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Georgia officials agree to spend 0 million on Hurricane Helene farm and forestry relief
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Georgia officials agree to spend $100 million on Hurricane Helene farm and forestry relief

ATLANTA – Georgia state government diverts $100 million to spend on farm loans and cleanup after Hurricane Helene.

The Georgia State Finance and Investment Commission voted unanimously Friday to spend the money, which has been earmarked for construction projects or paying down existing debt.

Officials last month estimated that the storm, which caused great damage in the eastern half of the state after a September 26 landing in Florida, caused economic losses of 6.46 billion dollars in the state’s agriculture and forestry industry.

Cotton, pecan, and chicken farmers suffered severe losses, as did private forest land owners. Lt. Gov. Burt Jones and others called the damage a “generational loss.”

The Georgia Development Authority, a state agency that lends money to farmers, will receive $75 million to provide disaster relief loans to farmers and related businesses in the agriculture industry. The other $25 million will be spent to clean up lost timber and other debris, said Garrison Douglas, a spokesman for Gov. Brian Kemp.

Because Georgia was flush with the cash surpluspaid for construction projects using cash instead of the traditional method of selling bonds to borrow money. The $100 million was being held for future spending, but not allocated to any projects already underway, Douglas said.

Because Georgia ended last year with a $2 billion surplus, lawmakers may be able to replace the $100 million when they amend the current budget during the 2025 legislative session that begins in January.

The state did not spend similar money after Hurricane Michael in 2018. Helene’s agricultural damage was estimated to be twice as costly as Michael’s. The earlier storm was followed by a federal fight for relief which delayed aid to farmers. Georgia herself spent more than 470 million dollars on loans and recovery after Michael.

“This is something we’ve learned we can do,” Douglas said of the $100 million. Kemp and other state leaders say they will consider additional relief both when the General Assembly convenes in January and through administrative action before then.

“We will continue to work with stakeholders at all levels to direct resources and support to the hardworking Georgians devastated by this storm,” Kemp said in a statement Friday.

Kemp, Georgia House Speaker Jon Burns and others called on Congress to act quickly on a relief package for Hurricanes Helene and Milton. They are asking Congress to make block grants to the states that the states can then give to farmers for recovery purposes. Burns calls for similar grants that states could spend to repair damaged infrastructure and help private businesses and citizens.

“This measure will provide much-needed financial relief to farmers and foresters as we continue to work with our federal partners to provide all the goods and resources available to Georgians affected by this disaster,” Burns said in a statement.

The Federal Emergency Management Agency said Thursday it has already spent $1.3 billion on direct relief for people in the aftermath of Helene and Hurricane Milton. FEMA has spent more than $1.1 billion on debris removal and emergency protection measures.

Georgia’s government itself cannot give aid directly to private individuals and businesses because its state constitution prohibits what it calls gratuities—what most people would call gifts. Georgia Agribusiness Council President Will Bentley told a state Senate committee Monday that a constitutional amendment is needed to allow for direct disaster relief.

In addition to Kemp, Burns and Jones, other commission members who voted for the spending included state Auditor Greg Griffin, Attorney General Chris Carr, Agriculture Commissioner Tyler Harper and state Treasurer Steve McCoy.

The Georgia Development Authority is scheduled to meet Monday in Macon to begin spending the $100 million.

Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.