Americas

US approves billions in Superstorm Sandy aid

Aid package worth $9.7b aims to help pay thousands of insurance claims, two months after storm devastated East Coast.
Last Modified: 05 Jan 2013 09:03

The US House of Representatives has approved a $9.7bn aid package to pay insurance claims for the many home and business owners affected by Superstorm Sandy, which sparked destructive floods across the eastern coast two months ago.

The House voted 354-67 on Friday to pass the bill, which replenishes the National Flood Insurance Program that was due to run out of money next week with about 115,000 hurricane-related claims.

The bill cleared the Senate later on Friday.

Legislators say the money is urgently needed for victims of one of the worst storms ever to strike the region.

Sandy devastated much of the country's eastern coast from North Carolina to Maine, with the worst flooding occurring in New York City and its suburbs in New Jersey and Connecticut.

Lawmakers expressed frustration at a delay in Congressional action, after House Speaker John Boehner made a decision to delay voting on the bill earlier in the week.

All of the no votes on the Sandy aid bill were cast by Republicans.

The Federal Emergency Management Agency had warned that the National Flood Insurance Program would run out of money next week if Congress didn't provide additional borrowing authority to pay out claims.

Congress created the programme, run by the Federal Emergency Management Agency, in 1968 because few private insurers cover flood damage.

As with past natural disasters, the Sandy aid proposals do not provide for offsetting spending cuts.

Some House Republicans and other fiscal conservatives favour cutting other federal programmes to pay for some or all disaster costs.

Jeb Hensarling, a Republican Representative from Texas, said lawmakers were faced with a "tragic choice of not paying contractual claims to victims who paid premiums or adding 9.7bn to an insane national debt".

Votes are planned later this month on another $51bn aid package.

The government already has spent more than $2bn as part of the emergency response to the storm.

316

Source:
Agencies
Topics in this article
People
City
Organisation
Featured on Al Jazeera
Murder of Somali draws ire of foreign African nationals over rising xenophobic violence.
We look at the impact of increased sanctions against the Islamic Republic and ask who it really affects.
Tupamaros enforce rough justice in Venezuela's slums to support socialism, but critics say the group are violent thugs.
More than a decade ago the US launched a war against Afghanistan, but was it a justified battle?
Featured
Two years since the start of the uprising, rebels and Assad's forces remain locked in conflict.
Extensive coverage of political unrest that spread from Istanbul to other areas.
Weeks of demonstrations could benefit AKP's grip on power - or be a game-changer.
More than 100 million girls have suffered genital 'cutting' to save family honour.
News and analysis of 2013 presidential contest as Ahmadinejad finishes second term.
join our mailing list