4 ,appeal of decisions relating to flood insurance coverage 7a7 ,in general ,section #bje of the ,bunning-,bereuter-,blumenauer ,flood ,insurance ,reform ,act of #bjjd 7#db ,u4,s4,c4 #djaa note7 is amended-- 7#a7 in the matter preceding paragraph 7#a71 by striking ,not later and inserting the following3 7a7 ,in general ,not later 2 and 7#b7 by adding at the end the following3 7b7 ,deadline ,to file appeal ,the ,director shall establish a deadline for filing an appeal under this section that is not less than #a year after the date on which the decision being appealed was made4 7c7 ,notification upon initial denial of claim ,the ,director shall ensure that a claimant is provided with the rules1 forms1 and deadlines for an appeal under this section at the time a claim is first denied in full or in part1 including-- 7#a7 the effective date of the denial2 7#b7 a justification for the denial1 including supporting documentation2 7#c7 the date on which the period of limitation for instituting an action on the claim under section #accc or #acda of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djec and #djgb71 as applicable1 will end2 and 7#d7 a point of contact through which the claimant can directly discuss an appeal with a representative of the ,federal ,emergency ,management ,agency4 7d7 ,deadline ,to resolve appeal 7#a7 ,in general ,not later than #ij days after the date on which a policyholder has submitted all necessary information relating to an appeal under this section1 the ,director shall provide an appeal decision in writing to the policyholder and insurer1 including specific information for the resolution of the appeal4 7#b7 ,enforcement ,if the ,director does not comply with the deadline under paragraph 7#a7 with respect to an appeal1 and the policyholder that brought the appeal is ultimately successful1 the ,director shall pay to the policyholder interest on the claim that is the subject of the appeal1 which shall-- 7,a7 begin accruing on the date on which the policyholder files the appeal2 and 7,b7 be calculated using the rate of return on a #c-year ,treasury bill1 as in effect on the date described in subparagraph 7,a74 7#c7 ,notification upon denial of appeal ,if the ,director denies an appeal filed by a policyholder under this section1 the ,director shall include with the notice of denial-- 7,a7 an explanation of the legal options of the policyholder for further challenging the denial2 and 7,b7 the date on which the period of limitation for instituting an action on the claim under section #accc or #acda of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djec and #djgb71 as applicable1 will end4 7e7 ,optional arbitration 7#a7 ,in general ,not later than #ahj days after the date of enactment of this subsection1 the ,director shall1 by regulation1 establish a process through which a flood insurance policyholder1 instead of submitting an appeal under this section1 may request that the appeal be heard through independent1 binding arbitration4 7#b7 ,rule of construction ,nothing in paragraph 7#a7 may be construed to-- 7,a7 require a policyholder to submit to the arbitration described in that paragraph2 or 7,b7 prevent a policyholder from obtaining judicial review of the results of the arbitration described in that paragraph4 4 7b7 ,relation to regulations and other law ,nothing in the amendments made by subsection 7a7 may be construed to require the ,administrator to repeal the regulations promulgated under section #bje of the ,bunning-,bereuter-,blumenauer ,flood ,insurance ,reform ,act of #bjjd 7#db ,u4,s4,c4 #djaa note71 as in effect on the day before the date of enactment of this ,act1 or to promulgate new regulations1 except as necessary to implement those amendments4 #dje4 ,accountability for underpayments and overpayments by ,write ,your ,own companies ,section #acdh of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djhd7 is amended by adding at the end the following3 7c7 ,accountability for underpayments ,if the ,administrator determines through any audit that the pool or an insurance company or other private organization described in subsection 7a7 has not adjusted a claim in accordance with adjusting standards that are in effect as of the date on which the adjustment is performed and1 as a result of that failure1 has underpaid or overpaid a claim of a policyholder1 the penalty imposed by the ,administrator with respect to such a failure may not be less for an overpayment of a claim than for an underpayment of a claim4 7d7 ,,gao report ,not later than #b years after the date of enactment of this subsection1 and triennially thereafter1 the ,comptroller ,general of the ,united ,states shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives a report regarding any fines or other penalties imposed by the ,administrator under subsection 7c74 4 #djf4 ,policyholders' right to know 7a7 ,use ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by section #djc7;c71 is amended by adding at the end the following3 7g7 ,use of technical