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Iowa senators propose disaster relief and recovery plan

Posted: 3:30 PM, Apr 02, 2019
Updated: 2019-04-02 20:30:35Z
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DES MOINES, Iowa. (KMTV) — Two senators from Iowa proposed a $50 million disaster relief and recovery plan on Tuesday to assist Iowans after destructive floods in the area.

Senator Rob Hogg (D-Cedar Rapids) and Senator Jackie Smith (D-Sioux City) proposed the plan.

“After our tour of flood damage last Friday in Fremont, Mills, Pottawattamie, and Woodbury Counties, we feel compelled to ask Governor Reynolds and the Republican majority in the Legislature to provide more assistance to help the farmers, businesses, workers, and communities suffering from the Flood of 2019,” said Hogg, who chaired the Senate Rebuild Iowa Committee after the Flood of 2008. “Based on our experience after the 2008 flood, we simply must do more to keep farms and businesses going while they work to keep their customers and recover from the damage they have suffered.”

The proposal would use $50 million in one-time money from the $190 million projected surplus for the budget year of 2018-2019. The money would be dedicated to the following purposes, according to the press release:

1. Small Business and Farm Continuation Disaster Grants: $10 million.
These grants would give eligible farms and businesses who have sustained property damage from the Flood of 2019 and who commit to continuing to employ their employees $1,000 per month per employee, up to $10,000 per month, and for up to five months.

2. Supplemental High Quality Jobs Appropriation for Disaster-Affected Businesses: $5 million.
Disaster-affected businesses are currently eligible for the High-Quality Jobs program, but only $4.7 million remains in the fund for the rest of this fiscal year. This supplemental appropriation would give the Iowa Economic Development Authority an additional $5 million to help disaster-affected businesses. Disaster-affected businesses would be eligible under the current rules for economically-distressed counties, regardless of the county where they are located. Disaster-affected businesses could apply for both the High-Quality Jobs program and the Small Business and Farm Continuation Grants.

3. Disaster Recovery Revolving Loan Fund: $10 million.
This revolving fund would allow cities, counties, and non-profits apply for loans for uses that are not covered by federal disaster recovery funds. These would be no interest loans. They would be repaid over 20 years starting two years after the loan is made. Repaid funds would be available to help other cities, counties, and nonprofits in future disasters.

4. Fund the existing Iowa Flood Mitigation Program for flood hazard mitigation grants: $24 million.
This bill would provide funding for levee repairs and improvements, infrastructure projects, and other flood hazard mitigation projects under the existing Iowa Flood Mitigation Program that was approved in 2012 but has never been funded.

5. Restore past cuts for the Department of Natural Resources Floodplain Management Program and Iowa Flood Center: $443,000

6. One-time appropriation for the Iowa Flood Center/Department of Natural Resources to assess causes of 2019 Missouri River flood: $500,000

“Communities are going to need help beyond what the federal government can provide,” said Smith in a press release from the Iowa Senate. “The Legislature is in session and we urgently need to take action to help communities address unmet needs.”