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Wednesday, September 21, 2005

Doesn't this sound like a conflict of interest to you?
Gov. Kathleen Blanco is paying a disaster counseling and lobbying firm to advise her on Hurricane Katrina recovery efforts, but her staff could not provide the contract or payment details until after deadline Monday.

The state has agreed to pay Washington-based James Lee Witt Associates an undisclosed hourly rate, though the firm's leader and namesake continues to work for free, according to company spokeswoman Kim Fuller.

....Witt's firm has also signed up to lobby Congress on behalf of the nation's largest public insurance company pushing a natural disaster catastrophe fund.

Under the plan, insurers like Allstate Insurance Co. would cover homeowners' natural-disaster-related claims up to a certain amount. The state affected by the disaster would cover claims over that amount and up to a certain level. The federal government would pick up the rest of the tab, according to The Associated Press.

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