WASHINGTON (AP) - The House has approved legislation to roll back a recently enacted overhaul of the federal flood insurance program, after homeowners in flood-prone areas complained about sharp premium increases.
Lawmakers approved the bill, 306-91, Tuesday night. The measure would allow sellers to pass along their subsidized, below-market insurance rates to new buyers and lower the cap on how much flood insurance premiums can rise each year.
Republican Rep. Michael Grimm of New York says the bill will ensure that families across the country, including those still struggling to recover from Superstorm Sandy, can avoid a wave of devastating premium hikes and foreclosures.
"We accomplished a great victory for over 500,000 Louisiana families," says Congressman Bill Cassidy. "Members of Congress from both parties and from across the country joined together to pass the Grimm-Cassidy Amendment to provide long-term flood insurance relief."The bipartisan bill would tone down a 2012 law aimed at weaning hundreds of thousands of homeowners off subsidized flood insurance rates."
"The compromise legislation the House passed tonight represents nearly two years of arduous work by a broad coalition of business groups, community leaders and individuals that has fought to stop draconian rate increases on homeowners," says Sen. Mary Landrieu.
The bill now goes to the Senate which passed its version in January.