A state audit shows Louisiana has a long way to go to verify that billions of dollars in housing aid has been used properly by the thousands of people who received federal help from the catastrophic 2005 hurricane season.
The Associated Press reports the Louisiana Legislative Auditor report, released today, finds state agencies still need to make sure about $2.6 billion in aid has been used properly by aid recipients. The funds were allocated to people rebuilding homes, to landlords fixing up their rentals and to folks elevating their homes out of floodplains.
The audit says nearly 15,100 Louisiana homeowners who received federal grant money from the Road Home program to rebuild or replace their homes following the 2005 hurricanes are not in compliance with program rules, which could cause the state to be liable for repayment of $940 million in federal funds.
The state was awarded approximately $9.5 billion for the housing assistance program after hurricanes Katrina and Rita devastated south Louisiana in 2005.
The report is a progress report on efforts to keep track of tens of thousands of federal hurricane aid recipients and to make sure they do what they’re supposed to do with their aid money. The Legislative Auditor’s Office has more details and access to the full audit.
