[Federal Register Volume 66, Number 228 (Tuesday, November 27, 2001)]
[Rules and Regulations]
[Pages 59166-59171]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-29474]


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FEDERAL EMERGENCY MANAGEMENT AGENCY

44 CFR Parts 59 and 64

RIN 3067-AD18


Changes to General Provisions and Communities Eligible for the 
Sale of Insurance Required To Include Future-Conditions Flood Hazard 
Information on Flood Maps

AGENCY: Federal Emergency Management Agency (FEMA).

ACTION: Final rule.

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SUMMARY: This Final Rule revises the National Flood Insurance Program 
(NFIP) regulations to include definitions for future-conditions 
hydrology and for the floodplains that may be shown on Flood Insurance 
Rate Maps (FIRMs), for informational purposes at the request of the 
community, to reflect future-conditions hydrology; and establish the 
zone symbol to be used to identify future-conditions flood hazard areas 
on FIRMs.

DATES: This Final Rule is effective December 27, 2001.

FOR FURTHER INFORMATION CONTACT: Matthew B. Miller, P.E., Chief, 
Hazards Study Branch, Hazard Mapping Division, Federal Insurance and 
Mitigation Administration, FEMA, Washington, DC 20472, (202) 646-3461.

SUPPLEMENTARY INFORMATION:

Background

    It was the expressed intent of the U.S. Congress, in enacting the 
Housing and Urban Development Act of 1968 (commonly referred to as the 
National Flood Insurance Act of 1968), to ``encourage State and local 
governments to make appropriate land use adjustments to constrict the 
development of land which is exposed to flood damage and minimize 
damage caused by flood losses, and guide the development of proposed 
future construction, where practicable, away from locations which are 
threatened by flood hazards * * * '' 42 U.S.C. 4001(e). The revisions 
to the NFIP regulations documented in this Final Rule are a result of 
the continuing reappraisal of the NFIP for the purpose of encouraging 
sound floodplain management to reflect that intent.
    Historically, flood hazard information presented on NFIP flood maps 
has been based on the existing conditions of the floodplain and 
watershed. When the mapping of flood hazards was initiated under the 
NFIP, the intent was to reassess each community's flood hazards 
periodically and, if needed, revise the flood map for that community. 
Flood hazards may change significantly in areas experiencing urban 
growth. The FEMA document entitled Flood Insurance Study Guidelines and 
Specifications for Study Contractors (FEMA 37, January 1995) specifies 
that flood hazard determinations should be based on conditions that are 
planned to exist in the community within 12 months following completion 
of the draft Flood Insurance Study (FIS). Examples of future conditions 
to be considered in the context of FEMA 37 are public works projects in 
progress, including channel modifications, hydraulic control 
structures, storm-drainage systems, and various other flood protection 
projects. These are projects that will be completed in the near future 
for which completion can be predicted with a reasonable degree of 
certainty and their completion can be confirmed prior to the new or 
revised flood map becoming effective. By contrast, future land-use 
development, such as urban growth, is uncertain and difficult to 
predict, and has not been considered in the context of the FEMA 
guidelines.
    Communities experiencing urban growth and other changes have 
expressed a desire to use future-conditions hydrology in regulating 
watershed development. While some communities do regulate based on 
future development, others are hesitant to enforce more restrictive 
standards without Federal support.
    From a floodplain management standpoint, future-conditions 
floodplains can be used, and are being used, by communities to enforce 
more stringent floodplain management policies than those required by 
FEMA. By displaying future-conditions floodplains on the FIRM, the 
community and FEMA are alerting the public that flood hazards may 
increase in the future due to urban development. Many progressive 
communities throughout the United States develop future-conditions 
hydrology and create their own maps to regulate floodplain development. 
This has resulted in two sets of maps being produced for a community: 
future-conditions maps for local floodplain management and existing-
conditions FIRMs for flood insurance determinations. As a result, these 
progressive communities have not had a sense of ownership for the 
FIRMs, and their resources have been directed toward maintaining their 
own future-conditions maps.

