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Sunday, Apr 29, 2007, 5:49 am

Purposeful Republican Policy: Ensuring Massive Government Failure

By Brian Zick
John Solomon and Spencer S. Hsu for WaPo report "Most Katrina Aid From Overseas Went Unclaimed."
Allies offered $854 million in cash and in oil that was to be sold for cash. But only $40 million has been used so far for disaster victims or reconstruction, according to U.S. officials and contractors. Most of the aid went uncollected, including $400 million worth of oil. Some offers were withdrawn or redirected to private groups such as the Red Cross. The rest has been delayed by red tape and bureaucratic limits on how it can be spent.

In addition, valuable supplies and services -- such as cellphone systems, medicine and cruise ships -- were delayed or declined because the government could not handle them. In some cases, supplies were wasted.

The struggle to apply foreign aid in the aftermath of the hurricane, which has cost U.S. taxpayers more than $125 billion so far, is another reminder of the federal government's difficulty leading the recovery. Reports of government waste and delays or denials of assistance have surfaced repeatedly since hurricanes Katrina and Rita struck in 2005.
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More than 10,000 pages of cables, telegraphs and e-mails from U.S. diplomats around the globe -- released piecemeal since last fall under the Freedom of Information Act -- provide a fuller account of problems that, at times, mystified generous allies and left U.S. representatives at a loss for an explanation. The documents were obtained by Citizens for Responsibility and Ethics in Washington, a public interest group, which provided them to The Washington Post.
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Overall, the United States declined 54 of 77 recorded aid offers from three of its staunchest allies: Canada, Britain and Israel, according to a 40-page State Department table of the offers that had been received as of January 2006.
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Of the $126 million in cash that has been received, most has not yet been used.
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