Flood Insurance Reform Bill would be Extend Program to 2015
WASHINGTON – July 16, 2010 – The U.S. House today approved a flood insurance reform bill yesterday that would reauthorize the National Flood Insurance Program (NFIP) for five years to Sept. 30, 2015, a provision strongly supported by the National Association of Realtors® (NAR).
The bill now heads to the Senate, however, where its prospects of passage are not clear. To become law, the bill needs approval by both the House and Senate followed by the president’s signature.
Passage of H.R. 5114, the Flood Insurance Reform Priorities Act, would strengthen the NFIP and bring certainty to many real estate markets, NAR said, and commended Rep. Maxine Waters (D-Calif.) for marshalling the bill through House passage.
“This longer-term reauthorization of the NFIP is critical to millions of taxpaying American families who rely on the program for flood insurance, which is required to obtain a mortgage in nearly 20,000 communities across the nation,” says Vicki Cox Golder, NAR president. “This would restore flagging confidence in a vital program by ensuring its continuation for several years without further disruption to real estate markets upon which our nation’s economic recovery depends.”
NFIP has been allowed to expire twice in the past two years and Congress approved eight short-term extensions, resulting in multi-week delays or cancellation of thousands of real estate transactions. Such stop-gap measures have caused many hardships and lost sales for property buyers, sellers and their communities, Golder says.
© 2010 Florida Realtors®