42 U.S.C. § 4011 — Authorization to establish and carry out

Page 6006 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4005 1 See References in Text note below. flood having a 0.2-percent chance of being equaled or exceeded in any given year. (3) Administrator The term ‘‘Administrator’’ means the Ad- ministrator of the Federal Emergency Man- agement Agency. (4) National Flood Insurance Program The term ‘‘National Flood Insurance Pro- gram’’ means the program established under the National Flood Insurance Act of 1968 (42 U.S.C. 4011 et seq.). (5) Write Your Own The term ‘‘Write Your Own’’ means the co- operative undertaking between the insurance industry and the Federal Insurance Adminis- tration which allows participating property and casualty insurance companies to write and service standard flood insurance policies. (b) Common terminology Except as otherwise provided in this subtitle, any terms used in this subtitle shall have the meaning given to such terms under section 1370 of the National Flood Insurance Act of 1968 (42 U.S.C. 4121). (Pub. L. 112–141, div. F, title II, § 100202, July 6, 2012, 126 Stat. 916.) Editorial Notes REFERENCES IN TEXT This subtitle, referred to in subsecs. (a) and (b), is subtitle A (§§ 100201–100249) of title II of div. F of Pub. L. 112–141, July 6, 2012, 126 Stat. 916, known as the Biggert-Waters Flood Insurance Reform Act of 2012. For complete classification of this subtitle to the Code, see Short Title of 2012 Amendment note set out under section 4001 of this title and Tables. The National Flood Insurance Act of 1968, referred to in subsec. (a)(4), is title XIII of Pub. L. 90–448, Aug. 1, 1968, 82 Stat. 572, which is classified principally to this chapter. For complete classification of this Act to the Code, see Short Title note set out under section 4001 of this title and Tables. CODIFICATION Section was enacted as part of the Biggert-Waters Flood Insurance Reform Act of 2012, and also as part of the Moving Ahead for Progress in the 21st Century Act, also known as the MAP–21, and not as part of National Flood Insurance Act of 1968 which comprises this chap- ter. § 4005. Definitions applicable to Homeowner Flood Insurance Affordability Act of 2014 For purposes of this title,1 the following defi- nitions shall apply: (1) Administrator The term ‘‘Administrator’’ means the Ad- ministrator of the Federal Emergency Man- agement Agency. (2) National Flood Insurance Program The term ‘‘National Flood Insurance Pro- gram’’ means the program established under the National Flood Insurance Act of 1968 (42 U.S.C. 4001 et seq.). (Pub. L. 113–89, § 2, Mar. 21, 2014, 128 Stat. 1020.) Editorial Notes REFERENCES IN TEXT This title, referred to in text, probably should read ‘‘this Act’’, meaning Pub. L. 113–89, Mar. 21, 2014, 128 Stat. 1020, known as the Homeowner Flood Insurance Affordability Act of 2014, which does not contain titles. For complete classification of this Act to the Code, see Short Title of 2014 Amendment note set out under sec- tion 4001 of this title and Tables. The National Flood Insurance Act of 1968, referred to in par. (2), is title XIII of Pub. L. 90–448, Aug. 1, 1968, 82 Stat. 572, which is classified principally to this chapter. For complete classification of this Act to the Code, see Short Title note set out under section 4001 of this title and Tables. CODIFICATION Section was enacted as part of the Homeowner Flood Insurance Affordability Act of 2014, and not as part of the National Flood Insurance Act of 1968 which com- prises this chapter. SUBCHAPTER I—THE NATIONAL FLOOD INSURANCE PROGRAM § 4011. Authorization to establish and carry out program (a) Authorization and establishment To carry out the purposes of this chapter, the Administrator of the Federal Emergency Man- agement Agency is authorized to establish and carry out a national flood insurance program which will enable interested persons to purchase insurance against loss resulting from physical damage to or loss of real property or personal property related thereto arising from any flood occurring in the United States. (b) Additional coverage for compliance with land use and control measures The national flood insurance program estab- lished pursuant to subsection (a) shall enable the purchase of insurance to cover the cost of implementing measures that are consistent with land use and control measures established by the community under section 4102 of this title for— (1) properties that are repetitive loss struc- tures; (2) properties that are substantially dam- aged structures; (3) properties that have sustained flood dam- age on