Arkansas Sen. Mark Pryor Opposes Flood Insurance Mandate Near Levees

Two U.S. senators are pressing to remove a federal requirement that homeowners and businesses near levees and dams purchase flood insurance.

Senators Thad Cochran (R-Miss.) and Mark Pryor (D-Ark.) are circulating a bipartisan letter to the Senate Banking Committee that asks for reconsideration of a section of the Senate bill to reauthorize the National Flood Insurance Program (NFIP) that would expand required insurance coverage to “areas of residual risk” that are located behind levees, near dams or other flood control structures.

Cochran and Pryor contend that the provision would impose financial and economic hardships in protected areas that have only a 1 in 500 chance of flooding in a given year based on actuarial analysis. They argue that the bill would not require the same insurance purchase requirement on properties without levee protection, which they said have a 1 in 101 chance of flooding.

“Families and business owners in Arkansas understand the importance of sound flood protection, which is why they pay levee taxes,” Pryor said. “In addition to expensive out-of-pocket insurance costs, this requirement will scare off new economic development opportunities.”

Section 107 of the Senate bill would require certain homeowners and businesses protected by flood control structures to purchase flood insurance policies. The bill gives the administrator of the Federal Emergency Management Agency the discretion to impose the requirement and, in turn, correlating land-use restrictions.

The NFIP program is currently operating on the latest in a series of short-term extensions. That authorization expires Nov. 18.

Topics Flood