Trump, siding with Democrats, agrees to three-month debt-limit rise: lawmakers

U.S. President Donald Trump meets with Senate Majority Leader Mitch McConnell (L), U.S. Senate Democratic Leader Chuck Schumer (2nd R), House Minority Leader Nancy Pelosi (R) and other congressional leaders in the Oval Office of the White House in Washington, U.S., September 6, 2017. REUTERS/Kevin Lamarque

By Richard Cowan and Susan Cornwell

WASHINGTON (Reuters) – President Donald Trump, siding with Democrats over his fellow Republicans, agreed on Wednesday that Congress should pass an extension of the U.S. debt limit until Dec. 15, a government funding bill covering the same period and disaster aid for Hurricane Harvey victims, Democratic leaders said.

Top Senate Democrat Chuck Schumer and top House of Representatives Democrat Nancy Pelosi made the announcement after a meeting with Trump at the White House, along with the Republican leaders of Congress.

“Both sides have every intention of avoiding default in December and look forward to working together on the many issues before us,” Schumer and Pelosi said in a statement.

A source briefed on the meeting with Trump said Treasury Secretary Steve Mnuchin and all Republicans at the White House meeting argued for a debt limit increase for a longer period. But by the end of the meeting, Trump sided with Democrats who wanted a three-month increase.

The U.S. dollar got a boost on news of agreement on the debt ceiling, which caps how much money the U.S. government can borrow. Many conservatives in Congress are loath to raise it without spending cuts.

The Treasury Department has said the ceiling must be raised in the next few weeks. If not, the government would be unable to borrow more money or pay its bills, including its debt payments. That could hurt the United States’ credit rating, cause financial turmoil, harm the U.S. economy and possibly trigger a recession.

Trump is heading into the toughest legislative stretch of his presidency, with lawmakers facing several pressing legislative priorities.

Those include Harvey disaster relief, raising the debt ceiling by early October to prevent an unprecedented default on U.S. government debt, and passing legislation for federal spending in the fiscal year that begins on Oct. 1 to avoid a government shutdown.

“We have many, many things that are on the plate,” Trump told reporters at the beginning of a White House meeting with the congressional leaders.

“Hopefully we can solve them in a rational way. And maybe we won’t be able to. We’ll probably know pretty much at the end of this meeting or the meetings that we’ll be having over a short period of time,” Trump added.

Trump on Tuesday also gave a Congress six months to pass legislation to decide the fate of the 800,000 so-called Dreamers after rescinding a five-year-old program that had protected them from deportation.

Earlier, House Speaker Paul Ryan said any legislation to address the Dreamers would also need to address border security, a position sure to antagonize Democrats. Ryan also said any immigration legislation the House would consider would have to have the support of Trump.

Schumer urged Republicans to put forward legislation protecting the Dreamers without other issues attached.

The House on Wednesday approved roughly $8 billion in initial emergency aid for relief and rebuilding after Hurricane Harvey, which tore into Texas on Aug. 25. The measure, which provides $7.4 billion for the Federal Emergency Management Agency and $450 million for the Small Business Administration, will now go to the Senate and, barring unexpected setbacks, could be on Trump’s desk to sign by the end of the week.

(Additional reporting by Jeff Mason, Amanda Becker, Doina Chiacu, Richard Cowan, James Oliphant and David Morgan; Writing by Will Dunham; Editing by Alistair Bell)

Subdued by Harvey, Congress reconvenes facing fiscal tests

The U.S. Capitol building is seen at sunset in Washington, U.S. May 17, 2017. REUTERS/Zach Gibson

By Susan Cornwell

WASHINGTON (Reuters) – Hurricane Harvey devastated Texas, but could bring some fiscal order to Washington where Republicans and Democrats will need to put political differences aside in order to approve spending to repair the damage from flooding in and around Houston.

Lawmakers returning to Washington after a month-long break are expected to swiftly agree to an initial request for nearly $8 billion in disaster aid, with the House of Representatives considering assistance on Wednesday.

More requests will follow from the Trump administration, with the fractious Republicans who control the House and the Senate determined to look capable of governing in a crisis.

Some estimates say Harvey could cost U.S. taxpayers almost as much as the total federal aid outlay of more than $110 billion for 2005’s record-setting Hurricane Katrina.

That sobering cost and the urgent needs of Harvey’s victims have helped to calm a fiscal storm that had threatened to engulf Congress and President Donald Trump ahead of Oct. 1. The rancor revolves around the deadline for lawmakers to approve a temporary spending measure to keep the government from shutting down, as well as the need to raise the nation’s debt ceiling.

“There’s reason to hope that in the wake of the tragedy in Texas … there will be a renewed sense of community and common purpose that can help get things done,” said Michael Steel, a Republican strategist who once worked as spokesman for former House Speaker John Boehner.

Before Harvey, Trump had threatened to veto such spending and trigger a shutdown if Congress refused to fund his proposed U.S.-Mexico border wall. He has dropped his threat, the Washington Post reported on Friday, making a shutdown less likely.

As of the Labor Day holiday weekend, approval by Congress was widely anticipated in late September of a stopgap bill, or continuing resolution, to continue current spending levels for two to three more months.

The need to help Hurricane Harvey victims “creates another reason as to why you’d want to keep the government open,” Republican Senator Roy Blunt said on NBC’s “Meet the Press” Sunday.

