Which federal agency manages the National Flood Insurance Program (NFIP)?

The federal agency that manages the National Flood Insurance Program (NFIP) is the Federal Emergency Management Agency, commonly known as FEMA. This program was established to provide flood insurance to property owners, renters, and businesses, making them more resilient to flooding events. FEMA's involvement ensures that the program operates effectively and responds to the needs of communities at risk of flooding.

FEMA administers the NFIP by overseeing the policy framework, coordinating with local governments, and providing resources for floodplain management and mitigation. This involvement is essential because it helps to reduce the potential economic impact of floods and encourages communities to adopt floodplain management practices. The agency plays a critical role not only in managing the insurance aspect but also in disaster response and recovery efforts related to flooding.

Other agencies, while involved in different aspects of housing and environmental regulations, do not manage the NFIP. For instance, the Federal Trade Commission focuses on consumer protection and preventing anti-competitive business practices, the Department of Housing and Urban Development works on broader housing issues, and the Environmental Protection Agency deals with environmental protection and regulation. In contrast, FEMA is specifically tasked with disaster management, which includes overseeing national flood insurance initiatives and thus is the correct answer.