[Congressional Record Volume 143, Number 134 (Wednesday, October 1, 1997)]
[Senate]
[Pages S10305-S10306]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          NATIONAL FLOOD INSURANCE REAUTHORIZATION ACT OF 1997

  Ms. COLLINS. Mr. President, I now ask unanimous consent that the 
Banking Committee be discharged from further consideration of S. 1179, 
and further that the Senate proceed to its immediate consideration.
  The PRESIDING OFFICER. Without objection, it is so ordered. The clerk 
will report.
  The bill clerk read as follows:

       A bill (S. 1179) to amend the National Flood Insurance Act 
     of 1968 to reauthorize the National Flood Insurance Program.

  The Senate proceeded to consider the bill.
  Mr. D'AMATO. Mr. President, I rise today to support the passage of 
the National Flood Insurance Reauthorization Act of 1997 (S. 1179). 
This legislation, which I introduced on September 16, 1997, provides 
for a simple and straightforward 5-year extension of the National Flood 
Insurance Program [NFIP] until September 30, 2002. This legislation 
will place this important program on a steady and secure foundation so 
that it continues to provide protection to flood insurance 
policyholders and the Federal taxpayers. I thank my friend and 
colleague Senator Paul Sarbanes for cosponsoring this measure.
  The National Flood Insurance Program, which is administered by the 
Federal Emergency Management Agency [FEMA], enables over 3.7 million 
American families to insure their homes and possessions. In my home 
State of New York, 85,000 families participate in the NFIP. The NFIP 
allows these families, on Long Island and along the Great Lakes and the 
State's many rivers, to purchase insurance coverage to protect their 
homes in the event of a catastrophic flood.
  The NFIP employs a comprehensive approach to alleviating the risks 
posed by catastrophic floods. Floodplain communities participate in 
FEMA's community rating system and are offered incentives to adopt and 
enforce

[[Page S10306]]

measures to reduce the risk of flood damage and improve flood 
prevention building criteria. To avoid the danger of repetitive losses, 
the program provides stringent building standards designed to reduce 
the risk of future damage. These flood protection standards must be met 
before any structure which suffers substantial damage may be rebuilt. 
In addition, persons who receive disaster assistance and fail to 
subsequently purchase flood insurance are barred from receiving future 
assistance.
  Mr. President, the NFIP plays a critical role in reducing the costs 
of Federal disaster relief. Current NFIP policyholders pay 
approximately $1.3 billion annually into the NFIP fund. Without this 
premium income, the Federal Government would likely pay spiraling costs 
in disaster relief. The NFIP has the added benefits of improving State 
and community planning and Federal support for locally driven disaster 
prevention and mitigation activities.
  Reauthorizing the NFIP is an important step forward in reaffirming 
the commitment of the Federal Government to help American families 
protect their homes and to protect the Federal taxpayer from the risks 
of catastrophic floods. Clearly, we must do more. Lenders and private 
insurers who participate in the NFIP must do more to ensure compliance. 
States and local communities must improve their disaster planning, 
prevention, and response activities. FEMA must redouble its efforts to 
increase participation in the program to improve the safety and 
soundness of the NFIP fund. Also, the Federal Government must do more 
to prevent and mitigate against the losses which will inevitably occur 
from future floods.
  Mr. President, I note that this bill has the full support of the 
administration. I wish to thank the members of the Banking Committee 
for their bipartisan support of this important measure and I urge our 
colleagues in the House to support its swift enactment.
  Ms. COLLINS. Mr. President, I ask unanimous consent that the bill be 
deemed read a third time and passed, the motion to reconsider be laid 
upon the table, and that any statements relating to the bill appear at 
the appropriate place in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 1179) was deemed read the third time and passed, as 
follows:

                                S. 1179

       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 ``National Flood Insurance 
     Reauthorization Act of 1997''.

     SEC. 2. EXTENSION OF NATIONAL FLOOD INSURANCE PROGRAM.

       Section 1319 of the National Flood Insurance Act of 1968 
     (42 U.S.C. 4026) is amended by striking ``September 30, 
     1997'' and inserting ``September 30, 2002''.

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