Mr. BENTZ. I thought I was listening to a couple of Democrat mayors, Senator. [Laughter.]

Mr. WALDMAN. We are Republican mayors.

Mr. JAMES. All of us.

Senator WILLIAMS. We have many Republicans as sponsors of the bill, so there isn't any degree of political partisanship in this program.

Mr. ROWLAND. I never thought of it in that light.

STATEMENT OF B. THOMAS WALDMAN, MAYOR, OCEAN CITY, N.J.

Mr. WALDMAN. My name is B. Thomas Waldman, Ocean City, N.J. Senator, at this time I wish to add my thanks to you personally for the tremendous work that we know firsthand you provided for all of our communities and especially Ocean City after the 1962 major problem that put us out of business for a couple of months, and the untiring work that you performed, and the help that we know firsthand you provided and were instrumental in getting to us so that we could come back again.

Senator WILLIAMS. I appreciate that.

Mr. WALDMAN. I want to thank you at this time, Senator.

In Ocean City, N.J., we could echo the same problems that Mayor James and Mayor Rowland have been discussing. We, of course, have experienced the same thing; for example, the monetary value of the 1962 storm. The Army Corps of Engineers called that storm five high, dealing with five tides. That is their definition and explanation of that particular storm that lasted for 3 days. And we are just paying off the last portions of that storm in this year's budget.

It was $5 million worth of public damage and $5 million worth of private damage in Ocean City.

Senator WILLIAMS. Say that again.

Mr. WALDMAN. These are approximate figures, Senator; $5 million public damage and $5 million private damage. We lost the major portions of our boardwalk. We lost our lifeguard headquarters, lost recreational buildings, playgrounds, lost every bit of our rolling stock, police cars, public works trucks, ambulances. Our rescue squads were wiped out in vehicles.

Senator WILLIAMS. I would like at this point to note that we have included in the record an appendix of flood damage submitted by Commissioner Broward Williams, of Florida. (See p. 112.) I just noticed that his figures include 1961, and his figures for New Jersey did not include the storm you are talking about now in 1962.

So while the appendix is very helpful, it is not updated to includeMr. WALDMAN. Just to add something, through the Office of Emergency Planning at the Federal level and through the State of New Jersey, through the civil defense areas, Governor Hughes' kind cooperation with us, the city of Ocean City received approximately $2.3 million in outright grants to come back.

But this now points out the situation that you have been fighting for, Mr. Chairman. This money can only be expended, as you know, on public restoration and recovery. As far as the private homes, the private owners, as Mayor James of Wildwood pointed out, this particular person will own, say for example, a $20,000 property and

have a mortgage in the neighborhood of $10,000 or $15,000, and they lose their property. Well, these persons still owe this mortgage. Also we in the municipality, in cooperation with the State and Federal Government, to effect immediate recovery, demand that the prive owner remove their debris, remove their obstacles that are on their private property, which costs the private property owner money. And the way he is thinking, and rightfully so, he is throwing good money after bad.

He wants to rebuild. He wants to regain the confidence in the area. He wants to live there. But he has a burden with the loss of his equity.

Senator WILLIAMS. Yes.

Mr. WALDMAN. When this became public knowledge in Ocean City that we were coming down to meet with you, I know I was approached by literally dozens of interested persons praising your work and the committee's work.

In fact, we took the liberty to let them read S. 1290 that your staff was so kind as to send to us. And in each and every instance, unanimous approval. And this comes from lending institution representatives, the president of the Ocean City Cape May County National Bank, various identities of this type.

We also have a problem peculiar to the resort industry and the seashore communities as you are very, very much aware, Senator. There is not only the personal devastation that occurs, but the summer season is the lifeblood, the lifeline of the seashore tourist industry, and this begins approximately, as you know, in the Memorial Day area of May 30 and extends to about the first weekend in September. Well, if a seashore community is not ready to receive the tremendous influx of tourists going on stage, to use a word, the fall and the winter season are economic chaos in that community.

This is what all the seashore communities faced in the March 1962 problem of being ready in the latter portion of May to receive visitors, not just curiosity seekers that come in and look around and leave. Senator WILLIAMS. Yes.

