Katrina Coverage

Analyzing the news reports and politics of the New Orleans hurricane.


Is FEMA overpaying Carnival Cruise Lines?

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FEMA has a contract with Carnival Cruise Lines to use three cruiseships until February. The cost: $192 million, plus $44 million for fuel and other costs. That works out to over $10 million per ship per month.

And, that sounds excessive to California's gift to the world, Rep. Henry A. Waxman, as well as to Rep. Marilyn N. Musgrave (R-CO). They want to see the contracts: "FEMA ship deal under scrutiny".

many evacuees told FEMA they had become afraid of the water after escaping Katrina's floods and wanted no part of a ship.

Well, I know they've experienced trauma and all, but: awwwww.

''Many of the berths are going unfilled, which could make the costs per person extraordinarily high,'' Waxman wrote Friday to Chertoff. "Even if all the berths were filled, the cost for a family of five appears to exceed $20,000 per month. This would appear to be far more than other options, such as providing community-based housing.''

[CCL president Bob] Dickinson said the deal merely compensates Carnival for money it otherwise would have made and could result in a fourth-quarter loss of about $20 million.

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