Red tape tying up recovery dollars

By Deon Roberts, Online Editor 

It’s almost become cliché to talk about a lack of a construction boom two years after Katrina. 

Many people are wondering when the boom will start. Many, including myself, comment on the lack of cranes on the Crescent City’s skyline. (I’ve also heard people say we shouldn’t expect to see cranes, because they are usually used to build skyscrapers; New Orleans needs to rebuild streets and public buildings, and that kind of work doesn’t always require cranes, they say.) 

But whether the rebuilding requires cranes is not the issue. The issue is there could be a lot more construction going on around here if federal dollars weren’t being held back by red tape and paperwork. 

Louisiana expects to use $26 billion from the federal government for “bricks and sticks” rebuilding projects, according to the Louisiana Recovery Authority’s executive director, Andy Kopplin. Of that, $6.7 billion has been spent on levees, The Road Home and other projects, he said. That leaves about $19 billion unspent. 

In the Federal Emergency Management Agency’s Public Assistance Program alone, the federal government has OK’d about $5 billion for Louisiana, said Mark Smith, spokesman for the governor’s Office of Homeland Security and Emergency Preparedness. Public Assistance funds can be used to rebuild roads, buildings and other public property. So far, $2.6 billion has been spent, Smith said. 

The Public Assistance program is a reimbursement program. The federal government requires local governments, such as the city of New Orleans, to complete project worksheets, which FEMA can help fill out, to receive reimbursements. 

Local governments and state officials say the paperwork is a pain. They also wonder where they are supposed to get the funds to start projects. Katrina reduced the populations of metro area parishes, resulting in smaller tax collections, which means barely enough dollars to run government much less fund major rebuilding projects. FEMA could reduce the red tape by getting rid of the project worksheets so the recovery can speed up, local governments say. 

Meanwhile, FEMA says it’s the parishes’ own fault the recovery is slow going. Some governments are waiting too long to submit project worksheets, wanting project costs to be perfectly calculated first, FEMA says. If the parishes would turn in rough cost estimates, work could begin and revised project worksheets could be submitted later, FEMA says. 

The need for approvals from the federal government can also delay the spending of recovery dollars.

For example, the state wants to spend $200 million in community development block grants for long-term community recovery projects. The U.S. Department of Housing and Urban Development has to OK the state’s spending plan before funds can be used. The state completed a spending plan in January, but it did not cover all the ways in which the money will be spent. So the state had to add an amendment, which was approved by the LRA around February. The state sent the amendment to HUD around May. This week, the state learned that HUD approves of the spending plan. 

There’s a lot of finger-pointing as to why there is no building boom. Some blame the state. Some blame the federal government. Some blame parish and city governments. But the rebuilding is not being held up by one factor.

It’s all of the above. It’s bureaucracy. 

Also, it might not be accurate to say there’s no boom. Across the metro area, building permit numbers are close to setting records. In St. Tammany Parish, for example, the 4,506 residential permits so far this year are up 722 percent from 548 in 2005 and 30 percent from 3,479 last year. 

Sounds pretty booming to me.

Who has time for Katrina ceremonies?

By Deon Roberts, Online Editor

 

There’s no shortage of ceremonies and events today for the second anniversary of Hurricane Katrina.

People are ringing bells, marching through the streets and holding prayer gatherings.

If you’re looking for something to do to mark the second anniversary, there’s a lot to choose from.

But how do ordinary citizens view today’s events?

The CityBusiness poll this week asks that question.

As of 1:30 p.m. today, 56 percent of voters said they had better things to do.

One comment: “The option, ‘No, I would like to but am working that day’ should be an option.”

The person has a good point. Who among working types can afford to leave the office, construction yard, classroom, whatever, and take part in the ceremonies?

While politicians and media attend today, many stuck behind a desk will have to watch the coverage on television this evening or read about it in the newspapers tomorrow.

Don’t take federal dollars if you don’t need to

By Deon Roberts, Online Editor

I got a phone call from a Japanese friend who goes to the University of New Orleans about 8 p.m. on a recent Wednesday. 

