Thousands
of Hurricane Survivors Still Face Immediate Needs
While rescue and relief
operations in the immediate aftermath of Hurricanes Katrina and Rita have been
completed, thousands of hurricane survivors remain in dire need of assistance.
Unfortunately, two months after Hurricane Katrina struck the Gulf Coast region,
the federal government's response has failed to get many of these survivors the
help they need:
-
Health care is in doubt for thousands
of hurricane survivors. Thousands
of survivors currently do not have access to health care coverage, and
thousands of others are at risk of losing their coverage. Louisiana is currently prevented from providing
Medicaid health coverage to thousands of hurricane survivors "because of strict
program rules and because the state doesn't have enough cash" (Chicago
Tribune, 10/21/05) According to Senator Baucus, over 60,000
additional individuals have entered Louisiana's Medicaid program since
Hurricane Katrina struck, but over half of all applicants have been turned
away. Moreover, according to the Chicago Tribune, "more than 100,000
Louisiana Medicaid members could lose prescription drug coverage, and about
108,000 low-income children and 2,500 low-income pregnant women could be tossed
out of the program altogether, Louisiana Medicaid Director Ruth Kennedy said... Louisiana
officials have not made any final decisions, Kennedy stressed, but these
services likely will be eliminated if federal aid for health-care needs isn't
forthcoming... And the Bush Administration has strongly signaled its reluctance
to assume new financial responsibilities for Medicaid as Congress debates
slashing as much as $10 billion from the program." [Chicago Tribune,
10/21/05]
-
Over 200,000 people remain in temporary housing. The New
York Times reports that more than 200,000 people displaced by the hurricane
remain lodged in hotel rooms two months after Hurricane Katrina struck.
(10/19/05) The Red Cross estimates an even higher number, over 235,000, in
hotel rooms. (KATC News, 10/24/05) In addition, the Department of
Homeland Security (DHS) reports that over 14,000 people continue to be housed
in shelters and aboard ships. (report to Congress on Disaster Relief Fund,
10/19/05) And in Mississippi, the Los Angeles Times reports that "nearly
two months after Hurricane Katrina passed over the Gulf Coast, stretches of
east Biloxi resemble shantytowns," with over 1,000 people believed to be living
in tents. (10/27/05) These reports do not attempt to estimate the number of
families that have sought temporary shelter with family members outside of the
affected region.
-
Hurricane survivors are
experiencing tremendous financial strain. One of the most prominent needs among hurricane survivors is financial
assistance to help defray the costs of temporary living arrangements, to help
families survive job losses, and to pay credit card bills, mortgages, and other
financial obligations while balancing recovery costs. Unfortunately, the
Federal Emergency Management Agency (FEMA) decided to cancel a program to provide
hurricane survivors with assistance for transitional costs on October 1,
leaving tens of thousands of families to meet significant financial burdens
alone. (New York Times, 10/1/05) In addition, ACORN, a national
community advocacy group, recently reported that "tens of thousands of
homeowners who were displaced by Hurricane Katrina are not being offered the
mortgage relief that has been highly publicized in recent weeks, and as a
result could face foreclosure by the end of the year." (Press Release,
9/22/05) Specifically, the subprime mortgage industry was granting relief only
through the end of September, leaving thousands of Hurricane survivors at
risk. The group reported that African-Americans are most likely to be affected
by the subprime mortgage industry's decision. And immediate financial shortages
in the wake of the storm place families at risk of spiraling debt and other
financial problems: "Mounting unpaid bills will lead to a surge of black marks
on victims' credit reports, say consumer advocates, sinking their credit
scores... Consumers who can't make their house payments any more -- even if that
house has been completely swept away by the storm -- may face the ultimate
penalty in America's credit-driven society: A credit score so low they won't
qualify for the loans they need to start rebuilding." (MSNBC, 10/7/05)
-
Workers and businesses in the
affected region are reeling. Roughly
502,000 Americans have lost their jobs as a result of Hurricanes Katrina and
