CEDAR RAPIDS - The first nearly half million dollars in donations from a statewide disaster relief fund is now in the hands of Eastern Iowa community organizations.

The Embrace Iowa 2008 Disaster Fund has raised nearly $3 million since beginning two weeks ago. Organizers handed out the first checks on Thursday to community organizations like the United Way, the Red Cross and the Greater Cedar Rapids Foundation, as well as others.

Top state business leaders in both Central and Eastern Iowa organized the effort to raise money for both tornado and flood victims. Eastern Iowa non profits received 16 checks for $25,000 each as a first down payment on assistance.

Organizers says they envision their relief effort as filling in the gaps left by federal, state and other assistance programs. And groups may not recognize such gaps for months.

"This has never happened before...we don't know what the losses are going to be...we don't know what federal programs will reimburse...so all of that is ahead of us," said Pat Baird, Aegon USA CEO.

Local agencies receiving the first $25,000 checks say they're not sure yet how they'll use the money. But they all believe there will be gaps in recovery funding and this donation program will fill a need.

One business leader says based on experience in helping victims of Hurricane Katrina, some of the biggest unmet needs took six to eight months to become apparent.

The Embrace Iowa Disaster Fund is still taking donations. You can donate by going to www.embraceiowa.org. Or you send a check payable to 2008 Iowa Disaster Fund to:
2008 Iowa Disaster Fund
PO Box 310239
Des Moines, IA 50331-0239

All donations are tax-deductible and will be collected and processed by the Greater Des Moines Community Foundation.