I agree it's costly. But why should federal emergency monies be used to cover something that occurs every winter in Iowa?
Shouldn't measures be taken to avoid the damage or insure against it? Using your example of utilities, moving more lines underground and using strain-relief devices are a couple of examples that come to mind.
The last couple of years have been terrible for these storms, with last year being the worst one I can remember in a while. For the most part these storms are not yearly events, thank god.
There is a tendancy to move more things underground, but it is cost prohibitive and not possible in all areas.
As for where federal money should be spent, I don't want to get into a political discussion so I will leave that one alone.