New Jersey Assembly Bill ACR71

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Urges Congress and the President of the United States to increase subsidies for federal flood insurance.

Impact

The proposed resolution emphasizes the critical need for federal intervention in providing increased subsidies to assist affected homeowners. The NFIP has been instrumental in providing coverage for those unable to find affordable flood insurance through private markets. Given the historical context of delayed federal relief efforts following Hurricane Sandy compared to other disasters, this resolution calls attention to the necessity for timely legislative action to prevent further financial hardship for residents in flood-prone areas. It encourages lawmakers at the federal level to reassess their approach to disaster-related assistance and to prioritize the support of homeowners who have frequently suffered from severe flooding incidents.

Summary

Assembly Concurrent Resolution No. 71 (ACR71) seeks to urge Congress and the President of the United States to increase subsidies for federal flood insurance. The resolution addresses the significant financial burden that rising flood insurance premiums pose on homeowners in flood-prone areas of New Jersey, exacerbated by the impacts of disasters like Hurricane Sandy. This concurrent resolution highlights the challenges that homeowners face due to the phase-out of subsidies under the National Flood Insurance Program (NFIP) established through the Biggert-Waters Flood Insurance Reform Act of 2012. As a result, many homeowners could face insurance premium increases of up to 500%, placing additional strain on those who are already recovering from past disasters.

Contention

One point of contention regarding ACR71 is the necessity and timing of federal action. Advocates argue that without intervention, homeowners will be left with untenable premiums, furthering their financial distress while delaying recovery efforts. Critics, however, may question the sustainability of increased subsidies and their implications for federal budgeting and policy direction on disaster preparedness. The resolution serves as a call to action for Congress, indicating that the state legislature perceives a gap in the federal response, particularly in handling disasters affecting New Jersey. This measure reflects ongoing debates about the responsibilities of federal versus state governments in disaster recovery and economic support.