Schumer, on LI, proposes extension of National Flood Insurance Program

Sen. Chuck Schumer (D-N.Y.) joined Long Island officials Wednesday to call for extending the National Flood Insurance Program before it expires Sept. 30 and curbing insurance costs for homeowners.

Schumer, at Waterfront Park in Freeport, said his proposal would issue a five-year authorization of the flood insurance program and cap annual premium increases at 9 percent. On average, the proposal would cap increases at no more than $90 per year, Schumer said.

He also said his proposal would stop a plan by the Federal Emergency Management Agency that could double some insurance premiums.

Schumer said he has introduced a bipartisan bill with Sen. Bob Menendez (D-N.J.) and Republican Sens. Bill Cassidy of Louisiana and Cindy Hyde-Smith of Mississippi.

“I am issuing a warning to Long Island and the rest of the country that this program could expire Sept. 30,” Schumer said. “After Sandy, we learned we’re as vulnerable as anyone else. Unfortunately, when it comes to protecting our homes, there are crosscurrents in Washington.”

If the National Flood Insurance Program lapses, residents would be unable to buy, sell or refinance homes, “bringing the economy on Long Island to a grinding halt,” Schumer said.

Long Islanders with the flood insurance pay average premiums of about $1,000 a year, although some South Shore residents face annual premiums of close to $3,000, Schumer said.

Schumer appeared at a news conference with Nassau County Executive Laura Curran, Town of Hempstead Supervisor Laura Gillen, Freeport Mayor Robert Kennedy and State Sen. John Brooks of Seaford, all Democrats.

"Homeowners who have lived in these houses for years should not be forced to pay unbearable costs," Gillen said. "If the current plan goes unchecked, it would devastate the middle class on Long Island and create a housing crisis."

Freeport resident Jeanne Jordan, who lives on the canal facing Waterfront Park, said she has lived in her family’s home since 1966 and pays $2,800 per year for flood insurance. Jordan is a single mother of two children whose home was flooded with 4 feet of water during Sandy. She said if premiums were to double, she would be forced to leave Long Island.

“If they increase it any further, I’m kind of done here,” said Jordan, 54.

If the federal program expires, it would stop issuance of new policies, and existing policies would be in effect only until their terms expire.

Schumer, who has appeared on Long Island in the past to call for the program's extension, said residents need a long-term solution without the threat each year that their insurance could be canceled.

FEMA's risk rating method could more than double rates every four years or less, Schumer said. Schumer said his bill would freeze interest payments on flood insurance debt and increase coverage.

The plan by FEMA would use private sector data to determine the risk of insuring a homeowner during flooding, including the distance to the coast and the cost to rebuild a home. 

The National Flood Insurance Program covers 5 million policies nationwide, including at least 91,558 on Long Island. There were 144,000 claims filed after superstorm Sandy. 

“This kind of reform will allow homeowners to breathe a grand final sigh of relief,” Schumer said.

By John Asbury

john.asbury@newsday.comJohnAsbury

John Asbury is a breaking news and general assignment reporter. He has been with Newsday since 2014 and previously worked at The Press-Enterprise in Riverside, California.