Hensarling onAdditional Disaster Appropriations and Need for NFIP Reform
WASHINGTON–U.S. Congressman Jeb Hensarling (TX-5) released the following statement after the House voted for additional disaster relief this afternoon [October 12, 2017]:
“Four years ago when NFIP received a $9.7 billion taxpayer bailout, I supported it. I also resolved not to vote for another unless and until the program was made sustainable. I said without reforms we would be faced with even more bailouts. Numerous reforms have been offered, but none enacted. So here we are today, faced with a $16 billion taxpayer bailout. Clearly, this program is unsustainable.
“Naturally, there are times of crisis and great need such as the ones brought on by the recent hurricanes. That’s why I fully supported the $7.85 billion in disaster relief that the House passed on September 6th. NFIP policy holders must have their claims paid and hurricane victims need further assistance and I am prepared to support it. However, I cannot in good conscience support legislation that simply gives a $16 billion bailout to the National Flood Insurance Program without changes to the program or offsets.
“I am greatly disappointed that the NFIP bailout would come before the House with NO reforms – especially since the Trump Administration demanded them as part of this supplemental legislation. Without necessary reforms the NFIP will continue to be a protected government monopoly and need more bailouts which will add to our nation’s unsustainable $20 trillion debt. But more importantly, it will continue to subsidize and encourage people to live in harm’s way – putting their lives and property at risk. This is unacceptable.”