$80 million announced in connection with Flint water is revolving loan fund

Turns out the devil is in the details on that $80 million U.S. Sen. Debbie Stabenow said was being allocated by the White House to "help families in Flint" with their water crisis.

The money is actually a revolving loan fund, not an appropriation, Dave Murray, spokesman for Gov. Rick Snyder, said late Friday.

It's also intended for all of Michigan, and was included in a federal budget bill signed in December to help states upgrade their infrastructures.

"The $80 million announced by President Obama is a revolving loan fund, not an appropriation," Murray said.

"We're grateful the President made this loan money available for Michigan cities and will work to determine how it can best be used to help people in Flint and potentially in other cities in the state," he added. "We are in the very early stages of this process."

Obama referenced the funding in connection with the Flint water crisis Thursday while meeting with 250 mayors at the White House. During that event, he referenced the Flint water crisis.

"In last month's bipartisan budget agreement, we secured additional funding to help cities like yours build water infrastructure," Obama told the mayors. "And we're going to have that funding available to you by the end of next week, and that includes more than $80 million for the state of Michigan."

Stabenow's office later issued a press release saying the $80 million would be going to "help families in Flint."

Obama already has committed $5 million to Flint last weekend when he officially declared the Flint water crisis to be a federal emergency.

On Tuesday, Snyder urged Obama to upgrade his declaration to a federal disaster, which would free up more funds.

Friday, Snyder said that he will request that Obama reconsider awarding funds under two programs allowed under the emergency declaration: The Individuals and Households Program, which provides such things as housing assistance and replacement of personal property; and money for emergency protective measures.

Snyder this week also unveiled a $28 million plan to combat the city's water crisis. The plan allocates state funding to six departments and would enable the state to increase National Guard efforts, increase nurses in schools and replace fixtures in some public places.

Julie Mack is a reporter for MLive.com. Email her at jmack1@mlive.com, call her at 269-350-0277 or follow her on Twitter @kzjuliemack.

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