Mr. WALDMAN. Fortunately, I repeat through your efforts I know, Senator, personally, Ocean City was able, for one, to have a successful 1962 summer season, which absolutely forestalled and prevented economic chaos in the fall of 1962.

Now, everyone is unanimous in approval of this flood insurance in your bill. And I believe Democrats, Republicans—these things mean nothing after seeing the devastation, as you know. They may have confidence. They can protect their investments, their personal homes, and live in a seashore community, live anyplace.

And I have had attributed to me also the one- to four-family private residence approach, which is the backbone of a community. These are the persons that really need this. This takes the burden of-I won't use the word "leadership," but initiative from a city or county or State or a Federal official to come in and encourage people to come back again, to rebuild. Because you must look at it in the light: What is the difference between flood disaster and a fire disaster? If a person's property burns down, it is insured, and they rebuild. Under the floods the same thing.

And we in seashore communities-everyone that I have spoken with, and we have spoken to quite a few, and our own views on this think it is a marvelous thing, and it is sorely, sorely needed in the areas that we have a direct and professional knowledge of.

Thank you, Senator.

Senator WILLIAMS. Thank you very much.

STATEMENT OF DAVID J. P. BENTZ, MAYOR, SEASIDE HEIGHTS, N.J.

Mr. BENTZ. I would take this time to congratulate you and thank you for your invitation here to testify this morning.

Senator WILLIAMS. We appreciate it.

Mr. BENTZ. And again I would like to be brief. Almost anything that my colleagues have uttered here I would like to say amen to. But there are several things.

First off, I would like to ask that these books here with the pictures which are very visible and give you a visual idea of what actually occurred in the year 1962

Senator WILLIAMS. Now, this is Seaside?

Mr. BENTZ. This is Ocean County. This entails Ocean County. They are very vivid.

Senator WILLIAMS. I don't know how many we can include in our record. In order to be economical about this, let's just pick out examples, typical examples, and include them in our hearing record. Mr. BENTZ. I thought they might be just for your personal edification.

Senator WILLIAMS. Yes. Very well, we will keep them in our files. We will have them for the committee when we go into the executive session.

Mr. BENTZ. I think basically my question goes along with my colleague, Mayor Rowland. Is the bill all encompassing enough at this particular time?

I again agree with my other colleagues that the one-family dwelling is a must. We agree with this. There is no dissent whatever. But there are other people who have very highly vested interests that should be protected also.

We like to believe ourselves in just a small way as being representative of the Disneyland of the East. We have a tremendous investment in the boardwalk, concessions, rides, and so on, for the general public. Senator WILLIAMS. We have had testimony from Asbury Park through Wildwood, which is what? About 80 miles?

Mr. JAMES. About a 100-mile spread.

Senator WILLIAMS. And this problem runs really from Atlantic Highlands all the way to Cape May, which is about 130 miles.

Mr. JAMES. Right.

Senator WILLIAMS. And it is common to the whole area.

Mr. JAMES. Right.

Mr. BENTZ. And as has been stated here

Senator WILLIAMS. And it involves property owners numbering how many thousands?

Mr. ROWLAND. Oh, many.

Mr. JAMES. Many.

Senator WILLIAMS. That would be upwards of 100,000?

Mr. ROWLAND. At least.

Mr. JAMES. Better than that.

Mr. BENTZ. I would say half a million.

Mr. WALDMAN. Yes.

Mr. BENTZ. As has been stated here again, we do represent the largest business in the State of New Jersey, and to lose that or any part of it would be detrimental to the State that you represent, so I know that you are deeply interested.

But what comes to my mind here

Senator WILLIAMS. Of course, this is not just a coastal problem. You know we have had some very, very severe floods on the Delaware River and then even small rivers with flash floods, Elizabeth, Passaic, Hackensack.

Mr. ROWLAND. Trenton a few years ago.

Senator WILLIAMS. You encounter this problem wherever you have a river or ocean. You are flood prone.

