Alabama Power benefits from Katrina relief bonds

MOBILE, Ala. (AP) - Alabama Power Co. is in line to be the biggest beneficiary in its home state of a federal program to spur recovery from Hurricane Katrina, records show. The Gulf Opportunity Zone program has been beset by criticism that it hasn't done enough to focus on the most damaged areas or smaller businesses. "For the most part, all three eligible states allocated GO Zone private activity bond authority without consistently targeting the allocations to assist recovery in the most damaged areas," the federal Government Accountability Office wrote in a review released last week. After the 2005 storm, Congress voted to allow private entities to use tax-exempt financing for certain projects that aren't usually eligible as a way to spur economic activity in Louisiana, Mississippi and Alabama. Those Gulf Opportunity Zone... [read full story]