Category Archives: Flooding

Over 80 Communities at Risk of Losing NFIP Insurability

Over 80 Communities at Risk of Losing NFIP Insurability

FEMA published the list of 86 communities that will lose eligibility to purchase Flood Insurance on July 6

On Tuesday, May 24, 2016, FEMA published a list of 86 communities that would lose the ability to purchase Flood Insurance under the National Flood Insurance Program (“NFIP”) if specific actions were not taken by July 6, 2016. 44 CFR Part 59 requires that communities communities meet certain floodplain management measures before the effective date of the suspension (which are all dated July 6, 2016 for the current list).

The NIFP allows homeowners to purchase flood insurance that is normally not available through private insurance firms if their communities adopt appropriate floodplain management measures. These measures must include both measures to manage the floodplain and enforce those measures. These measures must be in compliance with 42 USC § 4102 (Criteria for Land Management and Use).

If a community does not address the issues that FEMA notified them of before the suspension, no federal finical assistance may be provided for “construction or acquisition of buildings in identified [Special Flood Hazard Areas]. This means, current policy holders could likely to keep their insurance; while new homeowners would face the possibility of not having the same insurability. This prohibition does not impact financial assistance under the Robert T. Stafford Disaster Relief and Emergency Assistance Act not in connection with a flood though.

The 86 communities on the current list are in the states of Louisiana, Maine, Massachusetts, and New Mexico. To view the whole list, visit the Federal Register pages 32661-32664 by clicking here.

Texas Adds 20 Counties to the Presidential Disaster Declaration

Texas Adds 20 Counties to the Presidential Disaster Declaration

FEMA released the Presidential Disaster Declaration for 20 more counties Texas impacted by severe weather, tornados, and flooding the state has experienced since May 4th.

The Federal Emergency Management Agency released a statement regarding the Presidential Disaster Declaration for the State of Texas, adding twenty counties. The additional counties include: Bastrop, Blanco, Caldwell, Denton, Eastland, Fort Bend, Gaines, Guadalupe, Henderson, Hidalgo, Johnson, Milam, Montague, Navarro, Rusk, Smith, Travis, Wichita, Williamson and Wise. (This is in addition to Harris, Hays, and Van Zandt counties which received a disaster declaration late last month). As many may know the State has experienced severe storms, tornados, straight-line winds, and flooding since May 4th, and is still ongoing. The declaration makes grants available for temporary housing and home repairs, low-cost loans to cover uninsured property losses and other programs individuals and business owners can use to recover from the disaster’s impacts.

Individual Assistance (Households and Businesses)

The declaration makes grants available for temporary housing and home repairs, low-cost loans to cover uninsured property losses and other programs individuals and business owners can use to recover from the disaster’s impacts. For specifics on what you may qualify for it is important to visit www.disasterassistance.gov or call 1-800621-FEMA (3362). The toll-free number will operate between 7AM and 9PM seven days a week until further notice. Below are summaries of the programs available, it is important to note though, you must apply to FEMA for the assistance, it is not an automatically applied for you.

Rental Assistance for Temporary Housing: Initial assistance may be provided for up to three months for homeowners and at least one month for renters.  Assistance may be extended if requested after the initial period based on a review of individual applicant requirements.

Home Repair/Fixture Replacement Grants: Grants for home repairs and replacement of essential household items not covered by insurance to make damaged dwellings safe, sanitary and functional.

Immediate Personal Property Replacement Grants: Grants to replace personal property and help meet medical, dental, funeral, transportation and other serious disaster-related needs not covered by insurance or other federal, state and charitable aid programs.

Unemployment Compensation: Unemployment payments up to 26 weeks for workers who temporarily lost jobs because of the disaster and who do not qualify for state benefits, such as self-employed individuals.

Low Interest Loans for Uninsured Losses: Low-interest loans to cover residential losses not fully compensated by insurance.  Loans available up to $200,000 for primary residence; $40,000 for personal property, including renter losses.  Loans available up to $2 million for business property losses not fully compensated by insurance.

