Hurricane Sandy victims left out of the $9.7 billion flood insurance aid

Debris removal in New York after Hurricane Sandy. SOURCE: FEMA via Twitter

Hurricane Sandy victims who aren’t helped by the $9.7 billion flood insurance funds (H.R. 41) approved by the House on Jan. 4, 2013 include: 

1. Homeowners who don’t have flood insurance.

Sen. Chuck Schumer (D-N.Y.) estimated that there are “hundreds of thousands” of homeowners in the New York and New Jersey area who don’t have flood insurance. Those uninsured homeowners will have a hard time repairing damages caused by Hurricane Sandy unless the House approves the remaining $50 billion disaster relief package.

Read more: House passes $9.7 billion Hurricane Sandy funding, a fraction of the $60 billion aid sought

“They cannot sign contracts for repairs until the contractor or the bank that’s making the construction loan knows that there’s money to reimburse them. Right now, they know nothing of this sort because the money isn’t there,” said Schumer. “The [Community Development Block Grant] account which would pay for that is dry.”

2. Small businesses, particularly those that have been forced to shut down due to Hurricane Sandy.

Many of the small businesses affected do not have the sufficient funds to repair damaged equipments or replace their lost inventory. And because these businesses are not able to re-open, they also can’t generate the income necessary to pay for repairs or their employees’ wages.

3. Local towns and communities forced to repair hurricane damages to roads, sewers, bridges, and other public infrastructure.

Traditionally, the federal government has reimbursed towns and local governments for most of the repair costs incurred by natural disasters. Schumer said he’s worried that local taxes in New York and New Jersey will “skyrocket” if the federal government refuses to help cities cover those costs.

 

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2 Comments on “Hurricane Sandy victims left out of the $9.7 billion flood insurance aid

  1. Pingback: Senate approves $50 Hurricane Sandy aid package | What The Folly?!

  2. Pingback: Remaining $50 billion Hurricane Sandy aid package face obstacles in the House | What The Folly?!

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