FRESH START WITH TRUMP

With much of Washington distracted by tensions with North Korea over its nuclear program, Congress must also raise the federal debt ceiling by the end of September or early October to stave off an unprecedented U.S. government debt default, which would shake global markets.

The debt ceiling caps how much money the U.S. government can borrow, and some conservatives are loath to raise it without spending reforms. U.S. Treasury Secretary Steven Mnuchin on Sunday said Congress should act quickly to increase the debt limit, otherwise relief funding for hurricane-ravaged areas of Texas might be delayed.

“Without raising the debt limit, I am not comfortable that we will get money to Texas this month to rebuild,” Mnuchin said on Fox News Sunday.

Blunt, a junior member of Senate Republican leadership, said it was possible lawmakers could tie legislation raising the debt ceiling to measures providing financial aid for recovery from Harvey. “That’s one way to do it,” he said on Meet the Press.

The head of the Republican Study Committee, the largest group of House conservatives, said on Monday that Congress was obligated to help those hurt by Harvey.

But Representative Mark Walker also warned that “legislative games” like attaching Harvey aid to a debt ceiling hike could jeopardize consensus. “The debt ceiling should be paired with significant fiscal and structural reforms,” he said in a statement.

Senior Republicans were warning Trump not to anger Democrats by carrying through with his threat to curtail the Deferred Action for Childhood Arrivals (DACA) program for immigrant children, which Democrats widely support. Democratic votes will likely be needed to both raise the debt ceiling and prevent a shutdown.

Trump might have listened to them. Sources said on Sunday that he has decided to scrap the program that shields the young immigrants from deportation, but he will give Congress six months to craft a bill to replace it.

With his tendency to send conflicting policy signals and attack fellow Republicans, Trump may present the biggest uncertainty as Congress gets back to work.

The four top Republican and Democratic leaders of the Senate and House are set to hold a rare bipartisan meeting with Trump on Wednesday to chart a path forward for the multiple fiscal issues.

Senate Republican leader Mitch McConnell, who will attend the meetings, spent much of August feuding with Trump, who attacked the Kentuckian repeatedly on Twitter.

One Republican strategist said the Senate leader would not dwell on those tensions. “Basically every Republican senator is looking to put whatever nonsense happened on Twitter in August in the rear view mirror and focus on all the important work that needs to get done in September,” said Josh Holmes, a former chief of staff and campaign manager for McConnell.

(Additional reporting by David Morgan and Chris Sanders; Editing by Kevin Drawbaugh and Mary Milliken)

Trump to visit victims of unprecedented floods in Texas and Louisiana

Trump to visit victims of unprecedented floods in Texas and Louisiana

By Emily Flitter and Daniel Trotta

HOUSTON (Reuters) – U.s. President Donald Trump travels to Houston and Lake Charles, Louisiana on Saturday to meet victims of catastrophic storm Harvey, one of the worst natural disasters in U.S. history that is presenting a test of his administration.

While Trump visits, attention will also be focused on Minute Maid Park, where baseball’s Houston Astros play their first home games since Harvey devastated the fourth-most populous U.S. city. The Saturday doubleheader with the New York Mets is expected to be wrought with emotion and punctuated with moments to honor the dozens who died as a result of Harvey.

The storm, one of the costliest to hit the United States, has displaced more than 1 million people, with 50 feared dead from flooding that paralyzed Houston, swelled river levels to record highs and knocked out the drinking water supply in Beaumont, Texas, a city of 120,000 people.

Hurricane Harvey came ashore last Friday as the strongest storm to hit Texas in more than 50 years. Much of the damage took place in the Houston metropolitan area, which has an economy about the same size as Argentina’s.

For graphic on hurricane costs, click http://tmsnrt.rs/2vGkbHS

For graphic on storms in the North Atlantic, click http://tmsnrt.rs/2gcckz5

Seventy percent of Harris County, which encompasses Houston, at one point was covered with 18 inches (45 cm) or more of water, county officials said.

Trump first visited the Gulf region on Tuesday, but stayed clear of the disaster zone, saying he did not want to hamper rescue efforts. Instead, he met with state and local leaders, and first responders.

He was criticized, however, for not meeting with victims of the worst storm to hit Texas in 50 years, and for largely focusing on the logistics of the government response rather than the suffering of residents.

The White House said Trump will first travel to Houston to meet with flood survivors and volunteers who assisted in relief efforts and then move on to Lake Charles, another area hammered by the storm.

The Trump administration in a letter to Congress asked for a $7.85 billion appropriation for response and initial recovery efforts. White House homeland security adviser Tom Bossert has said aid funding requests would come in stages as more became known about the impact of the storm.

Texas Governor Greg Abbott has said that his state may need more than $125 billion.

The storm, which lingered around the Gulf of Mexico Coast for days, dumped record amounts of rain and left devastation across more than 300 miles (480 km) of the state’s coast.

As water receded, many returned to survey the damage and left hundreds of thousands wondering how they can recover.

In Orange, Texas, about 125 miles (200 kms) east of Houston, Sam Dougharty, 36, returned on Friday where waist-high water remained in his backyard and barn.

His family’s house smelled like raw sewage and was still flooded to the ankles. A calf and a heifer from their herd of 15 were dead. The chickens were sagging on the top two roosts of their coop.

