ProtectingAmerica.org is proud to stand with the National Bar Association in their support of The Homeowners Defense Act of 2009. The Act is an important piece of legislation that will provide the necessary provisions to better prepare and protect against a national disaster that would have a true and devastating impact on communities across our country.

Resolution No. 2010-2

National Bar Association
Resolution Supporting The Homeowners Defense Act of 2009
(H.R. 2555)

WHEREAS the National Bar Association("NBA"), founded in 1925, is the oldest and largest organization of attorneys and judges of color in the world and today represents over 44,000 lawyers, judges, legal scholars and law students internationally;

WHEREAS in response to Hurricane Katrina in 2005, the costliest and one of the deadliest storms in history and the sixth-strongest Atlantic hurricane ever recorded and the third strongest hurricane to hit the coast of the United States, former NBA President Reginald M. Turner, Jr. created the NBA Hurricane Katrina Relief Task Force, which was co-chaired by then Vice Presidents, Marlon Primes and Vanita Banks; and 
     
WHEREAS the Task Force, among other things, enacted the NBA Pro Bono Program and a series of NBA Legal Clinics to provide brief legal advice to evacuees from Hurricane Katrina;  

WHEREAS the NBA remains committed to the delivery of legal assistance and the provision of adequate financial assistance to individuals affected by natural catastrophes in the United States; and

WHEREAS The Homeowners’ Defense Act of 2009 (or "HDA") strengthens America’s financial infrastructure, and takes the approach of pre-funding, preparing and protecting against inevitable massive natural catastrophes by building a backstop rather than waiting for a crisis or collapse and then needing to rely upon taxpayers funded bailouts; and

WHEREAS
The Homeowners’ Defense Act of 2009 incorporates many of the ideas from earlier proposals in Congress going back to the 1990’s and enhances the latest House proposal from the 111th Congress to maximize benefits for consumers; and

WHEREAS  the pending HDA 2009 (also H.R. 2555) integrates the approach of H.R. 2555from the 111th Congress, sponsored by Rep. Ron Klein, with H.R. 91 (including the Consumer Hurricane and Earthquake Loss Protection Fund (HELP)) as proposed by Rep. Ginny Brown-Waite in the I10th Congress and in the 109th Congress, Senator Bill Nelson sponsored a bill that included the Consumer HELP Fund; and

WHEREAS HDA 2009 includes enhancements and improvements that take into account significant input from state policymakers around the country; and

WHEREAS HDA 2009 mandates that those with exposure pay all costs associated with the risk in an actuarially sound manner and protect consumers and taxpayers from subsidy; and

WHEREAS HDA 2009 provides an administrative framework that will minimize the need for additional bureaucracy and administrative cost; and

WHEREAS HDA 2009’s comprehensive approach provides additional flexibility and increases the reinsurance and liquidity protection to the catastrophe backstop already included in H.R. 2555; and

WHEREAS Rep. Klein had a similar bill approved by the House in the last Congress, and this year’s version of H.R. 2555 includes a catastrophe bond consortium, federal debt guarantee and a lending facility, and the enhanced approach put forward by HDA 2009 will complement and integrate a reinsurance backstop, thus providing an additional option for states to maximize the benefit to consumers; and

WHEREAS by incorporating the HDA 2009’s more comprehensive approach into the original H.R. 2555, consumers will receive greater protection at a lower cost as it will add capacity and increase stability in the marketplace; and

WHEREAS this approach will provide a stronger financial infrastructure than the original H.R. 2555 alone and will help consumers in every state, including California. HDA 2009 will also protect taxpayers around the country from the current, flawed system that relies on cross subsidies and nationwide taxpayer contributions; and

WHEREAS by enhancing the original H.R. 2555, the HDA 2009 will provide state and local governments with significant additional funding for the important goals of prevention and mitigation, assistance to first responders, and increased consumer/public education; and

WHEREAS HDA 2009 will mandate more rigorous oversight and continuous improvement; and

WHEREAS HDA 2009 has sixty-seven co-sponsors in the United States House of Representatives.

NOW THEREFORE BE IT RESOLVED that the National Bar Association

Supports the passage of
The Homeowners Defense Act of 2009 (H.R. 2555) and urges the United States Congress to pass The Homeowners Defense Act of 2009 (H.R. 2555); and will disseminate a copy of this Resolution to members of the United States Congress.