BAY ST. LOUIS, Miss. -- A FEMA contract to house Katrina evacuees on cruise ships, roundly blasted as exorbitant government spending, is currently costing U.S. taxpayers substantially more per person than some of its harshest critics estimated -- nearly $250 per person per night, according to figures obtained by MSNBC.com.
At that rate, the Federal Emergency Management Agency would spend more than $175,000 for each family of four that lives for six months aboard one of the three ships provided under the $236 million contract with Carnival Cruise Lines. Room service also is included in that price tag -- three meals a day and snacks.
FEMA says it cannot calculate the precise costs per person for the floating hotels because it does not track occupancy of the ships in that fashion. The agency says it knows only how many cabins are occupied on the Ecstasy and Sensation, docked in New Orleans, and the Holiday, docked in Pascagoula, Miss., not how many people are living in each cabin.
“To be honest with you, I really don’t know,” FEMA spokeswoman Nicol Andrews said in response to repeated requests for a head count. Nor does anyone else in the federal government, said the Washington, D.C.-based Andrews, who said she could not get the figures “unless I went on board and knocked on doors.”
But it took Carnival Cruises Lines just two hours to provide the current headcount when asked by MSNBC.com. According to Carnival public relations coordinator Irene Liu, on Wednesday there were 5,370 evacuees living aboard the three ships, 2,418 on the Ecstasy, 1,996 on the Sensation and 956 on the Holiday.
That count is well below the 7,000-passenger combined capacity for the three ships, 2,600 each for the Ecstasy and Sensation and 1,800 for the Holiday.
Cost expected to keep climbing
MSNBC.com arrived at the current $244 per-night, per-person cost of the cruise ship housing by dividing the cost of the contract by the current number of inhabitants. With FEMA’s own releases showing a steady decline in occupancy of the cruise ships since late November, that cost is presumably rising and will continue to do so until the contract expires in early March.
The counting of occupied cabins rather than evacuees is a departure from FEMA’s initial publicity about the use of the ships. In a Sept. 4 press release, then-FEMA Director Michael Brown spoke of the Sensation and the Ecstasy, originally sent to Galveston, Texas, as having room for “about 2,600 passengers each” and the Holiday, first docked in Mobile, Ala., as providing space for “about 1,800 displaced persons.” Brown later resigned his job amid charges of incompetence.
The switch from counting evacuees to cabins occurred because “in some cabins, every single bed is filled and in other cabins it is a single city worker,” Andrews said. “Those ships are filled to capacity.” So is a fourth ship owned by a different cruise line and docked in St. Bernard’s Parish, she said.
Andrews went on to say that “if the ships are filled to capacity, it’s $190 per night” per person. When asked how FEMA could calculate a per-person, per-night cost without knowing how many people were on the ships, Andrews acknowledged it is not possible.
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Cost questions have dogged the Carnival contract since it first became public. Sens. Tom Coburn, R-Okla., and Barack Obama, D-Ill., called it a “grossly overpriced sweetheart deal.” Coburn aides noted that even with the ships housing their full 7,000-passenger capacity, the weekly cost for each person was more than double the price of some seven-day Caribbean cruises.
In seeking a congressional probe of the contract’s “grossly over-inflated costs,” Mississippi Rep. Bennie G. Thompson noted at the time that housing a family of four on one of the ships for six months might cost as much as $120,000, the price of a single-family home “in many of the areas struck by the hurricane.”
'It is pitiful'
Told this week by MSNBC.com that it might cost far more than that, Thompson, the ranking Democrat on the House Committee on Homeland Security, said: “It is pitiful that FEMA's only stable housing program has consisted of overpaying for cruise ships that may not be fully occupied. … Sadly, that money could have gone to the tens of thousands living in tents and travel trailers this holiday season."
Andrews, the FEMA spokeswoman, defended the contract as the only way “to house people in areas where all of the housing had been wiped out. …Congressman Thompson, of all people, would understand the need to have some emergency housing in an area where the entire housing stock was wiped out.”
Andrews said there is not a cost-effective way in which the government can get out of the contract before it’s completed but “when the term of the contract is up, we’ll find other places for the people to go.”
