STRAFFORD COUNTY BOARD OF REALTORS February 19, 2015: Flood Presentation

Tom Young, CPCU, ARM

tyoung@nfip-iservice.com

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AGENDA

• Overview of the NFIP

• FEMA Floodplain Maps

• Community Floodplain Regulations

• NFIP Flood Insurance

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NFIP

• Community Voluntary participation • Adopt & Enforce regulations

• Flood insurance available to all

• Identified (1%) chance flood areas

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NATIONAL FLOOD INSURANCE PROGRAM

<1950’s – Flood insurance -Standard Homeowner’s policy

1960’s: Private Carriers no longer offer Flood Coverage

1968: Congress created the National Flood Insurance Act

1973: Program amended - Flood Disaster Protection Act

1982: Amended -Coastal Barrier Resources Act

1994: National Flood Insurance Reform Act of 1994

1994: Riegle-Neal Interstate Banking /… Efficiency Act

2012: Biggert-Waters Act

3/21/2014: Homeowners Flood Insurance Affordability Act

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NEW HAMPSHIRE

• 92% participation

• 18 communities out

• 2 suspended

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PROGRAM PLAYERS

• FEMA

• NFIP

• Insurance Agents

• Lenders

• Borrowers

• Real Estate Agents

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CONGRESSIONAL • Lending institutions cannot:

- make,

- increase,

- extend, or

- renew

Loans secured by assets in 1% Special Hazard Area, without flood insurance

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1% ANNUAL CHANCE OF FLOOD

National Standard

requiring purchase of flood insurance & regulating development

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FLOODING OVER TIME

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BASE FLOOD ELEVATION (BFE)

• Height above sea level to which flood water would be expected to rise in a base, 100-year, or 1% chance flood event

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FLOOD INSURNACE RATE MAP ZONES (partial listing)

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Post-Preliminary Phase Timeline

7 d

ays

90 d

ays

Compliance Period

Typical Post Preliminary Phase takes approximately 14-20 months to complete

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Review and Appeal Period

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New Panel Design

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Summary of Map Changes 2005 Current Maps 2014 Prelim Maps

Orthophotography 1998 2010

LiDAR data No Yes

Vertical Datum National Geodetic Vertical Datum of 1929

North American Vertical Datum of 1988

Zone A No Yes

Coastal Study No (last study in 198os)

Yes

• Coastal Transects 19 82

• Primary Frontal Dune Delineation

N/A Yes

• Wave Set-up and 2% Wave Run-up

N/A Yes

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Municipality Net SFHA Change

(Acres)

Rollinsford -12.5

Madbury -163.4

Durham -168.1

Dover -179.0

Changes between

2005 Current Maps & 2014 Prelim Maps

Change in Special Flood

Hazard Areas (SFHA)

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FEMA Map Service Center

http://msc.fema.gov

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FLOOD INSURANCE

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LENDER’S RELEASE FROM Flood Insurance

ONLY TWO DOCUMENTS!!

• Flood Zone Determination

Letter

• Letter of Map Amendment

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Source: FEMA

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LETTER OF MAP AMENDMENT

• Official process - Floodplain removal

• Only other document accepted by lender to

release from flood insurance

• Prove through elevation data- structure

located higher on ground than BFE

• Up to Lender to Accept!!

• Recommend low-cost Flood Policy

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New York Times: April 16, 2013

“In the coming years, tens of thousands of homeowners in the New York

metropolitan area can expect to choose between elevating their homes,

like the Hogans, and paying higher insurance rates for keeping them low.”

Capozziello, Christopher. “Going Up a Few Feet, and Hoping to Avoid a Storm’s Path.” The New York Times.

15 Apr. 2013 < http://www.nytimes.com/2013/04/16/nyregion/after-hurricane-sandy-homeowners-elevate-

property.html?_r=1& >

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New York Times: April 16, 2013

“That’s a huge factor” said Nancy Rawls Dauk, the real estate broker

selling the property. “It makes it much more valuable.”

Neighbor’s House is not elevated

and is for sale

Across the street, another house

built higher and with no water

during Hurricane Sandy, is listed

for almost twice as much $$

For Sale For Sale

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KEY ITEMS TO ASSIST

If in flood zone, declare it to buyers

Seller has flood policy- offer to assign to buyer

If no elevation certificate, recommend they secure

• Allows buyers to secure flood coverage pricing

• Allows owner and buyer to determine what must be done to mitigate

• Lowers your errors & omission exposure

If representing a buyer,

• Recommend seller secures elevation certificate

• If they don’t, recommend buyer move on

• Pre-qualified buyers- request bank does flood determination prior to

closing- they may not

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Q&A

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Contact Info

Thomas Young, CPCU, ARM

National Flood Insurance Program - iService Team Bureau and Statistical Agency Manager - Region I New England tyoung@nfip-iservice.com PO Box 16321 Hooksett, NH 03106 603-625-5125 Direct

Jennifer Gilbert, CFM, ANFI

NH Office of Energy and Planning

(603) 271-2155

jennifer.gilbert@nh.gov

www.nh.gov/oep/planning/program