Katrina anniversary coming up. And we had a totally local angle. Bigshot from Tinley Park was a bigshot in the storm’s rebuilding. Nice. I was only sorry we’d never sent anyone to shadow Pat Rea in action.
Around the first anniversary of Hurricane Katrina, as efforts to rebuild the Gulf Coast still were mired in bureaucracy, a Tinley Park trustee headed south to help sort things out.
Patrick Rea got a nod from Washington, appointed by President George W. Bush to head the Small Business Administration’s response to the massive storm and to streamline the disaster recovery process for future catastrophes. He had been heading the SBA’s Midwest regional office when he was promoted.
Five years after the storm hit, Rea, who now serves as village clerk, recalls the work he did, acknowledges his shortcomings and offers two bits of advice that would prevent a repeat of the chaos.
He’d get people’s crucial documents into a single place online.
States could lead the effort because most of the information needed to apply for help – the deed to your house, mortgage company information, car title – already are public.
And he’d want a single official appointed to oversee the management of a megadisaster, assembling all involved federal agencies under a single authority, until the recovery was complete. Call it a Katrina boss, a wildfire czar, someone with even more power than Rea or the head of Federal Emergency Management Agency had.
Working out of offices in Fort Worth, Texas, and Washington, D.C., Rea started in September 2006 by re-engineering the the initial loan application process to simplify the low-interest loans offered to anyone in the hurricane’s footprint.
“When someone says the SBA is the nation’s disaster bank, they’re exactly right,” he said. “In a disaster, it’s not just small businesses we deal with, it’s homes too, churches, schools, everything else.”
The retired brigadier general in the Army Reserve was stuck with a computer system just five days old. His staff tried bypassing the mainframe with smaller computers to piece the process together.
“We weren’t through the troubleshooting. When Katrina poured into it, there wasn’t troubleshooting, there was life support. The whole thing collapsed. It was a mess.”
Applicants who had lost everything in the massive floods – including their tax returns – got logjammed in the Internal Revenue Service, he said. The tax agency had limited communications itself and couldn’t let loan processors access its sensitive databases.
But with presidential authority, Rea removed most of the roadblocks, he said. Just not all of them.
“Every time an issue came up, I went to it personally and found a solution,” he said. “If it required people, we put people in those offices.”
In anticipation of the hurricane’s anniversary this weekend, The Associated Press investigated the SBA loan program Rea headed. According to its reports, the SBA was mismanaged, rejected 55 percent of applications out of pressure to close cases and demanded a process so complicated that thousands of applicants just gave up.
Rea said he wasn’t shocked, adding, “I can’t say for sure, but my mouth wouldn’t fly open at the charge that was happening.”
He said that SBA did decline numerous loan applications but added that certain folks who’d qualify for FEMA grants and other free help required a rejection.
“Did we have problems? Oh yes,” he said. “Are they solved today? We’re better than we were.”


