Rep. Carter Moves to Subpoena Elizabeth Asche, Assistant Administrator of the Federal Insurance Directorate at FEMA, to Provide Answers on Skyrocketing Flood Insurance Rates

WASHINGTON, D.C. – Yesterday, Congressman Troy A. Carter, Sr. (D-LA) moved that the House Homeland Security Committee subpoena Elizabeth Asche, Assistant Administrator of the Federal Insurance Directorate at the Federal Emergency Management Agency (FEMA), to provide the Committee with the details the agency has been withholding from Congress related to the National Flood Insurance Program’s premium methodology, known as Risk Rating 2.0.

Since implementing Risk Rating 2.0 in 2021, FEMA has refused to release the underlying data or assumptions used to justify the steep premium increases that are impacting families and businesses in Louisiana and across the nation.

Below is a transcript of Rep. Carter’s remarks as prepared:

“Thank you, Mr. Chairman. I wholeheartedly support all of my Democratic colleagues’ efforts today to demand information and accountability about the cruel and profoundly un-American mass deportation agenda being undertaken by Donald Trump and his allies, as well as the administration’s dereliction of duty in federal disaster response amid hurricane season.

“However, I would like to take a few minutes to highlight a critical financial issue affecting families and businesses in Louisiana and across the country—flood insurance.

“Flood risk is not just a coastal issue—it affects us all. Since 1996, flood events have occurred in all 50 states and 99% of U.S. counties. That means nearly every single American community has experienced the economic, environmental, or emotional toll of flooding. With climate change intensifying the frequency and severity of major storms, the need for accessible, affordable, and transparent flood insurance has never been more urgent.

“Unfortunately, FEMA’s implementation of Risk Rating 2.0—the new methodology for calculating National Flood Insurance Program (NFIP) premiums—has created serious affordability problems for our constituents.

“Let me be very clear: Congress did not pass legislation to mandate Risk Rating 2.0, nor did we have any meaningful input in its development. FEMA claims that this overhaul falls under its administrative authority; however, FEMA bypassed a formal rulemaking process, conducted no economic impact analysis, and declined to brief Congress before implementing one of the most sweeping changes to the NFIP in its history.

“In fact, FEMA has continuously refused to release its full Risk Rating 2.0 methodology. Policyholders do not have access to their property-level rating factor inputs, except for the few listed on their declaration pages, which are made available only after coverage is purchased.

“This lack of transparency is unacceptable.

“In my district, the consequences are real and deeply concerning. Premiums are rising dramatically, and in some cases, unpredictably, exacerbating our ongoing housing affordability crisis. Louisiana is not alone in this issue.

“There are over 1.5 million policyholders in Florida and approximately 700,000 in Texas, among others. On average, under Risk Rating 2.0, an NFIP policy will cost $1,808, representing a 103.6% increase over legacy rates. There are 17 states with higher average rates than Louisiana. Rates will increase by over 50% in 41 states. Some of the states with the highest average full-risk rates include Maine at a 183% rate increase, West Virginia at 171%, Mississippi at 149%, Florida at 131%, and New York at 85%. Among metropolitan areas, my district in New Orleans has the second-highest average insurance coverage, behind only Miami.

“For working families already struggling to keep up with mortgage payments, higher insurance costs could mean having to choose between flood protection and other essential needs. Many have opted out of the NFIP altogether, leaving them—and entire communities—vulnerable and uninsured in the face of disaster. Within just two years of implementing Risk Rating 2.0, NFIP lost over 215,000 policyholders, or nearly 5%. States that saw the biggest decline in policyholders were West Virginia, losing nearly 20% of policies, Oklahoma at about 18%, and Texas with a 15% decline. Not far behind, over one in ten policyholders in Louisiana have opted out.

“This is not a partisan issue, I have been highly critical of Risk Rating 2.0 throughout the Biden administration, when even former DHS Secretary Mayorkas acknowledged that Risk Rating 2.0 is flawed. Yet, during both Biden and Trump administrations, FEMA continued to push forward without correcting course, listening to Congress, or properly engaging the people most affected by these changes.

“The bottom line is this: we need a flood insurance system that protects, not penalizes, American families. It should be grounded in science, equity, and economic reality—but also in accountability and transparency. Congress must have a role in shaping the future of the NFIP, and our constituents deserve to know how decisions impacting their homes and livelihoods are being made.

“Mr. Chair, I’d like to enter into the record this research from the Coalition for Sustainable Flood Insurance, which lays out more details on this issue, as well as a letter from the entire Louisiana delegation in 2022 demanding information on how public mitigation projects have impacted rates in Louisiana.

“I urge my colleagues to support bipartisan common sense legislative efforts that will bring oversight, affordability, and fairness back to the National Flood Insurance Program—because flood risk isn’t going away, and neither should our responsibility to address it.

“However, for Congress to act on this issue, we need details and data to determine the impact of Risk Rating 2.0, the affordability burden on the NFIP, and the optimal design of an affordability program. But FEMA continues to deny years of congressional requests for its Risk Rating 2.0 methodology.

“Mr. Chair, pursuant to clause 2(k)(6) of rule 11, I move that the Committee subpoena Elizabeth Asche, Assistant Administrator of the Federal Insurance Directorate at FEMA to provide this committee with the details the agency has been withholding from Congress.”

Click here to watch the Homeland Security Committee Hearing

###