Perdue grants interest-free Irene loan

RALEIGH, N.C. (AP) - Gov. Beverly Perdue is making a no-interest state loan available to repair two schools and other public buildings in Tyrrell and Pamlico counties damaged during Hurricane Irene last August.

Perdue authorized the 15-year loan from a fund set aside to pay severance to state employees laid off last year.

County commissioners will be required to maintain flood insurance. Perdue says flood insurance carried by the school systems in the two counties lapsed, making them ineligible for full assistance from the Federal Emergency Management Agency.

Hurricane Irene made landfall on the North Carolina coast as a Category 1 hurricane in late August. Low-lying areas along Pamlico Sound like Bayboro were flooded under a storm surge of eight to 10 feet. Bayboro's middle school and high school were damaged.