Political Quotes

“Reserving the right to object, once again, we are asked to extend the flood program without any reforms to protect the taxpayers. Like many Federal programs, this Federal program is well-intentioned, but it may very well be the best real-life example of moral hazard. We are told that the program is funded through insurance premiums, but the premiums are below the market rate, and so the program is eternally and consistently short of money. A 2014 report by the Government Accountability Office found the flood program collected $17 billion less than the market would have required. For all practical purposes, the flood program is insolvent. Just a few years ago, the flood program owed $30 billion to the taxpayers. Congress later cancelled $16 billion of that debt, but the flood program has not made any progress in repaying the taxpayers. The total now stands that the flood program owes $20 billion to the taxpayers with no way of repaying that money. Perhaps the greatest insult to the taxpayers, though, is the lack of true limits on this delinquent program. There are no limits on how many claims can be filed or how much money can be received for a policyholder. So it isn't that I have a $3 million flood policy. You could have a $3 trillion policy. There are no limits. There are also no limits on how big your house could be. You could have a $10 million house, a $20 million house, a $50 million house, and the taxpayers subsidize your house.…”