New reports say that as many as 24,000 families received $30,000 to elevate their homes after the storms but that, and other money is unaccounted for. Many of the recipients never provided reports of any kind about how they had spent the government money they were given.
HUD says the state of Louisiana was responsible for overseeing the appropriate use of the cash.
After Katrina HUD began placing more strict rules on how aid is distributed but not enough for Oklahoma Senator Tom Coburn.
"As the federal government prepares to spend nearly $16 billion on recovery efforts related to Sandy, this is a mistake taxpayers, and citizens affected by the storm, can't afford to see repeated" he said.
Coburn has long been one of the lead fighters of government waste in congress.