Archive

BOARD CONSIDERATION OF MUTUAL AID SOCIETY PLANS

The February 2019 revision to the flood insurance regulations provides a definition of a “mutual aid society” and describes the conditions under which a regulated lending institution may accept a flood protection plan issued by a mutual aid society. Within the Board’s Regulation H, 12 CFR 208.25(c)(3)(iv) enumerates those conditions. The first of the conditions for acceptability of a mutual aid plan requires that “the Board has determined that such plans qualify as flood insurance […]

UPDATED FLOOD INSURANCE EXAMINATION PROCEDURES

Recently the OCC, the FRB, the FDIC, the FCA, and the NCUA, through the Task Force on Consumer Compliance of the Federal Financial Institutions Examination Council, revised the Interagency Examination Procedures for the Flood Disaster Protection Act. The revised procedures reflect the February 2019 final interagency rule that addresses the private flood insurance provisions of the Biggert-Waters Flood Insurance Reform Act of 2012. The updated procedures incorporate new sections that discuss: Mandatory acceptance of a […]

INTERAGENCY WEBINAR ON PRIVATE FLOOD INSURANCE RULE

On May 14, 2019 staff from the Farm Credit Administration, Federal Deposit Insurance Corporation, Federal Reserve Board, , National Credit Union Administration  and the Office of the Comptroller of the Currency are reviewing the recently released rules regarding Private Flood Insurance in a one-hour Outlook Live webinar. The webinar begins at 2 p.m. EDT. Agency personnel will explain: Mandatory acceptance of private flood insurance; Mandatory acceptance Compliance Aid; Discretionary acceptance of private flood insurance; Flood […]

PRIVATE FLOOD INSURANCE FINAL RULE ANNOUNCED

The Office of the Comptroller of the Currency, Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Farm Credit Administration, National Credit Union Administration have issued a final rule amending their regulations regarding loans in areas having special flood hazards to implement the private flood insurance provisions of the Biggert-Waters Flood Insurance Reform Act of 2012 (Biggert-Waters Act). Prior to implementing this final rule, the agencies issued two proposed rules addressing private flood […]

FLOOD ISSUES RESOLVED – FOR NOW

Fortunately the Federal Emergency Management Agency (FEMA), with some arm-twisting from the mortgage lending industry and Congress, has backed off on its position of not allowing the operations of the National Flood Insurance Program (NFIP) to resume during the government shut down. The change is retroactive to December 21, 2018, the date Congress provided last minute funding for the NFIP. With the NFIP funding crisis resolved until May 31, 2019, hopefully Congress can shift their […]