assistance reports ,when adjusting claims for any damage to or loss of property that is covered by flood insurance made available under this title1 the ,administrator may rely upon technical assistance reports1 as defined in section #acab;,a7a71 only if the reports are final and are prepared in compliance with applicable ,state and ,federal laws regarding professional licensure and conduct4 4 7b7 ,disclosure ,chapter ,i of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa et seq47 is amended by inserting after section #acab 7#db ,u4,s4,c4 #djai7 the following3 #acab;,a4 ,disclosure of claims documents and technical assistance reports 7a7 ,definitions ,in this section-- 7#a7 the term policyholder means any person listed as a named or additional insured on the declarations page of a policy for flood insurance coverage made available under this title2 and 7#b7 the term technical assistance report means a report created for the purpose of furnishing technical assistance to an insurance claims adjuster assigned under the national flood insurance program1 including any report created by an engineer1 a surveyor1 a salvor1 an architect1 or a certified public accountant4 7b7 ,provision of copies 7#a7 ,in general ,notwithstanding section #eeb;a of title #e1 ,united ,states ,code1 not later than #a week after the date on which the ,administrator receives a written request1 or a request submitted online1 from a policyholder1 and with respect to a claim for loss submitted by the policyholder for any damage to or loss of property that is covered by the policy1 the ,administrator shall provide a true1 complete1 and unredacted copy of-- 7,a7 all documents that constitute the claims file of the insurance company with respect to the claim2 7,b7 any document created by any adjuster in scoping the loss1 including measurements1 photographs1 and notes2 7,c7 any estimates of damages with respect to the claim2 7,d7 any draft and final technical assistance report relating to adjusting and paying or denying the claim2 7,e7 any proof of loss1 supplemental proofs of loss1 or any equivalent notices1 together with supporting documentation1 with respect to the claim2 and 7,f7 any document relating to the denial or partial denial of the claim4 7#b7 ,rule of construction ,nothing in paragraph 7#a7 may be construed to limit the right of a policyholder to receive a disclosure under section #eeb;a of title #e1 ,united ,states ,code1 or any other provision of law4 7c7 ,direct disclosure by ,write ,your ,own companies and direct servicing agents 7#a7 ,in general ,a ,write ,your ,own company or direct servicing agent in possession of any technical assistance report that is subject to disclosure under subsection 7b7 may disclose such technical assistance report without further review or approval by the ,administrator4 7#b7 ,affirmative notification ,a ,write ,your ,own company1 or any other entity servicing a claim under the national flood insurance program1 shall1 not later than #cj days after the date on which the company or entity receives notice of a claim1 notify the claimant that the claimant or an authorized representative of the claimant may obtain1 upon request1 a copy of any claim-related document described in subsection 7b77#a7 that pertains to the claimant4 4 7c7 ,transmission of report without approval 7#a7 ,definition ,in this subsection1 the term final engineering report means an engineering report1 survey1 or other document in connection with a claim for losses covered by a policy for flood insurance coverage made available under the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djja et seq47 that-- 7,a7 is based on an on-site inspection2 7,b7 contains final conclusions with respect to an engineering issue or issues involved in the claim2 and 7,c7 is signed by the responsible in charge or affixed with the seal of the responsible in charge1 or both4 7#b7 ,transmission ,a ,write ,your ,own company or a ,national ,flood ,insurance ,program direct servicer may1 without obtaining further review or approval by the ,administrator1 transmit to a policyholder a final engineering report in the possession of the ,write ,your ,own company or the direct servicer in connection with a claim submitted by the policyholder4 #djg4 ,increasing statute of limitations for lawsuits 7a7 ,government program with industry assistance ,section #acda of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djgb7 is amended to read as follows3 #acda4 ,adjustment and payment of claims and judicial review 7a7 ,adjustment and payment of claims ,if the program is carried out as provided in section #acdj1 the ,administrator may adjust and make payment of any claims for proved and approved losses covered by flood insurance made available under this title4 7b7 ,judicial review 7#a7 ,right of action ,upon the denial or partial denial by the ,administrator of a claim described in subsection 7a71 or upon the refusal of a policyholder to accept the amount allowed upon a claim described in that subsection1 the