Rita, and the losses continue to mount. Last week, another 24,000 individuals
filed for unemployment as a result of the hurricanes. (Associated Press,
10/27/05) The economy of Louisiana has been particularly devastated, with
nearly one-tenth of the state's work force -- 234,000 people -- having lost their
jobs as a result of the hurricanes. (Associated Press, 10/25/05; Bureau
of Labor Statistics) Louisiana businesses are under tremendous strain as
well. According to Louisiana Governor Kathleen Blanco, "Katrina and Rita have
shuttered or displaced almost 81,000 firms -- that is 41 percent of Louisiana
businesses. Most of them are small businesses." (Office of the Governor,
10/6/05) New Orleans City Business reports that as few as 25 percent of
the city's downtown workers have returned. (10/22/05) Mississippi has been
devastated as well, with 70,000 businesses damaged or totally destroyed. (Entrepreneur,
9/22/05)
-
Thousands of children remain
displaced from local schools. The
initial toll of Hurricanes Katrina and Rita upon local school systems was
tremendous. The storms displaced roughly 247,000 students from Louisiana
schools, 125,000 from schools in Mississippi, and approximately 3,000 students
from Alabama schools. (National School Boards Association, 9/27/05) An
additional 86,000 school students in Texas were displaced by Hurricane Rita. (USA
Today, 9/26/05) While the Department of Education does not keep statistics
on the exact number of students who remain displaced, it is clear that there
are thousands of students unable to return to their schools. Many schools in the
worst-damaged areas in and around New Orleans will remain closed at least until
November (New Orleans Times-Picayune, 10/19/05) and, in areas where
schools have reopened, many students have not returned. For example, only 74
percent of enrolled students have returned to Jefferson Parrish, while St.
Tammany schools have regained 90 percent of their former enrollment. (New
Orleans Times-Picayune, 10/23/05) In Mississippi, 16 schools were totally
destroyed, 24 were severely damaged, and another 263 schools suffered some type
of damage from the hurricanes. (Mississippi Department of Education) School
systems around the country continue to host thousands of displaced students,
including 21,000 in Houston, Texas (Houston Chronicle, 10/18/05); 5,455
in Alabama (Alabama Department of Education, 10/14/05); 7,000 in Mississippi
(Mississippi Department of Education); and 5,687 in Florida (St. Petersburg
Times, 10/15/05)
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Sanitation challenges put
public health at risk. A tremendous amount of waste and debris, much of it
organic, remains in the affected region, placing public health at risk. One
newspaper reports that, "in the poorest neighborhoods of Biloxi, Mississippi,
many people made homeless by Katrina...live among rotting garbage, molding
refuse, starving animals and human waste." (Charlottesville Daily Progress,
10/23/05) In New Orleans, the U.S. Army Corps of Engineers "estimates the
total [amount of debris requiring removal] will exceed 17 million cubic yards --
a calculation that doesn't include abandoned cars, boats or homes awaiting
demolition." (Associated Press, 10/20/05) There are more than 200,000
waterlogged and abandoned cars in the city. As of October 9, the Los
Angeles Times reported that "the city has towed about 1,600 of them. At
that rate, it would take about a decade to finish the job." (10/9/05)
Moreover, approximately 30,000 to 50,000 homes are expected to require
demolition as a result of hurricane damage. (New York Times, 10/23/05)
The
immense amount of waste, debris, and flood-damaged infrastructure poses a
serious and immediate public health challenge to the region. In addition to
the microbial and viral risks associated with exposed, rotting organic matter,
one of the most significant public heath risks is the widespread presence of
mold growing in the flooded areas. As the Centers for Disease Control and
Prevention report, "because of the large number of flooded and
mold-contaminated buildings in New Orleans and the repopulation of those
once-flooded areas, a large number of people are likely to be exposed to mold
and other microbial agents." Further, "sufficient evidence exists of an
association between several adverse health outcomes and exposure to damp indoor
environments or to materials contaminated with fungal growth." (CDC Mold Work
Group report, October 2005) In short, affected areas are faced with a series
of public health concerns associated with ongoing waste, debris, and sanitation
issues.