multiple occasions, if the Adminis- trator determines that it is cost-effective and in the best interests of the National Flood In- surance Fund to require the implementation of such measures; and (4) properties for which an offer of mitiga- tion assistance is made under— (A) section 4104c of this title (Flood Miti- gation Assistance Program); (B) the Hazard Mitigation Grant Program authorized under section 5170c of this title; (C) the Predisaster Hazard Mitigation Pro- gram under section 5133 of this title; and (D) any programs authorized or for which funds are appropriated to address any unmet needs or for which supplemental funds are made available. The Administrator shall impose a surcharge on each insured of not more than $75 per policy to Page 6007 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4011 provide cost of compliance coverage in accord- ance with the provisions of this subsection. (c) Participation and risk sharing by insurers In carrying out the flood insurance program the Administrator shall, to the maximum extent practicable, encourage and arrange for— (1) appropriate financial participation and risk sharing in the program by insurance com- panies and other insurers, and (2) other appropriate participation, on other than a risk-sharing basis, by insurance compa- nies and other insurers, insurance agents and brokers, and insurance adjustment organiza- tions, in accordance with the provisions of subchapter II. (Pub. L. 90–448, title XIII, § 1304, Aug. 1, 1968, 82 Stat. 574; Pub. L. 98–181, title I [title IV, § 451(d)(1), (2)], Nov. 30, 1983, 97 Stat. 1229; Pub. L. 103–325, title V, § 555(a), Sept. 23, 1994, 108 Stat. 2274; Pub. L. 108–264, title I, § 105(a), June 30, 2004, 118 Stat. 723; Pub. L. 112–141, div. F, title II, §§ 100225(f), 100238(b)(1), July 6, 2012, 126 Stat. 942, 958.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in subsec. (a), was in the original a reference to ‘‘this title’’ meaning title XIII of Pub. L. 90–448, Aug. 1, 1968, 82 Stat. 572, known as the National Flood Insurance Act of 1968, which is classi- fied principally to this chapter. For complete classi- fication of this Act to the Code, see Short Title note set out under section 4001 of this title and Tables. AMENDMENTS 2012—Subsec. (a). Pub. L. 112–141, § 100238(b)(1), sub- stituted ‘‘Administrator’’ for ‘‘Director’’. Subsec. (b). Pub. L. 112–141, § 100238(b)(1), substituted ‘‘Administrator’’ for ‘‘Director’’ in concluding provi- sions. Subsec. (b)(3). Pub. L. 112–141, § 100238(b)(1), sub- stituted ‘‘Administrator’’ for ‘‘Director’’. Subsec. (b)(4)(B) to (E). Pub. L. 112–141, § 100225(f), re- designated subpars. (C) to (E) as (B) to (D), respec- tively, and struck out former subpar. (B) which read as follows: ‘‘section 1368 (Repetitive Loss Priority Pro- gram and Individual Priority Property Program);’’. Subsec. (c). Pub. L. 112–141, § 100238(b)(1), substituted ‘‘Administrator’’ for ‘‘Director’’ in introductory provi- sions. 2004—Subsec. (b). Pub. L. 108–264, § 105(a)(1)(B), which directed insertion of ‘‘by the community’’ after ‘‘estab- lished’’ in introductory provisions, was executed by making the insertion after ‘‘established’’ the second time appearing to reflect the probable intent of Con- gress. Pub. L. 108–264, § 105(a)(1)(A), substituted ‘‘imple- menting measures that are consistent’’ for ‘‘compli- ance’’ in introductory provisions. Subsec. (b)(2). Pub. L. 108–264, § 105(a)(2), substituted ‘‘are substantially damaged structures;’’ for ‘‘have flood damage in which the cost of repairs equals or ex- ceeds 50 percent of the value of the structure at the time of the flood event; and’’. Subsec. (b)(3). Pub. L. 108–264, § 105(a)(3), which di- rected the substitution of ‘‘the implementation of such measures; and’’ for ‘‘compliance with land use and con- trol measures.’’, was executed by making the substi- tution for ‘‘compliance with the land use and control measures.’’, to reflect the probable intent of Congress. Subsec. (b)(4). Pub. L. 108–264, § 105(a)(4), added par. (4). 1994—Subsecs. (b), (c). Pub. L. 103–325 added subsec. (b) and redesignated former subsec. (b) as (c). 1983—Subsec. (a). Pub. L. 98–181, § 451(d)(2), sub- stituted ‘‘Director of the Federal Emergency Manage- ment Agency’’ for ‘‘Secretary of Housing and Urban De- velopment’’. Subsec. (b). Pub. L. 98–181, § 451(d)(1), substituted ‘‘Di- rector’’ for ‘‘Secretary’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1994 AMENDMENT Pub. L. 103–325, title V, § 555(b), Sept. 23, 1994, 108 Stat. 2274, provided that: ‘‘The provisions of subsection (a) [amending this section] shall apply only to prop- erties that sustain flood-related damage after the date of enactment of this Act [Sept. 23, 1994].’’ EFFECTIVE DATE Section effective 120 days following Aug. 1, 1968, or such later date prescribed by the Secretary but in no event more than 180 days following Aug. 1, 1968, see sec- tion 1377 of Pub. L. 90–448, set out as a note under sec- tion 4001 of this title. TRANSFER OF FUNCTIONS For transfer of all functions, personnel, assets, com- ponents, authorities, grant programs, and liabilities of the Federal Emergency Management Agency, including the functions of the Under Secretary for Federal Emer- gency Management relating thereto, to the Federal Emergency Management Agency, see section 315(a)(1) of Title 6, Domestic Security. For transfer of functions, personnel, assets, and li- abilities of the Federal Emergency Management Agen- cy, including the functions of the Director of the Fed- eral Emergency Management Agency relating thereto, to the Secretary of Homeland Security, and for treat- ment of related references, see former section 313(1) and sections 551(d), 552(d), and 557 of Title 6, Domestic Secu- rity, and the Department of Homeland Security Reor- ganization Plan of November 25, 2002, as modified, set out as a note under section 542 of Title 6. FLOOD IN PROGRESS DETERMINATIONS Pub. L. 112–141, div. F, title II, § 100227, July 6, 2012, 126 Stat. 943, provided that: ‘‘(a) REPORT.— ‘‘(1) REVIEW.—The Administrator shall review— ‘‘(A) the processes and procedures for determining that a flood event has commenced or is in progress for purposes of flood insurance coverage made available under the National Flood Insurance Pro- gram; ‘‘(B) the processes and procedures for providing public notification that such a flood event has com- menced or is in progress; ‘‘(C) the processes and procedures regarding the timing of public notification of flood insurance re- quirements and availability; and ‘‘(D) the effects and implications that weather conditions, including rainfall, snowfall, projected snowmelt, existing water levels, and other condi- tions, have on the determination that a flood event has commenced or is in progress. ‘‘(2) REPORT.—Not later than 6 months after the date of enactment of this Act [July 6, 2012], the Ad- ministrator shall submit a report to Congress that describes— ‘‘(A) the results and conclusions of the review under paragraph (1); and ‘‘(B) any actions taken, or proposed actions to be taken, by the Administrator to provide for more precise and technical processes and procedures for determining that a flood event has commenced or is in progress. ‘‘(b) EFFECTIVE DATE OF POLICIES COVERING PROP- ERTIES AFFECTED BY FLOODING OF THE MISSOURI RIVER IN 2011.— Page 6008 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4011 ‘‘(1) ELIGIBLE COVERAGE.—For purposes of this sub- section, the term ‘eligible coverage’ means coverage under a new contract for flood insurance coverage under the National Flood Insurance Program, or a modification to coverage under an existing flood in- surance contract, for property damaged by the flood- ing of the Missouri River that commenced on June 1, 2011, that was purchased or made during the period beginning May 1, 2011, and ending June 6, 2011. ‘‘(2) EFFECTIVE DATES.—Notwithstanding section 1306(c) of the National Flood Insurance Act of 1968 (42 U.S.C. 4013(c)), or any other provision of law, any eli- gible coverage shall— ‘‘(A) be deemed to take effect on the date that is 30 days after the date on which all obligations for the eligible coverage (including completion of the application and payment of any initial premiums owed) are satisfactorily completed; and ‘‘(B) cover damage to property occurring after the effective date described in subparagraph (A) that resulted from the flooding of the Missouri River that commenced on June 1, 2011, if the property did not suffer damage or loss as a result of such flood- ing before the effective date described in subpara- graph (A). ‘‘(c) TIMELY NOTIFICATION.—Not later than 90 days after the date on which the Administrator submits the report required under subsection (a)(2), the Adminis- trator shall, taking into consideration the results of the review under subsection (a)(1)(B), develop proce- dures for providing timely notification, to the extent practicable, to policyholders who have purchased flood insurance coverage under the National Flood Insurance Program within 30 days of a determination of a flood in progress and who may be affected by the flood of the determination and how the determination may affect their coverage.’’ [For definitions of terms used in section 100227 of Pub. L. 112–141, set out above, see section 4004 of this title.] CONGRESSIONAL FINDINGS Pub. L. 108–264, § 2, June 30, 2004, 118 Stat. 712, pro- vided that: ‘‘The Congress finds that— ‘‘(1) the national flood insurance program— ‘‘(A) identifies the flood risk; ‘‘(B) provides flood risk information to the public; ‘‘(C) encourages State and local governments to make appropriate land use adjustments to constrict the development of land which is exposed to flood damage and minimize damage caused by flood losses; and ‘‘(D) makes flood insurance available on a nation- wide basis that would otherwise not be available, to accelerate recovery from floods, mitigate future losses, save lives, and reduce the personal and na- tional costs of flood disasters; ‘‘(2) the national flood insurance program insures approximately 4,400,000 policyholders; ‘‘(3) approximately 48,000 properties currently in- sured under the program have experienced, within a 10-year period, 2 or more flood losses where each such loss exceeds the amount $1,000; ‘‘(4) approximately 10,000 of these repetitive-loss properties have experienced either 2 or 3 losses that cumulatively exceed building value or 4 or more losses, each exceeding $1,000; ‘‘(5) repetitive-loss properties constitute a signifi- cant drain on the resources of the national flood in- surance program, costing about $200,000,000 annually; ‘‘(6) repetitive-loss properties comprise approxi- mately 1 percent of currently insured properties but are expected to account for 25 to 30 percent of claims losses; ‘‘(7) the vast majority of repetitive-loss properties were built before local community implementation of floodplain management standards under the program and thus are eligible for subsidized flood insurance; ‘‘(8) while some property owners take advantage of the program allowing subsidized flood insurance without requiring mitigation action, others are trapped in a vicious cycle of suffering flooding, then repairing flood damage, then suffering flooding, with- out the means to mitigate losses or move out of harm’s way; ‘‘(9) mitigation of repetitive-loss properties through buyouts, elevations, relocations, or flood-proofing will produce savings for policyholders under the pro- gram and for Federal taxpayers through reduced flood insurance losses and reduced Federal disaster assistance; ‘‘(10) a strategy of making mitigation offers aimed at high-priority repetitive-loss properties and shift- ing more of the burden of recovery costs to property owners who choose to remain vulnerable to repetitive flood damage can encourage property owners to take appropriate actions that reduce loss of life and prop- erty damage and benefit the financial soundness of the program; ‘‘(11) the method for addressing repetitive-loss properties should be flexible enough to take into con- sideration legitimate circumstances that may pre- vent an owner from taking a mitigation action; and ‘‘(12) focusing the mitigation and buy-out of repet- itive loss properties upon communities and property owners that choose to voluntarily participate in a mitigation and buy-out program will maximize the benefits of such a program, while minimizing any ad- verse impact on communities and property owners.’’ MISCELLANEOUS FLOOD INSURANCE PROVISIONS Pub. L. 108–264, title II, June 30, 2004, 118 Stat. 725, as amended by Pub. L. 109–295, title VI, § 612(c), Oct. 4, 2006, 120 Stat. 1410, provided that: ‘‘SEC. 201. DEFINITIONS. ‘‘In this title, the following definitions shall apply: ‘‘(1) DIRECTOR.—The term ‘Director’ means the Ad- ministrator of the Federal Emergency Management Agency. ‘‘(2) FLOOD INSURANCE POLICY.—The term ‘flood in- surance policy’ means a flood insurance policy issued under the National Flood Insurance Act of 1968 (42 U.S.C. [4001] et seq.). ‘‘(3) PROGRAM.—The term ‘Program’ means the Na- tional Flood Insurance Program established under the National Flood Insurance Act of 1968 (42 U.S.C. 4001 et seq.). ‘‘SEC. 202. SUPPLEMENTAL FORMS. ‘‘(a) IN GENERAL.—Not later than 6 months after the date of enactment of this Act [June 30, 2004], the Direc- tor shall develop supplemental forms to be issued in conjunction with the issuance of a flood insurance pol- icy that set forth, in simple terms— ‘‘(1) the exact coverages being purchased by a pol- icyholder; ‘‘(2) any exclusions from coverage that apply to the coverages purchased; ‘‘(3) an explanation, including illustrations, of how lost items and damages will be valued under the pol- icy at the time of loss; ‘‘(4) the number and dollar value of claims filed under a flood insurance policy over the life of the property, and the effect, under the National Flood In- surance Act of 1968 (42 U.S.C. 4001 et seq.), of the fil- ing of any further claims under a flood insurance pol- icy with respect to that property; and ‘‘(5) any other information that the Director deter- mines will be helpful to policyholders in under- standing flood insurance coverage. ‘‘(b) DISTRIBUTION.