Senators Trent Lott and Thad Cochran of Mississippi say Labor Secretary Elaine L. Chao would release $16.6 million immediately with the rest coming later in increments.
The funds will be administered through the Mississippi Department of Employment Security in the 52 counties declared eligible for assistance by President Bush.
Chao says the money create about 10,000 temporary jobs to provide food, shelter and other services to hurricane victims.
Workers also will help clean up debris and help rebuild public facilities.
The counties are Adams, Amite, Attala, Chickasaw, Choctaw, Claiborne, Clarke, Clay, Copiah, Covington, Forrest, Franklin, George, Greene, Hancock, Harrison, Hinds, Itawamba, Jackson, Jasper, Jefferson, Jefferson Davis, Jones, Kemper, Lamar, Lauderdale, Lawrence, Leake, Lee, Lincoln, Lowndes, Madison, Marion, Monroe, Neshoba, Newton, Noxubee, Oktibbeha, Pearl River, Perry, Pike, Rankin, Scott, Simpson, Smith, Stone, Walthall, Warren, Wayne, Webster, Wilkinson and Winston.