New Orleans ... much of aid has not been spent -- distributed money was largely for short-term and emergency needs

US delegation views slow recovery from Katrina nearly 2 years after storm | The Associated Press | Published: August 13, 2007

NEW ORLEANS: U.S. House Speaker Nancy Pelosi on Monday led a Democratic congressional delegation on a tour of areas still struggling to recover from Hurricane Katrina nearly two years after the storm, trying to determine where more federal help is needed.

Katrina and its aftermath were a "challenge to the conscience of the country in a huge way," Pelosi said.

Congress has given more than $116 billion (€84.9 billion) in aid to the Gulf Coast since Katrina, but much of it has not been spent, and the distributed money was largely for short-term and emergency needs.
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There remain a number of needs, including a gaping hole in funding for the program meant to help homeowners rebuild. ...