The flood bill is S. 1610, the Homeowner Flood Insurance Act. Sen. Jeff Merkley, D-Ore., who is managing the bill as chairman of the Senate Banking Committee's Subcommittee on Economic Policy, has indicated that he will seek to attach the bill to the NDAA when the bill comes up for a vote. Industry lobbyists and Senate officials say Reid will support the effort to attach the bill to the NDAA.

Primary sponsor of the bill is Sen. Mary Landrieu, D-La. It has the support of 21 senators. Companion legislation in the House has as its chief sponsor, Rep. Maxine Waters-D-Calif., ranking minority member of the House Financial Services Committee. The House bill has 128 sponsors. The House bill is H.R. 3370.

Revisiting the flood insurance premium rate increases has broad support in Congress, with members of Congress from Hawaii to Vermont urging passage of such legislation. There is also a lawsuit seeking an injunction against the increases filed in Federal District Court in Gulfport, Miss. It was filed by the insurance commissioner of Mississippi, but South Carolina already filed a brief supporting the injunction last week, and Alabama and Florida jointly filed a similar brief this week. Louisiana is also drafting a brief supporting the lawsuit.

A court hearing around Nov. 28 on the request for an injunction is expected.

The bill that has been drafted would delay most of the rate hikes until FEMA completes the affordability study mandated by the law, proposes alternatives to the rate hikes, and gives Congress adequate time to review their findings.

The Senate bill has generated support from members of Congress from Hawaii to Vermont.

It would also give FEMA more time to complete the study, provide reimbursement to qualifying homeowners for successful map appeals, give communities fair credit for locally-funded flood protection systems, and create an ombudsman within FEMA to answer policyholder questions.