BATON ROUGE, La.
- The state of Louisiana
has paid out more than
$3 billion to local
governments for
emergency response,
debris removal and
permanent rebuilding
through the Federal
Emergency Management
Agency's (FEMA) Public
Assistance program, the
Louisiana Recovery
Authority (LRA) and the
Governor's Office of
Homeland Security and
Emergency Preparedness (GOHSEP)
announced today.
The latest numbers
indicate the state has
disbursed $3,095,802,370
to more than 1000 Public
Assistance applicants,
paying on 13,362 project
worksheets since the
storms of 2005.
In the last year alone
payments for long-term
bricks and mortar
reconstruction is
starting to accelerate
as applicants complete
post-storm recovery and
move into rebuilding
work. In the heavily
damaged parishes of
Orleans, St. Bernard,
Jefferson, St. Tammany
and Plaquemines payments
have more than doubled
for long-term permanent
rebuilding work, which
includes repairs to
roads, schools and
public buildings. In
Southwest Louisiana,
Cameron Parish has seen
increases in payments of
three times for
permanent rebuilding
work in the last year.
"Meeting this milestone
marks a significant step
in Louisiana's recovery
and once again shows
just how far we've come
in the last two and a
half years. While much
has been done, billions
of dollars worth of
rebuilding remains to be
completed," said LRA
Executive Director Paul
Rainwater. "By
streamlining the
reimbursement process
and cutting time
consuming red-tape with
last week's launch of
the Express Pay System
we have already
witnessed an increase in
the speed of payments to
local governments for
rebuilding projects. We
must continue to act
with a sense of urgency
to speed the pace of
recovery. In doing so,
our efforts will persist
in searching for
creative ways to
strengthen the
relationship between our
local, state and federal
partners to increase
productivity."
In the first 36 hours of
the Express Pay System
more than $40 million
was paid to local
applicants.
Previously the payment
process averaged between
45 and 60 days to make
reimbursements to the
Public Assistance
applicant. The new
Express Pay System
allows applicants to
submit a reimbursement
request with the
required documentation
and receive payment
within 10 to 14 business
days.
While the time period
for reimbursements from
the Public Assistance
program have been
reduced, the state's
internal controls, which
must ensure that costs
are allowable under
federal law, are still
in place. The Express
Pay System has the
support and backing of
the Legislative Auditor
and is being implemented
to improve efficiencies
in government.
"Reaching the $3 billion
mark is a major
accomplishment and a
testament to the close
cooperation among FEMA,
the state and the local
applicants utilizing the
Public Assistance
funding to rebuild
Louisiana," said Acting
Associate Deputy
Administrator for FEMA's
Gulf Coast Recovery
Office Jim Stark. "Now,
with the state's
innovative, new Express
Pay System, even more
money will make it into
the hands of local
governments and private
nonprofits to help spur
along the recovery
process."
So far, FEMA has
obligated more than $6
billion for Public
Assistance projects in
Louisiana, with the
state paying out over
half of these dollars.
As a cash reimbursement
program, the state
disbursement rate is
over 93 percent on funds
requested from local
applicants.
FEMA's Public Assistance
program works with state
and local governments
and certain private
non-profit organizations
to fund recovery
measures such as the
rebuilding of buildings,
roads, bridges and water
and sewer plants.
"There is simply no way
to overstate what a
great accomplishment
this is for the State of
Louisiana, " said Mark
Riley, Deputy Director
of Disaster Recovery,
GOHSEP, "More than $3
billion in state payouts
in 28 months only shows
the progress from
collaborated efforts at
the state, local and
federal levels in this
recovery."
Project funds are
obligated by FEMA
through the Public
Assistance program. Once
the funds are obligated
by FEMA, the applicant
must request
reimbursement from
GOHSEP for eligible work
completed. Obligated
funds may change over
time as the project is
often adjusted as bids
come in and scope of
work is aligned.
During his first day in
office, Governor Bobby
Jindal issued an
Executive Order naming
LRA Executive Director
Paul Rainwater as his
authorized
representative to FEMA's
Public Assistance
program. The LRA is
working in conjunction
with GOHSEP and its
federal partners to
identify ways to
streamline the Public
Assistance process and
improve efficiency.
To view a spreadsheet
containing the amount
paid to parishes for
rebuilding public
assistance projects
click here.
Hurricanes Katrina and
Rita devastated South
Louisiana, claiming
1,464 lives, destroying
more than 200,000 homes
and 18,000 businesses.
The Louisiana Recovery
Authority (LRA) is the
planning and
coordinating body that
was created in the
aftermath of these
storms to lead one of
the most extensive
rebuilding efforts in
the world. The LRA is a
33-member body which is
coordinating across
jurisdictions,
supporting community
recovery and resurgence,
ensuring integrity and
effectiveness, and
planning for the
recovery and rebuilding
of Louisiana.
