Derecho Storm Cleanup Has Steep Price Tag For Communities - FOX 21/27 WFXR Roanoke/WWCW Lynchburg News, Weather

It's been no mystery that cleanup from the derecho storm would be no easy or cheap task.

Nearly every city and county in southern Virginia endured some cleanup costs, with areas like Lynchburg and Roanoke City being hit the hardest.

Lynchburg estimates it will cost more than $1 million once cleanup is complete, which could take several more weeks.

City Manager Kimball Payne said the city has around $15 million in reserve funds to help offset the price tag.

By law, the city must save 10 percent of its annual budget in a reserve fund.

"In some communities across the country they've gone into their reserves, they've gone into their rainy day funds, they've spent their contingencies," Payne said. "We have not done that. So we have preserved that and this is just the sort of event that shows the wisdom of that."

The timing of the storm is presenting some other problems.

The 2011-2012 fiscal year ended on June 30. The storm hit June 29, meaning Lynchburg could have problems including cleanup in the 2012-2013 budget.

Lynchburg will likely rely on its reserve funds to pay for the cleanup.

But other areas are facing steep challenges of their own.

Roanoke City expects cleanup will cost $500,000, forcing the city to use nearly half of its $1.1 million contingency fund.

"We will make things work no matter what, but, of course, having that flexibility is always better," said Amelia Merchant, Roanoke Director of the Department of Management and Budget.

Botetourt County is now raising its initial estimates.

Two weeks ago the county expected cleanup would cost $50,000. That number's been bumped up to $100,000.

Now its up to FEMA to determine if they'll help these communities climb out of the financial hole.