A 20-Point Plan To Destroy Black New Orleans

The following "Twenty-Point Plan to Destroy Black New Orleans" is based on trends and observations made over the past three months. Hopefully, the good people of New Orleans, Louisiana, the Gulf Coast and the United States will not allow this plan to go forward - and instead adopt a principled plan and approach to rebuilding and bringing back New Orleans that is respectful of all of its citizens.

1. Selectively hand out FEMA grants.

The Federal Emergency Management Agency is being consistent in the slow response in getting aid to Katrina survivors. FEMA's grant assistance program favors middle-income households. Make it difficult for low-income and Black Katrina survivors to access government assistance. Direct the bulk of the grant assistance to middle-income white storm victims. The Lawyers Committee for Civil Rights and several other legal groups have sued FEMA over its response and handling of aid to storm victims. FEMA has referred more than 2 million people, many of them with low incomes, to the Small Business Administration to get the loans.

2. Systematically deny the poor and Blacks SBA loans.

Screen out poor and deny Black households disaster loans. The New York Times editorial summed up this problem: "The Poor Need Not Apply." The Small Business Administration has processed only a third of the 276,000 home loan applications it has received. However, the SBA has rejected 82 percent of the applications it received, a higher percentage than in most previous disasters. Well-off neighborhoods like Lakeview have received 47 percent of the loan approvals, while poverty-stricken neighborhoods have gotten 7 percent. Middle-class Black neighborhoods in the eastern part of the city have lower loan rates.

3. Award insurance claims using the "wind or water" trap.

Because of the enormity of the damage in the wake of Katrina, insurance companies will categorize a lot of legitimate wind claims as flood- or water-related. The "wind or water" problem will hit Black storm victims hardest because they are likely to have their insurance with small companies - since the major firms "redlined" many Black neighborhoods. Most rebuilding funds after disasters come from private insurance - not the government.

4. Redline Black insurance policyholders.

Numerous studies show that African Americans are more likely than whites to receive insufficient insurance settlement amounts. Insurance firms target Black policyholders for low and inadequate insurance settlements based on majority Black zip codes to subsidize fair settlements made to white policyholders. If Black homeowners and business owners expect to recover from Katrina, then they must receive full and just insurance settlements. FEMA and the SBA cannot be counted on to rebuild Black communities.

5. Use "green building" and flood-proofing codes to restrict redevelopment.

Requiring rebuilding plans to conform to "green building" materials and new flood-proofing codes can price many low- and moderate-income homeowners and small business owners out of the market. This will hit Black homeowners and Black business owners especially hard since they generally have lower incomes and lower wealth.

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