November 26, 2014

A Florida TaxWatch economic report

The Effect of Changes in the National Flood Insurance Program on Florida

| 11/20/2013
Flood waters
Rescuers traverse flood waters searching for those in need of help. [Photo: NOAA]


The Effects on Florida Individuals, Businesses and Local Governments

The changes required by the Biggert-Waters Act are already affecting home sales in Florida, when purchasers or potential purchasers learn of the increased costs of the new flood insurance rate structure. This could continue to lead to significant reductions in home sales and values, and to reductions of county tax receipts as property values are re-calculated accordingly.

Legislative and Judicial Options

This Florida TaxWatch report is also available in PDF format:
"The Effect of Changes in the National Flood Insurance Program on Florida"

Multiple bills are being considered by the U.S. Congress to delay implementation of the Act, proponents arguing that substantial increases in policy premiums will hurt many individuals, as well as economies still recovering from the most recent recession.

Florida was joined by Alabama in filing an Amicus Curae brief in early November 2013 in a lawsuit originally filed by Mississippi against FEMA arguing that FEMA failed to complete the required affordability study before implementing the Biggert-Waters Act, and that they based rates on outdated information. The brief asks the Court to compel FEMA to complete the required studies, and take into account the economic impact of the bill before implementing it.

Conclusion

The implementation of the Biggert-Waters Act will be important to Floridians who live and work in and around our most populated floodplain areas. An economic impact analysis of removing the federal subsidies should be conducted to determine the likely impact on Florida’s economy.

 


TAXWATCH CENTER FOR COMPETITIVE FLORIDA ADVISORY BOARD

Florida Tax Watch

BOARD CHAIRMAN
SENATOR GEORGE LEMIEUX
Chairman of the Board, Gunster

BOARD MEMBERS
MR. JOHN B. ZUMWALT III

President, thezumwaltcompany
Florida TaxWatch Chairman & Immediate Past Chair, CCF Advisory Board

This Florida TaxWatch report is also available in PDF format:
"The Effect of Changes in the National Flood Insurance Program on Florida"

WILLIAM E. CARLSON, JR
President, Tucker/Hall

MR. MARSHALL CRISER, III
President, AT&T Florida
Immediate Past Chairman, Florida TaxWatch

MR. DOUG DAVIDSON
Market Executive, Bank of America Merrill Lynch

MR. J. CHARLES GRAY
Chairman, GrayRobinson Law Firm

MR. JON FERRANDO
Executive VP & General Counsel, AutoNation, Inc.

GOVERNOR BOB MARTINEZ
Sr. Policy Advisor, Holland & Knight

MR. DAVE MCINTOSH
Trustee, BlueField Ranch Mitigation Bank Trust

MR. JAMES M. REPP
Senior VP, AvMed Health Plans

MS. MICHELLE A ROBINSON
President, SouthEast Region, Verizon

MR. DAVID A. SMITH
Former Chairman, Florida TaxWatch

MR. MICHAEL SOLE
VP for State Governmental Affairs, Florida Power & Light

TRACY WILLIS
Vice President, The Walt Disney Company


Economic Commentary written by
Jerry D. Parrish, Ph.D., Chief Economist, and Executive Director of the Center for Competitive Florida, with assistance from Jennifer Linares, MS, Research Analyst.

Robert Weissert, Chief Research Officer & General Counsel
Chris Barry, Director of Publications

John Zumwalt, III, Chair, Florida TaxWatch
Sen. George LeMieux Chair, Center for Competitive Florida
Dominic M. Calabro, President, CEO, Publisher, and Editor

Florida TaxWatch Research Institute, Inc.
www.floridataxwatch.org
Copyright © Florida TaxWatch, November 2013

Tags: Government/Politics & Law, Insurance, Florida TaxWatch

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