White House Rejects Additional Katrina Relief Spending Plan

In order to avoid creating 'another bureaucracy', Bush does not support creation of a federal corporation to purchase and redevelop damaged homes.

1 minute read

January 28, 2006, 7:00 AM PST

By David Gest

"U.S. Rep. Richard Baker, R-Baton Rouge, introduced legislation last year to create the Louisiana Recovery Corp. The panel would use treasury bonds to buy damaged homes on parcels to be repackaged and redeveloped."

"Mississippi Gov. Haley Barbour has reportedly committed to using 80 percent of his CDBG money to help owners rebuild. Meanwhile, Blanco, late last week, said she wants to use $350 million of Louisianaâ€™s $6.2 billion for repairs to state buildings and aid to local governments and businesses...But bill supporters said Louisiana will need at least $9 billion in CDBG funds to meet its needs."

FULL STORY: Recovery plan â€˜deadâ€™

Wednesday, January 25, 2006 in The Advocate

Community / Economic Development Government / Politics Housing United States

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