42 U.S.C. § 4071 — Federal operation of program; determina-

Page 6054 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4071 3 So in original. Probably should be ‘‘this section’’. received under this subsection, which shall re- main available until expended and be available to the Administrator for purposes authorized for the National Flood Insurance Fund with- out further appropriation. (h) Rule of construction Nothing in this subsection 3 shall be construed to require the Administrator to make any pay- ment under the national flood insurance pro- gram, or an insurance company that issues a standard flood insurance policy under the na- tional flood insurance program to make any payment, for an indeterminate loss based upon post-storm assessment, the COASTAL Formula, or any other loss allocation or post-storm as- sessment arising under the laws or ordinances of any State. (i) Applicability Subsection (c) shall apply with respect to an indeterminate loss associated with a named storm that occurs 60 days after publication of the COASTAL Formula in the Federal Register as required by subsection (b)(1). (j) Rule of Construction Nothing in this subsection 3 shall be construed to negate, set aside, or void any policy limit, in- cluding any loss limitation, set forth in a stand- ard insurance policy. (k) Rule of construction Nothing in this section shall be construed to create a cause of action under this chapter. (Pub. L. 90–448, title XIII, § 1337, as added Pub. L. 112–141, div. F, title II, § 100253, July 6, 2012, 126 Stat. 974; amended Pub. L. 116–271, title II, § 201(b), Dec. 31, 2020, 134 Stat. 3346.) Editorial Notes AMENDMENTS 2020—Subsec. (a)(3). Pub. L. 116–271, § 201(b)(1)(A), in- serted ‘‘, except that the term shall not apply with re- spect to a State or territory that has an operational wind and flood loss allocation system’’ before period at end. Subsec. (a)(5). Pub. L. 116–271, § 201(b)(1)(B), inserted ‘‘sustained’’ after ‘‘maximum’’. Subsec. (b)(1). Pub. L. 116–271, § 201(b)(2)(A), sub- stituted ‘‘publish for comment in the Federal Register’’ for ‘‘establish by rule’’. Subsec. (b)(2)(B). Pub. L. 116–271, § 201(b)(2)(B), in- serted ‘‘, or other data or information used to deter- mine a property’s current risk of flood, as determined by the Administrator,’’ after ‘‘Elevation Certificate’’. Subsec. (c)(3)(A)(i). Pub. L. 116–271, § 201(b)(3), sub- stituted ‘‘publication of the COASTAL Formula in the Federal Register as required by subsection (b)(1)’’ for ‘‘the issuance of the rule establishing the COASTAL Formula’’. Subsec. (d). Pub. L. 116–271, § 201(b)(4), substituted ‘‘section 3611(b)(2)(E)’’ for ‘‘section 3611(b)(2)(C)’’. Subsec. (h). Pub. L. 116–271, § 201(b)(5), inserted ‘‘that issues a standard flood insurance policy under the na- tional flood insurance program’’ after ‘‘company’’ and substituted ‘‘, the COASTAL Formula, or any other loss allocation or post-storm assessment arising under the laws or ordinances of any State’’ for ‘‘or the COASTAL Formula’’. Subsec. (i). Pub. L. 116–271, § 201(b)(6), substituted ‘‘60 days after publication of the COASTAL Formula in the Federal Register as required by subsection (b)(1)’’ for ‘‘after the date on which the Administrator issues the rule establishing the COASTAL Formula under sub- section (b)’’. Subsec. (k). Pub. L. 116–271, § 201(b)(7), added subsec. (k). PART B—GOVERNMENT PROGRAM WITH INDUSTRY ASSISTANCE § 4071. Federal operation of program; determina- tion by Administrator; fiscal agents; report to Congress (a) If at any time, after consultation with rep- resentatives of the insurance industry, the Ad- ministrator determines that operation of the flood insurance program as provided under part A cannot be carried out, or that such operation, in itself, would be assisted materially by the Federal Government’s assumption, in whole or in part, of the operational responsibility for flood insurance under this chapter (on a tem- porary or other basis) he shall promptly under- take any necessary arrangements to carry out the program of flood insurance authorized under subchapter I through the facilities of the Fed- eral Government, utilizing, for purposes of pro- viding flood insurance coverage, either— (1) insurance companies and other insurers, insurance agents and brokers, and insurance adjustment organizations, as fiscal agents of the United States, (2) such other officers and employees of any executive agency (as defined in section 105 of title 5) as the Administrator and the head of any such agency may from time to time, agree upon, on a reimbursement or other basis, or (3) both the alternatives specified in para- graphs (1) and (2). (b) Upon making the determination referred to in subsection (a), the Administrator shall make a report to the Congress and, at the same time, to