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This is another sharpie map moment. Nature and physics doesn’t give a shit about what map you’re on. The maps are designed to help people make well informed decisions. Purposely ignoring it and sticking your head in the sand just means there’s a greater likelihood you get fucked, not that it’ll magically go another way.
They did it because they didn't want to have to pay for flood insurance. They didn't give a shit about the kids' lives and just wanted to save money.
This "asking to be removed from flood maps" is as common as people disputing their property valuation for tax purposes. In the immediate term, no owner wants to go from not in a flood plain to on a flood plain. Of course the reality is that maps don't dictate nature's behavior, but property value goes down in addition to property expense going up.
One possible solution is government buying out flood prone areas, but I've only seen this happen in more affluent communities. This still leaves some risk, though, since there will always be a threshold where there is some flood (or hurricane or wildfire or windstorm or hailstorm...) risk, but not enough risk to be relocated by the government.
Doesn’t matter why they wanted to be removed. At that point they knew they were in the flood plain and did nothing. Hell, they built more.
The proper solution is fining anyone stupid enough to ask to be removed from a flood map 300% of their gross earnings during the past decade, and submitting them to every possible inspection, since they're surely trying to hide other criminal idiocies.