“The grand total is $127 billion (including tax relief). That’s right: a monstrous $127 billion”
Although it is observed briefly in passing in this article, I think that I should point out again that the $127 billion mentioned is money that has been designated for the recovery efforts of ALL the states impacted by the 2005 Gulf Coast hurricanes. Those storms were WILMA,KATRINA AND RITA. The states affected include FLORIDA,ALABAMA,MISSISSIPPI,LOUISIANA AND TEXAS. Of this amount, the federal government allocated about $60 billion to Louisiana for two storms, Katrina and Rita. A large part of that money was used for relocation assistance, emergency housing, levee repair,and debris removal. Less than $26 billion was spent on rebuilding the infrastructure, permanent construction projects, and money paid directly to Louisiana homeowners.
That $60 billion covered the TWO HURRICANES that hit Louisiana in 2005, Katrina on August 29 and Rita on September 24. Although Rita remained well to the south and west of New Orleans, a pre-landfall storm surge overwhelmed a levee of the Industrial Canal protecting the lower 9th Ward, a part of a fragile and already compromised levee system as repairs continued. At landfall, more parts of the levee wall were breached causing major reflooding in New Orleans. The original breaches had occurred a month earlier as a result of Hurricane Katrina.
In addition, residents of Cameron Parish, Calcasieu Parish, and parts of Jefferson Davis Parish, Acadia Parish, Iberia Parish, and Vermillion Parish were told to evacuate ahead of the storm. These areas also sustained extensive damage.
The bottom line here is that regardless of the neverending articles that want to make it seem that New Orleans is reaping some kind of financial windfall and that all of these billions are coming here, the amount of money quoted over and over and over again as being just for the recovery of New Orleans is WRONG. Louisiana, let alone New Orleans, DID NOT get $127 billion. That amount was for the ENTIRE GULF COAST REGION. That’s THREE HURRICANES and FIVE STATES! New Orleans did not even get the entire $60 billion that was allocated to the state. That amount must be shared with the areas of the state damaged by hurricane Rita.
Believe me when I tell you that we are grateful for every single thing that we did get, whether monitarily( really needed as 80% of the city was flooded and more or less decimated), emotionally, or spiritually. The local newspaper this week was full of the many stories of that gratitude from people who were helped by the kindness of strangers. Strangers who came here to help us in our hour of need (and are still coming) and strangers who met our citizens as they were dispersed across the country and showed them the love and thoughtfulness that they might shown a family member. These selfless acts will be part of the permanent fabric with which we will continue to rebuild New Orleans.
I am so sorry we were selfish and didn’t give you enough money. How much more do you think you need, including for remediation of the next five hurricanes? What amount would be fair? What do you think about Kudlow’s idea of making New Orleans a tax-free zone?