Low Interest Small Business, Non-Profit & Agricultural Loans: Loans up to $2 million for small businesses, small agricultural cooperatives and most private, non-profit organizations of all sizes that have suffered disaster-related cash flow problems and need funds for working capital to recover from the disaster’s adverse economic impact.  This loan in combination with a property loss loan cannot exceed a total of $2 million.

Low Interest Agricultural Property Loss Loans: Loans up to $500,000 for farmers, ranchers and aquaculture operators to cover production and property losses, excluding primary residence.

Other Miscellaneous Assistance: Crisis counseling, income tax assistance for filing casualty losses, legal advice assistance, veteran’s benefits, and social security matters.

Public Assistance

Federal funding has also been made available for some local governments and select non-profits (on a cost sharing basis) for emergency work and repair/replacement of facilities damaged by the severe weather and flooding. Local governments and select non-profits can find out more about application procedures at the federal and state applicant briefings hosted by recovery officials in the near future. Local governments can apply for assistance in:

Cost Sharing of Expenses from Lifesaving Measures Taken: Payment of not less than 75 percent of the eligible costs for emergency protective measures, including direct federal assistance, taken to save lives and protect property and public health. Emergency protective measures assistance is available to state and eligible local governments on a cost-sharing basis.

Cost Sharing of Repair/Replacement of Public Infrastructure: Payment of not less than 75 percent of the eligible costs for repairing or replacing damaged public facilities, such as roads, bridges, utilities, buildings, schools, recreational areas and similar publicly owned property, as well as certain private non-profit organizations engaged in community service activities.

Cost Sharing of Hazard Mitigation Projects During Recovery: Payment of not more than 75 percent of the approved costs for hazard mitigation projects undertaken by state and local governments to prevent or reduce long-term risk to life and property from natural or technological disasters.

Texas Receives Presidential Disaster Declaration

Texas Receives Presidential Disaster Declaration

FEMA released the Presidential Disaster Declaration for Texas early this morning due to the severe weather, tornados, and flooding the state has experienced since May 4th.

Early this morning, the Federal Emergency Management Agency released a statement regarding the Presidential Disaster Declaration for the State of Texas (which includes Harris, Hays, and Van Zandt counties). As many may know the State has experienced severe storms, tornados, straight-line winds, and flooding since May 4th, and is still ongoing. The declaration makes grants available for temporary housing and home repairs, low-cost loans to cover uninsured property losses and other programs individuals and business owners can use to recover from the disaster’s impacts.

Individual Assistance (Households and Businesses)

Though damage assessments are ongoing (which may cause more counties to be added to the disaster declaration) the federal assistance programs have been made available for individuals in: (i) Harris, (ii) Hays, and (iii) Van Zandt counties. The declaration makes grants available for temporary housing and home repairs, low-cost loans to cover uninsured property losses and other programs individuals and business owners can use to recover from the disaster’s impacts. For specifics on what you may qualify for it is important to visit www.disasterassistance.gov or call 1-800621-FEMA (3362). The toll-free number will operate between 7AM and 9PM seven days a week until further notice. Below are summaries of the programs available, it is important to note though, you must apply to FEMA for the assistance, it is not an automatically applied for you.

Rental Assistance for Temporary Housing: Initial assistance may be provided for up to three months for homeowners and at least one month for renters.  Assistance may be extended if requested after the initial period based on a review of individual applicant requirements.

Home Repair/Fixture Replacement Grants: Grants for home repairs and replacement of essential household items not covered by insurance to make damaged dwellings safe, sanitary and functional.

Immediate Personal Property Replacement Grants: Grants to replace personal property and help meet medical, dental, funeral, transportation and other serious disaster-related needs not covered by insurance or other federal, state and charitable aid programs.

Unemployment Compensation: Unemployment payments up to 26 weeks for workers who temporarily lost jobs because of the disaster and who do not qualify for state benefits, such as self-employed individuals.

Low Interest Loans for Uninsured Losses: Low-interest loans to cover residential losses not fully compensated by insurance.  Loans available up to $200,000 for primary residence; $40,000 for personal property, including renter losses.  Loans available up to $2 million for business property losses not fully compensated by insurance.

