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Disaster funding stalls in D.C.

ALBANY -- Despite relentless exhortations by members of both parties in both houses of Congress, Washington remains bitterly divided about how additional federal money will be provided for relief from damage caused by tropical storms Irene and Lee.

Most of the relief dollars, which are used to help individuals and local governments pay for road repairs and cleanup, come from the Federal Emergency Management Agency. But its disaster aid account is running low, and both the Republican-controlled House and the Democratic Senate have promised to honor President Barack Obama's call for $6.9 billion in additional funding in this year and next.

The houses differ, however, over how that should be done.

The Democratic majority in the Senate on Thursday approved a standalone bill including all $6.9 billion, including $804 million for the remainder of the fiscal year. It also contains money to fund remediation projects at farms hit by the disasters.

"Helping our fellow citizens recover from disasters is a fundamental responsibility of our national government," said Sen. Chuck Schumer, D-NY. "The House needs to quickly pass this legislation so we can get it to the President's desk, and get aid on the ground to upstate New York communities that have been hit so hard. We can't delay relief any longer."

The Republican majority in the House of Representatives, however, has attached the FEMA aid to a larger continuing resolution that continues federal spending until November. It sends a little more money to FEMA in the short term, but offsets the spending with a $1.5 billion cut to the Department of Energy's Advanced Technology Vehicles Manufacturing Loan Program. It does not contain agricultural funding.

Stephanie Valle, a spokeswoman for Rep. Chris Gibson, said the Kinderhook Republican -- whose Hudson Valley district includes hard-hit areas in Essex and Greene counties -- is supporting the larger House bill, which should be acted on next week.

Rep. Paul Tonko, D-Amsterdam, said he'd like to see some improvements.

"I think there will be a solution. We are going to continue to work with the continuing resolution. We're going to keep pushing to get ag programs included," he said. "The standalone supplemental in the Senate is a stronger way to go. It's a richer bill."

Valle said Gibson "would vote for any bill that will provide FEMA aid for our district," including the Senate bill -- if it comes to the House.

Meanwhile, the state government announced new no-interest loans to towns and villages to repair damaged water and sewer systems. The Environmental Facilities Corporation plans to offer $25 million in loans (a maximum of $1 million per locality) from an existing fund.

Finally, Schumer called on the U.S. Department of Agriculture secretary to reduce or waive interest on loans it gives to farmers who have suffered crop losses. Currently, farmers pay 3.75 percent.

Reach Vielkind at 454-5081 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it .


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