Jones Continues Defense Of ENC Homeowners Against Rising Flood Insurance Costs

WASHINGTON, Sept. 27 -- Rep. Walter B. Jones, R-N.C. (3rd CD), issued the following news release:

Today, Congressman Walter B. Jones (NC-3) joined a bipartisan group of colleagues in requesting a delay in implementation of large flood insurance rate increases for homeowners in Eastern North Carolina. These increases are a result of changes to the National Flood Insurance Program (NFIP) that were enacted in last year's Biggert-Waters Flood Insurance Reform Act. In a letter to Speaker of the House John Boehner and Minority Leader Nancy Pelosi, the 73 members of Congress pointed out that language allowing the delay was already approved by the House in the Homeland Security Appropriations Act and should therefore be included in any legislation that is used to fund the government in Fiscal Year 2014.

"While necessary, reforms to the NFIP should not be implemented in a way that causes homeowners in Eastern North Carolina and across the country to face sudden, exorbitant rate increases," said Congressman Jones. "This delay will allow time for adjustments to be made to ensure that the program remains financially sustainable while allowing flood insurance rates to remain affordable."

The full text of the letter follows.

Dear Speaker Boehner and Minority Leader Pelosi: FEMA Administrator Craig Fugate recently stated that he needs the help of Congress to fix the affordability issues surrounding the National Flood Insurance Program. The U.S. House of Representatives already began to address this time sensitive matter with the passage of an amendment on June 5, 2013 to the FY14 Homeland Security Appropriations Act. This provision would shield certain flood insurance policyholders from excessive rate increases triggered by FEMA flood insurance rate map changes. The amendment received broad bi-partisan support with over 280 House members voting in favor of the provision. This is a positive step toward providing a comprehensive solution to the affordability challenges plaguing the National Flood Insurance Program. Despite the efforts of the House the U.S. Senate has, to date, failed to pass any measure shielding policyholders from catastrophic flood insurance rate increases. It is thus incumbent for the U.S. House of Representatives to once again lead and put forth a measure that will delay the implementation of steep rate increases. We urge on behalf of our constituents that the House-passed amendment included in the FY14 Homeland Security Appropriation Act, or a similar provision providing relief from the rapid and unanticipated flood insurance rate increases, be added to the forthcoming debt ceiling legislation in addition to any legislative vehicle used to complete the appropriations process for the 2014 fiscal year. The economic ramifications surrounding unaffordable flood insurance has the potential to devastate home values, small businesses, and entire communities across the country. Since the House took action in early June, FEMA has released its Specific Rate Guidelines, which confirmed our fears of sudden and steep rate increases. For example, a homeowner in Oregon has seen his annual rate go from $600 to over $10,000. Home builders in North Carolina are seeing their rates increase as much as 1,000%. A young family in Louisiana recently bought a new home and is now having to pay the full risk-rate of $10,000 a year, when the same property was previously assigned a $600 rate. In Mississippi, homeowners are facing foreclosures because of these rate increases despite following FEMA rules and building to code after Hurricane Katrina. In Florida, which has the highest number of flood insurance policies of any state, home sales in flood areas have virtually halted with some buyers receiving quoted policies ranging from $10,000 to $20,000 a year. These rates are not only affecting coastal communities, they are also impacting inland areas across the country, such as in North Dakota, Tennessee, Colorado, and other riverine regions in the United States. In many cases these exorbitant rate increases are affecting properties that have never flooded and that were built in accordance with all FEMA required elevations and applicable codes at the time of construction. These properties are now considered to be out of compliance due to new or proposed flood mapping by FEMA. Meanwhile, FEMA is years away from completing the affordability study mandated by the Biggert-Waters Flood Insurance Reform Act of 2012. In addition, FEMA has only begun to administer its revised Levee Analysis and Mapping Procedure (LAMP) designed to take into account levee and flood protection structures when assessing a community's true flood risk. Making matters worse, FEMA is charging homeowners full risk rates in New York and New Jersey that were devastated by Hurricane Sandy even before the homeowners had a chance to mitigate and elevate their homes. While we continue to work together toward a comprehensive legislative solution, it is imperative to secure temporary relief for the millions of homeowners and small businesses susceptible to steep rate increases across the country. We again urge that the House-passed amendment included in the FY14 Homeland Security Appropriation Act, or similar provision, be added to the forthcoming debt ceiling legislation in addition to any legislative vehicle used to complete the appropriations process for the 2014 fiscal year. Flood insurance accessibility and solvency must be balanced with consumer affordability. Thank you for your attention to this important matter. Sincerely,

