Relief for many Gulf Coast Homeowners?
$5 billion in federal relief for Mississippi homeowners who did not purchase flood insurance is on the way if the defense appropriations bill passes Congress, reports MSNBC.com.
living outsode areas designated as high risk for federal flood insurance will receive assistance if
People with damaged homes on the Gulf Coast were excited by the news, according to the Clarion Ledger. And if Congress acts this week they will be giving the victims of Katrina something else to be thankful for this Christmas.
The reports indicate, however, the aid will be available for homeowners who weren't in the designated flood zones. If so, it will not help homeowners located in the flood zones who chose not to purchase flood insurance. Presumably, they will be left to continue to do battle with their private insurer over whether their damages are covered by their "hurricane" coverage.
Apparently grants will be capped at $150,000, but its unclear what criteria will be used to determine eligibility and the amount of the grant. Since more than $5 billion is probably needed, due care will need to be taken to assure the grant award process is fair and the money disbursed in a politically neutral way.