Recent Evaluation and Conclusions

    To assist officials in such progressive communities, FEMA undertook 
an evaluation to determine whether future-conditions flood hazard 
information could and should be placed on FIRMs and in the accompanying 
FIS reports. The results of that extensive evaluation are documented in 
a FEMA report entitled ``Modernizing FEMA's Flood Hazard Mapping 
Program: Recommendations for Using Future Conditions Hydrology for the 
National Flood Insurance Program'' (see www.fema.gov/mit/tsd/FT_hydro.htm). The specific conclusions reached in the report are as 
follows:
     The local community should determine the future-conditions 
land-use and hydrology.
     If the community chooses to adopt a regulatory floodway 
based on future-conditions hydrology, the use of this floodway should 
be supported by local ordinances.
     If the community requests that FEMA do so, the future-
conditions 1-percent-annual-chance (100-year) floodplain should be 
shown on the printed FIRM and be designated as Zone X with no base (1-
percent-annual-chance) flood elevations (BFEs) shown.
     When possible, three floodplains should be shown on the 
FIRM: existing-conditions 1-percent-annual-chance (100-year) 
floodplain, existing-conditions 0.2-percent-annual-chance (500-year) 
floodplain, and future-conditions 1-percent-annual-chance (100-year) 
floodplain. However, when the future-conditions 1-percent-annual-chance 
(100-year) floodplain and the existing-conditions
     0.2-percent-annual-chance (500-year) floodplain are so 
close together as to be confusing if both are shown on the printed 
FIRM, the future-conditions 1-percent-annual-chance (100-year) 
floodplain should be shown in lieu of the existing-conditions 0.2-
percent-annual-chance (500-year) floodplain. When this occurs, 
appropriate reference should be made to the existing-conditions 0.2-
percent-annual-chance

[[Page 59167]]

(500-year) floodplain information being shown in the FIS report. For a 
Digital Flood Insurance Rate Map (DFIRM), appropriate reference also 
should be made to the existing-conditions 0.2-percent-annual-chance 
(500-year) floodplain information being included in an associated 
database.
     BFEs should be shown on the FIRM only for the existing-
conditions 1-percent-annual-chance (100-year) floodplain. The future-
conditions BFEs should be included in the FIS report (on the Flood 
Profiles and in the Floodway Data Table), thus providing necessary 
information to the community to meet their local floodplain management 
needs. The existing-conditions 0.2-percent-annual-chance (500-year) 
flood elevations also should be shown on the Flood Profiles in the FIS 
report to meet the requirements of Executive Order No. 11988 and to 
provide Federal agencies with information to evaluate the potential 
effects of any actions they may take in a floodplain.
     The community may choose to show the existing-conditions 
0.2-percent-annual-chance (500-year) floodplain on the FIRM and to 
include the future-conditions.
     1-percent-annual-chance (100-year) flood elevations only 
on the Flood Profiles in the FIS report. Various other combinations to 
display the flood hazard data also are possible. FEMA and the community 
should work together to produce the most useful FIRM and FIS report for 
the community.
     From a floodplain management standpoint, FEMA should 
continue to require regulation of floodplain development based on the 
existing-conditions data, while local floodplain managers can regulate 
development based on the future-conditions data.
     From a flood insurance standpoint, FEMA must continue to 
require flood insurance for structures shown in the existing-conditions 
1-percent-annual-chance (100-year) floodplain, or Special Flood Hazard 
Area (SFHA). Showing the future-conditions floodplain as Zone X should 
avoid any confusion regarding the mandatory flood insurance 
requirement. It also will allow insurance policies to be purchased at a 
reduced rate, as insurance is currently available for structures in the 
existing-conditions 0.2-percent-annual-chance (500-year) floodplain.
    As recommended in the previously referenced FEMA report, FEMA 
intends to show future-conditions flood hazard information on FIRMs and 
in collateral FIS reports. This information will be for informational 
purposes only. No change will be made in the use of existing-conditions 
data for establishing risk premium rates. Through community 
participation in the Community Rating System, however, reduced risk 
premium rates will be available as they are for those communities that 
enforce more stringent regulatory standards than required by the NFIP.