-
Affected cities lack the
resources to ensure safety and provide essential services. As a result of the devastation on the
infrastructure and economy of the region affected by the hurricanes, "cities,
parishes, school districts and sheriffs offices along Louisiana's Gulf Coast
are out of money to pay for basic services -- water, sewer, fire, security --
that are necessary before rebuilding can begin. Officials say their pleas are
falling on deaf ears in Washington." (Knight Ridder, 10/20/05)
Moreover, "the jurisdictions directly hit by the storm are not the only ones
suffering. Those trying to provide services for Katrina's evacuees are also
finding their budgets strained." (Knight Ridder, 10/20/05)
As
the New York Times notes, "without money, governments cannot run buses so that
residents without cars can search for jobs and go to work. They cannot educate
the children of families that might try to return. They cannot provide health
care, pick up garbage or begin the detailed planning and engineering necessary
to bring a city back to life." (10/22/05) Unfortunately, cities are faced with
exactly this reality. The Lousiana House of Representatives fiscal division
estimates that Hurricanes Rita and Katrina have cost municipal governments over
$3.3 billion in lost taxes and fees, and have cost the state government $1.5
billion. (New York Times, 10/22/05) As a result, the governments are
struggling to provide basic services: "before Hurricane Katrina washed away its tax base, the St.
Bernard School District employed 1,200 people. Now, with no money to make its
payroll, the district employs fewer than 12 employees, and this weekend, the
parish government expects to lay off a large share of its firefighters and
emergency personnel. Next door in New Orleans, the school district has laid
off virtually every employee, more than 7,000 people. The city has laid off
half its workforce, and the state university system is preparing for thousands
of layoffs and serious cutbacks in services." (New York Times, 10/22/05)
-
Hurricane survivors face
mental health challenges. Mental
health experts are predicting that Hurricane Katrina and the devastation caused
by its aftermath are likely to leave thousands of survivors with mental health
issues: "Victims who are rescued from the horrors of
the flood-ravaged city of New Orleans may have frequent and intense
psychological problems similar to those that plague troops returning from Iraq,
Afghanistan or Vietnam--problems that could spread to the rescuers as well. Up
to a third of the victims of the Gulf Coast catastrophe might be affected." (Forbes,
9/6/05) In light of the fragile mental state of many survivors, it is
particularly disturbing that "there are still more than 1,500 cases of
'fractured families' that have not been reunited." (Washington Post,
10/27/05)
Bush Administration Mismanages Recovery Efforts
Bush Administration's poor management keeps thousands of displaced
Gulf Coast residents without housing.
Roughly 200,000 Gulf Coast residents remain in hotel rooms, and an additional 14,000
displaced residents remained in shelters or in temporary housing on board ships.
(New York Times, 10/19/05; Department of Homeland Security [DHS] report
to Congress on disaster relief fund, 10/19/05) According to housing advocates,
the government has been forced to place displaced residents in hotel rooms
"because the Federal Emergency Management Agency [FEMA] has had problems
installing mobile homes and travel trailers for evacuees and has been slow to
place victims in apartments that real estate executives say are readily
available throughout the southeast." (New York Times, 10/13/05) In
response to the housing problems, Mayor Shirley Franklin of Atlanta, a city
where thousands of Gulf Coast residents have fled, called FEMA's efforts
"Deplorable. Disappointing. Outrageous... The federal response has just been
unacceptable. It is like talking to a brick wall." (New York Times,
10/13/05) FEMA's management of temporary housing efforts has been so poor
that, as of October 19, the agency was unable to even provide an estimate of
how many housing units it needs to provide. (New York Times, 10/19/05)
One of the most
significant problems in the federal government's temporary housing efforts is
its failure to spend the money Congress appropriated to provide temporary
housing assistance. Despite the fact that over 200,000 people remain
temporarily lodged in hotel rooms (New York Times, 10/19/05), the
Administration has provided only 11,961 manufactured housing units for
transitional occupancy. (DHS report, 10/19/05) The lack of urgency is not
limited to FEMA's efforts; it is spread throughout the Administration. The Department of Housing and Urban Development
(HUD), for example, was obligated $80.7 million for temporary housing programs but
has not reported spending a single dollar so far. (DHS report, 10/19/05) Moreover,
contractors charged with providing manufactured housing have been slow to spend
money. Clearbrook LLC has spent only $23.1 million of the $145.2 million
obligated to it; Champion Home Builders Co has spent none of the $80.8 million
obligated to it, and CMH Manufacturing, Inc. has spent none of the $69.8
million obligated to it.
