THE GOVERNMENT has scrapped plans to issue almost $1 billion dollars in building supply vouchers and will, instead, begin next week to present cheques to victims whose homes were damaged during last month's passage of Hurricane Ivan.
Donald Buchanan, Minister of Water and Housing, told the House of Representatives yesterday that after closer examination and discussion, the Government had agreed that the voucher system was not adequate under the current circumstances being faced by homeowners.
"For one, many of the affected persons have already started to repair and rebuild their homes with funds loaned to them or by diverting finances set aside for the new school term," Buchanan said during his ministerial presentation on the Government's hurricane recovery programme.
CASH RESOURCES
He explained that what persons require is the cash resources, not only to complete, but to make good on loans and to restore funds that have been diverted.
The Government has decided on three benefit levels based on damage sustained. The levels range from $20,000 for houses that were totally destroyed; $7,500 to $10,000 for houses severely damaged; to $5,000 for other damage. Just under 100,000 homes have been assessed.
Mr. Buchanan, though stressing that the state is not an insurer of houses, indicated that the Government will be spending $1.04 billion on housing grants, including the $112.7 million for relocation of 540 homes in severely affected communities.