“We never had water here. This is family land. My aunt’s owned it for 40 years and never had water here,” he said.

Members of Army National Guard conduct high water rescue operations in the aftermath of Tropical Storm Harvey in Wharton, Texas, U.S. in this August 31, 2017 handout photo. Senior Master Sgt. Robert Shelley/Air National Guard/Handout via REUTERS

Members of Army National Guard conduct high water rescue operations in the aftermath of Tropical Storm Harvey in Wharton, Texas, U.S. in this August 31, 2017 handout photo. Senior Master Sgt. Robert Shelley/Air National Guard/Handout via REUTERS

FROM THE SHELTER TO THE STADIUM

Harvey came on the 12th anniversary of Hurricane Katrina, which killed about 1,800 around New Orleans. Then-U.S. President George W. Bush’s administration was roundly criticized for its botched early response to the storm.

Some of the tens of thousands of people forced into shelters by Harvey will attend the Astros game where Houston Mayor Sylvester Turner will throw out the first pitch and a moment of silence in planned for those who perished.

Sports have helped other cities rebound from catastrophe, such as when the New York Mets played the first baseball game in their damaged city 10 days after the attacks of Sept. 11, 2001, or when the New Orleans Saints returned to the Superdome in 2006 for football a year after Hurricane Katrina.

In the Harris County area of Clear Creek, the nearly 50 inches (127 cm) of rain that fell there equated to a once in a 40,000 year event, Jeff Lindner, meteorologist with the Harris County Flood Control District, said.

Some 440,000 Texans have already applied for federal financial disaster assistance, and some $79 million has been approved so far, Abbott said.

The storm shut about a fourth of U.S. refinery capacity, much of which is clustered along the Gulf Coast, and caused gasoline prices to spike to a two-year high ahead of the long Labor Day holiday weekend.

The national average for a gallon of regular gasoline has risen more than 17.5 cents since the storm struck, hitting $2.59 as of Saturday morning, motorists group AAA said.

Meanwhile a new storm, Irma, had strengthened on Friday into a Category 3 hurricane on the five-step Saffir-Simpson scale. It remained hundreds of miles from land but was forecast to possibly hit Puerto Rico, the Dominican Republic and Haiti by the middle of next week.

(Additional reporting by Richard Valdmanis, Ernest Scheyder, Ruthy Munoz, Peter Henderson and Andy Sullivan in Houston, Steve Holland in Washington, Julia Simon in New York, Jon Herskovitz in Austin, Texas, and Brendan O’Brien in Milwaukee; Writing by Jon Herskovitz and Dan Whitcomb; Editing by Jacqueline Wong)

Texas crews search for survivors in wake of Harvey’s floods

A Marine Corp vehicle patrols a flooded street as a result of Tropical Storm Harvey in Port Arthur, Texas, U.S., August 31, 2017.

By Emily Flitter and Andy Sullivan

PORT ARTHUR, Texas/HOUSTON (Reuters) – A week after Hurricane Harvey came ashore in Texas, rescuers kept up a marathon search for survivors on Friday as large pockets of land remained under water after one of the costliest natural disasters to hit the United States.

The storm has displaced more than 1 million people with 44 feared dead from flooding that paralyzed Houston, swelled river levels to record highs and knocked out the drinking water supply in Beaumont, Texas, a city of about 120,000 people.

Chemicals maker Arkema SA and public health officials warned of the risk of more explosions and fires at a plant owned by the company. On Thursday blasts rocked the facility, about 25 miles east of Houston and zoned off inside a 1.5-mile (2.4-km) exclusion zone, after it was engulfed by floodwater.

With the presence of water-borne contaminants a growing concern, the National Weather Service issued flood watches from Arkansas into Ohio on Friday as the remnants of the storm made their way through the U.S. heartland.

The Neches River, which flows into Beaumont and nearby Port Arthur, was forecast for a record crest from Friday well above flood levels. The flooding and loss of drinking water forced the evacuation of a hospital on Thursday.

Two of the last people remaining in their flooded home near the river, Kent Kirk, 58, and Hersey Kirk, 59, were pulled to safety late Thursday.

“They were the last holdouts, the last house,” said Dennis Landy, a neighbor who had spent the day in his airboat ferrying people from a small, remote group of houses near Rose City, Texas, close to the Neches’ banks, to safety.

It took an hour of coaxing by a rescuer but Hersey Kirk finally let herself be carried from her wheelchair to the airboat and then to a Utah Air National Guard helicopter.

“I’m losing everything again,” she said. “We got flooded in Ike, in Rita. My husband just got a new car – well it was new to him anyway. It’s sitting in 5 feet of water.”

Harvey roared ashore late last Friday as the most powerful hurricane to hit Texas in half a century. It dumped unprecedented quantities of rain and left devastation across more than 300 miles (482 km) in the southeast corner of the state.

 

COST OF UP TO $75 BILLION

Moody’s Analytics estimated the economic cost from Harvey for southeastern Texas at $51 billion to $75 billion, ranking it among the costliest storms in U.S. history. Much of the damage has been to Houston, the U.S. energy hub.

At least 44 people were dead or feared dead in six counties including and around Houston, officials said. Another 19 remained missing.