policyholder may institute an action against the ,administrator on the claim in the ,united ,states district court for the district in which the insured property or the major part thereof shall have been situated if filed not later than #b years after the date on which the policyholder receives notice of denial or partial denial of the claim4 7#b7 ,tolling ,in the case of a denial or partial denial of a claim for losses that is appealed under section #bje of the ,bunning-,bereuter-,blumenauer ,flood ,insurance ,reform ,act of #bjjd 7#db ,u4,s4,c4 #djaa note71 including through arbitration requested under subsection 7e7 of that section1 the limitation to institute an action under this subsection shall be tolled until the date on which the policyholder receives notice of a final determination of that appeal or arbitration denying the claim in whole or in part4 7#c7 ,jurisdiction ,a court described in paragraph 7#a7 shall have original exclusive jurisdiction to hear and determine an action under that paragraph without regard to the amount in controversy4 4 7b7 ,industry program with federal financial assistance ,section #accc of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djec7 is amended to read as follows3 #accc4 ,adjustment and payment of claims and judicial review 7a7 ,adjustment and payment of claims ,the insurance companies and other insurers that form1 associate1 or otherwise join together in the pool under this part may adjust and pay all claims for proved and approved losses covered by flood insurance in accordance with the provisions of this title4 7b7 ,judicial review 7#a7 ,right of action ,upon the denial or partial denial by any company or other insurer described in subsection 7a7 of a claim described in that subsection1 or upon the refusal of a policyholder to accept the amount allowed upon a claim described in that subsection1 the policyholder may institute an action on the claim against the company or other insurer1 as applicable1 in the ,united ,states district court for the district in which the insured property or the major part thereof shall have been situated not later than #b years after the date on which the policyholder receives notice of denial or partial denial of the claim4 7#b7 ,tolling ,in the case of a denial or partial denial of a claim for losses that is appealed under section #bje of the ,bunning-,bereuter-,blumenauer ,flood ,insurance ,reform ,act of #bjjd 7#db ,u4,s4,c4 #djaa note71 including through arbitration requested under subsection 7e7 of that section1 the limitation to institute an action under this subsection shall be tolled until the date on which the policyholder receives notice of a final determination of that appeal or arbitration denying the claim in whole or in part4 7#c7 ,jurisdiction ,a court described in paragraph 7#a7 shall have original exclusive jurisdiction to hear and determine an action under that paragraph without regard to the amount in controversy4 4 #djh4 ,authority to terminate contractors and vendors 7a7 ,in general ,part ,c of chapter ,,ii of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djha et seq47 is amended by adding at the end the following3 #acdi4 ,termination of contracts 7a7 ,definition ,in this section1 the term covered entity means any attorney1 law firm1 consultant1 or third-party company that provides services to a ,write ,your ,own company4 7b7 ,termination 7#a7 ,in general ,notwithstanding any other provision of law1 the ,administrator may direct a ,write ,your ,own company to terminate a contract or other agreement between a covered entity and the ,write ,your ,own company if the ,administrator-- 7,a7 determines that the covered entity has engaged in conduct that is detrimental to the national flood insurance program2 and 7,b7 not later than #ad days before directing the termination of the contract or other agreement1 provided notice to the covered entity and the ,write ,your ,own company with respect to the termination4 7#b7 ,appeal ,the ,administrator shall establish a process for a covered entity to appeal the termination of a contract or other agreement under paragraph 7#a74 7#c7 ,early termination payouts ,the ,administrator or a ,write ,your ,own company is not required to make any early termination payout to a covered entity with respect to a contract or agreement with the ,write ,your ,own company with respect to which the ,administrator directs termination under paragraph 7#a74 7#d7 ,contract terms ,the ,administrator shall require each ,write ,your ,own company to include a reference to the authority of the ,administrator under this section in any contract between a covered entity and the ,write ,your ,own company4 4 7b7 ,effective date2 applicability ,the amendment made by subsection 7a7 shall apply to any contract or other agreement between a covered entity1 as defined in section #acdi7;a7 of the ,national ,flood ,insurance ,act of #aifh1 as added by subsection 7a71 and a ,write ,your ,own company that is entered into on or after the date of enactment of this ,act4 #dji4 ,easing proof of loss requirements ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by section #djf7;a71 is amended by adding at the end the following3 7h7 ,proof of loss 7#a7 ,deadline for submission of supplemental proof of loss ,if a policyholder submits a proof of loss1 or an equivalent submission1 for a claim with respect to a policy for flood insurance coverage made available under this title by the deadline required under the standard flood insurance policy1 the ,administrator may not deny payment for any supplemental proof of loss submitted for flood damage sustained from the same flood event on the basis that the policyholder failed to include the flood damages on the initial proof of loss4 7#b7 ,effect of signature on proof of loss ,if a policyholder of a policy for flood insurance coverage made available under this title signs an initial or supplemental proof of loss described in paragraph 7#a71 that act of signing may not preclude the policyholder from making supplemental claims to1 or otherwise amending1 the initial proof of loss4 7i7 ,no condition of payment ,notwithstanding any other provision of law1 or any term or condition of a standard flood insurance policy1 the ,administrator may not condition payment of an undisputed claim based on the submission of a signed and sworn to proof of loss4 4 #daj4 ,deadline for claim processing 7a7 ,in general ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by section #dji1 is amended by adding at the end the following3 7j7 ,deadline for approval of claims 7#a7 ,in general ,the ,administrator shall provide that1 in the case of a claim for damage to or loss of property that is covered by a policy for flood insurance made available under this title-- 7,a7 except as provided in paragraph 7#b71 not later than #fj days after the date on which a proof of loss or comparable submission is provided to the ,administrator-- 7i7 an initial determination regarding approval of the claim for payment or disapproval of the claim shall be made2 and 7ii7 notification of the determination described in clause 7i7 shall be provided to the policyholder making the claim2 and 7,b7 payment of an approved claim shall be made as soon as possible after that approval4 7#b7 ,extension of deadline ,the ,administrator shall-- 7,a7 provide that the period described in paragraph 7#a77;,a7 may be extended by an additional period of #cj days under extraordinary circumstances2 and 7,b7 by regulation-- 7i7 establish criteria for-- 7,i7 demonstrating the extraordinary circumstances described in subparagraph 7,a72 and 7,,ii7 determining to which claims the extraordinary circumstances described in subparagraph 7,a7 apply2 and 7ii7 provide that1 if the deadline imposed under paragraph 7#a77;,a71 as extended under subparagraph 7,a71 if applicable1 is not satisfied1 the amount of the claim to which the deadline relates shall be increased with interest1 which shall begin accruing on the date on which the initial claim is filed4 4 7b7 ,applicability ,the amendment made by subsection 7a7 shall apply to any claim for damage to or loss of property that is covered by a policy for flood insurance made available under the ,national ,flood ,insurance ,program that is made after the date of enactment of this ,act4 #daa4 ,no manipulation of engineer reports ,section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as amended by section #daj7;a71 is amended by adding at the end the following3 7k7 ,final engineering reports 7#a7 ,definitions ,in this subsection-- 7,a7 the term covered claim means any claim for losses covered by a policy for flood insurance coverage made available under this title2 and 7,b7 the term final engineering report means an engineering report1 survey1 or other document in connection with a covered claim that-- 7i7 is based on an on-site inspection2 7ii7 contains final conclusions with respect to an engineering issue or issues involved in the claim2 and 7iii7 is signed by the responsible in charge or affixed with the seal of the responsible in charge1 or both4 7#b7 ,prohibition on manipulation and transmission to third parties ,the ,administrator shall require that1 in the case of any on-site inspection of a property by an engineer for the purpose of assessing any covered claim1 the final engineering report-- 7,a7 may not-- 7i7 include alterations by1 or at the request of1 anyone other than the person responsible for the report2 or 7ii7 be transmitted to any other person before the final engineering report is transmitted to the policyholder who submitted the covered claim2 and 7,b7 shall include a certification1 signed by the person responsible for the final engineering report1 that the final engineering report does not contain any alterations described in subparagraph 7,a74 4 #dab4 ,improved training of floodplain managers1 agents1 and adjusters 7a7 ,local floodplain managers ,each regional office of the ,federal ,emergency ,management ,agency shall-- 7#a7 provide training to local floodplain managers1 agents1 