Synergy With Other FEMA Programs

    The inclusion of future-conditions data on FIRMs and related 
products for communities that request that such data be included is 
part of a larger FEMA plan to modernize the Flood Hazard Mapping 
Program and thereby reduce the burden on taxpayers for disaster relief 
and improve flood hazard mitigation. FEMA plans to facilitate ownership 
of the flood maps by State and local entities through greatly increased 
involvement in the flood mapping process through cooperative 
agreements. FEMA will provide flood mapping funds, technical 
assistance, and mentoring to partners--termed ``Cooperating Technical 
Partners''--and those partners will then develop and maintain the flood 
maps or components thereof. The proposed cooperative agreements 
recognize that hazard identification and mapping must go hand-in-hand 
with the responsibility of managing floodplains locally. By creating a 
strong local program that maintains the connection between mapping and 
managing flood hazard areas, the NFIP also is strengthened in its 
ability to reduce the loss of property and life.
    FEMA recognition of future-conditions data will be a key factor in 
the State and local communities assuming increased ownership in the 
process. By mapping locally pertinent information, local ownership of 
the flood maps will increase. Because flood conditions and hazards vary 
locally and regionally, inclusion of those unique local conditions on 
the flood maps may be warranted. For example, a community may find it 
useful to identify areas on the FIRM with floodplains based on 
developed/future hydrologic conditions in addition to the standard 
features already depicted. In effect, FEMA will maintain national 
standards while at the same time providing a useful tool to the 
community. Because the public and the development community will be 
more aware of future flood hazard conditions, communities will now be 
more able to implement proactive mitigation measures to address these 
potential hazards.
    In sum, the use of future-conditions hydrology is consistent with 
modernizing the FEMA Flood Hazard Mapping Program; with promoting 
better proactive mitigation measures; and with FEMA's desire to be 
flexible with, and supportive of, those progressive communities that 
would like to implement stricter land-use regulations.

Planned Implementation

    The FEMA plans for implementing the presentation of future-
conditions flood hazard information on NFIP flood maps are summarized 
below.
    Map Specifications. The new DFIRM product specifications that are 
being developed by FEMA will include options that can be invoked 
depending on the available flood hazard data. This new DFIRM product 
will include certain basic features and meet certain minimum mapping 
requirements. Additional options will be included to meet community 
needs, provided that sufficient funding is available. A review of needs 
and available data will lead to an estimate of the time and costs and a 
recommendation on which options to exercise for the final DFIRM 
product. Procedures for displaying future-conditions floodplains on the 
new DFIRM will be included in the new FEMA mapping specifications.
    Cooperating Technical Partners Activities. As a part of the mapping 
activities undertaken by communities participating in the Cooperating 
Technical Partners initiative, an option could be for communities to 
show the future-conditions 1-percent-annual-chance (100-year) 
floodplain on the FIRM in addition to the existing-conditions 1-
percent-annual-chance (100-year) floodplain. The communities would 
develop and map existing and future conditions and provide the new 
floodplain mapping and supporting data to FEMA; in turn, the 
communities would receive a FIRM that shows both floodplain and is thus 
a more useful tool for risk assessment and flood hazard mitigation.
    Revisions. Because mapping of the future-conditions 1-percent-
annual-chance (100-year) floodplains would be implemented on a 
community level, the flood maps will maintain consistency within 
community boundaries, regardless of how many map panels the community 
encompasses. When FEMA receives future-conditions data from 
communities, FEMA could incorporate the data easily at the time of the 
conversion to the DFIRM product. Alternatively, communities that 
require flood hazard updates can submit future-conditions data to be 
incorporated with the existing-conditions data updates for the DFIRM 
conversion. Displaying future-conditions data will increase community 
involvement in the NFIP

[[Page 59168]]

and help FEMA build stronger partnerships with communities. If these 
communities are involved at the beginning of the digital conversion 
process, they will have a stronger sense of ownership of the DFIRMs, 
because they will have input on the kind of flood hazard information 
shown on the maps.
    Once FEMA has included future-conditions 1-percent-annual-chance 
(100-year) floodplains on a flood map, all FEMA- or community-initiated 
studies, restudies, and revisions will incorporate the future-
conditions hydrology that the community has determined. FEMA will 
perform a technical review of the locally developed data and will 
include the data in all map updates. Additionally, FEMA will continue 
to make determinations on whether structures and parcels of land are in 
or out of the existing-conditions 1-percent-annual-chance (100-year) 
floodplains shown on the FIRM or DFIRM, and will issue Letters of Map 
Amendment and Letters of Map Revisions Based on Fill based on these 
determinations.

