From The New York Times
GULFPORT, Miss., Nov. 14 — Like the other Gulf Coast states battered by Hurricane Katrina, Mississippi was required by Congress to spend half of its billions in federal grant money to help low-income citizens trying to recover from the storm.
But so far, the state has spent $1.7 billion in federal money on programs that have mostly benefited relatively affluent residents and big businesses. The money has gone to compensate many middle- and upper-income homeowners, to aid utility companies whose equipment was damaged and to prop up the state’s insurance system.
Just $167 million, or about 10 percent of the federal money, has been spent on programs dedicated to helping the poor, mostly through a smaller grant program for lower-income homeowners.
And while that total will certainly increase, Mississippi has set aside just 23 percent of its $5.5 billion grant money — $1.25 billion — for these programs. About 37 percent of the residents of the state’s coast are low income, according to federal figures.
The story only gets worse from here.
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