The cruise ship shelter also is popular with many of those living on board the luxury liners.
Waveland, Miss., resident Edna Summers had nothing but praise for the program. She spent time on the Holiday, traveling with it when it sailed from Mobile to Pascagoula.
"We had maids cleaning the room," she told MSNBC.com. "They cooked. I didn't have to do anything but take a shower and eat."
Summers said she also received FEMA assistance on the boat, including help in getting a replacement copy of her birth certificate and preparing for the high school equivalency exam. "It was a great experience because I never had anything like that," she said.
Cruise line defends break-even deal
Carnival representatives also defend the deal as one in which the company will make no more money than it would have if the ships were conducting their normal tourist cruises.
The Miami-based company, which operates a total of 79 ships, reported last week that its fourth-quarter profits were up 20 percent.
“They’re not hurting at all,” said Jennifer Gore, the Democrats’ communications director for the Committee on Homeland Security.
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Please tell me that these people are required to go look for work each day?, Please tell me that they are not recieving welfare checks as well while sitting on their Hands?, Please tell me that the ship owners won't declare their boat ruined by these low-lifes living there like the stadium owners tried to do?.
Dave K (Sent Dec 22, 2005 9:25:11 PM)
Since the New Orleans Hotels are still trying to recover why not open up the cruise ships to the public at hotel cost with an added tax that can help offset the costs of the residents still on board. This may help bring down the overall costs as all the rooms can be filled. since the ships are there until March start taking reservations for Mardi Gra.
RC, San Diego, CA (Sent Dec 22, 2005 9:26:15 PM)
I do not think we should blame the victims in this current situation. Exhorbitant spending issues are rife throught this current Admin, and this is just a symptom of the generally poor planning FEMA as exhibited. Back when this was being proposed,many people thought this was a GOOD idea. It is pettiness to think that somehow these folks connived to get their way onto the cruise ship, or that it is a "vacation" in New orleans for these ~975. Instead of complaining, do something directly to aid them, and don't expect the Gov to help these people for you. The attitude that "I am too busy & I pay my taxes, so someone else should take care of these problems" is where the real problem is and a lack of persoal involvement by American's is part of what is leading people toward a divisive, resentful society and negativity filled outlook. Can you really blame an ignorant culture, that has been betrayed by a corrupt government for years, for not listening to what the Government says now, and for the societal circumstances that have trapped them into being ignorant? The free eductaion that we all supposedly get, defintely changes depending on where you live, andf I would say the educational system, and the New orleans school board officials would agree, that the shool system in N.O. is completely broken. It will take PERSONAL sacrifice in terms of direct time and effort to help these people, not sitting far away in front of a computer screen griping about 975 people on a cruise ship.
Chris M, Greenbelt, MD (Sent Dec 22, 2005 9:26:52 PM)
Just by reading the first three messages I can truly understand how ignorant and racist this nation truly is and will remain. You're going crazy over a multi-million dollar shelter deal but you're not upset with the goverment spending over $1 billion a week to bring democracy to Iraq? Amazing!!!
Jamie, Milwaukee Wisconsin (Sent Dec 22, 2005 9:26:59 PM)
I don't understand why we don't relocate those people and send them to temp agencies to start working and rebuilding their lives, instead of putting them on a cruise ship, where they aren't doing anything to help out their situation. There is work for these people all over the US, it is just a matter of relocating them. Instead of paying Carnival Cruise $250 a night per person, why doesnt the government get these people relocated and into appartments, where there is at least an opportunity for a work. Sitting on a cruise ship won't help them get work, and get their lives started back up.
Aubrey, Vail, CO (Sent Dec 22, 2005 9:28:06 PM)
Many of the people who are living on the ships are police officers - 75% of them remain without housing and would certainly like to be living somewhere with their families rather than on the ships. However, they take their duties seriously and have given up that opportunity to help serve the city. It's very easy to say people need to start looking after themselves but there is a huge lack of housing in the area and many have not got the trailers from FEMA yet. SOMETIMES THINGS ARE JUST NOT THAT SIMPLE!!!
