catallaxy files

catallaxy in technical exile

Hurricane Katrina and Waste

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In a finding that will surprise no one, the NYTimes is reporting that the Hurricane Katrina relief program has cost $2bn (USD) in waste and fraud. This represents 11% of FEMA aid, and 6% of total money spent on disaster relief.

Of the many examples cited by the Times, one caught my eye. FEMA bought 10,000 mobile homes, at $34,500 a piece. The Louisiana government decided against turning the state into a giant trailer park, leaving FEMA with an excess of homes and nobody to live in them. And thus, they sit abandoned in an old airfield costing $250,000 (USD) a month to store.

 

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Written by Admin

June 28, 2006 at 11:00 am

Posted in Uncategorized

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