Congress·In Committee·H.R. 3161

Rep. Murphy Introduces Bill to Pay Homeowners to Move Before Shorelines Collapse

Preventing Environmental Hazards Act of 2025

11 months ago·View on Congress.gov

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Stalled

No legislative action in over 90 days.

Legislative Progress

House

Senate

President

Law

Key Points

This bill allows the National Flood Insurance Program to pay homeowners to tear down or move their houses before they fall into the water. Currently, insurance often only pays after a house is destroyed, but this change would help people take action when a building is officially declared unsafe due to shoreline erosion.
If a local government decides a home is too dangerous to live in because the ground is washing away, the owner can get money for two options. They can receive 100% of the home's value (up to $250,000) to demolish it, or up to 40% of the value to move the house to a safer location.
To qualify for this help, the homeowner must have already had flood insurance for at least one year before the law passes, or for four continuous years before they make a claim. This prevents people from buying insurance only after they realize their house is about to fall in.
There is a major catch: once a homeowner accepts this money to move or demolish their house, that specific piece of land can never get federal flood insurance or most types of disaster relief again. This is meant to ensure the government doesn't keep paying to rebuild in high-risk areas.
The payments are strictly for the structure of the house itself and do not cover any furniture, clothes, or other items inside. The maximum amount anyone can receive under this specific erosion rule is $250,000.

HousingEnergy EnvironmentEconomy Finance

Impact Analysis

Personal Impact

Who is affectedScoreImpactCertaintyScopeDurationSentiment

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

State Impacts

StateScoreImpactCertaintyScopeDurationSentiment

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions

May 1, 2025House

Referred to the House Committee on Financial Services.

May 1, 2025

Introduced in House

Related News

4 articles

National Parks Traveler·4 months ago

Proposed Legislation Would Protect Outer Banks Homeowners

The Preventing Environmental Hazards Act of 2025 (H.R. 3161) would allow coastal homeowners to receive financial assistance before their houses collapse into the ocean. The act authorizes the NFIP to offer partial advance payouts—up to 40 percent of a property's value, capped at $250,000.

Coastal Review·11 months ago

Preventing Environmental Hazards Act a commonsense bill

Introduced by Rep. Greg Murphy, the bipartisan legislation would authorize NFIP compensation for structures condemned due to chronic erosion and allow advance payouts for demolition or relocation of up to 40% of the home's value, capped at $250,000, to prevent environmental disasters.

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Carolina Journal·4 months ago

Stein, Causey call on Congress to help Outer Banks homeowners

Gov. Josh Stein and Commissioner Mike Causey urged Congress to pass H.R. 3161, the Preventing Environmental Hazards Act. The bill would authorize the NFIP to offer pre-collapse coverage, allowing homeowners to demolish or relocate condemned structures before they fall into the ocean.

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