and claim adjusters in the region regarding the responsibilities and procedures of local floodplain managers with respect to conducting substantial damage and substantial improvement determinations2 7#b7 work with applicable ,state agencies to provide the training described in paragraph 7#a72 and 7#c7 verify that the individuals described in paragraph 7#a7 are completing the training described in that paragraph4 7b7 ,major disaster training ,after a flood that is declared a major disaster by the ,president under section #dja of the ,robert ,t4 ,stafford ,disaster ,relief and ,emergency ,assistance ,act 7#db ,u4,s4,c4 #eagj71 the ,administrator shall1 if determined appropriate1 provide-- 7#a7 refresher training to prepare insurance claims adjusters for the unique circumstances of the major disaster2 and 7#b7 any briefings that are necessary to prepare and inform floodplain managers1 agents1 and claim adjusters regarding any atypical circumstances and issues arising from the natural disaster4 #dac4 ,attorney fee shifting 7a7 ,administrative appeals ,subsection 7d7 of section #acab of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djai71 as added by section #dja7;a77#a71 is amended by adding at the end the following3 7#e7 ,awards for costs in administrative proceedings 7,a7 ,in general ,if the claimant prevails in any appeal to the ,administrator of the disallowance or partial disallowance of a claim for losses covered by flood insurance made available under this title1 the ,administrator shall award costs of the appeal1 including attorney fees1 any proceeding expenses1 and engineering and other expert expenses1 to the claimant4 7,b7 ,definition ,for purposes of this paragraph1 the term prevail means to be awarded a greater amount by the ,administrator than the amount of the last1 best offer from the ,administrator with respect to the claim of the claimant4 4 7b7 ,judicial review 7#a7 ,government program with industry assistance ,subsection 7b7 of section #acda of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djgb71 as added by section #djg7;a71 is amended by adding at the end the following3 7#d7 ,attorney fees and other litigation costs 7,a7 ,in general ,if the claimant prevails in an action under this subsection1 the court shall award reasonable costs of litigation1 including attorney fees1 litigation expenses1 and engineering and other expert expenses1 to the claimant4 7,b7 ,subrogation ,any award under subparagraph 7,a7 shall be paid by the ,administrator and1 upon such payment1 the ,administrator shall be subrogated to the rights of the claimant to recover such costs for which the ,administrator has compensated the claimant from any insurance company or other insurer or insurance adjustment organization that may be responsible for the disallowance or partial disallowance of the claim4 7,c7 ,definition ,for purposes of this paragraph1 the term prevail means to be awarded a greater amount by the court than the amount of the last1 best offer from the ,administrator with respect to the claim of the claimant4 4 7#b7 ,industry program with ,federal financial assistance ,subsection 7b7 of section #accc of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djec71 as amended by section #djg7;b71 is amended by adding at the end the following3 7#d7 ,attorney fees and other litigation costs 7,a7 ,in general ,if the claimant prevails in an action under this subsection1 the court shall award reasonable costs of litigation1 including attorney fees1 litigation expenses1 and engineering and other expert expenses1 to the claimant4 7,b7 ,subrogation ,any award under subparagraph 7,a7 shall be paid by the ,administrator and1 upon such payment1 the ,administrator shall be subrogated to the rights of the claimant to recover such costs for which the ,administrator has compensated the claimant from any company or other insurer responsible for the disallowance or partial disallowance of the claim4 7,c7 ,definition ,for purposes of this paragraph1 the term prevail means to be awarded a greater amount by the court than the amount of the last1 best offer from the insurer or ,administrator with respect to the claim of the claimant4 4 #dad4 ,,doj defense against policyholder lawsuits ,subsection 7b7 of section #acda of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djgb71 as amended by section #dac7;b77#a71 is amended by adding at the end the following3 7#e7 ,representation by ,department of ,justice ,if a claimant institutes an action under this subsection-- 7,a7 the ,administrator shall refer the matter to the ,attorney ,general2 and 7,b7 the ,attorney ,general-- 7i7 shall represent the ,administrator or the ,write ,your ,own company1 as applicable1 in the action2 and 7ii7 may not seek to have the court dismiss an action with potentially meritorious claims based on good faith errors or omissions by the claimant in the claimant's proof of loss4 4 #dae4 ,pilot program for pre-existing structural conditions 7a7 ,definitions ,in this section-- 7#a7 the term covered property