Last week, lawmakers in the U.S. House of Representatives advanced a $36.5-billion disaster relief package that marks the second installment of aid since a series of natural disasters struck southeast Texas, Florida and Puerto Rico, among other areas.

The package includes $18.7 billion for FEMA’s disaster relief fund, $576.5 million for wildfire recovery and $16 billion in debt forgiveness to keep the NFIP afloat. At press time, the U.S. Senate has not yet voted on the package, but it is expected to pass before the end of the week.

The debt relief is significant for the NFIP because the program has exhausted its borrowing authority. Without forgiving this portion of the program’s debt, Congress would be required to approve an increase in the NFIP’s borrowing ability.

After the debt relief package passes, the NFIP will have about $5 billion cash on hand to pay claims, but will still be approximately $26 billion in debt. The current NFIP debt is the product of a few catastrophic storms—mainly Hurricanes Katrina and Rita, and Superstorm Sandy.

The NFIP is set to expire on Dec. 8, 2018, and Congress is still working out the details of long-term reauthorization. Stay tuned to the News & Views e-newsletter for additional NFIP updates.