Low Interest Small Business, Non-Profit & Agricultural Loans: Loans up to $2 million for small businesses, small agricultural cooperatives and most private, non-profit organizations of all sizes that have suffered disaster-related cash flow problems and need funds for working capital to recover from the disaster’s adverse economic impact.  This loan in combination with a property loss loan cannot exceed a total of $2 million.

Low Interest Agricultural Property Loss Loans: Loans up to $500,000 for farmers, ranchers and aquaculture operators to cover production and property losses, excluding primary residence.

Other Miscellaneous Assistance: Crisis counseling, income tax assistance for filing casualty losses, legal advice assistance, veteran’s benefits, and social security matters.

Public Assistance

Federal funding has also been made available for local governments and select non-profits (on a cost sharing basis) for emergency work and repair/replacement of facilities damaged by the severe weather and flooding in: (i) Cooke, (ii) Gaines, (iii) Grimes, (iv) Harris, (v) Navarro, and (vi) Van Zandt counties. Local governments and select non-profits can find out more about application procedures at the federal and state applicant briefings hosted by recovery officials in the near future. Local governments can apply for assistance in:

Cost Sharing of Expenses from Lifesaving Measures Taken: Payment of not less than 75 percent of the eligible costs for emergency protective measures, including direct federal assistance, taken to save lives and protect property and public health. Emergency protective measures assistance is available to state and eligible local governments on a cost-sharing basis.

Cost Sharing of Repair/Replacement of Public Infrastructure: Payment of not less than 75 percent of the eligible costs for repairing or replacing damaged public facilities, such as roads, bridges, utilities, buildings, schools, recreational areas and similar publicly owned property, as well as certain private non-profit organizations engaged in community service activities.

Cost Sharing of Hazard Mitigation Projects During Recovery: Payment of not more than 75 percent of the approved costs for hazard mitigation projects undertaken by state and local governments to prevent or reduce long-term risk to life and property from natural or technological disasters.

Read the Press Release on the Disaster Declaration here.

Visit FEMA’s Disaster Assistance Website here.

Visit a list of all assistance available for application on diasterassistance.gov here.

Federal Assistance Granted for three Oklahoma Counties

Federal Assistance Granted for three Oklahoma Counties

FEMA has approved disaster assistance for 3 of the most severely hit counties in Oklahoma with more expected to come in the near future as damage assessments are completed. All 77 counties in Oklahoma remain under a state of emergency.

Oklahoma Governor Mary Fallin announced yesterday that FEMA has approved the state’s request for disaster assistance for three of the most severely hit counties in the state. Currently, all 77 counties in Oklahoma are under a state of emergency. The approval makes assistance available to individuals and business owners impacted by the flooding, tornados, severe storms, and straight line winds that occurred in Cleveland, Grady and Oklahoma counties since May 5th, 2015. FEMA has approved federal assistance for: (i) housing repairs or temporary housing, (ii) US Small Business Administration low-interest loans for individuals and business to repair or replace damaged property, (iii) disaster unemployment assistance, and (iv) grants for other needs and expenses not met by other programs. Though these three counties are the first to receive assistance, others may soon receive similar types of assistance in the near future as the damage assessments from storms striking other parts of the state since May 10th are still in progress.

Part of the request process for assistance from the federal government is completion of a damage assessment. This assessment tells the federal government what conditions on the ground are and expected to manifest into in the near future. This may seem like a bureaucracy at its finest, but it is imperative to complete. Without an accurate damage different state and federal agencies who are willing to provide assistance, may not provide the right assistance at the right time. For example, if you need assistance removing debris, having a National Guard or Army Reserve Engineer Battalion mobilized to assist would be a lot better than the Red Cross showing up with Coffee and Blankets (though this is merely an example to show the difference in assistance and support, the Red Cross does much more than hand out Coffee and Blankets. The American Red Cross is actually chartered by the federal government to oversee sheltering during disasters).

– Will

Read the Oklahoma Governor’s statement here.

Read the Oklahoma Governor’s Amended Executive Order here.

Visit Disaster Assistance.gov here.

Read FEMA’s Press Release from May 26th, 2015 here.

