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Harkin, Delegation Push for Changes to Formula to Distribute Federal Disaster Funds

Posted:  January 12, 2009

Washington, D.C. –U.S. Senator Tom Harkin (D-IA), along with the entire Iowa delegation, sent Jim Nussle, the Director of the Office of Management and Budget (OMB) and Michael Leavitt, Secretary of the Department of Health and Human Services (HHS), a letter calling the for the modification of the formula used to disburse funds through the HHS' Social Services Block Grant (SSBG) Program.

The current formula neglected Congressional intent by using the size of each state's overall population as a major factor when determining how much money they receive.  This caused an absurd distribution of funds where some states less affected by natural disasters than Iowa received over 25 times the funding that Iowa received per family hurt by the disasters. The legislation clearly states that these funds should be based on the needs of each state resulting from hurricanes, floods, and other natural disasters.

SSBG funds are used to provide individuals and families with social, health and mental health services, and assist states in the repair, renovation and construction of health care facilities, child care centers and other social service facilities.

"Iowans have suffered through multiple, historic natural disasters this year and they are continuing to pick up the pieces," said Harkin. "Our state was clearly one of the worst hit states in the nation and we are entitled to our fair share of disaster funds. It is simply unconscionable for the Bush Administration to allocate disaster relief funds in any way that ignores this crucial fact. The formula must be changed."





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