Rep. Bill Cassidy (R-LA)

Rep. Steve Scalise (R-LA)

Rep. Steven Palazzo (R-MS)

Rep. Michael Grimm (R-NY)

Rep. Charles Boustany (R-LA)

Rep. Kathy Castor (D-FL)

Rep. Bill Young (R-FL)

Rep. Gregg Harper (R-MS)

Rep. Bill Keating (D-MA)

Rep. William Enyart (D-IL)

Rep. Gus Bilirakis (R-FL)

Rep. Alan Nunnelee (R-MS)

Rep. Vern Buchanan (R-FL)

Rep. Andy Harris (R-MD)

Rep. Richard Nugent (R-FL)

Rep. Walter Jones (R-NC)

Rep. Randy Weber (R-TX)

Rep. Bill Johnson (R-OH)

Rep. Peter King (R-NY)

Rep. John Fleming (R-LA)

Rep. John Tierney (D-MA)

Rep. Kevin Cramer (R-ND)

Rep. Bill Johnson (R-OH)

Rep. Jeff Miller (R-FL)

Rep. Ileana Ros-Lehtinen (R-FL)

Rep. Peter Welch (D-VT)

Rep. Gene Green (D-TX)

Rep. Howard Coble (R-NC)

Rep. Ed Whitfield (R-KY)

Rep. Frederica Wilson (D-FL)

Rep. Ander Crenshaw (R-FL)

Rep. Mike McIntyre (D-NC)

Rep. Rodney Alexander (R-LA)

Rep. Mark Amodei (R-NV)

Rep. Maxine Waters (D-CA)

Rep. Rick Crawford (R-AR)

Rep. Sheila Jackson Lee (D-TX)

Rep. Joe Garcia (D-FL)

Rep. Steve Stockman (R-TX)

Rep. Rodney Davis (R-IL)

Rep. Cedric Richmond (D-LA)

Rep. Stephen Lynch (D-MA)

Rep. Debbie Wasserman Schultz (D-FL)

Rep. Carolyn McCarthy (D-NY)

Rep. Kurt Schrader (D-OR)

Rep. Jim Langevin (D-RI)

Rep. Melvin L. Watt (D-NC)

Rep. Alan Grayson (D-FL)

Rep. Collin Peterson (D-MN)

Rep. Jan Schakowsky (D-IL)

Rep. Bobby Scott (D-VA)

Rep. Terri Sewell (D-AL)

Rep. Carol Shea-Porter (D-NH)

Rep. John B. Larson (D-CT)

Rep. Ed Perlmutter (D-CO)

Rep. Dennis Ross (R-FL)

Rep. Lois Frankel (D-FL)

Rep. Doris O. Matsui (D-CA)

Rep. Bill Posey (R-FL)

Rep. Corrine Brown (D-FL)

Rep. Patrick Murphy (D-FL)

Rep. Gregory W. Meeks (D-NY)

Rep. Carolyn Maloney (D-NY)

Rep. Richard Neal (D-MA)

Rep. Michael Capuano (D-MA)

Rep. Gwen Moore (D-WI)

Rep. Hakeem Jeffries (D-NY)

Rep. Ted Deutch (D-FL)

Rep. Mario Diaz-Balart (R-FL)

Rep. Steve Southerland (R-FL)

Rep. Jerry McNerney (D-CA)

Rep. John Garamendi (D-CA)

Rep. Robert Latta (R-OH)

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