—The forms developed under sub- section (a) shall be given to— ‘‘(1) all holders of a flood insurance policy at the time of purchase and renewal; and ‘‘(2) insurance companies and agents that are au- thorized to sell flood insurance policies. ‘‘SEC. 203. ACKNOWLEDGEMENT FORM. ‘‘(a) IN GENERAL.—Not later than 6 months after the date of enactment of this Act [June 30, 2004], the Direc- Page 6009 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4011 tor shall develop an acknowledgement form to be signed by the purchaser of a flood insurance policy that contains— ‘‘(1) an acknowledgement that the purchaser has re- ceived a copy of the standard flood insurance policy, and any forms developed under section 202; and ‘‘(2) an acknowledgement that the purchaser has been told that the contents of a property or dwelling are not covered under the terms of the standard flood insurance policy, and that the policyholder has the option to purchase additional coverage for such con- tents. ‘‘(b) DISTRIBUTION.—Copies of an acknowledgement form executed under subsection (a) shall be made avail- able to the purchaser and the Director. ‘‘SEC. 204. FLOOD INSURANCE CLAIMS HANDBOOK. ‘‘(a) IN GENERAL.—Not later than 6 months after the date of enactment of this Act [June 30, 2004], the Direc- tor shall develop a flood insurance claims handbook that contains— ‘‘(1) a description of the procedures to be followed to file a claim under the Program, including how to pursue a claim to completion; ‘‘(2) how to file supplementary claims, proof of loss, and any other information relating to the filing of claims under the Program; and ‘‘(3) detailed information regarding the appeals process established under section 205. ‘‘(b) DISTRIBUTION.—The handbook developed under subsection (a) shall be made available to— ‘‘(1) each insurance company and agent authorized to sell flood insurance policies; and ‘‘(2) each purchaser, at the time of purchase and re- newal, of a flood insurance policy, and at the time of any flood loss sustained by such purchaser. ‘‘SEC. 205. APPEAL OF DECISIONS RELATING TO FLOOD INSURANCE COVERAGE. ‘‘Not later than 6 months after the date of enactment of this Act [June 30, 2004], the Director shall, by regula- tion, establish an appeals process through which hold- ers of a flood insurance policy may appeal the deci- sions, with respect to claims, proofs of loss, and loss es- timates relating to such flood insurance policy, of— ‘‘(1) any insurance agent or adjuster, or insurance company; or ‘‘(2) any employee or contractor of the Federal Emergency Management Agency. ‘‘SEC. 206. STUDY AND REPORT ON USE OF COST COMPLIANCE COVERAGE. ‘‘Not later than 1 year after the date of enactment of this Act [June 30, 2004], the Administrator of the Fed- eral Emergency Management Agency shall submit to Congress a report that sets forth— ‘‘(1) the use of cost of compliance coverage under section 1304(b) of the National Flood Insurance Act of 1968 (42 U.S.C. 4011(b)) in connection with flood insur- ance policies; ‘‘(2) any barriers to policyholders using the funds provided by cost of compliance coverage under that section 1304(b) under a flood insurance policy, and recommendations to address those barriers; and ‘‘(3) the steps that the Federal Emergency Manage- ment Agency has taken to ensure that funds paid for cost of compliance coverage under that section 1304(b) are being used to lessen the burdens on all homeowners and the Program. ‘‘SEC. 207. MINIMUM TRAINING AND EDUCATION REQUIREMENTS. ‘‘The Administrator of the Federal Emergency Man- agement Agency shall, in cooperation with the insur- ance industry, State insurance regulators, and other interested parties— ‘‘(1) establish minimum training and education re- quirements for all insurance agents who sell flood in- surance policies; and ‘‘(2) not later than 6 months after the date of enact- ment of this Act [June 30, 2004], publish these require- ments in the Federal Register, and inform insurance companies and agents of the requirements. ‘‘SEC. 208. GAO STUDY AND REPORT. ‘‘(a) STUDY.