[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8637 Introduced in House (IH)]

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118th CONGRESS
  2d Session
                                H. R. 8637

 To make protection against damage and loss resulting from the erosion 
   and undermining of shorelines available under the National Flood 
               Insurance Program, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 5, 2024

  Mr. Murphy (for himself, Ms. Pingree, Mr. Rouzer, Mr. Wittman, Mr. 
D'Esposito, Mr. Davis of North Carolina, and Mrs. Kiggans of Virginia) 
 introduced the following bill; which was referred to the Committee on 
                           Financial Services

_______________________________________________________________________

                                 A BILL


 
 To make protection against damage and loss resulting from the erosion 
   and undermining of shorelines available under the National Flood 
               Insurance Program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preventing Environmental Hazards Act 
of 2024''.

SEC. 2. FLOOD INSURANCE COVERAGE FOR STRUCTURES ON LAND SUBJECT TO 
              IMMINENT COLLAPSE OR SUBSIDENCE.

    (a) In General.--Section 1306 of the National Flood Insurance Act 
of 1968 (42 U.S.C. 4013) is amended by adding at the end the following 
new subsection:
    ``(e) Erosion Coverage.--
            ``(1) In general.--If any structure covered by a contract 
        for flood insurance under this title and located on land that 
        is along the shore of a lake or other body of water is 
        condemned or deemed unsafe for habitation by a State or local 
        authority due to imminent collapse or subsidence as a result of 
        shoreline erosion or determined by a State or local authority 
        to be situated partially or wholly over water, a shoreline 
        bluff, or escarpment, or below Mean Higher High Water on tidal 
        waterbodies (regardless of whether as a result of long-term, 
        chronic erosion or as a result of waves or currents of water 
        exceeding anticipated cyclical levels), the Administrator shall 
        (following final determination by the Administrator that the 
        claim is in compliance with regulations developed pursuant to 
        paragraph (7)(A)) pay amounts under such flood insurance 
        contract for proper demolition or relocation as follows:
                    ``(A) Demolition.--For proper demolition--
                            ``(i) following final determination by the 
                        Administrator, 40 percent of the value of the 
                        structure; and
                            ``(ii) following demolition of the 
                        structure (including any septic containment 
                        system) within 6 months of payment under clause 
                        (i) and prior to collapse, the remaining 60 
                        percent of the value of the structure or the 
                        actual cost of demolition, whichever amount is 
                        less.
                    ``(B) Relocation.--For proper relocation (including 
                removal of any septic containment system) if the owner 
                chooses to relocate the structure, following final 
                determination by the Administrator, prior to collapse, 
                up to 40 percent of the value of the structure; except 
                that the total payment under this subparagraph shall 
                not exceed the actual cost of relocation.
            ``(2) Collapse or subsidence.--If any structure subject to 
        a final determination under paragraph (1) collapses or 
        subsides, or a period of six or more months elapses, before the 
        owner demolishes or relocates the structure and the 
        Administrator determines that the owner has failed to take 
        reasonable and prudent action to demolish or relocate the 
        structure, the Administrator shall not pay more than the amount 
        provided in paragraph (1)(A)(i) with respect to the structure.
            ``(3) Value of structure.--For purposes of paying flood 
        insurance pursuant to this subsection, the value of a structure 
        shall be whichever of the following is lowest:
                    ``(A) The fair market value of a comparable 
                structure that is not subject to imminent collapse or 
                subsidence.
                    ``(B) The price paid for the structure and any 
                improvement to the structure, as adjusted for inflation 
                in accordance with an index determined by the 
                Administrator to be appropriate.
                    ``(C) The value of the structure under the flood 
                insurance contract issued pursuant to this title.
            ``(4) Coverage terms.--
                    ``(A) Maximum claim.--Notwithstanding any provision 
                of this subsection, the amount paid under a flood 
                insurance contract in connection with any claim under 
                this subsection may not exceed the lesser of--
                            ``(i) the amount of coverage under the 
                        flood insurance contract for the structure; or
                            ``(ii) $250,000.
                    ``(B) Exclusion of loss of contents.--Flood 
                insurance coverage under this subsection shall not 
                cover any loss of or damage to any contents of a 
                structure.
            ``(5) Applicability.--
                    ``(A) In general.--The provisions of this 
                subsection shall apply to contracts for flood insurance 
                under this title that are in effect on, or entered into 
                after, the date of the enactment of this subsection.
                    ``(B) Coverage on certification date.-- The 
                provisions of this subsection shall not apply to any 
                structure not subject to a contract for flood insurance 
                under this title on the date of a certification under 
                paragraph (1).
                    ``(C) Period of coverage.--The provisions of this 
                subsection shall not apply to any structure unless the 
                structure is covered by a contract for flood insurance 
                under this title--
                            ``(i) for a period of 12 months on or 
                        before the date of the enactment of this Act; 
                        or
                            ``(ii) for a continuous period of 4 years 
                        prior to certification under paragraph (1).
            ``(6) Termination of coverage.--For any structure that is 
        subject to a final determination under paragraph (1), no 
        subsequent flood insurance coverage under this title or 
        assistance under the Disaster Relief Act of 1974 (except 
        emergency assistance essential to save lives and protect 
        property, public health and safety) shall be available for the 
        same structure, or a different structure on any remaining 
        portions of the parcel of land originally afforded assistance 
        under this subsection.
            ``(7) Regulations.--
                    ``(A) In general.--The Administrator shall 
                promulgate regulations and guidelines to implement this 
                subsection.
                    ``(B) Applicability.--Prior to issuance of 
                regulations regarding the State and local 
                certifications pursuant to paragraph (1), all 
                provisions of this subsection shall apply to any 
                structure that--
                            ``(i) otherwise meets the requirements of 
                        this subsection; and
                            ``(ii) is imminently threatened by 
                        shoreline erosion, regardless of whether as a 
                        result of long-term, chronic erosion or as a 
                        result of waves or currents of water exceeding 
                        anticipated cyclical levels.''.
    (b) Effective Date.--The amendment made by this section shall 
become effective on the date of the enactment of this Act.
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