Scope of Public Participation

    On June 14, 2001, FEMA published a Proposed Rule in the Federal 
Register, at 66 FR 32293. On that date, FEMA invited interested parties 
to submit written comments to the Rules Docket Clerk, Office of General 
Counsel, on or before August 13, 2001.
    During the comment period provided for in the Proposed Rule, FEMA 
received letters or e-mail messages from 20 respondents. All of the 
respondents supported the FEMA decision to include the future-
conditions 1-percent-annual-chance (100-year) floodplains on the FIRM. 
In fact, 30 percent of the respondents recommended that FEMA proceed 
with finalizing the Proposed Rule without any changes. Other 
respondents provided multiple recommendations for how FEMA could change 
and improve the Proposed Rule before finalizing it. Those submitting 
formal comments on the Proposed Rule included one U.S. Senator; one 
member of the U.S. House of Representatives; community officials and 
representatives of local and regional government agencies; 
representatives of the business community; and representatives of 
professional environmental and floodplain management associations.

Summary of Comments and FEMA Responses

    The comments and recommendations submitted by the respondents to 
the Proposed Rule may be separated into eight categories. Summaries of 
each category of comments and FEMA's responses to those comments are 
summarized below.
    Insurance Applications. Several respondents recommended that FEMA 
establish risk premium rates and mandatory flood insurance purchase 
requirements for buildings located in the future-conditions floodplains 
that will be shown on a FIRM or DFIRM when requested by a community.
    Risk premium rates are based on accepted actuarial principles. 
Several factors are considered in establishing risk premium rates, 
including amount of coverage purchased; location, age, occupancy, and 
design of the building to be insured; and, for buildings in the SFHA, 
elevation of the building in relation to the existing-conditions 1-
percent-annual-chance (100-year) flood elevation. The current procedure 
for risk premium rating is consistent with the statutes governing the 
NFIP. Under the current procedure, structures shown within the SFHA, 
the area that would be inundated by the 1-percent-annual-chance (100-
year) flood based on existing conditions hydrology, are subject to a 
mandatory flood insurance purchase requirement. FEMA decided to show 
future-conditions 1-percent-annual-chance (100-year) floodplains on 
Flood Insurance Rate Maps to support the floodplain management 
practices of those progressive communities that choose, voluntarily, to 
implement more restrictive requirements than those required for 
participation in the NFIP. Because of the uncertain nature of the 
future-conditions data and the relatively limited number of 
participating communities that have opted to implement these more 
restrictive development requirements, it is not practicable to 
establish risk premium rates and mandatory flood insurance purchase 
requirements for buildings located in the future-conditions 
floodplains. Further, we do not plan to require that all communities 
use future-conditions data to regulate development as a condition of 
participating in the NFIP.While the Federal mandatory flood insurance 
purchase requirement will continue to apply only to buildings in SFHAs 
based on existing-conditions hydrology in participating communities, 
flood insurance is available in all areas of a participating community, 
including the area that will be shown as within the future-conditions 
1-percent-annual-chance (100-year) floodplain. This is important 
because approximately 25 percent of the flood insurance claims paid by 
the NFIP have been for buildings outside the existing-conditions 1-
percent-annual-chance (100-year) floodplain, or SFHA. It also is 
important to note that a lender may determine, on its own as a business 
decision, that it wishes to require flood insurance for buildings 
located outside the SFHA to protect its financial risk on the loan.
    Expanded Floodplain Management Requirements. Several respondents 
recommended that FEMA require regulation of development within the 
future-conditions 1-percent-annual-chance (100-year) floodplain, 
primarily to support local floodplain administrators in their efforts 
to discourage unwise floodplain development.
    The FEMA decision to show the future-conditions 1-percent-annual-
chance (100-year) floodplain was made precisely to support the 
floodplain management practices of those progressive communities that 
choose, voluntarily, to implement more restrictive requirements than 
those required for participation in the NFIP. Through this change and 
other recent initiatives, FEMA is emphasizing the need for decision-
making authority to be at the local level. However, because of the 
uncertain nature of the future-conditions data and the relatively 
limited number of participating communities that have opted to 
implement these more restrictive development requirements, FEMA does 
not plan to require that communities use future-conditions data to 
regulate development.
    Expanded Definition of ``Future-Conditions Hydrology.'' Some 
respondents recommended that FEMA expand and clarify the definition of 
future-conditions hydrology. Specifically, these respondents 
recommended the following: (1) add clarification that planned 
structural modifications that would reduce peak flood discharges are 
not to be included in the community's determination of future 
conditions; (2) include ``approved development'' as an example of 
future conditions; (3) include number of units, unit density, and 
square footage of impervious surface in the definition; and (4) include 
expected changes in frequency and severity of precipitation events in 
the definition.
    FEMA is implementing the presentation of future-conditions 1-
percent-annual-chance (100-year) floodplains on FIRMs to support 
floodplain management decisions made locally to address land-use 
changes that will affect hydrology. To ensure maximum flexibility for 
local community officials, FEMA does not want to be too restrictive in 
defining future-conditions hydrology. However, as indicated in the 
previously

