Thanks for listening.
"Government employees" and "the well-connected" are some of the same people, especially in 3rd world polities like Louisiana. Either way, from an economic standpoint, the money will purchase something, to the benefit of some seller, and on down the line.
In the larger picture, as Thomas Sowell observes, the situation is a net loss for the economy, because every dollar spent on rebuilding/repairing/restoring is a dollar that couldn't be spent on a new, productive use. Some will benefit greatly, but for the economy as a whole, opportunities are lost.