AMENDMENTS TO EXISTING FLOOD MITIGATION ASSISTANCE PROGRAM.

SEC. 103. AMENDMENTS TO EXISTING FLOOD MITIGATION ASSISTANCE PROGRAM.(a) Standard for Approval of Mitigation Plans.—Section 1366(e)(3) of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended by adding at the end the following new sentence: “The Director may approve only mitigation plans that give priority for funding to such properties, or to such subsets of properties, as are in the best interest of the National Flood Insurance Fund.”.(b) Priority for Mitigation Assistance.—Section 1366(e) of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended by striking paragraph (4) and inserting the following:“(4) Priority for mitigation assistance.—In providing grants under this subsection for mitigation activities, the Director shall give first priority for funding to such properties, or to such subsets of such properties as the Director may establish, that the Director determines are in the best interests of the National Flood Insurance Fund and for which matching amounts under subsection (f) are available.”.(c) Coordination With States and Communities.—Section 1366 of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c) is amended by adding at the end the following:“(m) Coordination With States and Communities.—The Director shall, in consultation and coordination with States and communities take such actions as are appropriate to encourage and improve participation in the national flood insurance program of owners of properties, including owners of properties that are not located in areas having special flood hazards (the 100-year floodplain), but are located within flood prone areas.”.(d) Funding.—Section 1367 of the National Flood Insurance Act of 1968 (42 U.S.C. 4104d) is amended—(1) in subsection (b), by striking paragraph (1) and inserting the following:“(1) in each fiscal year, amounts from the National Flood Insurance Fund not exceeding $40,000,000, to remain available until expended;”;118 STAT. 722(2) by redesignating subsections (c) and (d) as subsections (d) and (e), respectively; and(3) by inserting after subsection (b) the following:“(c) Administrative Expenses.—The Director may use not more than 5 percent of amounts made available under subsection (b) to cover salaries, expenses, and other administrative costs incurred by the Director to make grants and provide assistance under sections 1366 and 1323.”.(e) Reduced Community Match.—Section 1366(g) of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c(g)), is amended—(2) by redesignating paragraph (2) as paragraph (3); and(3) by inserting after paragraph (1) the following:“(2) Reduced community match.—With respect to any 1-year period in which assistance is made available under this section, the Director may adjust the contribution required under paragraph (1) by any State, and for the communities located in that State, to not less than 10 percent of the cost of the activities for each severe repetitive loss property for which grant amounts are provided if, for such year—“(A) the State has an approved State mitigation plan meeting the requirements for hazard mitigation planning under section 322 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5165) that specifies how the State intends to reduce the number of severe repetitive loss properties; and“(B) the Director determines, after consultation with the State, that the State has taken actions to reduce the number of such properties.”.(f) National Flood Mitigation Fund.—Section 1366(b)(2) of the National Flood Insurance Act of 1968 (42 U.S.C. 4104c(b)(2)), is amended by striking “$1,500,000” and inserting “7.5 percent of the available funds under this section”.