Some 779,000 Texans have been told to leave their homes and another 980,000 fled voluntarily amid dangers of new flooding from swollen rivers and reservoirs, according to federal estimates.

Tens of thousands crowded in evacuation centers across the region.

Evacuees affected by Tropical Storm Harvey take shelter at the George R. Brown Convention Center in downtown Houston, Texas, U.S.  August 31, 2017

Evacuees affected by Tropical Storm Harvey take shelter at the George R. Brown Convention Center in downtown Houston, Texas, U.S. August 31, 2017. REUTERS/Carlos Barria

A new hurricane, Irma, had strengthened into a Category 3 storm, the midpoint of the five-step Saffir-Simpson scale, on Friday. It remained hundreds of miles from land but was forecast to possibly hit the U.S. territory of Puerto Rico, the Dominican Republic and neighboring Haiti by the middle of next week.

Seventy percent of Harris County, which encompasses Houston and has a population of about 4.6 million people, was covered with 18 inches (45 cm) or more of water, county officials said.

As signs of normal life returned to Houston, the nation’s fourth most populous city, there were concerns about health risks from bacteria and pollutants in floodwater.

The Houston Astros baseball team, forced to play away from the city due to the floods, will return and play at its home field on Saturday. It has invited shelter residents to attend its double header against the New York Mets, Houston Mayor Sylvester Turner said on his Twitter feed.

Flooding has shut some of the nation’s largest oil refineries and hit U.S. energy infrastructure, which is centered along the Gulf Coast. It has sent gasoline prices climbing and disrupted global fuel supplies. [O/R]

The national average for a regular gallon of gasoline rose to $2.519 as of Friday morning, the highest since August 2015, up 17 cents since before the storm hit, according to motorists advocacy group AAA.

The storm knocked out about a quarter of U.S. oil refining capacity and the signs of restarts were tentative.

In major Texas cities including Dallas, there were long lines at gas stations, prompting state regulators to tell people they were sparking a panic and saying there were ample fuel supplies.

Power outages had decreased from peaks of over 300,000 to about 160,000 homes and business in Texas and Louisiana as of Friday morning, data from utilities showed.

 

(Additional reporting by Richard Valdmanis, Marianna Parraga, Ernest Scheyder, Ruthy Munoz, Peter Henderson and Andy Sullivan in Houston, David Gaffen in New York, Jon Herskovitz in Austin, Texas, and Brendan O’Brien in Milwaukee; Writing by Scott Malone Jon Herskovitz; Editing by Chizu Nomiyama and Bill Trott)

 

Search for survivors in Texas as storm Harvey heads north

Search for survivors in Texas as storm Harvey heads north

By Emily Flitter and Richard Valdmanis

LAKE CHARLES, La./HOUSTON (Reuters) – The remnants of Tropical Storm Harvey drenched northern Louisiana on Thursday as it moved inland, leaving rescuers to search homes around Houston and in the hard-hit southeastern Texas coast for more survivors or victims.

The storm killed at least 35 people and the death toll was rising as bodies were found in receding waters. Some 32,000 people were forced into shelters around the U.S. energy hub of Houston since Harvey came ashore on Friday as the most powerful hurricane to hit Texas in a half-century.

Storm-related power outages prompted two explosions at a flood-hit Arkema SA chemical plant in Crosby, Texas, 30 miles (48 km) northeast of Houston, with one sheriff’s deputy sent to the hospital after inhaling toxic chemicals.

“The plume is incredibly dangerous,” Federal Emergency Management Agency Administrator Brock Long said at a news briefing.

A 1.5-mile (2.4 km) radius around the plant had been evacuated and the company urged people to stay away from the area, warning further blasts were likely.

By Thursday, Harvey was downgraded to a tropical depression, located about 15 miles (24 km) south of Monroe, Louisiana. The storm’s rains wrought the most damage along the Gulf Coast and the National Weather Service warned as much as 10 inches (25.4 cm) could fall in Mississippi, Tennessee and Kentucky.

Rivers and reservoirs in Texas remained at or near flood level, with officials warning that high water would remain a danger in the region for the next few days.

Federal officials also had already rescued 10,000 people from flooded homes and would continue to search, Brock said.

The Houston Fire Department will begin a block-by-block effort on Thursday to rescue stranded survivors and recover bodies, Assistant Fire Chief Richard Mann told reporters.

Search for survivors in Texas as storm Harvey heads north

Houses are seen submerged in flood waters caused by Tropical Storm Harvey in Northwest Houston, Texas, U.S. August 30, 2017. REUTERS/Adrees Latif

CAJUN NAVY ON THE MOVE

Nine members of the ad-hoc “Cajun Navy” towing boats behind pickup trucks gathered in Lake Charles early on Thursday, deliberating whether they could safely get in to badly flooded parts of coastal southeastern Texas, including Orange, Port Arthur and Beaumont.

“You can’t get anywhere by vehicle,” said Troy Payne, 56, who had driven in from Atlanta. “To me, this is a helicopter function from here on out unless the water level falls.”

Payne said he planned to drive north to try to find another way into Texas.

Nearly 30 inches (76.2 cm) of rain hit the Port Arthur area.

Beaumont said it had lost its water supply due to flood damage to its main pumping station.

