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FLOOD INSURANCE COMMENTS IRK LA. DELEGATION
STATE LEADS IN 'REPETITIVE FLOOD LOSS'
Times-Picayune, The (New Orleans, LA)
November 13, 1998
Author: BILL WALSH Washington bureau
Estimated printed pages: 2

WASHINGTON

Some members of Louisiana's congressional delegation took issue Thursday with an administration proposal to limit federal flood insurance subsidies or cut them off entirely for people who often find their homes under water.

Although Louisiana accounts for the single largest chunk of federal flood subsidies aid, delegation members said the state has made enormous strides in recent years in protecting homes and businesses from high water.

Rep. William Jefferson, D-New Orleans, said that communities have instituted zoning and building requirements to discourage development in flood-prone areas. He also said that owners themselves have been more careful, raising their homes and businesses high above the ground to keep floodwaters at bay.

"We do a lot of things down here to make places that are otherwise inappropriate to live in, appropriate," Jefferson said. "I don't believe we could support a position that would penalize people for living in a city that is below sea level."

Earlier this week, the head of the Federal Emergency Management Agency, James Lee Witt, said that government-sponsored cut-rate flood insurance should no longer be offered to homeowners who have filed two or more claims exceeding the value of their property, especially if they have refused to takes steps to lessen the threat of damage.

Figures from FEMA show that Louisiana tops the list of claims filed for "repetitive flood loss," which includes two or more claims in 10 years. In Louisiana, owners of 16,989 buildings have filed claims for repetitive losses totaling $538 million. Texas is a distant second with 10,588 repetitive claims, according to FEMA.

Witt suggested that people in flood-prone areas like Louisiana haven't taken the necessary steps to prevent damage, like elevating their homes or moving them to higher ground. He said FEMA should charge people in high-risk areas the fair-market value for flood insurance, instead of the lower, government-subsidized rates.

"People need to accept the responsibility and the consequences of their choices to live in high-risk areas," Witt said in a speech Tuesday in Washington.

Sen. Mary Landrieu, D-La., said Witt's concerns have some merit and are worth considering.

"Taxpayers cannot continue to support something that doesn't make financial sense on either side," Landrieu said. "I know that is somewhat difficult because people get attached to where they live. I do think it's a fair discussion to have and I would look forward to a part in it."

But a spokesman for Rep. Billy Tauzin, R-Chackbay, said Witt is unfairly singling out Louisiana.

"What he seems to be saying is it's OK to build on the San Andreas fault or in Tornado Alley, but if you live near water in Louisiana, you shouldn't be building," spokesman Ken Johnson said. "That is the whole purpose of insurance."

Johnson said Witt's comments are part of an emerging administration policy to stop building in coastal areas. He said Tauzin would oppose such a move.

"It's a foregone conclusion that insurance rates will go up," Johnson said. "But it's totally different to say you can't buy it at all. We'll fight any attempt to stop people from getting insurance."

http://www.nola.com