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HomeMy WebLinkAboutReso 2017-2701 RESOLUTION NO. 2017 - Zi 01 AN RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, URGING THE UNITED STATES CONGRESS TO REFORM THE NATIONAL FLOOD INSURANCE PROGRAM TO ELIMINATE THE DISPROPORTIONATE SUBSIDIES PAID BY THE STATE OF FLORIDA TO OTHER PARTS OF THE NATION, AND TO INCREASE THE AMOUNT OF SUBSIDIES ALLOCATED IN FLORIDA, TO AN AMOUNT EQUAL TO AT LEAST 25% OF FLOOD INSURANCE PREMIUMS PAID IN THE STATE OF FLORIDA, FOR REINVESTMENT IN RESILIENT INFRASTRUCTURE PROJECTS IN THE STATE OF FLORIDA; TO AMEND FLOOD INSURANCE POLICY RENEWALS FROM ANNUALLY TO EVERY FOUR YEARS SO THAT PROPERTY OWNERS MAY SECURE LOWER AND MORE PREDICTABLE RATES; AND, FURTHER, URGING THE FLORIDA LEGISLATURE TO ADOPT STRICTER BUILDING CODES THAT INCORPORATE MEASURES THAT ADDRESS SEA LEVEL RISE, AND TO ADOPT LAWS THAT REQUIRE INSURANCE COMPANIES TO PROVIDE INCENTIVES FOR THE IMPLEMENTATION OF RESILIENT MEASURES THAT MITIGATE THE RISKS RELATED TO CLIMATE CHANGE AND FLOODING; DIRECTING THE CITY CLERK TO DISTRIBUTE COPIES OF THIS RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the State of Florida has the longest coastline and the most expensive coastal real estate in the continental United States, with trillions of dollars in property values at stake, and is particularly vulnerable to the constant and global effects of sea level rise due to climate change and the effects of flooding incidents resulting from storms and other weather events; and WHEREAS, the United States Environmental Protection Agency and countless scientific studies agree that sea levels in Florida are rising at approximately one inch per decade and that tropical storms and hurricanes have become more intense during the last 20 years due to climate change; and WHEREAS, recognizing that the scientific community has reached consensus that the climate is changing, federal and state governments have a responsibility to plan for the economic and environmental impacts of climate change and sea level rise; and WHEREAS, the National Flood Insurance Program (NFIP or Program) was established in 1968 to require that all residential and commercial properties, that are located Page I 1 in areas at high risk of flooding and that have federally-backed mortgages, carry flood insurance; and WHEREAS, the United States Congress passed the Biggert-Waters Flood Insurance Reform Act of 2012 (BW12), which extended the National Flood Insurance Program for five years, set forth significant reforms to the Program, and addressed property damage claims as a result of Hurricane Katrina; however, BW12 resulted in inordinate premium increases for some property owners; and WHEREAS, in 2014, Congress passed the Homeowner Flood Insurance Affordability Act (HFIAA) to repeal portions of BW12 and to address the short-comings of BW12, but did not correct or adequately address the disparities in burdens imposed upon certain policyholders; and • WHEREAS, according to recent data, Florida has the highest coverage amount under the National Flood Insurance Program (approximately 3 to 10 times more) than other coastal states; however, Florida ranks among the states with the lowest payouts in claims since 1978 ($4,003,070,6164.41)-behind Louisiana ($18,854,167,084.33), Texas ($6,845,524,846.17), New Jersey ($5,918,523,671 .47), and New York ($5,300,671,445.45); and WHEREAS, due to the exceptional risks to the State of Florida and to the property of its residents and businesses as a result of climate change and sea level rise, the United States Congress should reform the Federal Flood Insurance Program because, as currently structured, the Program allows for the disproportionate distribution of subsidies paid by the State of Florida to other parts of the nation and does not focus on preventive hazard mitigation but, rather, on funding for after-the-fact disasters; and WHEREAS, despite the intent of the HFIAA to reform and improve the NFIP, that Program is in debt, and there is low compliance, thus, fewer policies are in place to generate revenue from premiums, the premiums do not adequately reflect all of the risk factors because they rely on inaccurate and incomplete data regarding, among other things, elevations, and the caps on insurance premiums are artificially low; and WHEREAS, due to the significant disparity in the amount of federal flood insurance premiums paid into the Program by property owners in the State of Florida, relative.to actual claims paid and the exceptional risks from climate change and sea level rise in Florida that are projected by the scientific