paragraph (7) of this subsection. (2) Determination of market contraction A determination under this paragraph for a geographical area is a determination, made by the State insurance regulator for the affected geographical area, that the availability or affordability of private flood insurance coverage in the United States for properties that are described in subparagraph (A) or (B), or both, of subsection (f)(1) and are located in such area has contracted significantly, made in accordance with the following requirements: (A) The State insurance coordinator has determined that there is no evidence that the State regulatory or legislative structure has unduly hindered the ability of private insurance carriers to compete in the State. (B) The State insurance coordinator has determined that there is evidence of a low market penetration of private flood insurance in the State, or a geographic area of the State, where private insurance carriers have been allowed to participate in the market in a fair process. (C) The State insurance coordinator has determined that private insurers have been given an opportunity to offer flood insurance but have failed to penetrate the markets by more than 10 percent of the market share for flood insurance. (D) The determination under this paragraph was made after the State insurance commissioner provided private insurance carriers and consumers an opportunity to provide information regarding the determination under this paragraph, which included holding a public hearing regarding such determination at which to provide such information that was held not less than 45 days after public notice of the time and place of such hearing was first made available. (E) The Secretary of the Treasury has confirmed the determination under this paragraph based on the conditions of the insurance market for such determination, including the geographic area subject to the determination. (3) Effective date A determination under paragraph (2) shall take effect for purposes of paragraph (1) upon receipt by