A $12Billion “Ike Dike” is being proposed by local businesses for the Galveston area. Guess who is going to pay for it? From KHOU:
According to the newly formed “Bay Area Coastal Protection Alliance” the Dike would cost taxpayers $6B, which in real world terms is about $12B and will be built within 2 years. (yea, right) There is no argument, hurricanes cause a tremendous amount of damage, but you have to wonder if a dike is needed in Galveston, then will we need one for the Port of Houston? And the Corpus area? New York? The State of Florida?
And who will pay for that? I think the Ike Dike Tax Hike Alliance is going to have a very difficult sell on their hands. I am sure if it is built all the savings the insurance industry will reap will flow down to the policy holders.