Senators want to remove provision that requires flood insurance in some areas

Cochran and Pryor are asking their colleagues to sign a bipartisan letter to the Senate Banking Committee asking for reconsideration of section of the National Flood Insurance Program Reauthorization bill that would expand required insurance coverage to “areas of residual risk” that are located behind levees, near dams or other flood control structures. 

They contend that the provision would “unjustifiably and inequitably impose financial and economic development hardships in protected areas that have only a 1 in 500 chance of flooding in a given year based on actuarial analysis.”

“In addition to expensive out-of-pocket insurance costs, this requirement will scare off new economic development opportunities,” Pryor said. “I am hopeful my colleagues will take a fresh look at this requirement and decide not put this enormous burden on our communities.”

The bill would require certain homeowners and businesses to purchase government-subsidized flood insurance policies. The bill also gives the administrator of the Federal Emergency Management Agency the discretion to impose the requirement and any land-use restrictions, they said.