Fort Bend County ordered a mandatory evacuation on Thursday for areas near the Barker Reservoir, which was threatening to flood. The reservoir is about 20 miles (32 km) west of Houston.

Clear skies in Houston on Wednesday brought relief to the energy hub and fourth-largest U.S. city after five days of catastrophic downpours. The first flight out of Houston since the storm hit boarded on Wednesday evening.

Police in Houston’s Harris County said 17 people remained missing.

Some 325,000 people and businesses already had applied for FEMA assistance and the agency already has paid out $57 million in aid, Brock said.

Anita Williams, 52, was among dozens of people lined up Thursday morning at a shelter at Houston’s George R. Brown Convention Center to register for FEMA aid. She said she had been able to get to her neighborhood on Wednesday to survey the damage to her one-story house as the flood waters receded.

“It’s not my house anymore. My deep freezer was in my living room,” she said, her voice breaking.

Williams said she had been trapped by the storm on the Houston Ship Channel bridge overnight on Saturday in her Toyota Camry before she was rescued Sunday by a man in a large truck. Her fiancé, a disabled man, had to be rescued from their house as waters rose to chest level and joined her.

“I just thank God they were able to get to him,” Williams said.

David Michaelis holds his 3-year-old grandson Teddy as he wades through flood waters from Tropical Storm Harvey in Orange, Texas, U.S., August 30, 2017. REUTERS/Jonathan Bachman

David Michaelis holds his 3-year-old grandson Teddy as he wades through flood waters from Tropical Storm Harvey in Orange, Texas, U.S., August 30, 2017. REUTERS/Jonathan Bachman

ENERGY PRODUCTION DISRUPTED

Flooding shut the nation’s largest oil refinery in Port Arthur in the latest hit to U.S. energy infrastructure that has sent gasoline prices climbing and disrupted global fuel supplies. [O/R]

The storm prompted the U.S. Energy Department to authorize the first emergency release of crude oil from the Strategic Petroleum Reserve since 2012. Some 500,000 barrels of oil will be delivered to a Phillips 66 refinery in Louisiana unaffected by the storm, an Energy Department spokeswoman said in a statement.

Average U.S. retail gasoline prices have surged to $2.449 per gallon nationwide in the storm’s wake, up 10.1 cents from a week ago, the AAA said on Thursday.

Moody’s Analytics is estimating the economic cost from Harvey for southeast Texas at $51 billion to $75 billion, ranking it among the costliest storms in U.S. history.

At least $23 billion worth of property has been affected by flooding from Harvey just in parts of Texas’ Harris and Galveston counties, a Reuters analysis of satellite imagery and property data showed.

Governor Greg Abbott warned that floodwaters would linger for up to a week. The area affected is larger than that hit by 2005’s Hurricane Katrina, which killed more than 1,800 people in New Orleans, and 2012’s Superstorm Sandy, which killed 132 around New York and New Jersey, he said.

U.S. Vice President Mike Pence and several Cabinet secretaries will travel to Texas on Thursday to meet residents affected by the storm.

For a graphic on storms in the North Atlantic, click: http://tmsnrt.rs/2gcckz5

A dog is rescued from the flood waters in Beaumont Place.

A dog is rescued from the flood waters in Beaumont Place.
REUTERS/Jonathan Bachman

Two rescuers from U.S. Navy Helicopter Sea Combat Squadron 7 are lowered to a house after Tropical Storm Harvey flooded a neighborhood in Beaumont, Texas, U.S. in a still image from video August 30, 2017. U.S. Navy/Petty Officer 1st Class Ernest Scott/Handout via REUTERS

Two rescuers from U.S. Navy Helicopter Sea Combat Squadron 7 are lowered to a house after Tropical Storm Harvey flooded a neighborhood in Beaumont, Texas, U.S. in a still image from video August 30, 2017. U.S. Navy/Petty Officer 1st Class Ernest Scott/Handout via REUTERS

(Additional reporting by Richard Valdmanis, Mica Rosenberg, Marianna Parraga, Gary McWilliams, Ernest Scheyder, Erwin Seba, Ruthy Munoz, Peter Henderson and Andy Sullivan in Houston, David Gaffen and Christine Prentice in New York, Susan Heavey in Washington, Jon Herskovitz in Austin, Texas, and Brendan O’Brien in Milwaukee; Writing by Scott Malone and Jon Herskovitz; Editing by Lisa Von Ahn and Bill Trott)

Harvey soaks Louisiana as Houston paralyzed by flooding

Harvey soaks Louisiana as Houston paralyzed by flooding

By Ruthy Munoz and Gary McWilliams

HOUSTON (Reuters) – Tropical Storm Harvey bore down on Louisiana on Wednesday, pouring down more water after setting rainfall records in Texas that caused catastrophic flooding and paralyzed the U.S. energy hub of Houston.

The storm that first came ashore on Friday as the most powerful hurricane to hit Texas in more than 50 years has killed at least 17 people and forced tens of thousands to leave their deluged homes.

Damage has been estimated at tens of billions of dollars, making it one of the costliest U.S. natural disasters.

There is some relief in sight for Houston, the fourth most populous U.S. city, with forecasters saying five days of torrential rain may come to an end as the storm picks up speed and leaves the Gulf of Mexico region later in the day.

