City of Marion to receive $9.8 million in derecho recovery funds from FEMA

The city of Marion will receive $9.8 million from the Federal Emergency Management Agency to aid with recovery from the devastating 2020 derecho, Iowa Congresswoman Ashley Hinson announced Thursday.

The Marion Republican said the money will aid the city with ongoing recovery efforts from the August 2020 storm that barreled across a 770-mile swath of the Midwest in 14 hours. It was, at the time, the costliest thunderstorm event in U.S. history and causing an estimated $12.5 billion in inflation-adjusted damages, according to National Oceanic and Atmospheric Administration.

At least $7.5 billion worth of damage was in Iowa alone, according to state officials.

Hinson wrote to FEMA in January, requesting the agency consider and provide an update on grants for the city of Marion.

She also supported an appropriations package signed into law by President Joe Biden earlier this year that allocated resources for the Disaster Relief Fund, which supports recovery efforts to communities impacted by disasters in 2020 and 2021.

Hinson said the legislation eases the financial burden on cities by increasing the federal cost share for disaster recovery efforts to 90 percent from 75 percent that FEMA typically takes on. It is a move that was expected to save Iowa communities millions on 2020 derecho recovery expenses.

The $9.8 million awarded will reimburse the city of Marion for debris removal from waterways that was completed following the derecho, said city Finance Director Lianne Cairy.

“We are thrilled with the news of the FEMA reimbursement,” Cairy responded in an email. “This was the second largest project submitted by the City of Marion to FEMA as a result of the August 2020 derecho.”

The $9.8 million will cover 90 percent of the city’s $10.9 million request for aid from FEMA, with the state contributing the remaining 10 percent, Cairy said.

“The city intends to evaluate its repayment priorities upon receipt of the funds; $6 million was borrowed from other city funds to cover the expenses and we have a $3 million disaster loan with Wells Fargo outstanding,” she wrote.

Marion has submitted nearly $28 million worth of projects obligated to derecho recovery to FEMA for reimbursement through state and federal awards. To date, the city had received about $14.5 million in state and federal reimbursement grants.

Amber Bisinger, communications manager for the city of Marion, in an email, said the city has two projects it had yet to submit to FEMA for additional waterway debris removal and administrative costs, but did not have final numbers.

About half the roughly $100 million in aid to local governments sought by Cedar Rapids, Marion, Hiawatha, Robins and Linn County in the aftermath of the 2020 derecho had been received from FEMA as of early August, The Gazette reported.

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