News Flash


Posted on: December 21, 2018

Federal Program Could Affect Renovations for Some Homeowners

City of Panama City property owners who’s significantly damaged homes or businesses are located within a floodplain should make sure that their insurance adjusters are aware and take this information into consideration when making payment assessments.

The City of Panama City participates in the National Flood Insurance Program (NFIP), which is a Federal Emergency Management Agency (FEMA) program to ensure that federal flood insurance is made available to property owners within a Special Flood Hazard Area (A, AE, V, VE). Flood Insurance is required on any structure in the Special Flood Hazard Area that has a federally backed mortgage.

The NFIP requires that if the cost of any reconstruction, rehabilitation, addition or other improvements to a building equals or exceeds 50 percent of the building's market value, the existing building is required to then meet the current floodplain ordinance as a new construction, which means raising the structure and all machinery (A/C units, etc.) one foot above the Base Flood Elevation.

Therefore, floodplain homes or buildings damaged by Hurricane Michael in excess of 50 percent may need elevated foundations to be in compliance with the federal program.

If you carry flood insurance and your home or business was flooded during Hurricane Michael, there is funding available called Increased Cost of Compliance Coverage (ICC). This coverage is available to those that have a standard flood insurance policy and are in a Special Flood Hazard Area that flooded due to the storm and need to bring their home or business up to code. For more information on the Increased Cost of Compliance Coverage, click here.

To find out if your property is located within a floodplain, visit

Anyone with questions is asked to contact Jennifer Aldridge at (850) 691-4605.

Bay County and all of its municipalities participate in the NFIP, as do most counties and cities in Florida.

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