THURSDAY, FEBRUARY 19, 2009

Recovery Corps provides economic stimulus to Louisiana
Local communities throughout the state feel positive economic impact

BATON ROUGE, La. -During a time when so many are feeling the effects of a worldwide economic slowdown, the Louisiana Family Recovery Corps is doing its part to not only provide desperately-needed direct assistance to Louisiana citizens still recovering from the recent hurricanes, but it is also infusing much-needed money and resources into small towns across the state.

Such was the case with the Recovery Corps’ recent iteration of its Household Establishment Funds (HEF) program during which it provided up to $1,500 in benefits to 1,111 families in Acadia, Iberia, Lafayette, St. Martin, St. Mary, and Vermilion parishes. In total, the Recovery Corps spent almost $1.5 million in communities such as Delcambre, Jeanerette, New Iberia, Gueydan, Abbeville, Kaplan, Carencro, Breaux Bridge, Cecilia, St. Martinville, and Morgan City.

“We were very pleased with the results of our HEF program in Acadiana,” said Dr. Monteic A. Sizer, President and CEO of the Recovery Corps. “We saw so many people in that area whose lives were devastated by Hurricanes Katrina and Rita and more than three years later they are still struggling to bring normalcy back into their lives.”

Louisiana was slower than most states in experiencing the full grip of the national recession. Much of that can be attributed to recovery efforts, which provided thousands of new jobs and billions of dollars in additional resources to areas across the state, especially the southern half of Louisiana.

However, the downturn in the housing market, plummeting oil prices, and layoffs resulting from slow sales in numerous business sectors have had a ripple effect that has touched almost every Louisianian in some form or fashion.

“Everybody’s feeling it,” said Kim Smith, store manager for the Johnston Street location of Home Furniture in Lafayette, one of the Recovery Corps’ sub-contractors for the HEF Acadiana program. “Being involved allowed us to keep the momentum going and keep up morale in the store. Business isn’t as good as we’d like it to be right now, so being involved in our joint effort with the Recovery Corps was very good from a business standpoint.”

In all, the Recovery Corps purchased a total of 890 beds, 457 washing machines, 419 dryers, 349 stoves, and 345 refrigerators from its sub-contractors Home Furniture, Lowe’s, and Earl’s Furniture.

Additionally, the Recovery Corps paid utility deposits and payments for 600 households and rent deposits and payments for 281 households.

Much of the population served by the HEF program in Acadiana could be categorized as the working poor. More than half had full-time or part-time jobs, while most of the remaining households were either retired or disabled. The average annual income for households served by the program was $18,189, with two-thirds of those households residing in the rural lower coastal parishes of Iberia and St. Mary.

“The greatest benefit of this program came from being able to assist hard-working people who are getting by on modest wages,” Sizer added. “Helping to pay a bill or providing replacement furniture and appliances for those lost or damaged during the hurricanes means so much to our impacted citizens, especially in these tough economic times. It simply allows them to stretch their incomes and use their hard-earned money in other areas while they are still working to get back on their feet.”

Not only did the HEF program provide a boost for its sub-contractors, but it also created new jobs and served as a positive economic catalyst for those not directly associated with the program.

Volunteers of America Greater Baton Rouge was the service provider for the program and received funding on top of the nearly $1.5 million spent in the area. VOA was then able to create new case manager positions and hire additional staff. The program also allowed delivery drivers to make additional routes, landlords to receive rent payments on time, utility companies to collect back payments, and families to buy Christmas presents they otherwise would not have been able to afford had they had to purchase appliances or pay rent and utility deposits.

“I had a hard time getting any help at first because FEMA had so many people trying to abuse the system,” said HEF Acadiana client Tammy Molo of New Iberia. “It was such a blessing when the Louisiana Family Recovery Corps helped me with my rent, my light bill, and twin beds for my kids. I just needed a little help.”

The ripple effect of recovery efforts has not been lost on Senator Troy Hebert, whose district includes Iberia and St. Martin parishes.

“This was a great program that provided direct benefits to some of the hardest working people in our state,” Hebert said. “It really helped the little man and I thank the Recovery Corps for hearing their voices.

“So often the people in this area have been overlooked and forgotten. My constituents tell me that they just need some hope, they just need a little push. That is what this program was able to provide, an opportunity to get back on their feet and continue to get their lives back on track.”

The Recovery Corps expects similar results in St. Helena, Tangipahoa, and Washington parishes when it brings the HEF program there in the coming weeks. Those parishes were hit hard by Hurricane Katrina and the agency expects to disburse more than $1.5 million there, greatly impacting not only the program clients but also the local economies.

Similarly, the Recovery Corps is in the implementation stage of two home repair programs in southeast Louisiana. The first, located in St. Tammany Parish, is expected to repair almost 50 homes. Another home repair program in Terrebonne and Lafourche parishes is expected to repair or restore more than 50 homes in rural communities throughout the area.

The two home repair programs will send more than $2 million in total to general contractors, carpenters, electricians, plumbers, and other professionals in those three parishes. Many of those workers have felt the slowdown of the housing market and might otherwise be out of work. Thus, these professionals will be able to remain employed, remain on health insurance, and continue to provide for their families.

“Recovery is without a doubt an economic stimulus,” Sizer said. “It creates jobs, it buys materials and products, it allows people to stretch their own monetary resources, and it revitalizes communities. Whether it is stimulating the economies of the areas we serve or stimulating the morale and outlook of the people, there certainly can be great personal pride taken from knowing that you are one step closer to the ultimate goal of having a normal life once again.”

ABOUT THE RECOVERY CORPS
The Louisiana Family Recovery Corps is a non-profit 501(c)(3) corporation based in Baton Rouge, La., and formed in the wake of hurricanes Katrina and Rita in 2005. The Recovery Corps’ mission is to facilitate human recovery for the State of Louisiana in the aftermath of disaster, both natural and man-made. The Recovery Corps has partnered with human service and non-profit organizations throughout the state and the country to deliver assistance as effectively and efficiently as possible, allocating more than $80 million to recovery efforts and assisting more than 30,000 households since January 2006.