FLOODING DEEMED A DISASTER IN NEW YORK AND NORTH CAROLINA

President Barack Obama on Wednesday declared a “major disaster” in New York and North Carolina as rivers and streams swollen by hurricane Irene crested, adding to the flooding that already plagues wide swaths of eastern US states. President Obama’s declaration will enable the two states to receive federal funding to support relief operations. However, New York and North Carolina are by no means the only states seeing renewed flooding on top of the initial inundation from Irene. The Passaic River in New Jersey crested at 13 feet above flood state late Tuesday before receding yesterday. In Connecticut, the Connecticut River crested at 15.4 feet above flood stage early Wednesday, prompting the National Weather Service to issue a warning of moderate to major flooding. In Vermont, floodwaters and debris have washed out or blocked around 200 roads, isolating many small communities and requiring the National Guard to bring in food and water. Irene also flooded tobacco and cotton fields in North Carolina and brought shellfish harvesting to a temporary halt in Chesapeake Bay. With the widespread flooding, insurers are likely to end up paying for less than 40% of the damages tied to Irene compared to more than 50% of the losses in previous storm, disaster-monitoring firm Kinetic Analysis said, as flood damages will be passed on to homeowners that have cover through the National Flood Insurance Programme. Still, the estimated $7bn to $10bn in total economic losses from Irene could rank the storm as one of the 10 costliest disasters in the US.