Loading...
LTC 364-2021 FEMA PRELIMINARY FLOOD INSURANCE RATE MAPS AND RISK RATING 2.0 (UPDATE #2) OFFICE OF THE CITY MANAGER NO. LTC # 364-2021 LETTER TO COMMISSION TO: Honorable Mayor Dan Gelber and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: 9/02/2021 SUBJECT: FEMA PRELIMINARY FLOOD INSURANCE RATE MAPS AND RISK RATING 2.0 (UPDATE #2) Understanding flood risk and the cost of insurance are both significant priorities for Miami Beach as a coastal barrier island. The Federal Emergency Management Agency (FEMA) is in the process of: • Updating FEMA Flood Maps that may result in changes in the flood zone and base flood elevation for property owners. FEMA is in the post-processing stage of updating these maps and they are not yet effective. Property owners are encouraged to review the map changes through the resources included below; and • Changing how the National Flood Insurance Program prices the cost of flood insurance through a process called Risk Rating 2.0. Policy holders are encouraged to contact their flood insurance agent to understand how the new pricing approach may affect them. Miami Beach’s participation in the Community Rating System provides most policy holders a 25% discount that totals $8.6 million in savings annually. This helps offset increasing federal rates. FEMA Flood Maps FEMA recently conducted a new coastal flood study in Miami-Dade County, using more advanced modeling methods to update the Flood Maps. The maps are not yet effective and may change as FEMA addresses comments by stakeholders. A Miami Beach summary is included in Attachment A. Property owners are encouraged to review the preliminary changes in the following ways: 1. Schedule an appointment with the City’s Floodplain Manager through the Building Department’s online appointment system (https://wb- miamibeachfl.qmatic.cloud/qmaticwebbooking/#/) 2. Access Miami-Dade County’s Flood Zone Maps which has added a preliminary flood maps tab. a. Flood Zone Maps - Miami-Dade County (miamidade.gov) https://www.miamidade.gov/environment/flood-maps.asp b. Miami-Dade County has a flood zone hotline 305-372-6466 DocuSign Envelope ID: 2856739D-8B86-4A2B-9D25-F8B9DBFC5C36 3. Utilize FEMA’s sources to access the maps: o FEMA Map Service Center (https://msc.fema.gov/portal/home) o Flood Map Changes Viewer (arcgis.com) (https://www.arcgis.com/apps/webappviewer/index.html?id=e7a7dc3ebd7 f4ad39bb8e485bb64ce44) o Instructions on how to use the FEMA website is available on the City’s website: https://www.miamibeachfl.gov/city-hall/building/local-flood- hazard-info/. Flood Map Outreach Efforts to communicate this information to property owners include: • The City’s FEMA Community Rating System Program for Public Information (PPI) Committee discussed outreach and communication strategies related to the FIRM Maps. At the meeting, FEMA Senior Engineer Mark Vieira presented to the Committee. • The Miami Beach Chamber of Commerce’s Resiliency and Sustainability Task Force • The City’s e-newsletter and an informational spread in the fall issue of MB Magazine. • City website updates. FEMA’s next steps include: • Communities in Miami-Dade County will have a 90-day appeal and comment period (date has not yet been identified, this will be published in the Federal Register and published in the local newspapers); • FEMA will resolve appeals and finalize map products; • Municipalities will have a six-month compliance period to adopt the new maps into floodplain ordinances; and • Maps become effective. National Flood Insurance Program Risk Rating 2.0 FEMA is also changing the way the National Flood Insurance Program prices insurance to reflect risk more accurately. The new approach is referred to as Risk Rating 2.0. A Miami Beach policy holder summary is included in Attachment B. Current National Flood Insurance Program policyholders are encouraged to contact their insurance company or insurance agent to learn more. Starting Oct. 1, 2021, new policies will be subject to the new rating methodology. At this time, existing policyholders eligible for renewal will be able to take advantage of immediate decreases in their premiums. All remaining policies renewing on or after April 1, 2022, will be subject to the new rating methodology. More information about Risk Rating 2.0 is located on the following website: https://www.fema.gov/flood-insurance/risk-rating. For any questions or comments, please contact me or Amy Knowles, Chief Resilience Officer at amyknowles@miamibeachfl.gov. ATH/EC/ALK/AS DocuSign Envelope ID: 2856739D-8B86-4A2B-9D25-F8B9DBFC5C36 Attachment A Highlights of the Preliminary Flood Map Changes for Miami Beach Within the current Flood Maps, 97% of the City is within flood zones requiring insurance for federally backed mortgages, with 3% in the X zone not requiring insurance. Under the Preliminary Flood Maps, 87% of the City is within a flood zone, with 13% in the X zone not requiring insurance. Note that flood insurance is encouraged for all residents and businesses due to being near flood zones. Zone AE 93% Zone VE 2% Zone X 3%Zone 0.2 pct 2% Current Flood Zones Zone AE 82% Zone VE 5% Zone X 13% Zone AO 0% Proposed Flood Zones DocuSign Envelope ID: 2856739D-8B86-4A2B-9D25-F8B9DBFC5C36 Base Flood Elevation Change Summary Base Flood Elevation (BFE) is the elevation of surface water resulting from a flood that has a 1% chance of equaling or exceeding that level in any given year. BFE is important for construction, plan reviews and inspections that must meet FEMA compliance, Floodplain Management Regulations and Florida Building Code. Building higher than BFE, referred to as “freeboard” is required and encouraged. The City’s ordinances (2016- 4009 and 2016-4010) for a higher freeboard and grade elevations were a positive move that may save policy holders on premiums and avoided risk. High level analysis of the changes include: • 51.8% of properties will see no change (16.5%) or a decrease in the base flood elevation (35.5%). • 48.2% of properties will have an increase in base flood elevation, note that 43.6% will see base flood elevation increases of less than one-foot. It is important to note that the preliminary flood maps use a different datum. While the 2009 Flood Maps utilize NGVD29, the new preliminary flood maps utilize NAVD88. This datum change is a change in the starting point for measuring elevations. When property owners examine changes in in the proposed maps for Base Flood Elevation, they will also need to make the FEMA specified Miami-Dade conversion. The Miami Beach conversion is: NAVD88= NGVD29 – 1.56. Users may also utilize online conversion calculators. DocuSign Envelope ID: 2856739D-8B86-4A2B-9D25-F8B9DBFC5C36 Attachment B National Flood Insurance Program Risk Rating 2.0 FEMA is also changing the way the National Flood Insurance Program prices insurance to reflect risk more accurately. The new approach is referred to as Risk Rating 2.0. Current National Flood Insurance Program policyholders are encouraged to contact their insurance company or insurance agent to learn more. Starting Oct. 1, 2021, new policies will be subject to the new rating methodology. At this time, existing policyholders eligible for renewal will be able to take advantage of immediate decreases in their premiums. All remaining policies renewing on or after April 1, 2022, will be subject to the new rating methodology. More information about Risk Rating 2.0 is located on the following website: https://www.fema.gov/flood-insurance/risk-rating. Based on publicly available FEMA data, the following chart highlights estimated changes for policies within City of Miami Beach zip codes. The changes are similar to the statewide estimates. Annual increases are capped at 18%. . https://www.fema.gov/sites/default/files/documents/fema_florida-state-profile_03-2021.pdf DocuSign Envelope ID: 2856739D-8B86-4A2B-9D25-F8B9DBFC5C36