New NFIP bills being floated in Congress
Unemployment in Florida remained at 3.3% going into this month as the convenience store chain Wawa announced it will hire 1,000 people for its Florida stores over the next three months. That sort of economic expansion is positively impacting state tax collections. Stronger than expected collections will mean an additional $461.5 million in revenue projections in the current 2018-2019 state budget year that ends this June 30 and another $380.5 million increase in the 2019-2020 fiscal year that starts July 1.
Two state agencies whose job it is to promote business, economic growth and tourism have new leaders. Enterprise Florida (the state’s economic development agency) and VisitFlorida (the tourism agency) are going strong with new leaders for both. Jamal Sowell is the new president and CEO of Enterprise Florida and Dana Young is the new president and CEO at Visit Florida. Sowell came from the Tampa Bay Port Authority and Dana Young is a former state senator.
Meanwhile, there’s still a job yet to be filled at the state Office of Financial Regulation – the state’s banking regulator. The new governor and cabinet, sitting as the Financial Services Commission, has reopened the search for a replacement for Commissioner Drew Breakspear, who resigned last summer. You can apply here.
And although reauthorization of the National Flood Insurance Program (NFIP) was kicked-down the road until its new expiration date of May 31, there is some progress to report. Congressman Blaine Luetkemeyer (R-MO) has introduced four bills that passed committee during the last session of Congress that seek to improve the internal workings of the NFIP – and promote a private flood insurance market as a needed alternative and complement.
Under the bills, local communities would be allowed to develop alternative flood insurance rate maps; NFIP’s Administrator would be required to conduct a study into insurance industry best practices for determining replacement cost value; a portion of NFIP risk would be required to be ceded to private reinsurance or capital markets; and the mandatory flood insurance coverage requirements for commercial properties would be repealed. Each provision passed the House Financial Services Committee in the last Congress. We are watching this and staying on top of all things flood!