President Bush's decision to waive worker protections prevents
displaced Gulf Coast residents from finding work. Hurricane Katrina caused a tremendous
disruption in the Gulf Coast economy, leaving thousands of businesses destroyed
and workers unemployed. According to the New Orleans Times-Picayune,
"nearly 282,000 Louisiana residents, 14 percent of the state's workers, are
unemployed because of Hurricane Katrina and Rita." (10/18/05) Unfortunately,
the Bush Administration has done little to help displaced workers cope with
unemployment or begin rebuilding their lives.
Instead,
President Bush decided to waive worker protections under the Davis-Bacon Act
requiring reconstruction project contractors to pay workers wages at prevailing
rates. As a result, the Bush Administration has created a bonanza for
contractors paying cut-rate wages and providing inadequate benefits. The
results have been predictable: instead of providing jobs to displaced local
workers, contractors have hired out-of-state migrant workers willing to accept
minimal compensation. On October 26, the President was forced to reverse his
decision and reinstate the protections.
Another
problem has been that, instead of helping local businesses rebuild by giving
them preference in awarding rebuilding contracts, FEMA has awarded most
contracts to out-of-state businesses. Louisiana Governor Kathleen Blanco
recently reported, "I found out yesterday that 44 percent of the federal
contracts and subcontracts have gone to Louisiana companies. That amounts to
31 percent of the dollar value of those contracts." Under the Stafford Act,
local workers are required to receive preferential treatment for reconstruction
contracts when feasible.
FEMA fails to help
local government agencies provide basic services. FEMA has
refused to waive a rule restricting the use of federal funds to supplement
overtime pay for public-safety employees, rather than allowing funds to be used
to pay regular salaries for city workers. As a result of the rule, New Orleans
has only been able to spend about $20 million of the $120 million provided to
it by FEMA, even though the city government has been forced to lay off 3,000
city workers. (New Orleans Times-Picayune, 10/21/05) While the rule
prevents use of direct appropriations for paying salaries that allow local
workers to provide security, water, sewer, and fire services, in addition to
carrying out other government activities, "a newly passed federal loan program
was supposed to get some money flowing, but authorities here complain that
bureaucratic hurdles and regulations are getting in the way. And, as predicted
by Senate Democrats who tried to allow the federal government to provide the
money without requiring these hurting communities to repay the loans, "some
have balked at taking the loans, saying they can't afford to be on the hook for
new debt." (Knight Ridder, 10/20/05)
Bush Administration's ineffective and uncoordinated leadership
hinders quick use of reconstruction funds for vital needs. Congress has already appropriated more than $62
billion in emergency supplemental funding for relief and recovery efforts, with
roughly $60 billion designated for FEMA; however, through October 19, FEMA had
only placed $18.2 billion into the Hurricane Katrina disaster relief fund,
roughly one quarter of the funding available, and had only reported spending
around $4.1 billion of the funding. (DHS report to Congress on Disaster Relief
Fund, 10/19/05) According to Republican Senator Grassley, "so far, all we've
done is shovel money out the door to meet the humanitarian needs," without
beginning the critical work of rebuilding. (Los Angeles Times,
10/17/05) In fact, of the $60 billion appropriated by Congress, $24 billion
was intended for providing temporary financial assistance. (Congressional
Research Service, RS22239) Nearly two months after the hurricane devastated
the region, FEMA has provided only about one-tenth of this amount ($2.9
billion) to affected individuals and families affected by the tragedy.
(Secretary Chertoff, House Select Committee on Hurricane Katrina, 10/19/05) Moreover,
as Homeland Security Secretary Chertoff recently testified, the $2.9 billion in
temporary financial assistance has been distributed to over 1.6 million
households, providing each household with less than $2,000 for two months of
emergency and recovery expenses, with households often including several
individuals.
