President Clinton yesterday declared part of North Carolina a disaster area, freeing federal funds to repair damage caused by Hurricane Bonnie.
Bonnie blew ashore on Wednesday and virtually stalled over North Carolina, lashing both coastal and inland areas with heavy rain and winds.
"Today there is a disaster declaration that has just been issued for North Carolina," Mr Clinton said, a day after he declared a disaster in parts of Texas flooded out by tropical storm Charley. The declaration includes 10 counties - Beaufort, Brunswick, Cateret, Currituck, Dare, Hyde, New Hanover, Onslow, Pamlico and Pender counties.
Bonnie's 115 mile an hour winds yesterday diminished to 85 miles an hour with the strongest winds out over water.
The declaration allows the Federal Emergency Management Agency to make loans available to businesses and property owners, as well as for the repair of public property.
Meanwhile yesterday, Hurricane Danielle strengthened again as it rolled across the western Atlantic Ocean and forecasters said people on the Bahamas and the US east coast should keep watch on it.
Danielle, packing 90 mph winds, should pass well north of the Leeward Islands during the day, the National Weather Service said.
At 11 a.m. EDT (2 p.m. Irish time) Danielle was about 300 miles north-east of the northern Leeward Islands in the eastern Caribbean at latitude 21.4 north, longitude 59.3 west. It was rolling toward the west northwest at about 18 mph.
"It's a little bit stronger than it was yesterday afternoon," a National Hurricane Centre spokeswoman, Ms Tricia Wallace, said. "It's too early to say when and if it will make landfall. The US east coast and the Bahamas should still watch out."
Hurricane Danielle is the fourth named storm of the Atlantic hurricane season, which runs from early June to late November.