L.T., Metairie, LA (Sent Dec 22, 2005 9:29:29 PM)
Democrats and the destruction of the nation... Comeon now!!! It's a horrible thing that Katrina destroyed so much. But spoon feeding a bunch of folks content to lay up on someone else’s nickel is disgusting. I’m tired of the sob story and the racial iterations. Get a job you lazy bunch of “victims” and stop burdening the country with your patsy pansy pity party!
Matt, Clark, New Jersey (Sent Dec 22, 2005 9:29:30 PM)
I have no doubt that the initial thought to provide instant housing was in good faith. But months have passed. FEMA has to pay the contract price whether 1,600 people occupy a ship or 1 person. Fill the ships to capacity and before the contract comes to an end, notify the occupants its 'Time To Hit The Road.' There should have been enough time to make other arrangments.
Lee R. Chasse, Rochester, NH (Sent Dec 22, 2005 9:30:23 PM)
What is the government thinking!?!?! $244 a person per night is outright absurd!! They need to get off of their behinds a get a job! I am going to school to make something of myself and the last thing I want to do is pay for my education and their debts for sitting on their asses all day long on a cruise ship!
Tim (Sent Dec 22, 2005 9:33:01 PM)
give these people a dam break. they have been thru pure hell.
harold chesapeake va (Sent Dec 22, 2005 9:33:20 PM)
Unfortunately this was the best and quickest solution that "Brownie" and the rest of FEMA came up with. The government knew how bad the hurricane would be and those in power sat on their hands, instead of properly preparing for it, hoping that everything would turn out OK. Michael Brown was the official to ultimately approve this venture. We all know who it was who approved of Michael Brown to begin with.
Jason, Las Vegas, NV (Sent Dec 22, 2005 9:33:48 PM)
What a disgrace..It would be cheaper to have them in hotels or in trailors..and with the savings pay for a new home or part of it...That's our government waisting tax money..
Louis Colombo, Los Altos, Ca (Sent Dec 22, 2005 9:38:38 PM)
I have a friend on one of those ships with his wife and seven children and his mother. They lost their home, their business, their vehicals, and their neighborhood is still off limits and uninhabitable. He dosent want to be on the ship anymore but he has no place to go. What do we tell this educated man.
Ray Stewart (Sent Dec 22, 2005 9:42:46 PM)
I just returned from a visit to the New Orleans area and it is my understanding that the inhabitants of the ships are police officers and firemen and their families that lost their homes during Hurricane Katrina. It is essential to keep these important people in the area that is in such need of their services. They deserve everything we can do for them as they lay their lives on the line for all of us everyday.
Peggie, Fernley, NV (Sent Dec 22, 2005 9:43:50 PM)
How much money did Carnival contribute to the Republicans and their various PACs to get on the no-bid, pig trough list?
Jere Long, Fort Worth, TX (Sent Dec 22, 2005 9:47:19 PM)
They're sitting on their FEMA checks while fast food joints are giving out $5,000.00 sign-on bonuses for people to flip burgers. It angers me. Get out and do some work.
George in Jersey (Sent Dec 22, 2005 9:47:26 PM)
You all can blame FEMA all you want, but the true story is that FEMA was gutted financially by Homeland Security. What ever happened to the thought of taking care of yourself and being self supporting?, these people will never change their habits and will continue this for years to come.
I helped load trucks in N.O. and distribute the food to these "victims" and they ALL acted like they were owed something, we were biitched at and called racial names while trying to feed these people the basics. I heard 4 Thank You's in 2 weeks, and they were from fellow workers and not the "victims".
Cry me a river, Cry me a Hurricane, but get up off your butts and get a Temp Agency employing these people for starters and don't ask for my help anymore for those that won't help themselves while people are living in tents.
Dave K (Sent Dec 22, 2005 9:54:14 PM)
So let me get this right,you criticize Fema because it wants to kick people out of hotels and set them on their own 2 feet, yet you then criticize them because they don't kick them them off the cruise ships. At least display some consistency!!!
