The discussion continues with numerous amendments proposed, most that would harm the intent of the bill and just about all failing.. Rep Jennifer Weiss D Wake proposed spreading the re-coupment over time and Rep Bill Owens, D Pasquotank, (who told me ahead of time, this would be controversial) wanted to reduce the differentail surcharge from 10 percent to 5 percent for coastal county residents, meaning property owners would have to pay less. Both amendments failed.
Rep Blackwood, R Union, asks if there are federal funds available in case of a catastrophic storm. Holliman says he is not sure how the beach plan and FEMA would dovetail. Rep Pryor Gibson, D Anson, says it is somewhat complicated but federal assistance has no impact on the Beach plan.
The bill passes by a voice vote and goes to the House.
There are two real concerns worth mentioning.
One, there is not enough money in the plan to cover the damage that would be caused if a major storm hits the coast. We are at the beginning of the hurricane season, and our coast is vulnerable. Two storms ? back to back ? would exacerbate the problem.
Two, if the solution to the problem makes it too expensive or burdensome for the private insurance market, insurers will simply stop writing insurance policies in North Carolina. Once the market dries up, there is limited choice and no competition, which will cause prices for insurance to skyrocket. You can’t get a mortgage without insurance, you can’t refinance a loan without insurance, and without coverage, the property owner assumes all the risk ? a price few of us can afford.
This is serious stuff, and we’ll continue to monitor the bill and the Beach Plan itself, as well as closely watching the weather reports and praying a lot.
