A stochastic model of fine sediment transport on the continental shelf is modified to incorporate the effects of storm flows. The model, based on surface gravity wave resuspension, now includes transport by both tides and episodic storm flows. Effects of gravity wave/storm flow correlation as deduced from near bottom current meter measurements are also included. Sediment dispersion is significantly faster when the effects of storm flows are included. The effects of the gravity wave/storm flow correlation and the regional net flow pattern are small. The model is solved numerically for equilibrium dispersal patterns for sediment entering at estuary inlets bordering the New York Bight region. Additional dispersal patterns are found for upcoast and downcoast sources as well as the dredge spoil dump site. Combinations of these dispersal patterns are least squares fit to the observed fine sediments distribution in the New York bight to evaluate the magnitudes of the sources of sediment; negative source magnitudes are interpreted as sediment sinks. The results are consistent with other estimates of sediment sources and sinks in the New York Bight.