Yesterday, former FEMA chief Michael Brown (who for some reason remains on the government's payroll), tried to shift blame for the anemic response to Hurricane Katrina to local and state officials in Louisiana (who are Democrats). But now, in a page one article, The Washington Post's Jonathan Weisman reports that FEMA -- and not some locals -- is embroiled in a new scandal.

On Sept. 1, as tens of thousands of desperate Louisianans packed the New Orleans Superdome and convention center, the Federal Emergency Management Agency pleaded with the U.S. Military Sealift Command: The government needed 10,000 berths on full-service cruise ships, FEMA said, and it needed the deal done by noon the next day.

The hasty appeal yielded one of the most controversial contracts of the Hurricane Katrina relief operation, a $236 million agreement with Carnival Cruise Lines for three ships that now bob more than half empty in the Mississippi River and Mobile Bay. The six-month contract -- staunchly defended by Carnival but castigated by politicians from both parties -- has come to exemplify the cost of haste that followed Katrina's strike and FEMA's lack of preparation.

To critics, the price is exorbitant. If the ships were at capacity, with 7,116 evacuees, for six months, the price per evacuee would total $1,275 a week, according to calculations by aides to Sen. Tom Coburn (R-Okla.). A seven-day western Caribbean cruise out of Galveston can be had for $599 a person -- and that would include entertainment and the cost of actually making the ship move.

[...]

[T]he Carnival deal has come under particular scrutiny. Not only are questions being raised over the contract's cost, but congressional investigators are examining the company's tax status. Carnival, which is headquartered in Miami but incorporated for tax purposes in Panama, paid just $3 million in income tax benefits on $1.9 billion in pretax income last year, according to company documents. "That's not even a tip," said Robert S. McIntyre of Citizens for Tax Justice. U.S. companies in general pay an effective income tax rate of about 25 percent, analysts say. That would have left Carnival with a $475 million tax bill.

[...]

Carnival does not want to see that tax status jeopardized just because three major ships are clearly operating in the United States. After it won the FEMA bid, Carnival appealed to Treasury Secretary John W. Snow for a waiver of U.S. taxes. "We do not want to jeopardize our tax exemption, nor do we want to interrupt our relief efforts for failure to secure this assurance from the Treasury Department," wrote Howard Frank, Carnival's chief operating officer.

I wonder how Brown will try to shift the blame for this quandary.