OVERSIGHT ON FEDERAL FLOOD INSURANCE PROGRAM

HEARINGS

BEFORE THE

SUBCOMMITTEE ON

HOUSING AND URBAN AFFAIRS

OF THE

COMMITTEE ON

BANKING, HOUSING AND URBAN AFFAIRS UNITED STATES SENATE

NINETY-FOURTH CONGRESS

FIRST SESSION

ON

THE PROGRESS THAT HAS BEEN ACHIEVED, AND THE
PROBLEMS THAT HAVE BEEN ENCOUNTERED IN CARRY-
ING OUT THE NATIONAL FLOOD INSURANCE PROGRAM

COMMITTEE ON BANKING, HOUSING AND URBAN AFFAIRS

WILLIAM PROXMIRE, Wisconsin, Chairman

JOHN SPARKMAN, Alabama

HARRISON A. WILLIAMS, New Jersey
THOMAS J. MCINTYRE, New Hampshire

ALAN CRANSTON, California
ADLAI E. STEVENSON, Illinois
JOSEPH R. BIDEN, JR., Delaware

JOHN TOWER, Texas

EDWARD W. BROOKE, Massachusetts

BOB PACKWOOD, Oregon

JESSE HELMS, North Carolina

JAKE GARN, Utah

ROBERT MORGAN, North Carolina

KENNETH A. MCLEAN, Staff Director
ANTHONY T. CLUFF, Minority Staff Director

SUBCOMMITTEE ON HOUSING AND URBAN AFFAIRS
JOHN SPARKMAN, Alabama, Chairman

WILLIAM PROXMIRE, Wisconsin
HARRISON A. WILLIAMS, New Jersey
THOMAS J. MCINTYRE, New Hampshire
ALAN CRANSTON, California

JOSEPH R. BIDEN, JR., Delaware

EDWARD W. BROOKE, Massachusetts
JOHN TOWER, Texas
BOB PACKWOOD, Oregon
JAKE GARN, Utah

CARL A. S. COAN, Staff Director
JEREMIAH S. BUCKLEY, Minority Counsel

(II)

CONTENTS

LIST OF WITNESSES

WEDNESDAY, NOVEMBER 12

Thomas F. Eagleton, U.S. Senator from the State of Missouri_

Pete V. Domenici, U.S. Senator from the State of New Mexico_---

Henry Eschwege, Director, Resources and Economic Development Divi-

sion, General Accounting Office, accompanied by Wilbur D. Campbell,

Associate Director; and Leonard Dowd, General Accounting Office,

Seattle regional office___.

Samuel H. Weese, general manager, National Flood Insurers Association__

George K. Bernstein, attorney_.

47

Robert M. Shofstahl, on behalf of the U.S. League of Savings Associations,

accompanied by Lee B. Holmes, special counsel, Government operations__ 57

THURSDAY, NOVEMBER 13

Howard C. Tooke, mayor of Cape Girardeau, Mo_‒‒‒‒

A. M. Spradling, Jr., State senator from the 27th District of Cape

Girardeau, Mo___.

Terry Keeling, chairman, Steering Committee, Citizens for Local Land

Control, accompanied by C. E. Myska, Richmond, Tex.; John Stevenson,

Richmond, Tex.; Frank Sorrell, Wharton, Tex.; and Tom George,

Austin, Tex___

123

Clell Carpenter, vice president, Midcontinent Farmers Association, Colum-

bia, Mo___

131

L. H. Jones, Chamber of Commerce, Brazosport, Tex_

Boyd C. Mills, city administrator, city of Arnold, Mo..

Ray Holbrook, county judge, Galveston, Tex_-

Oliver W. Nelson, slectman, Jackson, N.H__

139

144

151

156

Brig. Gen. Kenneth E. McIntyre, deputy director of civil works, Office of

the Chief of Engineers, Department of the Army, accompanied by Lt. Col.

