Pascrell, Graves, Crist, Rouzer, Mucarsel-Powell, and Rooney Praise FEMA Delay of Risk Rating
Bipartisan bloc reiterates need for affordable, sustainable flood insurance
Washington, D.C., November 7, 2019
U.S. Reps. Bill Pascrell, Jr. (D-NJ-09), Garret Graves (R-LA-06), Charlie Crist (D-FL-13), David Rouzer (R-NC-07), Debbie Mucarsel-Powell (D-FL-26), and Francis Rooney (R-FL-19) today applauded the decision by the Federal Emergency Management Agency to delay implementation of new flood insurance rates from October 1, 2020 to October 1, 2021. The decision comes after the members led over 60 of their colleagues last week in supporting a delay in Risk Rating 2.0 as part of changes necessary to a long-term reauthorization of the national flood insurance program.
“We’re encouraged that FEMA is listening to Congress’s concerns about the impacts of Risk Rating 2.0. FEMA’s promise to protect policyholders and minimize any unintentional negative effects in the transition is vital to ensuring the NFIP remains successful. We hope FEMA will more actively engage with Congress to ensure transparency around the fundamental changes they have proposed.
“We led the call for a lower premium cap and delay of Risk Rating 2.0 because our constituents cannot suffer a double-digit rate increase. While this temporary reprieve should prevent rate shocks next year, it does not change that premium hikes are on the horizon. We remain committed to our goal of preventing premium spikes and making the NFIP more affordable. A long-term reauthorization is an opportunity to increase the affordability, sustainability and usability of the program and we must get it right.”
Rep. Pascrell has been focused on reforming the NFIP by increasing affordability and the overall sustainability of the program. In March, Rep. Pascrell testified before the House Committee on Financial Services in support of a long-term NFIP reauthorization that is affordable, helps policyholders prior to a storm, updates the claims process, and holds bad actors accountable. In July, Rep. Pascrell helped introduce legislation to build on his testimony that extends the NFIP and institutes sweeping reforms to make it more consumer friendly by overhauling the claims process and affordable by capping premiums at 9 percent.