La. required to repay $3.7 billion in hurricane relief

[TSmith274]

Ok, Louisiana already has a deficit of $1 billion. Our largest city, and our economic heartbeat, New Orleans, is largely ruined. I could go on and on, but I think you are all smart enough to realize that this is unfair. What is going on with this?

[Lindaloo]

Mississippi is financially stable right now, believe it or not. Nothing is free TSmith.

[TSmith274]

Mississippi is financially stable right now, believe it or not. Nothing is free TSmith.

It'd be a nice and tidy argument... that is, unless there was absolutely no comparison between the scope of the two state's share of this disaster...

"A report by FEMA, provided by Blanco's office, estimates the total cost of FEMA's response to hurricanes Katrina and Rita will be $41.4 billion, or about $9,200 for each state resident. The federal government's share is $37.6 billion.

By comparison, Mississippi's first estimate of its share of recovery costs was $172 million, Bottcher said."

That's 240 times the cost of Mississippi's problems. The two situations do not compare.


http://www.sunherald.com/mld/sunherald/news/state/13088332.htm

[Lindaloo]

Please elaborate on what you mean by the two situations do not compare.

[TSmith274]

I'm not referring to the amount of damage here. I'm just referring to the economic impacts and the cost to the state. Mississippi isn't even running a defecit. I just don't think people understand the scope of the economic disaster, and to expect the state of Louisiana, or Mississippi for that matter, to repay these HUGE costs is completely irresponsible.

[Downdraft]

Irresponsible? Like Lindaloo said nothing is free! You want handouts get in a breadline. Since when do the rest of us have to pick up the tab for you? The difference between Mississippi and Louisana is they are quietly rebuilding...your looking for handouts and a way off the hook. Make your Governor or the Mayor of New Orleans pay it. Get a life ...get a job.

[yzerfan]

I suspect that while Mississippi is apparently doing okay in the short run, within the next year, we'll see the state government forced to scramble to cover a budget deficit when it becomes clear just how much less tax revenue is coming in because of casino shut-downs after Katrina. With the lack of infrastructure in coastal areas, the area is also not going to get the usual economic benefits from the 'jacuzzi effect' (rebuilding of the cities bigger and better than ever) in the usual time frames for that sort of thing.

[TSmith274]

Irresponsible? Like Lindaloo said nothing is free! You want handouts get in a breadline. Since when do the rest of us have to pick up the tab for you? The difference between Mississippi and Louisana is they are quietly rebuilding...your looking for handouts and a way off the hook. Make your Governor or the Mayor of New Orleans pay it. Get a life ...get a job.

What a mature response. I guess you're ok with giving handouts to foreign countries with no expectation of being repayed. Get a life? Get a job? People here have lost homes. People here have lost their jobs. Why should Louisiana pay for the engineering mistakes of a federal agency... the U.S. Army Corps of Engineers? They designed and built the levees you know. Of course you did.

Read this article to enlighten yourself...
http://wwl.com/Article.asp?id=150215

[HurryKane]

I suspect that while Mississippi is apparently doing okay in the short run, within the next year, we'll see the state government forced to scramble to cover a budget deficit when it becomes clear just how much less tax revenue is coming in because of casino shut-downs after Katrina. With the lack of infrastructure in coastal areas, the area is also not going to get the usual economic benefits from the 'jacuzzi effect' (rebuilding of the cities bigger and better than ever) in the usual time frames for that sort of thing.

Well said, great points.

[terstorm1012]

Does the Federal Gov't reasonably expect LA to pay them if the state can't pay its own bills? Just curious if the feds expect to get their money any time soon.

ADDED- I don't understand why the feds can't just bail MS and LA out. I mean we bailed out the Airlines, and they keep coming back for more. Just curious and asking a question as to why, I don't understand the process, not advocating.

[MGC]

Our government is clueless. There is no way Louisiana is going to have the monies to repay the Fed Govt. Did Florida have to repay the govt last year after getting hammered by four storms?..........MGC