Reading Room Document

Effect of Flood Disaster Prevention Act on Executive Order 11988

This document is a legal opinion on the relationship between Executive Order No. 11988 and the Flood Disaster Prevention Act of 1977. The conclusions reached in the document are that the Executive Order applies to federal agencies regulating financial institutions and requires them to minimize harmful results of their activities in flood plains. However, the document also concludes that the Flood Disaster Prevention Act denies the federal government authority to prohibit federally regulated private lenders from making mortgage loans in a flood plain. The questions presented for review include the conflict between the Executive Order and the Act, as well as the intent of Congress in replacing a section of the Act with a new one.

February 23, 1978