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Over the last six months, the American Red Cross and its supporters have been reminded of the vast power of nature. At the same time, the immense outpouring of kindness and generosity has demonstrated the enormous power of the human spirit. Red Cross supporters helped save lives and bring comfort to those devastated by Hurricanes Katrina, Rita and Wilma.
Through donations of time and money, the Red Cross turned compassion into action and provided much-needed shelter, food, emergency financial assistance and much more to over four million hurricane survivors during their darkest hours.
On Feb. 3, 2006, five months after Hurricane Katrina set off the largest, most expensive disaster relief operation in U.S. history, the Red Cross announced that current financial donations and pledges will cover the estimated $2.116 billion costs for its response to Hurricanes Katrina, Rita and Wilma. In keeping with our commitment, the Red Cross has stopped initiating fundraising activities for these hurricanes. The Red Cross asks that donors support the ongoing needs of hurricane victims by giving to other charities and non-profit organizations that continue to raise funds for hurricane recovery efforts.
Food and Shelter – $227 million
When hurricanes threatened the Gulf Coast, Red Cross disaster relief workers were preparing hundreds of evacuation shelters. The organization prepositioned supplies, including kitchens, prepackaged meals and emergency response vehicles (ERVs). Nearly 500,000 survivors of Hurricanes Katrina, Rita and Wilma stayed in Red Cross shelters.
At the height of the relief effort, the Red Cross served more than 995,000 meals in a single day. The Red Cross, in partnership with the Southern Baptist Convention, served more meals than for any previous disaster—more than 34 million. In addition, more than 30 million snacks have been served. The Red Cross has also distributed hundreds of thousands of clean-up kits and comfort kits containing personal hygiene supplies.
Emergency Financial Assistance – $1.554 billion
More than 1.4 million families – more than four million people – received emergency financial assistance from the Red Cross. This assistance helped hurricane survivors purchase items that were urgently needed such as food, a change of clothes, diapers and other essentials.
Physical and Mental Health Services – $7 million
Mental health professionals, trained to recognize the emotional impact of a disaster on families, individuals and relief workers, are continuing to provide guidance and a sympathetic ear for those in need. These counselors are available at Red Cross shelters and service centers to help disaster victims cope with stress, loss and trauma.
Red Cross health care professionals delivered emergency first aid and attended to other health-related needs such as assisting hurricane survivors to obtain prescription medications to replace those lost.
Additional Red Cross Support – $32 million
Hundreds of thousands of families were separated by the hurricanes, but technology has greatly expanded the ability of the Red Cross to reconnect them. Additional costs are associated with these efforts, including the Family Links Registry Web site and a toll-free information line, which helped family members reconnect with loved ones.
Hurricane Recovery – $198 million
As families begin transitioning back to local communities, Red Crossers will be a part of the recovery process for years to come, demonstrating tireless compassion every step of the way. The Red Cross, through its network of local chapters, will continue to provide essential services to hurricane survivors, working in conjunction with community groups to address longer-term needs left in the wake of these storms.
Fundraising Costs/ Management & General Expenses – $95 million
The Red Cross has managed an unprecedented number of contributions from generous donors who are helping meet the needs of people in this record-setting relief operation. These costs are associated with raising the funds that enable the Red Cross to respond to this and other disasters and to fulfill its mission.
These costs include expenses such as finance and accounting, legal and auditing fees, and public information outreach, all essential services in support of the Red Cross disaster relief effort. The fundraising costs/management and general expenses will be less than 6% of the total budget.
Total Projected Cost: $2.116 billion
The Red Cross response to these hurricanes continues; therefore, cost projections are estimates based on the best information available and may vary as the response continues. As with every disaster, cost projections will evolve over time just as the needs of hurricane survivors change. These figures do not include the cost of the Special Transient Accommodation Program (motels) and the pharmaceutical program, which the Red Cross expects FEMA.
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