http://www.washingtonpost.com/wp-dyn/content/article/2007/03/07/AR2007030702628.html?nav=rss_nationFEMA Taking Hit on Sale of Surplus Trailers
By Spencer S. Hsu
Washington Post Staff Writer
Thursday, March 8, 2007; Page A01
Stored in such places as the vacant land near an airfield in Hope, Ark., an industrial park in Cumberland, Md., and a warehouse in Edison, N.J., are the results of one of the federal government's costliest stumbles in the aftermath of Hurricane Katrina -- tens of thousands of empty trailers.
The Federal Emergency Management Agency hurriedly bought 145,000 trailers and mobile homes just before and after Katrina hit, spending $2.7 billion largely through no-bid contracts. Now, it is selling off as many as 41,000 of the homes, netting, so far, about 40 cents on each dollar spent by taxpayers.
Thousands more of the homes -- critics say more than 8,000 -- have never been used and cannot be sold immediately, even though scores of people in the South have been made homeless by recent storms.
"While FEMA has 8,420 brand new, fully furnished, never-used mobile homes in a cow pasture in Hope, Arkansas, they refuse to provide the people from Desha, Back Gate and Dumas counties with help. This is crazy," said Rep. Mike Ross (D-Ark.). "If this is the new and improved FEMA, I don't want any part of it."
FEMA cannot sell unused mobile homes directly to the public because of legislation passed by Congress in October at the industry's urging. Instead, the agency must now go through a time-consuming process of trying to donate them first to federal, state and local agencies and public service groups, according to the Manufactured Housing Institute's Web site.
But FEMA has refused Ross's request to release 150 mobile homes to shelter people in his state who were displaced on Feb. 24 by two tornadoes, because President Bush has not declared the counties a federal disaster area, precluding FEMA's involvement.
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