Sponsors (3)
Introduced September 18, 2025 by Frank Pallone · Last progress September 18, 2025
The bill preserves and expands federal flood insurance and invests heavily in mitigation and data to reduce risks and inform decisions, but it does so at significant taxpayer cost while creating privacy, eligibility, and compliance trade‑offs that may raise premiums or exclude some vulnerable homeowners.
Homeowners, renters, and NFIP policyholders keep access to federally backed flood insurance through Sept 30, 2030 and receive short‑term affordability protections (caps on annual premium increases at 9% for five years) plus a means‑tested discount program for low‑ and moderate‑income policyholders.
Homeowners, communities, and small jurisdictions get materially expanded mitigation funding and financing tools — including up to $1 billion/year for a National Flood Mitigation Fund (5 years), a DRF set‑aside, up to $120,000 Increased Cost of Compliance coverage, pilot low‑interest loans, and regional coordinators — to pay for elevation, buyouts, and other risk‑reduction work.
Property owners, buyers, renters, lenders, and communities gain much better flood‑risk information and mapping (LiDAR, building‑level elevation/footprint data, public premium estimates and tools), improving planning, purchase/lending decisions, and mitigation targeting.
American taxpayers face substantial new federal spending commitments (multiple billions for mitigation funds, capitalization grants, mapping, and means‑tested assistance), increasing federal outlays and potential pressure on the budget.
Affordability can worsen for some households over time because the temporary 9% cap delays risk‑reflective pricing and other provisions increase transparency of full‑risk rates, meaning premiums could rise later or immediately for some high‑risk owners.
Expanded data collection and centralized building‑level databases, plus studying/selling structure‑level claims data, raise privacy, security, and data‑sharing risks for property owners if protections or controls fail.
Based on analysis of 17 sections of legislative text.
Reauthorizes NFIP to Sept 30, 2030; limits many annual premium increases, expands mitigation funding and mapping, reforms WYO reimbursements and claims processes, and funds digital building-level risk data.
Reauthorizes and reforms the National Flood Insurance Program (NFIP) through September 30, 2030 and makes wide-ranging changes to how flood risk is mapped, how mitigation is funded, how premiums change, and how claims are handled. It caps many annual premium increases, creates new mitigation funding and mapping programs (including a building-level digital risk database), changes insurer reimbursement and vendor transparency rules, and adds consumer protections for claims and certain structural damage disputes. The bill funds and prioritizes mitigation projects (including a set‑aside from Disaster Relief Fund appropriations), requires modernization of flood maps and data collection, changes administration of Write Your Own insurer payments and agent commissions, and provides temporary interest forbearance on NFIP borrowings to support mitigation financing.