State may bail out towns on flood bills
Lawmakers press for $6.1m in aid
The Boston Globe - October 22, 2006
By John Laidler

Local cities and towns hard hit by this spring's flooding would essentially have all their storm-related cleanup bills covered if a plan being pushed by area lawmakers takes effect.

As federal disaster areas, all communities in Essex, Middlesex, and Suffolk counties hit by the May rainstorms were already eligible for 75 percent federal reimbursement for their storm costs.

Typically, the state reimburses 12.5 percent more of such costs, leaving municipalities to cover the remaining 12.5 percent.

But in this case, lawmakers are pushing to have the state pick up the full remaining tab, according to participants.

The proposal would provide $6.1 million in state funds to reimburse all of the impacted communities.

The plan was developed by a subcommittee of the Northeast Legislative Caucus, a bipartisan group of north-of-Boston lawmakers, working with officials of the Romney administration.

Senator Bruce E. Tarr, a Gloucester Republican who is cochairman of the caucus and a member of the subcommittee, said that there is consensus among the lawmakers and the administration on the 25 percent reimbursement idea, but that other aspects of a relief package, including potential assistance to residents and businesses, are still being negotiated.

Felix Browne, a spokesman for Romney, said discussions regarding the relief package were "ongoing but not yet final." He declined to comment further.

Tarr said that the municipal aid plan is in part a recognition of the work cities and towns have done to bring federal disaster aid to the state.

"They've done an outstanding job documenting their costs and trying to identify opportunities to mitigate future harm," he said. "They've done an extraordinary job, and that partnership deserves a financial reward."

Tarr also said there is an identified funding source to cover the aid: the $14 million that is expected to be left over from a $25 million state fund created to aid victims of Hurricane Katrina who came to Massachusetts.

Representative Joyce A. Spiliotis, a Peabody Democrat and a subcommittee member, said that the higher-than-normal state reimbursement makes sense, given both the availability of the Katrina funds and the fact that there was "such extensive damage during the storm."

Spiliotis said it is estimated that the total federal aid to cities and towns, as well as individuals, in Massachusetts, will be about $90 million.

Local officials contacted for their reaction welcomed the prospect of receiving the additional state reimbursement.

"That's great," said Lane Bourn, chairman of the Rowley Board of Selectmen. "Hopefully, it will come to bear. If so, that's fantastic."

Bourn said repairs to three storm-damaged bridges in his town will cost an estimated $2.5 million, and that the $312,500 the town would have to pay if it were to cover 12.5 percent of the cost "is a lot of money coming out of our budget."

Mayor John Moak of Newburyport said the city sustained $135,000 in storm losses, most related to the disposal of contaminated debris that washed ashore on Plum Island.

The federal government, he said, did not approve all of those costs for possible repayment and has agreed to pay $81,000. Moak said a larger state reimbursement would help the city recoup at least some of the difference.

"We suffered not only damage, but losses in our budget," he said. "We'd like to be able to replenish that," he said. "If the state steps in, it really helps all the areas that were affected by the flooding."

Meanwhile, flooding has surfaced as an issue in the governor's race. On Oct. 12, Democratic lieutenant governor candidate Timothy P. Murray held a press conference with Peabody city officials and legislators to accuse the GOP administration of failing to adequately help Peabody meet its chronic flooding problems.

They cited Romney's 2004 veto of $5.7 million in state money to match a possible federal grant to address Peabody's flooding, adding that it came six months after Romney and Lieutenant Governor Kerry Healey had come to the city during a flooding incident.

(Just this year, lawmakers appropriated $2.5 million in flood mitigation money for Peabody.)

The Romney administration has a "keen sense of how to get on TV," Senate majority leader Frederick E. Berry of Peabody said a few days after the press conference. "We were just trying to make the point that once the cameras went away we couldn't find either of them."

Browne, the Romney administration spokesman, said the veto "had no effect on the project, as state matching funds are always requested and appropriated after federal officials have confirmed a funding commitment.

"If Massachusetts were to receive the federal funds," he said, "the administration would immediately request the . . . funds be appropriated for the match."

Meanwhile, House members of the caucus subcommittee were set to meet last week with House Speaker Salvatore F . DiMasi to discuss the relief package, while Senate members were working to set up a similar meeting with the Senate president, Robert E . Travaglini.

While residents and businesses have been able to apply for grants and loans from the federal government, Tarr said, those involved in the talks are interested in seeing if there is a way the state can offer them some additional relief as part of the package.

What form such relief would take -- grants, tax credits, tax deductions -- has yet to be determined.

Tarr said the relief effort points to the role the legislative caucus can play for the region.

"One of the values of having a caucus is that we have gotten together, charted a course, and are following that course," he said.

As individual legislators, Tarr said, "we would probably still be making the case" for relief, "but the process wouldn't be nearly as efficient, and, I would argue, not as effective."