means a property that is or may be covered by flood insurance under the ,national ,flood ,insurance ,program2 and 7#b7 the term covered policyholder means a policyholder or potential policyholder of flood insurance under the ,national ,flood ,insurance ,program for a covered property4 7b7 ,pilot program ,not later than #ahj days after the date of enactment of this ,act1 the ,administrator shall establish a pilot program under which ,write ,your ,own companies and ,national ,flood ,insurance ,program direct servicers shall1 at the request of a covered policyholder and before providing or renewing insurance coverage with respect to a covered property under the ,national ,flood ,insurance ,program1 investigate the pre-existing structural condition of the covered property for any issues that could result in the denial of a claim under the ,national ,flood ,insurance ,program for damage to or loss of the covered property4 #daf4 ,agent ,advisory ,council ,part ,c of chapter ,,ii of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djha et seq471 as amended by section #djh1 is amended by adding at the end the following3 #acej4 ,agent ,advisory ,council 7a7 ,establishment ,there is established a council to be known as the ,agent ,advisory ,council 7in this section referred to as the ,council74 7b7 ,membership 7#a7 ,members ,the ,council shall consist of-- 7,a7 the ,administrator1 or the designee of the ,administrator2 and 7,b7 #aj additional members appointed by the ,administrator or the designee of the ,administrator1 of whom-- 7i7 #a shall be a member of the ,national ,association of ,insurance ,commissioners2 7ii7 #b shall be members of the ,independent ,insurance ,agents and ,brokers of ,america2 7iii7 #a shall be a member of ,united ,policyholders2 7iv7 #a shall be a representative of the ,emergency ,management ,institute of the ,federal ,emergency ,management ,agency2 7v7 #a shall be a representative of the ,office of the ,flood ,insurance ,advocate of the ,federal ,emergency ,management ,agency2 7vi7 #b shall be members of the ,national ,association of ,professional ,insurance ,agents2 7vii7 #a shall be a representative of a recognized professional association or organization representing homebuilders or land developers2 and 7viii7 #a shall be a representative of a recognized professional association or organization representing the real estate industry4 7#b7 ,qualifications 7,a7 ,in general ,each member of the ,council shall have experience with-- 7i7 contacting policyholders under the national flood insurance program1 including with respect to applying for flood insurance and processing a claim for damage to or loss of property that is covered by flood insurance2 and 7ii7 riverine and coastal flood insurance policies4 7,b7 ,considerations ,the ,administrator shall1 to the maximum extent practicable1 ensure that the membership of the ,council has a balance of governmental and private members1 and includes geographic diversity4 7,c7 ,conflicts of interest ,a member of the ,council-- 7i7 may not1 while serving on the ,council1 be employed or retained-- 7,i7 by a ,federal ,emergency ,management ,agency contractor or consultant2 or 7,,ii7 by a nongovernmental entity that was awarded a ,federal grant during the #e-year period preceding the date on which the member was appointed to the ,council2 and 7ii7 may not have been employed by a ,federal ,emergency ,management ,agency contractor or consultant during the #e-year period preceding the date on which the member was appointed to the ,council4 7#c7 ,consultation ,in appointing a member of the ,council from an entity described in clauses 7i7 through 7viii7 of paragraph 7#a77;,b71 the ,administrator or the designee of the ,administrator1 as applicable1 shall consult with the entity4 7#d7 ,chairperson ,the members of the ,council shall elect #a member to serve as the chairperson of the ,council 7in this section referred to as the ,chairperson74 7c7 ,duties ,the ,council shall-- 7#a7 provide recommendations to the ,administrator on-- 7,a7 improving the customer experience for policyholders under the national flood insurance program2 7,b7 training insurance agents that issue flood insurance policies2 and 7,c7 improving the processing and handling of claims for damage to or loss of property that is covered by flood insurance2 and 7#b7 submit to the ,administrator an annual report that includes-- 7,a7 a description of the activities of the ,council2 and 7,b7 a summary of recommendations made by the ,council to the ,administrator4 7d7 ,compensation 7#a7 ,in general ,except as provided in paragraph 7#b71 a member of the ,council shall receive no additional compensation for serving on the ,council4 7#b7 ,travel expenses ,each member of the ,council may be allowed travel expenses1 including per diem in lieu of subsistence1 in accordance with sections #egjb and #egjc of title #e1 ,united ,states ,code1 while away from their homes or regular places of business in performance of services for the ,council4 7e7 ,meetings