President Barack Obama has declared New York and  New Jersey as major disaster areas after the super storm Sandy ravaged the city with 80 mph winds, heavy rain and snowfall triggering an unprecedented 13-foot surge in sea water flooding the city.

The Sandy wreaked havoc in the city as the flooding, fierce winds, and fire outbreak and bad weather related accidents has led to massive devastation amounting to multibillion dollar repair bills.

The administration’s decision to declare major disaster areas will help people residing in these areas to secure federal funds after they were hit by the super storm’s flooding Monday.

"The President's action makes Federal funding available to affected individuals in the counties of Bronx, Kings, Nassau, New York, Richmond, Suffolk, and Queens in New York and counties of Atlantic, Cape May, Essex, Hudson, Middlesex, Monmouth, Ocean, and Union in New Jersey," an announcement stated, according to a USA Today report.

"Assistance can include grants for temporary housing and home repairs, low-cost loans to cover uninsured property losses, and other programs to help individuals and business owners recover from the effects of the disaster," declarations said.

The initial reports suggest that flood damage would be anywhere between $10 billion to $20 billion.

According to the latest advisory from the National Hurricane Center the storm has weakened and is moving west across Pennsylvania and is expected to move in to western New York Tuesday and is forecast to enter Canada Wednesday.

At least 16 people are killed in the U.S and Canada by the extratropical cyclone Sandy and a 6.2 million people are without power cross the U.S.

The massive storm system has affected the travel and cargo and major airports remain closed, stranding thousands of fliers, AP reported. According to the flight-tracking service FlightAware, more than 13000 flights have been grounded Monday and Tuesday.