Hundreds of modular homes meant for hurricane victims were damaged beyond repair while unused and unprotected from weather.
The Federal Emergency Management Agency bought the homes as emergency housing for victims of Hurricanes Katrina and Rita.
Katrina slammed the Gulf coast in August of 2005.
Rita came ashore in southeast Texas the following month.
The failure to protect the homes from the sun and rain while they were in storage was outlined in a report by the Homeland Security Department's inspector general.
FEMA says many sat unused for months at an Army depot in Texarkana, Texas, because of restrictions on where such homes could be erected.
A June inventory had nearly 18-hundred homes at the site.
FEMA put the total damage to homes both salvageable and unsalvageable at five (M) million dollars.