NFIP: Insights for Colorado Wildfire Programs

Karen AmrheinJuly 29, 2013

Wildfire Insurance and Forest Health Task Force

AgendaMy BackgroundImplementation Framework of NFIP,

Map Mod and Risk MAPMapping Insurance and Risk OverviewMapping Insurance - Lessons Learned Best Practices

Risk MAP, CAV, CRS, Ordinances, CTP, HMPsActionable Risk CommunicationThoughts from the 2013 Natural Hazards

Workshop

My Background

NFIPLOMA Analyst

CorrespondenceSpecial Projects Team

Certified Floodplain ManagerOutreach Materials

Mapping Needs Assessment Cooperating Technical PartnersScope/Contract DevelopmentMap/Funding Prioritization

Training

MAP MODCO/SD Map Mod Coordinator

CO ComplianceCO/SD/MT Map Scoping

RISK MAPDiscovery

Community EngagementResilience

Risk Reduction and Local Action

LOMA – Letter of Map Amendment Risk MAP – Mapping, Assessment, Planning

The NFIPFlood insurance provided to property and

structure owners in NFIP-participating communities

Participating communitiesAdopt minimum floodplain development criteriaMaintain permitting process for SFHAInsurance requirement for federally-backed

mortgages in SFHAMost disaster aid unavailable to non-

participating communitiesNFIP – National Flood Insurance

ProgramSFHA – Special Flood Hazard Area

Due Process

Data Systems

LOMAsLOMR

s

ImplementationCongressional Funding FEMA HQ Corresponden

ceGuidance and Policy Support

Community Engagement

Risk MAP Non-Regulatory Products

Regulatory Products (FIRM/FIS)

Compliance

Mitigation Planning &

Grants

Mapping

HQ Contractors

Regional Contractors

Cooperating Technical

Partners

FEMA Regions 1-

10

Mapping ProjectScope Development

Data Development

Preliminary Release

Comment Period

Final Map Development

Compliance Period

Effective Map

Insurance and Risk MappingRegulatory Data

FEMA is to provide flood insurance zone data, with some Base Flood Elevations, to participating communitiesFEMA Study - Flood Insurance Rate Maps (FIRMs) and

Flood Insurance Study (FIS) reports FEMA Modification - Physical Map Revision (PMR)Community - Letter of Map Revision (LOMR)Homeowner - Letter of Map Amendment (LOMA)

Insurance Mapping PitfallsSubsidized premiums don’t reduce riskLimited federal funding, many SFHAs are outdatedFIRM places properties IN or OUT,

does not indicate level of riskHomeowner perspectives

Not high risk = no risk (Insurance infrequently purchased for non-SFHA areas, even though 25% of claims are outside the SFHA)

Insurance reduces mitigation effortsMaps are inaccurateGeneral negative opinion of FEMA forcing insurance

SFHA – Special Flood Hazard Area FIRM – Flood Insurance Rate Map

Data Pitfalls – The Levee SituationRegulatory requirement on levees Um, “ignored”Risk data inaccurate in levee-protected areasResponse: Provisionally-Accredited Levee System (PALS)Katrina brings national attentionLevee-protected citizens unite against increased premiumsResponse: Levee Analysis Mapping Procedures (LAMP) What’s next? We will see…Takeaway

Enforce regulationsStand by solid dataTake steps to reduce “levee-protected” concept

Lessons LearnedMap development is complex and involvedCommunity engagement is important

Buy-in means ordinance adoptionReduced high-level political involvementIncreased local action effortsIncreased local responsibility

“Level of risk” data better than “in or out” data

Enforce good data

Best Practices: Risk MAPDiscovery

Watershed-basedProactive engagement of “Whole Community”All hazards, all issues

Mapping, Mitigation, Communication, TrainingCapability Assessment

Resilience MeetingsMitigation Planning and Action ConversationAction Metric – Local Action SupportPitfall – local responsibility?

Non-Regulatory Data Flood Risk Map and Report Flood Risk Database

Areas of Mitigation Interest, Flood Depth Grids, Average Annualized Loss

Best Practice: CAVsCommunity Assistance VisitsPerformed on State and Federal levelQuality important to successOne-on-one local program reviewCommunity TourOrdinance conversationFloodplain development permitting process

reviewTraining and capability support

Best Practice: CRSCommunity Rating SystemVoluntary community

involvementEncourages local risk

reductionInsurance premium

reductionPopularity increasing as

insurance subsidies decreasing

CRS Creditable Activities300 Series - Public Information Activities

Elevation CertificatesMap Information Service

Outreach ProjectsHazard Disclosure

Flood Protection InformationFlood Protection AssistanceFlood Insurance Promotion

400 Series - Mapping and RegulationsFloodplain Mapping

Open Space PreservationHigher Regulatory Standards

Flood Data MaintenanceStormwater Management

500 Series - Flood Damage Reduction ActivitiesFloodplain Management Planning

Acquisition and RelocationFlood Protection

Drainage System Maintenance600 Series - Warning and Response

Flood Warning and ResponseLeveesDams

Best Practice: Building Codes and OrdinancesInsurance

Essential for recoveryCreates complacency rather than mitigation

Ordinances and Building CodesRequire local conversation (good thing)Require enforcement (resources)Can still be based on risk levelConsistentMarketing approach could activate “The

Joneses Factor”

Best Practice? CTPsCooperating Technical PartnersDenver Urban Drainage and Flood Control DistrictState partnersMapping, outreachLocal insight, trust, relationships (good)Program and technical knowledge (?)“It’s not what it is, it’s what it could be.”

Leverage relationshipsSet higher standardsEngage communities (counties) and facilitate dialogue“The Joneses Factor” (counties)

Best Practice? HMPHazard Mitigation PlanLocally-developed mitigation action planRequired for most disaster/mitigation grantsPitfalls – many contractor-developedPotential!

Facilitate local dialogueCommunity-led risk reduction planningLocal outreach program?“The Joneses Factor” (homeowners)

Actionable Risk CommunicationCommunicating

Actionable Risk for Terrorism and Other Hazards, 2012, (Michele Wood, Dennis Mileti, and others)

Research focuses on trying to model the factors that actually matter in household readiness

What factors actually matter in household readiness?“Although it feels good, our intuition about how to

motivate behavior change often misses the mark.”Not important: Level of Risk, Socio-economic status,

geographyMost important:

The information received Especially telling what actions to take and

how those actions cut future losses Multiple sources, multiple channels, frequently repeated

Milling Talking about getting ready with others

Monkey See, Monkey Do (The Joneses Factor) Seeing others get ready is strongest motivation

Actionable Risk Communication

Milling

•Provide risk information•Places to go for more info

Actions

•Couple it with actionable items•“Here’s what you can do”

Sharing

•Promote sharing•Use examples from other

communities

More Resilient Communities

Thoughts from 2013 Hazard Workshop

People are not preparedInsurance reduces consumer effort to

mitigateSubsidized insurance reduces success in risk

reductionMitigation Transfer FeePerception: Not “high-risk” = “no risk”Important Message: Resilience is everyone’s

responsibility – local, household, individualCommunity resilience must be community-ledWhole Community is essential

Questions and Discussion

Resilience is our responsibility.