—The Comptroller General of the United States shall conduct a study of— ‘‘(1) the adequacy of the scope of coverage provided under flood insurance policies in meeting the in- tended goal of Congress that flood victims be restored to their pre-flood conditions, and any recommenda- tions to ensure that goal is being met; ‘‘(2) the adequacy of payments to flood victims under flood insurance policies; and ‘‘(3) the practices of the Federal Emergency Man- agement Agency and insurance adjusters in esti- mating losses incurred during a flood, and how such practices affect the adequacy of payments to flood victims. ‘‘(b) REPORT.—Not later than 1 year after the date of enactment of this Act [June 30, 2004], the Comptroller General shall submit to Congress a report regarding the results of the study under subsection (a). ‘‘SEC. 209. PROSPECTIVE PAYMENT OF FLOOD IN- SURANCE PREMIUMS. [Amended section 4015 of this title.] ‘‘SEC. 210. REPORT ON CHANGES TO FEE SCHEDULE OR FEE PAYMENT ARRANGEMENTS. ‘‘Not later than 3 months after the date of enactment of this Act [June 30, 2004], the Director shall submit a report on any changes or modifications made to the fee schedule or fee payment arrangements between the Federal Emergency Management Agency and insurance adjusters who provide services with respect to flood in- surance policies to— ‘‘(1) the Committee on Banking, Housing, and Urban Affairs of the Senate; and ‘‘(2) the Committee on Financial Services of the House of Representatives.’’ FLOOD INSURANCE INTERAGENCY TASK FORCE Section 561 of Pub. L. 103–325 provided that: ‘‘(a) ESTABLISHMENT.—There is hereby established an interagency task force to be known as the Flood Insur- ance Task Force (in this section referred to as the ‘Task Force’). ‘‘(b) MEMBERSHIP.— ‘‘(1) IN GENERAL.—The Task Force shall be com- posed of 10 members, who shall be the designees of— ‘‘(A) the Federal Insurance Administrator; ‘‘(B) the Federal Housing Commissioner; ‘‘(C) the Secretary of Veterans Affairs; ‘‘(D) the Administrator of the Farmers Home Ad- ministration; ‘‘(E) the Administrator of the Small Business Ad- ministration; ‘‘(F) the Chairman of the Board of Directors of the Farm Credit Administration; ‘‘(G) a designee of the Financial Institutions Ex- amination Council; ‘‘(H) the Director of the Office of Federal Housing Enterprise Oversight; ‘‘(I) the chairman of the Board of Directors of the Federal Home Loan Mortgage Corporation; and ‘‘(J) the chairman of the Board of Directors of the Federal National Mortgage Association. ‘‘(2) QUALIFICATIONS.—Members of the Task Force shall be designated for membership on the Task Force by reason of demonstrated knowledge and com- petence regarding the national flood insurance pro- gram. ‘‘(c) DUTIES.—The Task Force shall carry out the fol- lowing duties: ‘‘(1) RECOMMENDATIONS OF STANDARDIZED ENFORCE- MENT PROCEDURES.—Make recommendations to the head of each Federal agency and enterprise referred to under subsection (b)(1) regarding establishment or adoption of standardized enforcement procedures among such agencies and corporations responsible for enforcing compliance with the requirements under Page 6010 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4012 the national flood insurance program to ensure full- est possible compliance with such requirements. ‘‘(2) STUDY OF COMPLIANCE ASSISTANCE.—Conduct a study of the extent to which Federal agencies and the secondary mortgage market can provide assistance in ensuring compliance with the requirements under the national flood insurance program and submit to the Congress a report describing the study and any con- clusions. ‘‘(3) STUDY OF COMPLIANCE MODEL.—Conduct a study of the extent to which existing programs of Federal agencies and corporations for compliance with the re- quirements under the national flood insurance pro- gram can serve as a model for other Federal agencies responsible for enforcing compliance, and submit to the Congress a report describing the study and any conclusions. ‘‘(4) RECOMMENDATIONS FOR ENFORCEMENT AND COM- PLIANCE PROCEDURES.—Develop recommendations re- garding enforcement and compliance procedures, based on the studies and findings of the Task Force, and publish such recommendations. ‘‘(5) STUDY OF DETERMINATION FEES.—Conduct a study of— ‘‘(A) the reasonableness of fees charged pursuant to 102(h) of the Flood Disaster Protection Act of 1973 [42 U.S.C. 4012a(h)] for costs of determining whether the property securing a loan is located in an area having special flood hazards; and ‘‘(B) whether the fees charged pursuant to such section by lenders and servicers are greater than the amounts paid by such lenders and servicers to persons actually conducting such determinations and the extent to which the fees exceed such amounts. ‘‘(d) NONCOMPENSATION.