Shane Ramshaw (Sent Dec 22, 2005 9:55:09 PM)
The entire NewOrleans East was destroyed. 300,000 homes are gone and so are all the businesses. These were working class people. There are no jobs. Relocate where? Your town! So you can then complain about outsiders taking all the local jobs. There are no easy answers but blaming these people for their situation is not the answer
Ray Stewart (Sent Dec 22, 2005 9:55:59 PM)
MSNBC's website is crap. This site whines like hell when these folks are not helped. Then after your biased attacks, you do not look for success stories or rebuilding going well. No you look for other reasons to bash the Administration. Come on. I am so sure there was never government waste under Bill Clinton.
James Blatt (Sent Dec 22, 2005 9:56:10 PM)
And where will these people go? Send them to your neck of the woods? People will be screaming N.I.M.B.Y! (Not in my backyard) Not if it affects your chance of getting a job. We need to get them back on their feet in their communities, even if we have to help rebuild. Help them replace their vehicles so they can drive, Give them some tools and put them to work to help rebuild and make some money to get solvent again. You have a valuable resource sitting in cruiseliners doing nothing!
Dan Scheeringa, Star Prairie, WI (Sent Dec 22, 2005 9:56:51 PM)
It's sad, we spend so much money over in iraq, fighting a war for a system similar to ours in iraq. Trying to make another country have the beliefs our country has, but we can't help our tax paying citizens. I see all these comments about how the people should get off they ass and get a job, in which i agree, to a point. But the city of N.O. school system has been a failure for some time now. I don't agree with paying 250 bucks a night, i'm sure there are cheaper places to house people. I understand that law enforcement has to have somewhere to stay, and the cops of N.O. have given up a lot for there city. I think all you people whom think it's so hard to help TAX-PAYING AMERICANS should take a look in the mirror
J.J . of Florence, Kentucky (Sent Dec 22, 2005 9:59:23 PM)
Responding to Jamie, no where in the above article was race mentioned, why bring it up. For a family of 2, living on a pleasure boat, for just 1 month, they have recieved close to $15,000, or for the 4 months since Katrina, $60,000. For $60k, the could be relocated to anywhere in the US, and set up in an apartment, and work. I felt sorry for the survivors in the beginning. However, now they should get off their backsides, help in rebuilding, or relocated somewhere else to become a productive part of society. PS, here in Billings, MT, we have received Katrina victims, some have stayed and worked, others decided to go back south, and wait for more assistance.
Rob, Billings, Mt (Sent Dec 22, 2005 9:59:35 PM)
Scenrio: A hurricane hits. you have no idea of the extent of the damage. You have no idea if the remaining hotels can support the displaced population.
Question: What is the fastest way to get "three hots and a cot" for those people that are dispaced?
Answer: Cruise ships! It was actually a pretty good idea. I dont think we should pound on FEMA too much for this. So what if it was "overkill" it is better to have them filled below capacity than to have people who want to get on get denied because there is no room.
For all you critics! ~NOT ONE OF US HAS SEEN THE WHOLE PICTURE. HOW CAN YOU POSSIBLY CRITICIZE IF YOU DONT KNOW THE WHOLE PICTURE!~
Also, it is entirely realistic that the cruise line is breaking even on this. $250 a night is an entirely realistice projection of what they would have made if they ran a regular cruise schedule! Dont forget the MILLIONS in revenue these ships could be earning from there casinos alone if they were hauling tourists instead of refugees! I dare anyone to tell me that these displaced persons are spending any substantial money in the cruise lines spas and shops. Thats how the cruise lines make most of your money!
You who criticize: go back to your five dollar an hour cashier jobs and let those people with the education, knowledge and experience to handle these problems do their jobs!
Erick, Washington, CT (Sent Dec 22, 2005 9:59:46 PM)
Motel 6 is 60.00 and it is located on DRY GROUND and there are thousands of these Motels across the country.
Locating them off shore, without transpo to find work is a brilliant idea, I'm sure they are breeding as we type to produce more brain dead worthless work force.
Homeland Security is a JOKE and it is the Responsible Party for this mess....not FEMA
dave K (Sent Dec 22, 2005 10:02:33 PM)
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