Texas Governor Expands Disaster Declaration

Texas Governor Expands Disaster Declaration

With the continued onslaught of severe weather and rising lakes and streams in the state, the Texas Governor expands the state disaster declaration to 46 counties in the state.

Texas has been experiencing one of the wettest–and most turbulent ones as far as severe weather goes–months since the 1980’s. All the severe weather does come with consequences however. The biggest step in the process of getting any outside aid to an area (especially from the federal level) is a disaster declaration from the State.

State Disaster Declaration Effects:

The State of Texas is limited to providing only in-kind assistance from individual agencies to counties and municipalities encompassed by a disaster declaration. A state disaster declaration comes after the request of a county and municipal emergency managers (County Judge and Mayor respectively). A state disaster declaration does allow for: (i) additional liability protection to government agencies and special/volunteer emergency workers, (ii) implementation of economic stabilization measures (e.g. wage, rent and price controls), (iii) curfews, (iv) access control, (v) implementation of curfews, and (vi) suspension of select codes and ordinances. These measures are only implemented to support response and recovery from a disaster or emergency condition. (i.e. if curfew is not needed, it would not be used).

Federal Disaster Declaration Effects:

The Federal Government is able to provide both in-kind and financial assistance to counties and municipalities encompassed by a disaster declaration. A federal disaster declaration is made by the President of the United States after request by the governor of a state. Federal disaster assistance comes in two forms: (1) Individual/Household Assistance and (2) Public Assistance. Individual/Household Assistance comes in the form of uninsured: medical care and evacuation, emergency shelters, food and clothing, mortgage and rent assistance, job placement, property cleanup and counseling. Public Assistance comes in one of seven different varieties aimed at supplementing available resources and help prevent conditions from developing which a community would not be able to reasonably recover.

Read the Governor’s Declaration here.

The current list of counties is:

  • Archer
  • Bastrop
  • Blanco
  • Bosque
  • Bowie
  • Caldwell
  • Cass
  • Clay
  • Collin
  • Comal
  • Cooke
  • Denton
  • Dewitt
  • Eastland
  • Fannin
  • Gaines
  • Garza
  • Grayson
  • Grimes
  • Guadalupe
  • Harris
  • Harrison
  • Hays
  • Henderson
  • Hidalgo
  • Hill
  • Hood
  • Houston
  • Jasper
  • Johnson
  • Kendall
  • Montague
  • Navarro
  • Newton
  • Nueces
  • Parker
  • Red River
  • San Jacinto
  • Smith
  • Van Zandt
  • Walker
  • Wichita
  • Williamson
  • Wilson
  • Wise
  • Zavala

Federal Judge Rules Federal Government Liable for Some Flooding From Katrina

Federal Judge Rules Federal Government Liable for Some Flooding From Katrina

Judge Braden of the US Court of Federal Claims ruled that the United States is liable for at least some flood damage during Hurricane Katrina in 2005.

Judge Susan G. Braden ruled that the United States is liable for at least some of the flood damage caused in during Hurricane Katrina on August 29, 2005 from the failure of the Mississippi River-Gulf Outlet canal. The Mississippi River-Gulf Outlet–nicknamed MR-GO– was linked to flood damage in the Lower Ninth Ward in New Orleans and damage to the nearby St. Bernard Parish. However, Judge Braden’s decision set a mediation hearing for May 6, 2015 in an alternative measure to determine how much government would be liable for.

Judge Braden praised the U.S. Army Corps of Engineers for being “open, transparent and helpful in educating the court to understand what happened” while simultaneously critical of the Department of Justice for “pursuing a litigation strategy of contesting each and every issue”.

Most importantly, this case is the first instance where the federal government was found liable for damage associated with flooding from Hurricane Katrina. Prior claims have been generally unsuccessful due to the government’s immunity for claims resulting from failed flood control projects.

The initial case (in 2006) was brought in the Federal District Court, for the Eastern District of Louisiana seated in New Orleans, and ruled that because MR-GO’s purpose was for navigation, rather than flood control, the damage was different. The 5th Circuit Court of Appeals overturned the district court’s decision and the U.S. Supreme Court denied certiorari (to hear the case).