His car had died on the West Bank. Timing belt issue. He needed advice. 

I’ll come over, I told him. 

I met him in the parking lot of a Subway sandwich shop on the West Bank Expressway near Stumpf Boulevard — not exactly the safest place to be broken down after dark. 

We stood around the car, peering into the engine compartment. Now, I know as much about cars as I do about astrophysics, so I wasn’t good for much except keeping him company. I called my brother-in-law, who has more experience with such things.

While waiting for him to show up, we chatted. After a short while, a black, dusty car rolled up next to us. A shirtless man sat behind the wheel. 

“Need help?” he asked. 

“Yeah,” I said. “Do you know anything about cars?” 

Turns out, he couldn’t really help us. So he left. But about five minutes later, he came back. Could we give him gas money? We had no cash, only debit cards. After several minutes of turning him down, he finally left. 

After he was gone, I turned to my friend. 

“Do people beg for money in Japan?” I asked. 

“No. Never.” 

“Never? Not even in big cities, like Tokyo.” 

“No. I don’t think so.” 

“Really? Why not?” 

“Pride,” he said. “Maybe it’s the culture.” 

Somehow, our conversation made me think of the hurricane victims who lied to get federal money after Katrina. Right after the storm, just about everybody I knew got $2,000 from FEMA, including myself. 

Some people seriously needed that money. As it is, my wife and I live check to check, and an evacuation basically is an unplanned vacation. We were evacuated for two weeks in Texas.   

But others didn’t need a nickel from the government. Some simply squandered their $2,000 on clothes, tricking out their cars, you name it. I also knew other people who accepted food stamp cards when they didn’t really need them. My wife and I didn’t take a card. My wife said the $2,000 was enough for us. There are other people who need those cards more than we do, she said. 

With Katrina’s second anniversary here, I hope people will have more pride in a future storm. If you really need federal help, take it. But don’t take it just because it’s there.  

Like your momma used to say, “Money doesn’t grow on trees.”

Other disasters support argument for rebuilding N.O.

By Deon Roberts, Online Editor

Every time I hear about flooding, fires and other natural catastrophes in the United States, I think about people who say New Orleans shouldn’t be rebuilt.

Since Hurricane Katrina, some Americans have questioned the logic of repairing New Orleans. Even some members of Congress have subscribed to this notion. “Why rebuild a city that might only flood again?” they say. 

Blogger Bill Hobbs fits into this group. In an Aug. 6 blog entry at www.ecotality.com/blog/, Hobbs says, “Does it make sense to insist on having a city below sea level on slowly sinking coastal marshland smack in the middle of Hurricane Alley, especially if, as some believe, global warming is going to lead to more, and more-intense hurricanes?” 

Really? Well, sir, if you are so worried about global warming, then you should also recommend that no one live along coastal America. After all, global warming is also blamed for making the Earth’s tides and oceans rise, which increases the risk of flooding for all coastal communities on the Gulf, Pacific and Atlantic coasts. Also, as some scientists say global warming will lead to heavier rain, people who live in low-lying areas across the country should consider moving to the mountains, shouldn’t they? 

But, wait a minute. They can’t move to the mountains, either: Scientists say global warming will increase the chances of avalanches. So, if we follow the global warming argument to its logical conclusion, we learn that we should all live underground. 

Of course, that is ridiculous. There’s no place to hide from disasters in this country.

Look at Minnesota and Chicago, which are dealing with massive flooding as we speak. As recent events have shown, communities across America as just as vulnerable as New Orleans to the whims of nature. 

Leave us in New Orleans alone. We don’t tell you where to live. We’d appreciate it if you’d do the same for us.

Where’s the news?

By Deon Roberts, Online Editor  

“There’s nothing going on in New Orleans.”

Every once in a while I’ll hear someone say that, as they refer to the state of the city post-Katrina.

Being in the news business, I can confirm that’s not true; plenty is happening in the city. Just to name a handful: There are more building permits than probably ever in the city’s history, which means there’s lots of construction, the Saints are already winning games in preseason and Brad Pitt’s building a house in the Ninth Ward.

