Flood insurance tax increase could be delayed
This week, the Senate cleared for floor action legislation that could delay implementation of most flood insurance premium rate hikes for customers of the National Flood Insurance Program imposed by a 2012 bill for up to four years.
The Senate brought the bill to the floor through rarely used emergency procedures by an overwhelming 86-13 vote.
Hoquiam Mayor Jack Durney said, “This is huge!! Patty Murray and Derek Kilmer are on board to help us and understand the problem. Obama administration is in opposition.”
PropertyCasualty360.com said that an industry lobbyist cautioned that “this was a very strong vote” to clear the bill for floor action under accelerated procedures that required the support of every member of the Senate. “It would seem certain that they have the votes to go all the way with this one,” the lobbyist said.
Given the strong vote on the motion to proceed, opponents of the legislation said they hope the House will significantly modify the legislation so that it imposes caps on annual increases.
The bill would prevent flood insurance rate increases until the Federal Emergency Management Agency’s mapping methods are certified as technically sound and an affordability study is completed. The bill would keep in place phase-out of subsidized flood insurance premiums for vacation homes and homes that have a history of repeated flooding.