42 U.S.C. § 4017a: Reserve Fund

be an account separate from any other accounts or funds available to the Administrator; and the payment of claims; claims adjustment expenses; and the repayment of amounts outstanding under any note or other obligation issued by the Administrator under section 4016(a) of this title . 1 percent of the sum of the total potential loss exposure of all outstanding flood insurance policies in force in the prior fiscal year; or such higher percentage as the Administrator determines to be appropriate, taking into consideration any circumstance that may raise a significant risk of substantial future losses to the Reserve Fund. to maintain the reserve ratio required under subsection (b); and to achieve such reserve ratio, if the actual balance of such reserve is below the amount required under subsection (b). the expected operating expenses of the Reserve Fund; the insurance loss expenditures under the flood insurance program; any investment income generated under the flood insurance program; and any other factor that the Administrator determines appropriate. In exercising the authority granted under paragraph (1), the Administrator shall be subject to all other provisions of this chapter, including any provisions relating to chargeable premium rates or annual increases of such rates. Notwithstanding any other provision of law or any agreement entered into by the Administrator, the Administrator shall ensure that all amounts attributable to the establishment or increase of annual insurance premiums under paragraph (1) are transferred to the Administrator for deposit into the Reserve Fund, to be available for meeting the expected future obligations of the flood insurance program as described in subsection (a)(2). The Administrator shall deposit in the Reserve Fund any surcharges collected pursuant to section 4015a of this title . Beginning in fiscal year 2013 and not ending until the fiscal year in which the ratio required under subsection (b) is achieved, in each such fiscal year the Administrator shall place in the Reserve Fund an amount equal to not less than 7.5 percent of the reserve ratio required under subsection (b). As soon as the ratio required under subsection (b) is achieved, and except as provided in paragraph (3), the Administrator shall not be required to set aside any amounts for the Reserve Fund. If at any time after the ratio required under subsection (b) is achieved, the Reserve Fund falls below the required ratio under subsection (b), the Administrator shall place in the Reserve Fund for that fiscal year an amount equal to not less than 7.5 percent of the reserve ratio required under subsection (b). describes and details the specific concerns of the Administrator regarding the consequences of the reserve ratio not being achieved; demonstrates how such consequences would harm the long-term financial soundness of the flood insurance program; and indicates the maximum attainable reserve ratio for that particular fiscal year. The Secretary of the Treasury shall invest such amounts of the Reserve Fund as the Secretary determines advisable in obligations issued or guaranteed by the United States.