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Lawmakers have delayed consideration of a supplemental emergency aid package and a nearly $4 billion measure that would let disaster victims take money out of retirement plans without facing tax penalties. That bill also would give tax breaks to businesses that suffered losses and encourage more donations to charities.
The package is modeled after similar laws that Congress passed to help victims of hurricanes Katrina, Rita and Wilma in 2005 and the massive tornado in Greensburg, Kan., last year.
Lawmakers from five Midwestern states introduced the measure in the Senate and House on Wednesday. That included both of Iowa’s U.S. Sens. Charles Grassley, a Republican, and Tom Harkin, a Democrat, and the state’s five House lawmakers.
Some of those lawmakers expressed frustration that their constituents affected by the storms and flooding will be left in limbo during Congress’s summer recess.
Officials say the federal government has already approved $2.6 billion in disaster assistance, but a second request was also made. It’s not clear exactly how much money would be in the supplemental package.
“Congress doesn’t seem to understand the devastation. We’ve got an emergency, and Congress needs to respond,” Grassley said. “If my colleagues doubt me that this is an emergency, I’m in Iowa every weekend and I’ll be happy to show them around.”
Earlier this week, Gov. Chet Culver met with lawmakers in Washington to ask for more than $1 billion. He urged Congress to move swiftly on the emergency aid package.
“In the past, Congress has moved quickly in response to other extraordinary disasters, and this should be no exception,” Culver said in a statement on Wednesday.
The Senate Appropriations Committee delayed the supplemental emergency aid package, which had been slated to be taken up on Thursday. The committee chairman, Sen. Robert Byrd, D-West Virginia, said in a statement that the Senate was busy debating legislation on housing, energy, defense policy and taxes before the recess.
He said “there is no opportunity to begin consideration of a supplemental appropriations bill during the next 10 days.”
Rep. Dave Loebsack, D-Iowa, reminded that many communities were affected by the recent floods and “thousands of Iowans are struggling to get back on their feet.”
Rep. Tom Latham, R-Iowa, tried to demand on the floor of the House Thursday afternoon that Congress not leave until the emergency assistance was passed into law.
“Helping American taxpayers hurt by natural disasters should be one of our highest priorities,” Latham said in a statement. “This Congress is letting them down.”
