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F, MAY I CD �9' d BOOK 86 F'A";E 452. Chairman Eggert thought that is because it is attached to the National Housing Act and people are not aware if it. Commissioner Scurlock felt national flood insurance is such a large and complicated issue that it is difficult to be knowledgeable. He felt the insurance industry should have taken a much more active role to give some guidance. Dr. Fallon estimated that Florida paid 40 percent of the premiums in this program, approximately $350 million per year since 1960, and have total claims of only $150 million. He also pointed out that after the disaster of Hurricane Hugo, $150 million came from the insurance reserve fund and the balance from the disaster relief fund. Actuarially, the insurance program pays for itself and retains a large reserve. He emphasized that the bill would exclude the areas which cause the most losses and that is the Mississippi riverine area, which almost regularly overflows. Commissioner Scurlock felt caught between supporting the concept of encouraging people to move back from river basins and the coastline on the one hand and realizing that the issues of assessed value and property rights are also involved. Commissioner Wheeler expressed the impracticality of everyone moving to high ground. Commissioner Scurlock did not want to pay for an individual who chooses to live right next to water which he knows will flood out regularly, and his understanding was that Dr. Fallon said the insurance program is not subsidized. Dr. Fallon confirmed that fact and added that with our coastal management controls in existence in Florida, we should not be penalized along with other areas where structures are built out into the water and are destroyed each year. Dr. Fallon informed the Board that one of the consequences of the bill would be that homes built 30, 25, 10 years ago in full compliance with all the construction standards and all the FEMA regulations could end up in a new zone because of the new regulations. The owners would be offered 40 percent of the value to a maximum of $74,000, irrespective of the value of the house, to move the house back. They would be offered 110 percent to demolish the house. In the preamble to the bill, paragraph 18 says due to the amount of homelessness in the United States and the problem we have with it, before we suggest the home or structure be demolished or moved back, it be given to the homeless. MOTION WAS MADE by Commissioner Wheeler, SECONDED by Chairman Eggert, to adopt the proposed resolution. 12