But readers of CityBusiness’ Daily Update this morning might conclude there really is nothing happening in the city.  Due to a technical error, readers received a blank Daily Update, much to CityBusiness’ regret.

A second e-mail, sent immediately after, actually contained news. Hopefully readers opened the second e-mail.

Yes, there’s news to report in New Orleans, lots of it.  We’ll keep bringing it to you.

And if you have a story idea, we want to hear it. Call us at 293-9210 or e-mail deon.roberts@nopg.com.

Curtain must drop on film tax credit troubles

By Deon Roberts, Online Editor

 

The state’s film tax credit program is at a crossroads as it roots out its first cases of corruption.

 

Mark Smith, the former head of the state Office of Film & Video, is facing federal bribery and conspiracy charges in connection with the program.

 

He is expected to have his initial court appearance Monday before Magistrate Judge Louis Moore Jr., according to U.S. Attorney Jim Letten’s office.

 

In another episode, Apex Transfer and Exchange of Lafayette is suing state Rep. Gary Beard, R-Baton Rouge, over $156,600 in film infrastructure tax credits, according to the Associated Press.

In its lawsuit, Apex says it paid Beard $125,680 for the credits, which the representative falsely claimed he owned. Beard has refused to return the money, the lawsuit says.

The lawsuit further says that Sherri McConnell, director of the state’s Office of Entertainment Industry Development, wrote to Beard on May 4 and told him his application for tax credits had been denied.

But five days later, Beard told Apex that the delay in securing the credits was due to the Legislature needing to finalize tax credit program rules, according to the lawsuit. 

 

Beard, who is running for lieutenant governor, said the lawsuit will be resolved after he submits a financial audit with Louisiana Department of Economic Development.

 

The allegations against Smith and Beard have cast a negative light on the state’s film tax credit program.

 

Time will tell whether the state’s film industry won’t be hurt by the bad publicity.

 

The tax credits have been a bright spot for Louisiana’s economy. As the state, especially New Orleans, loses businesses to other cities, the credits have attracted jobs.

 

Louisiana enacted the incentives in 2002. Since then, the state’s film industry has exploded with activity. According to a December report to the state’s Department of Economic Development, the incentives have “created a significant level of film activity in the state.”

 

Louisiana’s film industry job growth is among the highest in the country, along with New Mexico’s, says the report by Economics Research Associates. Since 2001, the two states have had compound annual employment growth of 23 percent per year. Also, Louisiana has the third-highest film concentration ratio in the United States, following California and New York.

 

So, there’s no doubt the film incentives are working for Louisiana.

 

Hopefully, the state’s film tax credit saga will have a happy ending.

Inspector general’s office is pointless without funding

By Deon Roberts, Online Editor

When it comes to preventing corruption, New Orleans is apparently low-tech.

This month, City Councilman Oliver Thomas resigned after admitting he accepted bribes to influence a city parking lot contract.

The Thomas incident shocked Robert Cerasoli, the city’s newly hired first inspector general, who said bribery doesn’t even exist in other cities where there are systems to prevent government corruption.

“There should never be one person who decides who should get a contract,” Cerasoli said.

Cerasoli is hoping to put an end to corrupt contract awarding in New Orleans. The proper way to award contracts is through public bids that are opened in a public meeting, he said. He also wants the Council to require all businesses who want city contracts to share their financial records with the city.

But Cerasoli can make all the promises in the world; if the city doesn’t properly fund his office, they will remain unfulfilled promises.

Cerasoli said he needs more funds to do his job right. The Council has allocated $250,000 for the office. After Cerasoli’s $157,018 pay is deducted, the office is left with $92,982, which he said is not enough.

“They (the Council) need to dedicate (more) funds,” he said. “Me and two investigators sitting in an office isn’t going to get the job done.”

It took more than a decade for the Council to respect voters’ wishes and create the inspector general’s office. The Council finally established the office by adopting an ordinance Nov. 2.

But if the Council won’t adequately fund the inspector general’s office, it’s pointless to have it.

After all, when voters OK’d an inspector general’s office more than a decade ago, I’m sure they wanted it to be effective.

