[Congressional Record Volume 154, Number 151 (Tuesday, September 23, 2008)]
[House]
[Pages H8705-H8706]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




  EXTENDING THE AUTHORIZATION OF THE NATIONAL FLOOD INSURANCE PROGRAM

  Mr. WATT. Mr. Speaker, I move to suspend the rules and pass the bill 
(H.R. 6965) to extend the authorization of the national flood insurance 
program, and for other purposes.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 6965

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

     SECTION 1. EXTENSION OF NATIONAL FLOOD INSURANCE PROGRAM.

       (a) Program Extension.--Section 1319 of the National Flood 
     Insurance Act of 1968 (42 U.S.C. 4026) is amended by striking 
     ``September 30, 2008'' and inserting ``April 30, 2009''.
       (b) Financing.--Section 1309(a) of such Act (42 U.S.C. 
     4016(a)) is amended by striking ``September 30, 2008'' and 
     inserting ``April 30, 2009''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
North Carolina (Mr. Watt) and the gentlewoman from West Virginia (Mrs. 
Capito) will each control 20 minutes.
  The Chair recognizes the gentleman from North Carolina.


                             General Leave

  Mr. WATT. Mr. Speaker, I ask unanimous consent that all Members have 
5 legislative days within which to revise and extend their remarks on 
this legislation and to insert extraneous material thereon.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from North Carolina?
  There was no objection.
  Mr. WATT. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. WATT asked and was given permission to revise and extend his 
remarks.)
  Mr. WATT. Mr. Speaker, this bill would extend the National Flood 
Insurance Program by 7 months. During the most recent hurricanes of 
last year, we found that the program had some substantial problems to 
it. The House has passed a bill, the Senate has passed a bill, and we 
have been unable to this point to reconcile the two bills.
  So the solution in the meantime is to extend the existing flood 
insurance program by 7 months. It is important to homeowners and 
businesses so they can have easy access to flood insurance.
  I reserve the balance of my time.
  Mrs. CAPITO. Mr. Speaker, I rise today in reluctant support really of 
H.R. 6965 to extend the authorization of the National Flood Insurance 
Program. I would prefer that this would be a debate on a consensus 
reform package that would put the National Flood Insurance Program on a 
more actuarially sound footing.
  Both the House and Senate have passed separate bills that include 
important and necessary reforms. However, there are significant 
differences between the two packages. And, unfortunately, we have been 
unable to reach a compromise on our differences.
  Although there are differences in the two approaches, there are some 
similarities. For instance, both measures would reauthorize the flood 
program for 5 years and include important reforms to phase out premium 
subsidies and require more realistic pricing that is actuarially sound 
and based on the actual risk of flooding. Both bills would also phase 
out rate subsidies for nonresidential properties and non-primary 
residences.
  One of the great challenges for this program is the debt, which 
presents an ongoing challenge and stands at $17.4 billion resulting 
from the 2005 hurricanes. Any flood program reform package has to 
address the NFIP's debt, the interest payments on that debt and the net 
impact that they have on the budget.
  We also have to face the reality of new claims in the pipeline to 
cover losses from Hurricanes Ike and Gustav, as well as the flooding in 
the Midwest earlier this summer.
  Both bills contain strong and prudent reforms designed to strengthen 
the flood program, phase out subsidies, and encourage a premium pricing 
structure that is based on the actual risk of property loss from 
flooding.
  The National Flood Insurance Program is currently set to expire on 
September 30. For this reason we are today considering a simple 7-month 
extension designed to keep the flood insurance program up and running 
past the September 30 deadline. Allowing the flood insurance program to 
expire could cause serious disruptions to the mortgage market and we 
could not afford to let that happen, especially in light of our current 
financial instabilities. A 7-month extension would allow Congress time 
to complete their work on a comprehensive reform package.
  I want my colleagues in the House to know that the Republican members 
on the Financial Services Committee remain committed to enacting 
comprehensive reforms that not only modernize the National Flood 
Insurance Program so that homeowners will continue to have access to 
flood insurance, but also to protect the American taxpayer at the same 
time. I urge passage of this bill.
  I reserve the balance of my time, although I have no further 
speakers.
  Mr. WATT. I thank the gentlewoman for her excellent presentation on 
this. If she is prepared to yield back, I am also prepared to yield 
back.
  Mrs. CAPITO. I yield back the balance of my time.
  Mr. WATT. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from North Carolina (Mr. Watt) that the House suspend the 
rules and pass the bill, H.R. 6965.
  The question was taken; and (two-thirds being in the affirmative) the

[[Page H8706]]

rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

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