Feds send $85 million to help Iowa rebuild after flood damages

By Charlotte Eby | Monday, August 04, 2008

DES MOINES — Federal officials on Monday announced the release of $85 million in emergency relief to Iowa to help with flood and storm relief efforts.

The money will come from the U.S. Department of Housing and Urban Development’s Community Development Block Grant program. A total of $100 million in relief to Midwestern states was announced Monday. Indiana will see $10 million in relief; Wisconsin is set to get $5 million.

“Families and communities need help now to rebuild their homes and lives,” HUD Secretary Steve Preston said. “Iowa, Indiana and Wisconsin suffered greatly. As we continue to study the impact of these storms, we intend to allocate the remaining disaster assistance as quickly as possible.”

Congress has approved a $300 million emergency relief package. With $100 million released Monday, HUD will allocate the remaining $200 million after a study on unmet housing, business and infrastructure losses.

Gov. Chet Culver and Lt. Gov. Patty Judge released a joint statement praising HUD’s action.

“Rebuilding Iowa will not be easy, and timely federal funding will be a critical component of the rebuilding process,” they said. “But with the support of our partners in the federal government, we are confident we can rebuild this state stronger, safer and more secure than ever before.”

U.S. Sen. Chuck Grassley had urged federal authorities to release money for flood relief quickly.

“This will be a nice influx of money to help Iowa families recover from the devastating floods,” Grassley said in a statement. “I’m glad Housing and Urban Development realized the tremendous amount of damage that Iowa has incurred. I hope all the federal agencies will continue to act quickly to release additional funds for Iowa and the other Midwestern states.”

State Rep. Tyler Olson, D-Cedar Rapids, saw his hometown hit hard by flooding and said the money coming to Iowa was good news.

“The HUD dollars can be directly used for getting people back in their homes, getting businesses back up and running, and this is direct relief to the individuals and entities most affected,” Olson said.

Charlotte Eby can be reached at (515) 243-0138 or chareby@aol.com.