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Millions in Minnesota flood aid unspent

Photo: Tony Campbell, Photos.com

Jan 13, 2013 at 4:04 pm

MINNEAPOLIS, Minn. (KNSI) Millions of dollars in relief loan money is sitting unclaimed more than six months after heavy flooding hit northeastern Minnesota.

Most of the $12 million allocated by the Legislature for disaster loans to homeowners remains unclaimed. Another $15 million in loans for flood-affected business remains untouched.

The explanations are varied: Some victims didn't know about the loans, or if they did, didn't apply because they knew they couldn't pay them back. Others are hoping the government buys their property.

Sen. Tony Lourey, DFL-Kerrick, says he's frustrated because here are people out there who need help. He says he's willing to propose changes at the legislature to the relief offered to flood victims, but he wants more information first.