826 



§4003. Additional definitions. 



(a) As used in this Act, unless the context other- 

 wise requires, the term — 



(1) "community" means a State or a political 

 subdivision thereof which has zoning and building 

 code jurisdiction over a particular area having 

 special flood hazards; 



(2) "Federal agency" means any department, 

 agency, corporation, or other entity or instru- 

 mentality of the executive branch of the Federal 

 Government, and includes the Federal National 

 Mortgage Association and the Federal Home Loan 

 Mortgage Corporation; 



(3) "financial assistance" means any form of 

 loan, grant, guaranty, insurance, payment, rebate, 

 subsidy, disaster assistance loan or grant, or any 

 other form of direct or indirect Federal assistance, 

 other th.in general or special revenue sharing or 

 formula grants made to States; 



(4) "financial assistance for acf.ulsltlon or con- 

 struction purposes" means any form of financial 

 assistance which is intended in whole or in part for 

 the acquisition, construction, reconstruction, re- 

 pair, or Improvement of any publicly or privately 

 owned building or mobile home, and for any ma- 

 chinery, equipment, fixtures, and furnishings con- 

 tained or to be contained therein, and shall include 

 the purchase or subsidization of mortgages or 

 mortgage loans but shall exclude assistance for 

 emergency work essential for the protection and 

 preservation of life and property performed pur- 

 suant to the Disaster Relief Act of 1970 or any 

 subsequent Act of Congress which supersedes or 

 modifies the Disaster Relief Act of 1970; 



(5) "Federal instrumentality responsible for the 

 supervision, approval, regulation, or insuring of 

 banks, savings and loan associations, or similar 

 Institutions" means the Board of Governors of the 

 Federal Reserve System, the Federal Deposit In- 

 surance Corporation, the Comptroller of the Cur- 

 rency, the Federal Home Loan Bank Board, the 

 Federal Savings and Loan Insurance Corporation, 

 and the National Credit Union Administration; 

 and 



(6) "Secretary" means the Secretary of Hous- 

 ing and Urban Development. 



(b) The Secretary is authorized to define or rede- 

 fine, by rules and regulations, any scientific or tech- 

 nical term used in this Act, insofar as such definition 

 is not inconsistent with the purposes of this Act. 

 (Pub. L. 93-234, § 3, Dec. 31, 1973, 87 Stat. 976.) 



44011. Authorization to establish and carry out pro- 

 gram; participation by insurance companies and 

 other insurers, 

 (a) To carry out the purposes of this chapter. 

 tbe Secretary of Housing and Urban Development is 

 authorized to establish and carry out a national 

 flood Insurance program which will enable inter- 

 ested persons to purchase insurance against loss 

 resulting fror.i physical damage to or loss of real 

 property or personal property related thereto arising 



from any flood occurring in the United States. 



(b) In carrjing out the flood Insurance program 

 the Secretary shall, to the maximum extent prac- 

 ticable, encourage and arrange for — 



(1) appropriate financial participation and 

 risk sharing in the program by insurance com- 

 panies and other insurers, and 



(2) other appropriate participation, on other 

 than a risk -sharing basis, by Insurance companies 

 and other insurers, insurance agents and brokers, 

 and insurance adjustment organizations, 



&i accordance with the provisions of subchapter n 

 of this chapter. (Pub. L. 90-448, tlUe XIH, § 1304. 

 Aug. 1. 1968, £2 Stat. 574.) 



§ 4012. Scope of program and priorities. 



(a) Priority for insurance for certain residential and 

 church properties and business concerns. 



In carrying out the flood insurance program the 

 Secretary shall afford a priority to making flood 

 insurance available to cover residential properties 

 which are designed for the occupancy of from one 

 to four families, church properties, and business 

 properties which are owned or leased and operated 

 by small business concerns. 

 0>) Availability of insurance for other properties. 



If on the basis of — 



(1) studies and investigations undertaken and 

 carried out and Information received or exchanged 

 under section 4014 of this title, and 



(2) such other Information as may be necessary, 

 the Secretary determines that it would be feasible 

 to extend the flood insurance piogram to cover other 

 properties, he may take such action under this chap- 

 ter as from time to time may be necessary in order 

 to make flood insurance avallr.ble to cover, on such 

 basis as may be feasible, any types and classes of — 



(A) other residential properties. 



(B) other business properties. 

 <C) agricultural properties, 



(D) properties occupied by private nonprofit 

 organizations, and 



(E) properties owned by State and local gov- 

 ernments and agencies thereof, 



and any such extensions of the program to any 

 types and classes of these properties shall from time 

 to time be p>rescribed in regulations. 



(e) Availability of insurance in States or areas evi- 

 dencing positive interest in securing insurance ' 

 and assuring adoption of adequate land use and 

 control measures. 

 The Secretary shall make flood insurance avail- 

 able In only those States or areas (or subdivisions 

 thereof) which he has determined have — 



<1) evidenced a positive Interest in securing 

 flood insurstnce coverage under the flood insurance 

 program, and 



(2) given satisfactory assurance that by 

 Deceml)er 31, 1971, adequate land use and control 

 measures will have been adopted for the State 

 or area (or subdivision) which are consistent with 

 the comprehensive criteria for land management 

 and use developed under section 4102 of this title, 

 and that the application and enforcement of such 

 measures will commence as soon as technical In- 



