FEMA has run out of funds to cover flood insurance claims and, in an unprecedented move, has stopped payments to policyholders.
FEMA has advised the 96 insurance companies that sell flood policies to stop payments to policyholders until Congress says the agency can borrow more money.
It's the first time since the flood insurance program began in 1968 that FEMA has taken this action. [More Bush/Cheney Neo-Con Bullshit]