Obama Asking Congress for $60.4 Billion to Help States Recover From Storm

President Obama proposed a $60.4 billion emergency spending bill on Friday to finance recovery efforts in areas pummeled by Hurricane Sandy, a sum that White House officials called a “robust” investment in the region but that was far less than what the states had requested.

The spending plan would pay for most, but not all, of the $82 billion in damage identified by the governors of New York, New Jersey and Connecticut, helping homeowners and small-business owners rebuild, repairing subway and other transit systems, replenishing eroded beaches and reimbursing governments for the cost of police, fire and other services.

The president’s plan would not cover several big-ticket items sought by state governments. It would not pay for damage already covered by private insurance and would extend aid only to primary residences. While small businesses would be eligible for help, larger private firms like Consolidated Edison would not.

The plan also assumes that states will have to pay about 10 percent of the cost of any repair and mitigation projects that are approved, even though they asked the federal government to cover 100 percent.

The proposal now goes to Congress, where it is likely to become the focus of a fight between fiscal conservatives seeking to limit federal spending and lawmakers from storm-battered areas bent on obtaining even more than what Mr. Obama proposed. Mr. Obama proposed no spending cuts elsewhere to pay the cost, arguing that such emergencies typically do not require offsetting measures.

Leaders from New York, New Jersey and other hard-hit states generally welcomed the proposal, even though it fell short of what they were seeking to clean up storm damage and prepare for future storms. The White House increased the overall spending request from the $45 billion to $55 billion estimated earlier in the week, attributing the change to more information received about the extent of the damage.

Govs. Andrew M. Cuomo, Democrat of New York, and Chris Christie, Republican of New Jersey, spent much of Friday negotiating the final package with the White House. In a joint statement, they praised the proposal, saying “it enables our states to recover, repair and rebuild better and stronger than before.”

Two New York lawmakers leading a hurricane recovery task force — Representatives Peter T. King, a Long Island Republican, and Nita M. Lowey, a Democrat from Westchester County — expressed support for the White House proposal but left open the possibility that additional financing might be sought.

“While more may be needed in the long term,” they said, “this robust package is a major first step that we will work to pass as quickly as possible in Congress to help devastated communities, families and businesses.”

In a joint statement, Senators Charles E. Schumer and Kirsten E. Gillibrand of New York and Frank R. Lautenberg and Robert Menendez of New Jersey echoed the sentiment. The senators, all Democrats, described the White House proposal as “a very good start” but noted that more aid may be “necessary as our states’ needs become more clear.”

Mr. Obama’s proposal seeks to finance an assortment of projects and programs reflecting the daunting array of storm-related needs. They include these items:

¶ $17 billion for the Department of Housing and Urban Development and the Community Development Block Grant program to provide help to homeowners.

¶ $11.5 billion for the federal disaster relief fund that provides checks to individuals, reimbursement for government services and assistance to rebuild public facilities.

¶ $9 billion to repair and upgrade transit systems.

¶ $4 billion for the Army Corps of Engineers, which will be in charge of various projects including beach replenishment.

¶ $9 billion for flood insurance.

¶ $2 billion to repair federal facilities.

¶ $1 billion for the Small Business Administration’s aid program.

The proposal comes at a politically inopportune time, as Mr. Obama and Congressional leaders in both parties try to reach an agreement intended to avert a so-called fiscal cliff next month, when broad tax cuts are set to expire and automatic spending cuts are scheduled to go into effect.

As the White House finds itself locked in a showdown with Congressional Republicans over these broader budget concerns, it was seeking to present the storm spending request as a separate issue that does not affect the long-term health of the Treasury.

But it appears likely that the emergency spending measure will become entangled in the larger spending struggle between the White House and Republicans, who would like to maintain the upper hand on the deficit.

Some key Republicans have suggested that the aid requests should be taken up in phases, with emergency needs addressed in the current Congressional session and longer-term requests left for the new Congress that convenes next year.

But regional leaders want Congress to approve as much aid as possible before it adjourns in the coming weeks, partly because they fear there will be less urgency to act as the months pass.