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Council approves one-year flood-insurance policy to secure FEMA payout
Summary
After debate over cost and deductible levels, the Narrows town council voted to buy a one-year flood-insurance policy for the ball-field concession building to qualify for roughly $15,000 in FEMA reimbursement; the purchase is subject to staff confirmation of cancellation/refund terms.
The Narrows town council voted to buy a one-year flood-insurance policy for the ball-field concession building to restore eligibility for FEMA reimbursement tied to a recent flood claim.
Staff presented multiple quotes and recommended an option that balances premium and deductible. Staff said FEMA reduced the town’s earlier claim because the concession stand did not carry flood insurance and that the town must “obtain and maintain” flood coverage going forward to be eligible for future assistance. Staff described a quote highlighted in the packet with a $3,373 annual premium and $10,000 deductibles, but also presented a lower-premium option for council consideration.
Council members debated whether to pay the lower annual premium, self-insure and set aside money in reserve, or choose a higher-premium option with lower deductibles. One council member characterized FEMA’s position as effectively forcing the purchase to secure funds already allocated to the town; another said setting aside cash could be an alternative. Staff warned that without insurance the town would receive little or nothing on future FEMA claims.
After discussion, the council made and seconded a motion to purchase the lowest-cost quoted annual policy (premium listed in the meeting materials as $2,684) on a temporary basis, subject to the town staff member’s follow-up confirming that the purchase would deliver the intended reimbursement and to investigate prorated refunds should the town later cancel the policy. The mayor called the roll and the motion carried with recorded responses given as: Mister Hale – Yes; Mister Krager – Yes; Mister Mills – No; Miss Logan – Yes.
The council emphasized the vote is a short-term step to secure roughly $15,000 in FEMA reimbursement for prior damage and noted the town would revisit long-term insurance strategy and deductible choices at a later date.
What happens next: staff will confirm with the insurer whether the policy can be canceled and refunded pro rata, confirm FEMA’s position in writing, and report back to the council at a future meeting.
