Current Projects

Search for Projects
View Projects
Project Title
by Subject/Focus Area
by Board/Committee
by Major Unit
Provisional Committee Appointments Open for Formal Public Comments
by Last Update
Meeting Information
Conflict of Interest Policy
Committee Appointment Process
  Project Information

Project Information

 Printer Friendly Version

Project Title:

Affordability of NFIP Premiums
PIN: DELS-WSTB-13-01        

Major Unit:

Division of Behavioral and Social Sciences and Education
Division on Earth and Life Studies
Division on Engineering and Physical Sciences

Sub Unit: Water Science and Technology Board
Committee on National Statistics
Board on Mathematical Sciences & Their Applications DEPS

RSO: Dunne, Edmond

Subject/Focus Area: Behavioral and Social Sciences; Computers and Information Technology; Earth Sciences; Engineering and Technology; Environment and Environmental Studies; Math, Chemistry and Physics

Project Scope
The Federal Insurance and Mitigation Administration (FIMA) is a component of the Department of Homeland Security (DHS), Federal Emergency Management Agency (FEMA), which operates the National Flood Insurance Program (NFIP). On March 21, 2014, President Obama signed the Homeowner Flood Insurance Affordability Act (HFIAA) of 2014 into law. This law repeals and modifies certain provisions of the 2012 Biggert-Waters Flood Insurance Reform Act, and makes additional program changes to other aspects of the program not covered by that Act. One modification regards a study being conducted by the National Research Council of the National Academy of Sciences. HFIAA requires the submission of the Affordability Study by the FEMA Administrator in 18 months from enactment of the Act.

FEMA has asked the NAS to provide two reports as part of the NFIP Affordability Study.

The first report, due in February 2015, will discuss the underlying definitions and methods for an affordability framework and describe the affordability concept and applications, and program policy options.

The second report, due in September 2015, will propose alternative approaches for a national evaluation of affordability program policy options, based in part on lessons gleaned from a proof-of-concept pilot study to be guided by the NRC committee.

An ad hoc committee under the auspices of the National Research Council will prepare both reports according to the following statements of task:

First Report

The first report will discuss the underlying definitions for an affordability framework and describe the affordability concept and applications and program policy options.

The first report shall discuss:

• Methods for establishing an affordability framework, including means-tested vouchers, for the National Flood Insurance Program;

• Appropriate and necessary assumptions and definitions, including “affordability” and “full risk-based premiums.”

This report shall be delivered by February 28, 2015.

Second Report

The second report will propose alternative approaches for a national evaluation of affordability program policy options. The second report will include lessons for the design of a national study from a proof-of-concept pilot study.

The second report shall discuss:

• Data issues such as needs, availability, quantity, and quality;

• Appropriate analytical methods and related considerations, including models, computing software, and geographic areas to be analyzed;

• A proof-of-concept pilot analysis will be subcontracted as part of the study. This analysis will apply different methods for conducting a flood insurance affordability analysis for a state (North Carolina) in which data on elevations of structures and hydrologic flood hazards are readily available. This analysis will inform the committee’s deliberations and findings regarding the possibilities for a national-level flood insurance affordability study, for which these data on elevations and flood hazards are less readily available;

• National implications from the proof-of-concept pilot results including, but not limited to, possible impacts on participation rates (the analytical work for the proof-of-concept pilot may be carried out by the NRC directly or using sub-contractors as necessary).

This report shall be delivered by September 20, 2015.

Project Duration: 18 months    

Provide FEEDBACK on this project.

Contact the Public Access Records Office to make an inquiry, request a list of the public access file materials, or obtain a copy of the materials found in the file.

Committee Membership
Committee Membership

 Meeting 1 - 01/30/2014
 Meeting 2 - 03/27/2014
 Meeting 3 - 07/10/2014
 Meeting 4 - 11/03/2014
 Meeting 5 - 05/06/2015


Reports having no URL can be seen
at the Public Access Records Office
Affordability of National Flood Insurance Program Premiums - Report 1