Katrina anniversary is good time to set the facts straight

By Deon Roberts, Online EditorBy the time the storm’s anniversary rolled around last year, Katrina fatigue was alive and well.

Many in America were sick of hearing about the Gulf Coast’s struggles. They had heard for 12 months about FEMA trailers, destroyed homes and sluggish federal aid.

As Katrina’s second anniversary approaches, it’s a given that there will be a boost in national media coverage. Some Americans will no doubt roll their eyes, groan and grumble as the national media presents stories of hurricane victims who are still without homes.

Some Americans will wonder why they should feel sorry for people who have had two years to rebuild. Katrina’s second anniversary is a good opportunity for America to understand why we haven’t fully recovered. 

There’s good reason why St. Bernard Parish, eastern New Orleans and other portions of the metro area are still wastelands of empty, ramshackle houses where floodwaters reached as high as the roof. 

The media should remind America that The Road Home is the reason why many Louisiana homes are not rebuilt. The federally funded program was meant to provide hurricane-affected homeowners with rebuilding grants of up to $150,000.  

ICF International of Fairfax, Va., is heading up the program for Louisiana. To date, 184,189 people have applied to the program but only 42,340 or 23 percent of applicants have received funding. The point is more homes would be rebuilt if The Road Home would get money in the hands of homeowners quicker.   

Streets and public buildings have not been rebuilt because federal recovery dollars are tied up in bureaucracy. This is not the fault of ordinary citizens. Rather, it’s owed to the way the federal Stafford Act controls how recovery funds can be spent.  

Communities must begin repair work before they are reimbursed but must fill out onerous paperwork to access the funds. In some cases, the state does not have permission from the federal government to spend recovery dollars. 

The media should remind America that there is still life in New Orleans. As one person commented on abcnews.com in May, “N.O. is dead. Fill it with water and make a state park out of it.” 

But New Orleans is not dead. Residents have returned and rebuilt or are rebuilding. One recent report says the city’s population is about 273,600, 60 percent of its pre-Katrina figure.  

The media should also use the anniversary to remind America how New Orleans got into this mess: U.S. Army Corps of Engineers levees failed and led to the destruction of New Orleans. Katrina was a Category 3 hurricane that did not hit the city directly; it passed to the east of us with Mississippi taking the brunt of the storm. The point is our levees should have held up.  

If the poorly built levees and floodwalls had not ruptured, New Orleans would not have flooded and the city today would look pretty much like it did pre-Katrina.  

The national media are notoriously unsophisticated, although there are some exceptions. When the reporters descend on New Orleans for Katrina’s second anniversary, they need to explain why New Orleans still struggles.  

The disaster wasn’t the fault of the residents and neither is the slow pace of the recovery.

Economic development requires parishes talking to one another

By Deon Roberts, Online Editor

Good ideas are worth copying — as long as they’re not copyrighted, of course.

There’s nothing wrong with doing something the way someone else does it if it works well.

That’s how our leaders should approach economic development. What works for the folks in Parish A should be copied by the folks in Parish B.

But how often do the region’s economic development officials talk to one another? How often do they actually implement one another’s ideas?

Why is it that New Orleans has lost so many companies while adjoining Jefferson Parish seems to be opening one new business after another? Is it differences in crime and education, which are considered to be major factors for business attraction?

It can’t be crime because Jefferson Parish, where I’ve lived most of my life, has never been crime-free. Jefferson Parish is actually having a very violent year. According to the Jefferson Parish Sheriff’s Office, there were 9,159 crimes from January to June, an increase of 20.5 percent from the same period last year.

It can’t be education because many people in Jefferson Parish trust the public school system so little that they send their children to private schools. In fact, Jefferson Parish’s percentage of students in private school exceeds Orleans Parish and statewide figures.

According to city-data.com, Jefferson Parish has 18,595 first- through eight-grade students, or 35.3 percent of all students in those grades, in private schools. The percentage of elementary and middle school students in private school statewide is 17.2. In Orleans, it’s 18.4 percent.

