Sec. 100225. MITIGATION

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## SEC. 100225 MITIGATION ###

(a)Mitigation Assistance Grants Section 1366 of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended— ####

(1)by striking subsections (b), (d), (f), (g), (h), (k), and (m); ####

(2)by redesignating subsections (c), (e), (i), and

(j)as subsections (b), (c), (e), and (f), respectively; ####

(3)in subsection (a), by striking the last sentence and inserting the following: > “Such financial assistance shall be made available— > > > #### “(1) > > to States and communities in the form of grants under this section for carrying out mitigation activities; > > > #### “(2) > > to States and communities in the form of grants under this section for carrying out mitigation activities that reduce flood damage to severe repetitive loss structures; and > > > #### “(3) > > to property owners in the form of direct grants under this section for carrying out mitigation activities that reduce flood damage to individual structures for which 2 or more claim payments for losses have been made under flood insurance coverage under this title if the Administrator, after consultation with the State and community, determines that neither the State nor community in which such a structure is located has the capacity to manage such grants.” > ; ####

(4)in subsection (b), as so redesignated, in the first sentence— #####

(A)by striking “and provides protection against” and inserting “provides for reduction of”; and #####

(B)by inserting before the period at the end the following: “, and may be included in a multihazard mitigation plan”; ####

(5)in subsection (c), as so redesignated— #####

(A)in paragraph (1), by striking “

(1)Use of amounts.— ” and all that follows through the end of the first sentence and inserting the following: > > #### “(1) Requirement of consistency with approved mitigation plan > > Amounts provided under this section may be used only for mitigation activities that are consistent with mitigation plans that are approved by the Administrator and identified under paragraph (4).” > ; #####

(B)by striking paragraphs (2), (3), and

(4)and inserting the following new paragraphs: > > #### “(2) Requirements of technical feasibility, cost effectiveness, and interest of national flood insurance fund > > > ##### “(A) In general > > The Administrator may approve only mitigation activities that the Administrator determines— > > > ###### “(i) > > are technically feasible and cost-effective; or > > > ###### “(ii) > > will eliminate future payments from the National Flood Insurance Fund for severe repetitive loss structures through an acquisition or relocation activity. > > > ##### “(B) Considerations > > In making a determination under subparagraph (A), the Administrator shall take into consideration recognized ancillary benefits.” > ; #####

(C)by redesignating paragraph

(5)as paragraph (3); #####

(D)in paragraph (3), as so redesignated— ######

(i)in the matter preceding subparagraph (A), by striking “The Director” and all that follows through “Such activities may” and inserting “Eligible activities under a mitigation plan may”; ######

(ii)by striking subparagraphs

(E)and (H); ######

(iii)by redesignating subparagraphs (D), (F), and

(G)as subparagraphs (E), (G), and (H), respectively; ######

(iv)by inserting after subparagraph

(C)the following new subparagraph: > > ##### “(D) > > elevation, relocation, or floodproofing of utilities (including equipment that serves structures);” > ; ######

(v)by inserting after subparagraph (E), as so redesignated, the following new subparagraph: > > ##### “(F) > > the development or update of mitigation plans by a State or community which meet the planning criteria established by the Administrator, except that the amount from grants under this section that may be used under this subparagraph may not exceed $50,000 for any mitigation plan of a State or $25,000 for any mitigation plan of a community;” > ; ######

(vi)in subparagraph (H); as so redesignated, by striking “and” at the end; and ######

(vii)by adding at the end the following new subparagraphs: > > ##### “(I) > > other mitigation activities not described in subparagraphs

(A)through

(G)or the regulations issued under subparagraph (H), that are described in the mitigation plan of a State or community; and > > > ##### “(J) > > without regard to the requirements under paragraphs

(1)and

(2)of subsection (d), and if the State applied for and was awarded at least $1,000,000 in grants available under this section in the prior fiscal year, technical assistance to communities to identify eligible activities, to develop grant applications, and to implement grants awarded under this section, not to exceed $50,000 to any 1 State in any fiscal year.” > ; and #####

(E)by striking paragraph

(6)and inserting the following: > > #### “(4) Eligibility of demolition and rebuilding of properties > > The Administrator shall consider as an eligible activity the demolition and rebuilding of properties to at least base flood elevation or greater, if required by the Administrator or if required by any State regulation or local ordinance, and in accordance with criteria established by the Administrator.” > ; ####

(6)by inserting after subsection (c), as so redesignated, the following new subsection: > > ### “(d) Matching Requirement > > The Administrator may provide grants for eligible mitigation activities as follows: > > > #### “(1) Severe repetitive loss structures > > In the case of mitigation activities to severe repetitive loss structures, in an amount up to— > > > ##### “(A) > > 100 percent of all eligible costs, if the activities are approved under subsection (c)(2)(A)(i); or > > > ##### “(A) > > the expected savings to the National Flood Insurance Fund from expected avoided damages through acquisition or relocation activities, if the activities are approved under subsection (c)(2)(A)(ii). > > > #### “(2) Repetitive loss structures > > In the case of mitigation activities to repetitive loss structures, in an amount up to 90 percent of all eligible costs. > > > #### “(3) Other mitigation activities > > In the case of all other mitigation activities, in an amount up to 75 percent of all eligible costs.” > . ####