[[Page 59169]]

referenced FEMA report entitled ``Modernizing FEMA's Flood Hazard 
Mapping Program: Recommendations for Using Future Conditions Hydrology 
for the National Flood Insurance Program,'' the future hydrology 
conditions defined in this Final Rule do not include future 
construction of flood detention structures or hydraulic structures for 
the reasons cited below.
    The construction of flood detention structures can significantly 
affect the flood frequency characteristics of a watershed, and the 
hydrologic effects of flood detention structures are very site specific 
and difficult to evaluate. Likewise, the effects of projected future 
hydraulic modifications--changes within a stream or other waterway, 
such as bridge and culvert construction, fill, and excavation--on flood 
frequency are site specific and difficult to predict and are considered 
beyond the scope of this discussion.
    Therefore, FEMA revised the definition of future-conditions 
hydrology presented in Section 59.1 of the NFIP regulations to clarify 
that the effects of future construction of flood detention structures 
or hydraulic structures are not to be considered by a community in 
establishing future-conditions hydrology.
    Expanded Depiction of Future-Conditions Floodplains. One respondent 
recommended that FEMA include the area that would be affected by 
projected sea level rise in the depiction of the future-conditions 1-
percent-annual-chance (100-year) floodplain on the FIRM. As 
justification, this respondent cited the requirement in the Coastal 
Zone Management Act of 1972, as amended (16 U.S.C. 1451 et. seq.), that 
``* * * coastal states must anticipate and plan for such an 
occurrence.''
    As cited above, FEMA is implementing the presentation of future-
conditions 1-percent-annual-chance (100-year) floodplains on FIRMs to 
support local floodplain management decisions to address land-use 
changes that will affect hydrology. As FEMA and its community and State 
partners together move forward with the digital conversion of flood 
hazard data and production of DFIRMs, greater consideration will be 
given to including advisory information, such as the project sea level 
rise. However, inclusion of project sea level rise is outside the scope 
and intent of this rule change.
    Use of Distinctive Screen and Zone Designation for Portraying 
Future-conditions Floodplain on Maps. Several respondents suggested 
that FEMA establish a new premium rate zone designation for the future-
conditions 1-percent-annual-chance (100-year) floodplain, with a 
distinctive screen, to differentiate this hazard area from the 
existing-conditions 0.2-percent-annual-chance (500-year) floodplain. 
The zone designations that were recommended were Zone F-X, Zone F, Zone 
AF, Zone U, and Zone D.
    FEMA opted to use the Zone X (shaded) screen to depict the future-
conditions 1-percent-annual-chance (100-year) floodplain to minimize 
confusion by users in the lending and insurance industries that use the 
map to make determinations regarding whether the Federal mandatory 
flood insurance purchase requirements apply to a particular building. 
Those users now recognize that areas designated as Zone X (shaded) are 
subject to some flood hazard, but that the mandatory flood insurance 
purchase requirement does not apply. Because the risk premium rates for 
buildings located in the future-conditions 1-percent-annual-chance 
(100-year) floodplain will be the rate comparable to other areas 
outside the SFHA, FEMA believes designating these areas as ``Zone X 
(Future Base Flood)'' will be sufficient distinction.
    This presentation decision notwithstanding, two of the recommended 
