Until 1979, the federal government had no one agency responsible for dealing with disaster. But that year, President Jimmy Carter created FEMA out of a patchwork of smaller agencies. Born at the tail end of the Cold War, FEMA had a mission largely defined as nuclear fallout shelters and other civil defense measures, though in reality it dealt with "hurricane after hurricane," as Jane Bullock, a 22-year agency veteran who was FEMA chief of staff in President Bill Clinton's administration, noted.
After Hurricane Hugo hit in 1989 and Hurricane Andrew in 1992, federal response was panned, and FEMA was due for an overhaul. It got it in 1993, when Clinton brought in James Lee Witt, a veteran emergency manager and political ally, to take over, granted the agency Cabinet-level status and gave it a highly visible role it had not previously had. Its response to crises such as the 1995 Oklahoma City bombing received high marks, though some Republicans complained that it was used as a pot of money doled out to bolster Clinton's political standing.
But after 9/11, FEMA lost out in the massive bureaucratic shuffle. Not only did its Cabinet status disappear, but it became one of 22 government agencies to be consolidated into Homeland Security. For a time, recalled Ervin, even its name was slated to vanish and become simply the directorate of emergency preparedness and response until then-DHS Secretary Tom Ridge relented.On Capitol Hill, lawmakers from hurricane-prone states fought a rear-guard action against FEMA's absorption. "What we were afraid of, and what is coming to pass, is that FEMA has basically been destroyed as a coherent, fast-on-its-feet, independent agency," said Rep. David E. Price (D-N.C.).
In creating DHS, "people were thinking about the possibility of terrorism," said Walter Gillis Peacock, director of the Hazard Reduction and Recovery Center at Texas A&M University. "They weren't thinking about the reality of a hurricane."
Hurricanes were not totally absent from the calculations about the new department, according to several former Bush administration officials. Bush tapped his chief of staff, Andrew H. Card Jr., to supervise DHS's creation; a decade earlier, Card had been personally deputized by Bush's father to go to Florida and take charge of the much-criticized response to Hurricane Andrew.
very long article
http://www.washingtonpost.com/wp-dyn/content/article/2005/09/03/AR2005090301653.html