President Bush is failing to push forward even his own recovery
plan. On September 15,
President Bush addressed the nation and set forth a plan for recovery in the
wake of Hurricane Katrina with "one of the largest reconstruction efforts the
world has ever seen." The plan involved three major proposals: 1) the
creation of accounts with up to $5,000 to help workers left unemployed by the
hurricane; 2) the creation of a Gulf Opportunity Zone that would provide tax
breaks and loans to small businesses reestablishing operations in the region;
and 3) the passage of an Urban Homesteading Act giving low-income families
surplus government property and favorable mortgage rates in exchange for
promises to build homes. However, as the Los Angeles Times reports,
"the administration has yet to introduce legislation for two of the three
proposals" and "in the case of the third proposal, $5,000 accounts to help
workers left unemployed by the hurricane, an administration-drafted House bill
would provide aid for fewer than a quarter of the jobless." (10/17/05)
The Administration is
failing to help families get back on their feet. The National Flood Insurance Program is intended to
provide flood insurance to homeowners in flood-prone areas that adopt community
floodplain management regulations. The program is critical because most
homeowner insurance policies do not cover flood damage, so the insurance
payments are essential to helping residents start over after catastrophic
flooding. According to the Department of Homeland Security, nearly 200,000
flood insurance claims have already been filed with the program as a result of
the hurricanes, and over two million homes without flood insurance were damaged
by the hurricanes. But FEMA, which manages the program, has only paid 29,113
claims. (Report to Congress on Disaster Relief Fund, 10/19/05, 10/26/05) The
program currently has far less funding than will be required to respond to the
disaster: "The National Flood Insurance Program typically takes
in enough money through policyholder premiums to pay claims of about $2 billion
annually. It has limited authority to borrow more from the Treasury; just
after Katrina, Congress increased the limit to $3.5 billion from $2 billion. Yet
the program expects claims to reach at least $22 billion." (Wall Street
Journal, 10/25/05) The Bush Administration has not proposed a plan for
ensuring that this critical program can help affected families get back on
their feet.
The Administration is politicizing survivors' needs with ideological
plans that have no proven record of success. After over 350,000 students were believed to have been displaced
by Hurricane Katrina, President Bush proposed funneling "millions of dollars of
public money into private school vouchers." (National Education Association
statement, 9/21/05) In response, the National Education Association stated "we
are disappointed that the administration would use the catastrophe of this
natural disaster as an opportunity to surface and advance a public education
agenda that is both controversial and objectionable...it is unfortunate that the
administration has chosen to open the divisive social policy debate around
vouchers and advance a privatization agenda." (9/21/05) In addition to being
ideological, the plan is insufficient: "the Administration's plan falls
significantly short of what the states have requested. It does not do nearly
enough to respond to the needs of those children whose lives have been ravaged
by the hurricane, nor does it adequately address the needs of the schools that
are receiving the thousands of displaced children." (National Education
Association statement, 9/21/05)
Like
the President's school vouchers proposal, his plan for a Gulf Opportunity Zone
with tax breaks for businesses will not be adequate to address the devastation
wrought on the local economy. Enterprise zones like the one proposed by the
President have no proven record of success. As the Los Angeles Times
has reported, "despite the creation of hundreds of local, state and federal
enterprise zones that have bestowed billions of dollars in tax benefits on
thousands of qualifying businesses over the last two decades, nobody has been
able to demonstrate conclusively that the incentives actually work."
(10/25/05) The non-partisan Congressional Research Service has also found that
most studies on state-created enterprise zones "have not found evidence of
effects on growth or employment" and that "specific evidence of the empirical
effect of federal programs is virtually non-existent." (RL33088)
Congressional Republicans Block Critical Assistance Initiatives
Within days after Hurricane
Katrina hit, Senators Reid and Landrieu, along with more than 20
other Senate Democrats, introduced major legislation to address the most urgent
needs of hurricane survivors. Their bill, the Katrina Emergency Relief
Act, S.1637, proposed a wide variety of measures to provide victims
with health care, housing, education, and financial relief. The bill was
intended for immediate action, and Senate Democrats have since tried repeatedly
to get the Senate to act on its provisions. Yet the Republican leadership
has refused to take up the bill or related legislation to address most of these
needs. After appropriating money to FEMA, Republicans have spent much of
the past two months debating legislation that has little or nothing to do with
disaster relief, leaving urgent needs unmet. Incredibly, while an entire
region has been devastated and hundreds of thousands of desperate Americans
have lost everything, the GOP Congress has been sitting on its hands.