zone designations--Zone AF and Zone D--could not be used on the map 
anyway. The former is likely to be confused with the zone designation 
used for SFHAs, in which the mandatory flood insurance purchase 
requirement does apply, and the latter is already used to designate 
areas of possible, but undetermined flood hazards.
    Presentation of Existing- and Future-Conditions Floodplains on 
Maps. Some respondents suggested that FEMA show the future-conditions 
1-percent-annual-chance (100-year) floodplain on the FIRM at all times, 
even when the boundaries of the future-conditions 1-percent-annual-
chance (100-year) floodplain and the existing-conditions 0.2-percent-
annual-chance (500-year) floodplain are too close together to be 
distinguished.
    FEMA plans to take a much more flexible approach to the 
presentation of the existing- and future-conditions floodplains on the 
FIRM. Because inclusion of this information on the FIRM is voluntary, 
the community will have the decision-making authority for determining 
whether to show the future-conditions 1-percent-annual-chance (100-
year) floodplain, the existing-conditions 0.2-percent-annual-chance 
(500-year) floodplain, or both on the FIRM.
    Inclusion of Future-Conditions Flood Elevations on Maps. One 
respondent recommended that FEMA include future-conditions 1-percent-
annual-chance (100-year) flood elevations, rounded to the nearest tenth 
of a foot, adjacent to the BFEs shown in the existing-conditions 
future-conditions 1-percent-annual-chance (100-year) floodplain on the 
FIRM.
    To minimize confusion and enhance the usability of the FIRM, FEMA 
plans to include the future-conditions 1-percent-annual-chance (100-
year) flood elevations only in the FIS report that will accompany the 
FIRM. As with the existing-conditions 1-percent-annual-chance (100-
year) flood elevations (i.e., BFEs), local floodplain management 
officials should consult the Flood Profiles included in the FIS report 
and other available technical support data for more complete elevation 
data.
    Presentation of Future-Conditions Floodplains for Flooding Sources 
Studied by Approximate Methods. One respondent recommended that FEMA 
clarify whether the future-conditions 1-percent-annual-chance (100-
year) floodplain could be shown on the FIRM for flooding sources that 
FEMA analyzed using approximate-study methods. The existing-conditions 
1-percent-annual-chance (100-year) floodplains for flooding sources 
studied by approximate methods are designated as Zone A on the FIRM.
    The community may establish a future-conditions 1-percent-annual-
chance (100-year) floodplain for any flooding source in the community, 
regardless of the type of study performed by FEMA. If the community 
performed a detailed study to establish the future-conditions 1-
percent-annual-chance (100-year) floodplain, FEMA may request the 
supporting data for the detailed study and revise and, based on 
available funding, redesignate the existing-conditions 1-percent-
annual-chance (100-year) floodplain as Zone AE. If the community 
performed an approximate study, FEMA would show the future-conditions 
1-percent-annual-chance (100-year) floodplain, designated as Zone X 
(Future), adjacent to the existing-conditions 1-percent-annual-chance 
(100-year) floodplain. The designation for the existing-conditions 1-
percent-annual-chance (100-year) floodplain would continue to be Zone 
A.
    Timing of Revisions to Mapping and Implementation of Local 
Regulations. One respondent requested that FEMA clarify when and if 
local floodplain management regulations must be implemented when FIRM 
is revised to show the future-conditions 1-percent-annual-chance (100-
year) floodplain.