So why is one parish booming with new businesses while the other can’t hold on to the ones it has?

Jefferson and Orleans parishes don’t have a long history of working closely together. Their first joint council meeting was held in November, and many people thought it was the beginning of a permanent working relationship. Not long after, they had a falling out over a monitoring system at a pumping station. Since then, I’ve heard of little collaboration between the two parishes.

But personality conflicts and grudges should not prevent parishes from working together and sharing ideas that will benefit the public. And since no one has cornered the market on good ideas, it should be required that our leaders across the region work together.

After all, when a new business opens in one parish, it often employs people in the next.

What if Thomas hadn’t been busted?

By Deon Roberts, Online Editor

There is no official Oliver Thomas fan club. At least I’m not aware of one.

But if there were, it would have no trouble finding members.

This week, Thomas admitted accepting $15,000 in bribes in 2002 from Stan “Pampy” Barre, who wanted to maintain a city parking lot contract.

Since Thomas’ admission, which felt like a sucker punch to a city still recovering from Hurricane Katrina, Thomas supporters have poured forward.

Of course, there is no shortage of citizens overflowing with rage about Thomas’ dealings. But there are also many people standing behind Thomas, saying how proud they are that he confessed and that he is still “a good man.”

Mayor Nagin has turned out to be one of Thomas’ strongest supporters.

“It looks like it was very difficult for him, but he stood up as true man and admitted his mistakes,” Nagin said in a statement.

“Oliver, in my opinion, is a good man who has made a mistake, admitted it and asked for our forgiveness. He now stands ready to accept the consequences of his actions. … Today I personally ask everyone in the community to treat this man with compassion and balance.”

Nagin is not alone; many others have made sympathetic statements about Thomas this week.

There’s nothing wrong with compassion. The world could use a lot more of it.

But let’s not forget that Thomas was busted. Only then did he confess and accepted a deal with prosecutors, no doubt to reduce his punishment.

Thomas accepted the bribe years ago. He had all that time to come clean. He didn’t. It was only after he was busted that the world learned of what he had done.

He even ran for re-election in 2006, well after accepting the bribe. Those who voted for him had no idea of the secret he was hiding.

He’s said he’s sorry. He’s shed tears. He told WDSU-TV anchor Norman Robinson he thought about suicide.

But did he say those things because he really means them? Or did he say them to show remorse to a judge in order to reduce his punishment?

What if Thomas had never been busted? We may never have learned of his wrongdoing.

Is it asking too much for transparent government?

By Deon Roberts, Online Editor

“What’s in your wallet?” is Capital One’s slogan.

It could easily be the slogan for Blueprint Louisiana, a movement to increase transparency in state government, among other reforms.

But some lawmakers aren’t too keen on us knowing more about their financials. More on that later.

Blueprint Louisiana’s first goal is to “adopt the nation’s best ethics laws.” Their plans call for (1) legislative financial disclosure, (2) enhanced lobbyist regulation, (3) transparency in state funding of local projects and (4) increased funding for ethics oversight.

Louisiana desperately needs ethics reform, according to Blueprint Louisiana, which is made of concerned business and community leaders and citizens.

“Louisiana’s history of public corruption continues to harm our image around the country,” it says on Blueprint’s Web site. “National rankings highlight the real weaknesses in our governmental ethics laws, inhibiting prospects for greater investment and economic growth.”

The Blueprint folks are right. Louisiana has a terrible image nationally when it comes to crooked politics, even though there are other states with just as many, if not more, bad-intentioned elected officials.

Some members of the Louisiana Legislature aren’t too sure about all of this increased transparency.

For one, some legislators don’t want to be required to be more transparent if the same is not required of other state elected officials. That concern was what kept lawmakers from supporting reforms being pushed by LA Ethics 1, a different coalition of Louisiana groups trying to make Louisiana “a national model for governmental ethics laws and enforcement over the next two to three years.”

“If we’re talking about ethics reform, I’m completely for that for all elected officials,” said state Rep. J.P. Morrell, D-New Orleans.

