Storm over Sandy Storm Money

Back on 19 August 2013, this blog weighed in on the entitlement mentality vis-à-vis victims of Superstorm Sandy and the Federal Emergency Management Administration (FEMA).  Included in the blogpost was mention of "the broader issue of the government throwing out so many dollars with so few strings attached, and then wondering why so many people are defrauding it."

Well now, FEMA seeks recoupment of funds improperly paid (which means, in addition to outright willful fraud, duplicated funds paid to the extent that private insurance policies also gave coverage).

Included in the 19 August 2013 blogpost was mention of "the broader issue of the government throwing out so many dollars with so few strings attached, and then wondering why so many people are defrauding it."

I applaud FEMA's purported efforts at recoupment, but FEMA is still encouraging affected homeowners to file claims.  My only qualm is the effective usurious interest rate FEMA intends to slap on the affected payees.  There is a mixed message here. 

Removed as I now am geographically, economically, and socially from the situation (other than having some former clients who were affected), I do not now attempt to prognosticate the success or failure of FEMA's declared recoupment program.  However, one can easily see political officeholders at various levels trying to call off FEMA on that one; nor would I rule out a race-based distinction in enforcement efforts, brought about at the behest of the White House.