Louisiana Leaders Support Homeowner Flood Insurance Affordability Act

ASHINGTON – February 26, 2014 – (RealEstateRama) — Today, elected officials and community leaders in Louisiana announced their support for the substitute amendment to the Homeowner Flood Insurance Affordability Act, which Congressman Bill Cassidy helped introduce Friday evening.  Among other things, the legislation would permanently reinstate grandfathered flood insurance rates, help stabilize the real estate market and provide a retroactive refund for people who have had large flood insurance rate increases due to the sale or purchase of a home.

Congressman Cassidy released the following statement:

“The support for this bill has been overwhelming.  The Homeowner Flood Insurance Affordability Act will provide stability and predictability for Louisiana families and businesses.  My colleagues and I, from across the aisle and the country, will work to secure its passage.” 

Statements from other elected officials and state and local leaders are as follows:

Mr. Michael Hecht, President and CEO of Greater New Orleans, Inc., on behalf of the Coalition for Sustainable Flood Insurance: “The legislation proposed by the House of Representatives achieves many of our most important goals.  The bill should both protect property owners who have played by the rules and settle real estate markets, while preserving the intent to offer flood insurance at true risk rates.  Our coalition will work towards bi-partisan passage of this legislation: ensuring flood insurance remains affordable, while protecting the solvency of the NFIP.”

Hon. Jerome Zeringue, Chair, Coastal Protection and Restoration Authority and Executive Assistant to Governor Bobby Jindal on Coastal Activities: “We appreciate the efforts of Rep. Cassidy and our federal delegation in order to correct an injustice to our citizens imposed by the Biggert-Waters Flood Insurance Reform Act. If enacted, a majority of our coastal communities will be saddled with unaffordable insurance and devastated housing markets.  Our vulnerabilities are a direct result of federal action, and it is unconscionable for the federal government to impose these onerous reforms without adequately assessing their unfortunate consequences.”

Hon. Pat Brister, St. Tammany Parish President: “Congressman Cassidy, along with the other members of our Congressional Delegation, continue the fight to reform the Biggert-Waters Act and prevent that legislation from devastating the very families it was designed to protect.  St. Tammany and communities across the nation need the Homeowner Flood Insurance Affordability Act to pass this week in the House.  We should all be proud of the work that continues to be done by Dr. Cassidy, other Parish Presidents, business and trade organizations, and many others as we try to fix this economically devastating flood insurance debacle.”

Hon. Michel Claudet, Terrebonne Parish President: “Progress continues in the fight to preserve affordable flood insurance for the residents of Terrebonne Parish and the rest of the nation.  We applaud Congressmen Cassidy, Scalise, and Richmond as well as our entire delegation tirelessly on this cause.  The ability to transfer your home and the avoidance of skyrocketing rates are two of the provisions of this important legislation.  If this legislation is allowed to be enacted into law, it will mean that we can continue our way of life in South Louisiana.”

Hon. Charlotte Randolph, Lafourche Parish President: “With this legislation, the U.S. House is acknowledging the unintended consequences of the Biggert-Waters Act, and rectifies them.  Congressman Cassidy enlisted experts to assist in crafting this bill, and converted doubting members with a plan for solvency.

“Passage of this bill, and the subsequent conference with the Senate, will end our year-long battle over the right to remain in our homes, with gradual flood insurance premium increases.  We are accustomed to fighting natural disasters, not man-made ones.”

Hon. Layton Ricks, Livingston Parish President: “I am encouraged by the fact that so many Congressional members from around the country are acutely aware of the negative ramifications that BW-12 could have on property ownership and the real estate market as a whole.  I am also extremely encouraged that these Congressional delegates have drafted and introduced legislation that addresses not only the potentially devastating flood insurance rate increases facing home and business owners, but also the problems facing the National Flood Insurance Program.  This bill is extremely comprehensive and its potential benefit to the people of Louisiana and Livingston Parish cannot be underestimated.  I wholeheartedly supported the Cassidy Amendment, and I stand just as firmly in support of the Homeowner Flood Insurance Affordability Act of 2014.

“The people of Livingston Parish need to familiarize themselves with this significant legislation and make their support known to their representatives.”

Hon. “V.J.” St. Pierre, St. Charles Parish President: “I know I speak for residents across the country and especially in St. Charles Parish when I say we are excited to see our delegation and House leadership propose such an impactful bill and look forward to a bipartisan vote of approval.  The strong support from the Senate on the Homeowner Flood Insurance Affordability Act and the loud outcry from residents throughout the nation created the atmosphere to move this legislation.  It is very existing that this bill reinstates grandfathering and removes the sales trigger; but, we recognize that there remains more to be done to ensure the National Flood Insurance Program is fiscally sustainable and affordable for all policyholders.

“I am hopeful this legislation will be signed by President Obama; however, I remain committed to continuing to push for an affordability cap once the study is complete, including pre-firm primary and business policyholders, and limit the WYO insurance commission to ensure all available funding is going towards the fiscal sustainability of this vital program.  Locally, I will continue to use all resources  available to correct the FEMA flood maps while simultaneously building flood protection for our residents.

“I cannot say enough how thankful I am to our delegation in both the House and Senate for their support in protecting the American Dream of home ownership.”

Hon. Dee Richard, Louisiana State Representative: “I think it’s definitely a positive piece of legislation for Lafourche Parish.  Anything to lower the cost of flood insurance, I’m all for it.  I’m thankful for Congressman Cassidy for bringing this legislation forward.”

Mr. Lin Kiger, President/CEO, Lafourche Chamber of Commerce: “The Homeowner Flood Insurance Affordability Act would provide a great relief for our thriving business community in South Louisiana.  It not only creates fair flood insurance rates, but also stabilizes our booming real estate market.  This legislation also assures new home buyers will not have to pay unrealistic and unaffordable insurance rates when buying a house that had a grandfathered flood insurance rate.  We appreciate Dr. Cassidy’s leadership and the leadership of the other members of the Louisiana delegation on this issue, and we optimistically anticipate its successful passage by Congress.”

Mr. Windell Curole, General Manager, South Lafourche Levee District: “H.R. 3370 amends and fundamentally changes the Biggert-Waters Flood Insurance Reform Act to reflect its initial intention.  The amendment begins to solve the deficit in the NFIP while avoiding punitive and unfair insurance rates on people who have followed the rules set by FEMA.  Congressman Cassidy and the entire Louisiana delegation have done a great service on finding avenues to solve some of the critical problems with the NFIP.  This amendment is a giant step towards improving the NFIP while being fair to both the homeowners and the American taxpayers.”