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$2B is approved in aid for states struck by storms | Northwest Arkansas Democrat-Gazette


$2B is approved in aid for states struck by storms |    Northwest Arkansas Democrat-Gazette

WASHINGTON -- The federal government has approved nearly $2 billion in assistance across six states to help people hit hard by Hurricanes Helene and Milton, the White House said Wednesday.

The federal government has been under intense pressure to show that it is getting help to areas devastated by the back-to-back hurricanes in late September and early October as it warns that more money will be needed to fund the response.

Helene was a Category 4 storm that first struck Florida's Gulf Coast on Sept. 26, dumped trillions of gallons of rain and left a trail of destruction for hundreds of miles across several states. Hurricane Milton swept across Florida two weeks later.

Hurricane response has become a key part of the upcoming presidential election with former President Donald Trump and Vice President Kamala Harris both positioning themselves as the best candidate to respond to such calamities.

The money approved so far includes funds that go to residents for things like rental reimbursements when they cannot live in their house or quick infusions of $750 in cash to pay for things like diapers or food. It also includes money for public assistance such as reimbursing local governments for removing debris or repairing public infrastructure like roads, bridges or schools.

About $911 million has gone toward damage caused by Hurricane Helene, while about $620 million has gone toward recovery from Hurricane Milton, according to the White House release. Other funds have gone toward things like agriculture assistance. The six states where the money has gone are Florida, South Carolina, Georgia, North Carolina, Tennessee and Virginia.

FEMA and the federal government have been battling misinformation about their efforts with many of the claims being fueled by Trump and others just ahead of the election. Much of the misinformation has centered on the agency's response in North Carolina, whose mountainous regions were especially hard hit by Helene.

The rumors have raised concerns about the safety of FEMA staffers on the ground and whether residents would be discouraged from applying for assistance.

The agency said Wednesday that it monitors how many people register for assistance in areas where a disaster has been declared. So far, about 15.2% of households in affected North Carolina counties have applied for assistance, which is lower than in Georgia and South Carolina but still in the range of what's expected. The agency also noted that it is still early in the 60-day period that people have to register for help.

"FEMA is continually assessing registration patterns across all affected states to identify any outlier communities that may be registering at lower rates than anticipated," the agency said.

FEMA Administrator Deanne Criswell has repeatedly said that her agency has enough money in its disaster relief fund to respond to Helene and Milton.

Congress replenished the fund with $20 billion in early October but a little less than half of that was already allocated for previous disasters. Criswell said Wednesday there's about $8.5 billion currently in the fund.

Criswell has said the agency eventually will need supplemental funding from Congress. If that doesn't happen, FEMA would go into what's called "immediate needs funding," which means it would stop paying out for previous disasters and conserve its money for life-saving missions during any new ones.

SBA RUNS OUT OF MONEY

The news comes on the heels of an announcement Tuesday that the Small Business Administration has run out of money for the disaster assistance loans it offers small businesses, homeowners and renters, delaying much needed relief for people applying for aid in the wake of the destruction caused by Hurricanes Helene and Milton.

The SBA offers Economic Injury Disaster Loans to businesses and people affected by disasters. The SBA warned earlier this month that it could run out of funding, given the anticipated surge in claims from Hurricane Helene, without additional funding from Congress.

So far, the SBA has received around 37,000 applications for relief from those impacted by Hurricane Helene and made more than 700 loan offers totaling about $48 million. It has received 12,000 applications from those impacted by Hurricane Milton.

The SBA is pausing new loan offers until it gets more funding, which means loans that have not already been offered will be delayed by at least a month. SBA Administrator Isabel Casillas Guzman said people should keep applying for the loans, however.

"We know that swift financial relief can help communities recover quickly to stabilize local economies." Guzman said in a statement. She added that the SBA will continue to process applications so assistance can be quickly disbursed once funds are replenished.

The SBA said it could also be able to make a small number of new loan offers during this time, if it gets more funds from loan cancellations or similar actions.

House Speaker Mike Johnson, R-La., assured there would be strong support to provide necessary funds -- when Congress returns after the November election.

"There's no question these devastating back-to-back storms have stressed the SBA funding program," Johnson said in a statement. "But the Biden-Harris Administration has the necessary disaster funding right now to address the immediate needs of American people in these hurricane affected areas."

The speaker has declined to recall lawmakers back to Washington to vote on aid in the aftermath of deadly hurricanes and declined to do so now. He said Congress is tracking this situation closely.

"When Members return in just a few short weeks, the Administration should have an accurate assessment of the actual dollar amount needed and there will be strong bipartisan support to provide the necessary funding," he said.

The SBA offers two different types of disaster loans. Business physical disaster loans are for repairing or replacing disaster-damaged property, including real estate, inventories, supplies, machinery and equipment. Economic injury disaster loans are working capital loans to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, nonprofit organizations meet financial obligations that cannot be met as a direct result of a disaster.

Businesses can access loans up to $2 million. Interest rates are as low as 4% for businesses and 3.25% for nonprofit organizations.

The SBA also offers disaster loans up to $500,000 to homeowners to repair or replace disaster-damaged or destroyed real estate. Homeowners and renters are eligible for up to $100,000 to repair or replace disaster-damaged or destroyed personal property.

Information for this article was contributed by Rebecca Santana, Mae Anderson, Lisa Mascaro and Rebecca Santana of The Associated Press.

Administrator of the U.S. Federal Emergency Management Agency Deanne Criswell speaks during the daily briefing at the White House in Washington, Thursday, Sept. 26, 2024. (AP Photo/Jose Luis Magana)

Damage from Hurricane Milton is seen at a mobile home community on Manasota Key, in Englewood, Fla., Sunday, Oct. 13, 2024. (AP Photo/Rebecca Blackwell)

A FEMA official gives a fist bump to Alycia Scott, 9, after he inspected the apartment complex where Scott's resides and was flooded during Hurricane Milton, Friday, Oct. 11, 2024, in Clearwater, Fla. (AP Photo/Julio Cortez)

People gather at a FEMA Disaster Recovery Center at A.C. Reynolds High School in Asheville, N.C.,, Tuesday, Oct. 15, 2024. (AP Photo/Makiya Seminera)

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