Harvey made landfall early Wednesday and was about 32 miles (52 km) south of Lake Charles, Louisiana. It was expected to bring an additional 3 to 6 inches (7.5 to 15.24 cms) of rain to an area about 80 miles east of Houston as well as southwestern Louisiana, where some areas have already seen more than 18 inches of rain.

Several hundred people had already been rescued from their homes in Lake Charles, Louisiana, where floodwaters were knee-deep in places, Mayor Nic Hunter told CNN.

“We are a very resilient people down here. We will survive. We will take care of each other down here in Texas and Louisiana,” Hunter said. “But we do need some help from the federal government, these homeowners and these people who have been displaced. That’s going to be our biggest need.”

Harvey is projected to weaken as it moves inland to the northeast, the National Hurricane Center said.

“We aren’t going to be dealing with it for too much longer. It’s going to pick up the pace and get out of here,” said Donald Jones, a meteorologist at the National Weather Service in Lake Charles.

But nearly a third of Harris County, home to Houston, was under water, an area 15 times the size of Manhattan, according to the Houston Chronicle newspaper. It may take days for all flood waters, which have spilled over dams and pushed levees to their limits, to recede, local officials said.

City officials were preparing to temporarily house some 19,000 people, with thousands more expected to flee. As of Wednesday morning, state officials said close to 49,000 homes had suffered flood damage, with more than 1,000 destroyed.

Houston Mayor Sylvester Turner imposed a curfew from 12 a.m. to 5 a.m. amid reports of looting, armed robberies and people impersonating police officers.

U.S. President Donald Trump visited Texas on Tuesday to survey damage from the first major natural disaster to test his crisis leadership. The president said he was pleased with the response, but too soon for a victory lap.

“We won’t say congratulations,” he said. “We don’t want to do that … We’ll congratulate each other when it’s all finished.”

Moody’s Analytics is estimating the economic cost from Harvey for southeast Texas at $51 billion to $75 billion.

The storm has affected nearly one-fifth of U.S. refining capacity, sparking concerns about gasoline supply. The national average gasoline price rose to $2.404 a gallon, up six cents from a week ago, with higher spikes in Texas.

The unprecedented flooding has left scores of neighborhoods in chest-deep water and badly strained the dams and drainage systems that protect the low-lying Houston metropolitan area whose economy is about as large as Argentina’s.

The National Weather Service has issued flood watches and warnings that stretch from the Houston area into Tennessee.

President Donald Trump and first lady Melania Trump receive a briefing on Tropical Storm Harvey relief efforts in Corpus Christi, Texas. REUTERS/Carlos Barria

President Donald Trump and first lady Melania Trump receive a briefing on Tropical Storm Harvey relief efforts in Corpus Christi, Texas. REUTERS/Carlos Barria

DIED TRYING TO RESCUE PEOPLE

Harvey has drawn comparisons with Hurricane Katrina, which devastated New Orleans 12 years ago, killing more than 1,800 people and causing an estimated $108 billion in damage.

Among the confirmed fatalities was Houston Police Sergeant Steve Perez, a 34-year veteran of the force who drowned while attempting to drive to work on Sunday.

In Beaumont, northeast of Houston, a woman clutching her baby daughter was swept away in raging flooding. The baby was saved but the mother died, Beaumont police said.

Ruben Jordan, a retired high school football coach died when he was helping rescue people trapped in high water, the Clear Creek Independent School District said.

In all, 17 people have perished, according to government officials and the Houston Chronicle. Four volunteer rescuers also went missing after their boat was swept in a fast-moving current, local media reported.

U.S. Coast Guard helicopters and boats have rescued more than 4,000 people. Thousands of others have been taken to safety by police, rescue workers and citizen volunteers who brought their boats to help, local officials said.

The National Hurricane Center on Tuesday afternoon said a record 51.88 inches (131.78 cm) of rain had fallen in Texas due to Harvey, a record for any storm in the continental United States.

This breaks the previous record of 48 inches set during tropical storm Amelia in 1978 in Medina, Texas, the NHC said. Medina is west of San Antonio. The island of Kauai was hit with 52 inches of rain from tropical cyclone Hiki in 1950, before Hawaii became a U.S. state.

For a graphic on storms in the North Atlantic, click: http://fingfx.thomsonreuters.com/gfx/rngs/STORM-HARVEY/010050K2197/index.html

Ethan holds his 2-year-old daughter Zella as they walk through flood waters from Tropical Storm Harvey in Iowa, Calcasieu Parish, Louisiana, U.S., on August 29, 2017. REUTERS/Jonathan Bachman

Ethan holds his 2-year-old daughter Zella as they walk through flood waters from Tropical Storm Harvey in Iowa, Calcasieu Parish, Louisiana, U.S., on August 29, 2017. REUTERS/Jonathan Bachman

(Additional reporting by Gary McWilliams, Ernest Scheyder, Erwin Seba, Ruthy Munoz and Peter Henderson in Houston; Andy Sullivan in Rockport, Texas; Jon Herskovitz in Austin, Brendan O’Brien in Milwaukee; Writing by Scott Malone and Jon Herskovitz; Editing by Toby Chopra and Chizu Nomiyama)

Oil markets roiled as Harvey hits U.S. petroleum industry

An oil tank damaged by Hurricane Harvey is seen near Seadrift, Texas, August 26, 2017

By Ahmad Ghaddar

LONDON (Reuters) – Oil markets were roiled on Monday after Tropical Storm Harvey wreaked havoc along the U.S. Gulf Coast over the weekend, crippling Houston and its port, and knocking out several refineries as well as some crude production.

