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August 10, 2007

Red Cross's Katrina Aid Draws Criticism

A Red Cross program created to help victims of Hurricane Katrina is too secretive and too restrictive, according to many of the program’s intended beneficiaries, reports The New York Times.

The Red Cross program, Means to Recovery, pays up to $20,000 apiece to victims for building materials, job training, used cars, and other needs, but Red Cross officials say there is only enough money to help about 4,000 families. The lack of money led to the decision not to publicize the program.

Russ Paulsen, executive director of the Red Cross Hurricane Recovery Program, said, “It would be irresponsible for us to put out a press release saying ‘The Red Cross has funds available. Y’all come,’ because that would get up the hopes of 1.4 million families.”

After 10 months, the program has given or approved about $12-million, with the average payout at $8,700. The money is given directly to businesses that offer hurricane victims services rather than individuals.

A total of $39-million is available, a small portion of the $2.1-billion raised by the Red Cross for Katrina relief and recovery.

Malcolm Suber, chief organizer of the People’s Hurricane Relief Fund, criticized the program’s requirement that families see a caseworker.

He said, “What we want people to understand is that these are hard-working, poor working people, and they don’t want to be treated like children in this insulting process in which they have to sit down with a counselor.”

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