(7)in subsection (e)(2), as so redesignated— #####

(A)by striking “certified under subsection (g)” and inserting “required under subsection (d)”; and #####

(B)by striking “3 times the amount” and inserting “the amount”; ####

(8)in subsection (f), as so redesignated, by striking “Riegle Community Development and Regulatory Improvement Act of 1994” and inserting “Biggert-Waters Flood Insurance Reform Act of 2012”; and ####

(9)by adding at the end the following new subsections: > > ### “(g) Failure To Make Grant Award Within 5 Years > > For any application for a grant under this section for which the Administrator fails to make a grant award within 5 years of the date of the application, the grant application shall be considered to be denied and any funding amounts allocated for such grant applications shall remain in the National Flood Mitigation Fund under section 1367 of this title and shall be made available for grants under this section. > > > ### “(h) Definitions > > For purposes of this section, the following definitions shall apply: > > > #### “(1) Community > > The term ‘community’ means— > > > ##### “(A) > > a political subdivision that— > > > ###### “(i) > > has zoning and building code jurisdiction over a particular area having special flood hazards; and > > > ###### “(ii) > > is participating in the national flood insurance program; or > > > ##### “(B) > > a political subdivision of a State, or other authority, that is designated by political subdivisions, all of which meet the requirements of subparagraph (A), to administer grants for mitigation activities for such political subdivisions. > > > #### “(2) Repetitive loss structure > > The term ‘repetitive loss structure’ has the meaning given such term in section 1370. > > > #### “(3) Severe repetitive loss structure > > The term ‘severe repetitive loss structure’ means a structure that— > > > ##### “(A) > > is covered under a contract for flood insurance made available under this title; and > > > ##### “(B) > > has incurred flood-related damage— > > > ###### “(i) > > for which 4 or more separate claims payments have been made under flood insurance coverage under this title, with the amount of each such claim exceeding $5,000, and with the cumulative amount of such claims payments exceeding $20,000; or > > > ###### “(ii) > > for which at least 2 separate claims payments have been made under such coverage, with the cumulative amount of such claims exceeding the value of the insured structure.” > . ###

(b)Elimination of Grants Program for Repetitive Insurance Claims Properties Chapter I of the National Flood Insurance Act of 1968 is amended by striking section 1323 (42 U.S.C. 4030). ###

(c)Elimination of Pilot Program for Mitigation of Severe Repetitive Loss Properties Chapter III of the National Flood Insurance Act of 1968 is amended by striking section 1361A (42 U.S.C. 4102a). ###

(d)National Flood Insurance Fund Section 1310(a) of the National Flood Insurance Act of 1968 (42 U.S.C. 4017(a)) is amended— ####

(1)in paragraph (6), by inserting “and” after the semicolon; ####

(2)in paragraph (7), by striking the semicolon and inserting a period; and ####

(3)by striking paragraphs

(8)and (9). ###

(e)National Flood Mitigation Fund Section 1367 of the National Flood Insurance Act of 1968 (42 U.S.C. 4104d) is amended— ####

(1)in subsection (b)— #####

(A)by striking paragraph

(1)and inserting the following new paragraph: > > #### “(1) > > in each fiscal year, amounts from the National Flood Insurance Fund not to exceed $90,000,000 and to remain available until expended, of which— > > > ##### “(A) > > not more than $40,000,000 shall be available pursuant to subsection

(a)of this section for assistance described in section 1366(a)(1); > > > ##### “(B) > > not more than $40,000,000 shall be available pursuant to subsection

(a)of this section for assistance described in section 1366(a)(2); and > > > ##### “(C) > > not more than $10,000,000 shall be available pursuant to subsection

(a)of this section for assistance described in section 1366(a)(3);” > ; and #####

(B)in paragraph (3), by striking “section 1366(i)” and inserting “section 1366(e)”; ####

(2)in subsection (c), by striking “sections 1366 and 1323” and inserting “section 1366”; ####

(3)by redesignating subsections

(d)and

(e)as subsections

(f)and (g), respectively; and ####

(4)by inserting after subsection

(c)the following new subsections: > > ### “(d) Prohibition on Offsetting Collections > > Notwithstanding any other provision of this title, amounts made available pursuant to this section shall not be subject to offsetting collections through premium rates for flood insurance coverage under this title. > > > ### “(e) Continued Availability and Reallocation > > Any amounts made available pursuant to subparagraph (A), (B), or

(C)of subsection (b)(1) that are not used in any fiscal year shall continue to be available for the purposes specified in the subparagraph of subsection (b)(1) pursuant to which such amounts were made available, unless the Administrator determines that reallocation of such unused amounts to meet demonstrated need for other mitigation activities under section 1366 is in the best interest of the National Flood Insurance Fund.” > . ###

(f)Increased Cost of Compliance Coverage Section 1304(b)(4) of the National Flood Insurance Act of 1968 (42 U.S.C. 4011(b)(4)) is amended— ####

(1)by striking subparagraph (B); and ####

(2)by redesignating subparagraphs (C), (D), and

(E)as subparagraphs (B), (C), and (D), respectively.

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