Huntsman signs bill loaning $25 million to Dixie communities

Gov. Jon Huntsman Jr. signed a bill Wednesday loaning $25 million to flood-damaged communities in southern Utah.

"The bill provides direct and immediate aid to begin the process of rebuilding communities," the governor said in a statement. "The citizens of Utah should be proud that their elected officials in the Legislature have acted so quickly on such an important issue."

The loan is to be used to pay for public projects only.

The bill-signing comes just a day after President Bush declared Washington and Kane counties disaster areas, approving financial assistance through the Federal Emergency Management Agency.

Huntsman said the federal funding "will certainly help restore infrastructure needs in the area and help the community return to some kind of normalcy." The damage from last month's flooding is expected to exceed $150 million.

A number of area residents saw their homes sink into the swollen Santa Clara River, and one man died when he was swept away from his vehicle.