Current Repairs to the Hurricane Protection Projects Are Limited to Prestorm or Previously Authorized Levels of Protection

By June 1, 2006, the Corps planned to complete repairs to 169 miles of  southeastern Louisiana hurricane protection projects to prestorm  conditions—that is, to repair most levees and floodwalls to the condition  they were in before Hurricane Katrina. 3). In instances where the Corps determined it could  not complete permanent repairs by June 1, 2006, the Corps installed  temporary structures or levee supports and developed emergency  procedures to protect against flooding in the event of a hurricane. In some instances, to restore prehurricane levels of protection, the Corps  decided to change the design of the existing hurricane structure. For example, as of June 1, 2006, construction of one of  the three interim gates—the 17th Street canal gate—was behind schedule. The Corps estimated it would be completed by September 15, 2006. If a  hurricane threatens before the interim gate is in place, the Corps plans to  drive sheet piling in front of the Hammond Highway Bridge that crosses  the 17th Street canal to close off the canal from Lake Pontchartrain. Cost Estimates for Restoring Southeastern Louisiana Hurricane Protection Projects to Originally-Designed Levels and Completing Construction of Incomplete Portions Continue to Rise

Beyond the repairs that were to be completed by June 1, 2006, the Corps  has additional plans to continue repairs, restoration, and construction  activities on other portions of the existing five southeastern Louisiana  hurricane protection and flood control projects. The Corps plans to   (1) repair all damaged pumps, motors, and pump stations by about March  2007; (2) restore sections of the five hurricane protection and flood  control projects that have settled over time to their original design  elevation; as well as (3) complete construction of previously authorized  but incomplete portions of these hurricane protection and flood control  projects by September 2007. Although $1.165 billion was originally  allocated for this work, the Corps expects actual costs will be greater  because the original allocation did not reflect design changes, additional  costs to fund the local sponsor’s share, and rapidly escalating construction  costs. Further, in June 2006, the Corps shifted $224 million from this  allocation to pay for the additional costs to repair damaged levees and  floodwalls, leaving only $941 million for this work. Constructing these projects may take years and require billions of  dollars in federal funds. In its June 2006 draft final report, the Interagency  Performance Evaluation Task Force also concluded that hurricane  protection systems should be deliberately designed and built as integrated  systems to enhance reliability and provide consistent levels of protection. Conclusions

Following Hurricane Katrina—one of the largest natural disasters in U.S.  history—the Army Corps of Engineers rapidly repaired and restored  almost 169 miles of damaged levees, floodwalls, and other flood control  structures to prehurricane levels of protection in time for the start of the  2006 hurricane season. Nonetheless, the Corps has been appropriated over $7 billion to continue  repairs and construction on five existing hurricane protection projects in  the area. However, it does not have a comprehensive strategy to guide  these efforts and appears to be simply doing whatever it takes to comply  with the requirements placed on it by the Congress and other  stakeholders. Recommendations for Executive Action

In order to construct a hurricane protection system that provides the  appropriate level of protection to southeastern Louisiana and ensures the  most efficient use of federal resources, we are making the following two  recommendations:  The Army Corps of Engineers should develop (1) a comprehensive  strategy that includes an integrated approach for all projects and plans for  rebuilding and strengthening the system and (2) an implementation plan  that will achieve the specific level of protection in a cost-effective manner,  within a reasonable time frame.
Why GAO Did This Study

Hurricane Katrina's storm surge and floodwaters breached levees and floodwalls causing billions of dollars of property damage, and more than 1,300 deaths. Under the Comptroller General's authority to conduct reviews on his own initiative, GAO reviewed the Army Corps of Engineers (Corps) (1) progress in repairing damage to hurricane protection projects by June 1, 2006; (2) plans and estimated costs to make other repairs and complete five existing hurricane protection projects; and (3) plans and estimated costs to add enhancements and strengthen hurricane protection for the region. GAO reviewed related laws and regulations, Corps planning documents and repair tracking reports, observed ongoing repair work, and met with key agency officials and other stakeholders.

What GAO Found

Following Hurricane Katrina, the Corps worked quickly to repair and restore almost 169 miles of damaged levees, floodwalls, and other flood control structures to prehurricane levels of protection. Although the Corps stated that it had restored prehurricane levels of protection to the area by June 1, 2006, it used temporary solutions and developed emergency procedures to protect against flooding, in the event of a hurricane, for sections where permanent repairs could not be completed in time. For example, the Corps constructed interim gates on three canals to prevent storm surges from flooding New Orleans. When construction of one canal gate fell behind schedule and could not be completed by June 1, 2006, the Corps devised an emergency plan to drive sheet piling into the canal and close it off if a hurricane threatened before the gate was completed. More importantly, because these initial repairs were performed only on levees and floodwalls with obvious visual damage, the reliability of those adjacent to them is still unknown. The Corps originally allocated $801 million for initial repairs, but the current allocation has increased to over $1 billion. After completing the initial repairs, the Corps plans to conduct additional repairs and construction on the existing hurricane protection system. These plans include (1) repairing all damaged pumps, motors, and pumping stations by about March 2007; (2) restoring sections of existing hurricane protection projects that have settled over time to their original design elevations; and (3) completing construction of incomplete portions of five previously authorized hurricane and flood control projects by September 2007. An additional $941 million had been allocated for this additional work, but the Corps expects actual costs will be greater because of subsequent decisions to change the design of these projects, cover the local sponsor's share, and because of rapidly escalating construction costs. In addition, the Corps plans to undertake further work to enhance and strengthen the hurricane protection for southeastern Louisiana. These projects are estimated to take years and require billions of dollars to complete. Since September 2005, the Congress has appropriated more than $7 billion for some aspects of this work and additional appropriations are expected. According to an external review organization established by the Corps, hurricane protection systems should be deliberately designed and built as integrated systems to enhance reliability and provide consistent levels of protection. However, the Corps does not have a comprehensive strategy and implementation plan to integrate the repairs already authorized and planned and that would ensure the efficient use of federal funds. Instead, the Corps appears to be following a piecemeal approach, similar to its past practice of building projects without giving sufficient attention to the interrelationships between various elements of those projects or fully considering whether the projects will provide an integrated level of hurricane protection for the area.