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Sale of 'Katrina' caravans sparks a new storm

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Published Date: 09 March 2007
By JILL ZEMAN
LITTLE ROCK, ARKANSAS
A PLANNED sale by the US government of thousands of mobile homes used as emergency accommodation in the wake of Hurricane Katrina is raising fears among dealers that the auction will ruin the market.
Dealers say some potential customers are waiting to get a used Federal Emergency Management Agency (FEMA) caravan rather than pay up to $40,000 (£20,000) for a new one.

"People think they're just going to get to buy them for nothing," said Gale Crews, a dealer in Hope, Arkansas, where FEMA is storing 20,000 trailers at the city's airport.

FEMA spent $2.7 billion on 145,000 mobile homes and caravans after Katrina struck in autumn 2005. It now has 60,000 in storage nationwide, thousands of which were never used.

Critics say FEMA ordered more than it needed and is about to double-cross trailer dealers.

But the agency says it will sell only those that suffered wear and tear from storm victims; it plans to keep the unused ones.



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  • Last Updated: 09 March 2007 11:46 AM
  • Source: The Scotsman
  • Location: Edinburgh
  • Related Topics: Hurricane Katrina
 
1

Firozali A.Mulla MBA PhD,

Dar-Es-Salaam Tanzania 09/03/2007 11:07:53

Federal Emergency Management Agency (FEMA) caravan rather than pay up to $40,000 (£20,000) for a new one.
Tom Delay was here. LITTLE ROCK, ARKANSAS, So no worry LITTLE ROCK … Sale of 'Katrina' caravans sparks a new storm..
"People think they're just going to get to buy them for nothing," said Gale Crews, a dealer in Hope, Bad English or incomplete sentence… But the agency says it will sell only those that suffered wear and tear from storm victims; it plans to keep the unused ones.
Katrina had bad enough scenario. No hep in time. The victims were bankrupt and pleaded with hands and feet. No one heard. Now Mr. Bush goes there while the guys want to auction the caravan. Mr. Bush calls them sister and brother while they sit under the mango trees.. The caravans auctioneer probably does not know the strength of Mr.Bush. He has broken Iraq in pieces. Caravans are peanuts to him.

2

Neil,

9% Growth Party 09/03/2007 12:31:02

Used car dealers wanting the government not to auction them off so that they can keep their prices up.

It appears the home of free enterprise is now the home of lobbying to help businesses to conspire against the public.

3

Neil,

9% Growth Party 09/03/2007 14:29:53

Supporting the used car industry or indeed any industry not directly responsible for national security should not be a government interest overiding the customer's interest.

4

Bien E. Bien,

09/03/2007 18:37:26

Oh dear, looks like a vested interest from some American mobile home dealers. Increase supply and price will fall. I wonder if these same dealers complain when their "gas" prices go down because OPEC has chosen to increase supply.

5

mike - across the pond,

think people think 09/03/2007 21:20:39

these mobile homes...

that were occupied basically "rent free"

um think about it...

have you ever been a landlord... who rented for a really low price?

the "occupants" dont take care of the flippin things like they would if they actually owned them...

these units werent the "uber" expensive things to start with

MY bet is the vast majority of these things are not worth a whole lot more than scrap value

and if you think for a second that if there was a $ to be made that the "retailers" & resellers wouldnt be there with their checkbooks open... well you need a little lesson in captitalism

6

mike - across the pond,

60,000 mobile homes in Arkansas 09/03/2007 21:28:06

isnt that the defintion of "tornado bait"

what ARE they going to do, put all clintons past conquests out on the street?

7

American,

USA 10/03/2007 00:12:59

#7- I agree! They probably stink, are dirty, have holes in them, have fleas, & are stripped of everything that can be ripped off.


 

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