U.S. gasoline prices hit two-year highs as massive floods caused by the storm forced refineries in the area to close. In turn, U.S. crude futures fell as the refinery shutdowns could reduce demand for American crude.

Brent futures steadied as pipeline blockades in Libya slashed the OPEC state’s output by nearly 400,000 barrels per day .

Harvey is the most powerful hurricane to hit Texas in more than 50 years, killing at least two people, causing large-scale flooding, and forcing the closure of Houston port as well as several refineries.

The U.S. National Hurricane Center said Harvey was moving away from the coast but was expected to linger close to the shore through Tuesday. It said floods would spread from Texas eastward to Louisiana.

Texas is home to 5.6 million bpd of refining capacity, and Louisiana has 3.3 million bpd. Over 2 million bpd of refining capacity was estimated to be offline as a result of the storm.

Spot prices for U.S. gasoline futures surged 7 percent to a peak of $1.7799 per gallon, the highest level since late July 2015, before easing to $1.7341 by 1341 GMT.

U.S. traders were seeking oil product cargoes from North Asia, several refining and shipping sources told Reuters, with transatlantic exports of motor fuel out of Europe expected to surge.

“Global refining margins are going to stay very strong,” said Olivier Jakob, managing director of Petromatrix.

“If (U.S.) refineries shut down for more than a week, Asia will need to run at a higher level, because there’s no spare capacity in Europe.”

About 22 percent, or 379,000 bpd, of Gulf production was idled due to the storm as of Sunday afternoon, the U.S. Bureau of Safety and Environmental Enforcement said.

There might also be around 300,000 bpd of onshore U.S. production shut in, trading sources said.

Brent crude futures were up 2 cents at $52.43 per barrel. U.S. West Texas Intermediate  crude futures  were down 50 cents at $47.37.

The price moves pushed the WTI discount versus Brent to as much as $5.24 per barrel, the widest in two years.

 

 

(Additional reporting by Henning Gloystein in Singapore; Editing by Dale Hudson and Edmund Blair)

 

Exxon Mobil fined for Louisiana refinery explosion that injured four

FILE PHOTO: Storage tanks are seen inside the Exxonmobil Baton Rouge Refinery in Baton Rouge, Louisiana, U.S. on November 6, 2015. REUTERS/Lee Celano/File Photo

By Erwin Seba

HOUSTON (Reuters) – Exxon Mobil Corp has been fined about $165,000 by U.S. regulators for safety lapses including inadequate training and equipment maintenance over an explosion that injured four workers at an aging Baton Rouge, Louisiana, refinery last year.

The U.S. Occupational Safety and Health Administration (OSHA) issued nine citations, several of which echo previous cautions by federal agencies at two other Exxon plants. The citations, issued in May, were seen by Reuters this month.

A separate investigation by the U.S. Chemical Safety Board (CSB) is ongoing and its report on the incident is due by year-end.

Exxon said it is contesting the OSHA citations and fines.

The facility was faulted five years ago by the U.S. Environmental Protection Agency (EPA) for failing to address corrosion on pipes and valves and for inadequate shutdown and emergency procedures provided to workers.

The Nov. 22, 2016 explosion on a sulfuric-acid alkylation unit that makes octane-boosting components of gasoline in the sprawling Baton Rouge refinery and chemical plant injured four workers, two of them severely. Two of the affected workers declined to comment; others could not be reached.

A worker on the alkylation unit removed the cover of a malfunctioning valve on an isobutane line and used a wrench to turn the value stem, Exxon reported to the Louisiana Department of Environmental Quality in a letter. Volatile isobutane is converted in the alkylation unit to a component of gasoline.

As the operator turned the valve stem, portions of the valve fell out, releasing isobutane, according to the Exxon letter, which was ignited by a welding machine 70 feet away.

One worker was knocked off a scaffold next to the alkylation unit and left dangling over the fire, according to two sources. Another worker was burned over most of her body.

Exxon’s safety procedures and training for operators on the alkylation unit were lacking, equipment was not properly maintained, and required inspections were not carried out within required time periods, according to a copy of the citations seen by Reuters.

“We cooperated with OSHA’s investigation and shared extensive information and records,” said Exxon spokeswoman Charlotte Huffaker. “We are contesting the citations and associated penalty.”

Huffaker said “nothing is more important” to Exxon than maintaining a safe workplace for workers and residents near its facilities.

Eight of the nine citations were listed as serious, each carrying a fine of $12,675. The ninth, for failing to carry out external visual and ultrasonic inspections of piping, totaled $63,373.

The latter fine was higher because Exxon was cited in 2016 for violating the same inspection standard at a Baytown, Texas, refining and chemical plant complex, OSHA said in the citation.

In a report issued in May after a two-year investigation of a 2015 explosion at an 86-year-old Torrance, California, refinery then owned by Exxon, the CSB said the company lacked a procedure for operating a fluidic catalytic cracking unit in an idled mode, as was being done when the explosion took place.

Exxon sold the Torrance refinery to PBF Energy Inc in July 2016.

