NEW ORLEANS (AP) - Members of Louisiana's congressional
delegation are calling on FEMA to issue regulations for the
cancellation of disaster loans issued to Gulf Coast communities
after Hurricane Katrina.
The lawmakers in a letter this week to Federal Emergency
Management Agency Administrator David Paulison urged issuance of
the regulations by year's end.
The delegation fears that some local governments, hospitals and
sheriff's departments won't be able to repay FEMA loans.
FEMA says it provided nearly $1.3 billion in community disaster
loans in Louisiana and Mississippi after the 2005 hurricanes.
Congress authorized the agency to forgive the loans if local
governments show an inability to repay.