and actions 7#a7 ,meetings 7,a7 ,in general ,the ,council shall meet not less frequently than twice each year at the request of the ,chairperson or a majority of the members of the ,council4 7,b7 ,initial meeting ,the ,administrator1 or a designee of the ,administrator1 shall request and coordinate the initial meeting of the ,council4 7#b7 ,action by majority vote ,the ,council may take action by a vote of the majority of the members4 7f7 ,officers ,the ,chairperson may appoint officers to assist in carrying out the duties of the ,council under subsection 7c74 7g7 ,staff ,upon the request of the ,chairperson1 the ,administrator may detail1 on a nonreimbursable basis1 personnel of the ,office of the ,flood ,insurance ,advocate of the ,federal ,emergency ,management ,agency to assist the ,council in carrying out the duties of the ,council4 7h7 ,powers ,in carrying out this section1 the ,council may hold hearings1 receive evidence and assistance1 provide information1 and conduct research as the ,council considers appropriate4 7i7 ,report to ,congress and ,,omb ,the ,administrator shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate1 the ,committee on ,financial ,services of the ,house of ,representatives1 and the ,director of the ,office of ,management and ,budget an annual report on-- 7#a7 the recommendations made by the ,council2 and 7#b7 any recommendations made by the ,council during the year covered by the report that1 as of the date on which the report is submitted1 have been deferred or not acted upon1 together with an explanatory statement with respect to those recommendations4 7j7 ,applicability of the ,federal ,advisory ,committee ,act ,section #ad of the ,federal ,advisory ,committee ,act 7#e ,u4,s4,c4 ,app47 shall not apply to the ,council4 4 #dag4 ,disclosure of flood risk information upon transfer of property 7a7 ,in general ,chapter ,i of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djaa et seq471 as amended by section #bjg1 is amended by adding at the end the following3 #acbh4 ,disclosure of flood risk information upon transfer of property 7a7 ,in general ,after ,september #cj1 #bjbb1 no new flood insurance coverage may be provided under this title for any real property unless an appropriate public body has imposed1 by statute or regulation1 a duty on any seller or lessor of improved real estate to provide to any purchaser or lessee 7with respect to a lease for a term that is not shorter than #cj days7 of the property a property flood hazard disclosure that the ,administrator has determined meets the requirements of subsection 7b74 7b7 ,disclosure requirements 7#a7 ,requirements for sellers ,a property flood hazard disclosure for the sale of a property shall meet the requirements of this subsection only if the disclosure-- 7,a7 is made in writing2 7,b7 discloses any actual knowledge of the seller of any-- 7i7 prior physical damage caused by flood to a structure located on the property2 7ii7 prior insurance claim for a loss covered under the national flood insurance program or private flood insurance with respect to the property2 7iii7 previous notification regarding the designation of the property as a repetitive loss structure or severe repetitive loss structure 7as defined in section #acff7;h772 and 7iv7 ,federal legal obligation to obtain and maintain flood insurance running with the property2 and 7,c7 is delivered by1 or on behalf of1 the seller to the purchaser before the purchaser becomes obligated under any contract to purchase the property4 7#b7 ,requirements for lessors ,a property flood hazard disclosure for a rental property with a lease for a term that is not shorter than #cj days shall meet the requirements of this subsection only if the disclosure-- 7,a7 is made in writing2 7,b7 discloses any actual knowledge of the lessor-- 7i7 of any ,federal legal obligation to obtain and maintain flood insurance running with the property2 7ii7 regarding any prior physical damage caused by flood with respect to the unit being leased2 and 7iii7 of the availability of coverage under this title for contents located in a structure on the property2 and 7,c7 is delivered by1 or on behalf of1 the lessor to the lessee before the lessee becomes obligated under any contract to lease the property4 7#c7 ,rule of construction ,nothing in this section may be construed as preventing a ,state from adopting disclosure requirements in addition to the requirements of this section4 4 7b7 ,availability of flood insurance coverage ,section #acje7;c7 of the ,national ,flood ,insurance ,act of #aifh 7#db ,u4,s4,c4 #djab7;c77 is amended-- 7#a7 in paragraph 7#a71 by striking 1 and at the end and inserting a semicolon2 7#b7 in paragraph 7#b71 by striking the period at the end and inserting 2 and2 and 7#c7 by adding at the end the following3 7#c7 given satisfactory assurance that1 not later than ,october #a1 #bjbb1 property flood hazard disclosure requirements will have been adopted for the area 7or subdivision7 that meet the requirements of section #acbh4 4