May 4 (Bloomberg) -- President George W. Bush honored the people of Greensburg, Kansas, as models of American compassion and resiliency after a killer tornado almost wiped the prairie town off the map a year ago today.

``The tornado tore apart the beams and boards that held your houses together, but it could not break the bonds of family and faith that hold your town together,'' Bush said at the commencement address for 18 seniors in the Class of 2008 at Greensburg High School.

The agricultural community in southwest Kansas is turning tragedy into triumph, he said. New homes are under construction, utilities are restored, and the town's water tower, smashed by the twister, is back in operation. As it rebuilds, the community aims to become the ``greenest,'' most environmentally friendly town in the country.

``We were just like every other little one-horse western town, we were dying,'' Mayor John Janssen, 59, an accountant and grain farmer, said in a telephone interview. ``The tornado's been a tremendous opportunity.''

The two-mile wide twister, the single deadliest to strike Kansas in 16 years, destroyed more than 900 homes and demolished almost all main street businesses. Eleven people were killed and 50 injured.

``Ninety-five percent of the community was wiped out in 20 minutes,'' Steve Hewitt, 35, the city administrator said in a telephone interview. Bush surveyed the damaged town five days later, offering federal help.

$62 Million in Aid

``Everybody here can hardly believe the president's coming back a second time in one year,'' said Hewitt. More than $62 million in federal aid has been allotted to Greensburg and Kiowa County residents, business and infrastructure projects, the White House said in a statement.

Hundred of townspeople waving flags greeted the presidential motorcade as it turned on to Main Street, where just one half-damaged building still stood. Bush in his remarks underscored the struggles of the past year.

``Often in life, you are dealt a hand that you do not expect,'' he said. ``The test of a community and a people is how you play that hand.''

Many people are still living in government-supplied trailers, while many others live with relatives in neighboring towns. There are virtually no rental units, Hewitt said. High school football and basketball games were played on the turf and courts of schools in rival communities.

Yet, this pre-storm town of 1,500 is bouncing back, reestablishing its identity.

Building Permits

Exactly 786 building permits have been issued since the disaster, including about 150 new homes according to building permits issued by the town. Deere & Co. is helping rebuild the agricultural equipment franchise, General Motors Corp. is rebuilding the Chevrolet dealership, Greensburg High School and the town hospital, smashed by the storm, are in temporary facilities, and city fathers plan to break ground soon on a new ``mini-mall'' for small business.

Torsten Energy LLC of Wright, Kansas, has announced plans to build a new biodiesel plant in the town's 288-acre industrial park, creating as many as 25 jobs. The city council has decreed that, henceforth, it's going ``green,'' requiring all city-owned projects -- city hall, the town museum -- to meet industry-set environmental design standards. That means recycled building materials, recaptured rainwater, and electricity for the town from renewable sources, such as solar panels and windmills.

Creating Jobs

``It's creating jobs and business opportunities that are going to prove quite a thing for our community,'' Jannsen said. ``We're not becoming LA or anything, but there's an economic base here, not a decline.''

Students got along without warm lunches and computers, for a time, said Lane Allison, co-valedictorian, speaking to hundreds of parents and townsfolk in a metal warehouse used as a makeshift gymnasium.

``We may not have the same facilities, but we are still the same school and just as close as before,'' he said.

The Greensburg Class of 2008 has learned that obstacles in life's path can be a source of strength, the president said.

``You have seen life at its most difficult. You have emerged stronger from it,'' Bush said. ``Now I call on you to take this spirit forward and help our country and make it as resilient as this community and as courageous as its people.''

The city's efforts were featured in live broadcasts on CBS's ``Early Show'' last week, and the Discovery Channel aired an hour special on the town yesterday, with a 13-part series planned June 15 on a sister network, Planet Green.

``We're going to be better, stronger,'' said Hewitt, the city administrator. ``And the neat thing is the basketball team still went to the state finals'' in March.

To contact the reporter on this story: Roger Runningen in Greensburg, Kansas, at rrunningen@bloomberg.net

Last Updated: May 4, 2008 17:04 EDT