Mr. BENTZ. I was wondering if there would be any situation included in the bill which would earmark some of this money from this reasonable amount of profit that is stated here as to the rebuilding and the protective end of it. In other words, an ounce of prevention is worth a pound of cure.

Now, I think that the great example of that was in the 1962 storm. Had we had better protection previous to the storm, we would have had less damage.

Senator WILLIAMS. Of course, that is not within our jurisdiction on this committee. That comes in other areas.

Mr. BENTZ. I believe it is section 3 that says the Secretary, after con. sulting the Corps of Engineers and appropriate State and local authorities, shall designate areas which are flood prone, as high-risk flood zones, and anyone who purchases or develops land within a high-risk flood zone after it has been so designated shall not be eligible for flood insurance.

Well, in the year following and months following the 1962 storm, we had the Army Engineers come in and set up a proposed dune line, and in some instances this dune line was 300 to 500 feet beyond our boardwalk, west of our boardwalk, running through the center of the town.

Now, I don't think the year of 1967 is the year for men to retreat. If you want to give up the State of New Jersey and all the environs to the ocean without taking care of it, then that is another view. But I think as a personal opinion along with others that this isn't the answer. The insurance is.

And I think that we would build a pot of money that we could use for the very thing that we need most-the protection.

Senator WILLIAMS. I certainly agree with you, and again this suggestion comes within an area of a different jurisdiction than the committee that is sitting here today. I agree with you.

Mr. BENTZ. I wonder if this couldn't be jelled and worked together with your committee and the other responsible authorities.

Senator WILLIAMS. I think the findings that will come from the Army Corps and the Coast and Geodetic and other agencies should

certainly be useful to those who are in a position to suggest appropriate safeguards against storms.

Mr. BENTZ. I know, Senator, this brought great, great concern to the shore municipalities in particular when this line was set up, and I felt it might be wise to call it to your attention at this time.

I have nothing further to add other than again my thanks to you for your invitation here today.

Senator WILLIAMS. These jetties now are a measure of protection, aren't they?

Mr. ROWLAND. Definitely.

Mr. JAMES. Yes, sir.

Senator WILLIAMS. And it is our constant struggle around here to provide more authority for more protection.

Mr. WALDMAN. Senator, right at the present time, as you are undoubtedly aware, there is quite a program on in the coastal regions of New Jersey. It is a four-point program just to provide exactly what the mayor was referring to.

I believe it is in the meeting stages. They say the nine steps. I think it is in about the third or fourth step at this time of the meeting stages through the Army Corps of Engineers in the coastal regions of New Jersey.

Senator WILLIAMS. Thank you.

Mr. WALDMAN. I would like to say one other thing that I have been authorized to say in speaking for the Ocean City area. If, as they say, you wish vocal support, we can pack this building with supporters of this bill.

Senator WILLIAMS. Well, just that statement will be sufficient.
Mr. WALDMAN. That is the statement, sir.

Senator WILLIAMS. We have two more witnesses. We have another vote now, and then we will finish by lunchtime.

(Whereupon, a recess was taken.)

Senator WILLIAMS. Mr. Rue.

New Jersey is weighing in pretty heavily today.

STATEMENT OF CHARLES L. RUE, MEMBER OF THE EXECUTIVE COMMITTEE, NATIONAL ASSOCIATION OF MUTUAL INSURANCE AGENTS; ACCOMPANIED BY WILLIAM A. STRINGFELLOW, GENERAL MANAGER

Mr. RUE. This is New Jersey day.

Senator WILLIAMS. From the National Association of Mutual Insurance Agents.

Mr. RUE. Yes sir, Mr. Chairman.

Senator WILLIAMS. You are the fellows who are going to make this work if we enact it?

Mr. RUE. We hope. We assure you we will give it the best.

The National Association of Mutual Insurance Agents represents, Mr. Chairman, approximately 16,000 independent agents operating in our 50 States. Its members represent numerous property and casualty companies throughout the country in serving their clients.

I am Charles L. Rue of Trenton in the great Garden State of New Jersey. I am a member of the executive committee of our association,

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