Big Win: 5-Year Flood Insurance Reauthorization
After years of effort by REALTORS® to secure long-term reauthorization of the National Flood Insurance Program (NFIP), the House and Senate on Friday, June 29, passed the Biggert-Waters Flood Insurance Reform Act of 2012 as a part of H.R. 4348, the Surface Transportation Conference Report. The President is expected to sign the measure this week. This is the culmination of a multiyear campaign by REALTORS® involving five calls for Action since 2008 and a final push at NAR’s Midyear Legislative Meetings & Trade Expo in May, which included the Rally to Protect the American Dream on the National Mall in Washington. Congress had been extending the flood insurance program a few months at a time since 2008. Twice this led to shut downs, including one that stalled more than 40,000 home sales in June 2010 alone. Passage of this 5-year reauthorization will bring certainty to real estate transactions in more than 21,000 communities nationwide where flood insurance is required for a mortgage. The bill ensures the program will continue long-term for the more than 5.6 million businesses and homeowners that rely on it, and it achieves one of NAR’s top legislative priorities for the year. It also means taxpayers will spend less on federal assistance for flood disasters over the long run. NAR will continue to monitor the legislation as it is implemented. More about NFIP.