Senate Republicans have blocked consideration of health care
legislation to assist hurricane survivors in meeting medical needs. As Senator Baucus has noted, Louisiana's
Medicaid program has enrolled over 60,000 new individuals since Hurricane
Katrina struck, but over half of all applicants have been turned away. (Senate
floor, 10/19/05) On September 15, Senators Baucus and Grassley
introduced a bipartisan bill, S. 1716, to provide emergency health
coverage to survivors of Hurricane Katrina. The legislation would temporarily
relax eligibility requirements for Medicaid to allow survivors to get the
health coverage they need on an emergency basis. The legislation has 13
additional co-sponsors, and enjoys support from a majority of the Senate.
Unfortunately, a small minority of Republicans, led by Senators Sununu and
Ensign, have blocked passage of the bill. (Los Angeles Times, 9/29/05)
Senator Frist has refused to bring the bill to the Senate floor for a vote. In
a recent statement, Senator Grassley complained that, "unfortunately, the White
House is working against me behind the scenes." (Reuters, 10/6/05)
Senate Republicans have blocked several other key legislative
initiatives to improve hurricane recovery efforts and expedite support for
survivors. On September 14,
Senator Sarbanes introduced an amendment to H.R. 2862 to provide
hurricane survivors with immediate assistance for finding housing, including
emergency housing vouchers. The Senate unanimously agreed to the amendment,
and passed H.R. 2862 a day later. Senator Kerry also introduced
an amendment to H.R. 2862 to provide assistance to small businesses
affected by the hurricanes. Senator Kerry agreed to a compromise
version of his amendment, introduced by Senator Snowe, which passed the Senate
96 to 0. The Senate also passed amendments to H.R. 2862 to provide
legal services to survivors (introduced by Senator Harkin), to provide
funding for economic adjustment and development in the affected areas
(introduced by Senator Baucus), and to enhance the ability of health
care professionals to provide health care to survivors (introduced by Senator Durbin).
Despite the fact that the bill contains these critical and time-sensitive
provisions, however, Republicans in the Senate and House have held up the
conference report for H.R. 2862 for over a month, delaying final passage
of the bill and implementation of assistance programs to help survivors find
housing and help small businesses stay in business.
Senate
Republicans have also blocked efforts to ensure transparency and prevent
corruption during recovery and rebuilding efforts in the Gulf Coast. S.
1738, a bill introduced by Senators Collins and Lieberman to
establish a special inspector general to oversee Gulf Coast reconstruction
contracting, was reported out of the Homeland Security and Governmental Affairs
Committee over a month ago, but Senator Frist has refused to bring it to the
Senate floor for consideration, despite the fact that it has bipartisan
support. Likewise, Senator Frist has refused to allow consideration of S.
1700, a bill introduced by Senators Coburn, Obama, and 24 other
bipartisan cosponsors that would create a Chief Financial Officer to conduct
oversight over reconstruction spending. That bill has also been reported out
of the Homeland Security and Governmental Affairs Committee, and lies dormant
awaiting Senator Frist's action.
House Republicans have proposed deep cuts to programs providing
assistance to hurricane survivors.
In addition to up to $50 billion in cuts likely to be proposed in the House
version of the Deficit Reduction Omnibus Reconciliation bill, a group of
right-wing Republicans in the House of Representatives has proposed cutting an
additional $102 billion from the 2006 budget, and nearly $1 trillion over ten
years. (Republican Study Committee, "Operation Offset," 9/21/05) These huge
cuts have been proposed in the name of offsetting costs of hurricane recovery
efforts, despite the fact that Congress has only appropriated approximately $62
billion for hurricane recovery so far -- a miniscule fraction of the $1 trillion
in cuts the Republicans have proposed. Moreover, the proposed cuts would strip
funding away from programs that will provide essential assistance to hurricane
survivors, including:
-
More than $225 billion from
Medicaid;
-
Requirements for elderly and
disabled beneficiaries to pay more than $200 billion in additional copayments;
-
Elimination of the Legal Services
Corporation, which provides legal services for those who cannot afford to pay
lawyers' fees on their own; and
-
Loosening of Davis-Bacon
restrictions requiring contractors, like those involved in rebuilding the Gulf
Coast, to pay fair wages.
Before Hurricane Katrina,
Republicans acted as if deficits didn't matter, squandering a budget surplus
and driving our nation into fiscal insolvency. The Bush Administration and Congressional Republicans
have adopted a series of fiscally irresponsible policies that have turned the
largest budget surplus in history into the largest federal deficit in history.
