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Paul Clolery

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The Preparedness and Resilience Foundation Act: Should Government Compete with Aid Organizations?

Posted: 04/27/2012 8:49 am

Images of people begging to be rescued from the roofs of their New Orleans homes in the aftermath of Hurricane Katrina are as emblazed into the memories of Americans as that of planes slamming into Towers I and II of the World Trade Center in New York City and the TV footage of a Secret Service agent jumping on the back of a convertible in Dallas.

As the then-President of the United States was praising the "heck of a job" the head of the Federal Emergency Management Agency (FEMA) was doing in New Orleans, the reality was that thousands of people were warehoused in squalor inside the Super Dome sports arena, which had part of its roof ripped off by the Category 5 hurricane's winds.

It took the charitable sector and the generosity of American citizens to bail people out of the immediate need. It was the American Red Cross, the Salvation Army and dozens of national, regional and local disaster response organizations that mobilized the basics of food and water and maybe a clean pair of underwear.

Those agencies raised and put to work tens of millions of dollars in a hurry. What did FEMA do? It spent a few billion dollars buying and providing trailers for shelter that were constructed with formaldehyde as insulation that sickened people and had to be abandoned.

And now, the federal government wants to compete with the humanitarian organizations that get the job done every day, that have resources positioned and ready, and have teams of trained staff and volunteers.

Sen. Daniel K. Inouye (D-Hawaii) has introduced S. 2202, the Preparedness and Resilience Foundation Act. It is to establish "a nonprofit private corporation to be known as the Preparedness and Resilience Foundation." According to the legislation, the foundation "shall not be an agency or instrumentality of the federal government, and officers, employees, and members of the board of directors of the foundation shall not be officers or employees of the federal government."

The foundation's purpose, according to the legislation, "shall be to support and carry out activities that promote the resilience of individuals, communities, structures, and systems against natural disasters and terrorist attacks and other human caused disasters, and that build and sustain the capabilities of the public, private, and civic sectors to work together to prepare for, prevent, protect against, respond to, recover from, and mitigate all such hazards."

Funny, that sounds a lot like what FEMA is already supposed to be doing.

The legislation would set up an endowment fund for "providing endowments for positions that are associated with FEMA and dedicated to the purpose described in subsection (b). The fund shall consist of such donations as may be provided by non-federal entities and such non-federal assets of the foundation (including earnings of the foundation and the fund) as the foundation may elect to transfer to the fund."

The bottom line is that tax dollars apparently are not enough and the federal government wants to be able to fundraise outside the scope of its actual authority. What Sen. Inouye is proposing is akin to a hospital foundation raising the money and transferring it to the hospital.

This foundation would be able to accept cash and non-cash gifts and buy FEMA things that it needs. Let's see how many lobbying and access laws are circumvented with this concept. There would be zero transparency. The foundation could raise money and buy from friends of whichever administration is in charge.

There are so many opportunities for fraud that this legislation should be a non-starter. The federal government should not be in competition with charities for cash and in-kind donations. There is a theory in fundraising that large gifts sometimes dissuade people from giving small gifts. The thinking is what can $10 do when you already have $1 million? Why should people donate to the foundation of an agency of the federal government when they already pay taxes? The federal government establishing a fundraising arm for FEMA will suppress all giving in a time of crisis.

Only 3 percent of the legislation introduced in the U.S. Senate was enacted during 2009-2010. If this is an example of what is being introduced, it's a good thing the percentage is so small.

The challenge is that Sen. Inouye is chair of the U.S. Senate Committee on Appropriations and can slip this into an omnibus package that has to be passed.

Nonprofits can do more than raise money and provide services. They can also advocate. It's time to call every member of the U.S. Senate and let the members know this is a very bad idea.

 
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Images of people begging to be rescued from the roofs of their New Orleans homes in the aftermath of Hurricane Katrina are as emblazed into the memories of Americans as that of planes slamming into To...
Images of people begging to be rescued from the roofs of their New Orleans homes in the aftermath of Hurricane Katrina are as emblazed into the memories of Americans as that of planes slamming into To...
 
 
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HUFFPOST SUPER USER
ttsgw
Atheist and secular humanist
04:53 PM on 05/01/2012
The president at that time had no interest in helping these guys. He was to busy transfer money from the US tax payers to the military industry. The wealth of its owners and executives was much more important than the lives of some insignificant citizens.
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HUFFPOST SUPER USER
PatriotPaul
08:56 AM on 04/28/2012
As so often is the case it just depends on who is President when these major disasters happen as to how the Federal Government responds. In actuality those of us in the Superdome did have some food (MREs) and water provided by the Army National Guard who actually did a heck of a job under horrific conditions. The Coast Guard did a fantastic job as well, saving individuals left stranded by the levee failures (Fed. Army Corps of Engineers' disaster). Many aid organizations were prohibited from even entering the area. We did not see the Red Cross, the Salvation Army, or any other aid organizations until we were bussed out to Texas from the Superdome. Sounds like with some tweeking and accountability this legislation might be reintroduced.

Paul Harris
Author, "Diary From the Dome, Reflections on Fear and Privilege During Katrina"
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HUFFPOST SUPER USER
madcityy
03:04 PM on 04/27/2012
WHAT IS THE FED DOING ,DOING THIS????????????????
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HUFFPOST SUPER USER
Itsbeenalongday
Eliminating poverty is smart business
10:34 AM on 04/27/2012
The aid industry is just as likely to make the same sort of mistakes as the government, often more so. The best option is distribute the cash directly to the people and let them source the goods and services they need and let the aid agencies provide them on a cost recovery basis if that is what they want to do.
Chauncey1186
EMAILGATE!!!
11:43 AM on 04/27/2012
Huh?
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HUFFPOST SUPER USER
Itsbeenalongday
Eliminating poverty is smart business
08:44 PM on 04/27/2012
I have just helped people build 39,000 one room house in Pakistan. We gave them some cash to start, some more cash part way through and some more when they finished about two thirds.

They built the house they wanted and could afford and 98% of them finished.
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HUFFPOST SUPER USER
ablacks657
ABLACKS657
07:17 AM on 04/28/2012
Cash for booze and drugs - good idea.
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HUFFPOST SUPER USER
Itsbeenalongday
Eliminating poverty is smart business
06:58 PM on 04/28/2012
Do you want some one deciding for you what you can and can't have?

What this article is about is NGOs wanting to be the ones to decide and not the government but even so, they will make the same mistakes as people will make themself. Your are either going to provide them assistance or not. If not, then ask yourself why are Americans dying for others in far off lands, why should you care about anyone and why should anyone care about you?