Legislature to offer hurricane relief funds

When the N.C. General Assembly convenes next week, one of the first items on its agenda will be allocating funds to areas where massive floods from last fall’s hurricanes created a need for more than $300 million in aid.

Gov. Mike Easley proposed last week that the state use its rainy day fund to provide the necessary relief.

The legislature will not be called in for a special session, since the start of the normal session is Jan. 26.

“There is absolutely a need in western North Carolina for additional assistance,” said Mark Owen, director of communication and research for AdvantageWest, a state-sponsored alliance between local governments and businesses to promote economic growth in western North Carolina.

Although hurricanes Ivan and Frances had been downgraded to tropical storms when they reached the state, the September storms still washed out roads, flooded homes and farms, left many residents without power and killed eight North Carolinians.

The state’s mountains received needed aid immediately after the floods from nonprofit agencies, such as the United Way and the Red Cross, Owens said.

After back-to-back floods, Buncombe County alone needs more than $66 million to finish the cleanup.

“That’s frankly what the rainy day fund is set aside for,” Owen said. “We certainly had a number of rainy days in western North Carolina this year.”

Until last week, damage totals for the entire area were not ready. AdvantageWest is now estimating that unmet needs total more than $300 million.

“It’s time to go forward and get the money allocated … and start helping the people,” said Rep. Wilma Sherrill, R-Buncombe.

But the governor will leave the final decision of where the money should come from up to legislators.

“We certainly hope that whether it’s the rainy day fund or funds from other sources, western North Carolina will get some additional help,” Owens said.

The rainy day fund is money the state puts away for emergencies it could not foresee.

The floods are that type of emergency, but legislators are concerned about depleting the fund.

“When you use those reserves, you’re out,” said Jim Black, Democratic co-speaker of the N.C. House.

“The magnitude of the problem in the western part of the state might require some other revenue; frankly, the budget as short as it is,” he said.

One of those revenue options is temporary tax relief for victims.

Black also stressed that there should be concern about depleting the emergency funds and therefore taking away money that could go to areas, such as education, in the future.

“Lets hold on to the money that we have so that we can balance the budget,” Black said.

“If we need some revenue to cover the damage in the western part of the state, we’ll come up with that the best we can.”

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