The Senate has passed S.3814 – legislation to extend the National Flood Insurance Program (NFIP) through September 2011. Passage of the bill, the National Flood Insurance Program Re-extension Act of 2010, has been hailed by the Mortgage Bankers Association (MBA).
‘With the Senate's unanimous bipartisan vote last night, we urge the House to move quickly and pass this one-year extension,’ says Robert E. Story Jr., chairman of the MBA.
More than 5 million homeowners use the NFIP as their primary insurance against flooding. Without a House and Senate agreement on an extension, the program will expire at the end of this month.
On Wednesday, Sen. Chris Dodd, D-Conn., said a multiyear reform bill is preferable to an extension.
‘However, such an extension will, in my view, provide necessary program and market stability to homeowners, lenders, and insurers while Congress considers the next steps for the reform of the NFIP,’ Dodd stated.
The bill was introduced by Sen. David Vitter, R-La., and co-sponsored by Sens. Lamar Alexander, R-Tenn.; Saxby Chambliss, R-Ga.; Kay Bailey Hutchinson, R-Texas; Johnny Isakson, R-Ga.; Mary L. Landrieu, D-La.; and Bill Nelson, D-Fla.
SOURCE: Mortgage Bankers Association