the private insurance companies partici- pating in the National Flood Insurance Program pursuant to section 4017 of this title. Such re- port shall— (1) state the reason for such determinations, (2) be supported by pertinent findings, (3) indicate the extent to which it is antici- pated that the insurance industry will be uti- lized in providing flood insurance coverage under the program, and (4) contain such recommendations as the Ad- ministrator deems advisable. The Administrator shall not implement the pro- gram of flood insurance authorized under sub- chapter I through the facilities of the Federal Government until 9 months after the date of submission of the report under this subsection unless it would be impossible to continue to ef- fectively carry out the National Flood Insurance Program operations during this time. (Pub. L. 90–448, title XIII, § 1340, Aug. 1, 1968, 82 Stat. 584; Pub. L. 98–181, title I [title IV, § 451(d)(1), (4)], Nov. 30, 1983, 97 Stat. 1229; Pub. L. 101–137, § 3, Nov. 3, 1989, 103 Stat. 824; Pub. L. 112–141, div. F, title II, § 100238(b)(1), July 6, 2012, 126 Stat. 958.) Page 6055 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 4081 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—Pub. L. 112–141 substituted ‘‘Administrator’’ for ‘‘Director’’ wherever appearing in text. 1989—Subsec. (b). Pub. L. 101–137 amended subsec. (b) generally. Prior to amendment, subsec. (b) read as fol- lows: ‘‘Upon making the determination referred to in subsection (a) of this section, and at least thirty days prior to implementing the program of flood insurance authorized under subchapter I of this chapter through the facilities of the Federal Government, the Director shall make a report to the Congress and such report shall— ‘‘(1) state the reasons for such determination, ‘‘(2) be supported by pertinent findings, ‘‘(3) indicate the extent to which it is anticipated that the insurance industry will be utilized in pro- viding flood insurance coverage under the program, and ‘‘(4) contain such recommendations as the Director deems advisable.’’ 1983—Subsec. (a). Pub. L. 98–181, § 451(d)(1), in provi- sions preceding par. (1), substituted ‘‘Director’’ for ‘‘Secretary’’. Subsec. (a)(2). Pub. L. 98–181, § 451(d)(4), struck out ‘‘officers and employees of the Department of Housing and Urban Development, and’’ before ‘‘such other offi- cers’’. Pub. L. 98–181, § 451(d)(1), substituted ‘‘Director’’ for ‘‘Secretary’’. Subsec. (b). Pub. L. 98–181, § 451(d)(1), substituted ‘‘Di- rector’’ for ‘‘Secretary’’ wherever appearing. Statutory Notes and Related Subsidiaries 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. § 4072. Adjustment and payment of claims; judi- cial review; limitations; jurisdiction In the event the program is carried out as pro- vided in section 4071 of this title, the Adminis- trator shall be authorized to adjust and make payment of any claims for proved and approved losses covered by flood insurance, and upon the disallowance by the Administrator of any such claim, or upon the refusal of the claimant to ac- cept the amount allowed upon any such claim, the claimant, within one year after the date of mailing of notice of disallowance or partial dis- allowance by the Administrator, may institute an action against the Administrator on such claim in the United States district court for the district in which the insured property or the major part thereof shall have been situated, and original exclusive jurisdiction is hereby con- ferred upon such court to hear and determine such action without regard to the amount in the controversy. (Pub. L. 90–448, title XIII, § 1341, Aug. 1, 1968, 82 Stat. 584; Pub. L. 98–181, title I [title IV, § 451(d)(1), (5)], Nov. 30, 1983, 97 Stat. 1229; Pub. L. 112–141, div. F, title II, § 100238(b)(1), July 6, 2012, 126 Stat. 958.) Editorial Notes AMENDMENTS 2012—Pub. L. 112–141 substituted ‘‘Administrator’’ for ‘‘Director’’ wherever appearing. 1983—Pub. L. 98–181, § 451(d)(5), inserted ‘‘original ex- clusive’’ before ‘‘jurisdiction’’. Pub. L. 98–181, § 451(d)(1), substituted ‘‘Director’’ for ‘‘Secretary’’ wherever appearing. Statutory Notes and Related Subsidiaries 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. PART C—GENERAL PROVISIONS § 4081. Services by insurance industry (a) Contracting for services and facilities In administering the flood insurance program under this subchapter, the Administrator is au- thorized to enter into any contracts, agree- ments, or other appropriate arrangements which may, from time to time, be necessary for the purpose of utilizing, on such terms and condi- tions as may be agreed upon, the facilities and services of any insurance companies or other in- surers, insurance agents and brokers, or insur- ance adjustment organizations; and such con-