Donald Morelli, George Phippen, and Jerome Peterson__

198

J. Robert Hunter, Acting Administrator, Federal Insurance Administra-

tion, Department of Housing and Urban Development___

223

ADDITIONAL STATEMENTS AND DATA

Alabama Development Office, telegram from R. C. "Red" Bamberg,

director

361

Alaska Department of Community and Regional Affairs, telegram from

Lawrence H. Kimball, State coordinator__.

361

Albuquerque, N. Mex., letter to Senator Domenici from Mayor Harry E.
Kinney

23

Alvin State Bank, Alvin, Tex., letter from Sam A. Rowe, executive vice

president

307

Arnold, Mo., letters and statement from Boyd C. Mills, city administrator_

Aucoin, Marion E., Alabama, letter to Senator Sparkman..

146

365

Beard, Robin L., Representative in Congress from the State of Tennessee,

statement received for the record...

365

Bentsen, Lloyd, U.S. Senator from the State of Texas, statement, with
attachments..

167

Calhoun, Mo., exchange of letters between the Housing Subcommittee and

the Federal Flood Insurance Administration relative to the town's eligi-

bility in the program_

Page

20

California Resources Agency, telegram from Claire T. Dedrick__

Cape Girardeau, Mo.:

362

Analysis of building costs: Flood proofing regulations versus conven-

tional construction__.

75

Burton Gerhardt Construction Co.'s estimates_.

Engineering department calculations----

82

76

Letter from Guy A. Lowes, city engineer, to Thomas M. Utterback,

city attorney--.

76

Letter to Senator Proxmire, from Dewey M. Keller, president,
Mercantile Bank_.

92

Loans made in recent years in Town Plaza Shopping Center__

Statement of Paul Ebaugh, chairman of the board, First National

Bank

87

83

Thomas C. Holsose's estimates_.

80

Citizens for Local Land Control, Richmond, Tex., statement and resolution

received for the record___

125

City of Northampton, Mass., letter to Senator Sparkman from Sean M.
Dunphy, mayor---

313

Conservation Law Foundation, Inc., Boston, Mass., letter from Alexandra

D. Dawson, director of services_.

County of Travis, Tex., letter from Judge Mike Renfro__

Department of the Army, Office of the Chief of Engineers, letter to Senator
Sparkman relative to maps used in flood insurance studies, from Kenneth
E. McIntyre, Brigadier General, U.S.A., Deputy Director of Civil
Works

308

356

221

Eagleton, Thomas F., U.S. Senator from the State of Missouri, letter re-
ferring to the testimony of George K. Bernstein_-_.

172

Federal Deposit Insurance Corporation, letter from Frank Wille, Chair-

171

man

Federal Insurance Administration, Department of Housing and Urban

Development:

Agnes (1972) versus Eloise (1975).

Agreement, supplemental agreement, addendum to the agreement, and

amendment to the agreement by and between the Secretary of Hous-

ing and Urban Development and the National Flood Insurers Asso-

ciation

Answers to questions raised with respect to the assumptions made

in calculating the distribution of economic loss set forth in letter to

Senator Eagleton----.

270

277

243

Answers to written questions of Senator Thomas J. McIntyre---

Communities prevented from participation in the National Flood

Insurance program due to legal impediments in State law_.

Conversion from emergency program to regular program__.

Letter from Richard W. Krimm, Assistant Administrator for Flood

Insurance

181

273

293

20

Letter from Senator McIntyre to J. Robert Hunter, Acting Admin-
istrator

178

Oversight actions and initiatives taken with respect to the operations

of the National Flood Insurers Association___

245

Reactions to comments concerning published revisions to the existing

regulations of the National Flood Insurance program___.

Report on emergency program communities enforcing regulations

exceeding FIA requirements_

263

286

Report on impact of flood plain management under the emergency

program

290

Status of appeals for flood hazard boundary maps, Nov. 1, 1975_.