Morrell has a good point. Members of the Legislature should not be the only elected officials required to become more transparent. It should be required of every elected official in every parish, no matter if they’re an appeals court judge, a member of the Public Service Commission, a sheriff, an assessor, a coroner, a school board member, a justice of the peace, a constable or a council member.

State Rep. Juan LaFonta, D-New Orleans, worries that too much transparency will dissuade people from running for public office. He’s undecided on more transparency.

“Every nook and cranny of your personal life is under a microscope,” he said. “If you get to the point that it is completely transparent, no one’s going to run for public office.”

Hmm … Maybe that’s why it’s called “public office” instead of “private office.” Those who have nothing to hide should not be worried about transparency.

Another one bites the dust

By Deon Roberts, Online Editor

It’s becoming an almost regular event these days in southeast Louisiana: Some trusted elected official admitting he has been involved in some wrongdoing and asking the public for forgiveness.

Last month it was Sen. David Vitter, R-Metairie, apologizing for his phone number appearing in the records of the so-called “D.C. Madam.”

Today, it was Councilman, or should I say former Councilman, Oliver Thomas. (He resigned today.)

Thomas, in a teary public appearance this morning, admitted to and apologized for accepting $15,000 in bribes from Stan “Pampy” Barre, who wanted to maintain a city parking lot contract, said U.S. Attorney Jim Letten.

Thomas’ admission has shocked many. He was seen as anticorruption, just as Vitter was seen as pro-family values.

There are many ways to view these recent scandals.

On the one hand, it shows how pervasive corruption continues to be in Louisiana government. That’s not good for our national image.

On the other hand, it indicates that crooked elected officials from Louisiana will be uncovered for who they truly are. That could be good for our image, at least according to Letten.

“This should be a positive message to people thinking about moving here,” Letten said today.

Einstein controversy shows charter schools aren’t perfect

By Deon Roberts, Online Editor

The allegations are incredible.

Racism. Nepotism. Abuse.

According to some parents and faculty members of Einstein Charter School, that’s what has happened under the administration of the Midkiff family.

Alice S. Midkiff, a former teacher at Ben Franklin Elementary, and her husband, Ronald, run Einstein.

Alice is the school’s director. Ronald is principal.

The Midkiffs’ attorney, Larry Demmons, said the allegations “aren’t necessarily substantiated.”

The Midkiffs are a passionate bunch. As far back they 2004, they were fighting the Orleans Parish School Board to open a tuition-free, math-based public charter school for third to eighth grades. At the time, the school board rejected the Einstein group’s plan to rent for $100,000 a year a building at 13801 Old Gentilly Road in the New Orleans Regional Business Park in eastern New Orleans. The school board said the rent was too high.

But the Midkiffs did not give up, and Einstein ultimately opened at the site of the former Village de L’est Elementary School. Last year was the school’s first year.

As the school prepares to enter its second school year, parents and faculty are revolting against the Midkiff administration, calling for their removal. They claim the Midkiffs gave jobs at the school to friends and family. Their son, John, was a physical education teacher last year, and their daughter, Melissa, was the school’s finance manager.

Demmons said John and Melissa no longer work at Einstein. He also said the Midkiffs did not know other staff when they were hired.

“All these people I think have become friends after having worked at the school,” Demmons said.

Those calling for the Midkiffs’ removal say teachers and administrators were verbally abusive to students and that John showed students a gun and reportedly used racial slurs when addressing students.

The Midkiffs are white.

“It’s unfortunate that some of these people are making the allegations that they are,” Demmons said.

It’s a he said, she said situation, with allegations flying at the Midkiffs, who claim no wrongdoing. At this point, we don’t know who is telling the truth.

But the Einstein controversy shows that charter schools are not the perfect, trouble-free alternatives to regular public schools that many people would think they are.

In fact, the wild claims coming out of Einstein make it sound like it is being run by the Orleans Parish School Board, which has long been accused of mismanagement.

The claims about Einstein should be investigated. And we should make sure that all charter schools, not just Einstein, are being closely watched and held to the highest standards.

Let’s not naively think that just because a school has “charter” in its name that we can ignore what’s going on inside.