—Members of the Task Force shall receive no additional pay by reason of their serv- ice on the Task Force. ‘‘(e) CHAIRPERSON.—The members of the Task Force shall elect one member as chairperson of the Task Force. ‘‘(f) MEETINGS AND ACTION.—The Task Force shall meet at the call of the chairman or a majority of the members of the Task Force and may take action by a vote of the majority of the members. The Federal In- surance Administrator shall coordinate and call the initial meeting of the Task Force. ‘‘(g) OFFICERS.—The chairperson of the Task Force may appoint any officers to carry out the duties of the Task Force under subsection (c). ‘‘(h) STAFF OF FEDERAL AGENCIES.—Upon request of the chairperson of the Task Force, the head of any of the Federal agencies and entities referred to under sub- section (b)(1) may detail, on a nonreimbursable basis, any of the personnel of such agency to the Task Force to assist the Task Force in carrying out its duties under this section. ‘‘(i) POWERS.—In carrying out this section, the Task Force may hold hearings, sit and act at times and places, take testimony, receive evidence and assist- ance, provide information, and conduct research as the Task Force considers appropriate. ‘‘(j) TERMINATION.—The Task Force shall terminate upon the expiration of the 24-month period beginning upon the designation of the last member to be des- ignated under subsection (b)(1).’’ § 4012. Scope of program and priorities (a) Priority for insurance for certain residential and church properties and business concerns In carrying out the flood insurance program the Administrator shall afford a priority to making flood insurance available to cover resi- dential properties which are designed for the oc- cupancy of from one to four families, church properties, and business properties which are owned or leased and operated by small business concerns. (b) Availability of insurance for other properties If on the basis of— (1) studies and investigations undertaken and carried out and information received or exchanged under section 4014 of this title, and (2) such other information as may be nec- essary, the Administrator determines that it would be feasible to extend the flood insurance program to cover other properties, he may take such ac- tion under this chapter as from time to time may be necessary in order to make flood insur- ance available to cover, on such basis as may be feasible, any types and classes of— (A) other residential properties not de- scribed in subsection (a) or (d), (B) other business properties, (C) agricultural properties, (D) properties occupied by private nonprofit organizations, and (E) properties owned by State and local gov- ernments and agencies thereof, and any such extensions of the program to any types and classes of these properties shall from time to time be prescribed in regulations. (c) Availability of insurance in States or areas evidencing positive interest in securing in- surance and assuring adoption of adequate land use and control measures The Administrator shall make flood insurance available in only those States or areas (or sub- divisions thereof) which he has determined have— (1) evidenced a positive interest in securing flood insurance coverage under the flood in- surance program, and (2) given satisfactory assurance that by De- cember 31, 1971, adequate land use and control measures will have been adopted for the State or area (or subdivision) which are consistent with the comprehensive criteria for land man- agement and use developed under section 4102 of this title, and that the application and en- forcement of such measures will commence as soon as technical information on floodways and on controlling flood elevations is avail- able. (d) Availability of insurance for multifamily properties (1) In general The Administrator shall make flood insur- ance available to cover residential properties of 5 or more residences. Notwithstanding any other provision of law, the maximum coverage amount that the Administrator may make available under this subsection to such resi- dential properties shall be equal to the cov- erage amount made available to commercial properties. (2) Rule of construction Nothing in this subsection shall be con- strued to limit the ability of individuals resid- ing in residential properties of 5 or more resi- dences to obtain insurance for the contents and personal articles located in such resi- dences. (Pub. L. 90–448, title XIII, § 1305, Aug. 1, 1968, 82 Stat. 574; Pub. L. 91–152, title IV, § 410(a), Dec. 24,