First National Bank of Richmond, Tex., letter from A. E. Myers----

Florida Department of Community Affairs, telegram from Harry Schmert-

mann, flood insurance coordinator__.

274

114

361

Fort Bend Drainage District, Tex., statement of Stanley L. Kucherka,

Jr., engineer---

117

Friendswood Development Co., mailgram received by Senator Sparkman__

Georgia State Flood Plain Management, telegram from David H. Wiltsee,

coordinator

363

361

Gingery, Deryl W., letter in opposition to S. 810_.

310

Grantsville, Utah, documentation of participation in program received in

letter to subcommittee from J. Robert Hunter, Acting Federal Insurance

Administrator

Hill, Erwin F., Jr., Houston, Tex., statement of position__.

Holcombe & Dame, Plattsburgh, N. Y., letter to Senator Eagleton from

Kenneth H. Holcombe___

Page

305

115

12

Houston Post, reprints of articles received for the record.

League of Women Voters of the United States, letter from Ruth C. Clusen,

president

168

311

Leahy, Patrick J., U.S. Senator from the State of Vermont, letter to Senator

Sparkman

366

Minnesota Department of Natural Resources, letter from Robert L.

Herbst, commissioner__

Midwestern Flood Control and Water Resources Conference, reprint of

30th annual meeting---

Mississippi, telegram from State coordinator, Willard B. Inman.

Montana:

Letter from Gary J. Wicks, director, Department of Natural Re-

317

319

361

sources

326

Telegram from C. L. Gilbertson, administrator, Civil Defense Divi-
sion

361

Mortgage Bankers Association of America, letter statement from Oliver
H. Jones, executive vice president---

321

Myska, C. E., Richmond, Tex., letter to subcommittee_-

National Association of Home Builders, letter and statement from J. S.

Norman, Jr., president--

108

327

National Association of Realtors, statement received for the record___.

National Credit Union Administration, letter from Herman Nickerson, Jr.,
Administrator

336

178

Nebraska National Resources Commission, letter from Dayle E.

Williamson, executive secretary__.

343

New York State College of Agriculture and Life Sciences, letter from

Lawrence S. Hamilton, professor, department of natural resources-

North Dakota State Water Commission, letter from Ken Royse, State

coordinator, Federal flood insurance_.

344

345

Ohio Department of Natural Resources, letter received from Robert W.
Teater, director____

363

Pennsylvania Department of Community Affairs, letter from William H.

Wilcox, secretary

346

Portsmouth, Va., Redevelopment and Housing Authority, letter and state-

ent from D. B. Frye, Jr., executive director___

349

President Gerald R. Ford, telegram received from group in opposition to

S. 810

362

Rapid City floodway clearance urban renewal program, report titled "The

Pieces Falling in Place"-

247

Rockefeller, Laurance, reprint of letter sent to members of the subcom-

mittee

355

Rosenberg-Richmond Area Chamber of Commerce, letter to members of

the subcommittee..

Sartwelle, Robert A., Houston, Tex., letter to subcommittee_

South Carolina Water Resources Commission, telegram from Clair P.

Gess, Jr., executive director_.

112

121

362

Stevenson, John M., Jr., Houston, Tex., letter to Senator Sparkman_

Texas Farm Bureau, Wharton County, letter from David Foehner,

president

364

358

Texas State House of Representatives, letter to J. Robert Hunter, Jr., from

Bill Blythe.

Texas Water Development Board, statement of Harry P. Burleigh,

executive director

Town of Fort Kent, Maine, letter from Claude Dumond, town manager__

Tulsans for a Better Community, letter from Jennie Carter, president__

Vermont Natural Resources Council, letter to Senator Leahy from Seward

Weber, executive director____

Washington State Department of Ecology, telegram from John A. Biggs,

director

364

214

309

359

366

362

Wessendorff, Joe C., Richmond, Tex., letter to subcommittee__.
West Virginia, letter from Barbara L. Given, flood insurance specialist,
State coordinating office_-_-

110

219

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