FEMA trailer image is tarnished

By Deon Roberts, Online Editor

There’s been a lot of concern lately about the levels of formaldehyde in FEMA trailers.

In a lawsuit filed in federal court Tuesday, plaintiffs claim thousands of Louisiana residents were exposed to dangerous levels of the substance while living in government-issued trailers and mobile homes. And, last month in Washington, House lawmakers released documents indicating that FEMA lawyers discouraged FEMA from investigating the formaldehyde levels.

The issue has residents concerned. About a month ago, my neighbor told me in hushed tones that he knew of a person in the neighborhood who died from formaldehyde in a FEMA trailer.

The lawsuit claims that the government had to purchase more than 100,000 trailers after Katrina and Rita, because only 14,000 were available. Manufacturers quickly produced the trailers using materials that emit high amounts of formaldehyde, the lawsuit claims.

In response to concerns, FEMA Chief David Paulison apologized to trailer occupants and said FEMA “made the best decisions it could with the information it had.”

In the early days after the storm, FEMA trailers were embraced by hurricane victims. But now, no matter how this lawsuit ends – whether trailer manufacturers are found guilty or not – one thing is for sure: Many people will no longer view FEMA trailers the same way.

Somebody, anybody, needs to solve S&WB crisis

By Deon Roberts, Online Editor

New Orleans’ sewage and water system has seen better days.

The system was falling to pieces before Katrina. But since the storm, which unleashed salty water that corroded water and sewer lines, the system has slipped into a much worse state.

These days, nearly two years after the storm, at least 50 million gallons of water are being lost to leaks every day, nearly three times more than pre-Katrina, according to an Associated Press story today. New Orleans Sewerage and Water Board officials also suspect the system is leaking raw sewage.

The problem is so dire that Sewerage and Water Board officials can’t even put a positive spin on it.

“We don’t have the confidence now to say the system won’t fail,” S&WB spokesman Robert Jackson said, according to the AP. “We’re basically holding it together by tape, by glue, by spit, whatever we can get a hold of.”

Rebuilding the system will take $5.7 billion, Sewerage and Water Board officials estimate. The problem is the Sewerage and Water Board doesn’t have $5.7 billion.

What about the federal government? Can it make everything OK?

The Federal Emergency Management Agency has set aside about $150 million for the S&WB and could commit more. But FEMA will not provide $5.7 billion, according to the AP.

That’s because FEMA, under federal law, is required only to restore the Sewerage and Water Board system to its pre-Katrina condition, which was dismal at best.

Is that fair?

Should the federal government be responsible for fixing all of our sewage and water problems, even those that existing before Katrina? If the feds go all out and cough up $5.7 billion to overhaul New Orleans’ system, wouldn’t it have to do it for Jefferson Parish and other American communities, too?

Or is it our responsibility to fund the repairs of a system that has been crumbling for decades? Should New Orleans taxpayers, who are already burdened with higer costs for just about everything post-Katrina, be responsible for repairing a system that has been allowed to deteriorate?

Whether its the feds or New Orleans taxpayers, someone needs to fix this problem and do it quickly. Having sewage backing up into drinking water can’t possibly be good for attracting business, not to mention our health.

Higher property assessments can sting

By Deon Roberts, Online Editor

Property assessments.

Just mention those two words in New Orleans and it can spark hours of conversation or even shouting matches.

That’s because after decades of inequitable assessments, things are supposed to be changing in New Orleans.

And boy are the higher bills making eyes pop.

This month, the higher property tax bills starting hitting people’s mailboxes.

The rising assessments come on the heels of intense pressure for the city’s seven assessors to be more accurate and fair. For decades, some assessors have kept assessments low for some homeowners but not others, critics say. Further, the Louisiana Tax Commission is breathing down the assessors’ necks, telling them to make appraisals fairer.

Now that the higher property assessments are kicking in, some people are freaking out at the size of their bills. The City Council, trying to quell citizens’ concerns, said it plans to cut certain property-based taxes so that property owners aren’t slammed with massive bills.