In 2012, the EPA inspected the Baton Rouge refinery as part of a risk management prevention program. It found Exxon had not examined in five years more than 1,000 underground pipes, many of which were corroded, according to the agency’s report on the inspection. The EPA also said emergency and shutdown procedures failed to provide needed details for operators.

Huffaker said in an email that Exxon contested the violations, and said the EPA withdrew all but two of its findings. She did not specify the two violations but said Exxon resolved those issues.

 

(Reporting by Erwin Seba; Editing by Gary McWilliams and Tom Brown)

 

Tropical Depression Cindy still packs a punch after landfall on Thursday

Radar from the continued threat of Tropical Storm Cindy

By Kami Klein

In the wake of the landing of Tropical Depression Cindy, there is extensive flooding in many states, the death of a 10 year old boy from debris in Fort Morgan, Alabama  as well as the damage and injuries from an F2 tornado that plowed through Birmingham, Alabama on Thursday,  From reports by the National Weather Service, this was just the beginning of problems that will be arising from this intense storm system.   

The F2 Tornado that hit a heavily populated area in Birmingham, Alabama Thursday afternoon left extensive structural  damage and injured four people. The Weather Channel also reported that Mayor Tim Kerner of the town of Lafitte, Louisiana (located south of New Orleans) said the rising water may impact homes and vehicles, and he issued a voluntary evacuation for all residents.

The AP has reported that more than a foot of rain has fallen in Ocean Springs, Mississippi. Residents are concerned with the damages and hazards brought by the immense amount of water, including the dangers of alligators that are prevalent in many ponds and will now move into more populated areas.  

Mississippi residents are not the only people concerned about frightening impacts in nature caused by the flooding. The Alabama Cooperative Extension System warned of floating colonies of fire ants in the flood waters.  In a statement, the agency said the fire ants may resemble ribbons, streamers or large balls of ants floating on the water and that residents should be on the lookout when maneuvering in or being near flooded areas.

So far the states of Louisiana, Mississippi, Alabama, Texas, Tennessee and even southern Arkansas have been affected by the torrential rains contained in Tropical Depression Cindy.  Officials in all states have warned that there is a strong possibility for more flash flooding and tornadoes.  

In a report by The Weather Channel, remnants of the storm moved into Tennessee on Friday, knocking down trees and prompting power outages. According to Memphis Light Gas and Water, nearly 10,000 customers were without power Friday morning. Kentucky and West Virginia are bracing themselves for Heavy rainfall and flooding and reports from the weather service show that portions of Michigan and Indiana are also being affected by this storm system as well.  

The National Weather Service says that the path of Tropical Storm Cindy will spread heavy rain into the Tennessee and Ohio Valleys today – and into the Appalachians and Mid-Atlantic tonight. Flash flooding is possible in these areas as well as strong to severe thunderstorms.  

 

 

 

 

Tropical storm Cindy heads inland in Louisiana; one dead in Alabama

This graphic shows an approximate representation of coastal areas under a hurricane warning (red), hurricane watch (pink), tropical storm warning (blue) and tropical storm watch (yellow). The orange circle indicates the current position of the center of the tropical cyclone. The black line, when selected, and dots show the National Hurricane Center (NHC) forecast track of the center at the times indicated. The dot indicating the forecast center location will be black if the cyclone is forecast to be tropical and will be white with a black outline if the cyclone is forecast to be extratropical. Courtesy of NOAA and the National Weather Service

(Reuters) – Tropical storm Cindy was headed inland near the Louisiana-Texas border on Thursday morning and continued producing heavy rainfall and life-threatening conditions over the northern Gulf Coast, the U.S. National Hurricane Center said.

The storm caused its first reported fatality on Wednesday when a 10-year-old boy struck by a log that a large wave dislodged while he stood near shore in Fort Morgan, Alabama, the Baldwin County coroner said.

Cindy is about 30 miles (45 km) west-southwest of Lake Charles, Louisiana, with maximum sustained winds of 40 miles per hour (65 km/h), is expected to weaken into a tropical depression later on Thursday, the Miami-based weather forecaster said.

“Now is the time to hide from the wind. Remain sheltered until the hazardous wind subsides,” the National Weather Service said in an advisory early on Thursday warning.

Cindy could drop six to nine inches (15-23 cm) of rain and bring as much as 15 inches to some parts of southeastern Louisiana, Mississippi, Alabama and Florida, the NHC said.

The storm could cause a surge of up to three feet (1 meter) in isolated areas and possibly spawn tornados from southern Louisiana to the Florida Panhandle, the NHC said.

Two tornados were reported about four miles (6.4 km northwest of Biloxi, Mississippi. Two more were reported on the northwest coast of Florida, according to the National Oceanic and Atmospheric Administration.

The Louisiana Offshore Oil Port, the largest privately owned crude storage terminal in the United States, suspended vessel offloadings but expected no interruptions to deliveries from its hub in Clovelly, Louisiana.

Energy companies with operations in the Gulf of Mexico reported little impact on production. Shell suspended some well operations and Anadarko Petroleum, ENI and Enbridge said they had evacuated non-essential personnel.

The Gulf of Mexico region is home to about 17 percent of U.S. crude and 5 percent of dry natural gas output, according to the U.S. Energy Information Administration.

(Reporting by Brendan O’Brien in Milwaukee, editing by Larry King)