Congress Extends Flood Insurance for 5 Years
On June 29, 2012, both the Senate and House passed the Biggert-Waters Flood Insurance Reform Act of 2012 as a part of H.R. 4348, the Surface Transportation Conference Report.
This is the culmination of a successful multi-year REALTOR Party campaign, with many Calls for Action and a final push at NAR’s Midyear Legislative Conference and Rally in May. Congress had been extending the National Flood Insurance Program a few months at a time since 2008. Twice this led to shut downs, including one that stalled more than 40,000 home sales in June 2010 alone.
It's passage achieves one of NAR’s top priorities for the year, and it means taxpayers will spend less on federal assistance for flood disasters over the long run. The 5-year reauthorization will bring certainty to real estate transactions in more than 21,000 communities nationwide where flood insurance is required for a mortgage. The bill ensures the program will continue long-term for more than 5.6 million business- and homeowners who rely on it.