community, the Program should not only be reformed to address and remedy the aforementioned problems, but the Program should also allocate at least 25% of the flood insurance premiums paid in the State of Florida to fund resilient infrastructure projects in Florida as preventative flood mitigation measures; and WHEREAS, further, the NFIP should be amended to provide for the renewal of flood insurance policies every four years, with premium payments every six to 12 months, so that property owners may secure lower and more predictable rates; and Page 12 WHEREAS, in addition, Florida lawmakers should address the effects of climate change and sea level rise on a statewide level by adopting stricter building code regulations that require resiliency, and to further require that insurance companies offer incentives for resilient measures that mitigate the risks related to climate change and sea level rise and that will reduce, or at least moderate, the cost of homeowner and flood insurance premiums. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS: Section 1. Urging of the United States Congress. The City Commission of the City of Sunny Isles Beach hereby urges the United States Congress to reform the Federal Flood - Insurance Program to eliminate disproportionate subsidies paid by the State of Florida to other parts of the nation and to increase the amount of subsidies, to an amount equal to at least 25% of flood insurance premiums paid in the State of Florida, for reinvestment in resilient infrastructure projects in Florida; to amend flood insurance policy renewals from annually to every four years so that property owners may secure lower and more predictable rates; and, further; hereby urge the Florida Legislature to adopt stricter building codes that incorporate measures that address sea level rise and to adopt laws that require insurance companies to provide incentives for the implementation of resilient measures that mitigate the risks related to climate change and flooding. Section 2. Directions to the Clerk. The City Clerk is directed to distribute copies of this Resolution to Governor Rick Scott, the Speaker of the House of Representatives, the President of the Florida Senate, Representative Randy Fine, the Chair of the Miami-Dade State Legislative Delegation, the Florida League of Cities, the Florida Association of Counties, the Florida City County Management Association, and the Miami-Dade County League of Cities. Section 3. Effective Date. This Resolution shall become effective upon adoption. PASSED and ADOPTED this 16th day of May, 2017. 1 George H. Scholl, Mayor ATTBS } ‘‘Mauricio Bet. I fur, CMC; Acting City Clerk �Y• PageI3 APPROVED AS TO FORM AND E . L SUFFICIENCY: H.MV inot:City Attorney Moved by: Ctuvot. V1 Pt-Ta Seconded by: \ k M O 1L a L I A-f\I Vote: Mayor Scholl v' (Yes) (No) Vice Mayor Goldman (Yes) (No) Commissioner Aelion-W ( (Yes) (No) Commissioner Gatto ✓ (Yes) (No) Commissioner Svechin /(Yes) (No) Page 14 r3t4NY ts4Cit of Sunny Beach City Commission s George"Bud"Scholl,Mayor '-_,' _= F 18070 Collins Avenue, Suite 250 Dana Goldman,['ice Mayor Ui ,,c'•�� ._n ? Sunny Isles Beach, Florida 33160 Isaac Aelion, Commissioner Jeanette Gatto,Commissioner t '' (305)947-0606 City Hall Larisa Svechin,Commissioner (305)949-3113 Fax r 9 -> P Christopher J.Russo CityManager tiF 9'' FLOR\O 5``P (305)947-2150 Building Department p c,?. �0 (305)947-5107 Fax Hans Ottinot,City Attorney OF SUS " Mauricio Betancur,CMMC,Acting City Clerk MEMORANDUM TO: The Honorable Mayor and City Commission FROM: Vice Mayor Dana Goldman • DATE: May 18, 2017 RE: Resolution Urging Congress to Modify the Flood Insurance Program for the Benefit of Residents of Florida - RECOMMENDATION: This Resolution is presented for your consideration. REASONS: The residents of Florida are paying a disproportionate amount for flood insurance under the federal flood insurance program. For example, according to data, Florida has the highest coverage amount under the National Flood Insurance Program (approximately 3 to 10 times more than other coastal states) however, Florida rank amongst coastal states with the lowest payouts in flood insurance claims since 1978. Consequently, the premiums paid by Florida residents are subsiding infrastructure projects in other states By adopting this Resolution, the City Commission will urge Congress to eliminate the disparity in the flood insurance program for the State of Florida and request that at least 25% of the flood insurance premiums paid in the State of Florida be used to fund infrastructure projects in Florida for flood mitigation purposes.