The City Council hopes to scale back the collection of city-controlled millages – a fancy word for taxes based on property values – to prevent the higher property assessments from resulting in a massive tax hike.

“It is important that the taxpaying citizens of New Orleans have confidence that this reassessment should result in a lowering of the millage, which will place New Orleans’ tax rates at a more competitive level to those in surrounding parishes, thereby encouraging investment in the city,” Council President Arnie Fielkow said.

Residents will likely appreciate the Council’s rolling back of millages to lessen the impact of the higher assessments.

After all, with rising homeowners insurance post-Katrina, the cost of living is already squeezing some people to death.

Get ready for the political promises

By Deon Roberts, Online Editor

In the coming months, as Louisiana’s political season heats up with the primary for the governor’s race set for Oct. 20, the political promises will be heaped upon the public by the truckload.

Gubernatorial candidates may talk about all the great things they are going to do to speed along the hurricane recovery.

“If I’m elected, I promise to work with Congress and the president to rebuild southeast Louisiana,” a gubernatorial candidate might say.

“Vote for me, because I’ll make sure Louisiana gets all the recovery funding it needs,” another candidate might say.

Talk is cheap.

The reality – as many of us have come to realize in the nearly two years since Katrina – is that recovery funds come slowly, no matter who is governor or whether they are Republican, Democrat or whatever.

Congress holds the purse strings for recovery dollars. And, since Congress is made of elected officials representing communities across the United States, they have their own political interests at heart.

When voting on recovery dollars for Louisiana or Mississippi, members of Congress have to answer to their constituents in Wyoming or Illinois or Delaware as to why they are sending dollars to the Gulf Coast when schools and roads their own backyards could use some cash.

For a member of Congress seeking re-election, voting to divert funds from his or her community to benefit New Orleans can come back to haunt them. It’s perfect material for a challenger to use against them in a campaign.

For example, imagine a candidate from, say, Arizona running against an incumbent who voted to divert funds from Arizona to help the Gulf Coast recovery.

“When it came to the people of Arizona, Representative so-and-so voted to give millions of dollars to New Orleans instead,” the challenger to the incumbent might say.

So, get ready for the political promises from candidates for Louisiana governor. They will try to make you believe they can control the will of Congress. They can’t. Only the voters in their home states can do that.

Having a hard time digesting $5 hotdogs

By Deon Roberts, Online Editor

This weekend, I spent considerable time talking about hotdogs.

No, I normally don’t talk about hotdogs. If I did, I’m sure I’d have a lot fewer friends.

But the subject came up when a friend mentioned that she recently paid $5 for a pack of low-carbohydrate hotdogs. This friend is on the Atkins diet. She said that normal hotdogs have too many carbs for her tastes.

While I don’t fault her for wanting to be healthy, the idea of anyone paying $5 for a pack of hotdogs blew me away.

A pack of hotdogs should cost no more than $1. Period. But, like most products, once someone slaps a label that says “organic” or “soy” or “natural” on it, you can expect to pay through the nose.

(By the way, if you don’t believe $5-a-pack hotdogs exist, go to this link.)

I’ve always been bothered by the high price of organic, healthier foods. The poor and those on fixed incomes, including me, are priced out of these healthier alternatives. Sure, I shop at Whole Foods every once in a while, but it’s usually to pick up a specialty item that can’t be found at Wal-Mart, such as fresh basil or fancy cheeses. But I’d go broke if even 50 percent of my groceries were organic.

Some businesses are trying to make healthy food cheaper. In a CityBusiness story this week, the founder of Mandeville-based Vitality, which operates Juice, Java and Smoothie Bar locations in Louisiana and New Mexico, said she wants to make organic and natural foods affordable.

Most Vitality menu items range from $6 to $9.

A little Web research reveals various explanations as to why organic foods are so insanely priced. To list a handful: organic-crop yields are generally smaller than conventional agriculture, labor costs are higher as organic crops must be weeded by hand due to the lack of pesticides and organic crops require expensive compost and animal manure.

I’m not arguing with these expenses, which are clearly necessary for organic food to be organic.

It’s just unfortunate that organic products are not more affordable for all of us.