Mississippi's failing recovery

Mississippi's failing recovery

Leslie Eaton of the New York Times follows up on a story we covered last August -- that despite billions of dollars spent on post-Katrina recovery, few dollars are reaching those most in need. Eaton looks at Mississippi:

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.

Remember that this is Mississippi, site of Gov. Haley Barbour's much-heralded "miracle" recovery -- but which we showed this spring has been failing many of the state's residents all along.

UPDATE: Reader RM gives us a heads-up that Bill Moyers Journal tonight will feature a piece on the Mississippi recovery, including a look at the grassroots efforts of the STEPS Coalition.