[StBernard] Governor's statement regarding Community Disaster Loans

[Westley Annis]

Governor pleased with White House actions on Community Disaster Loans 


"After weeks of struggling to help devastated local governments in south
Louisiana, I am pleased that the White House has agreed to change the
regulations governing the administration of the Community Disaster Loan
program.  This decision will enable our local governments to continue
providing critical services such as police and fire protection. 

"After discussing this issue with White House officials, I can report that
provisions requiring collateral or a co-sign by the state have been removed.
According to an opinion rendered by Attorney General Charles Foti's office,
the state of Louisiana is prohibited from co-signing the promissory note of
a local government.  This would have caused yet one more hardship on our
parish leadership if the White House had not removed the provision. 

"I am still hopeful that these loans will be forgiven.  Louisiana deserves
the same consideration as the city of New York after 9-11, the state of
Florida after last year's hurricanes, and the rebuilding of Iraq. 

"I fully support the efforts of our congressional delegation to seek a
legislative solution to this problem. Under this bill, loans to Louisiana
municipal and parish governments in the hurricane zone could be forgiven
without repayment.  Passage of this legislation is vital to restoring our
communities and to continuing the recovery process in Louisiana." 


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The Louisiana Disaster Recovery Foundation (LDRF), Louisiana's fund for
Louisiana's people, has been established by Governor Kathleen Babineaux
Blanco in order to support long-term family restoration and recovery and
help provide assistance to our citizens in need through a network of
Louisiana charities and non-profit agencies.