Page:United States Statutes at Large Volume 82.djvu/618

 576

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

amount of such excess coverage shall not in any case exceed an amount which is equal to the applicable limit so specified (or allocated). E S T I M A T E S OF P R E M I U M

RATES

SEC. 1307. (a) The Secretary is authorized to undertake and carry out such studies and investigations and recepe or exchange such information as may be necessary to estimate, and shall from time to time estimate, on an area, subdivision, or other appropriate basis— (1) the risk premium rates for flood insurance which— (A) based on consideration of the risk involved and accepted actuarial principles, and (B) including— (i) the applicable operating costs and allowances set forth in the schedules prescribed under section 1311 and reflected in such rates, and (ii) any administrative expenses (or portion of such expenses) of carrying out the flood insurance program which, in his discretion, should properly be reflected in such rates, would be required in order to make such insurance available on an actuarial basis for any types and classes of properties for which insurance coverage is available under section 1305(a) (or is recommended to the Congress under section 1305(b)); (2) the rates, if less than the rates estimated under paragraph (1), which would be reasonable, would encourage prospective insureds to purchase flood insurance, and would be consistent with the purposes of this title; and (3) the extent, if any, to which federally assisted or other flood protection measures initiated after the date of the enactment of this title affect such rates. (b) I n carrying out subsection (a), the Secretary shall, to the maximum extent feasible and on a reimbursement basis, utilize the services of the Department of the Army, the Department of the Interior, the Department of Agriculture, the Department of Commerce, and the Tennessee Valley Authority, and, as appropriate, other Federal departments or agencies, and for such purposes may enter into agreements or other appropriate arrangements with any persons. (c) The Secretary shall give priority to conducting studies and investigations and making estimates under this section in those States or areas (or subdivisions thereof) which he has determined have evidenced a positive interest in securing flood insurance coverage under the flood insurance program. ESTABLISHMENT OF CHARGEABLE P R E M I U M

RATES

SEC. 1308. (a) On the basis of estimates made under section 1307 and such other information as may be necessary, the Secretary shall from time to time, after consultation with the advisory committee authorized under section 1318, appropriate representatives of the pool formed or otherwise created under section 1331, and appropriate representatives of the insurance authorities of the respective States, prescribe by regulation— (1) chargeable premium rates for any types and classes of properties for which insurance coverage shall be available under section 1305 (at less than the estimated risk premium rates under section 1307(a)(1), where necessary), and (2) the terms and conditions under which, and the areas (including subdivisions thereof) within which, such rates shall apply.

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