Cisneros Brings $125 Million for Flood Victims

DES MOINES —  Housing and Urban Development Secretary Henry G. Cisneros distributed $125 million in federal funds Thursday to states and cities to help them start repairing and rebuilding houses and providing shelter for Midwest flood victims.

At a conference of federal, state and local officials on ways to meet housing needs after the flood, Cisneros said the money would help get a start “on the housing challenge.” He said another $125 million would be distributed when better damage assessments are available.

Between 45,000 and 55,000 housing units were damaged or destroyed in the nine most affected states, officials said.

In remarks taped for the conference, President Clinton praised the courage and resilience of flood victims and said it will take years for stricken areas to recover.

Cisneros, Agriculture Secretary Mike Espy and representatives of the Small Business Administration, the Veterans Administration, the Federal Emergency Management Agency and private voluntary organizations outlined programs for low-interest loans, mortgage and foreclosure relief, home repairs and relocating.

Cisneros said the approaching fall season heightens the need to get people out of temporary shelters and into permanent structures.

“If we still have people in temporary settings where they really are not capable of weathering a hard winter it will add to the problem,” he said.