Mississippi diverts Katrina funds to patch state budget

From theClarion Ledger:

House and Senate leaders have agreed on a budget that again relies on
one-time money, including funding received from the federal government
after Hurricane Katrina hit the state.

Money from the state’s “hurricane relief” fund will be used to fill the
“rainy day” fund and help pay for Medicaid services in the next fiscal
year that begins July 1.

Mostly general fund money will be used to pay for a $99 million shortfall Medicaid faces this fiscal year.

Medicaid Committee Chairman Dirk Dedeaux said he’s “very disappointed”
in the use of Katrina money. Dedeaux, D-Perkinston, and several other
Gulf Coast lawmakers have said too much recovery work remains to be
done to shift the money to other sources.