[StBernard] Landrieu Secures $8.7B for Gulf Coast in Supplemental Bill, Reduces La. Levee Cost-Share

Westley Annis Westley at da-parish.com
Thu May 8 19:50:50 EDT 2008


The Senate Appropriations Committee is expected to vote on the Supplemental,
including the Katrina-Rita package detailed below, this afternoon. In
short, Senator Landrieu's package would add almost $3 billion to the
President's request. This additional funding will reduce the state cost
share for 100 year flood protection by about $200 million and extend the
repayment window from 3 years to 30 years. It also includes $35 million for
emergency dredging along the Mississippi River to prevent the reprogramming
of these funds from Louisiana projects and language to ensure that continued
progress is made with the Pump to the River project. Another $76 million
would provide for 3,000 Permanent Supportive Housing Vouchers and direct
some much needed federal assistance to the significant homeless population
in New Orleans and the surrounding region.

________________________________

WASHINGTON - United States Senator Mary L. Landrieu, D-La., and Senate
Appropriations Committee Chairman Robert C. Byrd, D-W.Va., today announced
the inclusion of $8.7 billion for Gulf Coast hurricane recovery and
protection in the Emergency Supplemental Spending bill for Iraq and
Afghanistan. Sen. Landrieu's push for additional funding for levees,
criminal justice needs, health care and housing for low-income hurricane
survivors has been included in the bill, which the Appropriations Committee
will vote on tomorrow.

"This Senate version of the Supplemental contains a strong Katrina and Rita
package that includes funding for our most critical ongoing needs along the
Gulf Coast," Sen. Landrieu said. "Through Senator Byrd's leadership and
committed partnership with our state, the legislation builds on a strong
foundation of $5.8 billion for 100-year flood protection levees for
Southeast Louisiana. The Committee listened to my request to reduce
Louisiana's share to historic cost-share percentages, saving the state $200
million, and added the flexibility to pay our share over 30 years instead of
three.

"When I speak with my colleague from Louisiana, Senator Landrieu, I can see
pain in her eyes and hear in her voice the heavy heart she carries for
Louisianans who were affected by Hurricanes Katrina and Rita," Chairman Byrd
said. "I share her concern for those Gulf Coast residents who continue to
recover from the devastation that occurred nearly three years ago. That is
why, working with Senator Landrieu, we have included more than $8.7 billion
- $3 billion above the President's request - to help hurricane victims. The
road to recovery is not an easy path to take and we cannot expect the people
of Louisiana to travel it alone."

"This bill will infuse crucial dollars to mitigate the rising crime in New
Orleans and across South Louisiana," Sen. Landrieu added. "We will work with
civic groups, such as the New Orleans Crime Coalition, to distribute these
dollars and help our communities to safely rebuild.

"The Supplemental also sends vital dollars to six hospitals in Louisiana
that are struggling to care for our communities. Since the storms, more than
half of the New Orleans area hospitals and healthcare facilities have not
reopened. More than 6,000 physicians have left the Gulf Coast since the
storms and have not yet returned. When patients are brought to the hospital
by ambulance, 70 percent of them remain in the ambulance for two hours
before a room can be found.

"These are modest and wise additions to the President's request, and I call
on the House of Representatives to carefully consider this very real
domestic emergency along the Gulf Coast. This Katrina and Rita package must
be included in the version that Congress sends to the President's desk."

While the House of Representatives did include significantly more
restrictive levee funding in its version of the Supplemental that is
expected to be voted on tomorrow, it did not include a Katrina and Rita
recovery package like that secured by Sens. Landrieu and Byrd. After final
passage by the House and Senate, the two chambers will negotiate the two
versions of the bill before it is sent to the President's Desk. The
President has opposed including any domestic funding in the bill, and has
threatened a veto.

Levees

The Senate bill includes $5.8 billion for 100-year flood protection with a
$1.3 billion state share. Louisiana's share was reduced from $1.5 billion,
which President Bush had requested in his annual budget and the House
concurred with. The cost share for Southeast Louisiana Flood Control
projects (SELA) was maintained at a historical cost share of 75 percent
federal to 25 percent state, rather than an increase to 35 percent as the
President had proposed. The cost share for Lake Pontchartrain and vicinity
hurricane protection project was also maintained at a historical cost share
of 70 percent federal to 30 percent state, rather President Bush's proposed
increase to 35 percent by the state.

Other hurricane protection provisions in the Supplemental include:

. $75 million to move public facilities from the Port of New Orleans
to accelerate the closing of the Mississippi River Gulf Outlet (MRGO).

. $35 million for Mississippi River dredging. This funding means the
Army Corps of Engineers will not have to reprogram money from other projects
to complete necessary dredging of the river.

. Language directing the Corps to look at options for developing
plans for permanent pumping of storm water in the New Orleans metropolitan
area, taking into account the operational challenges that arise during major
storms. Proposed plans include slow paving of outflow canals and the "Pump
to the River" project in Jefferson Parish.

Criminal Justice

The Senate Supplemental includes $75 million for criminal justice needs
along the Gulf Coast, of which $50 million will go to Louisiana. Sen.
Landrieu will work with the Department of Justice and the state to
distribute the money in line with a comprehensive strategy developed by the
New Orleans Crime Coalition, a group of business groups and nonprofits that
are working to reduce rising crime in the New Orleans region.

Priorities of the New Orleans Crime Coalition include hiring more police
officers to fill vacancies; repairing the city's damaged crime lab; hiring
more prosecutors and attorneys; purchasing equipment that was destroyed,
such as radios and laptops; and drug treatment programs for adults and
juveniles.

Hospitals

The Senate bill includes $350 million for hospitals in Louisiana and
Mississippi, and Louisiana will be allocated approximately 45 percent of the
total, or about $157 million. The Louisiana funds will go to six hospitals
in Jefferson and Orleans Parishes: West Jefferson General Hospital, East
Jefferson General Hospital, Ochsner, Touro Rehab, Tulane and LSU Interim
Hospital (Medical Center of Louisiana at New Orleans).

Housing

The Senate Supplemental also includes $76 million for 3,000 Permanent
Supportive Housing Vouchers. These vouchers provide homes and case
management services for extremely low-income people, including seniors and
those with disabilities who are homeless or at risk of homelessness. This
provision was previously included in a 2006 Supplemental but was stripped
out in negotiations with the House of Representatives and the White House.

By January 2007, the homeless population in New Orleans almost doubled from
its pre-Katrina levels to an estimated 12,000. These homeless residents are
living in abandoned housing, on the streets, in cars or in limited shelters
or other homeless-designated housing.

As part of the Road Home program, Louisiana committed to providing 3,000
permanent supportive housing units for elderly, disabled and other homeless
residents most at-risk. However, these units have been coming online without
necessary federal funding.

Minority Business Provision

The Senate Supplemental includes language to extend 8(a) business
development program eligibility by 24 months for program participants in
Katrina-impacted areas in Louisiana, Alabama and Mississippi.

The 8(a) business development program helps minority entrepreneurs access
Federal contracts and allows companies to be certified for increments of
three years. However, as currently structured, the program allows businesses
to participate for nine years only after which they can never re-apply or
get back into the program. But many minority firms in the Gulf Coast were
disrupted by Hurricane Katrina and lost valuable time for participating in
the 8(a) program. The provision provides these businesses an additional two
years to participate.

Other Louisiana Provisions in the Senate Supplemental

* $15 million for historic renovation of Jackson Barracks.
* $5 million to Holly Beach La. for a waste water and sewer system.





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