National Flood Insurance Program: Status and Remaining Issues for Congress [December 10, 2012] [open pdf - 486KB]
"On October 29, 2012, Hurricane Sandy hit the East Coast region, flooding some coastal areas and causing massive economic disruptions in states throughout the Northeast and the mid-Atlantic region. Communities in New York, New Jersey, and Connecticut were particularly hard hit. In the wake of disaster recovery from Hurricane Sandy, policy awareness has refocused on the effectiveness of the existing unified national program for floodplain management in reducing the loss of life and property from weather-related coastal hazards (hurricanes, storm surges, and tornadoes), aging coastal protection infrastructure and increasing vulnerability to storm impacts, persistently low insurance participation in the National Flood Insurance Program (NFIP), and the escalating cost of flooding to taxpayers. […] This report provides an analysis of U.S. flood risk management policy, summarizes major challenges facing the NFIP, and outlines key insurance reform provisions in the Biggert-Waters Flood Insurance Reform Act of 2012 (Flood Reform Act of 2012). The report also identifies and presents some key remaining flood management issues of contention for congressional consideration, and it concludes with a discussion of policy options for the future financial management of flood hazards."
CRS Report for Congress, R42850