[Congressional Record Volume 158, Number 76 (Thursday, May 24, 2012)]
[Senate]
[Page S3611]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           EXTENSION OF THE NATIONAL FLOOD INSURANCE PROGRAM

  Mr. REID. Mr. President, as we have noted on the floor many times in 
the last few days, the Flood Insurance Program covers almost 6 million 
people. It was set to expire next week. If it were to expire, new 
housing construction would stall--in fact, it may come to a halt--real 
estate transactions would come to a screaming halt, and taxpayers would 
be on the hook for future disasters. We have no choice. We have to get 
this done.
  I appreciate the work of Chairman Johnson, Ranking Member Shelby, the 
chairman of the subcommittee, Senator Tester, and Ranking Member 
Vitter. I also appreciate the work that was put into this effort by 
Senator Coburn, who worked closely with Senator Schumer, and we were 
able to get this extension done. I am grateful for everyone's help. It 
was team work that got us where we are.
  Mr. President, I ask unanimous consent that the Senate proceed to 
Calendar No. 407, H.R. 5740, flood insurance extension; that a Johnson 
of South Dakota substitute amendment, which is at the desk, be agreed 
to; that the bill, as amended, be read a third time and passed; and 
that motions to reconsider be laid upon the table, with no intervening 
action or debate. And if anyone has anything to say about this, they 
can put it in the Record.
  The PRESIDING OFFICER. Is there objection?
  Without objection, it is so ordered.
  The amendment (No. 2154) was agreed to, as follows:

                (Purpose: In the nature of a substitute)

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. EXTENSION OF THE 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 
     ``the earlier of the date of the enactment into law of an Act 
     that specifically amends the date specified in this section 
     or May 31, 2012'' and inserting ``July 31, 2012''.
       (b) Financing.--Section 1309(a) of the National Flood 
     Insurance Act of 1968 (42 U.S.C. 4016(a)) is amended by 
     striking ``the earlier of the date of the enactment into law 
     of an Act that specifically amends the date specified in this 
     section or May 31, 2012'' and inserting ``July 31, 2012''.

     SEC. 2. EXCLUSION OF VACATION HOMES AND SECOND HOMES FROM 
                   RECEIVING SUBSIDIZED PREMIUM RATES.

       (a) In General.--Section 1307(a)(2) of the National Flood 
     Insurance Act of 1968 (42 U.S.C. 4014(a)(2)) is amended by 
     inserting before ``; and'' the following: ``, except that the 
     Administrator shall not estimate rates under this paragraph 
     for any residential property which is not the primary 
     residence of an individual''.
       (b) Phase-out of Subsidized Premium Rates.--Section 1308(e) 
     of the National Flood Insurance Act of 1968 (42 U.S.C. 
     4015(e)) is amended--
       (1) by striking ``under this title for any properties 
     within any single'' and inserting the following: ``under this 
     title for--
       ``(1) any properties within any single''; and
       (2) by striking the period at the end and inserting the 
     following: ``; and
       ``(2) any residential properties which are not the primary 
     residence of an individual, as described in section 
     1307(a)(2), shall be increased by 25 percent each year, until 
     the average risk premium rate for such properties is equal to 
     the average of the risk premium rates for properties 
     described under paragraph (1).''.
       (c) Effective Date.--The first increase in chargeable risk 
     premium rates for residential properties which are not the 
     primary residence of an individual under section 1308(e)(2) 
     of the National Flood Insurance Act of 1968, as added by this 
     Act, shall take effect on July 1, 2012, and the chargeable 
     risk premium rates for such properties shall be increased by 
     25 percent each year thereafter, as provided in such section 
     1308(e)(2).

     SEC. 3. COMPLIANCE WITH PAYGO.

       The budgetary effects of this Act, for the purpose of 
     complying with the Statutory Pay-As-You-Go Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     submitted for printing in the Congressional Record by the 
     Chairman of the Senate Budget Committee, provided that such 
     statement has been submitted prior to the vote on passage.
  The amendment was ordered to be engrossed and the bill to be read a 
third time.
  The bill (H.R. 5740), as amended, was read the third time was passed.

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