Judge Braden’s decision relied on Arkansas Game & Fish Commission v. United States, allowing the Akransas Game & Fish Commission to recover under the takings clause since “recurrent flooding, even if [limited in] duration, are not categorically exempt from Takings Clause liability.” Ark. Game & Fish Comm’n v. United States, 133 S. Ct. 511, 516 (2012).

Mr. Joseph Bruno, a New Orleans lawyer who lost the initial case before the District Court in New Orleans said that note next question is whether the lawsuit will be expanded into a class action lawsuit.

– Will

Read the New York Times Article here.

St. Bernard Parish Gov’t v. United States, 2015 U.S. Claims LEXIS 526 (Fed. Cl. May 1, 2015).

 

FEMA to Reopen Some Hurricane Sandy Claims

FEMA to Reopen Superstorm Sandy Claims

FEMA to reopen 144,000 flood insurance claims from Superstorm Sandy.

In March, FEMA Administrator Fugate agreed to reopen and review every one of the 144,000 flood insurance claims filed by victims of Superstorm Sandy. 2,200 of these claims are currently in litigation. The agreement comes from allegations that some insurance companies had denied thousands of claims after fraudulently altering engineering reports and that other insurance companies systematically underpaid claims in fear of backlash from FEMA.

So what happens? This announcement allows claimants an alternate means for dispute resolution. Mr. Charles Mathis IV of the Merlin Law Group thinks that going it alone would be tricky for policy holders though. “While FEMA is trying to be transparent and make things right, I don’t anticipate them handing over the claim,” Mathis said. “Part of the problem is two and a half years have passed and it’s going to be very difficult to determine the extent of the damage if people have made repairs. I do think there will be some folks that will need some additional assistance going through the process.” However, FEMA has yet to announce specific details of the resolution process.

What does this mean for the legal community and policy holders? FEMA’s agreement will allow Sandy victims who are non-litigants and believe their claims were unjustly denied or received insufficient payout to reopen their cases and have access to all entering reports. FEMA also agreed to contact claimants by mail and make them aware of the new process and opportunity for review.

In addition to the reopening of cases, FEMA is required to convene a Sandy Task Force today (April 13th) to begin evaluation of the National Flood Insurance Program specifically focusing on reforms. Administrator Fugate also pledged to make senior personnel changes at the National Flood Insurance Program.

– Will

Read more here

Does Renter Insurance Cover Flood Damage?

flood-insurance-101Does Renter Insurance Cover Flood Damage?

I had an extraordinary opportunity this week to talk to the residents of Trinity Bell Garden Apartment Homes in Fort Worth, Texas about severe weather and what they could do to prepare. In preparing for the presentation is that the apartment complex sits on the edge of a flood way. Many times in emergency management we are concerned about homeowners having flood insurance policies, but then we need to stop and ask the question “what about renters insurance?”

To make sure I had all my facts, I went ahead and called an insurance company to get an idea on what we were dealing with. To my surprise, renters insurance does cover flood damage; however, this is not true with all insurance agencies. Some agencies require a special rider be purchased to obtain coverage for flood damage, while others simply roll it into the overall policy agreement.

The big takeaway, and what I passed along this week, people who lease a home, apartment or storage unit need to have an open and honest conversation with their insurance agent about what coverage they have. Even better, is to get it in writing and take a look. If you don’t have flood insurance coverage and live within a floodway with even a small percentage chance of flooding, are you willing to take the risk of having your livelihood shattered by a flood and risk being denied by your insurance company?

I know, it’s another thing on the list of to-do’s that we all have, right behind getting more dog food and cleaning out the gutters, but it just might pay off in the long run. One idea is to sit down for a few hours one day each year (if it’s around a major holiday like new years it can help remind you to do it) and review all of your insurance policies to make sure you have the coverage you want, in the amount you want. It only takes a couple of hours, and it might help save you money with discounts or identify where there might be a gap in your coverage and save a headache later on when time counts.

– Will

To see if you may be in a floodway check out FEMA’s Flood Maps: Here

Here are a few links to Flood Insurance Policies:

  • USAA Insurance: Here
  • GEICO Insurance: Here
  • The National Flood Insurance Program: Here