[StBernard] EDITORIAL: FEMA bill would bankrupt Louisiana, undermine recovery

[Westley Annis]

November 10, 2005
The Daily Advertiser

EDITORIAL: FEMA bill would bankrupt Louisiana, undermine recovery


A bill from FEMA for almost half of Louisiana's annual revenue is
unrealistic, unpayable and insulting.

Apparently our federal relief agency has failed to realize the enormity of
the financial disaster this hurricane season has been for Louisiana, just as
it was slow to realize the scope of the physical disaster when the storms
hit.

FEMA projects it will spend more than $41 billion on the state's recovery,
and wants us to pay back 25 percent of what it spends.

That comes to $3.7 billion (or maybe more, according to some economists) and
represents just under half of the $8 billion the state has to spend each
year when there are no hurricanes to undercut our tax base and wipe out our
economy. It is silly to think that a state that was struggling to make ends
meet before the storms can come up with that kind of cash.

Worse, with that kind of bill hanging over our heads, Louisiana will be
distracted at best and disadvantaged at worst as we try to rebuild. Would
you bring your business back to a state that the federal government
apparently intends to bankrupt?

Would you be willing to buy bonds or provide financing that Louisiana needs
to rebuild infrastructure when a multibillion-dollar federal bill is hanging
over the state?

John Alario, chairman of the House appropriations committee, had his tongue
only halfway in his cheek when he told fellow legislators, "We may have to
send them a telegram, 'Don't send us any more help, we can't afford it.' "

Louisiana needs every penny it can scrape up to meet immediate needs. It
will need every penny it can scrape up far into the future to overcome the
economic setback caused by this summer's storms. That scraping must include
federal aid that comes without strings attached.

Congress can enact legislation to forgive Louisiana's debt, and there is a
precedent. New York was given a free ticket after the 9/11 disaster. We
suggest that the disaster in New Orleans is more widespread, more
destructive, and will have a greater impact on the nation's economy as a
whole.

Gov. Kathleen Blanco asked in September that the federal government pick up
100 percent of the recovery cost. The only answer so far has been the FEMA
bill.

We urge former Sen. John Breaux to help resolve our financial difficulties,
and we particularly urge our congressional delegation to speak out loud,
long and clear to let everyone know billing Louisiana for FEMA's response is
simply not acceptable.

It would be unacceptable had FEMA done its work expertly and quickly. It is
especially unacceptable after FEMA's uncoordinated, unaccountable, and
haphazard response. Boondoggles are expensive and we should absolutely
refuse to pay for this one.

State Rep. Hoppy Hopkins hit the nail on the head in his reaction: "What are
we going to do if we can't pay them back - give them New Orleans? We don't
know how we're going to get through this year's budget, and we're talking
about another $3.7 billion on top of that. Surely someone (in Washington)
has more sense than that."

 We can only hope.

### 

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. 

1-877-HELPLA1 (877-435-7521) www.louisianahelp.org