Senate Republicans have initiated irresponsible tax cuts for the wealthiest
Americans, driven up federal spending, and provided over $200 billion in
supplemental funding for the war in Iraq while rejecting proposals to offset
the spending. As Keith Ashdown of
Taxpayers for Common Sense recently put it, Republicans are "legislating as if
deficits don't matter." (USA Today, 8/4/05)
Republican fiscal
irresponsibility has caused:
-
Record deficits. Republican proposals over the last five years have
driven up the federal debt and deficit to historic levels. As Senator Conrad
had explained, the Senate Republicans' current budget would lead to an
increase in debt of more than $3 trillion over the next five years. (http://budget.senate.gov/democratic/charts/2005/packet_BudgetMarkupOpeningstmt102605.pdf)
-
Reckless spending. With the rubber-stamp leadership of Congressional
Republicans, President Bush "is tracking toward a 40 percent spending increase
as he approaches five years in office - and that pace could quicken as new
obligations come due. Spending growth under Bush is averaging 6.9
percent a year, almost double the 3.6 percent rate that occurred under his
Democratic predecessor, Bill Clinton." (Sacramento Bee, 10/23/05)
After five years of
reckless fiscal policy, Republicans now demand offsetting Katrina-related
spending with cuts to programs that help those hurricane survivors most in
need. While refusing to support
proposals to offset $200 billion in spending in Iraq, Congressional Republicans
now are demanding that Congress offset spending on Hurricane Katrina recovery
efforts. Even more troubling is that Republicans are seeking to offset the
costs of recovery on the Gulf Coast by cutting funding from programs that
directly benefit the neediest hurricane survivors. Republicans are proceeding
with a Deficit Reduction Omnibus Reconciliation bill that includes
billions of dollars -- over $35 billion in the Senate version and up to $50
billion in the House version -- in cuts to key programs.
As the New York Times
has editorialized, "Congressional
Republicans are trying to invoke the cost of reconstruction from Hurricane
Katrina to justify cutting even more deeply and cruelly into programs that help
the poorest Americans. Prodded by self-proclaimed budget hawks, the House
speaker, Dennis Hastert, suddenly wants to up the ante in Congress's budget
plan - to $50 billion from $35 billion - for five years of cuts in basic
programs. Billions for food stamps, Medicaid and welfare reform would be
lopped off." (10/13/05) Food stamps, Medicaid, welfare, and similar programs
are precisely the programs most likely to provide a safety net to the thousands
of Gulf Coast residents who have lost their jobs, residences, or family members
to Hurricanes Katrina and Rita. The National Council of Churches has called
the cuts "inconceivable." (Christian Post, 10/21/05)
Appendix:
A Federal Hurricane Recovery Scorecard
Issue
|
Status
|
Administration Response
|
Housing
|
Nearly 250,000 people
remain in transitional housing.
|
Only 11,000 trailers have
been occupied; over $3 billion in housing assistance remains unspent.
|
Health Care
|
Tens of thousands of
displaced hurricane survivors are being denied Medicaid coverage; thousands
more are at risk of losing coverage.
|
Administration and Congressional
Republicans block bipartisan legislation providing emergency expansion of
Medicaid for hurricane survivors.
|
Unemployment
|
Roughly 468,000 people
have lost their jobs.
|
Waiver of Davis-Bacon
protections pushed employers to hire out-of-state, low-wage workers rather
than local unemployed workers; the Administration has yet to introduce
legislation to enact its displaced worker accounts proposal.
|
Education
|
Over 350,000 students were
displaced by the Hurricane Katrina, several thousand remain displaced.
|
FEMA refuses to allow any
of the $2.4 billion for education aid to cover costs of textbooks or staff; the
Administration and Congressional Republicans support funneling funding to
private school vouchers.
|
Maintaining essential
services
|
Local governments have
lost an estimated $3.3 billion in revenue and have been forced to lay off
thousands of workers.
|
FEMA has maintained
bureaucratic regulations prohibiting funding from being used where most
needed; Administration and Republicans forced through legislation requiring
federal loans to state and local governments to be repaid.
|
National Flood Insurance
|
Over 200,000 claims have
been filed, over 2 million damaged homes lack flood insurance.
|
Only 26,000 claims have
been processed, program lacks funding to meet the tremendous need.
|