[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 602 Introduced in Senate (IS)]
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118th CONGRESS
1st Session
S. 602
To require the Administrator of the Federal Emergency Management Agency
to take certain actions relating to the National Flood Insurance
Program, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 1, 2023
Mr. Kennedy (for himself and Mrs. Hyde-Smith) introduced the following
bill; which was read twice and referred to the Committee on Banking,
Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To require the Administrator of the Federal Emergency Management Agency
to take certain actions relating to the National Flood Insurance
Program, and for other purposes.
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 ``Risk Rating 2.0 Transparency Act''.
SEC. 2. TRANSPARENCY REQUIREMENTS.
(a) Definitions.--In this section--
(1) the term ``Administrator'' means the Administrator of
the Federal Emergency Management Agency; and
(2) the term ``National Flood Insurance Program'' means the
program established under the National Flood Insurance Act of
1968 (42 U.S.C. 4001 et seq.).
(b) Required Actions.--Not later than 1 year after the date of
enactment of this Act, the Administrator shall complete each of the
following actions:
(1) Make available to the public all data and methods used
to prescribe chargeable premium rates for types and classes of
properties for which insurance coverage is available under the
National Flood Insurance Act of 1968 (42 U.S.C. 4001 et seq.)
(referred to in this subsection as ``chargeable premium
rates'') under Risk Rating 2.0, or any substantially similar
methodology.
(2) Create an online database that is available to
policyholders under the National Flood Insurance Program that
provides each such policyholder with information regarding what
the chargeable premium rate for the applicable property of the
policyholder would be--
(A) under Risk Rating 2.0, or any substantially
similar methodology; and
(B) assuming that the limitation under section
1308(e) of the National Flood Insurance Act of 1968 (42
U.S.C. 4015(e)) were not in effect.
(3) Complete and publish a comprehensive assessment of the
economic and social impacts of implementing Risk Rating 2.0 (or
any substantially similar methodology) during the 20-year
period beginning in the year in which the assessment is made,
which shall include an evaluation of the effect that such
implementation will have, during that 20-year period, on--
(A) the affordability and availability of flood
insurance under the National Flood Insurance Program;
(B) property values; and
(C) non-Federal Government revenues.
(4) Supplement (and revise, as appropriate) the Record of
Decision for the final nationwide programmatic environmental
impact statement evaluating the environmental impacts of
proposed modifications to the National Flood Insurance Program
(83 Fed. Reg. 24328) to include the impacts of implementing
Risk Rating 2.0, or any substantially similar methodology.
(5) Demonstrate that the data and methods used to prescribe
chargeable premium rates under Risk Rating 2.0, or any
substantially similar methodology, satisfy the requirements
under section 515 of the Consolidated Appropriations Act, 2001
(Public Law 106-554; 114 Stat. 2763A-153), including that, in
implementing that methodology, the Administrator ensures and
maximizes the quality, objectivity, utility, and integrity of
information disseminated by the Administrator.
(6) Conduct public notice and comment rulemaking under
chapter 5 of title 5, United States Code, regarding Risk Rating
2.0, or any substantially similar methodology, which shall
include the development of a fair, transparent, and streamlined
process to manage--
(A) disputes over chargeable premium rates; and
(B) other factors with respect to the
implementation of that methodology.
(7) For each county in the United States, publish the
distribution of chargeable premium rates showing the median,
mean, lower and upper quartiles, maximum amount, and minimum
amount of chargeable premium rates under each of the following:
(A) The method used to prescribe chargeable premium
rates, as of September 30, 2021.
(B) The methodology projected to be used to
prescribe chargeable premium rates, as of April 1,
2022, assuming that the limitations under section
1308(e) of the National Flood Insurance Act of 1968 (42
U.S.C. 4015(e)) are applied.
(C) The methodology described in subparagraph (B),
assuming that the limitations described in that
subparagraph are not applied.
(D) The methodology described in subparagraph (B),
assuming that--
(i) the limitations described in that
subparagraph are applied; and
(ii) the administrative costs of the
National Flood Insurance Program are allocated
on a uniform, per contract basis rather than as
allocated under Risk Rating 2.0, or any
substantially similar methodology.
(E) The methodology described in subparagraph (B),
assuming that--
(i) the limitations described in that
subparagraph are not applied; and
(ii) the administrative costs of the
National Flood Insurance Program are allocated
on a uniform, per contract basis rather than as
allocated under Risk Rating 2.0, or any
substantially similar methodology.
(8) Submit to the Committee on Banking, Housing, and Urban
Affairs of the Senate and the Committee on Financial Services
of the House of Representatives a report detailing the
satisfaction of the requirements under paragraphs (1) through
(7).
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