Press Release

FOR IMMEDIATE RELEASE
12/22/2006

FEMA Short on Answers for Unfairness in Housing Dollars
Mississippi granted nearly four times as much funding as Louisiana for trailer alternatives.

WASHINGTON -- Officials from the Federal Emergency Management Agency (FEMA) today briefed Congressional aides as to the rationale for granting Mississippi nearly four times the funding granted Louisiana for alternative housing solutions, despite Louisiana having suffered more than three times the housing loss in the 2005 hurricanes.

Hurricanes Katrina and Rita destroyed more than 205,000 homes in Louisiana while fewer than 62,000 were destroyed in Mississippi. But in allocating $400 million that U.S. Senator Mary L. Landrieu, D-La., an Appropriations Committee member, had helped to secure for innovative housing solutions such as modular homes and "Katrina Cottages," FEMA awarded more than $281 million to Mississippi projects and only $74.5 million to housing projects in Louisiana.

"FEMA’s pattern of unfairness continues, and regrettably, we were given little encouragement by the agency’s attempts to defend its decisions today," Sen. Landrieu said. "They described the process as ‘competitive,’ but neglected the most important measure of all -- need. A formula that distributes recovery funds with no regard for where they are most needed simply does not make any sense."

At one point in this morning’s briefing, a FEMA official went so far as to suggest that under their original 'competitive' standards, Louisiana would not have received any share of the funding whatsoever. Agency officials were also unable to specifically address why the largest of the Mississippi projects, principally made up of "modified" travel trailers, could not be funded through existing channels.

The Stafford Act allows for FEMA to invest in temporary housing such as trailers and similar construction, but the agency has interpreted those rules as prohibiting the use of FEMA funds for more permanent construction, such as the 'Katrina Cottages.' The Alternative Housing Pilot Program (AHPP) was included in the Fourth Emergency Supplemental Appropriations bill specifically as a way to broaden FEMA’s thinking and provide it with the tools to encourage more permanent and innovative housing alternatives to trailers.

"FEMA made these announcements as most Americans prepare for the holidays in an apparent hope that no one would notice," Sen. Landrieu added. "They were wrong. We were watching. The 75,000 Louisianians still living in trailers were watching. And I will do everything in my power to ensure that the federal government’s responsibility to the all people of the Gulf Coast is met fairly and honestly."

Last month, Sen. Landrieu was named to the Senate Committee on Homeland Security and Government Affairs for the 110th Congress, which convenes in January. The committee is responsible for overseeing FEMA.


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