[[Page 59170]]

    FEMA will revise the FIRM to add the future-conditions 1-percent-
annual-chance (100-year) floodplain when requested to do so by the 
community. FEMA is showing this information on the FIRM for 
informational purposes only. FEMA will require written assurance from 
the Chief Executive Officer or other community official that the 
community has or will proceed with adoption of the future-conditions 
information. Such assurance is generally in the form of an adopted 
local ordinance or resolution. The community will have the authority to 
decide when to implement changes to local floodplain management 
regulations, which is true with any change that will result in making 
the local regulations more stringent than the minimum required under 
the NFIP.

National Environmental Policy Act

    This Final Rule is categorically excluded from the requirements of 
44 CFR Part 10.8 (d)(2)(ii), Environmental Consideration. No 
environmental impact assessment has been prepared.

Regulatory Flexibility Act

    The Acting Administrator of the Federal Insurance and Mitigation 
Administration certifies that this Final Rule does not have a 
significant economic impact on a substantial number of small entities 
in accordance with the Regulatory Flexibility Act, 5 U.S.C. et seq., 
because it is not expected (1) to have significant secondary or 
incidental effects on a substantial number of small entities, nor (2) 
to create any additional burden on small entities. A regulatory 
flexibility analysis has not been prepared.

Executive Order 12612, Federalism

    This Final Rule involves no policies that have federalism 
implications under Executive Order 12612, Federalism, dated October 26, 
1987.

Executive Order 12778, Civil Justice Reform

    This Final Rule meets the applicable standards of Section 2(b)(2) 
of Executive Order 12778, Civil Justice Reform.

Executive Order 12866, Regulatory Planning and Review

    Promulgation of this Final Rule is required by statute, 42 U.S.C. 
4014(f), which also specifies the regulatory approach taken in this 
Final Rule. To the extent possible under the statutory requirements of 
42 U.S.C. 4014(f), this Final Rule adheres to the principles of 
regulation as set forth in Executive Order 12866, Regulatory Planning 
and Review.

List of Subjects in 44 CFR Parts 59 and 64

    Administrative practice and procedure, Flood insurance, 
Floodplains, and Reporting and record-keeping requirements.

    Accordingly, amend 44 CFR Parts 59 and 64 as follows:

PART 59--GENERAL PROVISIONS

    1. The authority citation for Part 59 continues to read as follow:

    Authority: 42 U.S.C. 4001 et seq.; Reorganization Plan No. 3 of 
1978, 43 FR 41943, 3 CFR 1978 Comp., p. 329; E.O. 12127 of Mar. 31, 
1979, 44 FR 19367; 3 CFR 1979 Comp., p. 376.

    2. Section 59.1 is amended by adding three definitions to read as 
follows:


Sec. 59.1  Definitions.

* * * * *
    Area of future-conditions flood hazard means the land area that 
would be inundated by the 1-percent-annual-chance (100-year) flood 
based on future-conditions hydrology.
* * * * *
    Future-conditions flood hazard area, or future-conditions 
floodplain--see Area of future-conditions flood hazard.
    Future-conditions hydrology means the flood discharges associated 
with projected land-use conditions based on a community's zoning maps 
and/or comprehensive land-use plans and without consideration of 
projected future construction of flood detention structures or 
projected future hydraulic modifications within a stream or other 
waterway, such as bridge and culvert construction, fill, and 
excavation.
* * * * *

PART 64--COMMUNITIES ELIGIBLE FOR THE SALE OF INSURANCE

    3. The authority citation for Part 64 continues to read as follow:

    Authority: 42 U.S.C. 4001 et seq.; Reorganization Plan No. 3 of 
1978, 43 FR 41943, 3 CFR 1978 Comp., p. 329; E.O. 12127 of Mar. 31, 
1979, 44 FR 19367; 3 CFR 1979 Comp., p. 376.


    4. Amend Sec. 64.3 as follows:
    a. Revise the introductory text of paragraph (a)(1).
    b. In the table in paragraph (a)(1), revise the entry for the zone 
symbol for Zones B,X.
    c. Revise the closing text to paragraph (a)(1).
    The revisions read as follows:


Sec. 64.3  Flood Insurance Maps.

    (a) * * *
    (1) Flood Insurance Rate Map: This map is prepared after the flood 
hazard study for the community has been completed and the risk premium 
rates have been established. The FIRM indicates the risk premium rate 
zones applicable in the community and when those rates are effective. 
The FIRM also may indicate, at the request of the community, zones to 
identify areas of future-conditions flood hazards. The symbols used to 
designate the risk premium rate zones and future-conditions zones are 
as follows:

------------------------------------------------------------------------
          Zone symbol
-------------------------------
 
      *         *         *         *         *         *         *
B, X..........................  Areas of moderate flood hazards or areas
                                 of future-conditions flood hazard.
 
      *         *         *         *         *         *         *
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[[Page 59171]]

    Areas identified as subject to more than one hazard (flood, 
mudslide (i.e., mudflow), flood-related erosion) or potential hazard 
(i.e., future-conditions flooding) will be designated on the FIRM by 
use of the proper zone symbols in combination.
* * * * *

    Dated: November 20, 2001.
Robert F. Shea,
Acting Administrator, Federal Insurance and Mitigation Administration.
[FR Doc. 01-29474 Filed 11-26-01; 8:45 am]
BILLING CODE 6718-04-P