WASHINGTON, D.C.–Whether you live on the coast, along the Mississippi River, or right in the middle of the state, several events going on with the federal government Tuesday will affect you.
One of the biggest is an expected hike in how much you will pay for flood insurance if you live in a flood prone area, like the coast. Rates could go up as much as 3,000 percent for some homeowners, according to state Insurance Commissioner Mike Chaney.
He has filed a lawsuit to stop the rate hikes that are automatic and were put into place in 2012 by the Biggert-Waters Act, or the Flood Insurance Reform Act of 2012.
This explanation is from the FEMA website:
Key provisions of the legislation will require the NFIP to raise rates to reflect true flood risk, make the program more financially stable, and change how Flood Insurance Rate Map (FIRM) updates impact policyholders. The changes will mean premium rate increases for some—but not all—policyholders over time. Homeowners and business owners are encouraged to learn their flood risk and talk to their insurance agent to determine if their policy will be affected by BW-12.
There is also the risk of a government shut down if Congress cannot come to an agreement on how the federal government will be funded in the short-term future. The hang-up is whether or not a short-term bill will allow for the funding of ObamaCare, which Mississippi’s Republican lawmakers want to see eliminated.
The risks for Mississippi if the federal government is shut down are possible furloughs for federal employees, That includes civilian workers at Mississippi’s military bases.
“They would be placed in a non-duty, non-pay status on an emergency no-notice basis at the time the lapse occurs,” said Robert Hale, who controls finances at the Pentagon.
About 400,000 people would be affected nation-wide. Active military would continue to be paid and would keep working.
“Federal loans for rural communities, small business owners, families buying homes would be frozen,” said Pres. Obama over the weekend.
Essential government services, like the Post Office, would keep going.
