CORRECTED-UPDATE 1-US gives Maryland $60 million to rebuild collapsed Baltimore bridge
(Corrects status of victims in second paragraph to show two bodies have been recovered with four people missing and presumed dead (not the other way around).)
By David Shepardson
March 28 (Reuters) - The U.S. government awarded the state of Maryland $60 million in federal emergency relief on Thursday in response to the collapse of the Francis Scott Key Bridge in Baltimore, an extraordinarily fast disbursement after such a disaster.
The bridge came tumbling down early on Tuesday after a massive cargo freighter that had lost power plowed into the structure in Baltimore Harbor. Two bodies have been recovered and four other missing people are presumed dead.
Maryland Governor Wes Moore had requested the $60 million earlier on Friday, and the U.S. Department of Transportation's Federal Highway Administration approved the request within hours.
Such funding typically takes days, but President Joe Biden told reporters on Tuesday that he directed the federal government to "move heaven and earth" to quickly rebuild the bridge.
"These funds serve as a down payment toward initial costs, and additional Emergency Relief program funding will be made available as work continues," the Transportation Department said in a statement.
Initial estimates of the reconstruction costs, which is likely to be paid by the federal government, are at $600 million, economic software analysis company IMPLAN said.
But federal officials have told Maryland lawmakers the cost could soar to at least $2 billion, The Hill reported, citing a source familiar with the discussions.
The Transportation Department has vowed to act swiftly after getting a request for the so-called "quick release funding" but has said it will need legislation from Congress to fund building a replacement bridge.
Moore said in a statement regarding his request the funds would support "mobilization, operations, and debris removal, laying the foundation for a rapid recovery."
Maryland said it may seek additional emergency funding as damage assessments progress.
Bound for Sri Lanka, the Singapore-flagged container ship Dali reported losing power and the ability to maneuver before plowing into a support pylon of the bridge.
The impact brought most of the bridge crashing into the mouth of the Patapsco River almost immediately, blocking shipping lanes and forcing the indefinite closure of the Port of Baltimore, one of the busiest on the U.S. Eastern Seaboard.
(Reporting by David Shepardson in Washington; Additional reporting by Daniel Trotta in Carlsbad, California; editing by Jonathan Oatis and Josie Kao)
