FEMA, A Pegoroative

Sometimes it's hard to believe how quickly the fortunes and reputations of an organization can change. The Red Cross went through a period of scandal. The Boy Scouts didn't make friends with their anti-gay stance. I can remember when people were proud to say they were liberals. (That might be coming full circle). But FEMA, The Federal Emergency Management Agency, has to be a case in of one bad decision after another, until we have admit that it is beyond the jokes of the late night comedians and truly a national disgrace.
The latest revelation is the the "FEMA Trailer" fiasco.

In response to the devastation on the Gulf Coast after Hurricane Katerina, the agency ordered on a no-bid basis 145ooo mobile homes. It now admits it bought to many and wants to get rid of them. I won't dwell on the obvious that there are still people that need shelter and could use the trailers and that we don't know if we might have another storm that could create further need. The fact is they want to get rid of them.

FEMA has a couple billion dollars tied up in this investment and seemingly needs get rid of some of them. They can't. The government won't let them because the very people that plucked the plum from the tree, the mobile home manufacturers, are afraid that by dumping that many mobile homes on the market the government would ruin their business.

The estimated value of the FEMA trailers would be in the neighborhood of 40cents on the dollar. Let me see, new trailer full price versus once purchased never used trailer 60% discount. Yeah, I'd say they have a point. And I don't blame the manufacturers for taking the government no-bid contracts at full price. None of our war supply contractors is offering voluntary discounts either. But folks, what happened to the sacred rite of the free market. The homes exist. The owner no longer has a need. A market, no matter how depressed, will be created. (I suggest they put them on E-bay) The people that claim they will get hurt made money, and I would bet great amounts of it, the first time around. They just have to treat the downside like they treated the upside and ride it out.

What we have going of course is the representatives of the districts in which the manufacturers are located are being lobbied to "save jobs and small business". The other representatives at this point can promise their votes on this issue and bank the good will for their pet projects. After all a couple of billion dollars is just chump change in our national budget and they can always explain it to the folks at home. It's FEMA's fault.