the ithe nfip program needs to updated. we encourage making the program more fiscally sound, give bizes and homeowners more accurate messages about their risk and promote mitigation but flood insurance affordability was largely ignored in the previous two reform bills and must be addressed now. there are numerous innovative ideas to address flood insurance affordability and we will need to bring all of the tools, including those from outside the nfip to bear on this issue. affordment subsidies should support mitigation rather than subsidize insurance premiums only. our written testimony details the other priorities for the 2017 reauthorization. meanwhile legislation to promote the growth of a private market is making its way through congress. asfpm recognizes the valuable contributions private sector brings to the table. in fact, the changes congress made in 2012 to promote private flood insurance market is working and we are seeing an emerging but vigorous private market that is interest and able to write first dollar floo

nahb has a long history of support for the nfip.w major disasters, the solvency has been threatened. many thought biggert waters would assure the fiscal soundness of the nfip. but there were major consequences to the housing industry. it triggered an immediate shift to full risk rates. with nonprimary home premiums increasing by 25% of the full risk rate each year. across the country, builders witnessed how drastic rate increases were negatively affecting home sales and saw rates increase ten-fold over what homeowners were previously paying. one louisiana buyer bought a home only to realize the flood insurance rates had increased from $400 to the full risk rate of $13,000. this problem wasn't only affecting homeowners, i had a friend of mine who had a small home building business in louisiana, and his insurance rate on his office building went from $400 -- $4,000 to $40,000. one neighborhood near my home in st. charles parrish became fully devalued because the flood rate insurance increases. they were required to build 11 feet above