• Katrina Relief for Health Care Providers
  • January 13, 2006
  • Law Firm: Baker, Donelson, Bearman, Caldwell & Berkowitz, PC - Memphis Office
  • According to the Office of Senator Thad Cochran (R-Mississippi) and the Office of Governor Haley Barbour (R-Mississippi), both public and private health care providers will be fully eligible to apply for and receive Community Development Block Grants and Social Service Block Grants upon passage of the Katrina Relief Provisions contained in the FY 06 Defense Appropriations Bill (currently under debate in Congress). These grants may be used to replace and/or repair infrastructure as well as to offset operational losses directly resulting from Hurricane Katrina. The governing provisions of the measure are as follows:

    Transportation/Treasury/HUD

    § Community Development Block Grant-The package includes $11.5 billion for the Community Development Block Grant to spur economic development in affected communities.

    Labor/HHS

    § Social Services Block Grant receives $550 million to help affected states provide child care, mental health and other social services to devastated individuals and communities.

    The Community Development Block Grants will be authorized through the Department of Housing and Urban Development but administered thought the Offices of the Governors of Mississippi and Louisiana. The administrative process on the state level has yet to be designed, but it is clear that the respective Governors will be given tremendous latitude in developing and implementing the criteria used to distribute the funds.

    Please see the proposed FY06 Defense Appropriations Bill.